VZCZCXRO3295
RR RUEHCHI RUEHDT RUEHHM RUEHNH
DE RUEHGP #0060/01 0160909
ZNR UUUUU ZZH
R 160909Z JAN 08
FM AMEMBASSY SINGAPORE
TO RUEHC/SECSTATE WASHDC 4736
INFO RUCNASE/ASEAN MEMBER COLLECTIVE
RUEHBJ/AMEMBASSY BEIJING 2720
RUEHBY/AMEMBASSY CANBERRA 2096
RUEHIL/AMEMBASSY ISLAMABAD 0798
RUEHLO/AMEMBASSY LONDON 0511
RUEHMS/AMEMBASSY MUSCAT 0011
RUEHUL/AMEMBASSY SEOUL 4188
RUEHTG/AMEMBASSY TEGUCIGALPA 0024
RUEHWL/AMEMBASSY WELLINGTON 1418
RUEHHK/AMCONSUL HONG KONG 6324
RUEHGH/AMCONSUL SHANGHAI 0088
RHMCSUU/DEPT OF ENERGY WASHINGTON DC
RUCPDOC/DEPT OF COMMERCE WASHDC
RUEAHLC/DEPT OF HOMELAND SECURITY CENTER WASHINGTON DC
RULSDMK/DEPT OF TRANSPORTATION WASHDC
RUEAORC/US CUSTOMS AND BORDER PROTECTION WASHINGTON DC//INA//

UNCLAS SECTION 01 OF 03 SINGAPORE 000060 
 
SIPDIS 
 
SENSITIVE 
SIPDIS 
 
H FOR CODEL CLYBURN 
 
E.O. 12958: N/A 
TAGS: EWWT ETTC ECON ETRD SN
SUBJECT: CODEL CLYBURN HEARS 100-PERCENT SCANNING CONCERNS 
FROM GOS OFFICIALS 
 
REF: A. 06 SINGAPORE 2150 
     ¶B. 06 SINGAPORE 2205 
 
SINGAPORE 00000060  001.2 OF 003 
 
 
¶1.  (SBU) Summary:  Singapore officials told a Congressional 
delegation led by Rep. James E. Clyburn (D-SC) that new U.S. 
legislation requiring 100-percent scanning of U.S.-bound 
cargo could potentially disrupt Singapore's port operations 
and global trade.  They noted the lack of available 
technologies to efficiently scan cargo.  Combined with 
unknown cost and liability implications, this latest port 
security initiative could "nullify risk-based approaches" 
like CSI and C-TPAT that also play a valuable role, and 
"total supply chain security," which Singapore favors.  Rep. 
Clyburn said that Congress was sensitive to the cost and 
trade implications of 100-percent scanning, but that it felt 
it must also address a major vulnerability in our homeland 
defense.  Chairman of the Homeland Security Committee Rep. 
Bennie Thompson (D-MS) acknowledged there may be a need to 
"tweak" our efforts as it becomes clear what approaches are 
most effective.  Rep. Zach Wamp (R-TN) expressed his 
assurances that Congress could provide incentives for 
partners like Singapore that implemented strong port security 
measures.  During a separate lunch at the Istana, Prime 
Minister Lee agreed with Codel members that China could do 
more to improve human rights and religious freedom, and to 
tackle problems such as pollution and inadequate protection 
of intellectual property, but that overall progress would be 
slow.  End summary. 
 
¶2.  (U) Rep. Clyburn led a six-member Congressional 
delegation to Singapore January 8-9.  In addition to Rep. 
Thompson and Rep. Wamp, he was accompanied by Rep. Ed Pastor 
(D-AZ), Rep. Henry Brown (R-SC), and Rep. G. K. Butterfield 
(D-NC).  During a half-day of meetings, the Codel attended a 
lunch hosted by Prime Minister LEE Hsien Loong, along with 
Deputy Prime Minister S. Jayakumar, Foreign Minister George 
Yeo, and Minister for Trade and Industry LIM Hng Kiang.  The 
Codel, together with Minister for Transport Raymond Lim, also 
visited Singapore's port facilities. 
 
Support for U.S. Port Security Initiatives 
------------------------------------------ 
 
¶3.  (SBU) A Singapore government interagency team led by 
Ministry of Transport (MOT) Permanent Secretary CHOI Shing 
Kwok briefed Codel Clyburn on Singapore's port operations and 
its efforts and approach on port security.  Choi explained 
that he was conducting the briefing in his capacity as the 
chairman of an interagency committee on Total Supply Chain 
(TSC) Security, which is Singapore's preferred approach to 
ensuring the security of container shipping globally.  He 
emphasized that Singapore shares USG concerns about ensuring 
the security of container traffic, and thus had become an 
early participant in U.S. programs, including the Container 
Security Initiative (CSI), the Customs-Trade Partnership 
Against Terrorism (C-TPAT), the Megaports Initiative, and the 
Secure Freight Initiative (SFI), which is slated for 
implementation in mid 2008. 
 
