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courage is contagious

Viewing cable 08BERLIN1529, MEDIA REACTION: Financial Crisis, Economic, EU-Russia,

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Reference ID Created Released Classification Origin
08BERLIN1529 2008-11-12 12:02 2011-08-24 01:00 UNCLASSIFIED Embassy Berlin
R 121202Z NOV 08
FM AMEMBASSY BERLIN
TO SECSTATE WASHDC 2614
INFO WHITE HOUSE WASHINGTON DC
SECDEF WASHINGTON DC
DIA WASHINGTON DC
CIA WASHINGTON DC
DEPT OF TREASURY WASHINGTON DC
FRG COLLECTIVE
AMEMBASSY BRUSSELS 
AMEMBASSY LONDON 
AMEMBASSY PARIS 
AMEMBASSY ROME 
USMISSION USNATO 
USMISSION USOSCE 
HQ USAFE RAMSTEIN AB GE
HQ USEUCOM VAIHINGEN GE//J5 DIRECTORATE (MC)//
CDRUSAREUR HEIDELBERG GE
UDITDUSAREUR HEIDELBERG GE
UNCLAS BERLIN 001529 
 
 
STATE FOR INR/R/MR, EUR/PAPD, EUR/PPA, EUR/AGS, INR/EUC, INR/P, 
SECDEF FOR USDP/ISA/DSAA, DIA FOR DC-4A 
 
VIENNA FOR CSBM, CSCE, PAA 
 
"PERISHABLE INFORMATION -- DO NOT SERVICE" 
 
E.0. 12958: N/A 
TAGS: OPRC KMDR KPAO GM
SUBJECT: MEDIA REACTION: Financial Crisis, Economic, EU-Russia, 
U.S.-Afghanistan, U.S.-EU, Mideast, Obama, Congo, Burma 
 
1.   Lead Stories Summary 
2.   (Economic)   Financial Crisis 
3.   (Economic)   U.S. Car Industry Problems 
4.   (EU-Russia)   Energy Policy, Partnership Agreement 
5.   (U.S.-Afghanistan)   Future Policy 
6.   (U.S.-EU)   Future Cooperation 
7.   (Mideast)   Peace Process 
8.   (U.S.)   Obama Presidency 
9.   (Africa)   Congo Violence 
10.  (Burma)   Punishment Of Dissidents 
 
 
 
1.   Lead Stories Summary 
 
Editorials focused on the debate over Germany's future nuclear 
storage site, the debate over the suspension of the vehicle tax for 
new cars, and the controversy among the CDU/CSU and the SPD on a 
proposed reform of the inheritance tax.  ZDF-TV's early evening 
newscast Heute and ARD-TV's early evening newscast Tagesschau opened 
with reports on the transport of nuclear waste to the storage site 
at Gorleben. 
 
2.   (Economic)   Financial Crisis 
 
Frankfurter Allgemeine Zeitung noted: "The strong growth of the 
finance sector reflects the fact that the prosperity of many nations 
increased over the past few years.  But in this context an 
uncontrolled growth has taken place.  Now the time for politicians 
has come who want to give global growth a new structure.  It is now 
necessary to create a framework of rules for a globalized finance 
industry." 
 
Financial Times Deutschland opined: "The financial crisis is not an 
industrial accident caused by human failure but a systematic crisis 
of the global economy.  We will not resolve this problem by adopting 
tougher rules and by taking revenge on individual actors.  The 
attempts to do this are part of the great mistakes of the modern 
economic policy for which we will have to pay dearly." 
 
3.   (Economic)   U.S. Car Industry Problems 
 
According to Financial Times Deutschland, "Barack Obama entered the 
election campaign with the main promise to break the old backroom 
policies that have prevailed in Washington.  If he does not want to 
forfeit his reputation...he should not accept the deal that 
President Bush suggested with the approval of a controversial 
approval of trade agreement with Colombia in return for the support 
the automobile bailout package.  This is all the more true because 
the bailout package for U.S. car industry does not focus on a 
question that can be offset  with an individual trade agreement. 
Such far reaching decisions should not be made in backrooms. " 
 
Sueddeutsche Zeitung argued: "President Bush was right: there are 
too many car producing plants in the United States.  They can be 
preserved only by producing energy-efficient, fuel-saving cars for 
prices that the consumer can afford.  That is why the money package 
from Washington should not be the beginning of a global competition 
for subsidies but only a unique opportunity for self-help" 
 
In the view of Handelsblatt, "the state must avoid passing the buck 
to other generations, and it must set clear economic priorities. 
 
First of all, state subsidies should not keep alive companies that 
are no longer competitive.  One yardstick must be whether such 
companies will be able to repay state subsidies.  Only one of the 
three car manufacturers in the United States will be able to survive 
in the long run.  That is why it would be economically reasonable to 
use these subsidies to initiate the liquidation of unprofitable 
companies and cushion off the painful adjustment to these 
developments for the workers." 
 
4.   (EU-Russia)   Energy Policy, Partnership Agreement 
 
Financial Times Deutschland argued: "In view of the geo-political 
reality it is totally correct that the European Union is now giving 
up its principle [to transfer the concept of liberalization and 
anti-trust regulations to third countries].  Russia, the most 
important natural gas supplier for the EU, has consistently refused 
to accept  common rules.  The fact that [the EU] is now at least 
trying to counter the monopolist from the East with its own 
activities, shows that a more realistic view on Russia is gaining 
the upper hand in the EU.  In a naove way, the Europeans had hoped 
that they could include principles of its energy charter in the 
planned partnership agreement with Moscow.  But obviously, it has 
now bidden fare well to this illusion." 
 
