VZCZCXRO1950 
RR RUEHLN RUEHPOD RUEHVK RUEHYG 
DE RUEHMO #1599/01 1571119 
ZNR UUUUU ZZH 
R 051119Z JUN 08 
FM AMEMBASSY MOSCOW 
TO RUEHC/SECSTATE WASHDC 8425 
INFO RUEHXD/MOSCOW POLITICAL COLLECTIVE 
RHEHNSC/NSC WASHDC

UNCLAS SECTION 01 OF 06 MOSCOW 001599 
 
SENSITIVE 
SIPDIS 
 
E.O. 12958: N/A 
TAGS: MCAP PGOV PINS PREL PROP
SUBJECT: PRESIDENT MEDVEDEV'S VISIT TO CHINA 
 
REF: Moscow 1430 
 
¶1. (SBU) Summary. President Medvedev's visit to China on May 23-24 
is seen as confirmation of Russia's desire to project a new foreign 
policy focus towards other major partners, such as China. At the 
same time, Putin's visit to Paris (septel) and Medvedev's upcoming 
trip to Berlin ensure that Russia maintains its traditional ties to 
the West, especially on economic and trade matters. In China, 
Medvedev and Hu Jintao issued a Joint Statement on International 
Policy (text at para 13), highlighting both countries' support for 
"a multi-polar world order and the non-interference in internal 
affairs" of other countries, and their agreement to strengthen 
cooperation on a wide-range of foreign policy issues, energy, and 
trade. The MFA highlighted energy as the most important issue of 
discussion, and noted that both countries shared similar concerns 
over global missile defense efforts. Experts saw the visit as more 
symbolic than substantive, designed to emphasize Russia's global 
reach. End summary. 
 
----------------------------- 
MFA Highlights Eastward Focus 
----------------------------- 
 
¶2. (SBU) At a briefing for the Diplomatic Corps on May 29, Evgeniy 
Timokhin, Deputy Director of the First Asia Department, stressed 
that Medvedev decided to visit China early, in order to expand the 
already strong links established under President Putin, and to 
confirm Russia's increasing focus on China as a foreign policy 
partner. According to Timokhin, Russia-China relations have 
undergone less a transformation than a "normal progression" in 
relations. The visit took place in the backdrop of the earthquake, 
which contributed to its "emotional" nature. The GOR offered China 
12 planes and 12 heavy helicopters' worth of humanitarian aid. 
 
¶3. (SBU) Timokhin stressed that Russia-China relations rest on 
security, territorial integrity and sovereignty. The GOR supported 
China's position on Taiwan in various international fora including 
in the UNSC. Both countries had to deal with international security 
issues precipitated by the rise of terrorism and extremism. In 
addition, both countries shared similar concerns on the subject of 
U.S. placement of a missile defense system in Europe. Timokhin also 
mentioned that Russia had extended clear support to China for the 
2008 Olympic Games. 
 
----------------------------------- 
Significance of the Joint Statement 
----------------------------------- 
 
¶4. (SBU) During the visit, the two presidents signed a Joint 
Statement on international policy, stressing strategic cooperation 
and highlighting the similarity in the foreign policy approach of 
both countries (summary at para 12; text at para 13). According to 
Timokhin, Russia and China have not experienced serious political 
tensions, and benefit from a structure of yearly consultations, but 
both countries were interested in producing more tangible results. 
The two sides also signed several documents calling for "practical" 
cooperation on counterterrorism, nuclear energy, technology, 
aviation, and banking. 
 
¶5. (SBU) Timokhin stressed that one of the central elements in the 
Joint Statement lies in its human aspect, which stressed the need to 
cooperate in media, education, health and other sectors of society. 
During his speech at Peking University, Medvedev stressed expanding 
cooperation in cultural, educational, and technical spheres. 
Furthermore, the people-to-people project consisting of Russian and 
Chinese themed years was judged a success and would hold a prominent 
place in Russia-China relations for the future. In 2009, the 
emphasis would be placed on the Russian language in China and in 
2010 that emphasis would be placed on the Chinese language in 
Russia. 
 
--------------- 
Missile Defense 
--------------- 
 
¶6. (SBU) Capturing most of the press attention was the Joint 
Statement's unease about "expanding military political alliances, 
which should not be established at the expense of the security of 
others [nations]." The statement charged that the establishment of 
a global missile defense system was "not conducive to the 
maintenance of strategic balance and stability, to the efforts on 
international arms control and non-proliferation, as well as to 
mutual trust between nations and to regional stability." Timokhin 
said there had been little detailed discussion between Russia and 
China on missile defense, and the two countries would bring their 
experts together to continue working on the subject. Timokhin 
reiterated that MD was a serious concern to China because of Taiwan. 
 
