US embassy cable - 04ROME4646

C O N F I D E N T I A L  ROME 004646 
 
SIPDIS 
 
 
E.O. 12958: DECL: 12/06/2014 
TAGS: PREL, PHUM, MARR, IT, CI, EUN, HUMAN RIGHTS 
SUBJECT: EU/CHINA ARMS EMBARGO; MFA PROVIDES DETAILS ON 
FINI/CIAMPI'S BEIJING REMARKS 
 
 
Classified By: DCM EMIL SKODON.  REASON: 1.4 (B)(D) 
 
1. (C) Summary: MFA Political Director Giulio Terzi told DCM 
that there was "nothing new" in what Italy said to the 
Chinese on the EU arms embargo during the Italo-China Summit. 
He said that Italy would support lifting the embargo in 
Brussels, but that support would be linked to positive 
signals from Beijing on human rights and strengthening the 
Code of Conduct.  Notwithstanding Terzi,s disclaimers, it 
appears the Italians have moved from an &on the fence, 
leaning against8 position to one of barely qualified support 
for lifting the embargo.  End Summary. 
 
2. (C) Terzi called in DCM December 6 to explain President 
Ciampi's and FM Fini's comments on the EU/China Arms Embargo 
reported in that morning's press.  A number of wire services 
and Italian dailies reported that Ciampi and Fini had called 
for lifting the embargo during their visit to Beijing for the 
Italy-China Summit (see para 6 for more detail on reported 
comments). 
 
3. (C) Terzi, on his first day as PolDir, was accompanied by 
Americas DG Ludovico Ortona and Far East Office Director 
Cristina Ravaglia; poloff accompanied DCM.  Terzi made clear 
that he had received instructions from Fini to explain in 
more detail the reported comments.  Terzi claimed that there 
was "nothing new" in what was said to the Chinese during the 
Summit.  Italy continues to share US concerns regarding the 
effect sales of sophisticated weapons systems to China could 
have on regional stability, and the signals lifting the 
embargo could send regarding its human rights situation. 
 
4. (C) DCM commented that the USG understanding was that a 
definite EU decision to lift the embargo was not/not likely 
in December, and asked if this understanding needed to be 
revised in light of Fini,s comments.  Terzi said that there 
was unlikely to be any acceleration to the debate in 
Brussels, so it was therefore unclear whether the EU would 
reach consensus to lift the embargo during the Dutch 
Presidency.  He underlined that if there is a "positive move" 
to lift, Italy will join the decision.  Terzi added that Fini 
had told his interlocutors in Beijing that any "evolution" in 
Brussels would require "concrete steps" towards an improved 
human rights situation in China, including moves towards 
Tibet, that would indicate China is on the right path. 
 
5. (C) DCM told Terzi that the USG remainsopposed to lifting 
the embargo, and would be Qoncerned about the apparent shift 
in the ItalQan position.  At the least, we hoped Italy would 
advocate definite steps from China on huma rights before the 
emrgo was lifted rather re 
action, and also Qncluded some binding 
pQvent individual member st floodgates to arms sa 
Italy did not want ttrategic 
imbalance l`l u, confirmed that 
Italy looks with favor at the lifting of the embargo on the 
export of arms and is actively working to make it possible." 
Fini told the press that Italy "has always been of the 
opinion that maintaining the embargo on the sales of arms to 
China is in contrast with the spirit of the strategic 
partnership" between the EU and China.  In response to press 
speculation that Fini and Ciampi's statements were a quid pro 
quo for China's support for Italy's views on UNSC reform, 
Fini said that "there was not, and there is not, an exchange 
with China between lifting the arms embargo by the EU and 
Italy's position on UN reform." 
 
7. (C) Comment:  Terzi worked hard to downplay his Formin,s 
comments in Beijing.  Nevertheless, they are disappointing. 
Our understanding until now had been that the Italians were 
on the fence about lifting the embargo and would go along 
with the EU consensus.  Now it appears they have decided to 
advocate openly for a consensus that provides early lifting 
of the embargo in return for a code of conduct and 
unspecified human rights concessions from the Chinese.  Given 
the large contingent of Italian business people who 
accompanied Ciampi and Fini to Beijing, hopes of more access 
to the growing Chinese market probably lie behind the shift 
in the Italian position.  End Comment. 
 
SEMBLER 
 
 
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NOTE:  PARA NUMBERING (NO PARA#6) AND GARBLE 
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 2004ROME04646 - Classification: CONFIDENTIAL