WHITE HOUSE READOUT: VP BIDEN'S MEETING WITH CANADIAN PRIME MINISTER HARPER

FROM:  THE WHITE HOUSE
Readout of the Vice President’s Meeting with Prime Minister Stephen Harper of Canada

Today in Vancouver, Vice President Biden met with Prime Minister Stephen Harper of Canada. The Vice President congratulated the Prime Minister on hosting a successful FIFA Women’s World Cup and thanked him for the outstanding hospitality. Demonstrating the breadth of the relationship, Vice President Biden and Prime Minister Harper exchanged views on a range of pressing global issues, including the threat posed by ISIL and the ongoing situation in eastern Ukraine. Both leaders reaffirmed the shared commitment to deepening robust trade relations and the early conclusion of negotiations for the Trans-Pacific Partnership.

PRESIDENT OBAMA'S STATEMENT ON TRADE

FROM:  THE WHITE HOUSE
Statement by the President

I applaud the Democrats and Republicans in Congress who came together to give the United States the chance to negotiate strong, high-standard agreements for free and fair trade that protect American workers and give our businesses the opportunity to compete. With bipartisan majorities, Congress also voted to expand vital support for thousands of American workers each year, and to bolster economic relations between sub-Saharan Africa and the United States. Of course, we still have more work to do on behalf of our workers, which is why I'll continue to encourage Congress to pass robust trade enforcement legislation that will help us crack down on countries that break the rules. But this week's votes represent a much-needed win for hardworking American families.

As President, I've spent the last six and half years fighting to grow our economy and strengthen our middle class, and that remains my top priority today. I believe we should make sure that the United States, and not countries like China, write the rules of our global economy. We should support more good jobs that pay good wages. We should level the playing field so that our workers have the chance to compete and win. That's what this new legislation will help us do, and I look forward to signing these bipartisan bills into law as soon as they reach my desk.

LISA KUBISKE MAKES REMARKS AT GLOBAL REPORTING INITIATIVE ROUNDTABLE

FROM:  U.S. STATE DEPARTMENT
Remarks at the Global Reporting Initiative Roundtable
Remarks
Lisa J. Kubiske
Deputy Assistant Secretary for International Finance and Development, Bureau of Economic and Business Affairs
GRI
Washington, DC
June 22, 2015

As Prepared

Welcome to what I consider to be an incredibly important collaboration – and thank you for taking time out of your very busy schedules to be here this afternoon. Many of our private sector participants have come long distances to participate in these roundtables, and we greatly appreciate their willingness to do so. Although this is an event jointly organized by GRI and The State Department’s Bureau of Economic and Business Affairs, GRI has done more than its fair share of the preparations. Teresa, Robyn, and the rest of the GRI team have done an incredible job.

2015 will be a critical year for development and for the multilateral system. Three major UN conferences this year together have the potential to form a global consensus on development that could last 15 years or more and have impacts that affect generations to come.

All the reflection and analysis that takes place before these conferences reinforces what we already know: the private sector is the key player in advancing development. This is why it is so important that GRI brought together such innovative and dynamic U.S. companies here today so that we in the U.S. government can learn from and capitalize on your experiences and best practices.

For 17 years, the Secretary of State has, through the “ACE” awards or Awards for Corporate Excellence, formally recognized U.S. businesses that undertake responsible activities to improve lives and advance the needs of local communities around the world.

Beyond private philanthropy and corporate social responsibility, the private sector is a key partner in development through establishing new enterprises, creating jobs, providing goods and services, generating income and profits, and contributing to public revenues. Domestic private sector growth is the lifeblood to developing countries’ economies, whereby businesses deliver investment, trade, jobs, and innovation. Domestic private finance has greatly surpassed public finance in recent years, making it the single largest source of finance for all developing countries.

According to World Bank, in 2014, private infrastructure investment for energy, transport and water projects was $107.5 billion among the 139 emerging economies. Foreign direct investment (FDI) is by far the biggest source of international capital flows to developing countries – around 60% on average.

But there is also growing recognition that some of the most important, effective development initiatives involve the public and private sectors working together. Today, Official Development Assistance represents only about 28% of all official and private flows from OECD members. Through innovative financing mechanisms and public-private partnerships, ODA can spur key investments and prompt important reforms in developing countries that enable the private sector to have even more impact.

The UN conferences this year provide a real opportunity to reaffirm and build upon the global development consensus that we developed in Monterrey and confirmed in Doha. And the private sector should be at the heart of that consensus.

The U.S. Government is taking initiative to make the world a more hospitable place for U.S. businesses to set up shop. We are negotiating trade and investment agreements. Some are in the headlines, like TPP and T-TIP. Some, less so, like the China BIT negotiations. We are also working hard to put together the National Action Plan on Responsible Business Conduct that President Obama announced last September. We believe the plan will help to consolidate the excellent brand and reputation U.S. businesses have established around the world by being responsible partners in development for nations and communities alike.

I look forward to today’s discussion and the ideas that come from it. And I am excited about finding new ways we can further collaborate and drive private sector investment and public private partnerships.

U.S. OFFICIAL'S REMARKS TO KOREAN CHAMBER OF COMMERCE AND INDUSTRY

FROM:  U.S. STATE DEPARTMENT
Remarks to the Korean Chamber of Commerce and Industry in the United States
Remarks
Daniel R. Russel
Assistant Secretary, Bureau of East Asian and Pacific Affairs
New York City
May 27, 2015
As Prepared for Delivery

Thank you, Chairman Ha for that introduction. Thank you all for coming - Consul General Kim and consular officials, Korean business promotion organizations, and all KOCHAM members and distinguished guests.

I’m glad to talk to business groups, such as KOCHAM, because economic relations have to be such a large part of our overall relationship with Korea. Your companies are big investors in America, accounting for a huge share of Korea’s FDI stock in the U.S., which is now over $31 billion dollars. Thank you.

In 1962, Dow Chemical, a storied American firm, became the first outside company to enter the Republic of Korea after it opened to foreign investment. Since then, your country’s economy has developed rapidly, and our commercial ties have blossomed with it.

The individual investments of KOCHAM members are far too numerous to list, so I’ll just name a few. Korean Air’s hotel in Los Angeles. Lotte’s move to participate in America’s shale energy boom by building a chemical plant in Louisiana. Doosan is using its expertise and capital to build up Bobcat, a great American global brand, and preserving and creating good jobs for Americans in the process. The banks, insurance providers, shipping and travel companies, consultants, and trade promotion agencies represented here provide essential capital and services that everyone else depends on to get business done. All of your companies are essential to modern life.

But, of course, I there’s one more important field – the field that really separates the 20th century from the 21st – and too often separates us parents from our children – digital technology, and mobile tech in particular.

Tech is one of the best known areas of partnership between our two countries. Just over a week ago, I was with Secretary Kerry in Seoul where he delivered a major speech on cyber policy. He chose to give this speech in Seoul because the Republic of Korea is such an important global leader in the digital world. When you consider the fact that South Korea is one of the most connected countries on earth; one of the biggest economic success stories of the last fifty years; one of the most important inventors of digital technology; and one of the biggest manufacturers of tech products; I think it’s fair to say that no other country has benefitted more from the digital revolution.

The U.S. has benefitted immensely from technology as well. As the most innovative country on earth, we have driven the tech revolution. So it’s natural that Koreans and Americans are partners in tech in so many ways. Just in the past month, Samsung made two interesting announcements: that it was investing $250 million in Silicon Valley, and that its CEOs and senior execs would be spending more time in the U.S. on a regular basis, to interact and share ideas with their counterparts at other companies in the U.S. This move is striking because it shows that despite all that Samsung, and other US and RoK companies, have done to help people connect over great distances, we still want to see each other in person. That’s part of why you all are living here for an extended period, and why many Americans live in Korea.

We appreciate the investments, and the jobs you’re creating. And we know you appreciate the talent you’re getting – from creative coders and marketers at LG, to hard-working line workers and expert engineers at Hyundai and Doosan. Our work together at the same facilities brings our nations closer, and it’s good for Korean Air, for Asiana – and for Delta and United as well.

As we look at the many connections between the U.S. and Korean economies, it’s clear that business is good. And that reflects the broader state of our bilateral relationship – the United States and the Republic of Korea have never been closer.

So today, I will give an overview of our bilateral relations, our strong alliance, and our global partnership that tackling issues from climate to economic development and advocating for our shared values around the globe. Then I’ll say a few words about our forward-looking economic relationship, and open it up for discussion.

The shared values and shared challenges we face form the core of our bilateral relationship. So I’d like to use the rest of my time here to talk about that relationship – to give you the larger context of what our two countries are doing together, for each other, and for the world.

The U.S.-ROK relationship is as strong as it has ever been. I was just in Seoul with Secretary Kerry, and it was a highly successful visit. We are very much looking forward to President Park’s upcoming visit in June. These are just the latest in what have been a series of productive meetings between our countries’ senior leaders.

In addition to these leaders’ meetings, we’ve also concluded, in the last couple years, a series of very important negotiations that have moved the relationship forward. We’ve strengthened our alliance through a new agreement on operational control of alliance forces during wartime—the agreement takes into account the evolving security situation in the region and the critical defense capabilities needed to address the North Korea threat. And we signed a new agreement which ensures the continued R.O.K. resources our troops need to “fight tonight.”

Even as we hope and plan and prepare for a brighter, more peaceful, united future for the Korean peninsula, we must still guard against the perils of the present, from North Korea’s nuclear, ballistic missile, and cyber threats, to natural disasters, to ISIL, pandemic disease, and climate change—global challenges that affect us all.

Just last month, we concluded negotiations on a successor civil-nuclear, or “1-2-3,” agreement. This state-of-the art agreement reflects the Republic of Korea’s status as a major global nuclear supplier while reaffirming the great importance we both place on non-proliferation, security, and safety.

And throughout the year, we’ve made progress on implementing the U.S.-Korea Free Trade Agreement. This helps ensure that our two economies continue to provide the foundation of shared prosperity that strengthens all aspects of the relationship.

Beyond our bilateral relations, we’re working to make the region safer and more prosperous.

South Korea, along with Japan, Australia, and others, is a key partner in the regional institutions that put our shared values into practice.

We see the emergence of Global Korea in the Association of Southeast Asian Nations’ “ASEAN plus three” group, and in APEC and the G20.

As two democracies, free market economies, and two important allies of the U.S., it’s difficult to overstate the importance we place on good relations between the Republic of Korea and Japan. I am hopeful that we will see continued progress on sensitive, important legacy issues, and an enduring improvement in overall relations in 2015.

