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As prepared for delivery.

Why Europe Still Matters for the United States
FDP Transatlantic Forum
Berlin, November 8, 2010
Ambassador Philip D. Murphy

Meine sehr veerhten Damen und Herren,
Excellenzen,

es ist mir eine Ehre, vor dem Transatlantischen Forum der FDP zu sprechen. Margarita, als wir uns das letzte Mal trafen, baten Sie mich darüber zu sprechen, warum Europa für die Vereinigten Staaten wichtig bleibt. Wir haben über den recht weit verbreiteten Eindruck gesprochen, dass die Vereinigten Staaten sich nicht mehr für Europa interessieren. Tatsächlich ist es so, dass sich Präsident Obama bei seinem Amtsantritt vor zwei Jahren deutlich bewusst war, dass die Vereinigten Staaten die weltweiten Probleme nicht allein lösen können. Wir brauchen starke Partner, und nirgends auf der Welt haben wir bessere oder fähigere Verbündete als in Europa.

Let me add here that President Obama’s focus on engaging the nations and peoples of the world on the basis of mutual interests and mutual respect will not change as a result of the midterm elections last week; nor will the Administration's steady work on issues related to security, global economic growth, development, and support for universal rights.  Both political parties – and all branches of government – believe the United States has a responsibility to provide effective, global leadership in the 21st century.   As Foreign Minister Westerwelle pointed out last week very astutely, there have been frequent occasions when different parties have been in control of the two houses of Congress.  In all cases, the President has nevertheless managed to successfully conduct foreign policy.   As we say, politics end at the water’s edge.  The German government is counting on continuity in U.S. foreign policy.   The Foreign Minister does not expect a breakdown in U.S.-European relations – and neither do I.

The United States is proud of the role it played in the 20th century to help Europe emerge from the ruins of war and division to become a showcase for peace and opportunity and prosperity.  Those efforts were unique and exceptional for their times. The results, however, were certainly not a miracle that was simply handed to us.  They were the result of years of careful, courageous work by leaders and citizens – in this country and others – to create institutions that brought together former adversaries and united them in common cause.  Earlier this year, I had the opportunity to visit Halle with Dr. Hans-Dietrich Genscher, one of the most stalwart supporters of German unification.  In Halle, I learned more about the courageous efforts on the other side of the Iron Curtain.  Let it also be said, however, that throughout the long years of the Cold War right up to the exciting period between November 9, 1989 and October 3, 1990, a unified Germany was one of America’s key foreign policy goals. 

It is my hope that twenty years from now, the young people of today will be able to look back with the same sense of pride and satisfaction at our common efforts to address some of the very complex challenges our world faces today.   These are the issues that will shape the agenda at four very important international summits that are scheduled to take place this month and next.  Those meetings include: the G-20 which meets at the end of this week in South Korea; then the week after, the NATO and U.S.-EU summits in Lisbon; and finally in early December, the OSCE in Astana, Kazakhstan in early December.  Our goals for all four of these summits reflect the importance of our shared strategic objectives.    

Let’s look at the summits in chronological order.

The G-20 is admittedly not a U.S.-EU institution but the commitment of the United States and the G-20 European G-20 nations, and in particular Germany, played a key role in its success as a forum for global economic coordination in the wake of the financial crisis.   When President Obama and Chancellor Merkel join other world leaders in Seoul on Thursday, growth will be at the top of the agenda.  Leaders will also endorse new Basel III rules on capital, which is a concrete achievement that should help mitigate the impact of another financial crisis.  We are also fulfilling our pledge, and I should cite in particular Germany’s leadership on this issue,  to ensure that emerging countries play a more prominent role in the international financial institutions, such as the IMF.  Since the G-20 Summit in Washington two years ago, this new forumthe G-20 has played a leadership role in committing the world’s largest markets to the principles of fair and open competition -- the principles essential for sustainable and balanced global economic growth. 

Economic recovery was one of the chief concerns of American voters last week in the midterm elections.  Clearly for some, change has not come fast enough.  It is also clear that thePresident Obama Administration will continue on its course of pursuing a sustainable fiscal policy.  One thing is certain, in a balanced global economy, the U.S. consumer can no longer drive global demand.   That means bringing exports and domestic demand revenues and spending into better balance.  It also means promoting greater engagement in international trade by encouraging both exports from and direct investment into the United States. 

