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    "ocrText": "Originally Processed With FOIA(s):\nFOIA Number:\nS; 2003-0345-F; 2004-2265-S\nS\nFOIA\nMARKER\nThis is not a textual record. This is used as an\nadministrative marker by the George Bush Presidential\nLibrary Staff.\nRecord Group/Collection:\nGeorge H.W. Bush Presidential Records\nCollection/Office of Origin:\nSpeechwriting, White House Office of\nSeries:\nSpeech File Backup Files\nSubseries:\nChron File, 1989-1993\nOA/ID Number:\n13788\nFolder ID Number:\n13788-016\nFolder Title:\nMelbourne Business Lunch 1/3/92 [OA 8332] [1]\nStack:\nRow:\nSection:\nShelf:\nPosition:\nG\n26\n22\n1\n6\n2ND FACT-CHECK COPY\nSmith/Aarhus\nDraft Six\nDecember 18, 1991\nA:MELBLNCH\nPRESIDENTIAL REMARKS: BUSINESS LUNCHEON\nMELBOURNE, AUSTRALIA\nFRIDAY, JANUARY 3, 1991\n[Acknowledgements.) Thank you for that introduction. Your\nNational Anthem speaks of a land \"abound[ing] in Nature's gifts,\nof beauty rich and rare. \" // Barbara and I feel richer for the\nrare privilege of being with you today.\nSkippy the Bush Kangaroo, X and of course Greg Norman. // Greg XX may\n/ (It is a pleasure to be in the country of Paul Hogan,\nChristobel\n-- but when I'm on the\nor NEKIS\ncourse I spend a lot more time in the water. )) //\n((If I wasn't sure I was in Australia, it was confirmed\ntoday when \"Hail to the Chief\" was replaced with \"Tie Me Kangaroo\nDown Sport. \"// Actually, I like the song -- just as I do your\nbeautiful land known as \"Bush Country.\" // Now, if I can just\nget that description to apply to all 50 States back home. )) //\n((I have also enjoyed this luncheon. // Earlier, someone\nwas kidding me about the menu. / He said the good news was that\nflavoring had been added to the vegemite to make it more\nappealing to Americans. / He said the bad news was that the\nflavoring was broccoli. )) //\nTen years ago this May I first visited Australia to mark\nX X XX X\n\"hristobel\nthe fortieth anniversary of the Battle of the Coral Sea. Last\nJune, former-Prime Minister Hawke made his fifth visit to\nWashington, where we met in the Oval Office. / \"What we want,\"\n2\nhe has said, \"is not going to fall into our lap... The\nobligation is to work together to get it. \" //\nI am here to talk of that work -- and how, together,\nAustralia and America can help to build a better world. We will\nbuild it through liberty, and opportunity -- and through trade\nthat is both free and fair. // We will build it by using our\ncommon culture and heritage, language and principles to promote\nprosperity at home and democracy abroad. //\nThis morning, I visited the Australian War Memorial, where\nthe power of this alliance -- in Lincoln's words \"crowded upon\nmy mind.\nIt evoke the memoiles af those\nwhile Astea\nWorld Wars I and II, Korea, Viet Nam, and xt the Persian Gulf --\nThere lie the X heroes who stood with America in\n/christobel\nChristobel\nheroes who fought together to defend our ideals. // Our task now\nis to join together to create a world where the force of law\noutlasts the use of force. //\nWe term this the New World Order -- a world of peace and\nhuman dignity. Its triumph is inevitable -- but only if\ndemocracies are resolute. // Globally, you have encouraged this\nby supporting a more engaged United Nations. Nearby, you helped\nshape the framework for the Cambodia peace settlement agreed to\nby warring factions -- and I assure you: Here, too, America is\nyour partner. We will not abandon the search for stability in\nthis region. //\n( (More than 150 years ago, President Andrew Jackson\nappointed J.H. Williams as the first American Consul here.\nArriving from Boston, Williams was greeted by a newspaper\n3\narticle: \"We welcome his arrival \" read the Australian paper,\n\"as a pledge of increasing intimacy between the two countries,\nfrom which mutual advantages may be expected to flow.\nIn the Persian Gulf conflict, those advantages served a\ncause both right, and true. // You were quick to condemn the\nIraqi invasion / to endorse economic sanctions / and to send\nships to engage in the multi-national coalition. I thank you for\nalso sending medical teams and humanitarian relief to Kurds and\nIraqis fleeing Saddam's oppression. // Australia stood fast so\nthat decency could stand tall. This is no surprise. I remember\nhow, in 1984, you acted with equal dispatch to achieve the common\ngood. What you helped create -- the \"Australia Group\" -- today\nhas twenty-two member nations: each dedicated to preventing the\nuse and spread of chemical and biological weapons.