VZCZCXRO2952
PP RUEHCHI RUEHDT RUEHNH
DE RUEHHM #0019/01 0090833
ZNR UUUUU ZZH
P 090833Z JAN 09
FM AMCONSUL HO CHI MINH CITY
TO RUEHC/SECSTATE WASHDC PRIORITY 5289
INFO RUEHHI/AMEMBASSY HANOI PRIORITY 3517
RUCNASE/ASEAN MEMBER COLLECTIVE
RUEHHM/AMCONSUL HO CHI MINH CITY PRIORITY 5519

UNCLAS SECTION 01 OF 02 HO CHI MINH CITY 000019 
 
SENSITIVE 
SIPDIS 
 
STATE FOR EAP/MLS AND PRM 
 
E.O. 12958: N/A 
TAGS: OREP PGOV PREL PREF VM
SUBJECT: SENATOR WEBB PROMOTES ARVN RECONCILIATION AND CONTINUED 
ECONOMIC GROWTH DURING DECEMBER VISIT 
 
REF: 08 Hanoi 1408 
 
HO CHI MIN 00000019  001.2 OF 002 
 
 
¶1. (SBU) Summary: During his December 29-31 visit to HCMC, 
Senator Jim Webb focused on helping to heal Vietnam's war legacy 
issues as well as engaging with U.S. and Vietnamese business 
community on the city's economic future.  Visits to both a 
former ARVN cemetery and an NLF-PAVN cemetery fulfilled a 
long-term goal for the Senator, who has been engaged in trying 
to move the reconciliation process forward for all of Vietnam's 
former veterans for many decades.  Meetings with HCMC officials, 
AmCham, rising young Vietnamese stars in the private sector, and 
the land development visionaries at Phu My Hung also gave the 
Senator a chance to discuss ways the U.S. and Vietnam are 
working together to build a better future here.  End summary. 
 
Reconciling the Past 
-------------------- 
¶2. (SBU) While the GVN has made significant progress in moving 
beyond the painful war wounds of the past, one area remaining 
problematic is the status of former ARVN soldiers and others 
associated with the former regime.  Senator Webb raised this 
issue during his official meetings with HCMC People's Committee 
Chairman Le Hoang Quan and Party Secretary Le Thanh Hai, and 
expressed his appreciation for GVN efforts to allow him to visit 
a former ARVN cemetery as well as a cemetery for NLF and PAVN 
soldiers on December 29.  The visit to the ARVN cemetery, which 
was billed by the GVN as a "private visit" (no GVN officials 
present) granted on the basis of Webb's personal interest, was 
also the first time Consulate officers have been allowed to 
visit since early 2007. 
 
A Tale of Two Cemeteries 
------------------------ 
¶3. (SBU) The former ARVN cemetery in neighboring Binh Duong 
province was converted to a civilian cemetery in November 2006 
and re-named Binh An Cemetery.  Provincial authorities took over 
management of the cemetery in June 2007.  Established in 1965, 
the cemetery was formerly the national military cemetery for 
South Vietnam and designed to accommodate 30,000 graves.  South 
Vietnamese records estimated about 16,000 graves in the cemetery 
by April 30, 1975, half with cement tombstones and half without. 
 Today, there are approximately 12,000 graves in various 
conditions on 58 hectares of land.  The Prime Minister's order 
allowing civilian access in 2006 gave many families access to 
repair dilapidated and damaged tombstones, and it was clear 
during Senator Webb's visit that several tombs had been cleaned, 
repaired or replaced.  A small 'mom and pop' business has also 
been set up at the entrance, offering to tend graves for 
families that live far away and cannot visit regularly as well 
as to locate graves for visiting family members.  Grass and 
underbrush around the graves appeared recently cut and cleared. 
 
¶4. (SBU) Some graves had faded white tombstones while others 
were little more than dirt mounds with a single brick placed as 
a marker.  Many looked as though they had remained untouched 
since 1975.  Crumbling monuments and outbuildings stood at the 
center of the cemetery and pathways were primarily dirt and 
gravel.  Outside the gates, residences and small businesses have 
encroached on former cemetery grounds, and the pillars and 
stairs that used to mark the former cemetery entrance have been 
completely overtaken by trees and foliage.  A few grazing cows 
wandered through as Senator Webb and Consulate staff explored 
the former hilltop shrine.  A group of approximately six men, 
some of whom worked at the cemetery and some of whom appeared to 
be plainclothes security escorts, trailed behind the delegation 
throughout the visit but did not interfere. 
 
