SINGAPORE PLEASED WITH ASEAN AND EAST ASIA SUMMITS

C O N F I D E N T I A L SECTION 01 OF 02 SINGAPORE 000156

SIPDIS

SIPDIS
SENSITIVE

E.O. 12958: DECL: 01/23/2017
TAGS: PREL PGOV ETRD ECON SENV SN
SUBJECT: SINGAPORE PLEASED WITH ASEAN AND EAST ASIA SUMMITS


Classified By: E/P Counselor Ike Reed. Reasons 1.4 (b)(d)


1. (SBU) Summary: Ministry of Foreign Affairs (MFA) Director
for ASEAN Jacky Foo provided us an upbeat assessment January
19 of the recently concluded ASEAN and East Asian Summits in
Cebu. The 12th ASEAN Summit in Cebu demonstrated that ASEAN
integration was moving forward, Foo said. There were still
differences over the speed of integration, and some key
recommendations by an Eminent Persons Group (EPG) were
contentious, such as majority voting and the concept of an
ASEAN Union, but the leaders endorsed using EPG
recommendations as a basis for the planned ASEAN Charter.
China continued to be the most active partner in ASEAN,s
meetings with its dialogue partners, signing a services
agreement and expanding its sectoral cooperation with ASEAN.
At the East Asia Summit, the leaders agreed to study Japan's
proposal for an East Asian Free Trade Agreement, but some
countries wanted to keep the focus on the ASEAN plus three
FTA, according to Foo. End Summary.

Moving Forward on the ASEAN Charter
--------------


2. (SBU) Singapore was pleased with the outcomes of the 12th
ASEAN Summit and the subsequent East Asian Summit (EAS),MFA
ASEAN Directorate Director Jacky Foo told us January 19. The
leaders' endorsement of the Eminent Persons Group (EPG)
report on the ASEAN Charter indicated there was general
agreement within ASEAN on moving forward with the
organization's integration, Foo noted. There were still
differences, however, over the speed of integration. In
particular, Cambodia, Laos and Vietnam wanted a slower pace
of integration and emphasized the need for capacity building
assistance to keep up. Harmonizing economic policies would
be easier than political, cultural, and social issues, about
which some members remained sensitive, according to Foo.


3. (SBU) Notwithstanding the leaders' endorsement of the EPG
report, some of its key recommendations provoked strong
debate. Indonesia in particular was "not comfortable" with
the report's references to an ASEAN "Union," Foo said. While
the concept of "union" was poorly defined and could be
"tight" like the European Union or even "loose" like the
African Union, Indonesia appeared to worry that use of the
term could turn into a domestic political issue. However,
the debate revealed strong support for moving forward with
integration and the concept of an ASEAN Community. Newer
ASEAN members, including Cambodia and Vietnam, were also wary
about introducing majority voting into ASEAN decision-making.
Nevertheless, the leaders had charged a High Level Task
Force with a clear mandate to complete a draft ASEAN Charter
for the leaders to approve at the Singapore-hosted ASEAN
Summit in November, and to base it at least in part on the
EPG report.

Transboundary Issues: The Environment
--------------


4. (SBU) Foo said there had been good discussions during the
ASEAN Summit on transboundary issues such as haze. Indonesia
had been especially forthcoming on that environmental issue
and seemed open to outside assistance to help tackle the
problem. The leaders also signed a "slew" of other
agreements, such as the ASEAN Convention on Counter
Terrorism. Foo characterized the Convention as primarily a
political pledge to enhance information sharing and other
types of cooperation that were already ongoing.

An Active China as Dialogue Partner
--------------


5. (SBU) China was the most focused and energetic dialogue
partner, Foo commented. It signed the services portion of
the ASEAN-China Free Trade Agreement (FTA) to go along with
the already completed section on goods. There was also talk
of expediting conclusion of the final portion on investments.
Thus, the ASEAN-China FTA was the farthest along and could
be a "beacon" for other dialogue partners to complete their
respective FTAs with ASEAN. China had also actively promoted
more sectoral cooperation with ASEAN, and ministerial-level
meetings were in the works on health and information
technology.


6. (SBU) Foo contrasted the rapid progress with China with
the ASEAN-Japan FTA, which had been under discussion for four

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years but thus far had little to show. He thought China's
progress might explain indications from Prime Minister Abe
that Japan would redouble efforts. Indian Prime Minister
Singh had demonstrated his commitment to greater ASEAN-India
engagement by announcing that both sides would work on an
Open Skies Agreement, Foo said.

East Asia Summit
--------------


7. (SBU) At the East Asia Summit, the leaders agreed to
commission a track-two study of Japan's proposal for an East
Asian Free Trade Agreement as part of its Comprehensive
Economic Partnership for East Asia (CEPA). Foo suggested
Singapore had quietly lobbied for the proposal. However,
other EAS members, in particular China and Malaysia,
preferred to keep the focus on the ASEAN-plus-three FTA.

Comment
--------------


8. (C) GOS officials appear genuinely pleased that the ASEAN
Summit produced good discussions and concrete progress in the
form of a strong mandate to complete the ASEAN Charter on the
basis of the EPG report. In part, this may reflect relief
that the postponement of the summits, originally scheduled
for early December, and other organizational problems did not
take the wind out of the integration sails with Singapore set
to take up chairmanship of the organization later this year.
Singapore strongly supports the EPG's recommendation to turn
ASEAN into a rules-based organization. While some of the
EPG,s more forward-leaning ideas remain contentious, the GOS
seems convinced that the terms of debate have shifted. It
sees ASEAN integration as no longer a question of if, but
when, and seems optimistic that an important step can be
taken with completion of the Charter this year.
FERGIN