Again, contrary to popular opinion, the European Union remains by far and beyondis still the America’s largest investment, trade and financial partner – and what’s more, U.S.-European bilateral investment is the largest bilateral relationship of its kind on the planet.  From 2000 to 2009, half of U.S. foreign direct investment was in Europe.  In 2008, the stock of U.S. investment in the BRIC countries – Brazil Russia, India and China – was only 7% of total U.S. investment in the EU.  For decades, this massive investment has driven bilateral trade in our economies – to our mutual advantage.  In fact, there is tremendous opportunity right now to strengthen that relationship.  In the United States right now, prices are low; unemployment is high; Americans are eager to work; and American companies are hungry for international markets and partners.  Now is a good time for further investment. 

Our record of trade and investment proves that the United States, Germany and other countries are competitive suppliers and attractive locations in which to produce for world markets.  In terms of creating and keeping jobs – a key priority for everybody – it is normal that nations want to maintain that competitive advantage.  But speaking for the United States and the EU, we also want China, India, Russia, Brazil and other major emerging economies to play an integrated and responsible role in the global economy as their trade and investment footprints grow in stature, as current trends suggest they will.  The transatlantic economic relationship is one of America’s most cooperative and productive partnerships.   It is based on years of working together toward common goals and it sets a very good example to the world. 

Adding to the economic challenges we face are new 21st century threats to the security of the citizens of our countries.  The institutions that guarded Europe’s and North America’s security during the 20th century were not designed with new dangers that have emerged, dangers such as global terrorism, piracy, climate change, energy security, and global criminal networks that traffic in weapons, drugs, and people.   Our arsenal must go beyond tanks, bombers, and missiles to include tools that protect cyber and energy networks, halt the proliferation of weapons of mass destruction, and counter the threats of terrorism.  Increasingly as well we have learned that responding to security threats includes confronting the political, economic, and social conditions that give rise to destructive ideologies in the first place.  

The NATO summit in Lisbon on the 19th and 20th of November will be an important venue to reach consensus on the new Strategic Concept that help to ensure that NATO can respond to new and evolving contingencies while meeting its traditional commitment to the Article 5 collective defense mission.  We are also engaged in productive discussions about building a new missile defense architecture that will defend all of NATO territory against ballistic missile attack. And we are serious about exploring ways to cooperate with Russia to develop missile defenses that enhance the security of all of Europe, including Russia. 

We are very pleased that President Medvedev accepted NATO’s invitation to a NATO-Russia Council meeting alongside the NATO Lisbon Summit.  Over the last 20 years, NATO's relationship with Russia has been transformed from adversary to partner.  We now want to take the relationship to a higher level, with cooperation in areas of shared interest such as missile defense, but also counternarcotics, counterterrorism, and counter-piracy.  

The United States sets great store in setting relations with Russia on a constructive course.  The Obama Administration inherited a deteriorating relationship with Russia, and the President immediately set out to build a more substantive and constructive relationship based on mutual respect and mutual interests.  Together, we have made progress on a range of issues, including helping to address Iran’s nuclear program through the P-5+1, sharing a concern about stabilizing Afghanistan, confronting North Korea’s defiance of its international obligations, negotiating a new Strategic Arms Reduction Treaty, tackling non-traditional threats such as pandemic disease, cyber warfare, and the trafficking of children.  We have done all of this without compromising our principles or sweeping differences under the rug – in particular our steadfast commitment to the sovereignty and territorial integrity of all of the nations of Europe.  We have different histories, different experiences and perspectives.   We will not always agree and our interests will not always overlap.   

Afghanistan will also be a critical topic of discussion.  The Lisbon summit will allow us to reaffirm NATO's deep and enduring commitment to Afghanistan's future through a NATO-Afghanistan Partnership Declaration.  The Alliance is engaged in its biggest operation ever, an operation that is critically important for all of us.   As we think about the way forward, we will be looking at transition strategies to gradually turn over full responsibility for security to Afghan National Security Forces.  Transition will be a process that unfolds according to the circumstances and progress on the ground.  It is not a single event and it will not be a rush for the exit.

A summit between the United States and the European Union follows the NATO summit in Lisbon.  It will be the first post-Lisbon Treaty U.S.-EU Summit.  The United States strongly supported the Lisbon Treaty.  It marked a milestone for Europe and its role in the world and we hope it will guide the further evolution of the European Union toward a more consistent, coherent, and effective foreign policy.  It is in everybody’s best interests for the EU to play a strong role on all of the important economic and security issues on the transatlantic agenda and beyond.   Germany is playing a strong leadership role within the EU as it undertakes reform of its economic governance in the wake of last spring’s market uncertainty.  I know that Secretary Clinton has an active and very constructive relationship with Minister Westerwelle.  She also meets and speaks regularly with High Representative Cathy Ashton critical foreign policy issues such as Iran, the Middle East Peace Process, Pakistan and Afghanistan.

