PARK GEUN-HYE REMAINS CONFIDENT IN HER PRINCIPLES

C O N F I D E N T I A L SEOUL 001712

SIPDIS

SIPDIS

E.O. 12958: DECL: 12/10/2014
TAGS: PGOV PREL KS
SUBJECT: PARK GEUN-HYE REMAINS CONFIDENT IN HER PRINCIPLES

Classified By: Alexander Vershbow. Reasons 1.4 (b,d).

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SUMMARY
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1. (C) In a June 4 meeting with the Ambassador, ROK
presidential candidate Park Geun-hye said that she was
optimistic that the public would increasingly support her
campaign as she got her policy messages out. Park said that
the public responded well to the first nationally televised
debate among GNP candidates last week, which showed
differences between her and former Seoul Mayor Lee Myung-bak
on economic issues. She hoped to see similar results later
this week when the candidates discuss education and social
issues. Park said that in order to resolve issues with the
DPRK, the North Koreans needed to completely denuclearize,
while the other parties involved needed to coordinate their
use of carrots and sticks, while emphasizing the principle of
reciprocity. She reiterated her commitment to an engagement
policy with North Korea that is based on principles, an
essential element missing in the current administration's
engagement policy, according to Park. Similarly, Park said
she would support an inter-Korean summit if it were
structured to help reach the ultimate goal of
denuclearization and was not merely a political tool to sway
the election. END SUMMARY.

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GETTING THE MESSAGE OUT
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2. (C) In a June 4 meeting with the Ambassador, GNP
presidential candidate Park Geun-hye said that she was
optimistic that the publicly televised debates with her GNP
opponent, Lee Myung-bak, would continue to help get her
policy message out. President Roh's lengthy speech on June
2, in which he lashed out at Park and other candidates, could
be seen as helpful to the GNP as it reminded the Korean
people why a dramatic change in leadership was needed. Roh
should not be focusing his attention on political candidates
but rather working to help improve the economy--the issue
weighing most heavily on the minds of the people, according
to Park.


3. (C) Outlining the basic elements of her domestic agenda,
Park said that she would continue to advocate for smaller
central government, more autonomy for local governments,
deregulation and tax reductions. Lee's campaign focus on a
canal project and plans to help raise per capita GDP to USD
40,000 seemed to be falling flat based on the results of the
first debate, where Lee received less favorable responses
from those surveyed.


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NORTH-SOUTH POLICY
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4. (C) Responding to the Ambassador's question about foreign
policy goals, Park said that the progressive camp was focused
more on inter-Korean issues than the domestic economy. Park
reiterated her support for a North-South summit if it served
as a tool to achieve the complete denuclearization of North
Korea and was not merely used to sway the election in favor
of the progressives. Similarly, Park said she supported
engagement with the North as long as it was based on the
principle of reciprocity. The Roh administration's version
of engagement was not based on principles and had allowed the
North to develop nuclear weapons. The Korean people wanted
peace but this could only be achieved through adherence to
principles.


5. (C) Park suggested three principles were needed to
resolve the ongoing issues with the DPRK. First, the DPRK
must denuclearize and then the other six-party partners
should carefully coordinate to effectively use carrots and
sticks in dealing with the North. Park said that the entire
world was closely monitoring how the U.S. interacted with the
DPRK on resolving the Banco Delta Asia (BDA) issue. If the
international community perceived that the U.S. was not
sticking to its principles, it would be widely noted. The
Ambassador assured Park that the U.S. was willing to
normalize relations with the DPRK but only when they fully
denuclearize. The U.S. would not accept a nuclear North
Korea and carrots would only be provided after the North
upholds its end of the deal. On BDA, the Ambassador said we
did not want to let the North use this issue as an excuse to
avoid denuclearization, but we were not compromising on the
larger issue of DPRK illicit activities.

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KORUS FTA
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6. (C) The Ambassador said he hoped that the ROK would be
able to move this fall on the ratification of the KORUS FTA.
Given the difficulties the FTA was facing in the U.S., it
would be helpful if the National Assembly could ratify the
deal this fall and send a positive signal to the U.S.
Congress. Park said that she remained committed to the deal
and would continue to work in support of ratification.

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COMMENT
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7. (C) Although Park is upbeat and hopeful following the
first GNP candidate debate, she still trails Lee in the polls
by an average of 15-20 percent. While she hopes that her
adherence to principles and a clear policy platform will
eventually erode the gap between her and Lee, most pundits
predict a more dramatic development, such as a new revelation
of wrongdoing in Lee's past, is needed if Park is to be truly
competitive in the August GNP primary. Time is not on her
side, but she shows no signs of desperation or wanting out of
the race.
VERSHBOW