US embassy cable - 05ABUDHABI1006

C O N F I D E N T I A L SECTION 01 OF 03 ABU DHABI 001006 
 
SIPDIS 
 
STATE FOR EB/TPP/BTA, NEA, NEA/ARPI, NEA/PI 
STATE PASS USTR FOR DOUG BELL 
 
E.O. 12958: DECL: 03/02/2015 
TAGS: ETRD, EINV, ELAB, ECON, PREL, USTR, NEA/PI 
SUBJECT: POINTS FOR A/USTR NOVELLI'S FTA BILATS 
 
REF: ABU DHABI 992 
 
Classified By: Classified by Ambassador Michele Sison for reasons 1.4 ( 
b and d) 
 
1. (U) Summary. During your March 7-11th visit to the United 
Arab Emirates for the first round of Free Trade Agreement 
negotiations, you will have a number of bilateral meetings 
with senior UAEG officials.  We are providing short bios of 
your interlocutors and an overview of probable points of 
discussion during the meetings.  End summary. 
 
--------------------------------------------- -- 
Bilateral Meetings - Subjects and Sensitivities 
--------------------------------------------- -- 
2. (C) Sheikh Mohammed bin Zayed Al-Nahyan(MbZ):  MBZ, the 43 
year old Crown Prince of Abu Dhabi and Deputy Supreme 
Commander of the UAE Armed Forces, is an articulate, forceful 
interlocutor.  Your meeting with him will be a broad, 
strategic discussion that will likely move beyond trade 
issues into a discussion on regional stability.  New UAE 
President Sheikh Khalifa appears to have delegated much of 
the management of the Emirate of Abu Dhabi (the wealthiest of 
the seven emirates) to MbZ.  He is seen as a dynamic leader 
and a modernizer, and throughout the Emirates there are high 
expectations for change from his influence in Abu Dhabi and 
by extension the federation of seven emirates.  MbZ is 
pro-U.S. and has been fully supportive of our effort in Iraq. 
 His visible strengths are his ability to always see the 
bigger picture and his clear vision for the future. He has a 
sense of humor, and always likes to get to know his guests on 
a personal basis.  Address him as "Your Highness."   MbZ 
speaks fluent English. 
3. (C) Minister of State for Foreign Affairs Sheikh Hamdan 
bin Zayed al-Nahyan:  Sheikh Hamdan -- an articulate 
spokesman for UAE foreign policies -- has managed the US 
portfolio since joining the Foreign Ministry in 1986.  Sheikh 
Hamdan, Chairman of the federal Camel Racing Association, is 
personally involved in trying to address the problem of the 
use of underage South Asian boys as camel jockeys, and 
although he is sensitive to criticism on the issue, it should 
be raised with him.  This is not an easy task given the heavy 
hitters involved within the ruling families and the large 
sums of money generated in the camel racing business.  During 
your meeting with Sheikh Hamdan, he will likely raise the 
issue of Saudi Arabia's stability, and he may bring up the 
companies and agencies law.  Hamdan relishes being consulted 
by senior U.S. officials and is a close contact of the 
Embassy. He has a straightforward communication style. He 
speaks some English, but prefers to use an interpreter. 
Address him as "Your Highness." 
4. (C) Minister of Information Sheikh Abdullah bin Zayed 
al-Nahyan: Sheikh Abdullah has been a moderating influence on 
UAE media and has expanded freedom of press in the UAE since 
taking office in 1997.  Abdullah has asked U.S. officials to 
identify training opportunities for broadcast media. His 
portfolio includes copyright protection and he has strongly 
supported IPR protection, urging US officials to bring IPR 
problems to him. In recent years he has taken a more active 
role in foreign affairs often attending Arab League summits. 
Like many Emiratis, he owns a number of private businesses 
and acts as a sponsor for foreign firms, thus he is sensitive 
to the agency laws issue.  Abdullah is a candid and engaging 
official, and generally couches his criticism of U.S. 
policies in the Middle East in terms of "friendly advice." 
Abdullah is thoughtful and weighs his responses carefully. He 
is extremely well-read, a news-junkie, very bright, and known 
for thinking outside the box.  Although Sheikh Abdullah's 
portfolio is the Minister of Information, he has become an 
increasingly active player in the running of Abu Dhabi, and 
he is trusted and relied upon by his elder brother, MBZ. 
Your meeting with Sheikh Abdullah may be combined with the 
MBZ meeting.  He speaks fluent English and is addressed as 
"Your Highness." 
5. (C) Minister of Labor Dr. Ali bin Abdullah al-Ka'abi: Upon 
his appointment in late 2004 as Minister of Labor, Dr. Ali 
bin Abdullah al-Ka'abi stressed that his priority would be to 
address the UAE,s demographic challenges and organize the 
labor force so that &current nagging problems are 
resolved.8  His key challenge will be to pass and implement 
new labor laws.  He has told us that the UAE is committed to 
moving forward on developing labor unions, but that the UAEG 
is concerned about balancing its commitment to improving 
workers' rights with the security and social challenges of 
having a 98 percent foreign worker population in the private 
sector.  He recognizes that inclusion of expatriates in the 
new laws is a key issue for the United States, and he 
emphasized that he was not interested in having Emirati-only 
labor unions.  He has announced the formation of a committee 
within the Ministry to help manage the labor market, by 
addressing issues of transparency and clientele service.  He 
has previously worked in Defense Attache Office of UAE 
Embassy in Washington.  Address him as "Your Excellency." 
6. (C) Dubai Crown Prince Mohammed bin Rashid Al Maktoum 
(MBR): MBR is dynamic and capable.  Although he holds the 
title of UAE Defense Minister, he has no role in the 
decisions, staffing, or funding of the UAE Armed Forces.  He 
prefers commercial ventures and is largely responsible for 
Dubai,s economic growth and diversification.  At a meeting 
of the Dubai Economic Council last week, MBR emphasized that 
all sectors should be ready for trade agreements in order to 
"benefit from the gains."  MBR is well disposed toward the 
United States -- Dubai hosts nearly 600 U.S. Navy ship visits 
annually, more than any other port outside the US -- and he 
believes the U.S. military presence in the Gulf is mutually 
beneficial, maintaining balance in the region.  MBR is a big 
picture thinker, and your meeting is likely to cover a broad 
range of subjects, but you should raise labor and camel 
jockeys with him.  MBR has expressed shock at the abuse of 
underage camel jockeys as documented by HBO, and has pledged 
to eliminate the problem; his actions have lagged behind the 
rhetoric, however.  (Note: MBR and his elder brother, Sheikh 
Maktoum bin Rashid Al Maktoum, Ruler of Dubai, are both in 
favor of solving the problem with underage camel jockeys. 
The third brother, Sheikh Hamdan bin Rashid Al Maktoum does 
not.  End note)   He speaks fluent English and is addressed 
as "Your Highness." 
7. (C) In title, Minister of Finance Sheikh Hamdan bin Rashid 
Al Maktoum is the UAE's senior official for economic, fiscal, 
and trade policy, but he delegates the task of running the 
Ministry to the Minister of State for Finance and Industrial 
Affairs (Dr. Khirbash).  Sheikh Hamdan bin Rashid performs 
the protocol duties of his ministerial position, such as 
approving projects, issuing internal documents and public 
statements, and meeting with foreign officials in the UAE. 
Although he is disengaged from his federal-level Ministerial 
portfolio, he actively attends to Dubai's emirate-level 
municipal and financial affairs such as social services, 
utilities, infrastructure, and municipal regulations.  He has 
served as the Minister of Finance and Industry since 1973 and 
has been Deputy Ruler of Dubai since 1995.  HbR is one of the 
principal obstacles to a succesful resolution of the camel 
jockey problem.  He reportedly enjoys the sport racing of 
young camels, which can only support the weight of very young 
boys.  Sheikh Hamdan bin Rashid supports increased trade with 
the United States.  He speaks English, although in his 
October 2004 meeting with USTR Zoellick he used MinState 
Khirbash as an interpreter.  Address him as "Your Highness." 
 