Economic growth and recovery will here, too, be on the agenda.  We also look forward to discussing coordination of U.S. and EU resources to meet the development needs of poorer countries, as well as those emerging from crises and disaster.  We have recently established a U.S.-EU dialogue on development issues, which underscores the interests we share in partnering with developing countries to ensure global economic growth is broad-based.  The recent discovery of potential explosive materials in commercial air cargo highlights the need to enhance our efforts on counter-terrorism and security. 

We have always said that we favor a strong Europe. We share so many common interests that a strong, expanded and constructive partnership is a win-win situation for us all. 

The last Summit on the list is the OSCE Summit in Kazakhstan.  It will celebrate the 35th anniversary of the Helsinki Final Act.  When we talk about the common interests between the United States and Europe, at the most basic level, those interests coincide in our commitment to ensuring that human rights and rule of law remain the fundamental building blocks of international stability.  The commitment to human rights enshrined in the Helsinki Final Act is one of the best things that the Euro-Atlantic community has accomplished together.   Now we are called to renew that commitment by empowering the OSCE to increase its work in the world.

So we have a very ambitious agenda over the next few weeks, but we believe that with strong European partners – and Germany is at the forefront of that category –we can and we will meet these challenges together.

In this century, we have learned that security and prosperity are not zero-sum games.  Europe understands that security is about military and human might.  Consider the former Communist countries of Central Europe.  They were drawn to the EU because of the political, economic, and social opportunities it represents.  They received legal, social, and technical assistance in building democratic institutions and the rule of law.  They inherited the riches of a single market and the unifying experience of a common European identity. These are such powerful forces for progress and stability. Europe has harnessed them through the creation of effective institutions. So now the United States works with NATO, the EU, the OSCE and other international institutions to extend this kind of comprehensive human security to other places.

We are closer than ever to achieving the goal that has inspired European and American leaders and citizens – not only a Europe transformed, secure, democratic, unified and prosperous, but a Euro-Atlantic alliance that is greater than the sum of its parts, that stands for these values that have stood the test of time, and worked strategically to move toward a vision that may need to be updated and modernized, but is timely and relevant.

Es ist den Vereinigten Staaten eine Ehre, Seite an Seite mit Europa die nächsten Schritte hin zur Verwirklichung dieser Vision zu gehen. Vielen herzlichen Dank.

 

Why Europe Still Matters for the United States
FDP Transatlantic Forum
Berlin, November 8, 2010
Ambassador Philip D. Murphy

Meine sehr veerhten Damen und Herren,
Excellenzen,

es ist mir eine Ehre, vor dem Transatlantischen Forum der FDP zu sprechen. Margarita, als wir uns das letzte Mal trafen, baten Sie mich darüber zu sprechen, warum Europa für die Vereinigten Staaten wichtig bleibt. Wir haben über den recht weit verbreiteten Eindruck gesprochen, dass die Vereinigten Staaten sich nicht mehr für Europa interessieren. Tatsächlich ist es so, dass sich Präsident Obama bei seinem Amtsantritt vor zwei Jahren deutlich bewusst war, dass die Vereinigten Staaten die weltweiten Probleme nicht allein lösen können. Wir brauchen starke Partner, und nirgends auf der Welt haben wir bessere oder fähigere Verbündete als in Europa.

Let me add here that President Obama’s focus on engaging the nations and peoples of the world on the basis of mutual interests and mutual respect will not change as a result of the midterm elections last week; nor will the Administration's steady work on issues related to security, global economic growth, development, and support for universal rights.  Both political parties – and all branches of government – believe the United States has a responsibility to provide effective, global leadership in the 21st century.   As Foreign Minister Westerwelle pointed out last week very astutely, there have been frequent occasions when different parties have been in control of the two houses of Congress.  In all cases, the President has nevertheless managed to successfully conduct foreign policy.   As we say, politics end at the water’s edge.  The German government is counting on continuity in U.S. foreign policy.   The Foreign Minister does not expect a breakdown in U.S.-European relations – and neither do I.

The United States is proud of the role it played in the 20th century to help Europe emerge from the ruins of war and division to become a showcase for peace and opportunity and prosperity.  Those efforts were unique and exceptional for their times. The results, however, were certainly not a miracle that was simply handed to us.  They were the result of years of careful, courageous work by leaders and citizens – in this country and others – to create institutions that brought together former adversaries and united them in common cause.  Earlier this year, I had the opportunity to visit Halle with Dr. Hans-Dietrich Genscher, one of the most stalwart supporters of German unification.  In Halle, I learned more about the courageous efforts on the other side of the Iron Curtain.  Let it also be said, however, that throughout the long years of the Cold War right up to the exciting period between November 9, 1989 and October 3, 1990, a unified Germany was one of America’s key foreign policy goals. 

