SPEECH
BY H.E. ION ILIESCU, PRESIDENT OF ROMANIA
“Romania and its new status of NATO member: Prospects for Regional Stability and Economic Growth”
- Chicago, World Trade Center, September 20, 2004
Ladies and gentlemen,
Distinguished audience
I am truly delighted to be in Chicago, a significant American metropolis for the US-Romania bilateral relations. I would like to convey my special thanks to the organizers of this special event.
In my address I would like to touch upon some topics of particular interest to my country and relevant for the special strategic partnership that encompasses the bilateral relations between Romania and the United States.
Ladies and gentlemen,
For Romania, the 2004 came as a major achievement in its political agenda by becoming a member of the North Atlantic Alliance, a goal that enjoyed the full support of the Romanian people and which was possible only through profound internal political and economic reforms. The accession to NATO membership represented, at the same time, a recognition of the success of our internal transformations programmes, as well as a confirmation of Romania's role and contribution on issues concerning the fight against terrorism, curbing trans-border crime, preventing trafficking with drugs, weapons and human beings. We support and radiate throughout our region the principles that constitute the foundation of the transatlantic community, since we share the same set of common values and aspirations: democracy, the rule of law, freedom of expression, free market economy, prosperity through sustainable development, open and pragmatic dialogue with our neighbors and beyond. Today's Romania should be viewed as a stabilizing factor in the region.
In defining the strategic profile of Romania as a member of NATO and ally of the US, I would call your attention on the following aspects:
As a new NATO and future EU member, Romania understands this membership is not only about security guarantees and economic opportunities, it is also about values and mission. Romania's mission is to help in the continuation of Europe's reunification process - in the Western Balkans and to the East, across the Black Sea.
As Romania benefited from a Western strategy of enlargement in the 1990s, we now work to continue to extend those benefits to our neighbours in the Black Sea region in the years ahead. We cannot pursue this endeavor other than in close partnership with our allies, the US in particular. In our view, NATO as a community of shared values: freedom, free-market, the rule of law should augment its cooperation with the Partner countries from these regions in order to radiate the common democratic and economic values towards these areas.
No doubt that our strategic relationship can be further deepened through a more intense Romanian-US cooperation on promoting a Euro-Atlantic strategy for the Black Sea region. The possible inclusion of Romania in the process of restructuring US global defense posture can offer additional opportunities of bilateral cooperation in consolidating and projecting Black Sea security towards the neighbouring areas of Central Asia, Afghanistan and the Middle East. We can also further deepen our political and military cooperation through joint projects in support of defense reforms and civil society development in the Black Sea region.
The harsh realities confronting the region and the particular significance for Euro-Atlantic security framework have brought the recognition of the Black Sea region as an utmost important regional area in the final communiqué of the Istanbul NATO summit. The document paves the way for Allies, partners and riparian countries to work together for strengthening security and stability in the area.
Our approach on the Black Sea region in an integrated vision includes the following:
• providing, through NATO, an enhanced PfP for Caucasus and Central Asia.
• supporting a consistent - the new EU policy for “Wider Europe Neighborhood” that includes Armenia, Azerbaijan and Georgia.
• we should devote much more attention to the development of the energy and transportation corridors linking the countries of the Black Sea region with the members of the Euro-Atlantic community. Making best use of the economic potential of the Black Sea region would be a strong enabler of its democratic and stable development.
By consolidating stability and democracy on its shores, the Black Sea can become again a “Hospitable Sea”, a bridge of economic prosperity, freedom and security within the gates of Europe.
Ladies and gentlemen,
After the tragic events of September 11, 2001, as we all know, the North Atlantic Alliance has expanded its strategic and security outlook to the benefit of its members and of the countries in the organization's proximity.
Based on our strong, special strategic partnership with the United States, we approach the Broader Middle East concept in a real spirit of partnership with the US.
In this context, we share the assessment that the major security risks come from the region of Broader Middle East. This is why we stand for a comprehensive approach for supporting the processes of modernization and democratization in the region.
Distinguished audience,
The political and security dimensions need to be firmly supported by a genuine interest in developing economic ties, both bilaterally and regionally. Promoting free trade, market oriented economy, sustainable development should be our common message
We attach a particular importance to safe and sound energy routes, which can be developed only in a peaceful and secure environment.