 
--------------- 
Energy Security 
--------------- 
 
¶7. (SBU) President Medvedev's visit to Kazakhstan and then to China 
broke no new ground on the oil and gas relationship amongst these 
three countries. Russia's overtures to China have largely been a 
reaction to China's recent activism in Central Asian energy. 
Russia has a number of oil and gas projects in Eastern Siberia with 
the Chinese market in mind. Gazprom plans to build two pipelines 
that will deliver natural gas to China. Plans to build an offshoot 
from the East Siberian Pacific Ocean oil pipeline to the Chinese 
city of Daistin have been on hold over disagreement on pricing for 
the oil. Timokhin said energy issues were at the top of Medvedev's 
agenda in China, but much of the energy discussion concerned joint 
nuclear energy projects. According to the Moscow Times a business 
deal was reached to build and supply a "uranium-enrichment plant in 
China worth more than $1 billion." 
 
---------------------------- 
Russia-China Trade Relations 
---------------------------- 
 
¶8. (SBU) Russian statistics place bilateral trade at $41 billion, 
with Chinese figures positing $48 billion. In 2007 China was 
Russia's third largest trading partner and both countries estimate 
that trade will reach $60 billion by 2010. Russia's main trade 
concern is that China's growth in exports is significantly higher 
than that of Russia's. Russia's greatest concern stems from the 
structure of the bilateral trade, with Russia providing raw 
materials in exchange for Chinese finished products. Timokhin 
stated that 70% of China's needs are met with Russia's raw 
materials. 
 
------------------ 
Arms Sales and IPR 
------------------ 
 
¶9. (SBU) Experts focused on the absence of any big ticket military 
orders for 2008, with Russian concerns over Chinese IPR violations 
topping the arms sales agenda. While Timokhin stated that the 
actual problem was "exaggerated and sensationalized" with 
consultations in progress, he acknowledged that the issue of 
intellectual property rights was a difficult one. In particular, he 
mentioned that in 1996 Russia and China signed an agreement 
protecting property rights, which was not "solidified." 
 
--------------------------------------- 
Medvedev Visits Other Chinese Officials 
--------------------------------------- 
 
¶10. (U) Aside from meeting with President Hu Jintao, Medvedev also 
met with China's vice president, the head of China's Parliament, and 
gave a speech at Beijing University. Timokhin noted that the 
premiers of both countries meet on a yearly basis; the last meeting 
of this kind took place in November 2007. The next visit is 
expected to take place in Moscow in the fall. 
 
--------------------------------------------- - 
Experts See Visit as Symbolic, Not Substantive 
--------------------------------------------- - 
 
¶11. (SBU) Experts saw the visit as containing little of substance, 
but important symbolically. Most characterized it as a "propaganda 
trip" and to show the West that Russia had other friends it could 
turn to. Aleksandr Golts of the Weekly Journal said the trip was to 
show that Medvedev was President and had the authority to do foreign 
policy (just as Putin's trip to Paris reinforced that he still 
retained a foreign policy role), and to emphasize the importance 
Russia places on multipolarity. Golts said he did not think the 
two leaders touched on "real issues" during the visit, or addressed 
the "real problems" between the two countries. He added that the 
journalists did not know how to cover the visit - whether to go with 
Medvedev or stay home and follow Putin. Pavel Zolotarev of the 
U.S.- Canada Institute added that the GOR also wanted to protect its 
economic interests with China. The daily Izvestia questioned 
Russia's willingness to protect its economic interests given that 
Sukhoi Director Mikhail Pogosyan and Industry Minister Viktor 
Khristenko avoided criticism of Chinese intellectual property rights 
violations. 
 
-------------------------- 
Summary of Joint Statement 
-------------------------- 
 
¶12. (U) The text of the Declaration (para 13) outlines the changing 
nature of the international community within a more globalized and 
interdependent structure. It notes that both countries believe that 
they are responsible for peaceful world development as members of 
the UNSC. 
 