President Park’s Northeast Asia Peace and Cooperation Initiative, and the concept of trustpolitik, show her commitment to contributing to the broader discussion of the Asia-Pacific region’s future.

Of course, one critical issue we never lose sight of is curbing the threat from North Korea’s nuclear and ballistic missile programs, and advocating for the human rights of the North Korea’s people.

We’ve strongly supported new Security Council sanctions and increased enforcement to block proliferation and stem illicit activities that fund or support North Korea’s nuclear and missile programs. At the same time, we and our partners in the Six-Party Talks continue to make clear to North Korea’s leadership that a brighter future is available if it chooses a different path.

We have gone the extra mile to reach out to North Korea’s government and encourage it to engage in an authentic and credible negotiating process.

But for negotiations to have any chance of success, North Korea must demonstrate a willingness to fulfill its denuclearization obligations and commitments, including those it undertook in the September 2005 Joint Statement.

At the same time, the U.S. and R.O.K. have worked with our partners on behalf of the North Korean people, to shine a bright light on the North’s human rights horrors, and to highlight the responsibility of the country’s leaders.

Last year, the landmark Commission of Inquiry report laid out these violations in devastating detail. There was a multilateral, high-level event on North Korean human rights at the U.N. General Assembly for the first time. And the General Assembly and Human Rights Council overwhelmingly passed strong resolutions calling on the North to address its deplorable human rights situation.

North Korea is feeling the heat. Last year, they even felt the need to send their Foreign Minister to the General Assembly in New York for the first time in 15 years, as part of an apparent charm offensive around the world.

We will continue to maintain pressure on the D.P.R.K. To that end, we support and look forward to the U.N. High Commissioner for Human Rights opening a field-based structure in Seoul that will monitor and document the human rights situation in the DPRK in order to help seek justice for those accountable.

But it’s also important to note that U.S.-South Korea cooperation, and the R.O.K.’s global role, go way beyond dealing with the North.

Secretary Kerry said it simply, “The Republic of Korea has emerged as a key global player dedicated, as the United States is, to universal values like human rights, democracy, and the rule of law.”

It has been a dramatic time for the R.O.K.’s relations with the world, and our global work together. Let me mention just a few highlights…

Last year in Dresden, Germany, President Park Geun-hye laid out a comprehensive vision for peaceful reunification.

She also hosted Chinese President Xi Jinping, making him the first PRC president to visit Seoul before visiting Pyongyang—or even meeting the North Korean leader—a very significant event.

The R.O.K. hosted the Conference of the International Telecommunication Union, which produced the Busan Consensus.

As the dangers of Ebola heated up, South Korea stepped forward. We are pleased that the ROK provided both financial assistance, and three teams of health care workers on the ground in Sierra Leone. The Ebola outbreak is not done, and we must all remain vigilant.

The U.S. and Korea work together to spur development and seize economic opportunities around the globe. The U.S. Agency for International Development and the Korea International Cooperation Agency signed a memorandum of understanding just last year that highlights our strengthened collaboration on maternal and child health in Ghana and Ethiopia; our cooperation on developing the energy sector in Ghana in support of the Power Africa Initiative; our cooperation on climate change in Vietnam; and our partnership on innovative approaches to what we call “Grand Challenges for Development,” and public-private partnerships.

This year, Korea is poised to drive further progress on all these issues…

It will be an important player in fighting disease as host of the Global Health Security Agenda.

Within the last month, Korea has pledged $11 million and sent more than 50 medical, and search and rescue workers to assist in Nepal earthquake relief efforts.

As we face water challenges around the world, South Korea is hosting the triennial World Water Forum, a hugely important gathering of tens of thousands of water policymakers and practitioners.

Korea is hosting the secretariat of the new U.N. Green Climate Fund, to address perhaps the greatest threat facing our entire planet—global warming.

The R.O.K. is an important player at the United Nations, here in Manhattan and around the world.

This is remarkable when you take a moment to think about it. Twenty-five years ago, South Korea wasn’t even a full member of the U.N. I had the privilege of working with a young Korean diplomat, who is now your foreign minister Yun Byung-se, to change that.

Now, we have a South Korean as Secretary-General. And last year, the RoK wrapped up a very active two-year stint on the Security Council. Korea’s diplomats led discussions on pressing topics, such as how to protect civilians in armed conflict, and how to counter the proliferation of chemical, biological, radiological and nuclear weapons.

Our ability to advocate for our priorities and advance our values around the world is strengthened by our economic success, so we have accomplished much in recent years to advance our shared prosperity.

An already-strong relationship has grown even stronger under the Korea-U.S. Free Trade agreement, or KORUS. And I don’t have to tell you that your companies have been among the biggest beneficiaries. KORUS also helps supply chains – Korean companies are buying U.S. inputs more often and U.S. companies can more easily use Korean inputs – a win-win that makes both our economies more competitive in the rest of the world.

And more broadly, KORUS has benefitted both our economies. Under the agreement, Korea has become the United States’ 6th largest trading partner with two-way trade in goods totaling over $145 billion in 2014. Nearly 95 percent of consumer and industrial products will be duty free by 2017, creating opportunities for our countries to engage in joint ventures, to make products together, and to engage in friendly competition.

American carmakers, for instance, aim to keep Hyundai-Kia on its toes, even in its home market. Ford had its best year in Korea in 2014, and its best month ever in Korea just last month, selling innovative hybrid and diesel vehicles. It is Korea’s fastest-growing brand. But more important than the performance of any one company is the principle of fair competition – the belief at the heart of the American system that well-regulated competition drives every firm to do better; to be more innovative; to take the risks that drive progress.

Of course, it’s important that KORUS be fully implemented, so that American and Korean companies benefit fully.

Our economic relationship and cooperation extends beyond KORUS. While we are working to conclude the Trans-Pacific Partnership with our current negotiating partners, we do welcome the RoK’s interest in joining in the future. And aside from TPP, there are many things we can do to strengthen US-Korea economic relations.

I encourage you to support strong intellectual property protections in Korea and abroad. We have a clear shared interest in this—your companies are among the world’s most innovative, and any short-term gain from undermining IP protections will hurt us all more in the long run.

Some of the most important, innovative, world-changing companies in America didn’t even exist, or barely existed 20 years ago—like Google, Facebook, and Twitter. Secretary Kerry, in his remarks in Seoul last week, mentioned some of the newer Internet and tech companies cropping up in the RoK, and I hope you view them more as potential collaborators than as simply competitors.

As major beneficiaries of the global trading system and free trade, I ask you to push—both at home in Korea and abroad—for a level playing field for investors; for free trade and global standards; for fair, transparent, and predictable regulations in Korea, to make the Korean market more dynamic, ultimately benefitting all Koreans.

And I ask you to continue giving back to the communities that you’ve joined across America. Samsung’s endowment of a scholarship in honor of Americans who served in the Korean War is greatly appreciated here. Now serving the children and grandchildren of those veterans and others, it continues to make an important impact in making college affordable.

Whenever I speak to American businesses, I encourage them to do the same thing across the region. Corporate philanthropy and social responsibility is at the core of the values that both our countries hold dear.

Building from the strong base of our security and economic ties, I’m confident that South Korea’s global contributions will only get stronger. Both because of the drive and ingenuity of the Korean people, and because of the strength of our friendship. That friendship goes beyond any one moment in time, beyond the relationships between any one set of companies or leaders.

Our relationship reaches back to the founding of the Republic of Korea, and even earlier. And we continuously nurture it, for instance with the large number of South Korean students studying in the United States, and Americans studying in Korea—a number that has risen by an eye-popping 300 percent over the last decade!

Last year, South Koreans were the ninth-largest group of visitors to the United States, spending $6 billion.

These students and visitors are building relationships that will last a lifetime, and as business leaders, you're thinking of an even longer horizon. I mentioned earlier that Dow made the first foreign investment in the Republic of Korea over 50 years ago. And Dow has stayed in RoK, now partnering with LG, SKC, and Samsung to keep pushing innovation forward—both now, and, I’m confident, long after all of us have retired.

So it’s clear that in all things—in security, in business, in promoting our values—the people of the United States and the Republic of Korea go together. Katchi Kapshida!

SECRETARY KERRY'S REMARKS AT BOEING RENTON FACTORY

FROM:  U.S. STATE DEPARTMENT
The World Wants What America Makes
Remarks
John Kerry
Secretary of State
Boeing Renton Factory
Renton, Washington
May 19, 2015

SECRETARY KERRY: Pat, thank you very, very much. I beg your slight indulgence at the beginning of this because I’m suffering from those air miles. (Laughter.) Actually, it’s a combination of allergy and a cold, and I don’t recommend it to anybody. But if I stop occasionally, you’ll understand why.

Pat, thank you for a very generous introduction. Most importantly, thank you for your role and the role of all of these workers and supporters of Boeing. What an extraordinary company. I am delighted to be here at Boeing, although I think, because of this speech, it’s going to be one airplane every 13 hours today, I’m afraid. (Laughter.)

I see our former ambassador to China and former governor and former secretary of commerce here, Gary Locke. It’s great to see you. Thank you for being here with us. (Applause.) And thank you, all of you, for welcoming me to this really beautiful state.

As you may know, I’ve been traveling an awful lot, so when I was told we were landing in Washington, you can imagine my relief when I remembered that it was this Washington – (laughter) – the one with Mount Rainer in the background and Puget Sound at its feet, and the jet plane capital of the world right here in Renton, too, and I’m very, very honored to be here with all of you. Thank you.

My wife Teresa and I have always loved coming to the state of Washington. We have a lot of similarities with our great state of Massachusetts, but I’m very, very glad to be back here today. And being outside here like this, standing here, it kind of brings me back to a few years ago. The people of Washington State are not only warm and welcoming, but your judgment is impeccable, and I particularly appreciated that in November of 2004. (Laughter and applause.) Of course, I’d have been a little bit more grateful if you’d spent a little more time sharing wisdom you’re your friends and relatives back in Ohio. It would have – no. (Laughter.)

But the fact is the quality of your engagement has long been on display in the representatives that you send to Washington through many, many years. From Warren Magnuson to Scoop Jackson to your outstanding House delegation and to my former Senate colleagues Patty Murray and Maria Cantwell, you have always sent the very best to Washington, and both your state and our nation are better for it.