Frankfurter Allgemeine commented: "With the exception of Lithuania - 
even Poland was persuaded--all EU member states are in favor of 
continuing the negotiations.  This is a gesture of reaching out, not 
one that rewards Russia. It is in the interest of all EU countries 
to put the relationship with Russia on a contractual basis." 
 
S|ddeutsche commented: "The fact is that the conditions Brussels set 
for Russia have not been meet - withdrawal to the borders before 
August 7.  Some 8,000 Russian soldiers are still in Abkhazia and 
South Ossetia.  But at the end of the day, something else really 
matters.  Europe wants more energy security, and it wants to speak 
with one voice to Russia to avoid a split up into bilateral 
conflicts of interests....  Everybody, including Russia, will 
finally benefit from the partnership agreement." 
 
5.   (U.S.-Afghanistan)   Future Policy 
 
Frankfurter Allgemeine Zeitung assumed that the Afghanistan conflict 
will soon help cool down the enthusiasm in Europe about Barack 
Obama. "Even if he is likely to choose a different approach next 
year, he will send more soldiers to Afghanistan and demand the same 
from the Europeans," the daily wrote, and concluded: "Obama should 
not raise demands and his partners should not come up with their 
defensive reflex right at the start.  But obviously, this reflex 
functions even without Bush." 
 
6.   (U.S.-EU)   Future Cooperation 
 
S|ddeutsche commented: "The world needs new tools and a new 
understanding of cooperation.  Europe has both things on offer, and 
Obama's America is ready for change.  Europe's moment has come if 
Europeans quickly agree on how they see their future with America." 
 
Die Welt editorialized: "The conditions for reviving the 
transatlantic relationship have not been so good for a long time. 
Obama enjoys European bonus of trust and, with the triumvirate of 
Merkel, Sarkozy and Brown, he will deal with the most pro-American 
team in decades.  Given this unique situation, both sides of the 
Atlantic must take action." 
 
7.   (Mideast)   Peace Process 
 
Under the headline "Annapolis is dead," S|ddeutsche commented: "This 
was a first-class funeral: During the recent Mideast meeting in 
Egypt's Sharm el-Sheik, Secretary Rice called on Israelis, 
Palestinians and all Mideast brokers to continue the 'Annapolis 
peace process' under the next government.  This sounded great but it 
is not worth anything because President-elect Obama and other 
representatives of the Mideast Quartet will ask themselves what it 
is they could continue.  Looking at it in a sober light, there is 
not much [that can be continued.]  The Israelis negotiated with a 
Palestinian government that represented only half of the people. 
The Palestinians negotiated with an Israeli government whose power 
was limited because of its domestic problems.  Neither the 
Palestinians nor the Israeli government could therefore have 
implemented any peace solution." 
 
8.   (U.S.)   Obama Presidency 
 
According to Tagesspiegel, "the United States has currently a de 
facto dual presidency.  George W. Bush has the formal power until 
January 20, but Barack Obama is already grabbing for political 
power.  The headlines focus on him, and Bush is about to leave 
office.  On the pictures we saw from the first visit of the future 
president to the White House, Obama seemed to lead the former one 
and not vice versa.  Obama's pace is unprecedented, and he wants to 
use the impetus of the election to consolidate his image .  But 
expectation management is as important these days as the preparation 
for taking over power.   When it comes to Iraq, one no longer talks 
about a total withdrawal from Iraq but on halving the U.S. forces in 
the coming years.  In Afghanistan, the talk no longer focuses on a 
quick increase in forces but on the search for a new strategy.  But 
the overwhelming issue remains the economy.  Obama is still up in 
the air for ten more weeks, only then will he be the sole 
president." 
 
9.   (Africa)   Congo Violence 
 
In the view of Frankfurter Allgemeine Zeitung, "the Africans are 
unable to resolve the conflict in eastern Congo on their own.  One 
reason why African crisis management is so meager is  that some 
important actors simply lack the will to strive for a non-violent 
solution.  The meeting between Congolese President Kabila and 
Rwanda's President Kagame lasted just five minutes.  At the same 
time, UN observers have recognized the first Angolans who are active 
on the side of the [Congolese] army.  It was right that the German 
government and its European partners send a military mission to 
Congo, arguing that the region would be decisive for creating a 
'zone of stability' in Central Africa.  But nothing remains of this 
hope today.  But the time of telephone diplomacy and debates over 
whether the Africans should take care of this crisis by themselves 
is over.  There is still a chance to prevent new war crimes instead 
of dealing with them years later in The Hague." 
 
10.   (Burma)   Punishment Of Dissidents 
 
Berliner Zeitung opined: "On Tuesday, Burma's generals obviously 
returned to their former die-hard course and sentenced 23 Burmese to 
long term imprisonments.  Only a camp such as the one in Guantnamo, 
where the United States keeps prisoners for many years without a 
trial, can serve as a comparison.  These questionable and inhuman 
verdicts make clear one thing: democratization such as the generals 
understand it, does not offer room for different opinions.  With 
George W. Bush's departure, the oppressed Burmese will lose one of 
their most prominent advocates: Laura Bush.  But there have never 
been more than a few pithy words and more or less ineffective 
sanctions.  The Burmese have known for a long time that they cannot 
expect help from abroad.  And the barbaric verdicts from Tuesday can 
now even break the last will of resistance in the country." 
 
 
TIMKEN