-- Article One stresses a multi-polar world order and the 
"non-interference in internal affairs" of other countries, and makes 
a swipe at the continued existence of "unilateralism and power 
politics." 
-- Article 2 stresses support for "the leading role played by the 
UN," and calls for reform to confer greater authority and enhance 
the UN's effectiveness. Timokhin noted this would increase Russia's 
and China's ability to influence world affairs within the 
organization. 
-- Article 3 stresses that the fight against terrorism should be 
carried out through multilateral frameworks, on the basis of the UN 
Charter, and should not bear a "double standard." In addition both 
parties agreed to work together to strengthen the coordinating role 
of the UN. Article 3 also calls for cooperation in fighting 
terrorism, corruption, and illicit drugs within the framework of the 
SCO, ASEAN, and APEC. 
-- Article 4 establishes both countries' commitment to further 
globalization in a balanced fashion, and calls on the international 
community to help developing nations, in particular, to close the 
economic divide between the North and the South. 
-- Article 5 outlines both countries' commitment to international 
security; it calls for strengthening cooperation in international 
arms control and non-proliferation efforts, using political and 
diplomatic means to resolve the proliferation of weapons of mass 
destruction, and support for the peaceful use of outer space. 
Article 5 also expresses the two sides' concern over the 
establishment of a global missile defense system. 
-- Article 6 stresses both countries' commitment to sustainable 
development and stresses their "comprehensive compliance" with the 
UN Convention on Climate Change and the Kyoto Protocol. 
-- Article 7 calls for increasing energy dialogues and coordination 
to stabilize and improve the supply and demand market for 
international energy, and to safeguard energy security. 
-- Article 8 outlines both countries' support for the six- party 
talks on North Korea. According to Timokhin, the visit highlighted 
that both Russia and China want a practical solution to the problem. 
However, both sides realized that this was not an easy task and 
would require patience and hard work on behalf of the international 
community and the parties involved. In addition, both countries 
agreed to seek a diplomatic solution to Iran's nuclear ambitions and 
were against the use of military force and sanctions on Iran without 
"taking into consideration the interest of other governments," 
including Iran's. 
-- Article 9 stresses fostering cultural dialogue. 
-- Article 10 calls for the respect of human rights on the basis of 
"sovereign equality and non-interference in internal affairs" and to 
stand up against the politicization of the term and the use of 
double-standards. -- Article 11 outlines both countries' 
willingness to strengthen cooperation between the G8 and and 
developing countries, and to strengthen other international 
cooperation mechanisms, such as the BRIC (Brazil, Russia, India, 
China). Both sides consider the Shanghai Cooperation Organization 
(SCO) playing an important role in maintaining stability, peace, 
security and fostering economic development in Eurasia. Both 
countries support the consolidation of the SCO in the future to 
deepen dialogue among interested parties "with the goal of solving 
common problems." 
 
¶13. (U) Begin Text of Joint Statement. 
 
Joint Statement of the PRC and the Russian Federation on Major 
International Issues: 
In view of the responsibilities for world peace and development that 
they assume as permanent members of the United Nations Security 
Council as well as their unanimous position on major international 
issues, in line with the "Joint Statement of the PRC and the Russian 
Federation on World Multi-Polarization and Establishment of a New 
International Order" of 23 April 1997 and the "Joint Statement of 
the PRC and the Russian Federation on an International Order for the 
21st Century" of 1 July 2005, the PRC and the Russian Federation 
(thereafter the "two sides") stress that the establishment of a 
strategic cooperation and partnership between China and Russia and 
the conclusion of the "Treaty of Good-Neighbourliness and Friendly 
Cooperation Between the PRC and the Russian Federation " on 16 July 
2001 are of important historical significance. 
 
The statement is as follows: 
 
One. As the world is undergoing tremendous changes, the era requires 
all countries to pursue peace, seek development and promote 
cooperation. The trend of multi-polarization is irreversible, 
economic globalization is deepening, science and technology are 
progressing rapidly, and global and regional cooperation is booming. 
At the same time, unilateralism and power politics continue to exist 
in the world. While regional conflicts triggered by ethnic and 
religious contradictions frequently arise, the world economy becomes 
increasingly unbalanced, and new threats and challenges emerge 
endlessly. 
 
Because of these, all countries of the world should work together to 
deal effectively with the common threats and challenges and build a 
harmonious world of lasting peace and common prosperity. It is 
necessary to abide by the objectives and principles of the "UN 
Charter," strictly observe the principles of respecting sovereignty 
and territorial integrity, mutual non-aggression, mutual 
non-intervention in internal affairs, equality and mutual benefit, 
peaceful coexistence as well as the international laws and other 
universally recognized norms guiding international relations. All 
countries should abandon the "Cold War mentality" and clique 
politics, and promote equality, democracy and collaboration. 
 
