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OO RUEHCHI RUEHCN RUEHDT RUEHHM
DE RUEHBK #2848/01 3100935
ZNR UUUUU ZZH
O 060935Z NOV 09
FM AMEMBASSY BANGKOK
TO RUCPDOC/DEPT OF COMMERCE WASHINGTON DC IMMEDIATE
RUEHC/SECSTATE WASHDC IMMEDIATE 8866
INFO RUEATRS/DEPT OF TREASURY WASHINGTON DC IMMEDIATE
RHMFIUU/DEPT OF HOMELAND SECURITY WASHINGTON DC IMMEDIATE
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UNCLAS SECTION 01 OF 02 BANGKOK 002848 
 
COMMERCE FOR EAP/MAC/OKSA FOR JKELLY 
STATE FOR EAP/MLS, EAP/RSP EEB 
STATE PASS TO USTR FOR BWEISEL, BKLEIN 
TREASURY FOR OASIA 
SINGAPORE FOR FINATT BLEIWEIS 
 
SENSITIVE 
SIPDIS 
 
E.O. 12958:N/A 
TAGS: ECON EINV ELAB ETRD SENV PREL TH
SUBJECT: PREPARING FOR SECRETARY LOCKE'S MEETING WITH THAILAND'S 
DEPUTY MINISTER OF COMMERCE ON THE MARGINS OF APEC 
 
REF: A: BANGKOK 2678 (PRIME MINISTER MEETS WITH ASIA-PACIFIC 
AMERICAN CHAMBERS OF COMMERCE) 
¶B. BANGKOK 2597 (ENVIRONMENTALISTS VERSUS INDUSTRIALISTS) 
 
BANGKOK 00002848  001.2 OF 002 
 
 
FROM AMBASSADOR JOHN TO SECRETARY LOCKE 
 
¶1. (SBU)  I encourage you to make time to meet with Thailand's 
Deputy Minister of Commerce, Alongkorn Ponlaboot, on the margins of 
APEC. Since Prime Minister Abhisit Vejjajiva took office in December 
2008, I have regularly engaged the Prime Minister and his 
administration, including Deputy Minister Alongkorn, on issues of 
concern to the U.S. business community. Alongkorn is the face of 
Thailand's campaign to improve the protection of intellectual 
property rights. He is also an advocate for business-friendly 
policies, and someone who I believe will help move our trade 
dialogue with Thailand forward. The Deputy Minister hopes you will 
be able to meet with him on the afternoon of November 12, if your 
schedule permits. The following are key issues with the Thai 
government that I hope you may reinforce with Alongkorn during your 
meeting. 
 
¶2.  (U) Bio note:  Alongkorn ("along gone") is an energetic, rising 
star in the Democrat Party, which leads the current coalition 
government, and an elected member of Parliament.  He is close to, 
and influential with, the Prime Minister and in the Thai context is 
very supportive of sound business practices and policy.  His 
influence in the government is greater than his title would 
indicate-as the top Democrat at the Ministry of Commerce he controls 
many departments of particular concern to us, including IPR 
enforcement. He has taken considerable heat for his outspoken 
support for IPR enforcement, yet is savvy enough to realize that the 
key to IPR in Thailand in the long run is public realization that IP 
is important to Thailand's own economic growth.  He promotes his 
"Creative Economy" campaign with that end in mind.  Importantly, 
Alongkorn has the reputation within the government as a true 
believer in the rule of law and as being personally incorruptible. 
He is just the kind of leader we would like to support. 
 
Intellectual Property Rights 
---------------------------- 
 
- We are very pleased with the increased level of commitment to IPR 
enforcement since the arrival into office of the Abhisit 
Administration. We especially appreciate the leadership of the Prime 
Minister himself in the national IPR Committee. We believe sustained 
and effective enforcement needs to be carried out at all levels from 
retail, distribution, manufacturing and import. 
 
- I know we share common goals in this regard. Respect for IPR is 
important for economic growth, protects public safety, and 
demonstrates respect for the rule of law. I understand that you have 
promoted the "Creative Thailand" program. I have no doubt that 
Thailand's entertainment and creative industries would prosper 
greatly once the public understands the importance of IPR. 
 
- High-level attention in improving Thailand's intellectual property 
regime is important and we fully understand that enforcement actions 
often run into opposition. We appreciate your courage and 
determination in this regard. We have heard from our business 
community that they are encouraged by your actions.  We stand ready 
to assist in any way we can, and hope that you can continue to work 
with U.S. rights holders. 
 
- The United States would like to work more closely with Thailand in 
the coming months to address the full range of IPR issues and we 
support the government's "Creative Economy" initiative to support 
Thailand's own IP-based industries. 
 
Customs Reforms 
--------------- 
 
-Allow me to highlight a couple other issues that are of particular 
interest to U.S. companies doing business, and thinking of doing 
business, in Thailand. 
 
- The first is customs reform.  Broadly speaking, our companies 
continue to rate customs issues as the main hurdle to doing business 
in Thailand. 
 
BANGKOK 00002848  002.2 OF 002 
 
 
 
- We are concerned that Thailand has some practices, such as the 
penalty sharing regime, which is unique to Thailand and appears to 
be in contradiction to the World Customs Organization Kyoto 
Protocol. 
 
-We hope that in your government's consideration of Customs Law 
reforms, you can take a careful look at your customs practices and 
work to bring Thailand's regulations in line with international best 
practices.  Transparency, predictability, and certainty of customs 
treatment of imports, particularly customs valuation, are key in 
this regard. 
 
- You are probably familiar with the Amway case. Amway is the 
largest importer of American goods in Thailand and has been an 
excellent corporate citizen in Thailand for over 28 years and 
supports more than 100,000 individual business owners. We appreciate 
the indications of help we have received thus far from officials in 
your government, and I would like to underscore the importance of 
resolving this case in a way that treats Amway fairly and commands 
the respect of the international business community 
 
 
Uncertainties at Map Ta Phut 
----------------------------- 
 
- A second issue is the controversy at Map Ta Phut.  As a country 
that highly values environmental protection and the safety of 
workers, we fully understand the concerns that have led the Courts 
to suspend new construction. 
 
- Moreover, U.S. companies in that area are proud of their record in 
environmental protection and uphold standards that exceed current 
requirements. 
 
-If the expansion plans of these companies, Dow Chemical and Star 
Petroleum do not get back on track fully, some 10,000 local jobs 
will be lost and the companies could incur losses in the tens of 
millions of dollars monthly. Moreover, the reputation of Thailand as 
a good place to invest could be harmed. 
 
- We hope that your government will work in an expeditious manner to 
resolve the uncertainties surrounding investments in Map Ta Phut and 
in the neighboring industrial estates. 
 
 
JOHN