US embassy cable - 04KINSHASA2122

C O N F I D E N T I A L SECTION 01 OF 02 KINSHASA 002122 
 
SIPDIS 
 
E.O. 12958: DECL: 11/18/2014 
TAGS: PREL, PINR, ECON, ENRG, EINV, EMIN, ETRD, PGOV, CG, CH, KN 
SUBJECT: DRC VISIT TO CHINA, N. KOREA - HYDROELECTRICITY 
AND ROOF TILES MAJOR PROSPECTS 
 
REF: REFTEL: KINSHASA 1958 
 
Classified By: PolCouns MSanderson, reasons 1.4 b/d. 
 
1. (C)  Summary:  Presidential advisor Andre Kapanga, the 
second-ranking official on the DRC delegation to China and 
North Korea, told PolCouns November 17 that meetings focused 
on investment opportunities in the DRC, particularly 
hydroelectrical generation and production of roof tiles. 
China offered the DRC a $3 million line-of-credit, in 
addition to $1.5m to purchase office supplies for the 
Congolese Foreign Ministry.  A second visit to China is 
planned in March or April, although Kapanga said he didn't 
think the Congolese would go back to North Korea, given that 
the Koreans are "even worse off" than the Congolese.  Kapanga 
said that although the Congolese delegation met in both 
countries with military elements there was no discussion of 
trade in minerals, nor will Congo be receiving military 
assistance from either China or North Korea.  End Summary. 
 
2. (C)  A six-person Congolese delegation led by Foreign 
Minister Ramazani Baya and Presidential advisor Andre Kapanga 
visited China and North Korea at Chinese and Korean expense 
November 3-13.  In China the Congolese visited Beijing, 
Shanghai and Chenji (a free trade zone on the mainland across 
from Hong Kong); in North Korea they were limited to the 
capital city.  According to Kapanga, the Congolese delegation 
made clear the DRC's interest in attracting investment, 
particularly for assembly operations which could employ 
unskilled Congolese labor. 
 
Chinese Offer Line of Credit 
 
3. (C)  Kapanga said that during a meeting with the Chinese 
Deputy Foreign Minister, the Chinese government offered the 
DRC a $3 million line-of-credit which the DRC can use for 
purchasing Chinese goods or equipment.  In addition, China 
will give the DRC $1.5m worth of office supplies and 
equipment to support the Congolese Foreign Ministry's 
operations, and up to 20,000 military uniforms.  Kapanga 
seemed puzzled himself as to what good 20,000 uniforms would 
be for a military current numbering roughly 300,000 soldiers, 
but said that the DRC had accepted the offer.  (Note:  China 
has a history of assisting the DRC Foreign Ministry, and 
China also built the Congolese Parliament in the 1970's.  End 
Note.)  Kapanga said that although the Congolese delegation 
did have a "courtesy meeting" with some Chinese military 
officials, no military training or assistance was offered nor 
sought, and there was no discussion with the Chinese of 
exploiting Congo's uranium, coltran or other mineral 
deposits.  Instead, China noted that possibility of building 
micro-dams to provide electricity to underserved areas of the 
Congo, using either hydro or thermo technology, as 
appropriate.  While enthusiastic over this prospect, Kapanga 
wryly noted that financing these projects, which the Chinese 
initially estimated at about $50 million, would be a 
challenge. 
 
North Korea Could Produce Roofing Tiles 
 
4. (C)  Kapanga emphasized how struck he was with the 
regimentation of North Korea (his driver, for instance, never 
spoke to him nor looked directly at him during the entire 
three-day stay, although he did quickly pocket the $50 
gratuity that Kapanga offered).  He spoke with some 
resentment of being forced to visit Kim's tomb, and of the 
delegation's being shown on Korean television bowing to the 
well-preserved icon.  He noted, with revulsion, that all the 
officials repeated constantly the "party line" extolling the 
brilliance of Kim and all their leaders, and virtually 
refused to engage in any real conversation.  He said the 
poverty and malnutrition visible on the trip into the city 
from the airport was in shocking contrast to the opulent 
marble palaces in which the government officials conducted 
business, and said the entire Congolese delegation was 
appalled by this contrast.  Although they met with two firms 
interested in producing roofing tiles in the Congo, Kapanga 
said he didn't think this would likely bear fruit, since 
neither North Korea nor the Congo has the financing necessary 
to found such a business.  Again, the Congolese met with a 
military delegation, but Kapanga said that there was no offer 
of military assistance, and particularly there was no 
discussion of accessing the DRC's uranium at Shinkolobwe mine 
in Katanga. 
 
5. (C)  Kapanga said that the Congolese likely will return to 
China for a second visit in March or April 2005 to explore 
more concrete ideas related to the line-of-credit offered by 
China, but stated categorically that they would not be going 
back to North Korea. 
 
Comment 
 
6. (C)  Visiting China at least has some logic, given that 
the Chinese do have financial capacity, political and 
economic links to the DRC, and a number of Chinese 
businessmen currently in the Congo, particularly in Katanga 
and Oriental Provinces.  However, North Korea remains a 
stretch and leaves us thinking, if not of uranium -- and we 
don't doubt Kapanga when he says the delegation didn't 
discuss uranium sales with the North Koreas -- at least of 
conventional arms.  The DRC could be seeking to upgrade its 
armaments to better defend itself -- although better arms in 
the hands of untrained and incompetent military is more 
frightening than effective.  In any event, there are things 
which just don't ring true about this visit; for instance, 
another Presidential advisor told the Ambassador that 
President Kabila had not been fully informed about this trip 
in advance, and hadn't even known that Kapanga would be going 
along.  We will try to get the Foreign Minister's perspective 
on the trip when he returns to the DRC from his current 
travels in early December. 
MEECE