58. Memorandum From Secretary of State Haig to President Reagan1
SUBJECT
- A Strategy for Cancun
We need a carefully constructed strategy to achieve US objectives at Cancun. A number of countries are already working in informal caucuses (France, Mexico, India and Sweden) to gain their objectives which are not necessarily ours.
The US has multiple objectives to achieve at Cancun.
- 1.
- To use the Summit to develop personal relationships between you and other heads of state or government that can be useful in achieving bilateral and regional objectives;
- 2.
- To emphasize that the US is sensitive to the economic development problems and concerns of the developing countries, that it has a positive record of support and that it is committed to further efforts by itself and in concert with others.
- 3.
- To demonstrate that we have a positive, substantive program for addressing the problems of the developing nations—one which integrates foreign assistance, trade, investment, and technical assistance;
- 4.
- To explain our foreign economic policy toward developing countries and launch, if possible, a cooperative international effort toward a “new era of growth;”
- 5.
- To arrive at a satisfactory solution to the issue of Global Negotiations, including a follow-on consultative process if necessary; and
- 6.
- To reinforce our bilateral relationship with Mexico by contributing to Lopez Portillo’s prestige and having the conference end successfully.
A majority of the countries attending Cancun views it as an opportunity to apply political leverage to the more conservative countries (UK, FRG, Japan and Saudi Arabia) but especially to the US. They want the US:
- a)
- To accept a commitment to assist in the economic development of the developing world through concessional assistance, technical help, and support for their objective of increasing exports and investment, without an overlay of East/West over North/South;
- b)
- To accept a commitment to negotiations in the political framework of the UN (i.e. Global Negotiations),
- c)
- To accept a commitment for immediate help on the pressing problems of financing energy production and imports, providing adequate food security, and increasing assistance to the very poor countries who participate only marginally in the world economy.
The objectives of the majority can best be achieved in multilateral political meetings. The US objectives are best achieved in the multilateral functional organizations (GATT, IMF, World Bank), regionally, and bilaterally. We therefore need a strategy that emphasizes multilateral functional, regional, and bilateral contacts over multilateral political participation.
A Bilateral Strategy
While the plenary meeting will be at center stage at Cancun and your statements there will be the major element of your presentation, the bilateral meetings will enable you to carry the US position and your commitment to development cooperation in a more personal manner. Given time limitations, you will need to focus your time on the participants from developing countries. I suggest you see all developing country heads of state or government for at least a courtesy meeting. You can spend more time with key developing countries (China, India, Tanzania, Algeria, and Nigeria) for discussion of bilateral and multilateral issues. These key countries should be seen first on Wednesday, October 21, to stress, bilaterally, our key multilateral objectives.
The US will attempt to hold the multilateral aspects of the meeting within the agreed procedures of the August 1–2 preparatory meeting: An open and informal meeting with no agenda and no communique. A summary of the conference will be provided by the co-chairmen, on their own responsibility, soon after its close on October 23.
[Page 166]A Press Strategy
The press will be frozen out of the conference hotel, and all contacts must be made elsewhere. We are setting up an American press center. There will be little coverage of the multilateral meeting until the final press conference by Lopez Portillo and Kreisky. The press will be hungry. We plan to arrange some way for the bilaterals to be covered by press and photographers so a constant stream of US meetings is the news from Cancun. Secondly, frequent press briefings by US spokesmen on the multilateral meeting should follow the pattern established in Ottawa.
Your Speech on or About October 14
This speech should put you in a forward posture, advocating a positive and specific program and seeking international cooperation. It should contain specific elements and your substantive approach, since you will not have the time to spell this out at Cancun.2
The speech should be oriented toward a domestic audience and stress US interests (economic, political and humanitarian) in developing countries. It should explain the link between domestic economic recovery and a healthy world economy. (One in eight jobs is tied to US exports; the product from one in every three acres harvested is sold abroad.) You are, therefore, going to Cancun to establish the basis of a “new era of growth” for the mutual benefit of all countries. Key to this program in the US view are open trade, increased investment flows, access to energy, and adequate food supplies. Concessional aid will be important for the poorest countries and for projects which cannot be financed by the private sector.
Your speech to the IMF/IBRD annual meetings, Don Regan’s speech to the same group, and my presentation to the UNGA lay out our general policy. The October 14 speech would put flesh on these bones and explains to the public why you are committing your time to the Cancun meeting.
Statement for the Opening Session at Cancun3
Timing of the statement will be important. This can be arranged with the Mexicans and Austrians. The statement will be the keynote off of which others will respond. I would suggest that you speak in third or fourth position, after the Mexican introductory statement.
[Page 167]The statement should express our sensitivity to LDC problems, explain our record, and lay out our policy, including the desire to establish a new “era of growth.” This new era must be built on certain basic elements (trade, investment, energy, food, and concessional assistance to the poorer nations). Our initiative package is tied to these basic elements (see attachment).4
The statement should also contain our first public word on the issue of Global Negotiations. I don’t believe an earlier announcement of our position would be useful. We will not satisfy everyone, and an early disclosure of the position will just set us up for criticism.
- Source: Department of State, Bureau of Economic and Business Affairs, Investment Policy Files, 1981–1984, Lot 85D193: Cancun Summit—Scope. Secret. A typed notation in the top right-hand corner of the memorandum reads: “Sent to Mr. Darman, White House, by courier 10/8 9:40 a.m. lcd.” Also printed in Foreign Relations, 1981–1988, vol. I, Foundations of Foreign Policy, Document 65.↩
- Under an October 7 memorandum from Allen to multiple recipients, Allen forwarded an outline of the speech. He wrote in the memorandum that the “elements of that speech would set the tone of the U.S. position at Cancun, and would constitute guidance for U.S. policy thereafter.” (Reagan Library, Executive Secretariat, NSC Trip File, President Reagan’s Participation in the International Meeting on Cooperation and Development Cancun, Mexico 10/21/1981–10/23/1981 Plenary Sessions: Multilateral Economic Issues—Mr. Allen (Binder)) Reagan delivered the speech on October 15. See footnote 2, Document 38. The speech is printed in Foreign Relations, 1981–1988, vol. I, Foundations of Foreign Policy, Document 66.↩
- See Document 75.↩
- The “Summary of Possible Initiatives,” is attached but not printed.↩