VZCZCXRO3846
RR RUEHCHI RUEHDT RUEHHM RUEHNH
DE RUEHGP #2150/01 3390636
ZNR UUUUU ZZH
R 050636Z DEC 07
FM AMEMBASSY SINGAPORE
TO RUEHC/SECSTATE WASHDC 4537
INFO RUCNASE/ASEAN MEMBER COLLECTIVE
RUEHHK/AMCONSUL HONG KONG 6292
RUEHGH/AMCONSUL SHANGHAI 0083
RUEHIN/AIT TAIPEI 6420
RULSDMK/DEPT OF TRANSPORTATION WASHDC
RUEAHLC/DEPT OF HOMELAND SECURITY CENTER WASHINGTON DC

UNCLAS SECTION 01 OF 02 SINGAPORE 002150 
 
SIPDIS 
 
SENSITIVE 
SIPDIS 
 
E.O. 12958: N/A 
TAGS: ETRD EWWT ETTC PTER ECON USTR SN
SUBJECT: 100-PERCENT SCANNING "UNWORKABLE," SAYS SINGAPORE 
 
REF: A. SINGAPORE 1612 
 
     ¶B. STATE 108528 
     ¶C. STATE 119837 
 
SINGAPORE 00002150  001.2 OF 002 
 
 
¶1.  (SBU) Summary:  The Singapore government remains opposed 
to the "100-percent" scanning provision of the 9/11 Act, 
calling it "unworkable" in its current form.  Senior GOS 
officials have urged in meetings, formal letters, and public 
fora that the USG reconsider the legislation. 
Singapore-based business representatives appear less 
concerned about the new requirements, but have told us they 
have their doubts about implementation.  End summary. 
 
GOS Gives Thumbs Down to 100-Percent Scanning 
--------------------------------------------- 
 
¶2.  (SBU) GOS reaction to the new 100-percent legislation has 
been unenthusiastic.  In an August 2007 letter to Secretary 
Chertoff, Transportation Minister Raymond Lim noted "serious 
concerns about the significant negative impact" the law would 
have on trade efficiency (ref A).  Lim highlighted three 
points, excerpted below: 
 
1) A 100-percent scanning feasibility study (under the Secure 
Freight Initiative) has not yet commenced.  Therefore, the 
United States and other countries do not have an appreciation 
for the types of problems that could arise. 
 
2) The new requirements will result in higher costs for U.S. 
consumers. 
 
3) Current technology will not allow for an effective 
assessment of the data generated by the project. 
 
Lim also outlined several technical concerns related to costs 
and duplication of data collection. 
 
¶3.  (SBU) Singapore's Ambassador to Washington Chan Heng Chee 
called the legislation "unworkable" in a July meeting with 
A/S Sullivan (ref B).  She noted that a pilot program in Hong 
Kong had failed to produce "usable results."  Singapore is a 
participant is several USG security initiatives, but does not 
seem to receive any tangible benefits for its compliance, she 
said.  Modern Singapore's founding father and senior 
statesmen, Lee Kuan Yew, has also made disparaging remarks in 
public about the legislation. 
 
The View from the Private Sector 
-------------------------------- 
 
¶4.  (SBU) Econoffs met recently with more than a dozen 
members of the American Chamber of Commerce's Manufacturing 
and Supply Chain Committee to discuss the new legislation. 
Approximately half of the attendees professed to have no 
prior knowledge of the new requirements.  Among the companies 
represented were PricewaterhouseCoopers, Hewlett-Packard, 
Kodak, and Maersk Shipping lines. 
 
¶5.  (SBU) AmCham members seemed less negative than the GOS 
about the legislation's effect on their businesses, but 
raised several questions.  Issues related to data processing 
and standards generated the most concern.  Like the GOS, they 
doubted the USG's ability to extract meaningful information 
from the voluminous data that 100-percent scanning will 
produce.  They also questioned how the USG would go about 
setting standards and definitions to ensure consistency in 
the implementation process.  In particular, the participants 
wondered if DHS would impose the same technology requirements 
on every port in the world.  If not, would it harmonize the 
data collected from different machines in different 
locations?  AmCham representatives urged the USG to engage in 
extensive trials before implementation to ensure that systems 
and operating plans were in place that will maximize 
flexibility and minimize failure rates. 
 
Comment 
------- 
 
¶6.  (SBU) The GOS will continue to resist the 100-percent 
scanning legislation requirements in the hopes they will "go 
away."  If the requirements are maintained, we expect the GOS 
will seek compliance exceptions that would enable it to delay 
implementation beyond 2012 (per the provisions of the 9/11 
Act.)  Singapore has been a willing partner in programs such 
as the Container Security Initiative (CSI) and Megaports, and 
we are currently negotiating the launch of a Secure Freight 
 
SINGAPORE 00002150  002.2 OF 002 
 
 
Initiative (SFI) pilot here.  However, Singapore complains 
that we do not always follow up on representations made in 
connection with earlier initiatives (e.g., access to customs 
"green lanes" under CSI) even as we impose new expectations 
and requirements.  The possible negative repercussions of 
100-percent scanning to the port of Singapore's bottom line 
appear to be the main cause of GOS concern. 
 
Visit Embassy Singapore's Classified website: 
http://www.state.sgov.gov/p/eap/singapore/ind ex.cfm 
HERBOLD