I am especially pleased to be back here at Boeing. I landed many, many times at Boeing Field. I’m delighted to be here next to the Renton Field. Today I finally get a factory tour, and you have no idea how much fun that is for me. Flying has been in my family for generations. My dad was a pilot who enlisted in the Army Air Corps a year before Pearl Harbor and he took me on my very first flight in a Piper J-3 over Washington, D.C. when I was about ten years old. And I’ve been a pilot myself ever since college. And like most pilots, I try to fly whenever I can, whatever I can.

A few years ago, when I was still in the Senate, I made a trip to the Middle East and I was at lunch at an Israeli air force base down in the southern part of Israel. And the colonel who was in charge was an ace from Israel’s Six-Day War and he knew that I had been requesting the opportunity to fly in Israel, so that I could get a bird’s eye view of the security challenges. And Tel Aviv had refused to sign off on the idea of this senator going flying, but I kept badgering. And during lunch at the base, I asked the colonel, “Hey, check with Tel Aviv one more time, see if we could take a flight.” And he comes back to me and he says, “Senator, I hope you didn’t eat too much because we’re going flying.” (Laughter.) So the next thing, I’m driving out with him. I leave my party at the lunch. I drive out to the airfield, they give me a helmet and a suit and we jump in this jet trainer and he says, “The moment we’re off the ground, it’s your airplane.” I said, “Man, he didn’t even check my logbook and – nothing.” (Laughter.) This is – I’m okay with this.

So I grab the stick, up we go, we start flying around. Next thing we know, I’m flying – about three minutes into the flight, I’m flying towards the Red Sea, and there’s a voice in my ear in the helmet saying, “Senator, you better turn faster. You’re going over Egypt.” (Laughter.) And so I turn real hard. And then I asked him if I could do some aerobatics, which I love to do, over the desert. And he gave me the thumbs-up, so I did some rolls and a great big loop, and turned the plane upside down. And below me, spread out below me, I could see the whole Sinai. I could see Aqaba. I could see Jordan. I could see a lot of Israel. And I thought to myself, “Wow, this is fantastic. This is the perfect way to understand the Middle East – upside-down and backwards.” (Laughter.) And I’m telling you, that’s been reinforced to me more and more, day to day.

But I managed to stay current as a pilot all the way up until recently. I haven’t been able to fly as Secretary, so for the first time in years I am not current. They may not let me fly loops anymore, but I have to tell you, as you heard from Pat, as Secretary of State, I practically live, very happily, on a Boeing 757. And we have logged – (applause) – thank you. We have logged over 800,000 miles in a little bit over two years with a huge number of crises, as you know, and a major need to be in personal touch with people building relationships and working for the interests of our country.

But on that note, I figured, since I was here, I’d just come out and ask: Don’t you think I ought to be able to trade up? (Laughter.) I mean, don’t you have a spare Dreamliner parked somewhere around here? (Laughter.) I promise I’ll show it off all over the world – free publicity, just think of it. It’s a win-win, as they say in China.

All kidding aside, I am very, very pleased that the State Department, the Export-Import Bank, the Department of Commerce, as Gary knows, we’ve been able to work really hand-in-hand with Boeing, and we’re proud to do so to vigorously support your business – American business – overseas. And together we have helped facilitate tens of millions, billions of dollars – billions of dollars – in aircraft sales, everywhere from Indonesia, to Brazil, to Kenya, and I’m proud of that. I’ve personally been able to get on the phone with a prime minister or president – and I’m glad to say successfully on some occasions to be able to help close some deals. So I’m proud of those eight years of backlog and I hope it’s going to be 20 before you know it. I’m confident it will be because of the quality of the work you do. (Applause.)

Boeing is America’s leading exporter, one of our top employers, and an incredible innovator and competitor, and you all ought to be as proud of that as we are proud of you. I couldn’t think of a more appropriate place to visit on my way back from Asia to talk about our nation’s leadership role in the glowing – in the growing global economy. And it’s a critically important opportunity to strengthen the long-term security and shared prosperity of our country, and nothing is more important.

Back east, in the other Washington, the House – we’ll give them a moment to take off here. Everybody should cheer. There goes another one. (Cheering and applause.) Back east, in the other Washington, the House and Senate are considering a piece of legislation called the Bipartisan Congressional Trade Priorities and Accountability Act. I know, that’s a mouthful. But it boils down to whether President Obama should have the authority to conclude and put before Congress the two most significant trade agreements in our history – the Transatlantic Trade and Investment Partnership and the TPP – the Trans-Pacific Partnership.

The TPP is currently made up of 12 countries along the Pacific Rim, including, obviously, the United States. The deal, which is in the final stages of negotiation, would encompass 40 percent of the world’s economy. And as with any complex agreement, my friends, there are many details to be hashed out, but the reasons why it is important are straightforward and sensible.

First of all, in the modern world, we can’t just expect our economies to grow if all we do is buy and sell to ourselves. It’s just not going to happen. Trade supports jobs and it builds prosperity – period. And the record of the past five, ten, fifty or a hundred years bears that out. As I speak, exports support about 11.7 million American jobs. And that number is only going to go up. Why? It’s pretty simple; it’s really simple math: 95 percent of the world’s consumers live beyond the borders of the United States. And if for some reason we just decide to give up and not to do business with them, to shut down because we think somehow it’s a loss of a job here, believe me, a lot of other people will welcome that at our expense.

And as a veteran of 28 years in the Senate, who voted on every trade agreement during that period, I know and understand the delicate relationship between the trade issue and American workers. For years, we built a consensus in America based on the argument that the benefits of trade would be passed up and down the economic food chain, benefitting everyone. I have to say that, regrettably, in recent years, the consensus for trade that was built on that principle – (sound of plane taking off) – (applause). Do you feel like that’s a baby leaving the family? (Laughter.) But it’s good. The consensus that allowed us to engage in trade through all those years, the principle that it was built on has actually become frayed, because not enough of the benefits are, in fact, being passed on. And the anger and frustration that has come from that has translated into opposition to trade itself, when the real focus ought to be on the other policy reforms that are necessary to address that concern. For example, on improving tax policy, on strengthening international labor and environmental standards, as is actually being done in these two deals that I’m talking about. The solution lies not in shutting the door to trade itself, but in transforming the system to make it work for everybody.

So let me be clear: If we pick the wrong culprit, we will cut off our nose to spite our face. And so as orders shift from us to the rest of the world’s producers, the result would be boarded-up windows and “going out of business” signs in places from one end of America to another. We could see dockworkers with pink slips in their hands instead of container ships steaming into and out of ports. We could even see aerospace companies shutting down some of those assembly lines because there’s been a reduction in the incentive for people to buy planes from our country. The truth is, the only people we know or I know who would benefit from a decision by the United States not to participate in the TPP would be international competitors. And believe me, they would be delighted.

Here in Seattle, you know this. You know this instinctively and you know it empirically too. In 1971, the city of Seattle was in such decline that one of the most famous billboards in our country read: “Will the last person leaving Seattle turn out the lights?” A little over 40 years later, the census bureau named Seattle the fastest-growing city in the United States of America. That transformation is thanks in part to the fact that your state is among the leading exporters in our union, with sales topping $90 billion in 2014 – more than a 200 percent increase from just a decade ago.

The Seattle-Tacoma-Bellevue area is our country’s fourth-largest export hub by volume. And even though Boeing tops the list, your state’s exports don’t just come from a handful of companies. Washington has more than 12,600 exporting firms whose sales abroad support about 400,000 jobs. And in addition to aircraft, the state is renowned for its software, its coffee products, its apples, its wheat, its fish, its wine, its machinery, and its lumber. And what is more, some of your top customers are among the 11 other countries participating in the TPP, including Japan, Canada.

So let’s be clear. Washington State is a trade leader because you discovered a long time ago that it’s in your best interest to do business with the world. Now, no one compelled this decision. No one compelled your predecessors to engage in lucrative trade deals. You saw the common sense of it. In fact, more than a century ago, the workers for a company right here in Renton were making railway cars for export to the Far East. And they did it because Seattle is the gateway to the Pacific and because it simply makes good economic sense to go where the customers are.

Guess what? That logic still holds today. And if you only sell to a limited market, believe me, your standard of living will stagnate or decline. Obviously, on its face, that’s not a very smart formula. The bottom line is that if we want to make it in America – in every respect make it – we have to sell what we make in America to partners across the equator and every part of the world, from pole to pole. And to give our firms the best chance to compete, my friends, we need agreements on trade.

So the rules of the road are clear. And this brings me to the second big reason why the Trans-Pacific Partnership is so vital: It will enable us to play a critical role in helping to determine the highest standard rules for trade.

In the United States, we’ve fought hard for years – it didn’t come easily; go back to the 1800s. Not everybody was treated the way they are today in the workplace. It was a hard-fought struggle. And for years we fought to make sure that workers were protected so that economic growth doesn’t come on the backs of exploited people. And we care that businesses adhere to environmental standards so that families continue to enjoy clean air and the water that they deserve, no matter how close they live to factories or to other industrial facilities. And we believe that rather than putting aside the things we care about in order to compete with the rest of the world in a low-standards race to the bottom, we should help bring the rest of the world up to meet the high standards by which American businesses now operate.

That is exactly what the legislation before Congress would allow us to do.

My friends, we can’t farm out to other nations the core interests of the United States of America. When it comes to the jobs of U.S. workers and the paychecks of U.S. families, we’ve got to be our own prime contractors; we can’t entrust to any other country the responsibility for preserving the American Dream.

Right now in the Asia Pacific, we have the chance to finalize a trade agreement that is truly unlike any other ever negotiated: an agreement where every participant has to comply with core international labor and environmental standards; where every participant has to refrain from using under-age workers and unsafe workplaces; where every participant has to ensure that nationally owned companies compete fairly with ones that are privately owned; and where every participant has to fight trade-related bribery and corruption, support legitimate digital trade, safeguards – intellectual property safeguards, and guarantees the promises that they make are promises that they have to keep, because they’re enforceable in the agreement. We didn’t have an agreement, none of that happens. That’s not a complicated choice. By any standard, the agreement that I just outlined is an historic trade agreement.

The TPP is not your grandparents’ trade agreement; it’s not your mom and dad’s trade agreement; it’s not even your older brother or sister’s trade agreement. This is a new, new entity, and ultimately, this is a 21st century agreement where the key understandings and high standards are baked right into the four corners of the text – not in a side agreement, not in a letter, but in the text of the agreement itself.

Now as you know, Congress has already begun a new round of deliberations on trade. Parts of the debate have been on related issues, but on the key question of whether the Trans-Pacific Partnership will be good for our country, the arguments against have been sincere, they’ve been passionate, but I have to say to you today that I believe they are also deeply flawed.