Two. The two sides support the leading role played by the UN in 
international affairs. The role of the UN in safeguarding world 
peace, promoting cooperation among all states, and fostering joint 
development is irreplaceable. The two sides unanimously agree that 
the UN should carry out necessary and rational reform, strengthen 
its authority, and raise its efficiency in order to boost its 
ability to deal with new threats and new challenges. Reform should 
be carried out according to the principle of gradual progress, 
consultation and unanimity. 
 
Three. The two sides condemn terrorism in any form. The two sides 
poQt out: Terrorism is seeking ideological expansion and has 
increasingly closer ties with transnational organized crimes and 
drug trafficking. The two sides expressed their concern about this. 
The international community should jointly combat terrorism within 
the multilateral frameworks on the basis of the "UN Charter" and 
internationally recognized principles on international relations. 
Double standards should be discarded in the fight against terrorism, 
and anti-terrorism should not be used as an excuse to achieve goals 
that are contrary to the tasks of safeguarding international 
stability and security. 
 
For this reason, the two sides are committed to strengthening the 
UN's central coordination role in combating terrorism and facing up 
to other new threats and challenges in the international community. 
The international community should fulfil the UN's important 
anti-terrorism documents, including the "UN Global Counter-Terrorism 
Strategy," and promote early consensus on the "Comprehensive 
Convention on International Terrorism." The two sides will take 
positive measures, mobilize social forces, including 
non-governmental organizations and personages in the industrial 
circles, to curb terrorism thoughts and eliminate new threats and 
challenges 
 
The two sides reiterate that they will relentlessly enhance 
cooperation in regional organizations and forums, first of all 
within the multilateral frameworks of the Shanghai Cooperation 
Organization (SCO), the ASEAN Regional Forum and the Asia-Pacific 
Economic Cooperation (APEC) in a bid to fight against terrorism, 
drug trafficking and crimes. The two sides will continue efforts to 
build a partner network for international and regional organizations 
and their anti-terrorism organs in the Asia-Pacific region. 
 
Four. The two sides are ready to jointly push forward the 
development of economic globalization towards a balanced, 
universally beneficial and win-win direction. They call on the 
international community, especially the developed countries, to 
increase development aid and comprehensively honour their 
commitments on providing aid for developing countries, so as to 
create a favourable international environment for their development. 
 
The two sides support a reciprocal and win-win open strategy, the 
promotion of South-North dialogue and South-South cooperation, and 
narrowing south-north gap. To this end, it is necessary to improve 
the international trade and financial system, oppose trade 
protectionism and investment protectionism, and address economic and 
trade friction and problems through consultations on equal-footing 
and cooperation 
 
Five. The two sides maintain that to safeguard lasting peace, all 
countries of the world should take the "UN Charter" as well as the 
principles of mutual trust, consideration of each other's interests, 
equality, cooperation, openness and predictability as a basis, and 
push forward the development of the international security system in 
a direction that is more consistent with the demands of the times 
and the common interest of all countries. 
 
The two sides maintain that international security is comprehensive 
and inalienable. The security of some countries cannot be guaranteed 
at the cost of some others', including expanding military and 
political allies. The two sides stress the need to fully respect and 
take into consideration the interests and concerns of concerned 
countries. 
 
The two sides are willing to continue to actively push forward the 
international arms control process under the premise that no harm 
will be done to the security of all countries as well as to strive 
to promote the universality and effectiveness of multilateral arms 
control and of the non-proliferation treaty. The two sides propose 
the use of political and diplomatic means to resolve the 
proliferation of weapons of mass destruction and their means of 
delivery within the framework of international laws in order to 
promote international security. 
 
The two sides maintain that the establishment of a global missile 
defence system, including the deployment of the system in some 
regions of the world or the initiation of relevant cooperation, is 
not conducive to the maintenance of strategic balance and stability, 
to the efforts on international arms control and non-proliferation, 
as well as to mutual trust between nations and to regional 
stability. The two sides express their concern about this. 
 
The two sides stand for the peaceful utilization of outer space and 
oppose the weaponization of outer space and of any space arms race. 
The two sides also stress the importance of signing relevant 
international laws and regulations to forbid the deployment of 
weapons in outer space through negotiations within the framework of 
the Geneva Conference on Disarmament. 
 
Six. The two sides maintain that sustainable development is an 
important area in international cooperation. All countries should 
step up exchange of experiences, protect natural resources and 
biodiversity, and strive to build an environmentally friendly and 
resource efficient society. 
 
