[Weekly Compilation of Presidential Documents Volume 38, Number 21 (Monday, May 27, 2002)]
[Pages 900-902]
[Online from the Government Publishing Office, www.gpo.gov]

<R04>
Joint Statement by President George W. Bush and President Vladimir V. 
Putin on Developments in the U.S.-Russian Economic Relationship

May 24, 2002

    At our first meeting in Ljubljana, we expressed our commitment to 
foster a dynamic, forward-leaning economic relationship. We applaud the 
tremendous efforts made over the past twelve months to realize this 
goal. We are encouraged by the close contacts that are forming between 
our business communities and our governments, and the investment and 
trade opportunities that are growing out of these relationships.
    Success in our bilateral economic and trade relations demands that 
we move beyond the limitations of the past. We stress the importance and 
desirability of graduating Russia from the emigration provisions of the 
U.S. Trade Act of 1974, also known as the Jackson-Vanik Amendment. We 
note that the Department of Commerce, based on its ongoing thorough and 
deliberative inquiry, expects to make its final decision no later than 
June 14, 2002 on whether Russia should be treated as a market economy 
under the provisions of U.S. trade law.

[[Page 901]]

    We note our emerging energy relationship, which is aimed at 
enhancing global energy security and stability of supplies. In view of 
the successful advancement of the Sakhalin-I project and the opening of 
the Caspian Pipeline Consortium's Tengiz-Novorossiysk pipeline, we 
welcome implementation of more projects in the fuel and energy sector, 
including in the area of oil-refining and gas-processing and 
transportation as well as development of ports and production 
technology. We call for continued cooperation both on the basis of 
Production Sharing Agreements and other frameworks so that other multi-
billion dollar joint projects can move forward. We also encourage our 
businesses to participate in the Commercial Energy Summit scheduled for 
later this year in the United States.
    We continue to place high priority on Russia's accession to the 
World Trade Organization (WTO), and we reaffirm our commitment to 
working together to accelerate Russia's entry on standard terms. We 
recognize the recent release of the first draft of the Working Party 
report as an important milestone in Russia's accession process.
    We welcome the efforts of the Russian-American Business Dialogue, 
established at the time of our meeting in Genoa. The joint 
recommendations of this private-sector dialogue have been helpful in 
advancing mutual efforts to normalize Russian-American business ties, 
strengthening corporate governance, and promoting cooperation in 
information technology.
    We welcome as well the development of the private sector-led U.S.-
Russia Banking Dialogue and its report to governments. We hope the 
Dialogue will foster non-discriminatory cooperation between private-
sector financial institutions of Russia and the United States. Among the 
important areas of cooperation, we emphasize small business and mortgage 
lending, consumer credit, implementation of cutting-edge technologies, 
and training of qualified banking personnel.
    We welcome the progress made in Russia to establish laws and 
institutions to combat money laundering. We support the efforts to 
jointly counter financial criminal activities, including within the 
framework of the Egmont Group. We attach high importance to 
implementation of programs enhancing cooperation in combating 
legalization of criminal incomes.
    We note the importance of establishing a supportive tax, legal and 
regulatory environment for the development of small business, as well as 
the need to provide access to financing, and welcome the $100 million 
expansion of the Russia Small Business Fund of the European Bank for 
Reconstruction and Development. We encourage other donors to join the 
United States in supporting the further expansion of this effort.
    We also welcome the announcement by the United States Overseas 
Private Investment Corporation to back a new $100 million ``Russia 
Private Equity Fund.''
    We note with satisfaction opportunities for the further development 
of successful and mutually beneficial cooperation in such areas as civil 
aviation, commercial space exploration, the International Space Station, 
commercial satellite launches, and joint design and production of 
aircraft machinery.
    We hail growing aviation cooperation between our two countries under 
the Russian-American civil aviation agreement. Since 2001, we have 
achieved agreement on the opening of new economically viable routes, 
including cross-polar flights.
    We are confident that the creation of the Russian-American Working 
Group on Trade and Aerospace Cooperation will foster expanded direct 
contacts between aerospace corporations and airlines of our countries.
    We welcome the positive trends in our cooperation in the area of 
information technologies, which is emerging as one of the priority areas 
of our bilateral relationship. The introduction of U.S. companies' 
advanced technologies in the Russian market, including through licensed 
modern software applications, contributes to economic growth in Russia. 
We support growing cooperation through services provided by Russian 
companies in designing software and high-tech products on the basis of 
Russia's existing scientific capabilities. We welcome the Information 
Technology Roundtable, which is providing for a comprehensive exchange 
of opinion between government agencies and businesses on removing 
barriers to business

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and protecting intellectual property rights in this area.
    We note growing trade cooperation between our countries. As our 
trade and economic cooperation gains momentum, we might face certain 
contentious issues that must be addressed in a swift, transparent and 
constructive manner by taking account of the interests of both sides.
    Already existing positive examples of cooperation between U.S. and 
Russian companies give us confidence that many new significant and 
mutually beneficial projects will be implemented in the course of our 
expanding economic cooperation.

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