For example, opponents contend that Congress and the public haven’t had a chance to read the text of the proposed deal. Well, the truth is members of Congress, who were sent to Washington, D.C. to represent the public, have had access to it for years. Now, of course, some confidentiality, I think most of you understand, is required in any kind of multilateral negotiation. There are obvious reasons why we don’t release every single sentence every day as it’s being discussed. When you do that, words get distorted, arguments are undermined, and ultimately, consensus and a deal become much harder to arrive at. Even labor contracts and other contracts here in this country are more often than not done in a way that they’re negotiated and then presented to people.

And there’s one thing that I learned in this job from negotiating with friends and foes alike – it’s that you have the best chance of success when you’re not negotiating in public every day. It’s the only way to keep the process moving forward and to gain the concessions that we seek from other countries. Senators who are unhappy about this might recall the locked doors and closed windows that marked America’s constitutional convention 228 years ago, without which we wouldn’t even have a Senate today.

The important thing about the TPP, my friends, as with our Constitution, is that the final text will be made public. In fact, it will be posted online for a minimum of 60 days before President Obama even signs it. And only after the public has had a chance to review it would it then go before Congress for hearings and for a full and open debate in the United States Congress. My friends, that’s not secrecy at work; that’s democracy at work, and it’s the way we’ve done business in our country for a very long time.

A second argument we hear against TPP is that other countries could use it to dismantle America’s environmental standards, Wall Street reforms, minimum wage laws, food safety guidelines, and on and on. I have heard that argument about every single trade agreement that we’ve ever passed, and it has never happened. And if that were true, I can promise you I would oppose the agreement myself. But it’s not true. The agreement won’t take away any sovereign rights of our nation, of any nation. It’s not going to allow anyone to change our laws other than the United States Congress. Rest assured, with the TPP in place, we will retain our ability to protect our clean air and water, regulate our economy, and uphold all of the laws of our nation. And I have fought my entire career for many of those things, and I don’t intend to start undoing a lifetime of work now and turning my back on all of that overnight.

The third major argument that you hear against TPP is the standard line about outsourcing and globalization. Now, this is a kind of gut reaction that I respect. It reflects the real impacts that Americans feel sometimes as the result of technological and economic transitions that are always taking place in a nation on the move. It’s a genuine feeling, and I’ve talked to many workers in many states through the course of my career who have been affected by change, and many of you know them. Some of you may be them.

But I want to emphasize: This concern needs to be directed at the right target. Outsourcing occurs because of the mobility of capital and labor and market competition. And the remedy is not to pull back from trade agreements themselves or to attempt to stop globalization, because that’s not possible. Globalization has no reverse gear, my friends. As technology continues to evolve, as more and more people in the world have smartphones and look and listen to what people are doing and thinking in other countries, the world will become more interconnected, not less. And no politician anywhere in the world has the power to change people’s desires to be connected, to be part of the world, and in many ways to share what they see other people having that they want themselves.

So no matter how hard people may try to pretend otherwise, no matter how many politicians may stand up and appeal to the instinct to play to that fear, the fact is globalization is here to stay. No one can put that genie back in the bottle. What we can do is mitigate the negative impacts. And in the end, when you measure all the benefits against all the negatives, I believe the balance says it is absolutely a good thing for our nation and for the world.

From our nation’s earliest days, we have been trying to encourage more people – just think about this. For years, we’ve encouraged people: Embrace democracy, be like us, join capitalism, compete in the free market. We’ve urged them to adopt our economic system, our rules. We want people to support an open marketplace and capitalism and the free flow of investment. We deeply value the ability to start up a company, make a product, sell it worldwide, take a risk. That’s how we’ve always defined America. And we have argued for centuries that the most responsible role government can play is to respect commerce – not impose government will, but develop a framework of the core principles built on freedom – freedom to take a risk, freedom to invest, freedom to take the job you want – and then get government out of the way and let the private sector do what it does so well in this nation.

Well we now have nations around the world eager to embrace that or already embracing that. Their economic interests compel them to do so. They know it’s the only way that they can be competitive in today’s globalized world, and they don’t want to get left behind. We too have to accept the fact that changes to the global economic system will happen with us or without us. So instead of resisting change, we ought to be investing in our people in order to make sure we can take advantage of that change.

We have to continue taking critical steps that will make us more competitive and spread the benefits of globalization far and wide, including, as President Obama has proposed, through trade adjustment assistance, through lifelong learning, through support for innovation and research; from helping every young person to get a higher education, and from reauthorizing crucial institutions such as the Export-Import Bank, which are helping local, small manufacturers like the Measurement Technology Northwest Inc. and Engineered Compost Systems expand their global footprint abroad. We also need to help hire new workers to fill the export orders that are coming from new markets overseas, including from countries in the Asia Pacific, as we know and as Pat just mentioned to you.

More of us also need to share the confidence that our parents and our grandparents had when they built this country out of the ashes of war – and frankly, the confidence that so many young entrepreneurs are exhibiting today. Remember, just three decades ago, experts were predicting that competition from the Japanese on their semiconductors – remember this? – computers and cars would cause America to become, and I quote, “a nation of short-order cooks and salespeople.”

Today, Japan’s automakers have set up plants that support jobs for tens of thousands of workers here in America. And despite all of the publicity about outsourcing, in the past five years, our manufacturing sector has been growing at twice the rate of the overall economy. Sometimes it really amazes me, folks, how short the public memory is. A lot of people forget that only six years ago, when President Obama first took office, right before he took office, we were on the brink of economic disaster. Iconic companies were filing for bankruptcy. Unemployment was approaching 10 percent. Our entire financial structure was on the brink of collapse. And when I say this, I am not exaggerating. I’m just repeating what a Republican secretary of the treasury said when he came to the Capitol Hill to implore my Senate colleagues and I to authorize a bailout of the system. And today, while nobody is claiming victory yet, the United States has added 12.3 million jobs over 62 straight months of private sector growth – the longest streak on record. We’ve put more people back to work than all of the other advanced economies combined. And a big cause of this turnaround is that our experts have reached a – our exports have reached a record level. They are up nearly 50 percent since 2009.

That tells a story. And it’s no accident, folks. That’s the result of the most determined, competitive, entrepreneurial business and talented workers in the world. It’s also the result of some smart policy – policy that is based on the idea that when we increase what America sells overseas, our payrolls get larger, our paychecks get fatter. On the average, export-supported jobs pay significantly more than other jobs. So we’re talking quality jobs, not just quantity. And if we were satisfied with this progress, well, perhaps we could just sit back and forget about new trade agreements and the chance to further pry open the international markets where 19 out of 20 of the world’s consumers live. Try that.

Happily, we’re not satisfied. Because we know that even if we attempt to stand still, nobody else will, or most won’t. And we’re going to get blown away economically in the process. We have to keep finding new markets. We have to keep creating those new jobs. And we’ve got to ensure that our workers – farmers, ranchers, businesses – receive equitable treatment in that marketplace. We can’t do that, folks, by sitting on the sidelines. You can’t be on the side of the road while other countries are writing the rules of the road for the rest of the world’s trade. We’ve got to be engaged. We’ve got to lead. And by the way, most Americans inherently understand that.

A recent poll shows that almost three out of five of our citizens view foreign trade as an opportunity, not a threat. And here’s the reason: The U.S. market is one of the most open in the world. Seventy percent of U.S. imports cross our borders tariff-free. You’ve all seen these duty-free stores at airports, right? Well, America is pretty much one big duty-free shop. That’s not the case with all – excuse me – with all of our partners. Our automakers face tariffs of up to 30 percent in Malaysia. Our poultry farmers face tariffs of up to 40 percent in Vietnam. Washington apples are charged a markup of 17 percent in Japan. And what about the great wine that you produce here in Columbia and the Walla Walla Valley? Tariffs on wine in Japan and Vietnam are as high as 50 percent. Not only that, America’s environmental and labor standards are among the highest in the world.

And that’s why we have so much to gain and nothing to lose by reaching deals that lower trade barriers, lower the tariffs, raise global norms – and we should also remember that if we don’t clinch free trade agreements in the Asia Pacific, it doesn’t mean that those agreements may not happen. It just means that we may not be part of them and we may not shape them. The standards will be driven down instead of up, and the business we might have had will go to our competitors instead. Even now, Washington apples are losing out to Chinese apples in Malaysia because Beijing has a preferential trade agreement with that country and we don’t. And Japan and Australia just signed a pact that will allow Australian beef into the Japanese market at a lower tariff than American beef. It just doesn’t make a lot of sense for us to sit here and watch. And I’m sure it doesn’t make a lot of sense to you.

It’s not just giant firms like Boeing, by the way, and Starbucks, and Costco, and Microsoft, and Amazon that we’re caring about here. Small and medium-sized businesses are really the linchpin of the American economy. In fact, they’re the source of two out of every three new jobs that we create in this country. But these firms also confront a unique set of challenges when they’re trying to increase exports. For example, the Cascade Design Company that is based in Seattle exports outdoor recreation equipment to some 40 countries. But it could sell far more if its customers didn’t have to pay high tariffs in exactly the markets that we will open through the TPP.

There’s a long list of examples like that; I’m not going to go through all of them. But the TPP will lower tariffs on American exports. It will ensure that TPP countries treat American products the same way that we treat products from their own firms. It will cut red tape. It will reduce bureaucracy for our small businesses and family farms. And it will help our companies participate more directly in new global supply chains that are creating unprecedented opportunities all around the world. When you add it all up, the economic case for trade promotion authority and for TPP is not even a close call in my judgment – it’s overwhelming. And as Secretary of State, let me put this in a perspective of global challenges.

It is no secret that the world in the future looks pretty complicated right now. The turbulence that we see comes from a combination of factors, including the fact that even as the world grows closer, there are powerful forces pulling people apart – terrorism, extreme nationalism, conflicts over resources, a huge number of people coming of age in parts of the world where there simply aren’t enough jobs. This creates a race between opportunity and frustration that we can’t afford to lose. Expanded trade can help us win that race by spurring innovation and – and as we’ve seen in Asia and elsewhere – helping hundreds of millions of people to lift themselves out of poverty. And poverty, my friends, is where you see much of this violent extremism born.