It is my hope that twenty years from now, the young people of today will be able to look back with the same sense of pride and satisfaction at our common efforts to address some of the very complex challenges our world faces today.   These are the issues that will shape the agenda at four very important international summits that are scheduled to take place this month and next.  Those meetings include: the G-20 which meets at the end of this week in South Korea; then the week after, the NATO and U.S.-EU summits in Lisbon; and finally in early December, the OSCE in Astana, Kazakhstan in early December.  Our goals for all four of these summits reflect the importance of our shared strategic objectives.    

Let’s look at the summits in chronological order.

The G-20 is admittedly not a U.S.-EU institution but the commitment of the United States and the
G-20 European G-20 nations, and in particular Germany, played a key role in its success as a forum for global economic coordination in the wake of the financial crisis.   When President Obama and Chancellor Merkel join other world leaders in Seoul on Thursday, growth will be at the top of the agenda.  Leaders will also endorse new Basel III rules on capital, which is a concrete achievement that should help mitigate the impact of another financial crisis.  We are also fulfilling our pledge, and I should cite in particular Germany’s leadership on this issue,  to ensure that emerging countries play a more prominent role in the international financial institutions, such as the IMF.  Since the G-20 Summit in Washington two years ago, this new forumthe G-20 has played a leadership role in committing the world’s largest markets to the principles of fair and open competition -- the principles essential for sustainable and balanced global economic growth. 

Economic recovery was one of the chief concerns of American voters last week in the midterm elections.  Clearly for some, change has not come fast enough.  It is also clear that thePresident Obama Administration will continue on its course of pursuing a sustainable fiscal policy.  One thing is certain, in a balanced global economy, the U.S. consumer can no longer drive global demand.   That means bringing exports and domestic demand revenues and spending into better balance.  It also means promoting greater engagement in international trade by encouraging both exports from and direct investment into the United States. 

Again, contrary to popular opinion, the European Union remains by far and beyondis still the America’s largest investment, trade and financial partner – and what’s more, U.S.-European bilateral investment is the largest bilateral relationship of its kind on the planet.  From 2000 to 2009, half of U.S. foreign direct investment was in Europe.  In 2008, the stock of U.S. investment in the BRIC countries – Brazil Russia, India and China – was only 7% of total U.S. investment in the EU.  For decades, this massive investment has driven bilateral trade in our economies – to our mutual advantage.  In fact, there is tremendous opportunity right now to strengthen that relationship.  In the United States right now, prices are low; unemployment is high; Americans are eager to work; and American companies are hungry for international markets and partners.  Now is a good time for further investment. 

Our record of trade and investment proves that the United States, Germany and other countries are competitive suppliers and attractive locations in which to produce for world markets.  In terms of creating and keeping jobs – a key priority for everybody – it is normal that nations want to maintain that competitive advantage.  But speaking for the United States and the EU, we also want China, India, Russia, Brazil and other major emerging economies to play an integrated and responsible role in the global economy as their trade and investment footprints grow in stature, as current trends suggest they will.  The transatlantic economic relationship is one of America’s most cooperative and productive partnerships.   It is based on years of working together toward common goals and it sets a very good example to the world. 

Adding to the economic challenges we face are new 21st century threats to the security of the citizens of our countries.  The institutions that guarded Europe’s and North America’s security during the 20th century were not designed with new dangers that have emerged, dangers such as global terrorism, piracy, climate change, energy security, and global criminal networks that traffic in weapons, drugs, and people.   Our arsenal must go beyond tanks, bombers, and missiles to include tools that protect cyber and energy networks, halt the proliferation of weapons of mass destruction, and counter the threats of terrorism.  Increasingly as well we have learned that responding to security threats includes confronting the political, economic, and social conditions that give rise to destructive ideologies in the first place.  

The NATO summit in Lisbon on the 19th and 20th of November will be an important venue to reach consensus on the new Strategic Concept that help to ensure that NATO can respond to new and evolving contingencies while meeting its traditional commitment to the Article 5 collective defense mission.  We are also engaged in productive discussions about building a new missile defense architecture that will defend all of NATO territory against ballistic missile attack. And we are serious about exploring ways to cooperate with Russia to develop missile defenses that enhance the security of all of Europe, including Russia. 

We are very pleased that President Medvedev accepted NATO’s invitation to a NATO-Russia Council meeting alongside the NATO Lisbon Summit.  Over the last 20 years, NATO's relationship with Russia has been transformed from adversary to partner.  We now want to take the relationship to a higher level, with cooperation in areas of shared interest such as missile defense, but also counternarcotics, counterterrorism, and counter-piracy.  

