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Viewing cable 08SANTIAGO906, LATIN AMERICAN ARC OF PACIFIC COUNTRIES AFFIRM

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Reference ID Created Released Classification Origin
08SANTIAGO906 2008-10-09 12:42 2011-08-25 00:00 UNCLASSIFIED//FOR OFFICIAL USE ONLY Embassy Santiago
VZCZCXYZ0025
RR RUEHWEB

DE RUEHSG #0906/01 2831242
ZNR UUUUU ZZH
R 091242Z OCT 08
FM AMEMBASSY SANTIAGO
TO RUEHC/SECSTATE WASHDC 3791
INFO RUEHBJ/AMEMBASSY BEIJING 0258
RUEHBO/AMEMBASSY BOGOTA 2112
RUEHBY/AMEMBASSY CANBERRA 0149
RUEHGT/AMEMBASSY GUATEMALA 0343
RUEHPE/AMEMBASSY LIMA 5715
RUEHMU/AMEMBASSY MANAGUA 0129
RUEHME/AMEMBASSY MEXICO 1242
RUEHZP/AMEMBASSY PANAMA 0330
RUEHQT/AMEMBASSY QUITO 1928
RUEHSJ/AMEMBASSY SAN JOSE 0892
RUEHSN/AMEMBASSY SAN SALVADOR 0284
RUEHUL/AMEMBASSY SEOUL 0197
RUEHTG/AMEMBASSY TEGUCIGALPA 0158
RUEHKO/AMEMBASSY TOKYO 0256
UNCLAS SANTIAGO 000906 
 
SENSITIVE 
SIPDIS 
 
E.O. 12958: N/A 
TAGS: ECON ETRD PGOV PREL CI
SUBJECT: LATIN AMERICAN ARC OF PACIFIC COUNTRIES AFFIRM 
ASIAN AFFINITY 
 
REF: SANTIAGO 878 
 
------ 
Summary 
------- 
 
1. (U) The Fourth Ministerial of the Latin American Arc of 
the Pacific concluded October 3 with a reaffirmation that Arc 
countries should strengthen ties with Asian counterparts on 
the other side of the Pacific, so as to diversify opportunity 
and reduce risk "such as that represented by the current 
grave financial crisis." The "Declaration of Santiago" also 
welcomed further integration between Asian and Latin American 
economies.  Arc countries will work to promote a common image 
in order to attract potential investment to the region.   The 
Arc intends to institutionalize its work and will hold its 
next ministerial in Panama in March 2009.  Arc Chiefs of 
State will also meet on the margins of the upcoming 
Ibero-American Summit in El Salvador.  End summary. 
 
2. (U) E/Pol Counselor met October 7 with Andres Rebolledo, 
Director of the MFA's Office for Bilateral Economic Affairs. 
for a readout on the October 2-3 Fourth Ministerial meeting 
of the Latin American Arc of Pacific countries. Rebolledo had 
offered the meeting the previous week after a meeting to 
preview the Ministerial's objectives (reftel). 
 
-------------------- 
The Arc's Asian Tint 
-------------------- 
 
3. (U) Rebolledo said the meetings had been largely 
successful in introducing the Arc to Asian partners and 
giving it the "tinto" (color) that was intended to underpin 
the Arc's raison d'etre.  Ministerial participation (Foreign 
Ministers and Ministers of Trade/Commerce) from Arc countries 
had been at "sixty to seventy percent" and they had engaged 
in very useful discussions with Asian invitees (from Japan, 
China, Korea, and Australia).  Perhaps the most important 
accomplishment had been agreement to promote Arc countries as 
a "single entity" that could attract foreign investment to 
Latin America and its 580 million inhabitants.  To that end, 
the Arc had established a website (www.arcodelpacifico.org) 
which would be used to further regional integration and 
project a common image to Asian countries.  Rebolledo 
stressed that the Arc would coordinate closely with 
international financial and development organizations, such 
as the IDB and ECLAC, and draw on their expertise to further 
Arc goals. 
 
4. (U) Rebolledo also listed as a key accomplishment a 
proposed meeting of the Arc's Heads of State in El Salvador, 
on the margins of the October 2008 Ibero-American Summit; 
this meeting would provide impetus to the Arc's 
institutionalization.  The location and timing of the next 
Ministerials (Panama in March 2009 and Guatemala in early 
2010) had also been agreed.  Rebolledo emphasized that the 
Arc is intended to be an "open forum" for exchange of ideas. 
 
5. (U) E/Pol Counselor asked about press reports that FM 
Foxley had claimed that Doha Round failings - "caused 
principally by the U.S. and Europe" - had led Arc countries 
to seek alternative trade mechanisms.  Rebellodo said Foxley, 
whom he had been standing next to during his remarks to the 
press, had simply stated that Arc countries were joined in 
common interest to free trade and that (unnamed) countries 
"not interested" would be left behind.  Rebolledo also denied 
press reports that the U.S. had asked for observor status (it 
had not) and been denied. 
 
------- 
Comment 
------- 
 
6. (SBU) Originally proposed by Peru, the Arc has been 
vigorously promoted by Chile, consistent with Foxley's view 
 
that Chile's future - at least commercially - lies with Asia. 
 But careful to nod to President Bachelet's Latin American 
vocation, Foxley seems perfectly willing to bring along with 
him those Latin American countries who share his vision, even 
if it entails the establishment of another organization that 
duplicates some functions of existing groups such as APEC. 
Post will fax a copy of the Declaration of Santiago to 
WHA/BSC.   End comment. 
SIMONS