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). -------------- SUMMARY -------------- ¶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. -------------- GETTING THE MESSAGE OUT -------------- ¶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. -------------- NORTH-SOUTH POLICY -------------- ¶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. -------------- KORUS FTA -------------- ¶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. -------------- COMMENT -------------- ¶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