INDONESIA-UNITED STATES STRATEGIC CONSULTATIONS

C O N F I D E N T I A L SECTION 01 OF 03 JAKARTA 002082

SIPDIS

DEPT FOR EAP, EAP/MTS, EAP/MLS, EAP/RSP
NSC FOR J.BADER AND D.WALTON

E.O. 12958: DECL: 12/21/2019
TAGS: PREL PARM MARR KDEM OVIP BURNS WILLIAM ID AF
SUBJECT: INDONESIA-UNITED STATES STRATEGIC CONSULTATIONS
SESSION TWO: REGIONAL AND GLOBAL ISSUES

Classified By: Ambassador Cameron R. Hume, reasons 1.4 (b+d).


1. (C) SUMMARY: During the second session of the December
11 inaugural U.S.-Indonesia Strategic Consultations, Under
Secretary Bill Burns led the U.S. delegation in a discussion
of cooperation on regional and international issues. The USG
and the GOI agreed to cooperate in promoting democratic
reform in Burma and U/S Burns urged Indonesia to provide
additional assistance for Afghanistan. The two sides also
agreed on the importance of strengthening the international
nuclear nonproliferation regime and to dealing peacefully
with the Iranian and North Korean nuclear programs. U.S. and
Indonesian officials also discussed the importance of an open
and inclusive regional order in East Asia and of a viable
peace process in the Middle East. END SUMMARY.

U.S.-INDONESIA STRATEGIC CONSULTATIONS


2. (SBU) Under Secretary Bill Burns led the USG delegation
to the first U.S.-Indonesia Strategic Consultations on
December 11 in Jakarta. The Consultations are key part of
regular, increased high-level engagement under the United
States-Indonesia Comprehensive Partnership and will help
deepen cooperation on bilateral, regional and global issues.
This message reports the second session of the Consultations,
which focused on cooperation on regional and international
issues. Mission will report via septel on the results of the
first session, which dealt with cooperation on education, the
environment, economics, development, science and technology,
and mil-mil relations.

ASIAN REGIONAL ARCHITECTURE


3. (C) Indonesia was open minded regarding proposals for new
Asia-Pacific architectures, but felt it was premature to back
any one specific proposal DEPLU Director General for European
and American Affairs Ambassador Retno Marsudi explained. She
said the Association of Southeast Asian Nations (ASEAN) was
Asia's only successful regional organization and that
Indonesia believed a strong ASEAN was critical to regional
stability. Indonesia was open to new institutions, such as
Australian PM Rudd's Asia-Pacific Community and Japanese PM
Hatoyama's East Asian Community, as long as they brought real
benefits to the region.


4. (C) U/S Burns underscored that the United States was a
Pacific nation and was committed to an enduring role in Asia.
President Obama and Secretary Clinton had demonstrated this
with their trips to the region. Our strong bilateral ties
with Asian partners were a critical element of this
engagement. Additionally, U/S Burns explained that the
United States wanted to be a part of Asian regional
institutions as they continued to develop. EAP DAS Scot
Marciel added that regional institutions must strike a
balance between reaching consensus and getting things done.
The ASEAN Regional Forum (ARF),he noted, tended to move
slowly--a fact that led to some frustration among countries
in the region. New regional institutions would have to avoid
this danger in order to be successful.

PROMOTING REFORM IN BURMA


5. (C) Turning to Burma, Ambassador Marsudi noted the need
to continue to encourage democratic reforms there. She
welcomed the new USG approach of direct engagement with the
Burmese authorities. Discussion of this matter during the
U.S.-ASEAN Summit on the margins of the APEC Leaders' Meeting
in Singapore in November was an important step forward, she
added.


6. (C) U/S Burns praised Indonesia's efforts to promote
democratic reform in Burma, and praised the Bali Democracy
Forum as an example of Indonesia's commitment to regional
democratization. DAS Marciel reiterated the USG's commitment
to maintaining sanctions on Burma while talking directly to
the Burmese government. Indonesia has a key role to play in
this process, he explained. Discussions with GOI officials
during Secretary Clinton's February visit to Jakarta had
helped shape the new U.S. policy. The USG urged Indonesia to
press the Burmese government to release Aung San Suu Kyi and
other political prisoners and to begin a dialogue with the
democratic opposition and ethnic minority groups in advance

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of the planned 2010 elections. The United States had opened
the way for Burma to end its isolation and build a better
relationship with the international community. It was now up
to the Burmese to reciprocate this opening by taking positive
steps.

ASSISTANCE FOR AFGHANISTAN


7. (C) U/S Burns said the United States welcomed Indonesia's
desire to play a helpful role on Afghanistan and said that
President Obama welcomed President Yudhoyono's thoughtful
letter on the matter. He underscored that establishing
security in Afghanistan was critical. However, security was
only part of the picture. The United States and our partners
were also committed to addressing economic development,
promoting good governance and fighting corruption in
Afghanistan. President Karzai had promised progress on these
fronts and now it was time for his government to deliver.
International assistance would be critical to helping the
Afghan government succeed. U/S Burns urged Indonesia to
contribute to this effort.


