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Newsletter - April 25-May 1, 2005 - #106

In This Issue

1. United States - Saudi Arabia Summit - Special Reporting 
2. Summit Item of Interest - As Saudi Visits, Bush Seeks Help on Lowering Oil Prices
3. Item of Interest -
Third Round Balloting Marks End of Landmark Elections
4. Item of Interest - Saudi Municipal Elections Round Three
5. Event of Interest:  2005 Trade Mission
6. News of Interest - New Papacy Stirs Some Concern in the Arab Middle East 
7.
News of Interest:  4 Dead As Militants, Saudi Forces Clash
8.
News of Interest:  Saudis in Talks on Nuclear Agreement
9. In the News - Snapshot of the Week Past
10. What is SUSRIS?

A Special Report from SUSRIS

President George W. Bush welcomes Saudi Crown Prince Abdullah to his ranch Monday, April 25, 2005, in Crawford, Texas. The President told the media on hand he looked forward to "talking with him about a variety of subjects." White House photo by David Bohrer United States - Saudi Arabia Summit


Crown Prince Abdullah is visiting the United States for five days and will meet with President Bush on April 25 at his ranch in Crawford, Texas.

 

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Summit Item of Interest

As Saudi Visits, Bush Seeks Help on Lowering Oil Prices
by Richard W. Stevenson and Jeff Gerth, New York Times
When he meets at his ranch here on Monday with Crown Prince Abdullah of Saudi Arabia, President Bush will confront one of his trickiest diplomatic relationships. He will look for help on oil prices, try to find common ground on the Arab-Israeli conflict and prod the crown prince to allow more democracy at home , even as both sides struggle with deep strains set off by the involvement of Saudis in the Sept. 11, 2001 attacks, American officials and analysts said.

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SUSRIS Item of Interest

Third Round Balloting Marks End of Landmark Elections
The Saudi Arabia municipal council elections that began with voting in the Riyadh region on February 21, 2005 wrapped up this week in the western and northern regions of the Kingdom.  SUSRIS has tracked the elections and the progress of the political reform program underway in Saudi Arabia through articles, interviews and other on-line resources. 

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 SUSRIS Item of Interest

Saudi Municipal Elections -- Round Three
The third phase of voting in Saudi Arabia's municipal elections is set for today in Makkah, Madina, Al-Qassim, Tabuk, Hail, Al-Jouf, and the Northern Frontier Regions.  This item provides an article and links addressing today's polling and the general issues surrounding the elections in Saudi Arabia.

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Event of Interest

2005 Saudi Trade Mission
Expanding Strategic Trade Partnerships
May 9-18, 2005
New York / Atlanta / Houston / 
Chicago / San Francisco

Committee for the Development of International Trade of the Council of Saudi Chambers of Commerce and Industry

Trade Mission Web Site:  www.SaudiTradeMission.com 

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News of Interest

Photo: www.Vatican.vaNew Papacy Stirs Some Concern in the Arab Middle East
by Hassan M. Fattah
New York Times
AMMAN, Jordan, April 20 - The elevation of Cardinal Joseph Ratzinger to the papacy as Pope Benedict XVI is stirring some uneasiness in the Arab Middle East, where many remember Pope John Paul II as a champion of some of their causes and fear that his successor will not be as sympathetic..

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News of Interest

4 Dead As Militants, Saudi Forces Clash
By Salah Nasrawi
Thursday, April 21, 2005
MECCA, Saudi Arabia -- Islamic militants clashed with Saudi security forces in Islam's holiest city of Mecca and nearby Jiddah, killing two militants and two policemen Thursday as the kingdom held a final round of municipal elections. The bloodshed was the latest in the Saudi Arabia's two-year crackdown on al-Qaida-linked militants opposed to the ruling family, a campaign that authorities have said they were winning with the killings of several high-level suspects over the past month..

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News of Interest

Saudis in Talks on Nuclear Agreement
By George Jahn
The Associated Press
Wednesday, April 20, 2005

"Saudi Arabia has quietly begun talks on a U.N.-sanctioned agreement that could curtail any outside probe of its atomic intentions _ a move that heightens concerns in a region already edgy about rival Iran's nuclear program.  The Saudis deny any plans to develop nuclear weapons, and diplomats close to the International Atomic Energy Agency told The Associated Press that the U.N. nuclear monitor has no firm evidence that would cast doubt on the Saudi assertions.."