But Concerns About 100-Percent Scanning 
--------------------------------------- 
 
¶4.  (SBU) Choi and other GOS officials in the briefing 
expressed concern about new U.S. legislation requiring 
100-percent scanning of U.S.-bound cargo by July 2012 on 
ports such as Singapore and on global trade.  They explained 
that Singapore's status as the world's busiest container port 
was due to its efficiency, that it operates in a highly 
competitive environment, and that more than 80 percent of its 
traffic is transshipped cargo.  There is currently no 
technology that can efficiently scan transshipped cargo, they 
observed.  Singapore's concerns with 100-percent scanning 
 
SINGAPORE 00000060  002.2 OF 003 
 
 
include its likely disruption of transshipped cargo handling, 
its cost and liability implications, the fact that pilot 
programs to assess the likely effect, including SFI, have not 
been completed, and that it "nullifies risk-based approaches" 
like CSI and C-TPAT. 
 
Don't Neglect Risk-Based Approaches 
----------------------------------- 
 
¶5.  (SBU) Choi emphasized Singapore's preference for 
risk-based approaches, in which stakeholders all along the 
supply chain are held responsible for ensuring security. 
Advantages of such an approach include reinforcing the need 
for security at every "node" and less duplication of effort. 
Suppliers that enforce strong security measures and standards 
and who establish a good track record are rewarded with 
expedited handling of shipments.  Choi described various 
Singapore initiatives, including the Secure Trade Partnership 
(e.g., C-TPAT) and its sponsorship of a Trade Recovery 
Program (TRP) within APEC to deal with the aftermath of a 
major terrorist attack.  Comparing disadvantages, he said 
risk-based approaches require more international coordination 
to build the necessary "networks," while 100-percent scanning 
requires the development of expensive technologies whose 
effectiveness is not always known.  He urged that Congress 
recognize both approaches as legitimate means to achieve the 
same goal. 
 
Incentives and Integration Needed 
--------------------------------- 
 
¶6.  (SBU) Singapore Ambassador to the United States Chan Heng 
Chee urged the Codel to provide incentives for those who sign 
on to U.S. initiatives.  She noted that those who signed on 
to CSI were supposed to have benefited from access to customs 
"green lanes" in U.S. ports, but that this type of "reward" 
had never been implemented. Ambassador and Special Consultant 
Mary Seet-Cheng called for better reconciliation of various 
USG port security programs, noting that the lack of 
integration created confusion and additional costs. 
 
100-Percent Scanning Essential 
------------------------------ 
 
¶7.  (SBU) Rep. Clyburn thanked Choi for Singapore's strong 
cooperation on port security and for the comprehensive 
briefing on its complex port operations.  As Chairman of the 
Homeland Security Committee, Rep. Thompson provided 
background on HB1, which included the 100-percent scanning 
provision.  He said Congress was sensitive to the cost and 
trade implications of 100-percent scanning and the need to 
develop better technologies.  At the same time, Congress felt 
it had to address a major vulnerability in our homeland 
defense.  Rep. Thompson noted that if terrorists exploited 
this vulnerability to launch a dirty bomb attack, for 
example, the economic fallout would be dramatic and the 
public reaction would radically "compress" the July 2012 
deadline.  He thanked Singapore for its strong cooperation 
and acknowledged there may be a need to "tweak" our efforts 
as it becomes clear what approaches are most effective. 
Underscoring his concern about a nuclear event, Rep. Wamp 
said 100-scanning was essential.  In addition, it was 
relatively easy for Congress to provide incentives for 
partners such as Singapore that implemented strong port 
security measures. 
 
¶8.  (SBU) Minister of Transport Raymond Lim joined at the end 
of the briefing and then led the Codel on a tour of 
Singapore's Pasir Panjang Terminal, including the Megaports 
and CSI scanning operations. 
 
Lunch with Prime Minister Lee 
 
SINGAPORE 00000060  003.2 OF 003 
 
 
----------------------------- 
 
¶9.  (SBU) At a lunch that Prime Minister Lee hosted for the 
Codel, the PM observed that China had benefited enormously 
from opening up its economy since the late 1970s and that 
increasing free trade would eventually lead to a freer 
society as well.  He agreed with Rep. Wamp that China needed 
to do more to promote human rights and religious freedom, and 
to grapple with growing problems such as environmental 
degradation and rampant disregard for intellectual property 
rights.  However, improvements in these and other areas would 
take time.  Without free trade, China would be much bigger 
headache today.  China will move forward whether or not the 
United States helps it, PM Lee concluded. 
 
¶10.  (U) Codel Clyburn did not have an opportunity to clear 
this message. 
 
Visit Embassy Singapore's Classified website: 
http://www.state.sgov.gov/p/eap/singapore/ind ex.cfm 
SHIELDS