US embassy cable - 04KUWAIT4411

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KUWAITI FM ON BAHRAIN FTA AND THE GCC SUMMIT

Identifier: 04KUWAIT4411
Wikileaks: View 04KUWAIT4411 at Wikileaks.org
Origin: Embassy Kuwait
Created: 2004-12-19 13:59:00
Classification: CONFIDENTIAL
Tags: PREL ECON KU SA BA
Redacted: This cable was not redacted by Wikileaks.
This record is a partial extract of the original cable. The full text of the original cable is not available.


 
C O N F I D E N T I A L KUWAIT 004411 
 
SIPDIS 
 
E.O. 12958: DECL: 12/18/2014 
TAGS: PREL, ECON, KU, SA, BA 
SUBJECT: KUWAITI FM ON BAHRAIN FTA AND THE GCC SUMMIT 
 
 
Classified By: Ambassador Richard LeBaron for reasons 1.4 (B) and (D) 
 
1. (C) During a December 18 meeting on another topic, Kuwaiti 
Foreign Minister Shaykh Dr. Mohammed Sabah Al-Salem Al-Sabah 
updated Ambassador LeBaron and British Ambassador Christopher 
Wilton on the GCC ministerial gathering earlier this month. 
As reported by others, Saudi FM Saud Al-Faisal's objections 
to Bahrain's free trade agreement (FTA) with the U.S. brought 
an abrupt end to the meeting. According to Dr. Mohammed, the 
Saudi FM reportedly contended that an FTA with only one GCC 
member would puncture a hole in the customs union, allowing 
U.S. products to enter into the rest of the GCC countries 
without proper tariffs. According to Dr. Mohammed, the Saudi 
FM proposed three alternatives: Bahraini nullification of its 
FTA with the U.S., Bahraini delay of FTA implementation until 
other GCC members catch up, or GCC abandonment of internal 
economic cooperation completely. The British Ambassador added 
that the European Union (EU) would like the GCC to develop a 
cohesive customs union before progressing with EU-GCC FTA 
discussions; therefore, pursuing the third Saudi option would 
derail EU-GCC cooperation. 
 
2. (C) According to FM Dr. Mohammed, the GCC Finance 
Ministers, meeting December 18 in Bahrain, would try to work 
out problems between the Saudis and the rest of the bloc.  FM 
Dr. Mohammed said Saudi Crown Prince Abdullah has agreed to 
attend the GCC Summit, which he viewed as an indicator that 
the Saudis were not going to sabotage the summit over the FTA 
issue. 
 
********************************************* *** 
Visit Embassy Kuwait's Classified Website: 
http://www.state.sgov.gov/p/nea/kuwait 
 
You can also access this site through the 
State Department's Classified SIPRNET website 
********************************************* *** 
 
LEBARON 

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