    [Public Papers of the Presidents of the United States: George W. Bush (2002, Book I)]
    [May 2, 2002]
    [Pages 703-708]
    [From the U.S. Government Publishing Office www.gpo.gov]

    The President's News Conference With European Union Leaders
    May 2, 2002

        President Bush It is a pleasure to welcome President Aznar and President Prodi to
    Washington, DC, for this summit. We had a good discussion on the common
    challenges facing the United States and the European Union, including
    the urgent need to fight terror and to promote peace in the Middle East.
        Just one month ago I called on all the parties in the Middle East to
    step up to their responsibilities to end terror, to make progress toward
    peace, and to build better lives for all the people of the region. In
    recent days, we're beginning to see some signs of progress. The
    situation in Ramallah has been resolved nonviolently. We're working for
    peace in Bethlehem. I'm encouraged by my meeting with Crown Prince
    Abdullah and the steps he has taken to
    advance his vision of peace. Next week I will meet with Prime Minister
    Sharon and King Abdullah of Jordan to discuss next steps on the road ahead.
        The United States and the EU share a common vision of two states,
    Palestine and Israel, living side by side in peace and security. This
    vision offers the Palestinian people a new opportunity to choose how
    they live. We should take this opportunity to help build institutions
    that will serve the Palestinian people, a Palestinian state, and its
    neighbors as well.
        A Palestinian state must be achieved by negotiating an end to
    occupation, but such

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    a state cannot be based on a foundation of terror or corruption. A
    Palestinian state must be based on the principles that are critical to
    freedom and prosperity: democracy and open markets, the rule of law,
    transparent and accountable administration, and respect for individual
    liberties and civil society.
        We want to work with the Palestinian people, our regional partners,
    and the international community to build a Palestinian state that both
    lives at peace with Israel and lives up to the best hopes of its people.
        The EU, as well, and the United States, has an important role to
    play. When the EU and the United States work together, we multiply our
    effectiveness. Today we discussed our desires to continue working
    together. We see this in the fight against global terror, where we've
    been cooperating closely. We see this in the Balkans, where together we
    have solidified the peace, prevented civil war in Macedonia, and helped
    the region become more fully part of the European community. And we're
    working together to bring reconstruction and hope to Afghanistan, so
    that it never again serves as a haven for terror.
        We must bring the same spirit of cooperation to our common economic
    agenda. Today I informed President Aznar
    and President Prodi that I will work with our
    Congress to fully comply with the WTO decision on our tax rules for
    international corporations. This will require both time, and it will
    require legislation. I hope and expect that we can all act in the same
    spirit of understanding as we work through other problems.
        This is a time for hope for the United States and for Europe, a time
    when our cooperation could lead to a safer and to a better world. I look
    forward to traveling to Europe later this month to strengthen our close
    ties and to advance our common goals.
        Ahora el placer es mio para welcome my friend, el Presidente de
    Espana, Jose Maria Aznar. Senor Presidente.
        President Aznar. Good afternoon,
    everyone. First of all, I'd like to thank President Bush for his
    hospitality at this meeting between the European Union and the United
    States. And besides his hospitality, I'd like to thank him for the hard
    work and dedication that he and his entire staff have put into ensuring
    the success of this meeting.
        The first thing is that I hope not to disappoint people in terms of
    their expectations about hearing about strong controversies between
    Europe and the United States, because that has not happened. In fact, we
    are here to send out a very positive message concerning the strength of
    the relationship between the European Union and the United States, and
    especially our determination that that strong relationship be further
    strengthened in the extraordinary circumstances we are currently
    experiencing politically, economically, and in terms of security that we
    must face together.
        So the message is that we have strengthened the ties between the EU
    and the United States, thanks to this meeting. And this is no doubt a
    very positive factor. I'd like to briefly touch on four issues, because
    President Bush has made a very accurate summary of our meeting.
        Number one, the fight against terrorism: The work carried out
    jointly between the U.S. and the EU is increasingly being enhanced,
    becoming broader. You know that the EU has adopted an action plan
    against terrorism. We've reviewed the legislation in all of our
    countries to step up the fight against terrorism, to combat financing of
    terrorism and comply with U.N. resolutions and join all other countries
    in this fight.
        Secondly, we have a mandate from all EU countries to negotiate an
    agreement for judicial assistance and cooperation on criminal matters.
    And we hope that negotiations for that will proceed as quickly as
    possible, so that this doesn't just pertain to security issues but will
    also spread to judicial matters. It would be a bit absurd not to be

