Identifier
Created
Classification
Origin
08CANBERRA178
2008-02-25 04:10:00
SECRET
Embassy Canberra
Cable title:  

AUSMIN 2008: SESSION I (IRAQ, IRAN, MIDDLE EAST)

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S E C R E T SECTION 01 OF 05 CANBERRA 000178 

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E.O. 12958: DECL: 02/22/2018
TAGS: OVIP GATES ROBERT OVIP NEGROPONTE JOHN PGOV
PREL, AS
SUBJECT: AUSMIN 2008: SESSION I (IRAQ, IRAN, MIDDLE EAST)

CANBERRA 00000178 001.2 OF 005


Classified By: Ambassador Robert D. McCallum, Jr. Reasons 1.4. (b) and
(d)

S E C R E T SECTION 01 OF 05 CANBERRA 000178

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E.O. 12958: DECL: 02/22/2018
TAGS: OVIP GATES ROBERT OVIP NEGROPONTE JOHN PGOV
PREL, AS
SUBJECT: AUSMIN 2008: SESSION I (IRAQ, IRAN, MIDDLE EAST)

CANBERRA 00000178 001.2 OF 005


Classified By: Ambassador Robert D. McCallum, Jr. Reasons 1.4. (b) and
(d)


1. (U) February 23, 2008; Parliament House, Canberra,
Australia.


2. (C) SUMMARY. The 2008 Australia-United States Ministerial
Consultations (AUSMIN) -- the first AUSMIN hosted by the
recently-elected Labor government -- opened with Foreign
Minister Smith and Defence Minister Fitzgibbon strongly
reaffirming the transcendence of the alliance and committing
to strengthen the partnership globally and within the
Asia-Pacific region. In the first session, the parties
reviewed Australia's active role in the region, which they
agreed provided a strong platform for continued United States
engagement. In Iraq, both sides downplayed the impact on the
bilateral relationship of Australia's planned withdrawal of
combat troops in mid-2008, with Australia signaling
willingness to consider additional non-combat inputs in both
Iraq and Afghanistan. Recent legislative success by the
Iraqi Parliament and the improving security situation have
provided opportunities for civil and capacity building
engagement. Iran is of great concern for the partners.
AUSMIN confirmed a common set of goals for pressuring Iran to
halt its nuclear program; including continued and stronger
sanctions. Australia noted opportunities for engagement,
including through its embassy in Tehran. Finally, the AUSMIN
delegates addressed the Middle East and the work in progress
on the peace process. The reliance on regional partners and
encouragement of the bilateral relationship emerged as the
most important common goals. The opening session of AUSMIN
was marked by the commitment of participants to move forward
on security, counterterrorism and capacity building in the
joint efforts of the two nations. This is the first of four
reporting cables on AUSMIN 2008. End summary.


3. (U) Participants:

UNITED STATES
Secretary of Defense Robert M. Gates

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Deputy Secretary of State John D. Negroponte
Ambassador Robert D. McCallum, Jr.

Admiral Mike Mullen, Chairman of the Joint Chiefs of Staff
Admiral Timothy J. Keating, Commander, United States Pacific
Command
Acting Assistant Secretary for Political-Military Affairs
Stephen Mull
Assistant Secretary of Defense for Asian & Pacific Security
Affairs James Shinn
Principal Deputy Assistant Secretary for East Asian & Pacific
Affairs Glyn Davies
Tim Davis, Carol Hanlon, Aleisha Woodward, John Crowley,
QTim Davis, Carol Hanlon, Aleisha Woodward, John Crowley,
Jessica Powers (Notetakers)

AUSTRALIA
Minister for Foreign Affairs Stephen Smith
Minister for Defence Joel Fitzgibbon
Michael L,Estrange, Secretary of the Department of Foreign
Affairs and Trade
Nick Warner, Secretary of the Department of Defence
Air Chief Marshall Angus Houston, Chief of the Defence Force
Duncan Lewis, Deputy Secretary of the Department of Prime
Minister and Cabinet
Peter Varghese, Director General of the Office of National
Assessments

CANBERRA 00000178 002.2 OF 005


Dennis Richardson, Australian Ambassador to the United States
Berenice Owen-Jones, Alistair McEachern, Alanna Mackay,
Antony Horrocks, Marina Tsirbas, Amanda Pickrell, John
Feakes, Peter West (notetakers).

