Shutdown 'could affect US standing'

The US government shutdown could affect its global standing if prolonged, Secretary of State John Kerry warns on a trip his president had to cancel. US Secretary of State John Kerry has warned that any prolonged shutdown of the government could affect the US internationally. But, speaking at the APEC forum in Indonesia, he said any impact was "momentary" and Washington's commitment to Asia was "undiminished". 

President Barack Obama cancelled his Asia visit because of the shutdown. The US government closed non-essential operations on Tuesday after Congress failed to agree a new budget. The US government closed non-essential operations on Tuesday after Congress failed to agree a new budget.

John Kerry: Shutdown "an example of the robustness of our democracy" Thousands of federal employees have been sent home. Some are working but not paid. US-EU trade negotiations have also been postponed because of the crisis.

'Robust democracy'

As world leaders headed for the Asia-Pacific Economic Co-operation (Apec) summit in Bali, Mr Kerry sought to allay concerns that Washington was reducing its global engagement.

"None of what is happening in Washington diminishes one iota our commitment to our partners in Asia," he said. He said the dispute with the Republicans in the US Congress was "an example of the robustness of our democracy".

But at the same time, he urged Congress to think about how the US was perceived internationally when "we can't get our own act together". Mr Kerry said areas where the shutdown was affecting US foreign policy funding included: delays in security assistance for Israel

nearly all staff suspended at the treasury department's Office of Foreign Asset Control, which monitors sanctions on states like Iran

The Secretary of State warned of the consequences if the shutdown became longer term.

"This is a momentary impact. Obviously if it were prolonged or repeated people would begin, I think, to question the willingness of the United States to stay the course or its ability to, but that's not the case and that will not be the case."

Mr Obama had been due to begin a four-nation Asian trip on Saturday, heading to Bali and Brunei before travelling on to Malaysia and the Philippines. He used the APEC summit two years ago to announce a rebalancing of American naval power towards the Pacific.

House Speaker Boehner: "This isn't some damn game"

The White House said Mr Obama's decision to cancel his Asia trip was made due to the "difficulty in moving forward with foreign travel in the face of a shutdown".

Republicans who control the House of Representatives refused to approve a budget, saying they would only do so if Mr Obama's healthcare reform law was delayed or stripped of funding.

Mr Obama and the Democrats have refused, noting the law was passed in 2010, subsequently approved by the Supreme Court, and was a central issue in the 2012 election which Mr Obama won comfortably.

On Friday, Democrats and Republicans appeared no closer to finding a way out of the impasse.

Republican House Speaker John Boehner insisted Mr Obama and Democratic Senate leaders open negotiations on the shutdown.

"All we're asking for is to sit down and have a discussion," he said. "This isn't some damn game."