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    aware of the fact that terrorists move internationally, and we have to
    approach that from a common judicial area, to the extent possible.
        Between us, we've broadened--or lengthened the list of terrorist
    organizations, and we hope that there will be an increased rapprochement
    between the lists approved by both the U.S. and the EU. And as far as
    that goes, we are firmly resolved to combat terrorism wherever it takes
    place, with all that that entails, and with the ultimate objective of
    eradicating terrorism so as to enjoy a safer, more stable world for all.
        The second issue I'd like to refer to has to do with more general
    topics. You heard from President Bush about the Middle East, and in just
    a few moments, the quad will be meeting again--that is, the U.S., the
    EU, Russia, and U.N. Secretary-General. That agreement is extremely
    important. We attach the utmost importance to the work that we can do
    jointly in the Middle East in the quest for the essential features:
    security for all; an immediate cease-fire; and a political perspective
    which would lead to a democratic, independent Palestinian state and a
    state of Israel that is entitled to live in security, calm, and free
    from any kind of violent or terrorist aggression on its territory. So
    that is the perspective. These are the initiatives. And this is what
    we're working on, along with economic issues.
        I also wanted to refer to the very positive joint work we're
    carrying out in the Balkans and in Afghanistan and the exchange of
    opinions we've had concerning Russia. President Bush and the European
    Union and I, myself, have worked on providing support for President
    Putin, considering their new strategic approach. President Bush's trip,
    the NATO meeting in Rome, and the EU-Russia meeting, all upcoming, point
    to a particularly important turning point in terms of defining new
    strategic positions for Russia in the world that require our
    understanding and support.
        The final point is that U.S. and Europe account for 40 percent of
    world trade. Between us, approximately 96, 97 percent of the economic
    issues work satisfactorily, with no problems. And we have agreed to work
    very hard on a positive agenda to further enhance the commercial ties
    and ties in terms of trade between the EU and the U.S. And in terms of
    certain specific differences--President Bush has referred to a few of
    them--it is our expectation and hope and this is what we're going to
    work on, that in the coming months there will be negotiations underway
    which will naturally safeguard the fundamental interests of both sides
    and, in compliance with the WTO, that will enable us to lead to positive
    results and conclusions.
        We have worked on all of this; we have made progress on all of this;
    so I would like to say that from the point of view of the European
    Council and the EU, this summit has fulfilled the goal of strengthening
    our ties and relations and will ensure the success of these relations
    between the U.S. and the EU.
        President Prodi. [Inaudible]--but to what
    has been told by President Bush and President Aznar. It was clear today
    that the world is going better when U.S. and Europe get together. We
    have seen it recently in Doha, in Monterrey; we have seen it in the
    Balkans and in Afghanistan. We have sometimes disagreement, but we
    really share the same deep values and the same common strategy.
        We tackled also some case in which we have difference--steel, for
    example, on the legitimacies of U.S. safeguards, which we believe are
    certainly harming us, on the possibility of short-term rebalancing. But
    we have agreed that discussions should continue, without any prejudice
    to our respective rights under WTO. We both intend to play it by the WTO
    rules. And so I think that even in this field, we shall demonstrate
    friendly way of working.

