Search

 

Cablegate: Keep On Movin': Ambassador Promotes U.S. Companies to Meet

VZCZCXRO7577
RR RUEHCHI RUEHDT RUEHFK RUEHHM RUEHKSO RUEHNAG RUEHNH RUEHPB
DE RUEHHI #1308/01 3381123
ZNR UUUUU ZZH
R 041122Z DEC 09
FM AMEMBASSY HANOI
TO RUEHC/SECSTATE WASHDC 0526
INFO ASEAN MEMBER COLLECTIVE
ASIAN PACIFIC ECONOMIC COOPERATION
RUCPDOC/DEPT OF COMMERCE WASHINGTON DC
RUEHHM/AMCONSUL HO CHI MINH CITY 0230

UNCLAS SECTION 01 OF 02 HANOI 001308

SENSITIVE
SIPDIS
COMMERCE FOR 4430/ITA/MAC/OPB/VLC/HPPHO
COMMERCE PASS TO ADVOCACY CENTER
US TDA PASS FOR DIANA ROSSITER
STATE/EEB PASS TO OPIC

E.O. 12958: N/A
TAGS: EAID EAIR EFIN EINV ELTN ECON VM
SUBJECT: Keep on Movin': Ambassador Promotes U.S. Companies to meet
Vietnam's Transportation Infrastructure Needs

1. (SBU) Summary: The Ambassador advocated on behalf of U.S.
businesses in a November 30 meeting with Vietnam's Minister of
Transportation, emphasizing that U.S. companies' technology and
experience could play an important role in the development of
Vietnam's transportation sector. Ambassador also urged the
Minister to increase personnel and resources necessary for Vietnam
to pass an FAA safety audit required for direct flights to the
United States. End Summary.

2. (SBU) The Ambassador highlighted the potential contribution of
U.S. companies - with their world class technology and experience -
in the development of Vietnam's transportation infrastructure in a
November 30 meeting with Vietnam's Minister of Transportation Ho
Nghia Dung. Vietnam, with an estimated USD $200 billion in new
infrastructure needs over the next five years, is actively courting
Foreign Direct Investment (FDI) in infrastructure, particularly in
the transportation sector. The Ambassador noted that a number of
U.S. companies have recently expressed strong interest in
infrastructure projects in Vietnam. For example, Raytheon has
introduced to the Ministry of Transportation (MOT) smart highways
technology, which allows charging freight on roads without toll
booths. Several U.S. locomotive engine providers have met with
Vietnam Railways to discuss how they might assist in the upgrading
of the Vietnamese national rail system, specifically in equipment
and railway line technology. U.S. companies are also interested in
Vietnam's civil aviation sector: John Bean Technology Corporation
has submitted a bid to supply passenger boarding bridges at Danang
Airport; Airis is vying to develop the second terminal at Hanoi's
Noi Bai Airport; and GHS Aviation Group has submitted a proposal to
provide technical assistance to upgrades of the aviation
authorities' safety and inspection system.

3. (SBU) On civil aviation, Ambassador urged Minister Dung to
increase personnel and resources sufficiently to meet safety
standards for eventual direct flights to the U.S., and encouraged
him to consider the proposal by GHS Aviation Group to assist with
meeting those standards. The USG has provided Vietnam's Civil
Aviation Authority (CAAV) significant assistance in the form of a
3-year TDA-funded Civil Aviation Oversight project. Vietnam has a
tough hill to climb to raise its oversight, certification, and
inspection regime to international standards.

Background

----------

4. (U) Rapid economic growth has seriously strained Vietnam's
physical infrastructure. Long lead times from project planning
through completion have raised concerns about the impact
construction delays will have on the country's economic
development. Vietnam currently spends about 8-9% of GDP on
infrastructure, mostly financed by Overseas Development Assistance
(ODA); estimated demand is 11% of GDP. Current GVN and ODA funding
for infrastructure is inadequate to address the estimated $200
billion in new infrastructure needed over the next five years.
Capital needs for transportation infrastructure up to 2020 are an
estimated USD $116 billion.

5. (U) The USG provides a variety of assistance to help the GVN
meet the country's infrastructure demands. For example, USAID
has proposed private financing solutions to address the funding
shortfall for infrastructure projects. The U.S. and Japan are
co-sponsoring a Study Mission to the Philippines December 6-10 for
GVN officials to see how an operational infrastructure fund that
combines ODA, state funds, and private investment is being used to
finance water supply infrastructure. In addition to the Civil
Aviation Authority project, USTDA also funded an orientation visit
to the U.S. about intelligent highways by GVN highway and
transportation officials in August.

HANOI 00001308 002 OF 002


MICHALAK
Michalak

© Scoop Media

 
 
 
World Headlines

 

Tigray: Eritrean Refugees ‘scared And Struggling To Eat’ Amid Aid Obstacles
For the first time in weeks, aid teams have reached refugee camps in Ethiopia’s Tigray region, only to find that some Eritrean nationals living there have likely died of preventable diseases, while others are “scared and struggling to get enough to eat”, the UN Refugee Agency, UNHCR, said on Friday...
More>>

UN News: Rare Coral Reef Discovered Near Tahiti Is ‘Like A Work Of Art’, Says Diver
One of the largest coral reefs in the world has been discovered by a UN-supported scientific mission off the coast of Tahiti. Announcing the stunning find on Thursday, UNESCO said that divers had explored large rose-shaped corals spanning some three kilometres, at depths of between 30 and 65 metres... More>>


Tonga Eruption: At Least 3 Dead, Amid Severe Destruction
At least three people have died in Tonga following the massive volcanic eruption and subsequent tsunami wave that hit over the weekend. Homes and other buildings across the archipelago have suffered major damage... More>>

Ethiopia: UN Chief Lauds ‘Demonstrable Effort To Make Peace’

The UN Secretary-General on Wednesday said he was “delighted” to learn that “a demonstrable effort to make peace” in Ethiopia is finally underway, according to information relayed to him by the African Union High Representative for the Horn of Africa... More>>


Tigray: Agencies Suspend Aid As ‘Scores’ Are Killed Due To Airstrikes
Recent airstrikes on camps for internally displaced persons and refugees in Tigray, northern Ethiopia, have reportedly killed scores of civilians, including children, and left many more injured... More>>


UN News: For 25th Year In A Row, Greenland Ice Sheet Shrinks

2021 marked the 25th year in a row in which the key Greenland ice sheet lost more mass during the melting season, than it gained during the winter, according to a new UN-endorsed report issued on Friday... More>>


 
 
 
 
 
 
 
  • Pacific.Scoop
  • Cafe Pacific
  • PMC