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In the News

Snapshot of the Week Past

VP Cheney Meets With Saudi Leader In Dallas
"Saudi Crown Prince Abdullah met on [Apr 24] with Vice President Dick Cheney, one day before the kingdom's leader was scheduled to talk with President Bush about record high oil prices and other issues. The Sunday meeting took place at a luxury hotel in Dallas, where the Saudi delegation is staying through [Apr 26], according to Saudi sources. The White House declined to comment on Cheney's meeting with the crown prince. Saudi officials were also unwilling to say what the men discussed.."
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Saudi Arabia: Bush Should Call for Dissidents' Release
"U.S. President George W. Bush should call on Saudi Arabia's Crown Prince Abdullah to immediately release three dissidents imprisoned for more than a year for petitioning for a constitutional monarchy, Human Rights Watch said today on the eve of the de facto Saudi ruler's visit.."
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Bush Must Urge Saudi Arabia to Fulfill its Promises of Reform, Respect Human Rights
"Amnesty International urges President Bush to use his upcoming meeting with Saudi Crown Prince Abdullah to call for immediate reform in the Kingdom, including ensuring women the right to vote, putting an end to secret trials and detentions, ending arbitrary arrests, and abolishing public beheadings and other forms of capital punishment. 'By now it should be clear to all that Saudi Arabia, a heralded U.S. ally in the war on terror, has no qualms about terrorizing its own citizens,' said Alexandra Arriaga, Amnesty International USA's Director of Government Relations.."
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Conservatives 'Win Saudi Polls'
"Saudi Arabia's conservatives have fared well in the first nationwide municipal elections, results of the third and final round of polling indicate. The elections - in which only men were allowed to vote - were held as part of a response by Saudi Arabia's rulers to demands for democratic reform.."
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Clerics Sway Saudi Vote
"Candidates backed by conservative clerics dominated the final stage of Saudi Arabia's landmark municipal elections, according to results announced [Apr 23]. The seven winners in Jidda were those whose names appeared on the 'golden list,' the choices of fundamentalist clerics.."
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Last Saudi Regions Vote In Polls
"Men in several parts of Saudi Arabia are taking part in the final stage of landmark municipal elections. [Apr 22] votes are being held in the holy cities of Mecca and Medina, as well as in Jeddah and Taif and areas of northern Saudi Arabia. Women are not allowed to vote or stand. Only half the 500 members of the country's municipal councils are being elected - the rest are appointed. However the polls are seen as a step towards reform in the kingdom.."
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Saudi Consultative Council Head Approves Free Speech Within Limits Of Islam
"The president of Saudi Arabia's consultative council said that its 150 members could express themselves freely provided they respected the Islamic religion. 'There are no red lines under this dome with the exception of that which contravenes Sharia (Islamic law),' Saleh bin Humaid said at the opening of the fourth session of the Shura Council, established in 1993 and expanded progressively from 60 members.."
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Reform Program to Go On, Says Sultan
"Saudi Arabia will go ahead with its reform and development programs, adopting strategic plans in tune with international economic developments, said Prince Sultan, second deputy premier and minister of defense and aviation. Addressing the weekly Cabinet meeting at Al-Yamamah Palace in Riyadh, Prince Sultan also underscored the tremendous progress achieved by the Shoura Council.."
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Two Terror Suspects Seized In Saudi Arabia
"Saudi Arabia's Interior Ministry said two men suspected of links with terrorists were arrested in a furnished apartment in Riyadh. Ministry spokesman Brig. Mansour Turki was quoted [Apr 20] as saying that police were tipped off about the suspects, who were arrested in the neighborhood of Naseem in the eastern part of the capital..
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Four Die as Militants in Women's Guise Trigger Shootout Near Makkah
"Four people, including two suspected militants, were killed in clashes with security forces [Apr 22] in the holy city of Makkah, an official statement said. They said two security men were also killed and four injured in the shootout, the fourth incident involving militants in Makkah in a year.."
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Envoy In Nottingham 'Danger' Row
