[Weekly Compilation of Presidential Documents Volume 37, Number 29 (Monday, July 23, 2001)]
[Pages 1062-1067]
[Online from the Government Publishing Office, www.gpo.gov]

<R04>
The President's News Conference With Prime Minister Tony Blair of the 
United Kingdom in Halton, United Kingdom

July 19, 2001

    Prime Minister Blair. Good evening, everyone. First of all, can I 
say how delighted I am to have President Bush here, not just here in 
Britain but also here staying with us, and Laura, tonight at Chequers. 
And we're looking very much forward to hosting them. And I think it is 
yet another example of the strength of the relationship between our two 
countries. It is a very strong relationship, a very special one.
    And I know in the discussions we've had we've ranged over many 
issues. Obviously, we started with the discussion of the upcoming G-7/G-
8 summit where we agreed how important it is that we get across the 
strong message to people that the summit is important because it allows 
us to discuss issues of real importance to people. I have no doubt that 
we'll be with people there who will be making their protest, but I hope 
they do so peacefully, because some of the things we're discussing at 
this summit, in terms of global trade, in terms of the developing world, 
are things that are of huge importance not just to the most prosperous 
countries of the world but also to some of the poorest countries of the 
world.
    We touched then on many other issues in the course of our 
discussion, including, obviously, missile defense, the issue of climate 
change, and a good discussion on Macedonia and Northern Ireland, the 
Middle East process, and of course, the state of the world economy.
    And I'm sure you want to ask some questions about those things. But 
once again, can I say, George, how much I welcome you and Laura here, 
how delighted we are to see you. And I know and hope very much this will 
be a good evening for you and set you up in the right frame of mind for 
the summit ahead. [Laughter]
    President Bush. Thank you. At Camp David, Tony told me Chequers was 
a beautiful place, and he was telling the truth. And we're glad--Laura 
and I are glad to be here. I appreciate so very much your hospitality 
and your friendship. America and Great Britain have got a special 
relationship. We both have pledged to keep the relationship as special 
as possible, and I'm convinced it will continue to be.
    I, too, look forward to going to Genoa. You know, I am--I can't wait 
to make the case, along with Tony Blair, about the need for the world to 
trade in freedom. And for those who want to shut down trade, I say this 
to them as clearly as I can: You're hurting poor

[[Page 1063]]

countries. For those who kind of use this opportunity to say the world 
should become isolationist, they're condemning those who are poor to 
poverty. And we don't accept it. We don't accept it.
    We've got a lot in common between our countries, most of which is 
values. We value freedom. We value political dialog. We value freedom of 
religion--freedom of the press, for that matter. But we also value the 
fact that we're responsible nations and that we realize there are some 
who are less fortunate than the great land Tony is the leader of, and 
our great land, as well.
    So at the summit, we'll be talking about how best to help the 
continent of Africa deal with HIV/AIDS, how best to make sure our aid 
and loans work well, and how best to encourage the habits of freedom, 
starting with good education.
    So I'm looking forward to it, and I want to thank you for having 
Laura and me here. It's a great joy to be in your beautiful country.
    Prime Minister Blair. Right. We'll take some questions. We'll bring 
you a mike, I think.

