Identifier
Created
Classification
Origin
07VIENNA2931
2007-12-12 13:41:00
UNCLASSIFIED//FOR OFFICIAL USE ONLY
Embassy Vienna
Cable title:  

AUSTRIAN RESPONSE: DEMARCHE ON GAMBLING/WTO

Tags:  ECON ETRD WTRO AU 
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VZCZCXRO9860
PP RUEHAG RUEHDF RUEHIK RUEHLZ RUEHROV
DE RUEHVI #2931 3461341
ZNR UUUUU ZZH
P 121341Z DEC 07
FM AMEMBASSY VIENNA
TO RUEHC/SECSTATE WASHDC PRIORITY 9152
INFO RUCNMEM/EU MEMBER STATES COLLECTIVE PRIORITY
RUEHGV/USMISSION GENEVA PRIORITY 1385
RUEHBS/USEU BRUSSELS PRIORITY
UNCLAS VIENNA 002931 

SIPDIS

SENSITIVE
SIPDIS

PLEASE PASS TO USTR (TFINE)
DEPARTMENT FOR EEB/TTP/MTA (CHENNINGER) AND EUR/AGS

E.O. 12958: N/A
TAGS: ECON ETRD WTRO AU
SUBJECT: AUSTRIAN RESPONSE: DEMARCHE ON GAMBLING/WTO
ARTICLE XXI PROCEDURE

REF: STATE 165472

UNCLAS VIENNA 002931

SIPDIS

SENSITIVE
SIPDIS

PLEASE PASS TO USTR (TFINE)
DEPARTMENT FOR EEB/TTP/MTA (CHENNINGER) AND EUR/AGS

E.O. 12958: N/A
TAGS: ECON ETRD WTRO AU
SUBJECT: AUSTRIAN RESPONSE: DEMARCHE ON GAMBLING/WTO
ARTICLE XXI PROCEDURE

REF: STATE 165472


1. (SBU) EconUnit Chief delivered reftel points on December
12 to Gabriella Habermayer, Head of the Ministry of
Economics' (MoE) Multilateral Trade Division and to Helge
Plank, Head of the MoE's Services Trade Unit. Plank said
that, at last week's 133 Committee meeting, "a large Member
State and a very small Member State" raised strong objections
to the latest U.S. proposal to offer new service commitments
in exchange for withdrawing commitments in the gambling and
betting sector. Based on the positions of these two Member
States, the Commission decided to reject the U.S. offer.
Austria will not oppose the Commission's decision.


2. (SBU) According to Plank, the Commission and the two
vocal Member States believe that the U.S. compensation is not
sufficient. Plank opined that it was difficult to calculate
precisely how much the withdrawal of gambling from the U.S.
commitments was really worth. Plank added that, while the
economic impact was relatively small for the "large Member
State," the loss in potential economic gains for the "small
Member State" was a much more significant portion of that
country's economy. In Plank's view, the Commission and
affected Member States would be willing to accept the
withdrawal of gambling from the U.S. commitments, if the U.S.
agrees to moderately increase its proposed compensation.
Kilner

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