8. (C) Ambassador Marsudi said Indonesia was reviewing how
it might contribute to Afghanistan. President Yudhoyono had
instructed the Indonesian Ambassador in Kabul to develop
concrete proposals. Indonesia was already providing training
and building capacity for Afghan officials in agriculture,
education, and health through training in Indonesia.
Indonesian officials were considering whether they might help
facilitate a national reconciliation process between the
Afghan government and moderate elements of the Taliban.
Indonesia also continued to consider training for the Afghan
police. U/S Burns reiterated that the United States would
welcome further Indonesian assistance in Afghanistan and
pledged to remain in touch on the matter.

NONPROLIFERATION, IRAN AND NORTH KOREA


9. (C) DEPLU officials underscored Indonesia's commitment to
international disarmament and nonproliferation regimes,
particularly the need to strengthen the Nuclear
Nonproliferation Treaty (NPT). Indonesia supported the
"grand bargain" of the NPT and would use the upcoming NPT
Review Conference to push for progress on all three pillars
of the NPT. On disarmament, the GOI would encourage nuclear
weapons states to meet their Article VI obligation to work
toward the elimination of nuclear weapons. On
nonproliferation, Indonesia would adhere to the principle of
universality and would press for those states that are not
party to the NPT to join the regime. Regarding the peaceful
use of nuclear energy, Indonesia supported international
guarantees of the nuclear fuel cycle through the IAEA.


10. (C) U/S Burns affirmed U.S. support for the three
pillars of the NPT. The USG was working with Russia to reach
agreement soon on a nuclear weapons reduction agreement to
replace START. U/S Burns also stressed President Obama's
commitment to reduce loose nukes and noted the that the
President would host the Nuclear Security Summit in April to
address the matter. Indonesia had set a good example by
adopting the NPT Additional Protocol and pledging to ratify
the Comprehensive Test Ban Treaty (CTBT),U/S Burns noted.
He urged Indonesia to move forward with the CTBT as quickly
as possible and not to wait for the United States to act
first. Noting that U/S Burns had discussed CTBT ratification
with FM Natalegawa the previous day, Ambassador Marsudi
smiled and said "we will move faster."


11. (C) Turning to North Korea, U/S Burns noted Special
Envoy Bosworth's recent trip to Pyongyang to encourage the
DPRK to return to the Six-Party Talks. North Korea must
adhere to its commitment to denuclearization under the
September 2005 Six-Party Joint Statement. North Korean must
now commit to return to the Six-Party Talks in the near term.
Ambassador Marsudi responded that Indonesia firmly supported
the Six-Party Talks, and expressed appreciation of U/S Burns'
briefing on Ambassador Bosworth's visit. Indonesian
officials reiterated this message in their interactions with
North Korea and continued to urge Pyongyang to return to the
negotiations.


12. (C) U/S Burns also explained that the P5 1 was

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increasingly frustrated with Iran's intransigence over the
nuclear program. President Obama had made an unprecedented
effort to reach out to Iran and offer Tehran better relations
if Iran met its international nuclear nonproliferation
obligations and resolved international concerns about the
nature of its nuclear program. Working with the IAEA, the
P5 1 had have offered Iran an international mechanism to
refuel the Tehran Research Reactor. However, Iran has yet to
respond positively to these offers, it continues to enrich in
defiance of multiple UNSC resolutions, and it has failed to
satisfy all IAEA requirements regarding its nuclear program.
Given these facts, U/S Burns said that President Obama would
be forced to reassess whether our current approach to
engaging Iran could be sustained any longer, or whether the
P5 1 would have to resort to greater pressure on Tehran.


13. (C) DEPLU officials underscored Indonesia's support for
the P5 1 approach. They conceded that the situation was
getting worse and that Iran was becoming more confrontational
over the nuclear issue. Such defiance of international
nonproliferation norms was particularly troubling in advance
of the upcoming NPT review conference, Indonesia believed.
GOI officials would urge their Iranian counterparts to
respond positively to the P5 1 offers and to cooperate fully
with the IAEA.

THE MIDDLE EAST PEACE PROCESS


14. (C) U/S Burns outlined U.S. efforts to help build peace
in the Middle East. He reaffirmed President Obama's
commitment to achieving a two state solution between the
Israelis and Palestinians but admitted that progress has been
slow. The settlement issue has been particularly difficult.
He also said the USG had urged Israel and Syria to resume
their peace process. U/S Burns urged Indonesia to encourage
both sides to make a genuine commitment to the peace process.
Acknowledging the sensitivity of the issue, U/S Burns also
urged Indonesia to do what it can to increase contact with
Israel.


15. (C) Ambassador Marsudi welcomed President Obama's
efforts on the Middle East Peace Process. She said that
Indonesia believed Israeli actions on settlements were
"counterproductive" but reaffirmed the GOI's support for a
two state solution. Indonesian officials continued to press
the Palestinian Authority to make every effort to work with
the United States in pursuit of a lasting settlement.


16. (U) U/S Burns cleared this message.

OSIUS