Northern Ireland Peace Process

    Q. Could I ask you both about what you've been saying to each other 
about Northern Ireland and, particularly in view of the President's 
comments, whether you feel it's still possible that the package that 
Britain and Ireland are going to produce can be even-handed in the 
continued absence of decommissioning?
    And can I also ask you, Prime Minister Blair, about your thoughts on 
Jeffrey Archer, the former deputy chairman of the Tory Party and 
Conservative MP, starting a 4-year sentence tonight for perjury and 
perverting the course of justice?
    Prime Minister Blair. I'm afraid on the second part, I've really got 
nothing to say on that.
    In respect to the first part, the package that we put to the parties 
will be balanced because it will deal with all the outstanding issues. 
It will deal with the issues of the stability of the institutions, how 
we get a normalized situation--we've reduced troop movements and the 
numbers of troops in Northern Ireland dramatically, but we want to do 
more--how we make sure, too, that we get a police service that all parts 
of the community in Northern Ireland can support. And then also there is 
the issue of the decommissioning, the putting beyond use of paramilitary 
weapons. And obviously there's got to be action on all those fronts.
    And so we hope very much the people will respond positively. 
Because, as I often say to people, you only have to look at the 
situation in the Middle East to realize what happens when negotiation 
breaks down, when parties move apart from each other, and how quickly a 
situation that looked optimistic can become unstable and dangerous.
    And this is--this Good Friday agreement, this peace process is the 
only hope for people in Northern Ireland. And the package has been put 
forward by ourselves and the Irish Government together. And I hope 
people respond positively and realize that the future of generations of 
people in Northern Ireland depend on that positive response.
    President Bush. We did spend a fair amount of time talking about 
Northern Ireland. I've reiterated to the Prime Minister that I stood 
ready to help in any way--a simple phone call away. If there's anything 
I can do to help bring peace to the region, I will do so. And make no 
mistake about it, people shouldn't have any doubt as to where my 
Government stands. We stand strongly, side by side with Britain when it 
comes to decommissioning in Northern Ireland.
    Ron [Ron Fournier, Associated Press].

National Missile Defense/Kyoto Protocol on Climate Change

    Q. A question for each of you, please. Mr. Prime Minister, does 
Saturday's successful test of a antimissile system in the U.S. affect 
your opinion at all of President Bush's plans to deploy a missile shield 
and scrap the ABM Treaty?
    And to you, Mr. President, as we speak, environmentalist ministers 
are meeting in Germany, trying to find a way to salvage the Kyoto global 
warming treaty. If the rest of the world proceeds without you, doesn't 
it isolate your policies and your country?
    President Bush. Ron's very good about taking one question and 
converting it to two. [Laughter]

[[Page 1064]]

    Prime Minister Blair. Well, first of all, on the subject of missile 
defense, obviously, we await a specific proposal from the U.S. 
administration. But I want to say this and say it clearly, that I think 
President Bush is right to raise the issue of the proliferation of 
weapons of mass destruction and say that that needs new and imaginative 
solutions, because it's a huge threat facing the whole of the world.
    Secondly, I think that that has got to, as I said at Camp David, has 
got to encompass defensive systems and offensive systems. And I think 
it's again sensible and right that we sit down and work our way through 
that.
    And the third thing is that we welcome very much the approach that 
President Bush and the administration have taken to consulting allies 
and also making it clear that they wish to have a dialog and a 
partnership with Russia about this issue.
    And I think that in combination, those things are bringing about a 
situation in which we can have a sensible and rational debate about an 
issue that is of fundamental importance facing the world. So I hope that 
in that spirit, you know, we will carry forward the dialog that we have 
achieved so far.
    President Bush. Let me comment on that, and then I'll comment on 
your other question. The thing I appreciate about the Prime Minister is 
that he's willing to think anew as we head into the future. It's hard 
for any country to commit to vague notions. But there are some leaders 
who just out of hand reject any willingness to think differently about 
security. And Prime Minister Blair is not that way. He's been very 
forthcoming. He's had great questions. He's been more than willing to 
listen to the philosophy behind moving beyond a treaty that has codified 
a relationship that no longer exists.
    ABM Treaty codified a relationship between enemies. Russia is not 
our enemy. And as we head into the 21st century, we must think about new 
ways to keep the peace. And the Prime Minister has been very positive. 
You know, some people just reject new thought out of hand. And that's 
certainly not the case. And as time develops, I will stay in touch--as 
our plans develop, I'll stay in touch with Tony as to what's going on. 
He's been a great person with whom to consult on this issue.
    The United States is concerned about the emission of CO<INF>2</INF>. 
We share the goal of reduction of greenhouse gases. We will be and are 
in the process--we'll be presenting a strategy that may have different 
means than Kyoto of achieving the same goal. And we're in the process of 
developing the strategy.
    People shouldn't, just because I gave an honest assessment of 
Kyoto's chances in the United States Senate and what it would mean to 
our economy, should not think that we don't share the same goal. We do. 
We want to reduce greenhouse gases. Ours is a large economy, 
generating--we used to generate more wealth than we are today, and as a 
result, we do contribute greenhouse gases to the atmosphere. And so 
we're concerned about it.
    But first things first, as far as I'm concerned. Our strategy must 
make sure working people in America aren't thrown out of work. My job is 
to represent my country, and I'm going to do so in a way that keeps in 
mind the ability for people to find work and for our Nation to be 
prosperous. And I believe economic growth and sound environmental policy 
can go hand in hand.
    Mr. Prime Minister, as I assured you, I will come to you with a 
strategy that conforms to the goals of Kyoto and one that is--that I 
hope people understand makes sense for our country.