--------------
THE ALLIANCE
--------------


4. (SBU) Foreign Minister Stephen Smith set the tone for the
AUSMIN meeting by stating the newly elected Australian
government considers the relationship between the two nations
as "business as usual." He described the alliance as
long-term, enduring and indispensable. Deputy Secretary
Negroponte told the Australian delegation he believed that
Australia's strategic perspective in the Pacific region
closely mirrored that of the United States, with only nuanced
differences. He asserted that the United States is a Pacific
country and would continue to seek to defend and advance
common interests through alliances with Australia, Japan and
South Korea.

--------------
ASIA-PACIFIC STRATEGIC OVERVIEW
--------------


5. (C/REL AUS) Foreign Minister Smith provided a strategic
overview of the region and Australia's role. Among
highlights of the broad-ranging exchange, he suggested
Australia wanted to redress the long-standing neglect of its
relationship with India, an important country whose rising
power was underestimated. He stressed the GOA's commitment
to closer engagement with the Pacific Islands. Unlike the
"first class" relationship with Indonesia that the previous
Australian government had bequeathed the current government,
relationships with other Pacific islands, notably Papua New
Guinea and the Solomon Islands, were not as good, although
they had the potential to develop positively. Defence
Minister Fitzgibbon suggested Australia's posture towards
global and regional challenges would hinge in part on new
strategic guidance being developed in a updated White Paper.
He noted the high percentage of Australian forces currently
deployed -- three of its six battalions -- limited
Australia's capacity to respond militarily to new global
challenges. "For a small country, with a limited budget, we
have many problems to tackle," Fitzgibbon said. He expressed
that the goal of the White Paper would be to adjust
Australia's posture for global conflicts of the future.

--------------
ENGAGEMENT IN IRAQ
--------------


8. (C/REL AUS) Secretary Gates described a number of positive
Q8. (C/REL AUS) Secretary Gates described a number of positive
developments in Iraq. The recent extension of the cease-fire
of the Mahdi Army Militia forces by Muqtada Al Sadr was a
positive sign. He also cited passage by the Iraq National
Assembly of a budget, and legislation on provincial powers
and an amnesty agreement, which were useful steps forward
politically for Iraq. In speaking about the present state of
the military surge in Diyala province he noted the strong
effort by local civilians to aid in the fight against Al
Qaeda in Iraq. The surge had been greatly aided by Iraqi
cooperation, according to Secretary Gates. He cautioned that
it would be important for the United States to help the

CANBERRA 00000178 003.2 OF 005


government of Iraq create jobs for those who had moved away
from violence and who would be returning to look for jobs.


9. (S/REL AUS) A major challenge facing coalition partners in
Iraq is the negotiation of a long-term strategic framework
and a Status of Forces Agreement (SOFA),Secretary Gates told
the Australian delegation. The U.S. sees the framework as a
way to help legitimize other coalition member states, but the
SOFA will be a challenge. The Iraqis, Gates offered, will
see it as a question of sovereignty and seek to assert this
view during the SOFA negotiations. Deputy Secretary
Negroponte also noted the challenge of assisting the Iraqis
in executing their budget in an effective manner. He is
encouraged that the Provincial Reconstruction Teams (PRT) are
beginning to reap benefits in Iraq. There are twenty-five
PRTs operating in Iraq and the United States sees them as a
long-term commitment that may outlive any major military
commitment.


10. (C/REL AUS) "We have always believed that the drawdown of
our Overwatch Battle Group would not affect the alliance",
offered Foreign Minister Smith. He noted that the Australian
military would leave air and maritime assets in the region
and the government looked forward to being able to make an
announcement soon regarding non-military capacity building
and training efforts in Iraq. Defense Minister Fitzgibbon
added that Australia's issue with troops in Iraq is a matter
of the job having been completed and capacity. Should
something in the Pacific region go "pear-shaped" we would
begin to feel the effects of our forces being stretched,
Smith said. The Australian delegation also made the point
that Al Muthana province has been under Provincial Iraqi
Control (PIC) for over eighteen months. By the time
Australian combat troops redeploy, the province will have
been under PIC for 2 full years. Chief of Defense Forces Air
Marshal Angus Houston assured the U.S. delegation that
Australian combat forces would continue their work until the
last day of their deployment.