The United States sets great store in setting relations with Russia on a constructive course.  The Obama Administration inherited a deteriorating relationship with Russia, and the President immediately set out to build a more substantive and constructive relationship based on mutual respect and mutual interests.  Together, we have made progress on a range of issues, including helping to address Iran’s nuclear program through the P-5+1, sharing a concern about stabilizing Afghanistan, confronting North Korea’s defiance of its international obligations, negotiating a new Strategic Arms Reduction Treaty, tackling non-traditional threats such as pandemic disease, cyber warfare, and the trafficking of children.  We have done all of this without compromising our principles or sweeping differences under the rug – in particular our steadfast commitment to the sovereignty and territorial integrity of all of the nations of Europe.  We have different histories, different experiences and perspectives.   We will not always agree and our interests will not always overlap.   

Afghanistan will also be a critical topic of discussion.  The Lisbon summit will allow us to reaffirm NATO's deep and enduring commitment to Afghanistan's future through a NATO-Afghanistan Partnership Declaration.  The Alliance is engaged in its biggest operation ever, an operation that is critically important for all of us.   As we think about the way forward, we will be looking at transition strategies to gradually turn over full responsibility for security to Afghan National Security Forces.  Transition will be a process that unfolds according to the circumstances and progress on the ground.  It is not a single event and it will not be a rush for the exit.

A summit between the United States and the European Union follows the NATO summit in Lisbon.  It will be the first post-Lisbon Treaty U.S.-EU Summit.  The United States strongly supported the Lisbon Treaty.  It marked a milestone for Europe and its role in the world and we hope it will guide the further evolution of the European Union toward a more consistent, coherent, and effective foreign policy.  It is in everybody’s best interests for the EU to play a strong role on all of the important economic and security issues on the transatlantic agenda and beyond.   Germany is playing a strong leadership role within the EU as it undertakes reform of its economic governance in the wake of last spring’s market uncertainty.  I know that Secretary Clinton has an active and very constructive relationship with Minister Westerwelle.  She also meets and speaks regularly with High Representative Cathy Ashton critical foreign policy issues such as Iran, the Middle East Peace Process, Pakistan and Afghanistan.

Economic growth and recovery will here, too, be on the agenda.  We also look forward to discussing coordination of U.S. and EU resources to meet the development needs of poorer countries, as well as those emerging from crises and disaster.  We have recently established a U.S.-EU dialogue on development issues, which underscores the interests we share in partnering with developing countries to ensure global economic growth is broad-based.  The recent discovery of potential explosive materials in commercial air cargo highlights the need to enhance our efforts on counter-terrorism and security. 

We have always said that we favor a strong Europe. We share so many common interests that a strong, expanded and constructive partnership is a win-win situation for us all. 

The last Summit on the list is the OSCE Summit in Kazakhstan.  It will celebrate the 35th anniversary of the Helsinki Final Act.  When we talk about the common interests between the United States and Europe, at the most basic level, those interests coincide in our commitment to ensuring that human rights and rule of law remain the fundamental building blocks of international stability.  The commitment to human rights enshrined in the Helsinki Final Act is one of the best things that the Euro-Atlantic community has accomplished together.   Now we are called to renew that commitment by empowering the OSCE to increase its work in the world.

So we have a very ambitious agenda over the next few weeks, but we believe that with strong European partners – and Germany is at the forefront of that category –we can and we will meet these challenges together.

In this century, we have learned that security and prosperity are not zero-sum games.  Europe understands that security is about military and human might.  Consider the former Communist countries of Central Europe.  They were drawn to the EU because of the political, economic, and social opportunities it represents.  They received legal, social, and technical assistance in building democratic institutions and the rule of law.  They inherited the riches of a single market and the unifying experience of a common European identity. These are such powerful forces for progress and stability. Europe has harnessed them through the creation of effective institutions. So now the United States works with NATO, the EU, the OSCE and other international institutions to extend this kind of comprehensive human security to other places.

We are closer than ever to achieving the goal that has inspired European and American leaders and citizens – not only a Europe transformed, secure, democratic, unified and prosperous, but a Euro-Atlantic alliance that is greater than the sum of its parts, that stands for these values that have stood the test of time, and worked strategically to move toward a vision that may need to be updated and modernized, but is timely and relevant.

Es ist den Vereinigten Staaten eine Ehre, Seite an Seite mit Europa die nächsten Schritte hin zur Verwirklichung dieser Vision zu gehen. Vielen herzlichen Dank.