EU-U.S. Relations

    Q. Mr. President, given the very strong relationship which you say 
exists between yourself and Tony Blair, between Britain and the United 
States, are you endangering that special, unique, close relationship 
because Mr. Blair wants to be a bridge between Europe and the United 
States, and yet, you don't seem to be offering very much to help narrow 
the gulf which seems to be opening up between Europe and the United 
States on key issues?
    President Bush. I will let Tony Blair speak to how he feels my 
relationship with Europe--I'm not going to--you'll say my answer is not 
very objective, but frankly, after

[[Page 1065]]

my last trip here, I think the European leaders got to know me and 
realize that our country will be engaged with Europe in all aspects.
    In the Balkans, I made it clear: We came in together, and we're 
going to leave together. When it comes to trade, I made it clear that 
we're a strong trading partner. We've got to work hard to reduce 
barriers that prevent us from trading freely. When it comes to defenses 
within NATO, we're more than willing to do our commitment. And, you 
know, I appreciate Tony's friendship. I think people will find out that 
I'm plenty capable of conducting foreign policy for the United States in 
a way that reflects positively on my Nation. And I'm glad to be back in 
Europe. I look forward to a frank discussion in Genoa, and I'm confident 
that we'll find areas to work together on. When we disagree, we'll do so 
in a respectful way.
    Prime Minister Blair. Well, I would just like to add a word on that, 
if I could, James. First of all, I think that the way the President came 
to Europe and to Goteborg and made his presentation impressed everybody 
who was there. I thought it was a highly successful visit.
    And of course, there may be differences of the minute, for example, 
over Kyoto. Though, again, I think it is helpful that the United States 
is saying, ``Look, this is not what we can agree to, but nonetheless, we 
agree with the aim. We agree with the objectives, and there are 
proposals that we will make as to how we can get there.'' Now, you know, 
we've had a very strong position in favor of Kyoto. That is our 
position, obviously. But the fact is that dialog there is extremely 
important.
    But you know, on a whole range of issues, Europe and America and 
Britain and America stand together. We're doing so in the Balkans. We're 
doing so trying to sort out the problems of Macedonia. We're doing so on 
the issue of world trade. We're going to do so again on issues like 
Africa and global health and debt. And where we're trying to go to the 
G-7/G-8, and present to the world an agenda for better and more free 
trade, for help for the poorest nations of the world, for stability in 
the world economy, which is of dramatic importance not just to our 
countries, not just to Europe and America but to the whole of the world.
    You know, this is a passionate belief I have that I held in theory 
when I was an opposition leader and has strengthened in practice over 
the last few years that I've been Prime Minister. And that is not merely 
is the relationship between Britain and America key--and we are and 
always will be key allies--but when Europe and America stand together 
and when they approach problems in a sensible and serious way and 
realize that what unites them is infinitely more important than what 
divides them, then the world is a better, more stable, more prosperous 
place. When we fall out and diverge and when people try and put 
obstacles in the way of that partnership, then the only people rejoicing 
are the bad guys.
    That is my basic view after these years. And just to make one other 
point. Since this administration has come to power, on the issue of 
trade, in particular, we have seen big steps forward in the relationship 
between Europe and America. These are the important things, as well. 
There's a whole range of issues that I was dealing with a couple of 
years ago which were tough issues here that we've got resolved. So I 
think it's against that background that we make these judgments.
    President Bush. Randy [Randy Mikkelsen, Reuters].