\nAustralia believes that multilateral solutions can solve\nglobal problems. So do I. // Fifty years ago, we found that\nwhat happened in Europe and Asia could not be divorced from\nAmerica. Political isolationism doesn't work. // We must now\nrecall that lesson -- but this time in peace, not in war. // The X\nChristobel\nAustralian statesman, Alfred Deakin, once said, \"Next XXXX to our own\nnation we place our kindred in America. He knew that we are all\nmembers of the world community. // So we need to strengthen our\nalready steadfast commitment to Asia and the Pacific region --\nincreasing democracy, free expression, and, yes, free markets. //\nIn 1990\nAlready, the two-way trade between this region and XXX the U.S.\n1990\nElaine Brown\nX\ntotals over $300 billion. // I say: We can, and must, expand it.\nUSTR33\n4\n( (You know, we have to think of free trade like Australia\nand that other Nation, my native Texas. // They show us how to\nthink big. // For instance, I'm impressed that the flag of\nAustralia is the only one to fly over a whole continent. // I'm\neven more struck by the fact that Australia has more sheep than\npeople. That's impressive -- but Washington has more lawyers\nthan you have sheep.) ) //\nIn America, one-third of our GDP growth between 1986 and\n1990 flowed from merchandise exports. To increase that growth\n-- which means more jobs -- we need the cooperation that is a\ncornerstone of the New World Order: The cooperation that will\nincrease free trade / open markets / and ensure jobs. // On the\nother hand, we must reject the economic isolationism that's been\ntried before -- and found wanting: The protectionism that will\nclose markets / ensure poverty / and cost jobs. // We can't go\ndown that dead-end street again, and won't: Not as long as I am\nPresident. / /\nIn 1990, free trade helped our merchandise exports to\nEconomisa\nAustralia total $8.5 billion -- up nearly $200 million from 1989.\nAus.\nI commend your policies to foster greater openness and\ncompetitiveness in the economy. You xxx eliminated most import\nX\nquotas, X cut domestic subsidies and tariffs. // I also\napplaud your efforts to strengthen the international economic\nState\nsystem spurring a regional effort to promote freer trade by\nerasing trade barriers.\n5\nNone of this has come easily -- but thanks to you, it's\ncome steadily. // I can sum up this trip's purpose in three\nwords: Jobs, jobs, jobs. So I am grateful that several years\nago, Australia helped create the Asia-Pacific Economic\nCooperation (APEC), a key economic forum. Since APEC's first\nministerial meeting in Canberra 2 years ago, it has mobilized the\nsupport of all fifteen participants to push for progress in the\nGATT Uruguay Round. / APEC members want to find ways to achieve\nsustainable growth, increase employment, and preserve the\nenvironment. So do we. We want the jobs that stem from economic\ncooperation among Pacific Rim market economies, including the\nUnited States. // Just as we need your help, so I pledge ours.\nIt is true our two Nations generally agree on goals. It is\nalso true that we sometimes differ on means. // One difference\nis our use of the Export Enhancement Program (EEP) to counter the\nagricultural subsidies of the European Community. Let me be\nclear: I don't favor subsidy programs. They burden the taxpayer\n/ reduce the benefits of free trade / and make industry less\ncompetitive. / In the long run, they stifle growth and cost jobs.\nI know negotiations on this issue will be difficult. Yet\nlet us show how the \"Texas Two-Step\" can meet \"Waltzing Matilda. \"\nChristobel\n// Recently, in an effort to defuse EEP tensions, an Australian\ndelegation visited our Department of Agriculture. We heard your\nperspective on the current world market situation, and your plea\nfor sensitivity to Australian trade. / Australian officials have\nexpressed interest in holding follow-up talks early this year. I\n6\nhope that the long-term gain for Americans and Australians from a\nsuccessful Uruguay Round will outweigh the short-term pain. //\nI have agreed to greater bilateral dialogue on this and\nother economic issues. We will seek understanding in the future\nas in the past. // We can be proud of working together over the\nlast five decades. Yet a record is not something to stand upon.