11. (C/REL AUS) The participants discussed regional
assistance for Iraq. There was general agreement that the
regional partners have been cooperative and forward leaning.
Deputy Secretary Negroponte noted that both Saudi Arabia and
Kuwait are exploring options for opening missions in Baghdad
and that there has been a large commitment to projects in
Qand that there has been a large commitment to projects in
Iraq. Secretary Gates offered that it is important that the
regional neighbors move towards embracing Iraq lest they be
left to look east to Iran. He acknowledged that there is
regional concern about a strong Shia bloc of Iraq and Iran.
He noted the increasing reports of Iraq's Shia "pushing back"
against Iran. He noted that as security continues to improve
he expects to see more and greater engagement by Iraq,s
regional neighbors. The two delegations discussed the need
for Iraqis to seize the opportunities provided by the surge.
In some ways, Secretary Gates observed, we've asked Iraqis to
accomplish more than even the U.S. did as it became a nation.

--------------
JOINT ACTION ON IRAN
--------------


12. (S/REL AUS) There was general agreement on the issue of
the Iranian nuclear program and destabilizing activity in the
region. Both delegations noted their support for United
Nations Security Council Resolutions and the UN process.

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There is shared concern over Iran's pattern of nuclear
development and support for terrorism. From Iraq to Lebanon,
the partners noted that Iran has eschewed an international
framework for peace and continues to be provocative. Deputy
Secretary Negroponte noted that the Iranian government is

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responsible for supplying explosively formed projectiles
(EFP) to the Taliban in Afghanistan.


13. (S/REL AUS) Secretary Gates offered that Russian
President Vladimir Putin had confided to him that a nuclear
weapons capable Iran was Russia's greatest security concern.
The Secretary added the U.S. hoped that Putin would join the
international community in response to this concern. Nick
Warner, Secretary of the Department of Defence, offered that
"sticks are fine, but carrots are also necessary". He
suggested the U.S. should consider a grand rapprochement.
Reformers still exist in Iran, he insisted. "It may take
five or ten years for the political cycle to bring them back,
but the U.S. should be ready to engage," Warner said. On the
question of diplomatic relations, Secretary Gates noted that
every U.S. president since 1979 has tried in some way to
engage Iran without success. "They show no desire to work
with the international community." He also stated that there
has been dialogue and opportunity via talks that have been
held in Baghdad and with the EU-3; France, Germany and the
United Kingdom. These nations can be useful in bringing Iran
into the international community. Secretary Gates allowed
that the multilateral channel could provide a path to a civil
nuclear program for Iran, but only after Iran is in full
compliance.


14. (S/REL AUS) There may be no "grand bargain", but
sanctions, even small sanctions, have an effect, asserted
Secretary Gates. The Iranians don't like pressure. "They

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must be faced with hard choices," Secretary Gates said.
Sanctions that target the leadership have been particularly
effective. The banking community is working effectively to
stem the flow of capital into the country's economy. The
Australian delegation offered that their embassy in Tehran
provides a great opportunity to understand what is occurring
in the country. Foreign Minister Smith offered Australia's
help in providing context and assistance in the effort to
bring Iran into the international community.

--------------
THE MIDDLE EAST, POST ANNAPOLIS
QTHE MIDDLE EAST, POST ANNAPOLIS
--------------


15. (C/REL AUS) The President of the United States is
committed to pressing forward in the Middle East and may
return to the region this calendar year, Deputy Secretary
Negroponte told the AUSMIN delegates. Both delegations
agreed that it was important to increase the security
capacity of the Palestinian Authority. Foreign Minister
Smith noted that Australia has doubled its financial
assistance post-Annapolis and supported strongly the U.S.
effort in the peace process.


16. (C/REL AUS) The Deputy Secretary offered that the U.S.
effort was broad and intense. He noted that the Israelis and
Palestinians are working bilaterally on the shape of the
settlement and that the U.S. has brought in General James
Jones, former Commandant of the Marine Corps, to work on
regional security architecture. On the question of Syria,
Deputy Secretary Negroponte said that it was important to

CANBERRA 00000178 005.2 OF 005


work on the issue in a logical manner. Syrian assistance has
been troublesome and there is great effect in the work of
some regional states. Saudi Arabia, in particular, has taken
a lead in helping to stabilize Lebanon and blunting Syrian
interference.


17. (U) Secretary Gates, PM Acting Assistant Secretary Mull,
and EAP Principal Deputy Assistant Secretary Davies cleared
on this cable.

MCCALLUM