International Economy

    Q. Mr. President, will you be urging your G-7 partners to do more to 
bring major economies out of the doldrums? And will you heed the call of 
U.S. business and labor groups who urge you to discuss negative effects 
of the strong U.S. dollar in Genoa?
    And Prime Minister Blair, I'd like your views also on whether Europe 
is doing all it can to stimulate the global economy.
    President Bush. Well, one of the things I'll do, Randy, is to share 
with my colleagues the successes we've had at cutting taxes, as well as 
holding the line on spending--let me say this--successes we've had so 
far in holding the line on spending, but the President is given a veto 
for a reason, Mr. Prime Minister, and that's to hold the line on 
spending--as well as to assure them that our Fed

[[Page 1066]]

is going to continue to watch our economy very carefully.
    The Federal Reserve is independent from our Government, but 
nevertheless, Mr. Greenspan is sending signals that he's concerned about 
the state of our economy. In other words, we're doing everything we can 
to, within our own borders, to deal with an economic slowdown. As for 
the dollar, the market needs to determine the price of the dollar.
    There's all kinds of folks in our country insisting the dollar be 
this way or the dollar be that way. The best way to determine the price 
of the dollar is to let the market determine that price. And that's my 
message to business, labor, anybody else who wants our Government to 
intercede in the market.
    Prime Minister Blair. Well, just shortly on the question of the 
European economy, obviously, we want to see the European economy 
strengthened. I think the--quite apart from the impact of the world 
economy, particularly the U.S. economy, on Europe is the whole issue of 
economic reform in Europe.
    We now--one of the big changes in the direction of European economic 
policy over the past couple of years has been that every year now--and 
next year it will be in Barcelona in March--we hold an annual summit 
specifically on the issue of economic reform, in order that Europe 
should be not a fortress Europe but should be a Europe that is open, 
competitive, not just within Europe but with the rest of the world.
    Now, I think we've still got a lot of structural change to get 
through in Europe. And certainly we will be raising this, obviously, in 
the G-7/G-8, but within the European Union, as well. It's important that 
we make big steps forward on that reform agenda, since whatever the 
state of the world economy, some of the rigidities we still have within 
our own economies have to be eliminated.

National Missile Defense

    Q. Prime Minister, could you tell us whether you support President 
Bush's wish to set aside or get rid of the ABM Treaty? And for President 
Bush, could you tell us whether it is likely that you'll want to upgrade 
U.S. radar stations in the north of England for your missile defenses?
    Prime Minister Blair. Well, in respect to the first part, as I said 
a moment or two ago, we welcome very much the approach the U.S. 
administration has taken, which is to say, ``Look, the world has moved 
on. Let us look at what is the right framework for today, and let us do 
that in close consultation and dialog with Russia,'' since it's a treaty 
between these two countries. And I think that is the right approach to 
take.
    President Bush. I'm absolutely convinced we need to move beyond the 
ABM Treaty and will continue my dialog with President Putin in a couple 
days time. It is important for him to know, once again, to hear me say 
once again, Russia is not the enemy of the United States. There is no 
need for us to live under a treaty that codified a period of time in 
which the world was divided into armed camps. It's time to work together 
to address the new security threats that we all face.
    And those threats just aren't missiles, or weapons of mass 
destruction in the hands of untrustworthy countries. Cyberterrorism is a 
threat, and we need to work on that together. There are all kinds of 
threats that freedom-loving people will face in the near future. And I 
look forward to discussing all those threats with President Putin, as I 
have with Tony Blair.
    It's premature to determine how best to track missiles under a new 
strategic framework. So to answer your question about upgrading radars 
in Britain or in America or anywhere else, it is too early to determine. 
The problem we face under the current system is that it's impossible to 
do enough research and development to determine what will work. Therein 
lies part of the dilemma for the Prime Minister. He said, ``What do you 
want me to support? What are you proposing?'' And what I'm first 
proposing to Mr. Putin is that we move beyond the treaty so that we can 
figure out what does work.
    And I want to remind you all that he was the leader early on who 
said that the new threats of the 21st century will require theater-based 
systems that will be able to intercept missiles on launch. Mr. Putin 
said that. Of course, that's what I was saying in the