\nA record is something to build upon. //\nWe must expand our bilateral relationship in ways which\nbenefit our countries. // We both breathe the same air. So last\nApril, we agreed to pursue energy policies which will increase\nexports while preserving our environment. // We know that\nwe will be launching\neducation is our most enduring legacy.\nSo yesterday we launched\nthe Australian Center for American Studies.\nThis new center will\nexpand bilateral links by developing programs of value to\nbusiness, education, and the universities. / We hope this center\nwill cause future generations to say of America and Australia, in\nthe words of a great hymn: \"Blest be the ties that bind.' \" //\nThese ties are economic, military, social, cultural. They\nrest on shared values -- love of family, faith in God, pride in\ncountry, love of the unknown. // The first pictures of Neil\nArmstrong's adventure on the moon were beamed from Australia's\nradio telescope at Parkes to a waiting world. Later, Apollo XV\nwas named \"Endeavour\" after Captain Cook's ship -- in the hope of\nmany future endeavors between our two Nations.\nThis new year, let's look forward to our next century\ntogether. Let's expand the bonds of friendship for ourselves,\n7\nand our children. / Let's help them meet the challenges of their\ntime, as we have met ours: Building the peace / creating\nopportunity / increasing the benefit of God's bounty for all.\nThank you very much, and may God bless the people of this great\nland -- Australia.\n# # #\nOctober 30, 1991\nMEMORANDUM FOR SPEECHWRITERS\nRESEARCHERS\nFROM:\nJENNIFER GROSSMAN\nSUBJECT:\nASIA PRE-ADVANCE RESEARCH\nJAPAN\nSCHEDULE\nFRIDAY:\n--arrival ceremony with Emperor (open press, troop\nreview), then courtesy call on Emperor at Imperial\nPalace\n-meeting with Prime Minister Miyazawa at Akasaka\nPalace\n-Imperial Banquet, Imperial Palace, after dinner toast\nSATURDAY:\n-tennis and breakfast with the Emperor\n-visit Mita Senior High School (visit geography lab,\nthen nationally televised 5 min. remarks followed by\nQ&A with students from around the world).\nmajor speech at Japanese Diet, lower house. 15-20\nminutes, focusing on the responsibilities of\ninterdependence, and maybe Japan's role in NWO.\nbrief remarks at Kodak R&D plant in Yokohama. First,\nlunch with U.S. business leaders, Visit Kodak\nLaboratory, then address to U.S. business leaders and\nKodak staff.\n--one on one meeting with PM, then expanded bilaterals,\nthen joint press statement\nwelcoming reception at Hotel New Otani with brief\nremarks to 2000 -- a kind of welcoming committee of\nbusiness leaders, politicoes, etc. Tone should be real\nupbeat.\nDinner with PM at PM's residence, after dinner toast\nSUNDAY:\nprivate breakfast\nEmperor makes goodbye call to POTUS\nattend church (maybe)\nEmbassy greetings\nAF1 to Kyoto, accompanied by PM\nwalking tour of Imperial Palace\nlunch with PM at Omiya Palace, (Secretary Alexander\nmay simultaneously lunch with Stanford students and\nJET, Japan English Teaching Program, teachers).\nWalking tour of Omiya gardens. Brief remarks to\nAmerican and Japanese students.\nmay visit Nijo Castle\nJAPAN\nPOLICY THEMES\nTorkel Patterson of the NSC has advised me that while the\nmain focus of the President's trip here will obviously be on\ntrade issues, there will be a strong effort to tie in American\ndomestic concerns wherever possible. The context: the global\nneighborhood; interdependence in communication/technology\nrevolutionized, politically post-modern (Pinkerton) new world\norder.\nTwo challenges. One: selling a responsible trade policy\ntoward Japan back home, when the protectionist/isolationist\nharangues from the right and left offer such politically\nhysterical appeal. Two: eliciting concessions and continued\nprogress from the Japanese at a time when tolerance for continued\nAmerican Japan-bashing is reaching its limits.\nA couple of notes on first challenge. Japanese buy more per\ncapita from America than Americans buy per capita from Japan (the\n\"trade deficit\" as commonly heralded fails to account for\npopulation ration, i.e. far greater U.S. pop than Japan pop).\nThe Japanese buy more from the United States than they buy from\nthe U.K., France, and Italy combined.\nWhen addressing trade issues with the Japanese we might\nstress \"the opportunities and responsibilities of\ninterdependence.