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        I want to praise the President of the United States for the
    leadership he's showing on a problem that is certainly difficult--you
    know, the export--on the export subsidies and on the problems that are
    linked to that.
        And you know, I want to end just with one reflection. I think that
    everybody in America should consider what we are doing now in Europe.
    What we are trying to do in this great 2002 Europe is now the currency
    of 12 nations. We will soon enlarge European Union to embrace until, I
    hope, 10 new countries before the end of the year. And we are also
    working on the convention to reform our institutions. The democratic
    unification of our Continent is happening, and it is an enormous effort.
    And this is really the end of the end of the end of the cold war. And I
    hope that what we are doing is appreciated for the dimension of the
    problem, if you consider the difference of income, the different
    tradition, the different habits of the 25 countries that now we shall
    have together inside the European Union.
        So what we present here is really a new Europe.
        President Bush. Thank you, President.
        I think we've got time for three questions. It makes sense that an
    American asks a question, and then Jose Maria will call on somebody, and President Prodi will call on somebody, and then we've all got to go on
    our respective ways.
        So I'll start with Mr. Fournier, AP [Ron Fournier, Associated
    Press]. Yes.
        Q. Thank you, sir.
        President Bush. You're welcome.

    Situation in the Middle East

        Q. Despite the existence of what you called some signs of progress
    in the Middle East in the long month since your Rose Garden statement,
    neither side has fully complied. Just yesterday, Ariel Sharon scuttled
    your push for a U.N. peace mission to Jenin. And Yasser Arafat--Arafat
    called the Israelis terrorists, Nazis, and racists. And yet, there have
    been no consequences for defying you. Are you open to cutting off U.S.
    aid to either Israel or the Palestinians, and are there any consequences
    for those who thumb their nose at the President of the United States?
        President Bush. In this world, there are people who think the glass
    is half empty or half full. I tend to look at it as half full. I'm
    optimistic we're making good progress. After all, a week ago there
    were--Yasser Arafat was boarded up in his
    building in Ramallah, a building full of, evidently, German peace
    protestors and all kinds of people. They're now out; he's now free to
    show leadership, to lead the world. We're making good progress.
        There's a lot to be done. We're dealing with centuries and years of
    hatred, and I understand that. But I am pleased that the Arab world is
    responding. I had great visits with the Crown Prince of Saudi
    Arabia. They're--according to some
    American newspapers, they're, you know, very much engaged, and I
    appreciate that. I'm pleased with that. I think that's a positive
    development.
        I am absolutely convinced it's going to require the efforts of the
    Saudis and the Jordanians and the Egyptians to help cement a lasting
    peace. And the Crown Prince is
    following up on his initiative, and I think that's a positive
    development.
        I think it's very important for Chairman Arafat to show the world that he's capable of leading. As I
    said in my remarks in the Rose Garden about a month ago--which, by the
    way, in the terms of the Middle East isn't all that long a period of
    time, in my judgment--that he has just been disappointing. He has
    disappointed. He's had some chance to grab the peace and hasn't done so
    in the past, and therefore he's let down the Palestinian people. Now's
    the chance to show he can lead.
        And of course, I placed responsibilities on Israel as well, and I
    look forward to continuing my discussions with world leaders. Part of
    the importance of meeting with

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    Jose and Roman was
    to talk about a way forward. And as Jose Maria mentioned, the Secretary
    of State is going to be talking with the
    ministers of the quad about a way forward. I'll be doing the same thing
    with King Abdullah and Prime Minister
    Sharon, as we come up with a way to cement a
    vision of peace in place.
        But it starts with people assuming responsibilities, and people are
    beginning to assume responsibilities. And that's why I'm optimistic
    progress is being made.
        Jose.
        Q. No threat of losing their aid, sir?
        President Bush. Jose.