[[Page 1067]]

course of the campaign, which led me to believe that there was some 
common ground. And that's the common ground on which we're exploring 
moving beyond the ABM Treaty. And I look forward to reporting back how 
the conversations go here pretty soon to my friend Tony Blair.
    John Roberts [CBS News].

Stem Cell Research

    Q. I have a three-part question for you, Mr. President, and a one-
part question for you, Prime Minister Blair.
    President Bush. Wait a minute, that's four questions.
    Q. Well, no, it's essentially one question----
    President Bush. Okay, good.
    Q. ----in three parts. [Laughter] I'm wondering, sir, how it is that 
it's taking you so long to make a decision on whether or not to continue 
embryonic stem cell research. What is the basis of the this compromise 
that we've heard about? And now that Senator Frist has joined Senator 
Hatch and former Reaganites in supporting a continuation of funding for 
embryonic stem cell research, do you believe you now have enough 
political cover on the right to make a decision in the affirmative?
    And Prime Minister Blair, as some U.S. laboratories, in anticipation 
of a negative decision, have started the process to move to Great 
Britain, I'd like to know your position on embryonic stem cell research 
in the context of the global advancement of science.
    President Bush. I'll start.
    Prime Minister Blair. You're welcome. [Laughter]
    President Bush. John, this is a very serious issue that has got a 
lot of ramifications to it, and I'm going to take my time because I want 
to hear all sides. I want to fully understand the opportunities and to 
fully think through the dilemmas.
    And so I will make an announcement in due course, when I'm ready. 
And it doesn't matter who is on what side, as far as I'm concerned. This 
is a decision I'll make. And somehow to imply that this is a political 
decision is--I guess either doesn't understand how I--somebody doesn't 
understand how I think or really doesn't understand the full consequence 
of the issue. This is way beyond politics.
    This is an issue that speaks to morality and science and the 
juxtaposition of the both. And the American people deserve a President 
who will listen to people and to make a serious, thoughtful judgment on 
this complex issue. And that's precisely how I'm going to handle it.
    Prime Minister Blair. If you'll forgive me, John, I'm not going to 
get into any of the debates that are happening in your country. We have 
made our decision here, as you know and as your question implied. The 
only thing I would say to you about this issue is that it is an 
extraordinarily difficult and sensitive question for people. And I 
think, certainly, the best way of resolving it is for people on whatever 
side of the argument they are to realize that the people on the opposite 
side are not necessarily badly intentioned or badly motivated. They're 
just in an immensely difficult situation, taking a different 
perspective.
    I think if people approach the question with that type of good will, 
even towards people with whom they profoundly disagree, then I think the 
answers are, if not easier to find, they're easier then to explain. But 
as I say, we took our decision here, but your decision is for the 
President and people in the United States.
    President Bush. I was wondering if anybody has got an extra 
Pepsodent? [Laughter] Get it?
    Prime Minister Blair. Okay. Thanks a lot.

Note: The President's 12th news conference began at 6:30 p.m. at Halton 
House at the Royal Air Force Halton base. In his remarks, he referred to 
President Vladimir Putin of Russia.