[Weekly Compilation of Presidential Documents Volume 39, Number 21 (Monday, May 26, 2003)]
[Pages 629-631]
[Online from the Government Publishing Office, www.gpo.gov]

<R04>
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 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

[[Page 630]]

Bush welcomed this perspective and reiterated that Asia remains a major 
focus of U.S. foreign policy.
    President Bush praised President Macapagal-Arroyo's leadership and 
strength in confronting terrorism in the Philippines and beyond and 
reaffirmed the U.S. commitment to support Philippine efforts to defeat 
terror in all its forms. The two leaders reviewed recent progress in the 
war on terror but agreed that this effort is far from over, as 
demonstrated by the May 12 terrorist attack in Riyadh, in which both 
American and Philippine citizens were killed and wounded. President 
Arroyo welcomed the additional counterterrorism security assistance for 
the Philippines in the fiscal year 2003 supplemental budget. President 
Bush emphasized that the United States would continue to provide 
significant security assistance, training, equipment, and law 
enforcement assistance to support the Philippines in the war on terror, 
as appropriate.
    Recalling last year's highly successful deployment of U.S. troops to 
the southern Philippines, the two leaders noted with satisfaction that 
the terrorist Abu Sayyaf Group (ASG) had been driven substantially from 
the island of Basilan, enabling the restoration of peace and order. The 
two Presidents reaffirmed their commitment to destroy the ASG once and 
for all. Toward that end, President Bush and President Macapagal-Arroyo 
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.
    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

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building assistance on the protection of intellectual property rights.
    President Bush commended President Macapagal-Arroyo for her 
steadfast leadership in pursuing needed economic reforms in the 
Philippines, noting in particular her ``Strong Republic'' agenda aimed 
at rooting out corruption, expanding economic opportunity, and 
alleviating poverty. President Bush welcomed President Arroyo's 
determination to pursue reforms in revenue collection, energy 
privatization, and intellectual property rights protection. They further 
noted their shared hope that current and continuing reforms will 
strengthen the Philippines' eligibility for participation in the 
President's Millennium Challenge Account (MCA) in the future.
    The two Presidents 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 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.