Just as important, trade agreements such as the TPP will help to knit America and our partners together so that we are better able to cooperate on other areas. It helps to create a community of common interests on trade that will reinforce trust and helps us expand our cooperation in other areas. And that matters, my friends, because the Asia Pacific is the single-most dynamic part of the globe today and where much of the history of this century is going to be written. It includes the four most populous countries, the three largest economies, and a huge and rapidly growing middle class that want to fly in the planes that you build here.

The good news is that our engagement in this region is welcome and making a difference because our partners know that our markets – and even our futures – are absolutely closely linked together. If we were to retreat from the Asia Pacific, and if our friends were in turn to turn their backs on us, we would face a much different world than we have known in recent decades. And it would not be a world that is more secure.

So let me be clear. We know that our goals in the Pacific are critical because we want what most countries in the region seek: a place where the sovereignty of every state is respected, whether they’re big or small; a region where disputes are settled openly and in accordance with rule of law. We – all of us frankly – can help make this happen if we’re as fully involved economically just as we are diplomatically. In fact, as my colleague Ash Carter, the Secretary of Defense, has suggested, the Trans-Pacific Partnership is as important to American interests in the Asia Pacific as our military posture. Completing the TPP would send a message throughout the region as well as the world that America is – and will continue to be – a leading force for prosperity and security in the Asia Pacific. That is good for the United States; it’s good for our trading partners; and it is definitely good for companies and workers here in the American Northwest.

So here’s the bottom line: 2015 is simply not the time for us to decide that trade negotiations are too hard, nor to – it’s not the time to vacate the field and ignore 70 years of lessons from the Great Depression and World War II. It’s not the time for us to sit back and allow the principles of free and open trade to be supplanted by the discredited and empty prospects of protectionism and mercantilism.

There is nothing progressive about blaming trade or trade agreements for the inevitable economic shifts that are brought on by technology and time. There is nothing liberal about clinging to the past when the future is filled with opportunities to innovate and create whole new industries. And there is nothing more in keeping with the traditions of Washington State – American traditions – than to look over the horizon for the connections that will create a stronger, more prosperous, and secure future for the people of this region and of all America.

My friends, more than 50 years ago, when Seattle hosted the World’s Fair, American exports were worth only about one-twentieth of their value today. In the decades since, our commercial relationships have been utterly transformed; our leading manufacturers have changed; our trade in service has exploded; and technology has made what was not even imaginable the new normal.

We are living in a wholly different world, an exciting time, except for one thing: the need for American leadership. Like the generation of Warren Magnuson and Henry “Scoop” Jackson, our generation faces a test that we cannot allow partisanship or any other source of internal division to prevent us from meeting. We have an opportunity before us to shape and elevate the global rules of trade for decades to come.

We cannot shy away from this task, just as we cannot walk backwards into the future. Like mariners; like sea hawks – with a small s (laughter); like the proud employees of Boeing; we need to face the world and all its challenges with the confidence in who we are, what we stand for, and our incredible ability to compete. That’s what we must do. And I am confident, as I look around this extraordinary manufacturing center, as I look at all of you, that the United States will get this done and Washington State is going to help us do it.

Thank you. (Applause.)

SECRETARY KERRY'S PRESS AVAILABILITY WITH CHINESE FOREIGN MINISTER WANG YI

FROM:  U.S. STATE DEPARTMENT
Joint Press Availability With Chinese Foreign Minister Wang Yi
Remarks
John Kerry
Secretary of State
Beijing, China
May 16, 2015

‎MR LU: (Via interpreter) Friends from the press, good afternoon. Just now, the two foreign ministers have held their dialogues, and they are ready to meet with you and take up your questions. Now, I would like to give the floor to Foreign Minister Wang first.

FOREIGN MINISTER WANG: (Via interpreter) Friends from the press, good afternoon. Just now, I have held a constructive meeting with Secretary Kerry, where the two of us had candid and in-depth exchange of views on China-U.S. relationship and other issues of mutual interest, and we reached a lot of agreement.

Two years ago, when the two presidents met in the Sunnyland, they agreed to build a new model of major country relationship between China and the United States. Over the past two years, thanks to the concerted efforts of both sides – in particular, thanks to the personal commitment and promotion of the leaders of both countries – this new model of relationship has made much headway in terms of both conceptual development and of the actual practice. Last year, China-U.S. two-way trade reached 555.1 billion U.S. dollars, and the stock of our two-way investment exceeded 120 billion U.S. dollars. More than 4.3 million people traveled between the two countries last year. All these numbers have set record highs in history.

Our two countries have maintained frequent contacts at the top and all the other levels, and we have had productive cooperation in important fields ranging from economy, mil-to-mil exchanges, people-to-people exchanges, and also a contact between localities. The two sides have also carried out close communication and coordination on important international and regional issues.

In September this year, President Xi will be paying a state visit to the United States. The most important task for the meeting between Secretary Kerry and me today is to make preparations for the presidential visit and to compare notes with the other side. Just now, together with Secretary Kerry, we exchanged views concerning the arrangement of events, the agenda items, and the outcomes of this visit. Both of us are of the view that this visit by President Xi to the United States is the paramount priority for China-U.S. relationship this year, which will have far-reaching and major implications for China-U.S. relationship in the days ahead. The two sides will continue to work in close tandem with each other, make careful plans, accumulate outcomes, and build up the atmosphere to make sure that the visit is smooth-going and successful.

To achieve this, we have to work together to make sure that the seventh round of the China-U.S. S&ED – the Strategic and Economic Dialogue – and the sixth round of the High-Level People-to-People Consultation between China and the United States, to be held in the United States in the latter half of June this year, to be as productive as possible. We need to further deepen our economic and trade cooperation and speed up the BIT, the bilateral investment treaty negotiations. We hope the U.S. side will take concrete measures to ease civilian-use high-tech export control vis-a-vis China.

We need to continue to maintain the good momentum of the growth of our military-to-military relationship and follow through on the mechanism of notification of major military activities between the two sides, and reach an early agreement on military aircrafts covered by the code of safe conduct for maritime and air encounters.

We need to strengthen dialogue and cooperation in the legal and the law enforcement field, and try to make new progress in the pursuit of fugitives and the recovery of their criminal proceeds. We need to strengthen communication, coordination, and cooperation on international and regional issues, including the Iranian nuclear issue, the Korean nuclear issue, Afghanistan, and the prevention and control of the Ebola epidemic, so as to continue to add new strategic dimensions to this new model of relationship – major country relationship between China and the United States.

We need to strengthen communication on Asia Pacific affairs and jointly explore the prospect of harmonious coexistence and win-win cooperation between China and the United States in this region. We need to continue to strengthen our communication and coordination on climate change to jointly ensure the success of the upcoming climate conference in Paris later this year. Meanwhile, we need to also work together to advance our bilateral practical cooperation on climate change.

This year marks the 70th anniversary of the founding of the United Nations and the end of the World Anti-Fascist War. As allies and victory parties during the Second World War, China and the United States have common interests in upholding the outcomes of the victory of the Second World War and also upholding the existing international order with the United Nations at its center.

Both sides are of the view that we have far more common interests than differences between us, and dialogue and cooperation always represent the theme of our bilateral relationship. Both sides need to act in a spirit of mutual respect, seeking common ground while shelving differences, and address the differences and sensitive issues between us in a constructive manner. China also expounds its principled stance on such issues related to Taiwan and Tibet.

China-U.S. relationship is one of the most important bilateral relationships in the world, and our two countries jointly shoulder the responsibility and obligation to uphold both peace and promote world development. As long as both sides continue to act in the principle of non-confrontation, non-conflict, mutual respect, and win-win cooperation, and stay committed to the path of building a new model of relationship – major country relationship between China and the United States, we will be able to usher in a bright prospect for China-U.S. relationship and bring more benefits to the people in both countries and enduring peace and prosperity for the world.

MR. LU: (Via interpreter) Thank you, Minister Wang. Now Secretary Kerry, the floor is yours.

SECRETARY KERRY: Well, thank you very much, Minister Wang. I’m really delighted to be back in China and I thank you very much for your generous welcome today. You and your colleagues have gotten our trip off to a very constructive beginning and I appreciate the comments you made about the importance of dialogue and the importance of working through disagreements, and mostly building on the areas where we agree that great progress can be made.

As Foreign Minister Wang said, we’ve just had a very productive meeting, and one of the reasons that we’re late is that it took longer and we dug into a number of issues in depth, and we’ll continue in a few moments over lunch.

This is my fifth visit to China as Secretary of State, and the reason for that is simple. As I’ve said previously, before President Obama and I traveled to Beijing last fall, the relationship between the United States and China is certainly one of the most consequential, if not the most consequential relationship in the world. In recognition of that and America’s commitment to Asia, Under Secretary Sherman traveled here a few months ago. Deputy Secretary of State Blinken was here about a month ago. I am now here about a month before we have our economic and security dialogue to take place in Washington. And other high-level visits are continually taking place, including military-to-military as well as the Secretary of Homeland Security Johnson was here recently, and Secretary of Energy Ernie Moniz was scheduled – had to delay, but will also be here soon.

And there are three key meetings that we are all working on together to prepare for in order to build success. One is the Security and Economic Dialogue that will take place in June in Washington. Two is the summit between President Xi and President Obama to take place in September. And three is the global meeting that we are working on together regarding climate change in Paris in December.

So thanks to focused diplomacy and the leadership that President Obama and President Xi have displayed, today our nations are collaborating to address not just bilateral and regional matters, but some of the most complex global challenges that the world has ever seen. That includes our work together on curbing the disease Ebola, it includes our work together regarding the DPRK – North Korea – and its nuclear program, and it also includes our work together with respect to the P5+1 nuclear negotiations with Iran.

Foreign Minister Wang and I have already spent time discussing some of that today, and I’m personally grateful for his personal commitment and hard work, the contributions they made – China made to Lausanne, to the discussions there and the negotiations, and now to the ongoing discussions. But from the moment those talks began, China has been playing an important key role as a P5 member. Our nations remain closely aligned in this effort. We are united along with the rest of our P5+1 and EU partners. We all understand that unity has been the key to getting where we are today, and it will be the key to completing a good deal and seeing it fully implemented.

We still have a long way to go. Many technical issues remain to be resolved. But we will continue to work hard as the June 30th deadline approaches. And we are all united and committed to do all we can to finalize an agreement that cuts off all of Iran’s pathways towards enough fissile material for a nuclear weapon, and gives the international community confidence that Iran’s nuclear program is exclusively peaceful.

