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RR RUEHAG RUEHAST RUEHDA RUEHDF RUEHFL RUEHIK RUEHKW RUEHLA RUEHLN
RUEHLZ RUEHPOD RUEHROV RUEHSR RUEHVK RUEHYG
DE RUEHFR #2024/01 3101514
ZNR UUUUU ZZH
R 051514Z NOV 08
FM AMEMBASSY PARIS
TO RUEHC/SECSTATE WASHDC 4749
INFO RHMFIUU/DEPT OF HOMELAND SECURITY WASHINGTON DC
RUEATRS/DEPARTMENT OF TREASURY WASHDC
RUEHZL/EUROPEAN POLITICAL COLLECTIVE

UNCLAS SECTION 01 OF 02 PARIS 002024 
 
SENSITIVE 
SIPDIS 
 
E.O. 12958: N/A 
TAGS: ECON EFIN ETRD PREL FR
SUBJECT: FRANCE: INTERIOR MINISTER PLEDGES "RETURN 
OF THE STATE" AS KEY TO ECONOMIC SECURITY 
 
¶1. (SBU) Summary:  French Interior Minister Alliot- 
Marie made an impassioned case for the "return of 
the state" in economic governance and a law 
enforcement approach to economic security at a 
recent high-level business colloquium. Ambassador 
Stapleton was invited to speak on security and 
globalization and addressed 100% cargo scanning. 
Alliot-Marie's theme captured the preoccupation of 
the French body politic.  The Ambassador's remarks 
focused on cooperation between major economies and 
science-based risk management.         End summary. 
 
The Return of the State 
- - - - - - - - - - - - 
 
¶2. (SBU) Minister of Interior Michele Alliot-Marie 
gave an impassioned speech at an October 21 
colloquium on economic security hosted by French 
employer's union, MEDEF.  Arguing that the financial 
crisis was the end of the age of innocence, Alliot- 
Marie said the financial system was threatening to 
"dig its own grave" through its "sophistication and 
destructive imagination." The State needed to 
recognize citizens' vulnerabilities before a range 
of threats, including the "growing gulf between the 
development of the market and democracy." 
Globalization brought more than just economic 
growth; it also brought greater threats to the 
economy, energy security, environment, and public 
safety. 
 
¶3. (U) Alliot-Marie said the State was the keystone 
in responding to society's needs, and the Interior 
Ministry of the 21st century needed to pursue a 
global approach to security that included economic 
security.  She called for more state intervention in 
establishing and enforcing common ground rules in 
finance, as well as taking a law-enforcement 
approach to economic security.  She stressed that 
the State must become as agile in anticipating 
criminality as bad actors are in exploiting 
disappearing borders, new technology, and loopholes 
in regulatory oversight.  While highlighting her own 
"tough on crime" message, Alliot-Marie signaled her 
intent to seek a stronger role in financial crime 
and law enforcement issues. 
 
¶4. (SBU), MEDEF president and key Sarkozy reform 
ally, Laurence Parisot, gave remarks that dovetailed 
with Alliot-MarieQs focus on order and the State. 
Parisot stressed that for open markets to work, 
common rules must apply.  She disparaged ChinaQs 
currency valuation policy as an example of not 
playing by the rules.  Parisot repeatedly drew 
attention to the importance of strengthening the 
transatlantic partnership, even if "Europe does want 
to go faster" on some regulatory issues. 
 
100% Scanning 
- - - - - - - 
 
¶5. (SBU) Ambassador Stapleton underscored continued 
U.S. commitment to free trade as implementation of 
the 9/11 ActQs requirement to scan 100% of U.S.- 
bound containers moves forward.  He rejected the 
characterization of 100% scanning as a trade 
barrier.  But he acknowledged the challenge of 
crafting appropriate and balanced policy responses 
when emotions run high at times of crisis.  Security 
policy needed to be based on science and fact, not 
emotion or fear.  The United States would use all of 
its risk-management and analytical tools in 
implementing the 100% scanning mandate. 
 
¶6. (U) Neither French Customs nor industry (DHL) 
panelists criticized 100% scanning head-on, but both 
stressed the need to put people Q "not algorithms" - 
- at the center of anti-terrorism enforcement 
action.  Industry representatives also pushed for 
U.S. recognition of industry "good conduct" ratings 
established through the EU's Authorized Economic 
Operator concept.  The largely business audience 
took a strong interest in the 100% scanning 
discussion, and thinned considerably once it had 
ended. 
 
¶7. (U) The French Embassy in Washington will host a 
November 7 colloquium on "Securing the Supply Chain: 
The European Customs Approach."  Featuring French, 
 
PARIS 00002024  002 OF 002 
 
 
German, and EC speakers, the event is expected to 
air continued EU and industry concern over 100% 
scanning. 
 
¶8. (SBU) Comment: The "return of the state" theme is 
clearly not unique to France in the current 
environment.  But the gusto with which the political 
class has embraced it may be.  President Sarkozy 
continues to set the tone for his government, 
announcing initiatives to support employment, 
provide financing to small business, jawboning banks 
into lending to business, and generally working to 
reassure the French that there's a "pilot in the 
plane."  For the moment Laurence Parisot's MEDEF and 
the business community are playing along, pushing 
code-of-conduct standards on remuneration and 
otherwise echoing the government's call for a 
"moralization" of capitalism.  But the emotion 
behind Alliot-Marie's pitch reminds us that, in an 
environment that some view as a vindication of 
French dirigisme, the risk of overreach is 
considerable. 
 
STAPLETON