VZCZCXYZ0052
OO RUEHWEB

DE RUEHBU #2264/01 2791910
ZNR UUUUU ZZH
O 061910Z OCT 06
FM AMEMBASSY BUENOS AIRES
TO RUEHC/SECSTATE WASHDC IMMEDIATE 6129
INFO RHMFISS/CDR USSOCOM MACDILL AFB FL//SCJ2//
RULGPUA/USCOMSOLANT

UNCLAS BUENOS AIRES 002264 
 
SIPDIS 
 
STATE FOR INR/R/MR, I/GWHA, WHA, WHA/PDA, WHA/BSC, 
WHA/EPSC 
CDR USSOCOM FOR J-2 IAD/LAMA 
 
SIPDIS 
 
E.O. 12958: N/A 
TAGS: KPAO OPRC KMDR PREL MEDIA REACTION
SUBJECT: AUSTR EVERETT EISSENSTAT IN BUENOS AIRES; US/MEXICAN BORDER 
WALL; NORTH KOREA; 10/05/06;BUENOS AIRES 
 
 
¶1. SUMMARY STATEMENT 
 
Today's key international stories include yesterday's press round 
table with AUSTR Everett Eissenstat in the US Embassy in Buenos 
Aires. Business-financial "El Cronista" front-pages "US message - 
'Game rules should be honored to improve the business climate.'" 
 
Other international stories include the USG approval of the 
legislation to build a wall on the US-Mexican border; and the UN 
response to the threat posed by North Korea. 
 
¶2. OPINION PIECES 
 
- "The UN is divided about the threat posed by North Korea" 
 
Daily-of-record "La Nacion" reports (10/05) "The UN Security Council 
attempted to solve its disagreement on how to respond to North 
Korea's announcement of a nuclear test, but while the US asked for a 
tough 'strategic response,' China asked for cautiousness. 
 
"US Ambassador to the UN John Bolton said that 'there is 
disagreement on this point,' after the private meeting in which 
Pyongyang's announcement was discussed. Bolton spoke shortly after 
his British counterpart, Emyr Jones Parry, said that all of the UN 
Security Council members had expressed concern over the North Korean 
threat and had decided to let experts draft a 'strategic 
response.'" 
 
- "Bush approved legislation to build a wall on the US-Mexican 
border" 
 
Leonardo Mindez, on special assignment in Washington for leading 
"Clarin," writes (10/05) "Ignoring the last-minute request from 
Mexican President Vicente Fox, George W. Bush signed yesterday the 
legislation to build a wall on the US-Mexican border and install 
infra-red radars, sensors and security cameras in an attempt to put 
a brake on the waves of immigrants to the US. 
 
"On the one hand, it represents the failure of his goal of 
implementing an 'overall immigration reform' for which he pressured 
the US Congress during the year, and which should include a program 
of temporary workers and some solution for the 12 million 
undocumented immigrants living in the US. 
 
"But, at the same time..., Bush was able to satisfy the most 
conservative sectors, which had claimed for some reinforcement on 
the border and tough treatment of illegal immigrants. And this is 
not unimportant, one month before elections." 
 
- The US seeks to reach a deal with Argentina along the lines of the 
US-Uruguayan deal" 
 
Silvia Naishtat, columnist of leading "Clarin," writes (10/05) 
"Everett Eissenstat, the head of the USTR for the Americas, said 
yesterday that 'there are 450 US corporations in Argentina that 
employ 155,000 Argentines.' 'You are the second destination of US 
investment after Brazil. You should not have doubts about this - it 
is an important relationship.' 
 
"In this way, the USG official attempted to downplay the possible 
removal of Argentina from the GSP... 
 
"... Eissenstat and his staff have arrived from Montevideo, where 
they are speeding up the process to sign an ambitious Trade and 
Investment Treaty in 30 days. Eissenstat pointed out to a group of 
journalists that the US would wish 'to sign a similar deal with 
Argentina.' 
 
"Asked whether this would be incompatible with Mercosur, Eissenstat 
said 'Mercosur partners should answer this question. It is a deal 
similar to the one Argentina has 
with the US on investment protection, although it is more advanced 
and it allows for strengthening trade and helping countries' 
growth." 
 
- "The US asks for clear rules in some sectors" 
 
Daily-of-record "La Nacion" reports (10/05) "AUSTR for Latin America 
Everett Eissenstat took his trip to Uruguay to launch negotiations 
for a Trade Investment Framework Agreement and visited Buenos Aires 
yesterday. 
 
"Here, he echoed the demand from US corporations and warned that 'if 
companies invest it is because they are satisfied with the rules of 
the game, and if they are not investing in the economy or some 
special sector, it means that they are not satisfied with them.' 
Last month, the US Department of Treasury warned about the Argentine 
 
energy situation. 
 
"Eissenstat met with members of the American Chamber in Argentina. 
'There is a deep interest to obtain a strong economy in the long 
term, a sound investment climate and certainty in game rules. It is 
not our place to say that Argentine rules of the game are good or 
bad. The answer lies in how business is done.' 
 
"Eissenstat not only hinted implied criticism, but he also 
emphasized the dialogue he had with Argentine Secretary for 
International Economic Relations Alfredo Chiaradia on the GSP 
review... He admitted that US corporations could be impaired due to 
the measure, which is aimed at favoring the poorest countries. 'When 
tariffs on imports are raised, some companies' interests are 
affected because they have to pay higher prices for inputs.'" 
 
- "The US asks Argentina to abide by ICSID rulings" 
 
Sergio Serrichio, columnist of business-financial "El Cronista," 
writes (10/05) "The USG reiterated his message on the need for a 
good investment climate for US corporations in Argentina, and it 
warned it expects the country to abide by the rulings of the 
International Center for the Settlement of Disputes (ICSID), even if 
they do not please the Kirchner administration. 
 
"Everett Eissenstat, in charge of Latin America at the USTR, said 
that 'when there are pre-established rules and a particular result 
comes up, regardless of whether we like it or not, it makes sense to 
respect that result. Otherwise, rules do not have much meaning.' 
 
"Eissenstat said his meeting with Secretary for International 
Economic Negotiations at the Argentine Foreign Minister, Alfredo 
Chiaradia was 'very good,' in which they spoke about the GSP 
review... 
 
"... Eissenstat's visit to Uruguay was marked by the launching of 
the Trade Investment Framework Agreement and the ratification of a 
Bilateral Investment Treaty between the two countries. The USG 
official did not say whether an eventual TIFA with Uruguay is 
compatible with Mercosur. 'It is something Mercosur should respond 
to.'" 
 
To see more Buenos Aires reporting, visit our 
classified website at: 
http://www.state.sqov.gov/p/wha/buenosaires 
 
MATERA