¶5. (SBU) The immaculate grounds and massive monuments of the Ho 
Chi Minh City Martyr's cemetery in the Binh Hoa district of HCMC 
stood in stark contrast to conditions at the former ARVN 
cemetery.  Established in 1977, the GVN cemetery was initially 
for soldiers who fought during the French and American wars, but 
later became home to fallen soldiers from the Cambodian war as 
well.  The cemetery now has 14,000 graves of soldiers from all 
64 of Vietnam's provinces on 29 hectares of land and is 
administered by the HCMC Department of Labor, Invalids and 
Social Affairs (DOLISA). 
 
Looking Toward the Future 
------------------------- 
¶6. (SBU) During his meetings with HCMC leaders on December 30, 
Senator Webb noted that while he learned a great deal about "one 
small place" in Vietnam during his tour of duty as a Marine in 
Quang Nam and Danang, he has dedicated the past few decades to 
returning to Vietnam to learn more about the country's culture 
and history.  In the process, Webb said, he has witnessed the 
amazing growth and energy characterizing Vietnam's rapid 
economic recovery.  He was pleased to report that on this visit, 
his meeting with the Archbishop and seeing the large crowds of 
 
HO CHI MIN 00000019  002.2 OF 002 
 
 
Catholic followers attending Midnight Mass in Hanoi, as well as 
his visit to the former ARVN cemetery, pointed to continued 
growth in other areas.  Senator Webb noted that when he visited 
HCMC in the 1990's, the park across from the New World Hotel was 
filled with homeless ARVN soldiers begging for change.  This 
time, the park thronged with revelers celebrating Vietnam's 
victory over Thailand in the AFF Suzuki Cup soccer match. 
Relating the status of ARVN soldiers to that of former 
Confederate soldiers during the American Civil War, Webb noted 
that it took a very long time for America to resolve internal 
conflicts and finally recognize the sacrifices of Confederate 
soldiers from the South. 
 
¶7. (SBU) While steering clear of any direct discussion of former 
ARVN soldiers, both Party Secretary Hai and People's Committee 
Chairman Quan both acknowledged the positive role the U.S. has 
played in Vietnam's economic growth and recovery, as well as the 
important strides both countries are making to build bridges for 
overseas Vietnamese returning to do business today.  Quan echoed 
points raised by Hanoi GVN officials when asking for the 
Senator's support in current GSP negotiations as well as 
enhanced educational cooperation. 
 
HCMC's Business Community 
------------------------- 
¶8. (SBU) The HCMC AmCham Board of Governors received a 
sympathetic hearing from Senator Webb with regards to the USG's 
tax policy on overseas income.  He acknowledged that because the 
U.S. taxes overseas earned income much more highly than do 
competitor nations (Australia, France, Germany, Britain, etc.), 
current U.S. tax laws serve to create an unequal playing field 
in which multi-national corporations must pay a significantly 
higher total compensation package to Americans in order to yield 
the exact same take-home pay.  Senator Webb likened the 
situation of American expat executives to that of U.S. 
autoworkers, noting a major difficulty in negotiating the loan 
package for U.S. automakers was the popular perception that 
union autoworkers are much more highly paid that non-union 
workers.  In reality, he added, the real difference in the total 
cost of the union and nonunion workforce lies not in salary 
levels but in the overhead cost of paying benefits to retirees. 
Webb encouraged AmCham to find other members of Congress who 
shared his point of view that this tax inequality needs to be 
rectified and agreed to help "find the right people" in 
Washington to move the issue.  Webb also supported the Chamber's 
efforts to engage with the GVN on increased transparency, 
improved labor and association laws and anti-corruption, noting 
he was active in discussions with GVN leaders visiting 
Washington on the same topics, especially on labor issues. The 
Senator showed great interest in Vietnam's energy issues, noting 
he was active in discussions regarding China's rise in Asia and 
concerned about reports that China was "arm-twisting" U.S. 
companies not to do business with Vietnam because of the ongoing 
dispute in the oil-rich South China Sea. 
 
¶9. (SBU) Several members of the Vietnamese-American MBA 
Association (VAMBA) and other young Vietnamese business leaders 
turned out to meet Senator Webb on December 30 and shared with 
the Senator how their experiences studying and working in the 
U.S. and Australia have helped them succeed in the private 
sector back in Vietnam. The Senator commended the group for 
their important role in building bridges between the U.S. and 
Vietnam. During his tour of the Thanh Thuan Export Processing 
Zone and residential developments at Phy My Hung, Taiwan 
developer Albert Ting also shared with Senator Webb his 
company's role in moving HCMC urban planning to a new phase of 
development, while remaining dedicated to supporting the larger 
community through its innovative education and energy 
initiatives. 
 
¶10. (SBU) Senator Webb declined the opportunity to clear on this 
cable. 
FAIRFAX