President Obama's announcement last night that Honolulu will host the Asia-Pacific Economic Cooperation annual meeting in 2011 put his hometown at the center of one of his most important international initiatives.

Hawaii has been vying for months to host the gathering of 21 heads of government from the Asia-Pacific region who discuss the economy, trade and investments.

And last night, leaders from Washington, D.C., to Downtown Honolulu praised Hawai'i's selection as a way to put the state on the map as a serious international business meeting place where East meets West year-round.

East-West Center President Charles Morrison said the summit is expected to bring 19 heads of state, many Cabinet ministers and other high-ranking officials, and more than 10,000 participants.

Holding the leaders meeting in Hawai'i "attracts attention and excitement no amount of money can buy," said Morrison, who is attending this year's APEC meeting in Singapore.

"Hawai'i has never had anything remotely approaching an international meeting where the president of the U.S., president of China, prime minister of Japan, and many other heads of state come at the same time, not to mention something like 75 Cabinet officials, the heads of the World Bank, International Monetary Fund, and World Trade Organization, and leading regional and global business people," Morrison said.

He added, "This may be arguably the biggest and most open international meeting of 2011, and it's in Hawai'i."

The 2011 event will be held from Nov. 12 to 20.

The president made the Hawai'i announcement to APEC leaders gathered in Singapore.

"When America hosts APEC in a few years, I look forward to seeing you all decked out in flowered shirts and grass skirts, because today I'm announcing that we are bringing this forum to my home state of Hawai'i in 2011," he said.

In comments to the APEC leaders, Obama stressed the critical importance of the region.

"Perhaps no connection between Asia-Pacific and the United States runs stronger or deeper than the economic ties we share," he said.

In his first major trip to Asia as president, Obama has called himself the "first Pacific president." He was born in Honolulu and lived here — except for four years in Indonesia — until he went to the Mainland for college.

"America's four top trading partners are now APEC members, with the countries that form the Association of Southeast Asian nations collectively making up the fifth," Obama said.

He noted that 60 percent of the goods and services the United States exports go to APEC nations — exports that support millions and millions of American jobs.

"The United States is also the largest export market for Asia, which has led to more affordable goods and services for American consumers," he added.

Obama earlier indicated that the United States will also be engaging with the four Trans-Pacific Partnership countries (Brunei, Chile, Singapore, New Zealand) with the goal of shaping a regional agreement that will have broad-based membership and the high standards worthy of a 21st century trade agreement.

"We also believe that continued integration of the economies of this region will benefit workers, consumers, and businesses in all of our nations," he said. "Together, with our South Korean friends, we will work through the issues necessary to move forward on a trade agreement with them."

The APEC meeting rotates among members and was first held in the United States near Seattle in 1993. That's where then-President Bill Clinton came up with the tradition of having the leaders wear outfits chosen by the host. The 2010 meeting will be held in Japan.

COUP FOR TOURISM

The meeting here is seen as a coup for the state's visitor industry as it underscores Hawai'i as a good site for international business gatherings, especially for the Asia-Pacific region.

Honolulu Mayor Mufi Hannemann last night said he was "ecstatic" that Honolulu had been selected to host the 2011 APEC Summit.

In addition to collaborating with the East-West Center and Hawai'i Tourism Authority on the proposal to host the conference, Hannemann said he lobbied for the effort in meetings with White House and State Department officials in June.

"When President Charles Morrison of the East-West Center first approached the city about collaborating on a proposal to host APEC, the key component was security," Hannemann said, and Honolulu beat out the two California cities there.

"Honolulu, and all of Hawai'i for that matter, will be on the world stage come 2011, and it will be our opportunity to show that we're more than sun, sand, sea, surf and the spirit of aloha," Hannemann said.

Aside from the immediate economic impact, Morrison said it opens a new line of business over the longer term for the state as "a truly world-class international center."

Gov. Linda Lingle said the selection of Hawai'i to host the APEC Leaders Meeting is "an affirmation of Hawai'i's strategic role as a leader in the Asia-Pacific region, and will help build a stronger economic foundation for Hawai'i's future."

"We appreciate President Obama selecting Hawai'i for this important meeting and recognizing the significant role Hawai'i plays as America's most diverse and strategically located state," she said.

U.S. Sen. Daniel K. Inouye also praised the selection.

"The spotlight that will shine on Hawai'i during the APEC meetings will remind the world that our culture and strategic location is the ideal site to gather global leaders and debate the needs of a diverse society," he said.

Inouye said the state serves as a bridge between the East and the West, and "will help show our Asia-Pacific neighbors that the United States remains committed to collaborating on economic policy as the world emerges from international recession."

HTA president and chief executive officer Mike McCartney said the leaders meeting will help to combat the state's image as more of a place to play than work, often dubbed "the boondoggle effect."

"The APEC meetings will dispel that misconception and position Hawai'i as a global business destination," McCartney said. "The world will see that Hawai'i is an ideal place to conduct business due to our strategic location in the Pacific and our multi-cultural diversity."

ECONOMIC BENEFITS

State tourism liaison Marsha Wienert earlier said she does not yet have an estimate of what the economic value of having the international meeting here would be, but it is significant.

The last high-level international gathering for Honolulu was the Asian Development Bank meeting in 2001.

That meeting had stirred worries of violent protests that had erupted in other cities but the meeting went smoothly with only small non-violent demonstrations.

San Francisco, the Los Angeles-Orange County area, New York and Miami were being considered as possible venues for the conference. Earlier, Hawaii Convention Center's SMG general manager Joe Davis said the decision was narrowed to between Honolulu and the two California destinations weeks ago.

The 21 members of APEC are: Australia; Brunei; Canada; Indonesia; Japan; Republic of Korea; Malaysia; New Zealand; Philippines; Singapore; Thailand; the United States; Chinese Taipei; Hong Kong, China; People's Republic of China; Mexico; Papua New Guinea; Chile; Peru; Russia; and Vietnam.