[Weekly Compilation of Presidential Documents Volume 38, Number 18 (Monday, May 6, 2002)]
[Pages 730-734]
[Online from the Government Publishing Office, www.gpo.gov]

<R04>
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 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.

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    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 
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

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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.
    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.

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    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 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

[[Page 734]]

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 
``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.