The two sides attach importance to the issue of climate change and 
reiterate their comprehensive compliance with the obligations of the 
"UN Framework Convention on Climate Change" and its "Kyoto 
Protocol." They are ready to abide strictly by the principles of the 
Convention, particularly the principle of "common but differentiated 
responsibilities" and of each according to its ability, and initiate 
dialogue and cooperation in this area. The developed countries 
should provide capital and technological support to the developing 
countries in order to raise the capabilities of the developing 
countries to deal with climate change. 
 
Seven. The two sides call on all countries to step up energy 
dialogues and coordination based on the principle of equality and 
mutual benefits in order to stabilize and improve the supply and 
demand market for international energy as well as to jointly 
safeguard global energy security. The two sides support the 
establishment and implementation of a new energy security concept 
featuring mutually beneficial cooperation, diversified development, 
and coordinated guarantees. They also call for acceleration in the 
development and research as well as popularization of new energy 
technology that are beneficial to the protection of the environment. 
 
 
Eight. The two sides positively appraise the progress made in the 
six-party talks on the Korean peninsula nuclear issue. They also 
call on all parties to persist with the direction of a peaceful 
resolution of the issue through dialogues and negotiations, continue 
to move towards each other, show flexibility and advance the process 
of the six-party talks in order to realize a nuclear free Korean 
peninsula as soon as possible, realize the normalization of 
relations between the relevant countries, and realize the lasting 
peace and security of the North Asian region. The two sides are 
prepared to continue to play an active role to this end. 
 
The two sides propose the resolution of the Iran nuclear issue, the 
reconstruction of Iraq and Afghanistan as well as the issues of the 
Middle East, Kosovo, Sudan (Darfur) and other urgent international 
issues through dialogues and peaceful consultation. All parties 
should consider global and regional security, make diplomatic 
efforts, refrain from military and extreme means, cautiously resort 
to sanctions and take into account the interests of the country 
involved when resolving the aforementioned issues. 
 
Nine. The two sides maintain that the diversity of civilization and 
culture constitutes an important driving force for the progress of 
mankind. In line with the principles of equality and mutual respect, 
all countries should strengthen dialogues between different 
civilizations, different cultures, and different religions in order 
to realize the harmonious development as well as tolerance and 
coexistence of all kinds of civilizations and cultures. 
 
Ten. The two sides reiterate the universal principle of respect of 
human rights. At the same time, they also maintain that all 
countries have the right to promote and protect human rights in 
accordance to the national conditions of their respective countries. 
On the question of human rights, all countries should eliminate 
frictions through dialogues and cooperation on the basis of 
sovereignty, equality and non-interference in the internal affairs 
of others, oppose the politicization of the human rights issue and 
the practice of double standards, oppose the use of human rights 
issue as an excuse to interfere in the internal affairs of other 
countries, as well as push forward the handling of human rights 
issue by the international community in an objective and 
non-selective manner. 
 
Eleven. The two sides are ready to jointly strengthen dialogues 
between the leaders of the "Group of Eight" and the developing 
countries as well as to strengthen international cooperation 
mechanism such as the "Golden BRIC (Brazil, Russia, India and 
China)" and the foreign ministers' meeting between China, Russian 
and India. They are ready to push forward the establishment and 
further development of the above and other international cooperation 
mechanism on the basis of the unanimity of interests in order to 
find a coordinated and unanimous solution to the challenges and 
threats confronting global and regional security and sustainable 
development. 
 
The two sides welcome the establishment of a coordinating mechanism 
between integrated regional organizations, particularly the 
strengthening of cooperation in the East Asian region, in order to 
expand the political dialogues, economic cooperation, as well as 
social and cultural exchanges in this region. China supports a more 
active integration of Russia into the integration process in East 
Asia. 
 
The two sides maintain that the SCO has already become an extremely 
important factor for consolidating strategic stability, safeguarding 
peace and security, as well as developing all kinds of economic and 
human cooperation. The two sides reiterate that they will further 
consolidate the unity of the SCO. The two sides also maintain that 
to resolve the urgent issues of contemporary times and make them 
acceptable to all sides, deepening SCO's dialogues with relevant 
countries, international organizations and forums on the basis of 
the principle of openness and not targeting a third country is of 
vital importance. 
 
President of PRC Hu Jintao (signature) 
President of the Russian Federation D. A. Medvedev (signature) 
23 May 2008 in Beijing. 
End Text. 
 
 
RUSSELL