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UAE Delegation Leaders 
----------------------- 
 
8. (C) The UAE FTA Negotiations will be headed by Minister of 
State for Financial and Industrial Affairs, Dr. Mohammed 
Khalfan bin Khirbash and Minister of Economy and Planning 
Sheikha Lubna Al-Qasimi. 
 
-- Dr. Mohammed Khalfan bin Khirbash serves as de facto 
Minister of Finance.  He is a well-regarded reformer who 
appears to have the support of both the Abu Dhabi and the 
Dubai ruling families.  His interest in expanding the UAE,s 
trade relations abroad are based on economic, rather than 
political considerations, and he is regarded by Emiratis as a 
level-headed businessman and savvy diplomat.  Khirbash wields 
considerable influence in both governmental and business 
circles. He is particularly adept at refereeing and settling 
bureaucratic turf battles inherent to the loose, confederal 
structure of the UAE.  He completed a BA at Boston University 
and a Ph.D. in Economics from Exeter University.  Khirbash, 
who speaks fluent English, is addressed as "Your Excellency." 
 
 
-- Sheikha Lubna Al-Qasimi is the first female minister.  An 
excellent contact of the U.S. Embassy and Consulate General, 
Sheikha Lubna is a warm, dynamic and highly intelligent 
leader who has cultivated close ties with many U.S. officials 
and business leaders.  Sheikha Lubna is a true believer in 
open economies and free trade.  While other UAE interlocutors 
have expressed concern about the dislocating effects that an 
FTA might have on Dubai families who rely on mandatory 
&agency8 relationships with U.S. firms, Lubna has little 
patience for that view. (Note: that comment was made before 
she herself became a full-time bureaucrat; she has been 
noticeably more circumspect since then!)  Embassy contacts at 
the Ministry of Finance and Ministry of Economy have both 
expressed support for her appointment, saying that "she will 
shake up the place" by reforming a generally backward leaning 
bureaucracy and pushing forward economic reform. Sheikha 
Lubna holds a Bachelor of Science degree from California 
State University at Chico and an Executive MBA from the 
American University of Sharjah.  She appreciates being 
addressed as "Your Highness." 
 
SISON