    Terrorism

        Q. [Inaudible]--the American press and the public opinion in America
    is still referring to ETA just like a band who is fighting for its
    independence in Spain. I wonder if the United States has same commit to
    fight terrorists in Spain as much as is about fighting terrorists in
    other parts of the world, and what can you do to help Spain in this
    fight? And I'd like to know also your opinion about the way this topic
    is treated in America.
        President Bush. Yes, let me start with that, and then you can
    finish.
        President Aznar. No, no, no. [Laughter]
        President Bush. It's your country. [Laughter]
        When I was last in Spain, I talked about this very subject, and I
    spoke--this was before September the 11th. And I spoke very clearly
    about my friend's efforts to fight
    terrorist activity within the country of Spain. I just want to remind
    you of the timing, that I made a public statement about terrorist
    activities in the country of Spain prior to my country being attacked.
    So terrorist activities within the borders of Spain has been on my mind.
        It is--we stand ready to help the President. If the President asks for help, the United States of America is
    more than willing to provide that help. We're doing--we've got great
    cooperations--cooperation with our friends in Spain. We share
    intelligence; we talk about arrests that we've made. I mean, we are
    close friends and allies. And Jose Maria knows this very well: I'm a
    phone call away, and terror is terror, and we must fight it wherever it
    exists.
        President Aznar. President Bush was
    very right in saying that when he was in Madrid, during his visit to
    Spain before 9/11, in May/June last year, he explicitly expressed his
    support for Spain's fight against terrorism.
        But what I would like to say once again is that we can establish no
    differences among terrorists. They're all the same. They're all seeking
    to destroy our harmonious coexistence, to destroy civilization. They're
    seeking to destroy our democracy and freedoms. A terrorist attacking the
    Twin Towers in New York or the Pentagon in Washington is tantamount to
    the same kind of criminal who places a car bomb in Madrid or on the
    streets of any other Spanish city. President Bush and I know that there
    are no differences as far as that go. And that's how we approach the
    issue, and we will continue to do so.
        The cooperation between Spain and the U.S. on counterterrorism is
    maximum; the cooperation between intelligence and security services,
    also--because we both hold the conviction that moral values underpin our
    struggle and our fight against terrorism. And the moral value of what it
    means to uphold the principles of democracy and freedom and the
    principles of our countries in the face of terrorism is basic.
        And the memory of the victims is the very finest thing. We must
    remember. We must never forget the victims. That's the best reason to
    combat terrorism.
        And there is never any reason whatsoever to establish dialog with
    terrorists--ever. To initiate dialog with terrorists is tantamount to
    problems for democracy. Terrorists cannot have, must not have, and
    certainly for our part will never have any other fate than that of being
    permanently defeated in Spain or anywhere else. And when I say

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    ``anywhere else,'' what I mean is that cooperation with United States
    and most especially with President Bush in the international fight
    against terrorism is and will continue to be to the maximum.
        President Bush. Pick one, Roman.

    NATO/EU Defense Policy

        Q. Yes, this is a question for all of the Presidents. I have to--I
    want to ask a question about the future of NATO and the cooperation with
    the European Union. For many months now, there is a problem with the
    future of ESDP, because of Greece's position--opposition not to accept
    the Ankara agreement that Great Britain, with the participation of the
    U.S. and EU, broke with Turkey, a non-EU member of NATO. Do you have
    anything on this issue, and did you discuss this issue with the
    President?
        President Prodi. No, we didn't discuss this
    issue today, but of course this is part of our vision for the future
    strategy because we want to make the progress of this type of
    cooperation--that is, shared progress.
        We mentioned before an enlargement, you know, and of course, that we
    are--our goal, our strategy is to have also Cyprus among the countries
    of enlargement. We hope that will be one of the 10 countries in
    December. So we think that a cooperative spirit can permit this goal,
    because Europe must have also in the Mediterranean area its role, its
    influence. And it's positive influence in these difficult days in the
    area.
        President Bush. Thank you all.

    Note: The President's news conference began at 1:14 p.m. in the East
    Room at the White House. President Bush met with President Jose Maria
    Aznar of Spain, in his capacity as President of the European Council,
    and President Romano Prodi of the European Commission. President Aznar
    spoke in Spanish, and his remarks were translated by an interpreter. In
    his remarks, President Bush referred to Crown Prince Abdullah of Saudi
    Arabia; Prime Minister Ariel Sharon of Israel; King Abdullah II of
    Jordan; and Chairman Yasser Arafat of the Palestinian Authority.
    President Aznar referred to United Nations Secretary-General Kofi Annan;
    and President Vladimir Putin of Russia. Reporters referred to ETA, the
    Basque Fatherland and Liberty separatist group operating primarily in
    the Basque region of Spain; and ESDP, the European Security and Defense
    Policy. A portion of this news conference could not be verified because
    the tape was incomplete.