Identifier
Created
Classification
Origin
08BEIJIG3760
2008-09-26 10:26:00
CONFIDENTIAL
Embassy Beijing
Cable title:  

CHINA MFA: CHAVEZ VISIT PRIMARILY ECONOMIC, NOT A

Tags:  PREL PGOV ENRG ETRD VE CH 
pdf how-to read a cable
VZCZCXRO2327
OO RUEHCN RUEHGH RUEHVC
DE RUEHBJ #3760/01 2701026
ZNY CCCCC ZZH
O 261026Z SEP 08
FM AMEMBASSY BEIJING
TO RUEHC/SECSTATE WASHDC IMMEDIATE 0178
INFO RUEHOO/CHINA POSTS COLLECTIVE IMMEDIATE
RUEHCV/AMEMBASSY CARACAS IMMEDIATE 0252
RUEHLP/AMEMBASSY LA PAZ IMMEDIATE 0373
C O N F I D E N T I A L SECTION 01 OF 02 BEIJIG 003760 

SIPDIS

E.O. 12958: DECL: 09/26/2028
TAGS: PREL PGOV ENRG ETRD VE CH
SUBJECT: CHINA MFA: CHAVEZ VISIT PRIMARILY ECONOMIC, NOT A
THREAT TO THE UNITED STATES

REF: A. A: FBIS/OSC LAP20080925054001

B. B: BEIJING 3650

Classified By: Political Minister Counselor Aubrey Carlson, reasons 1.4
(b/d).

C O N F I D E N T I A L SECTION 01 OF 02 BEIJIG 003760

SIPDIS

E.O. 12958: DECL: 09/26/2028
TAGS: PREL PGOV ENRG ETRD VE CH
SUBJECT: CHINA MFA: CHAVEZ VISIT PRIMARILY ECONOMIC, NOT A
THREAT TO THE UNITED STATES

REF: A. A: FBIS/OSC LAP20080925054001

B. B: BEIJING 3650

Classified By: Political Minister Counselor Aubrey Carlson, reasons 1.4
(b/d).


1. (C) Summary: Venezuelan President Hugo Chavez's September
23-25 visit to China focused on economic development and
energy cooperation. Contrary to press reports, the two sides
did not set firm numerical targets for oil exports, according
to the Chinese MFA. MFA and academic contacts alike
emphasized that the oil agreements do not represent a threat
to global supply and said Chavez's visit should not be seen
as a threat to the United States. The MFA publicly denied
Chavez's claim that China and Venezuela discussed military
cooperation during the visit. While Chavez raised the
potential formation of a "Bank of the South," the MFA said
such an idea is in its infancy. The MFA described
Venezuela's and Bolivia's PNG expulsion of U.S. Ambassadors
as "regrettable" and urged the United States to solve its
disputes in the region quickly through dialogue. End Summary.

The Visit
--------------


2. (C) Venezuelan President Hugo Chavez visited Beijing
September 23-25 and met Chinese President Hu Jintao, Vice
Premier Li Keqiang and National People's Congress Standing
Committee Chairman Wu Bangguo, according to the MFA. The two
sides inked a total of 26 contracts in a variety of fields,
including trade, energy, law and telecommunications. Chavez,
who skipped the UN General Assembly to visit China, said
pointedly that "visiting Beijing is of greater importance
than visiting New York."

Chavez's Visit "Special ...
--------------


3. (C) Chavez's visit to China was "special but normal,"
Director of Latin America Studies for the Ministry of State
Security-affiliated China Institutes for Contemporary
International Relations (CICIR) Wu Hongying told PolOff
September 24. She called the visit "special" because, unlike
other heads of state who visit China on a regular basis with
little fanfare, Chavez's visit has attracted great attention
from both the public and the international news media. Wu
said this attention stemmed from three factors. First,
Chavez is a firebrand who often makes controversial
statements on sensitive subjects. Second, the recent PNG
expulsion of the U.S Ambassadors to Venezuela and Brazil
garnered world attention. Finally, the current financial
crisis in the United States draws attention to economic
deals signed by a world leader who has publicly declared
himself to be anti-American.

... But Normal"
--------------


4. (C) Despite the press focus, the visit, Chavez's fifth to
China since taking power, is not out of the ordinary, said
Chinese Academy of Social Sciences (CASS) Institute of Latin
American Studies Deputy Director Jiang Shixue. Jiang noted
that, while China seeks good relations with Venezuela,
Chinese leaders are not willing to sacrifice relations with
the United States for Venezuela's sake. Thus, China asked
Chavez not to attend the opening ceremony of the Beijing
Olympic Games, Jiang said, and the visit was in lieu of
participation at the Olympics. Jiang observed that the
Chinese press downplayed inflammatory statements from Chavez.
At a September 26 meeting, MFA Latin American and Caribbean
Affairs Department Andean Division Deputy Director Chen
Luning emphasized that Chavez's visit was not intended to be
threatening to other countries. He noted that the press has
a tendency to play up Chavez's inflammatory remarks while
ignoring the routine state-to-state discussions that
predominate in head of state visits.

Expansion of Energy Cooperation
--------------


5. (C) Chavez's visit focused on energy cooperation and
particularly on the development of Sino-Venezuelan oil trade.
The press reported Venezuelan plans to expand exports to
China from 250,000-350,000 barrels per day to 500,000 barrels
per day by 2009 and to over one million barrels per day by

2012. The press also reported that the two countries signed
agreements to construct three oil refineries in China, to
"study" building a refinery in Venezuela, and to build four
oil tankers. MFA Deputy Division Director Chen said,
however, that the oil export figures quoted by the press were


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