"The British envoy to Saudi Arabia has sparked a row after suggesting that it is safer for a British businessman to visit a Saudi city than Nottingham. Sir Sherard Cowper-Coles told a Saudi audience Nottingham is "far more dangerous" than some Saudi cities. But Jon Collins, the leader of Nottingham City Council, said the city had been unfairly stereotyped.."
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US Says Close To WTO Deal With Saudi Arabia
"The United States is close to reaching an agreement with Saudi Arabia on tariff cuts that the kingdom needs to make to join the World Trade Organization, a top U.S. trade official said in a letter obtained on [Apr 22]. "We are close to finalizing our agreement on tariffs with Saudi Arabia, and we are increasingly more comfortable that the multilateral issues will be addressed satisfactorily," acting U.S. Trade Representative Peter Allgeier said in the letter to Sen. Blanche Lincoln, an Arkansas Democrat.."
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Saudi Attack Sends Oil Higher
"Oil prices rose more than $1 (U.S.) a barrel Friday as global supply concerns were stoked by a terrorist attack in Saudi Arabia and refinery snags in the United States.. .. In Saudi Arabia on [Apr 21], suspected militants linked to al-Qaida clashed with security forces, prompting fresh fears of a supply disruption from the world's largest exporter. Two extremists and two policemen were killed."
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Saudi Fails To Assure US Over Oil Supply
"Saudi Arabia failed to provide the United States with any new promises or assurances over oil supplies ahead of a key meeting between Crown Prince Abdullah and George W. Bush at the president's ranch in Crawford, Texas on [Apr 25]. Mr. Bush voiced concerns this week about Saudi Arabian production and the country's ability to increase output in the event of a severe supply disruption. His comments are the most vocal since he became president, and mark a departure from protocol by a US president about the world's biggest oil exporter, and former special friend.."
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Saudi Arabia Ready To Use Excess Oil Capacity
"Saudi Arabia is currently producing 9.5 million barrels of oil per day and is willing to use its spare output capacity if needed, Oil Minister Ali al-Nuaimi said. 'The kingdom currently has a sustainable production capacity of 11 mln bpd, which represents excess capacity of around 1.5 mln bpd,' he said. 'Saudi Arabia has historically demonstrated not only a tradition of maintaining excess capacity, but also of not hesitating to use it when market conditions require this', al-Nuaimi said, stressing the kingdom's commitment to 'market stability'.."
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New Oil Field Discovered In Saudi
"Saudi Oil Minister Ali Naimi said [Apr 18] the Saudi oil company, ARAMCO, discovered a new field for light crude in central Saudi Arabia. He said the field of Bir Daiban 1, located 125 kilometers (78 miles) southeast of Riyadh, was tested on April 11. 'We expect the field to produce 3300 barrels per day of light and excellent oil free from sulfur and with a density of 41 percent on the scale of U.S. Petroleum Institute'.. Naimi said.."
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Saudi Arabia Vows To Maintain Oil Capacity Cushion
" Top world oil exporter Saudi Arabia will work to keep spare supply capacity of at least 1.5 million barrels per day, but its ability to curb price rises is now limited, Saudi Oil Minister Ali al-Naimi said on [Apr 21]. U.S. President George W. Bush, who will meet Saudi Arabia's de facto leader Crown Prince Abdullah on [Apr 25], has said he is seeking a clear answer from the Saudi government about the size of its spare oil production capacity. Naimi reiterated that the kingdom -- which controls the bulk of the world's spare production capacity -- aimed to maintain a cushion of 1.5 to 2 million barrels per day.."
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Kingdom to Set Up High-Tech Zones
"In a pioneering move, the Kingdom's first Integrated Technology Zone will be established in the Eastern Province setting the stage for the manufacture of high technology products in Saudi Arabia. A spokesman of the newly established Saudi Organization for Industrial Estates and Technology Zones (SOIETZ) told Arab News that the first technology zone will come up in the Eastern Province on a site measuring more than 3.5 million sq. meters.."
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Saudi Arabia to Buy 15 New Aircraft
"State-owned Saudi Arabian Airlines said on [Apr 22] it will buy 15 new aircraft to fly domestic and regional routes and boost its 139 strong fleet. A company official said all 15 planes will be the same 66 seat model but declined to give further details. Analysts say the deal could be worth up to USD$450 million at list prices and would likely go to Brazil's Embraer, Canada's Bombardier or ATR, a unit of Airbus parent EADS.."
