    [Public Papers of the Presidents of the United States: George W. Bush (2003, Book I)]
    [May 19, 2003]
    [Pages 510-513]
    [From the U.S. Government Publishing Office www.gpo.gov]

    Joint Statement Between the United States of America and the Republic of
    the Philippines
    May 19, 2003

        President George W. Bush today welcomed President Gloria Macapagal-
    Arroyo to the White House on the
    occasion of her State visit to Washington. The two leaders discussed the
    full range of global and bilateral issues and reaffirmed the depth and
    breadth of ties between the United States and the Republic of the
    Philippines. The Presidents agreed that relations are deeper and warmer
    today than at any time in recent history and noted that those ties are
    rooted in shared history, shared values, and a common interest in global
    peace and prosperity. President Bush and President Macapagal-Arroyo paid
    tribute to a revitalized and maturing bilateral alliance and pledged to
    strengthen the partnership further in the years ahead.
        The two leaders noted with
    satisfaction that the U.S.-Philippine alliance continues to play a vital
    role in ensuring mutual security, as it has since the signing of the
    U.S.-Philippine Mutual Defense Treaty over 50 years ago. In recognition
    of this proud history and continued partnership, the President announced
    his intention to designate the Philippines as a Major Non NATO Ally
    (MNNA). This step will allow the two

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    countries to work together on military research and development and give
    the Philippines greater access to American defense equipment and
    supplies. President Bush thanked President Macapagal-Arroyo for her
    strong and unequivocal support in the Iraq campaign and expressed
    appreciation for the Philippine government's plans to deploy
    peacekeeping and medical personnel to assist in Iraq's reconstruction.
    The two Presidents reaffirmed their shared commitment to a free Iraq at
    peace with its neighbors. The two leaders also agreed that North Korea's
    nuclear weapons program is unacceptable and stressed that North Korea's
    relations with the Asia-Pacific region hinge on the verifiable and
    irreversible elimination of nuclear weapons capability.
        President Macapagal-Arroyo
    expressed the view that the world had changed on September 11, 2001 and
    that conflict in Iraq had been another milestone in the war on terror.
    She noted that across Asia, there is a growing capability and readiness
    to cooperate on maintaining peace and stability in this new environment,
    and emphasized that the United States' leadership and strategic presence
    in the region are essential for the continuation of this positive trend.
    President Bush welcomed this perspective and reiterated that Asia
    remains a major focus of U.S. foreign policy.
        President Bush praised President Macapagal-Arroyo's agreed to hold another joint
    military activity in the near term, in which the United States will
    provide support to ongoing Armed Forces of the Philippines-led
    operations against the ASG.
        The two leaders agreed on the
    need for a comprehensive approach to defeating terrorism in Southeast
    Asia, recognizing that terrorism knows no borders. The Presidents agreed
    on the need for efforts to alleviate poverty and other socio-economic
    grievances which can create conditions that can be exploited by
    terrorists. President Arroyo expressed appreciation for increased U.S.
    economic and development assistance to the southern Philippines, which
    reinforces the Philippine Government's own efforts to heal divisions in
    Philippine society. To advance this agenda, President Bush informed
    President Macapagal-Arroyo that the United States will train and equip a
    Philippine engineering unit capable of performing civic action and
    humanitarian projects in conflict zones.
        President Bush condemned recent terrorist acts in the southern
    Philippines. President Arroyo
    appreciated the economic assistance recently allocated by the United
    States Congress to support peace in Mindanao. President Bush stated that
    the United States stands ready to provide diplomatic and financial
    support to a renewed peace process with the Moro Islamic Liberation
    Front (MILF), provided that the MILF renounced terror.

    [[Page 512]]

        The two Presidents agreed that
    the U.S.-Philippine security partnership has never been healthier and
    emphasized the importance of U.S. support for continuing efforts to
    improve the capabilities of the Armed Forces of the Philippines (AFP).
    Toward that end, the two Presidents agreed to launch a comprehensive
    review of Philippine security needs and how best the United States can
    support President Macapagal-Arroyo's plans to modernize and reform the
    AFP. President Bush committed to help address the AFP's most pressing
    needs, particularly in the area of mobility, by providing helicopters
    and spare parts. President Macapagal-Arroyo thanked President Bush for
    his promise of assistance and pledged her government's full support for,
    and participation in, the more comprehensive review.
        The two Presidents expressed
    great pride in the robust economic and trade ties that bind the United
    States and the Philippines, as evidenced by annual bilateral trade
    exceeding $18 billion and cumulative direct private investment of $3.5
    billion. The leaders reviewed progress in implementing President Bush's
    Enterprise for ASEAN Initiative, which is aimed at generating sustained
    economic growth in Southeast Asia. They welcomed the revival of the
    bilateral Trade and Investment Framework Agreement and agreed to resolve
    issues identified in its Trade and Investment Council consultations.
    President Arroyo welcomed the U.S. decision to provide tariff-free
    Generalized System of Preferences (GSP) benefits to specific products
    requested by the Philippines and the offer of additional technical and
    capacity building assistance on the protection of intellectual property
    rights.
        President Bush commended President Macapagal-Arroyo highlighted
    the remarkable contributions of Filipinos and Filipino-Americans to
    American economic life. Recognizing the important role that the over 7
    million overseas Filipino workers play in the Philippine and global
    economies, President Bush announced that the United States is launching
    a project to facilitate the flow of remittances from Filipino workers
    around the world back to the Philippines. The two leaders agreed that
    this project would improve the lives of millions of Filipinos by
    lowering the costs of remittance transactions and making it easier for
    funds to flow to the Philippines from the United States and around the
    world.
        The two Presidents reviewed with
    pride the contributions made by Philippine World War II veterans who
    gave so much in defense of freedom. President Bush announced his
    intention to support legislation extending new benefits for Commonwealth
    Army veterans and guerrillas who lawfully reside in the United States.
    He also announced continuing efforts to improve medical care for
    Filipinos veterans in the Philippines by providing medical equipment to
    the Veterans Memorial Medical Center in Quezon City in the 2004 fiscal
    year.
        Presidents Bush and Macapagal-Arroyo looked forward to the May 20 signing by Secretaries
    Powell and Ople of agreements on assistance for Mindanao, law
    enforcement cooperation, and science and technology cooperation, noting
    that cooperation in these three areas is a priority for both countries.
        President Bush was pleased to accept President Macapagal-
    Arroyo's invitation to pay a
    reciprocal visit to the Philippines when he travels to Southeast Asia
    for

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    APEC in 2003. The two leaders agreed that to maintain momentum in the
    bilateral relationship, other senior U.S. officials will travel to
    Manila in the coming months, beginning soon with Secretary of Energy
    Abraham and continuing thereafter with
    senior officials from the Department of Treasury and the Agency for
    International Development (AID).

    Note: An original was not available for verification of the content of
    this joint statement.