On another nonproliferation challenge, we have consistently agreed in all of our meetings since I became Secretary of State and we have met that North Korea’s nuclear and missile programs are a threat to regional stability, and we have consistently agreed to enhance cooperation to bring about North Korea’s denuclearization. As with Iran, Foreign Minister Wang and I have always agreed that a mix of negotiations and pressure are needed to address this challenge, and North Korea needs to live up to its international obligations and commitments. And it is obvious that North Korea needs to recognize that it will not succeed in developing its economy or breaking out of diplomatic isolation if it continues to reject denuclearization.

The United States and China are also cooperating more closely than ever to address climate change, one of the greatest threats facing our planet today. Last fall, our respective presidents came together to announce our countries’ greenhouse gas commitments, the reductions, and we continue to call on other nations around the world to set their own ambitious targets. And we agreed this morning that as we get closer to the UN Climate Conference in Paris later this year, the United States and China, the world’s two largest greenhouse gas emitters, will elevate our cooperation and coordination so that we can reach the kind of global agreement that we will need to ultimately address this threat.

We’re looking forward to building on our cooperation in other areas as well, including international development assistance and the fight against violent extremism. We welcome China’s increased engagement with Afghanistan and its support of an Afghan-led, Afghan-owned peace process. Together, the United States and China are committed to supporting political cohesiveness and ensuring Afghanistan never again becomes a safe haven for terrorists.

And there are many other issues that we are working on together – trade, bilateral investment treaty, any number of different considerations on a global basis. But even as we work on these many, many issues, obviously, there are also areas where our nations have differences. And Foreign Minister Wang and I discussed those as well. We discussed our mutual interests and principles on how to handle maritime disputes in the East China Sea and the South China Sea. The United States has stated that we are concerned about the pace and scope of China’s land reclamation in the South China Sea. And I urged China, through Foreign Minister Wang, to take actions that will join with everybody in helping to reduce tensions and increase the prospect of a diplomatic solution. And I think we agree that the region needs smart diplomacy in order to conclude the ASEAN-China Code of Conduct and not outposts and military strips.

And I think one of the things that characterizes the strength of – or the growing strength of our relationship and the willingness to cooperate is the fact that on a maritime dispute or on other issues – cyber issues or human rights, other areas – where we may have differing opinions, we don’t simply agree to disagree and move on. Both of our nations recognize the importance of talking to each other candidly about those disagreements and trying to find a cooperative road ahead.

It’s only by talking through differences on a regular basis that you can actually work to narrow them over time. And that is the mark of an effective partnership. So I look forward to continuing my discussions with Foreign Minister Wang through the day, and also to the meetings that I’m going to have with State Councilor Yang Jiechi, with Premier Yi, with Vice Chairman Fan, and tomorrow with President Xi. These discussions will help us to build this cooperation and this relationship. And these conversations will set the stage for what we are confident will be a productive Strategic and Economic Dialogue in June, and certainly for President Xi’s trip to Washington this fall.

There is no question but that our nations share extraordinary opportunities that are looking at us as we build the history of this century. We have a lot to accomplish together in the coming years. As two of the world’s major powers and largest economies, we have a profound opportunity to set a constructive course on a wide range of issues that will affect everybody all across this planet. So the United States looks forward to continuing to build this relationship, to work with China, to build on our partnership of today, in order to create the most constructive future that we can, and not just for the people of our two countries but for millions of people around this planet who depend on great and powerful nations to help set high standards of behavior and of aspiration. Thank you.

MR LU: (Via interpreter) Well, thank you, Secretary Kerry. And now, Foreign Minister Wang and Secretary Kerry, though their time is very limited, they will be happy to take two questions from the floor. Firstly, I would like to ask one American journalist to ask one question to Secretary Kerry.

MS HARF: Great. The U.S. question is from David Brunnstrom of Reuters. The microphone is coming to you.

QUESTION: Thank you very much. I wonder if I could ask both sides about your different visions for Asia Pacific prosperity, namely the TPP and the AIIB, and what the prospects are of China joining the former and the United States the latter at some point in the future. And to follow on from that, one of the dangers in the future to bilateral cooperation and regional prosperity posed by tensions in the South China Sea, and particularly the possibility of U.S. patrols inside China’s 12-mile limit around the Spratly Islands.

And could I ask the Secretary to clarify, does the United States plan to carry out these patrols? And for the foreign minister to tell us how China would respond in the event of those patrols taking place?

I know this is a long question, but I wanted to also add on North Korea. I wondered if you could tell us if you share concerns about the latest missile test there and whether you see the prospects of a deal on Iran’s nuclear program opening the way for one on North Korea in the future. Thank you.

SECRETARY KERRY: Well, let me try to address all four questions – (laughter) – as quickly as I can.

With respect to the AIIB, there’s an enormous amount of misunderstanding, but let me try to be clear. There is a pressing need to enhance infrastructure investment throughout Asia as well as around the world. And the United States welcomes new multilateral institutions, including the Asia Infrastructure Investment Bank, provided that they share the international community’s strong commitment to high-quality standards, including genuine multilateral decision making, ever-improving lending requirements, and environmental and social safeguards. Those are the high standards that apply to global financial institutions.

And we will continue to engage directly with China and with other countries in order to provide suggestions as to how the AIIB can best adopt and implement these particular standards. But with that, we welcome the AIIB, and we encourage it to co-finance some projects with existing institutions like the World Bank and the Asian Development Bank. And we are confident that under those circumstances, it can make an enormous difference, and we would strongly encourage it, as we talk today, to embrace a percentage of its allocation to – a significant percentage to clean energy, alternative energy, renewable energy, to sustainable environmental and other kinds of projects. And because of climate change in the United States, we are ending any funding – public money – that funds coal-fired power projects because of their impact on the climate. And we encourage China and other countries to do the same.

Now on the TPP, we welcome any country – we have a group of countries now come together to negotiate, but we welcome any country to come in to meet the standards of the TPP, and ultimately account for a standardization of the way in which people will approach trade, development, and investment. And I want to emphasize this – the TPP is not in opposition to anyone, any region, or anything. It is a proactive effort to raise the trade standards and transparency accountability of doing business on a global basis. It will set high standards on issues like labor, the environment, state-owned enterprises, intellectual property protection, in a part of the world where we believe those standards are still in flux and being determined. And this will help to create the rules of the road in a way where everybody benefits.

You may ask, “Why is that?” Because in today’s knowledge economy, in the knowledge economy of a global marketplace, stronger intellectual property rights protection actually encourages greater industrial production and it encourages foreign direct investment because it provides accountability for people’s investments. And what we have found in the United States, where today, we’re blessed to have unemployment below 5 percent, and where – around 5 percent, excuse me – and where we have enormous growth and innovation and entrepreneurial activity taking place, we believe that these standards encourage foreign direct investment in technology-intensive industries; it supports higher wages; and it fosters technology transfer and innovation.

Now I’ve taken a little longer than I wanted, but let me come very quickly to Korea and Iran. China is a vital partner in the Six-Party process with a very unique role to play because of its economic, diplomatic, and historical ties with North Korea. We share the common goal of peace and stability in the Korean Peninsula, and we agree on the need for denuclearization in a peaceful manner. President Xi and President Obama affirmed their fundamental agreement and commitment to the denuclearization of Korea – North Korea in their public comments at the bilateral summit last November. So we intend to remain deeply engaged with China, which has unique leverage, and we appreciate many of the steps China has taken already over the past two years to implement the UN Security Council sanctions. But we will continue to work to make it absolutely clear to the DPRK that their actions, their destabilizing behavior, is unacceptable against any international standard.

And I’m sure that Foreign Minister Wang would join me in expressing the hope that if we can get an agreement with Iran, that that – excuse me – that if we can get an agreement with Iran, that that agreement would indeed have some impact or have a positive influence in describing how you can come to the realization that your economy can do better, your country can do better, and you can enter into a good standing with the rest of the global community by recognizing that there is a verifiable, irreversible denuclearization for weaponization, even as you could have a peaceful nuclear power program. And hopefully, that could be a message, but whether or not DPRK is capable of internalizing that kind of message or not, that’s still to be proven.

QUESTION: Sorry, can I just follow up?

MS HARF: I think we’re a little tight on time, sorry.

SECRETARY KERRY: Four is enough. (Laughter.)

MR. LU: (Via interpreter) Now I would like to ask one Chinese journalist to ask one question to Foreign Minister Wang from CRI.

QUESTION: (Via interpreter) From China Radio International. My question is: Recently, some American experts, scholars, and media are of the view that Chinese proposals, including the Asia security concept, the AIIB, setting up the Silk Road Fund and the maritime and land Silk Road initiative are all geared to challenge the position and role of the U.S. in the Asia Pacific region and squeeze the United States outside of Asia. How do you look at this issue?

SECRETARY KERRY: We look – is that for me?

FOREIGN MINISTER WANG: That question for me. Okay. (Via interpreter) Well, such notion does crop up frequently, but I have to say that the fact we are seeing is there are more and more interaction between China and the United States in Asia, and our cooperation is becoming increasingly more close. And the Asia Pacific region has become the priority place for China and the United States in their effort to put in place a new model of major country relationship. And I talked about a whole range of cooperation items with Secretary Kerry just now, and many of them are issues in Asia.

China is a member in Asia, and very naturally, we need to contribute our share to Asia’s peace and development. To achieve this, China has framed a series of important and positive proposals, including the Asia security concept and the land and maritime Silk Road initiatives and so on, which testify fully to China’s readiness to work with all countries for Asia’s peace and stability. These, of course, have been very widely, warmly received and supported by countries in Asia. Asia, of course, in the first place, is the Asia of the Asian people.

Meanwhile, we always believe that Asia should be an open and inclusive Asia, because only inclusiveness and openness could make sure that Asia would always keep abreast with the rest of the world for enduring peace – for enduring development and prosperity. Take the AIIB as an example. Right now, it has got 57 founding member countries, and among them, 23 are from regions outside of Asia. This shows fully that when we talk about openness and inclusiveness, we are not simply talking the talk; we are actually walking the walk.

The United States is an important country in the Asia Pacific region, and we welcome a positive and constructive role of the U.S. in Asia Pacific affairs. And we stand ready to strengthen communication and cooperation with the U.S. side on this. As globalization continues to grow, today’s world is a world of cooperation instead of confrontation. It is a world of win-win outcomes instead of a zero-sum game. President Xi has proposed to build a new model of international relationship with win-win cooperation at the center. And I believe China and the United States are fully capable of continuing to strengthen strategic communication at both the bilateral and at the international levels, and carry out useful cooperation in all regions in the world, including the Asia Pacific, so as to continue to make our due contribution to world peace and prosperity.

