I must confess that this one has me stumped. In her joint press conference with Murray McCully today, Hillary Clinton said that the US would resume intelligence-sharing with NZ as a sign of the strengthened security ties between the two countries.  It might have been a slip of the tongue, but McCully seemed unfazed and the comment was made as part of her prepared remarks, so it appears that the mention was deliberate. But what does it really mean? The US and NZ already share signal intelligence streams via the Echelon network, which has two collection stations on NZ soil. The NZSAS has a least one officer seconded to CIA headquarters in Langley, Virginia (as well as NZSAS liaison officers designated to  MI-6 in the UK, ASIO in Canberra, the Canadian Security Intelligence Service and the French DGSE).  The CIA more than likely has a station officer in Wellington (most likely a political (affairs) officer). These connections presumably are already involved in intelligence sharing. So what gives?

Since I am not privy to the decision-making involved, let me just speculate on what this announcement may mean. A few weeks back word slipped out that NZ had intelligence operatives in Afghanistan. Then the NZSAS were deployed there (to Kabul, as it turns out, in a counter-terrorism and CT training role rather than their previous long range patrol and reconnaissance role, which is an interesting story in itself). Putting these two lines together, I suspect that what Mrs. Clinton was alluding to was a resumption of tactical intelligence sharing between US and NZ forces in theater (rather than first report back to their respective superiors at home and allow the bosses to determine what gets shared). This would obviously be of priority in Afghanistan, but frees up US and NZ intelligence collectors to share information throughout areas of mutual interest such as the Western Pacific Rim. On the latter, subjects of mutual interest could include Chinese intelligence and military activities in the region (as alluded to in the Scoop series I linked to last month), money laundering and arms trafficking, organised crime activities (which would also be shared with INTERPOL), as well as leadership analysis and political and  economic trend forecasts.

More broadly, what this means is that NZ is returning to the US fold on security matters. If Australia is the US sheriffs deputy in the Southern Hemisphere, NZ under National is positioning to become the deputy’s adjunct. What is different is not just the extent of the bilateral cooperation involved, but the fact that the Ozzies make no bones about their belief that their middle power aspirations are tied to the US mantle, whereas NZ has carefully cultivated an image of being a neutral and honest broker in international affairs. With this revelation, that image is bound to be altered, and it remains to be seen if the benefits of closer security relations with the US (which I do not necessarily object to based on the principle of necessity) may translate into to a loss of mana, reputation and prestige in the eyes of the larger international community. Perhaps the diplomatic community is jaded enough to understand that pragmatism requires that NZ play all sides of the fence, that “it has to do what it has to do,”and that its rhetorical lip service is a mere cover to its real, pro-US orientation (I touched on this in the previous post titled “John Key Rides the Fence”). However, I wonder how the Chinese, Malaysians, Iranians and Arab trading partners will feel about this revelation, to say nothing of European partners who have trusted NZ to speak to truth to power on issues as varied as non-proliferation and environmental sustainability. Although Mrs. Clinton was at pains to laud NZ’s role on the latter two subjects, it remains to be seen what (negative or positive) spill-over effects may occur as a result of this closer bilateral security relationship, or, as National will undoubtably argue, whether the issue of intelligence sharing is safely “compartmentalized” and thereby insulated from the broader foreign policy direction of the National government. In three years we should know, but by then the consequences, good or bad, will be inescapable.