\" We want to challenge Japan to have the most\nopen market by the year 2000. (Incidentally, in technical terms,\ntariff barriers for instance, Japan's market is more open than\nours. Impenetrability more often comes from hidden barriers ---\nlike regulation size paper or car manufacturing standards -- and\non Japanese consumer preferences for the familiar.) Anecdote:\nJapan used to exclude American baseball bats because they didn't\ncarry the right seal, a seal only available to Japanese firms.\nEncouraging continued Japanese progress on rectifying\nenvironmental abuses: While industrializing, Japan was one of\nthe worst environmental offenders internationally. Since then,\nthey have made great strides in cleaning up their act. For\ninstance, all their taxicabs run on natural gas. While the\nJapanese are generally willing to move forward on environmental\nissues, intransigence stems from anxiety over \"keeping your rice\nbowl filled, i.e. concern over loss of jobs in professions with\nincidental abuse (e.g. fishermen, tortoise shell craftsmen). The\nJapanese usually ask for \"transition time\" to retrain, relocate\nthose put out of work by conservation measures, while we want\nchange \"now. \"\nTOKYO SITES\n1)\nImperial Palace: I was unable to go on this walk-through\nbut here's what I gather from other sources. The imperial\nbanquet will be held in a room called Homei-Den Hall. From\npostcards, it looks kind of like a hotel ballroom, with some\nkind of abstract Japanese painting of clouds on the wall.\nThis, apparently, is the way much of the palace looks. The\npalace is actually only about 20 years old. The initial\ngreeting will take place in the Asahi-no-ma, or \"Room of the\nRising Sun.\"\nWe had bombed the original Imperial Palace in World War\nII; it was rebuilt in '69. The palace surrounds a huge\ncourtyard. The overriding characteristic of the place is a\nvast emptiness -- large rectangular rooms with little or no\nfurniture, walls with sliding panels. The dining room table\nwill be a big U-shaped deal.\n2)\nMita Senior High School: President will tour a couple of\nclassrooms, go to larger room with Mita students where he\nwill deliver brief remarks nationally televised. Then he\nwill field questions from students around the country via a\nsatellite hook-up. FYI: There's a concern that Japanese\nstudents, generally not encouraged to participate or ask\nquestions in class, will be so awed by presidential presence\nthat they'l simply clam up. Perhaps there's some way\n(joke? comparison to American students?) that we can\nsensitively circumvent such a scenario.\nSchool itself not much different looking from American\nhigh schools. 1,100 students. Was founded as a public\ngirls' school in 1923. Became coed in 1950, renamed Tokyo\nPublic Mita Senior High School. In 1977, Mita opened a\nclass for students returning from abroad. On a couple of\nbulletin boards I saw improvised scrawled student demands\nmanifestos, requesting more interesting classes, more\nunderstanding teachers, etc. These were the work of such\nreturning students, who are generally more outspoken and\nparticipatory than their colleagues.\nWhile part of our purpose is to show admiration for\nJapanese academic excellence, it's ironic that the Japanese\nthemselves are quite critical of their own system. They in\nturn look to our institutions for inspiration. The Japanese\ncriticize their schools for their emphasis on rote\nmemorization, aversion to innovation, and lack of\nencouragement for independent, critical analysis by their\nstudents. Recently they even passed legislation to stop\nSaturday schooling.\nI suggest we deal with this by stressing a theme of \"we\nhave so much to learn from each other,\" rather than, \"we\nhave so much to learn from you. Moreover, we can touch on\nseveral non-school factors that account for Japanese\nacademic excellence -- strong family support, recognition of\nthe link between learning and success, early engendered work\nethic, etc.\n3)\nJapanese Diet, lower house: parliamentary amphitheater\nstyle hall with large balcony. Rich wood detailing and\ncarving. POTUS to address reps from podium. 500 Diet\nmembers. See pictures. In the entrance hall/lobby, there\nare four pedestals in each corner. Three support statues of\ngreat Japanese statesmen/historical figures, the fourth is\nleft empty as a symbol of hope, i.e. looking forward to the\ngreat statesmen to come.\n4)\nKodak, Yokahama: POTUS will see several gee-whiz high tech\ndevelopments in progress, like a super high definition TV.\nBrief remarks to Kodak staff. Kudos; America can compete;\nappreciation for their hard work and investment; POTUS is\ntaking steps to improve America's competitiveness.