Just now, the Secretary talked about maritime issues. Though the journalist violated the rule that one question only, but I respect your right to ask questions, so I would like to add a couple of words on this. Firstly, I would like to re-emphasize or reaffirm here that the determination of the Chinese side to safeguard our own sovereignty and territorial integrity is as firm as a rock, and it is unshakable. It is the request from our people and their government, as well as a legitimate right of ours.

Meanwhile, it has always been our view that we need to find appropriate solutions to the issues we have through consultations and negotiations among the parties directly concerned with peaceful means, in particular with the diplomatic means, as mentioned by the Secretary just now, on the basis of respecting historical facts and international law. This is our set policy, and this position will remain unchanged in the future.

And another thing I would like to let you know is that as a signatory party to the UNCLOS, the United Nations Convention on the Law of the Sea, China will of course honor our international obligations enshrined in this document. And on China’s development on some of the islands and reefs in Nansha, this is something that falls fully within the scope of China’s sovereignty. However, regarding the concerns from the parties on this matter, we hope to continue to have dialogues to better our mutual understanding. We are having such dialogues with the United States, and we are also continuing the talks with the ASEAN countries. And we will continue with this practice of conducting dialogues on this matter.

China and the United States do have differences on the South China Sea issue, but we also have a lot of agreement. For instance, we both hope to maintain peace and stability of the South China Sea, and we are both committed to the international freedom of navigation enshrined by international law. And we are both for settlement of the disputes through dialogues and consultation in a peaceful way. And as for the differences, our attitude is it is okay to have differences as long as we could avoid misunderstanding, and even more importantly, avoid miscalculation.

We welcome the positive remarks made by the Secretary on the AIIB. The AIIB is a multilateral institution, so naturally, its operation will be observing international rules. And the AIIB is also ready to carry out cooperation with other multilateral institutions, including the World Bank and the Asia Development Bank. You also raised the question on the relationship between the AIIB and the TPP.

And I wish to tell you here on this is that the defining feature of the AIIB is its openness. And for TPP, we’ll hope, as the Secretary has said just now, will be an open institution so that it will dovetail with the existing multilateral trading regime for the promotion of free trade in the world.

You also asked questions on the Iranian and nuclear – Korean nuclear issues. Secretary Kerry has said a lot on them already. What I would like to add is that as members – permanent members of the UN Security Council and as key members of the nonproliferation regime, China and the United States have the responsibility to work together with the rest of the international community to uphold the sanctity of the international nonproliferation regime, and use diplomatic means to find appropriate solutions to those nuclear issues to achieve lasting peace and stability in the regions concerned. We stand ready to work together with all countries in the world on those issues. Thank you.

SECRETARY KERRY: I just have one question for the foreign minister. I want to know if “Talk and talk and walk the walk” rhymes as well in Chinese. (Laughter.)

FOREIGN MINISTER WANG: (Laughter.)

MR LU: (Via interpreter) That’s the end of the press conference. Thank you for coming.

SECRETARY KERRY'S REMARKS WITH MOROCCAN FOREIGN MINISTER MEZOUAR

FROM:  U.S. STATE DEPARTMENT
Remarks With Moroccan Foreign Minister Salaheddine Mezouar
Remarks
John Kerry
Secretary of State
Washington, DC
April 9, 2015

SECRETARY KERRY: Well, good morning, everybody. I’m very pleased to welcome my friend, the Foreign Minister Salaheddine Mezouar, and his delegation for the third session of the Strategic Dialogue between the United States and Morocco.

A year ago, the foreign minister hosted me and my delegation in Morocco, in Rabat, and we had a wonderful, wonderful visit there. As everybody knows, Moroccans have an extraordinarily rich culture that is shown in many ways, and I’m happy to say one of the ways is in treating guests to a delicious meal that is actually seven or eight meals disguised as one. Their hospitality is truly spectacular. And I very, very much hope to work with our superb representative in Rabat, Ambassador Dwight Bush, in order to see if I can have a chance to visit again, which we have talked about, and which I very much hope to do.

The U.S.-Moroccan Dialogue is grounded in a very longstanding friendship, and it’s real. It extends back to 1777, when Morocco recognized the independence of the United States. And we have initiated this particular dialogue because we feel that our leaders want to make certain that people understand that we have to do much more than just celebrate our history, we have to build the future. And that’s what we’re working on doing. By working together, we can help shape a future in which our citizens will be safer, they’ll be more prosperous, and where builders, not destroyers, will be strengthened and be the people who really define and write the history and meet the expectations of our people.

There can be no question that our meeting today is timely. The amount of time that we have to talk literally flew by, and we scratched the surface of many of the challenges that we face. And I thank my friend, Salaheddine, for his wisdom, for the breadth of his vision that he brings to the table in the challenges – in meeting the challenges that we face together.

Events in Africa and in the Middle East have presented all of us with a new mix of challenge. It’s different than it has been. It’s fast moving. There’s more sectarianism than any of us want, many times disguised in religion – not representing real religion but disguised in ways that are calculated to affect the minds of people and, unfortunately, set them on a course of violence and destruction.

Our delegations really look forward to reviewing today all of the aspects of this regional situation that we face together. There’s no one country that’s going to solve this. It’s going to take all of us working effectively together and it’s also going to take time. But we know that we have a very firm foundation on which to build.

Morocco is a major non-NATO ally of the United States and is the only country in Africa with which we have a free trade agreement, for example. It has successfully completed a productive compact with the Millennium Challenge Corporation and it recently hosted a well-attended Global Entrepreneurial Summit. And in July, it will serve as a venue for an important international meeting on climate change.

So Morocco is doing more than its fair share of contributing to the global dialogue on the issues of the day. And today our working groups are going to focus on four areas, including security cooperation. And here, my government commends Morocco for serving as co-chair of the Global Counterterrorism Forum’s campaign to prevent the recruitment of foreign terrorist fighters. Morocco is also a member of the anti-Daesh coalition. And since that coalition came together, it is a fact that Daesh has been pushed back significantly, and the result of that is that it is becoming increasingly dependent on its ability to be able to attract foreign fighters. And that means that we have to redouble our own efforts to persuade – and if necessary, prevent – young people from making the fatal mistake of signing up. And Morocco is a leader in our efforts to do that.

Also this year, Morocco will host African Lion, which is an annual military exercise that will continue next month. It includes several of our European and African partners. And in this era, it is essential that our armed forces experience working together, so that if a humanitarian or any other kind of emergency arises, we will be able to respond effectively before it is too late. Interoperability is a critical concept in the context of today’s challenges.

Other security-related topics that we’ll be covering today include the unrest in Libya, where we spent a fair amount of time talking a few minutes ago, where Morocco has supported and hosted UN negotiations and is undertaking a major leadership role in helping to find a path forward. And I was encouraged today in the comments of the foreign minister about the approach that is unfolding over the course of these next weeks.

Morocco is also taking steps to reform its justice sector, to professionalize its police force, to promote the rule of law, and strengthen its border security and its counterterrorist capabilities. The United States strongly backs all of these initiatives, and we will do everything that we can to be helpful as Morocco pursues success in each of those sectors.

A second area of discussion today concerns our growing economic and energy ties. Our free trade agreement is now almost a decade old, and it has already yielded very positive results for both sides. But we want to do better; we want to do more. We know we can. And so we’re going to talk this morning about how to ensure that the free trade agreement benefits grow in a balanced and more expansive way.

We’ll also talk about increasing our business-to-business contacts, intensifying two-way investment, and Morocco’s plan to generate at least 40 percent of its electricity from renewable sources of energy.

In Morocco, as elsewhere, young people are the key to the future. The average age in Morocco is increasing now, but unemployment rates for those people who are 15 to 24 years old and not in school still remain high. It’s a challenge. It’s a challenge everywhere, by the way. And we hope that the government’s efforts to grow the economy, coupled with a $38 million agreement through USAID, will provide the nation’s youth with the confidence and the skills that they need to make the critical leap from school to paycheck, to a good job for the long-term future.

A third focus of our dialogue concerns the value of education and people-to-people contacts. Morocco has embarked on a program of comprehensive education reforms, designed to lift the standards and provide greater opportunity to young people, to women and girls particularly. And here again, the United States is helping through a $25 million USAID grant to improve achievement at the primary school level. We’re also excited about the J. Christopher Stevens Virtual Exchange Initiative that was launched by the United States and Moroccan students this spring.

Our fourth area for discussion will highlight public institutions and civil society. The international turbulence of recent years shows how absolutely vital it is to be able to provide a peaceful outlet for political expression and to maintain governing structures that are sustained by the full support of their national populations. Morocco has the potential to be a model – the model, if you will.

But as we know from our own experience in the United States, building resilient and robust democratic institutions is a long-term job. We’re still working at it. We have our own challenges, and we know that. And so we talk with appropriate humility about any other country’s challenge, but we’re all in this together and we all have to draw from each other’s experiences and work together. Accordingly, we welcome Morocco’s effort to strengthen political parties and to give space to civil society in advance of the national elections.

We also respect His Majesty King Mohammed VI’s spiritual authority as a faith leader and his consistent and vocal opposition to any use of religion to justify violence against innocent persons.

In closing, let me just say that the foreign minister and I and our teams have a lot to discuss, as you can tell. And I very much look forward to having this discussion over the course of the day in the warmth and friendship that really does define this relationship. So I’m very pleased to yield my – the floor to my colleague and my friend, Foreign Minister Mezouar. Thank you. (Applause.)

FOREIGN MINISTER MEZOUAR: (Via interpreter.) Thank you, John, and dear friend. First of all, I would like to thank you for your kind words, for your hospitality, and for making your teams available. They worked hard. I would like to congratulate them.

And as you said, dear friend, we are two friendly countries and we have been longstanding friends, and this friendship in our context today is a fundamental basis to move ahead. It’s the fundamental basis that will allow us to face the transformations of today’s worlds with all of its complexities. And I think that our meeting of today as part of the strategic dialogue is the best message that we could convey together to say there aren’t just problems, but there’s also some progress being made. Humanity advances via crises, but also thanks to ability to ensure that progress may also be made.

I applaud – I salute the excellent relationship that we share, and this relationship that allows us doing meetings such as this one, but also doing very brief meetings that this relationship allows us to deal very quickly on the various topics, because you have the same assessments, the same analyses, but above all, we are members of the same bloc, the bloc of freedom, the camp of peace, that of democracy – the bloc of universal values, the bloc that defends the most disenfranchised, and also the bloc of solidarity. I think that these are the values that we share, and they allow us to always work with great peace of mind, to work together on the fundamental topics.