Romania is ready to further engage alongside the United States in promoting economic prosperity and sustainable development in the area. We call therefore on US companies to invest more in Romania so as to provide the grounds for extensive and intensive common economic project and initiatives in countries in the area.
A solid cooperation abroad should be necessarily based on a strong US economic presence in Romania. In this context, a number of facts and figures are to be outlined:
o The high level involvement and support provided by the US Administration, as well as the fresh interest of the US companies towards Romania, have determined a new dynamic and dynamism. Important US companies such as General Electrics, Timken, Bechtel, Solectron, Procter&Gamble, Oracle, Qualcomm are already very active in doing business in Romania. It is worth mentioning that Romanian-US trade exchanges have reached $1.17 billion, the highest level of our bilateral commercial exchanges in almost two decades.
o Romania received in 2003 the status of a functional market economy, and USTDA declared Romania the “Country of the Year”.
o Bilateral official contacts, especially at the highest level, substantiate the strong interest the United States has in bringing the economic relations at the level of the political – strategic ones; a solid confirmation is provided by the visit in Romania last year of the representatives of the entire management of the US Department of Commerce's, the year 2003 representing, in this context, a landmark of our overall economic bilateral relations.
o However, the US investments in our country are still at a low level, only $ 828.7 million being invested in Romania by US companies as of May 31, 2004, the United States ranking fifth, after Austria, the Netherlands, France and Germany. In our evaluation, the possibilities and potential of the US companies are far below these figures.
o Timing is also of particular significance in approaching investments strategies - underlining the importance of the “pre-positioning” for the American companies choosing to invest now and setting “roots” in the economy in the perspective of Romania's accession to the EU in 2007.
The ongoing process of EU enlargement opens new markets.
o The US companies might seriously consider the opportunities offered by the infrastructure projects in Romania with wider implication at regional level.
- The transportation network in Romania is under major transformation, especially in the road and railway sectors, through projects aiming at enhancing our links to Western Europe.
- In the energy sector we are expecting a strong US support and involvement in building the Constanta-Omisalj pipeline, the feasibility study being completed with the US Trade and Development Agency's funds.
- In the automotive sector, we are confident that our continuous dialogue will bear fruits by finding the best mutual advantageous solutions for Daewoo Automobile Craiova whose “mother company” Daewoo Motor Korea was acquired by General Motors.
o Considering Romanian-US bilateral cooperation in third-countries projects. Our country is vitally interested in being involved in the most possible concrete way in the reconstruction and democratization process of Iraq, given Romania's extensive interest in this country and knowledge of many of the actual infrastructure elements in the Iraqi economy (many built by Romanian companies). We want to find ways to assure Romanian companies' participation in the reconstruction process, direct or as subcontractors, and use the amount due as investment or shares in some infrastructure projects in this country.
I will conclude by outlining the favorable Romanian economic environment, a picture of business opportunities and an invitation to do business with my country.
o We reduced custom duties at all items requested by the USTR, as of January 1, 2003, as a unilateral step aimed at developing bilateral trade.
o Romania is prepared to proceed further with customs duties reductions based on bilateral consultations, with implementation from January 2004, within the Government package of applied tariffs for the next year and with the observance of the bilateral agreements our country has with the European Union.
o The observance of the Intellectual Property Rights substantially improved and Romania is continuing to demonstrate that is no longer worth to be on the Watch List. Our fight against intellectual property infringements has registered a constant and unabated progress, especially through the direct cooperation between the Romanian and the US competent agencies.
Ladies and gentlemen
We are hard-working with the US in developing political initiatives aimed at an increased dialogue and confidence-building measures, as well as various projects in the field of democratic institutions building, development based on a free-market economy, for both the benefit of our people and those of the countries in the region. I am convinced that the US busines community will follow in the path of the sincere and constructive dialogue promoted between our administrations.
Considering the strength of our strategic bilateral relationship, the economic opportunities offered by Romania and our common endeavor towards a more peaceful, secure, stable and economically sound regional and global environment, there's only one conclusion: rely on Romania as true partner and let us built together today a safer and more prosperous climate for the generation of tomorrow.
Thank you
20 September 2004