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Saudi To Open Up Aviation Sector
"Saudi Arabia will this year grant a license for a second airline and further liberalize the telecoms sector as part of a raft of economic reforms, the chief of the kingdom's highest economic policy-making body said. "The main elements of our economic reform program are institutional and structural reforms, privatization and more development of human resources," Abdulrahman Al Tuwaijri, secretary general of the Supreme Economic Council, said .."
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Riyadh Forum Floats Idea of Splitting Shares
" A suggestion to split shares and expand the capital market base was made at the start of the first Saudi Capital Market Forum that opened here [Apr 20]. Former Minister of Finance and National Economy Muhammed Abalkhail inaugurated the forum which discussed various issues in the light of reforms in the capital market. The forum has been jointly organized by the Consulting Center for Finance and Investment (CCFI) and National Vision Co.."
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Taiwan Seeks Saudi Stake in IT Sector
"Taiwan, which is particularly strong in the IT sector, looks forward to greater trade cooperation with the Kingdom, said Taipei Economic & Cultural Representative Sheng-tsung Yang.. ..Talking about trade relations between Taiwan and Saudi Arabia, ROC Representative Yang said they were on the upswing. He mentioned that the Hsinchu Industrial Science Park, set up on a 571-hectare site, had 400 companies in operation in 2000. They employed a work force of 100,000 and had an annual turnover of $27.3 billion, or around nine percent of Taiwan's GNP of $313.9 billion.."
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Saudi Trade Team to Visit Turkey
"A 17-member Saudi delegation will visit Turkey early next month with a view to boosting Riyadh-Ankara cooperation especially in commercial and tourism sectors. The mission, to be led by a prominent businessman Dr. Ghassan Ahmed Al-Sulaiman, will hold talks with Turkish businessmen in Istanbul on May 5-6.."
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Saudi-Greek Trade Reaches $1.3 Billion Last Year
" Trade between Saudi Arabia and Greece has reached $1.3 billion. 'About 90 percent of our bilateral trade comprises Greek oil imports from the Kingdom,' Pantelis A. Gassios, first secretary, economic and commercial affairs at the Consulate General of Greece told reporters during the opening of a Greek food festival at Jeddah InterContinental Hotel on [Apr 19].."
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First Arab Sets Out to Scale Mount Everest
"Two weeks ago thirty-four year old Jordanian, Mustafa Salameh, started his expedition to become the first Arab to scale the northern face of Mount Everest, the mountain's most difficult approach. Sponsored by ARAMEX, the experienced mountaineer who has already climbed the highest mountains in North America and Europe announced his newest expedition from the banks of the Dead Sea in Jordan.."
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Saudi Prince Gives £2m To Museum
"The oldest public museum in Britain, Oxford University's Ashmolean, has been given a £2m donation by a Saudi prince. The money from HRH Prince Sultan bin Abdul Aziz Al Saud, will pay for a new Saudi and Islamic gallery to be created at the museum. It will also help fund scholarships for Saudi students at Oxford University.."
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Saudi Pledges $400 Million Financing For Tsunami Areas
"Oil-rich Saudi Arabia said on [Apr 23] it would extend $400 million in financing to countries hit by the Indian Ocean tsunami, the official Saudi Press Agency reported. It said the Saudi Development Fund would provide $250 million in soft loans for reconstruction projects and $150 million in export guarantees.."
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Expatriates Can Apply for Citizenship From May 23
" The much-awaited executive bylaw of the new Naturalization Law is out and qualified expatriates can apply for Saudi citizenship from May 23. Application forms will be available at the Civil Affairs Department from next [Apr 30]. 'The new bylaw came into effect on [Apr 22], when it was published in the official gazette,' Nasser Al-Hanaya, undersecretary at the Interior Ministry for civil affairs said.."

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The Saudi-U.S. Relations Information Service (SUSRIS) provides you information resources and interactive features through a Web site and weekly newsletters -- all designed to enhance your understanding of the historic relationship between the United States and Saudi Arabia.

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