VZCZCXYZ0000
OO RUEHWEB

DE RUEHBU #0641/01 1531442
ZNY CCCCC ZZH
O 021442Z JUN 09
FM AMEMBASSY BUENOS AIRES
TO RUEHC/SECSTATE WASHDC IMMEDIATE 3802
INFO RUCNMER/MERCOSUR COLLECTIVE
RUEHCV/AMEMBASSY CARACAS 1961
RHEHAAA/NATIONAL SECURITY COUNCIL WASHINGTON DC
RUEKJCS/SECDEF WASHINGTON DC
RHMFISS/HQ USSOUTHCOM MIAMI FL
RUEATRS/DEPT OF TREASURY WASHINGTON DC

Tuesday, 02 June 2009, 14:42
C O N F I D E N T I A L BUENOS AIRES 000641 
SIPDIS 
EO 12958 DECL: 05/29/2029 
TAGS PREL, ECON, EAIR, MASS, SENV, AMGT, VZ, AR 
SUBJECT: ARGENTINA: AMBASSADOR’S FAREWELL CALL ON FM TAIANA 
REF: (A) BUENOS AIRES 0498 (B) BUENOS AIRES 0632 (C)  STATE 48493
Classified By: Ambassador E. Anthony Wayne for reasons 1.4 (b) & (d).
¶1. (C) Summary and introduction: Argentine FM Jorge Taiana told the Ambassador, during the latter’s May 28 farewell call, that the GOA had no intention of following Venezuela’s lead on expropriations. Taiana expressed concern about the visit of a team from the FAA and the prospect (which has since receded) of a downgrade in the rating of Argentina’s civil aviation regime. The Ambassador updated Taiana on MOD efforts to find new office space for the U.S. Military Group.  Taiana (protect) said he knows that Argentina, in a recent submission regarding its Antarctic claim, left out the language that was agreed with the USG and other key governments in 2004 (ref C), but claimed the current electoral climate in Argentina had made it impossible to submit such specific language due to the Malvinas/Falklands issue’s continued prominence here. The Ambassador complained to Taiana that an Argentine judicial investigation was inadvertently holding up the re-exportation of cars belonging to American diplomats. The Ambassador urged resolution of Paris Club and private bondholder debts. Ref B reports discussion of Cuba issue at the OAS General Assembly. End summary.
Venezuela’s Hugo Chavez
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¶2. (C) The Ambassador indirectly asked if the the Argentine business community’s alarm regarding the latest wave of Venezuelan expropriations (including several affecting Argentina’s Techint conglomerate) was giving the GOA pause about Chavez. Taiana stressed that no one senior in the GOA -- neither CFK, other ministers or Nestor Kirchner -- wanted to follow Chavez’s lead on expropriations. Taiana said Peron had already gone through a nationalization phase in the 1940s, and the country had learned its lesson. Argentina may favor a larger state role in the economy than does the United States, but it still values the private sector and recognizes the primacy of private property for propelling economic growth and development. The GOA does not agree with what Chavez was doing, Taiana reiterated. (Comment: These comments tracked with Interior Minister Randazzo’s public comments on the week of May 25 that Chavez’s expropriations were “pre-Peronist. End comment.)
Civair
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¶3. (C) Taiana said he was concerned about the visit of a team from the FAA and the possibility of a downgrade in Argentina’s International Aviation Safety Assessment (IASA). He noted that the transition from military to civilian control of air traffic had been wrenching, with the military trying to hold on to power. He said he hoped the FAA assessment did not blow up publicly into a divisive issue. The Ambassador noted that none of the FAA’s recommendations was difficult or unfeasible. (NOTE: An FAA team was in Argentina May 27-29, completing the IASA evaluation begun in March, 2009. While official results have yet to be released, an informal readout from the team leader indicates that Argentina will maintain its IASA Category I status. The FAA provided similar information to GoA civil aviation authorities.)
Military Group
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¶4. (C) Taiana asked if the Ministry of Defense had offered the U.S. Military Group alternate office space (per ref A discussion). The Ambassador acknowledged the MOD had made an offer, and that one Military Group component located at MOD headquarters had moved out of that building to the Embassy. The Ambassador explained that two other Military Group components currently located at Air Force and Navy facilities were hoping for a temporary reprieve pending a fuller discussion of updating the 1964 agreement at joint U.S.-Argentine talks in October. Taiana asked to be kept informed of developments.
Antarctic
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¶5. (C) Taiana (protect) said he knows that Argentina, in the data it submitted to the UN Commission on the Limits of the Continental Shelf regarding its Antarctic claim, left out the specific language that was agreed with the USG and other key governments in 2004 (ref C). He claimed that the current electoral climate in Argentina had made it impossible to submit such language with the GOA data. Doing so would have subjected the GOA to a storm of criticism for its “surrender” of Argentine claims, and resulted in his removal from office.  “But if you read our submission carefully, you’ll see our language respects all Antarctic Treaty provisions,” he said, quickly adding that the prime issue for Argentina, of course, was not Antarctica, but protecting its claim to sovereignty over the Malvinas/Falkland Islands.
POVs
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¶6. (C) The Ambassador explained to Taiana that an Argentine judge investigating abuse by others of diplomatic importation of vehicles had seized documents, effectively holding up the export of privately owned vehicles (POVs) belonging to American diplomats who had served in Argentina and are now posted elsewhere. The Ambassador said Washington was very concerned and looking into reciprocity measures. Taiana said he was not aware of this latest development and would look into it. (The Ambassador subsequently signed a letter to the investigating judge, to be transmitted through the MFA, which explains our serious concerns and seeks positive action.)
Paris Club
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¶7. (C) The Ambassador told Taiana that he had advised President Kirchner the night before (ref B) that resolution of Paris Club and private bondholder debts is clearly in Argentina’s long-term interest. Taiana agreed the GOA needed to find a way to resolve the matter, and the Ambassador noted that Planning Minister De Vido and others in the GOA seemed to be moving toward that position as well.
WAYNE