\n5)\nPrime Minister's residence: unable to go on walkthrough.\nCONTACTS: -Blair Hall of AmEmbTokyo, (03) 3224-5336\n--Hiroshi Furusana, MOFA 3581-3802\nKYOTO SITES\n1)\nKyoto Imperial Palace (FYI, I don't think there are any\nremarks) : Originally built as the Emperor's second palace,\nKyoto Imperial Palace was used as the Imperial Palace from\n1331-1867 after the original main palace burnt down. The\nImperial Throne and the August Seat of the Empress, still\nused for coronations, are located here. Each rests on a\nplatform, and is covered with an octagonal canopy, decorated\nwith a large phoenix and eight small phoenixes.\nThe last \"Ceremony of the Enthronement of His Majesty\nthe Emperor at the Seiden\" took place in the Imperial Palace\non November 12, 1990\n2)\nOmiya Palace: remarks to students should focus on building\nbridges between our two countries through education, facing\nthe future together. See proverbs.\nSome of the students are with the Stanford Japan\nCenter, established by Stanford University, \"for the purpose\nof educating future generations of Americans about Japan.\nThe Center also will provide an institutional link between\nAmerican and Japanese research in science, technology, and\nsocial science with the aim of opening up crucial channels\nof information and by embarking on new cooperative\ninitiatives in research between the two nations.\"\n2)\nNijo Castle (again, no remarks) : The castle was originally\nbuilt in 1603 to be the official Kyoto residence of the\nfirst Tokugawa Shogun Ieyasu, and it was completed in 1626\nby the third Shogun Iemitsu. The lavishly decorated castle\nstands as a symbol of the power of the Tokugawa military\ngovernment. It contains the famous \"Nightingale Corridor,\"\nwhose floors are designed to creak with birdlike noises when\ntread upon, thus foreboding an enemy approach.\nJAPANESE COLOR:\n1)\nFinding humor is difficult. Most people I've spoken to say\nthat the Japanese aren't big on jokes, humor. Moreover,\nthey will not know to laugh if POTUS tells a joke.\n2)\nThe \"Japan Series\" (similar to our 'world series') in\nbaseball has just started. This years favorites are the\nHiroshima Carp and the Seibu Lions.\n3)\nSumo wrestling is Japan's national sport. Recently an\nexhibition tournament was held in London. Two very popular\nwrestlers are a pair of American brothers from Hawaii --\nKonishiki, who's the biggest Sumo wrestler (600 lbs), and\nAke Bono, who's the tallest. Who knows, maybe we could make\na joke about \"gross national products\" to an American\naudience -- large American exports.\n4)\nAmerican movies, rock, and rap music are very popular.\nDisneyland opened in Japan 6 years ago; Japanese love Mickey\nMouse.\n5)\nKaraoke is a popular Japanese social activity. Literally\nmeaning \"empty orchestra,\" karaoke bars play music without\nlyrics so that the patrons can star on vocals. Maybe\nthere's a joke about Barbara wanting to go Karaoke.\n6)\nWomen control the finances in Japanese families -- when to\nbuy the car, when to invest, etc. The husband often asks\nhis wife for money for his expenses; this allowance is\ncalled \"Kozu Kai.\" Maybe POTUS can say, \"I wanted to buy\nsome souvenirs, but Barbara cut my kozu kai.\"\n7)\nof all their qualities, Japanese are proudest of their\nperseverance, endurance, called \"gamman.\" They rate harmony\nas highest on their scale of social values.\n8)\nRelevant to Omiya in Kyoto: a handbook called A Look into\nJapan tells us \"The Japanese garden is designed to be a\nfaithful representation of nature and to impart a sense of\nsimple, unspoiled beauty.\"\n9)\nDecember 23 is the Emperor's birthday.\n10) The speechwriting god (Curt, sit down) : Benten, one of the\nseven deities of good fortune, is the goddess of eloquence,\nmusic and wisdom.\n11)\n\"Banzai,\" literally meaning 'ten thousand years, is the\nJapanese equivalent of 'three cheers.' It's usually\nexpressed at the high point or end of a celebration.\n12) Japanese proverbs:\n\"The past is not to be blamed.\" (Ki-o wa togamezu) English\nparallel would be: \"let bygones be bygones.\"\n\"The lantern-bearer should go ahead.\" (Chochin-mochi wa saki\nni tate) Meaning, he who bears the light, whether material,\nintellectual, or spiritual, should lead the way.\n\"A treasure decaying in one's hands.' (Takara no mochi-\nkusare) Meaning, those with talent or money should but them\nto good use, or else they will rot away.