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Viewing cable 06BEIJING19032, CHINA-EU SUMMIT: HEAVY ON DIALOGUE, LIGHT ON

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Reference ID Created Released Classification Origin
06BEIJING19032 2006-09-08 10:35 2011-04-24 00:00 CONFIDENTIAL Embassy Beijing
VZCZCXRO4875
OO RUEHAG RUEHCN RUEHGH RUEHVC
DE RUEHBJ #9032/01 2511035
ZNY CCCCC ZZH
O 081035Z SEP 06
FM AMEMBASSY BEIJING
TO RUEHC/SECSTATE WASHDC IMMEDIATE 6452
INFO RUEHOO/CHINA POSTS COLLECTIVE
RUCNMEU/EU INTEREST COLLECTIVE
RUCNMEM/EU MEMBER STATES COLLECTIVE
RUEHTA/AMEMBASSY DUSHANBE
RUEHUL/AMEMBASSY SEOUL 9510
RUEHKO/AMEMBASSY TOKYO 0849
C O N F I D E N T I A L SECTION 01 OF 02 BEIJING 019032 
 
SIPDIS 
 
SIPDIS 
 
E.O. 12958: DECL: 09/07/2016 
TAGS: EU FI PREL CH
SUBJECT: CHINA-EU SUMMIT: HEAVY ON DIALOGUE, LIGHT ON 
DELIVERABLES 
 
REF: A. BRUSSELS 2815 
 
     B. HELSINKI 870 
 
Classified By: Deputy Political Section Chief Robert Griffiths, Reasons 
 1.4 (b/d). 
 
Summary 
------- 
 
1. (C) Neither the Chinese nor EU member states expect much 
in the way of deliverables from the Ninth Annual EU-China 
Summit in Helsinki, September 9-12.  Wen Jiabao will 
represent China at the Summit, hosted by current EU President 
Finland, with the stated purpose of increasing dialogue and 
strengthening ties between the EU and China.  Wen will 
deliver the keynote address at the EU-China Business Summit 
on September 11.  The sixth annual Asia Europe Meeting (ASEM) 
focusing on trade and business development will be held 
concurrently, from September 10-11.  After the Summit, Wen 
will travel to Germany and the UK, September 13-15, ending 
his trip in Tajikistan for the Shanghai Cooperation 
Organization (SCO) meeting.  Contacts at the EU Mission and 
the Finnish, German and U.K. Embassies in Beijing said they 
did not expect the EU Arms Embargo to be an issue.  Beijing 
will likely raise the issue of lifting the Embargo, but as 
there is no consensus within the EU on the topic, no movement 
is contemplated.  Wen will also likely press for the EU to 
grant Market Economy status to China, but no one, not even 
the Chinese, expect movement on that issue either, according 
to Embassy Beijing contacts. End Summary. 
 
The Agenda 
---------- 
 
2. (C) The Chinese delegation, led by Wen Jiabao, and 
including Foreign Minister Li Zhaoxing, Minister of the 
National Development and Reform Commission Ma Ka and Commerce 
Minister Bo Xilai, will attend the EU-China Political Summit 
September 9, the EU-China Business Summit September 11-12 and 
ASEM meetings September 10-11.  The EU-China Political Summit 
will be hosted by the Prime Minister of Finland Matti 
Vanhanen and President of the European Commission, Jose 
Manuel Barroso. Concurrently, Helsinki will host the 
EU-Republic of Korea Summit which ROK President Roh Moo-hyun 
will attend.  The ASEM Summit will begin on September 10, 
bringing together European and Asian Heads of States from 
member states of the European Union, the ten ASEAN countries, 
China, Japan and the Republic of Korea.  On September 11, Wen 
will deliver the Keynote Address at the EU-China Business 
Summit.  The Chairman of the China Council for the Promotion 
of International Trade (CCPIT), Wan Jifei, and the Chairman 
of Vimicro Corporation, Dr. Deng Zhonghan, will also attend 
and speak at the EU-China Business summit on September 11. Bo 
Xilai will also speak at this event.  Wen will depart 
Helsinki on September 12 and travel to London and Berlin for 
bi-lateral meetings, ending his trip in Dushanbe for the SCO 
meeting. 
 
ASEM 
---- 
 
3. (C) This year's ASEM meeting will be the largest ever, 
comprising 39 heads of state, according to the DCM of the 
Finnish Embassy in Beijing.  The Korean and Indonesian 
Presidents will attend, as well as Prime Minister Koizumi of 
Japan.  There will be no meetings between Koizumi and Premier 
Wen, according to all sources consulted.  Given the Yasakuni 
Shrine issue and the fact that Koizumi is "on his way out" 
Beijing does not see a meeting with Japan as worthwhile at 
this point, according to Wu Baiyi of the China Foundation for 
International and Strategic Studies. Wen will meet likly 
meet with ROK President Roh, accordng to the Fins.  Helsinki 
invited Burma to attend the ASEM meetings, subjecting the EU 
to some criticism from human rights organizations including 
Human Rights Watch. 
 
No Movement Expected on Arms Embargo 
------------------------------------ 
 
4. (C)  Beijing may be waiting for a more opportune moment to 
push the EU to lift the arms embargo, speculated Wu.  Noting 
that Finland is not a big country and that this year's summit 
is more about creating good will and enhancing trade and 
business cooperation than advancing political agendas, Wu 
said he was fairly confident that Beijing would raise the 
issues of the arms embargo and of China's market economy 
 
BEIJING 00019032  002 OF 002 
 
 
status, but would not push too hard.  His sentiments were 
echoed by a contact at the UK Embassy who noted that Finland 
does not have the clout to actively engage with China on a 
wide range of issues.  Despite recent statements in the press 
from high level Chinese officials calling on the EU to scrap 
the arms ban, notably the September 7 press briefing by Li 
Ruiyu, deputy head of the MFA European department, all of 
Embassy Beijing's contacts, both European and Chinese, have 
said they expect no movement on either issue. 
 
GALILEO Also Stalled 
-------------------- 
 
5. (C) There will likewise be little progress made on the 
Galileo satellite program cooperation with China, according 
to a contact from the EU Mission in Beijing.  Progress is 
stalled by a variety of technical and political issues and 
none will be resolved either at or before the Summit.  The 
Finnish DCM in Beijing echoed these sentiments. 
 
Discussion But No Deliverables 
------------------------------ 
 
6. (C) The Political Summit will cover a wide variety of 
issues, with a focus on dialogue and enhancing understanding 
and cooperation, according the Fins.  The Fins, Brits, 
Germans and EU representative all said the same thing: the 
focus of the Summit is dialogue, not deliverables, although 
several trade deals will be signed during the visit.  The 
Summit agenda includes trade policy, environmental issues, 
key regional and international issues, energy security, human 
rights and China's market economy status.  When asked if the 
German EU Presidency might present the right opportunity for 
renewed pressure from Beijing to lift the arms embargo, Wu 
would not speculate.  One contact at the UK Embassy in 
Beijing similarly noted that as Finland is a small country, 
EU engagement with China at this summit cannot be expected to 
be as deep as when countries like Germany fill the 
presidency. 
RANDT