We met a year ago in Morocco, and of course, we were delighted to host you. Yes indeed, we shared some good meals, but we shared other meals, and namely our shared vision of what we wanted to be, of what we wanted to do. Morocco is a country, as you observed – is a country which is moving ahead. It’s a country which has built its model – its model of development, which is based on values, on institutions which are solid and strong. This is a country which has a history, and this history makes it stronger. This history helps us also via the reforms process that are continuing. Reforms never stop and they can never stop, because the world is moving. Societies are moving, are changing. And since the world and societies are moving and changing, well, reforms must also continue to move and change just like a society must continue to move and advance.

So Morocco does indeed appear to be this harbor of peace in a disrupted, disturbed, and ailing region of the world. We share our experiences with others, we provide our contribution, we engaged in the fight against ignorance, against extremism, because there is no war of religions, there’s no war of civilizations, but there’s a fight against ignorance. And that means that what we are engaged in together has meaning, because it’s the world as we see it, it’s societies as we perceive them, which are the engines of our actions, which are the engines of our relationships.

So I’m happy that today, once again, of the opportunity of this third strategic dialogue, that we’re able to notice that our relationship is vivacious. The advantages of these meetings that allows us to be constantly creative. They allow us to be constantly – say to yourselves we must ensure that this exceptional relationship, that this quality of relationship, it has to be supplied, it has to be complete – constantly fed, supplied; otherwise it will stagnate and it will regress.

So we are engaged in a virtuous, positive logic between our two countries. And here I would like to pay greater tribute to Ambassador Bush, who is doing a wonderful job. And also I would like to pay tribute to your teams at the State Department, who are also doing wonderful work to bring people together, to come up with imaginative things to create. I wish – would be remiss if I failed to pay tribute to our own ambassador, who is also working hard to ensure that constantly this exceptional relationship be preserved, sustained.

We talked about problems in our region. Here I would like to say two or three messages. The first message about Libya: Libya, as you know, the dialogue is taking place in Morocco, in serenity, in a state – atmosphere of responsibility. The Libyan people want peace; they want stability. The various components of the dialogue have been determined. There is a real awareness. The Libyans are capable of making peace. The Libyans are capable of getting along and the Libyans are capable of building a future within a framework of stability, as part of a modern society, an open society, with institutions that will allow them to deploy their wonderful energy. They do have that energy that will allow them to move ahead in the construction of their country, but also in the construction of the region.

Libyans need to be supported. We are engaged in a phase where the fundamental principles of the agreement have been accepted. Today, we must give this momentum and we must say and affirm that they are capable of making peace. They are capable of moving towards a political solution that will help them to overcome the difficulties that they have today.

So this is an opportunity to applaud the efforts of Bernardino Leon, who is working with great tact, with great engagement, but also applaud the various factions, the various protagonists who are engaged in the dialogue. And I am convinced that next week’s meeting will make it possible to move towards a definitive solution.

And why – I would also like to mention Yemen. We must, above all, understand that it is no longer possible to allow that in countries affected by this type of instability that legitimacy be swept aside by anyone. We must bring order back and respect. There was a dialogue and this dialogue was supposed to lead to the organization of a national unity government that would lead to new elections and representation. When units or factions start believing that, given they have a few militaries or some assets, they can destabilize states, the message that has to be retained is that – that has to be conveyed that this is fundamental. It has to be firm. It is no longer allowed that any minority, that any faction, should be able to destabilize the foundations of a state, because destabilizing the foundations of a state will bring us back to situations of insecurity, instability, always difficult to solve and which generally profit – benefit to those who know but we never think about.

So Morocco is determined, vis-a-vis values and principles. Morocco is engaged in the fight against extremism but also engaged in the fight against any type of destabilization which would lead to anarchy. So Morocco is engaged in the commission and it’s also engaged in this coalition for Yemen on the basis of values but also based on a value – on a vision of the dynamic to which the Middle East region must join, generally speaking.

I would also wish to emphasize the fact that the fight against extremism and the determination with which the coalition is acting is starting to produce results. These results are encouraging. This also encourages the Government of Iraq, which is responsible – its officials and its army – to come up with a solution that will make it possible to eradicate all forms of extremism and to fight against terrorism. So these are all – as many actions of the international community. And thanks to your leadership, dear friend, and we are all determined towards this action.

But I would also bring your attention to another aspect that should not be overlooked, that should not be forgotten. I would like to applaud your tenacity on the Israeli-Palestinian issue and on peace in this region. With determination, you led difficult negotiations. I think that this process is not over. With – this process must continue. The statement of Mr. Netanyahu is placing the international community in front of its real responsibilities, but we must never forget that peace in the Middle East will never take place as long as peace and stability in that region of the world, and especially as part of Israeli-Palestinian conflict has not been achieved.

His Majesty, the King is engaged via the committee accords to constantly provide this indispensable support to the Palestinians and particularly to the holy sites. These sites have to be protected. This is part of the heritage of humanity. They have to be protected for mankind. And Morocco, which is also engaged in this process of resumption of the dialogue, of discussion with the Quartet that had been designed by the Arab League, which had its meeting last Monday, in order to explain that we need a resumption of the process and the dialogue on the basis of engagements of the international community on behalf of the solution of two states, as it was defined – namely, the process that you have conducted yourself. Morocco will host the Summit of the Arab League next year in Morocco, and some very important topics will be on the agenda. And of course, Morocco is engaged in peace and in the rapprochement and the dialogue. This is fundamental because this period, this timeframe that we’re experiencing is sensitive, it’s explosive, and Morocco, thanks to the momentum, His Majesty, the King, is assuming the role of leadership, which is its own.

Morocco is also progressing on some various issues. You talked about them. There are two topics about which we have made some real progress – the issue of women, first of all, which was a struggle, a momentum. And thanks to His Majesty, there was this momentum. And this liberation that was conducted created for this amazing energy and skills in Morocco, and also the issue of youth. And this is an issue, of course, that we have not been working just since today. Morocco has always integrated – as part of its vision of development of society and of economic and social development, we integrate the training and the education of the youth as part of a strategy of development which is our own, and this is yielding good results, but we must continue to work even harder.

And this was part of the Global Entrepreneurial Summit that we were – had the pleasure of hosting, and you had the – gave us the honor of attending this. And this was a wonderful opportunity to show the amazing pool of talent that Morocco has in terms of creativity, of unyielding all of this power, and these means that will allow the youth to take its role and play its responsibility in the development of society. And of course, Morocco remains available to provide this expertise, this experience, as part of the upcoming summit which will take place in Nairobi, I believe, in July.

So Morocco is advancing with great serenity. Reforms are important, but in greater serenity they are done, the better it is. And it is acknowledged, appropriated by society. It is acknowledged by the political forces and the components of society. Morocco is advancing. We know we have to conduct reforms. We are conducting reforms and we’re expanding the field of liberation and of energies, and that makes the strength of our country. The strength of our country comes on the fact that we are liberating energies, and we have a leadership, because this leadership is modern. This leadership is progressive. This leadership is democratic. This leadership believes in human values.

His Majesty plays this role of leadership, but also, given the fact that we were able to build for more than a half century a momentum of political diversity and of political dialogue and of political representation, which this all allows us, indeed, to manage our differences with political alternative, with a democracy, with serenity and responsibility – and all of these things are things that we share with you, because the world also needs examples. Our relationship is an example because it is serene, it is responsible, because it looks to the future. And we all – Morocco is also an example that we share with other countries. And the stability of the region is fundamental. Previously, we mentioned the issue of the Sahara – Moroccan Sahara, and we emphasized on the fact that Morocco is a country that always looks to the future to build the future. Morocco provided concrete responses and concrete solutions via the autonomy proposal. This proposal is a proposal which moves towards integration but also towards the facilitation of the construction of the Maghreb space, and this on behalf of the populations, on behalf of the various countries.

So Morocco is a player that always looks at things positively. We have turned the page of the 25th century – we’re on the 21st century, and the 21st century has its own logic, and this logic says we must always be in a positive momentum, provide positive contributions, seek solutions, overcome the static systems of history which disrupt populations, which disrupt relations between countries. So Morocco wants to move ahead.

And we would like to thank you for the role that you play, the – your engagement on behalf of this virtuous dynamic that we want to move towards in this region with respect to the resolution of a problem which has been invented for 40 years, and which affects our territorial integrity. So these always many subjects which are important that we share, but I – once again, I would like to say I do know that you have a plane to catch. I would like to thank you for your friendship, for your availability towards Morocco. We’ll have – we have opportunities to meet once in a while in always various different locations, but these are very special moments, and we wanted to share them intensely with you on behalf of our relationship, on behalf of the friendship which unites our people here. I would like to pay tribute to the entire team which is here today, the three groups which are working, which are – the four groups, pardon me – four groups which are moving ahead with determination to provide content and to strengthen the economic component that is a momentum that has its own progression.

I would just like to conclude with one point which is important to us and that we share with you – Africa. Africa is the continent that we have to invest in. Morocco is engaging, it’s providing its experience, its expertise. We are providing our investments. We are providing human development. Morocco is providing this dimension of religious moderation which is fundamental today as part of the relationship and the stability and the stabilization of societies. We are engaged and will continue to be engaged.

When His Majesty, the King met President Obama, decided that this would be a thrust of the partnership between our countries, will provide it with more and more contact by engaging ourselves. We do know that the issue of energy is important, therefore our shared expertise should help towards, move in this dimension the issue of food security and the stabilization of populations, human development – really just development, but also investments. Morocco is the first investor, African investor in west – in Central Africa. So we are the largest African investor, which means that Morocco is engaged in this dynamic of development stabilization of Africa, which is a wonderful continent, which is a continent which has huge potential, and also needs to know that it has friends and friends that are – have wanted well, and since – we have good wishes for this continent and we’ll continue to work towards that.

Thank you once again, dear John. Thank you to all of you. (Applause.)

SECRETARY KERRY: Thank you very much, Salaheddine, very eloquent comments. And I want the record to show that even when he was being serious, he was talking about (inaudible). (Laughter.) Thank you. (Applause.)

FOREIGN MINISTER MEZOUAR: Thank you. (Applause.)

QUESTION: Can we get (inaudible)? Will Cuba be removed from the state sponsors of terror list?

SECRETARY KERRY: I can’t, I’m sorry. I can’t. I’ve got to run now.