Identifier
Created
Classification
Origin
08KUALALUMPUR402
2008-05-16 09:31:00
UNCLASSIFIED
Embassy Kuala Lumpur
Cable title:  

MALAYSIA AND APEC IN 2008

Tags:  ETRD APEC ECON ECIN MY 
pdf how-to read a cable
VZCZCXRO5993
PP RUEHCHI RUEHFK RUEHHM RUEHKSO RUEHNAG RUEHPB
DE RUEHKL #0402 1370931
ZNR UUUUU ZZH
P 160931Z MAY 08
FM AMEMBASSY KUALA LUMPUR
TO RUEHC/SECSTATE WASHDC PRIORITY 1014
INFO RUEHZU/ASIAN PACIFIC ECONOMIC COOPERATION
UNCLAS KUALA LUMPUR 000402 

SIPDIS

FOR EAP - AMB. HASLACH, EAP/EP AND EAP/MTS
STATE PASS USTR FOR WEISEL AND BELL

E.O. 12958: N/A
TAGS: ETRD APEC ECON ECIN MY
SUBJECT: MALAYSIA AND APEC IN 2008

REF: A. STATE 34771

B. 2007 KUALA LUMPUR 1579

C. 2007 KUALA LUMPUR 683

UNCLAS KUALA LUMPUR 000402

SIPDIS

FOR EAP - AMB. HASLACH, EAP/EP AND EAP/MTS
STATE PASS USTR FOR WEISEL AND BELL

E.O. 12958: N/A
TAGS: ETRD APEC ECON ECIN MY
SUBJECT: MALAYSIA AND APEC IN 2008

REF: A. STATE 34771

B. 2007 KUALA LUMPUR 1579

C. 2007 KUALA LUMPUR 683


1. In advance of the second APEC Senior Officials Meeting
(SOM II),econoff called on Malaysia's Senior Official to
APEC, Abdul Ghafar Musa, on May 16 to discuss U.S. and
Malaysian goals for APEC this year (ref A). Ghafar, Senior
Director of the APEC Division in the Ministry of
International Trade and Industry, said that Trade Minister
Muhyiddin Yassin, who replaced veteran Rafidah Aziz last
month, so far had not indicated any change in Malaysia's
overall approach to APEC. Although Muhyiddin is currently
scheduled to attend the May 31-June 1 trade ministers,
meeting, Ghafar said he would not be surprised if the
Minister decides to opt out (note: Muhyiddin is a senior
leader in Malaysia,s leading ruling party, which is in the
process of regrouping after major losses in Malaysia's March
8 general elections).


2. Ghafar said Malaysia remains interested in the eventual
negotiation of a Free Trade Area of the Asia Pacific (FTAAP).
Malaysia welcomes efforts to conclude additional "model
measures" for FTAs that could eventually be used in the
negotiation of a multilateral FTA, and he said that the FTAAP
issues paper recently drafted by New Zealand was helpful.
However, Ghafar noted that the large discrepancies in the
levels of development of APEC,s economies would complicate
the negotiation of an FTA. Malaysia views negotiation of an
FTAAP as not feasible for at least five years, and believes
APEC should make its first priority the conclusion of the
Doha Round of WTO negotiations.


3. Malaysia welcomes additional private sector involvement in
APEC, and strongly supports the APEC Business Advisory
Council (ABAC),said Ghafar. Malaysia supports Peru,s
emphasis on corporate social responsibility, but like the
U.S. believes such efforts must remain voluntary, not imposed
or managed by governments. He welcomed Peru,s emphasis on
small and medium enterprise development this year.


4. Given the recent attention to serious food price inflation
around the world, Ghafar said it was understandable that the
issue would be on the agenda at SOM II. However, Malaysia
would not support APEC taking a particularly active role in
the issue, which he said is better left to UN organizations
like UNCTAD and FAO.


5. Embassy officer responsible for APEC issues until July 14
is John Finkbeiner, who will be replaced by Juha Salin in
early August.
KEITH