US embassy cable - 05OTTAWA2833

UNCLAS OTTAWA 002833 
 
SIPDIS 
 
SENSITIVE 
 
DEPARTMENT PASS TO USTR 
 
E.O. 12958: N/A 
TAGS: CA, KIPR, ETRD, ECON 
SUBJECT: DEMARCHE TO CANADA ON SPECIAL 301 OUT-OF-CYCLE 
REVIEW 
 
REF: SECSTATE 173476 
 
1.  On September 20, Econoffs met with officials of 
International Trade Canada's (ITCan) Intellectual Property 
Division to discuss the plan of action for Canada's upcoming 
Special 301 out-of-cycle review (reftel).  After reciting 
their usual criticism of the Special 301 process in general, 
the Canadians' primary objections were that the plan of 
action does not seem to give them credit for progress already 
made and that the tone of the plan is too 'one-way' and 
dictatorial.  ITCan emphasized again that it will be easier 
to motivate Canadian officials and policy-makers if the 
out-of-cycle review is couched in terms of bilateral 
team-work and the Security and Prosperity Partnership (SPP). 
ITCan fears that a document such as the plan of action, if 
made public, would have the result of offending the very 
officials USTR hopes will make progress on Intellectual 
Property Rights (IPR) protection. 
 
2. "The more I read the more (annoyed) I get" was the 
reaction of our main ITCan interlocutor.  With the caveat 
that an official response would have to wait until they have 
had time to read the plan of action in detail, ITCan gave an 
initial negative feedback on the overall tone of the plan. 
In the interests of bilateral relations, and in recognition 
of the fact that certain U.S. and Canadian agencies have 
stepped up cooperation on IPR protection (for example the 
recent Royal Canadian Mounted Police and Canada Border 
Services Agency visit to DHS headquarters), Embassy believes 
it would be helpful to phrase the plan of action more in 
terms of cooperation than censure. 
 
3.  The Canadians were quite concerned about the text of the 
upcoming Federal Register notice, and they requested advance 
notice of the timing and the text of the notice so that they 
can prepare International Trade Minister Peterson for damage 
control.  We have since given ITCan the draft text provided 
by USTR (comment:  According to USTR, the draft text as 
submitted to the Federal Register reads:  "On April 30, 2005, 
USTR announced the results of the 2005 Special 301 review and 
stated that Out-of-Cycle Reviews (OCRs) would be conducted 
for Russia, Canada, Indonesia and the Philippines.  USTR will 
conduct these OCRs in early 2005.  USTR requests written 
comments from the public concerning the acts, policies, and 
practices relevant for this review under Section 182 of the 
Trade Act."  End comment.) 
 
4.  On the subject of a U.S.-Canada IPR working group (reftel 
paragraph 5), ITCan officials noted their IPR efforts in a 
number of fora, suggesting that they are approaching 
'working-group overload'.  ITCan suggested that a working 
group with minimal administrative requirements (possibly 
formed on the edges of SPP or other already-scheduled 
meetings) would be helpful to them.  (Comment:  A 'virtual 
working group', utilizing digital video conference technology 
and email, might be a potential alternative. End comment.) 
 
5.  We have requested more detailed feedback on the plan of 
action from ITCan and other members of the Canadian working 
group on IPR and will pass any comments on to USTR and the 
desk when we receive them. 
 
Visit Canada's Classified Web Site at 
http://www.state.sgov.gov/p/wha/ottawa 
 
WILKINS