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C O N F I D E N T I A L KATHMANDU 002619 
 
SIPDIS 
 
SIPDIS 
 
E.O. 12958: DECL: 09/24/2016 
TAGS: PGOV PTER CX NP
SUBJECT: CHINESE AMBASSADOR WORRIED ABOUT THE MAOISTS 
 
REF: KATHMANDU 2491 
 
Classified By: Ambassador James F. Moriarty.  Reasons 1.4 (b/d). 
 
Summary 
------- 
 
¶1. (C) In a meeting with the Ambassador September 26, Chinese 
Ambassador Sun denied that China supported the entry of the 
Maoists with their arms into an interim Nepali government. 
To the contrary, the PRC still had a Maoist no-contact policy 
in place.  Sun stated that China's key interest in Nepal was 
stability.  Sun agreed that the Government of Nepal had the 
power to crack down on the Maoists.  He expressed 
discouragement, however, that the fractious governing 
coalition would manage the peace process and the Maoists 
successfully. 
 
Chinese Ambassador Denies Reports of a Thaw 
------------------------------------------- 
 
¶2. (C) The Ambassador met September 26 with his Chinese 
counterpart Sun Heping to determine the veracity of claims by 
journalists that local Chinese diplomats were speaking out in 
favor of the entry of the Communist Party of Nepal (Maoist) 
(CPN-M) into an interim government with their weapons. 
Ambassador Sun categorically denied the allegations. That was 
not China's position at all, he said.  The PRC, he noted, 
continued to have great concerns about the so-called 
"Maoists."  He reiterated his message from previous meetings 
that neither Beijing nor his Embassy had approved the 
contacts in Nepal in June 2006 by a retired Chinese Academy 
of Sciences member with senior CPN-M leaders.  The PRC, in 
fact, continued to have a no-contact policy with the CPN-M. 
He had been unpleasantly surprised the previous week at a 
Nepal-China Society event to discover that the organizers had 
invited several senior Maoist leaders to the event.  He told 
the Ambassador he left early.  He acknowledged, however, that 
members of his staff had met with low-level Maoists in an 
attempt to get Chinese-funded construction projects moving. 
 
Key Issue Is Stability 
---------------------- 
 
¶3. (C) Sun remarked that the PRC's key goal for Nepal was 
stability.  To that end, what was most important was the 
unity of the Seven-Party Alliance (SPA) government.  The 
Ambassador responded that we also constantly stressed that 
same message in our meetings with SPA leaders.  The Chinese 
Ambassador admitted that he feared the parties would not 
overcome their constant partisan bickering.  Meanwhile, the 
law and order situation had deteriorated as the CPN-M ramped 
up its threats and extortion.  Sun agreed with the Ambassador 
that the GON had the power to crack down on the Maoists.  It 
was a matter of will. 
 
Maoist Actions Worrying 
----------------------- 
 
¶4. (C) The Chinese Ambassador cited the example of the 
nationwide strike the CPN-M declared on September 13 (reftel) 
as one example of the Maoist threat to stability. It was, in 
his view, partly a practice run for the Maoists.  The CPN-M 
did not appear ready at that time to try to take over, but he 
did not disagree when the Ambassador expressed concern that 
the Maoists might attempt to do so soon.  A Maoist takeover, 
the Ambassador stressed, would create a humanitarian tragedy 
and destabilize the entire region.  Sun added that the 
Maoists enjoyed the support of a significant number of Nepali 
workers to whom they had promised the moon. 
 
Comment 
------- 
 
¶5. (C) In his September 26 meeting, Ambassador Sun appeared 
more concerned than in the past about the threat the Maoists 
posed to the peace process and the Government of Nepal.  He 
even seemed to share to some degree our frustration that the 
GON has thus far refused to employ its law enforcement 
capacities to crack down on Maoist abuses.  His government's 
true intentions, however, remain unclear.  According to an 
Emboff who was present at the Nepal-China Society event, 
Ambassador Sun did indeed leave early, apparently because of 
the presence of the CPN-M invitees.  On the other hand, Sun's 
subordinates chose to remain and eagerly interacted with the 
Maoist guests.  With these apparent contradictions in mind, 
we will continue our efforts to keep the Chinese on board 
with a hard line on Maoist arms. 
MORIARTY