\n\"To the upper hand there is an upper hand.' (Uwate ni wa\nuwate ari). In other words, everyone has to answer to\nsomeone. Maybe there's a first lady joke in here.\n\"Seven falls and eight rises. (Nana-korobi-ya-oki)\nPerseverance will win in the end.\n\"There are no national frontiers to learning.\" (Gakumon ni\nkokkyo nashi) i.e. scholarship knows no boundaries.\n\"To study penmanship at eighty.\" (Hachiju no te-narai)\nMeaning, it's never too late to learn. Could apply to\nlifelong learning, or joke on POTUS computer lessons.\n\"Books are preserved minds.\" (Shomotsu wa hozon-sareta\nkokoro nari) Reminiscent of Highet quote, 'Books aren't\nlifeless lumps of paper, but minds alive on a shelf.'\nKOREA\nPOLICY THEMES\nKorea wants to have its cake and eat it too. On one hand,\nit wants to have a close relationship with U.S., play the big\nleague with the big boys. On the other hand, it claims the\nfragility of a developing economy to justify protectionist\npolicies. We think they're strong enough to forgo such a\nhandicap, with ultimately hampers true growth on both sides.\n(Note: GB visited Korea after he went to Hirohito's funeral)\nPolitics: Korea only recently became democratized. We want\nto encourage democracy, praise them for ongoing efforts and\nprogress in that direction.\n(War) Heads up: North Korea is developing a nuclear weapon.\nThere are fears of his becoming the region's Saddam Hussein.\nThis issue requires some delicacy because a) we support\nreunification and b) South Koreans regard their northern\nneighbors as brethren. Kim Il Sung, the 82 year old \"Great\nLeader\" of North Korea, will pass the reigns to his son, Kim Jung\nIl, widely regarded as less than competent. Fears of a military\ncoup against the latter complicate the situation.\nPOTUS SCHEDULE\nSUNDAY:\n--AF1 to Korea for 3:30 arrival\nwreath laying ceremony at National Cemetery, no\nremarks\n--American community greetings at Collier Field House\n--private dinner with President Roh at the Blue House\nMONDAY:\n-breakfast with US and Korean business community at\nHotel Shilla, 5-10 min. remarks (themes similar to\nKodak speech: U.S. can compete, we're working together\nto expand trade, importance of GATT\n--Arrival ceremony at Blue House\n--one on one with President Roh, expanded bilaterals,\njoint press statement at Blue House\n--State Luncheon at Blue House hosted by Korean\nPresident, after lunch toast\n-Address to the National Assembly, 15 minutes\n-travel to Camp Casey, press the flesh with American\nsoldiers, 5 min. remarks. Jovial, what a great job\nyou're doing, last of the front lines type speech.\nAcknowledge difficulty of 1 year unaccompanied tour\nSITES\n1)\nBlue House: not on walkthrough, but the scoop as far as I\nknow is that the Blue House is the official residence of the\nPresident of ROK. The Blue House was constructed in 1927 as\nthe Japanese government's residence for its Governor-\nGeneral. It occupies the grounds of the Yi-Koong palace of\nthe Koryo Dynasty.\nIn '48, when ROK was established, the building was\ndesignated the Presidential Residence. After the student\nrevolution of 1960, it was renamed Chong Wa Dae (Blue Tile\nHouse), a name derived from its unique blue roof tiles.\n2)\nNational Assembly: not on walkthrough, but apparently it's\nyour usual, rococo, elaborate parliamentary style. I'm told\nthere's a large symbol behind where POTUS will be standing:\nthe Flower of Eternal Life framing a Korean character.\nThe Assembly building is located on Yoido, a large\nisland on the Han River. Completed in 1975, it houses\noffices, meeting rooms, and the Assembly's library. The\ncurrent National Assembly is composed of 299 members from\ntwo political parties. It is the thirteenth National\nAssembly since the founding of the Republic in 1948. The\nAssembly Speaker is Park, Jyun Kyu.\n3)\nCamp Casey: not on walkthrough, but this base houses U.S.\nservicemen on a one-year unaccompanied tour. Their duty is\nan uneasy vigil at one of the world's last front lines.\nPart of their work is to patrol the DMZ (demilitarized zone)\noften camping out in no man's land.\nWhile we honor the returning heroes of Desert Storm, we\nshould remember also courage and commitment of our men in\nKorea -- whose courage and commitment often go\nunacknowledged. POTUS should recognize the difficulty of a\none year unaccompanied tour; Camp Casey is what is commonly\nreferred to as a \"hardship post. \"\nCONTACTS: --AmEmbSeoul, 82-2-732-2106\nCOLOR\n1)\nKoreans, I'm told, like the Japanese, would have trouble\nknowing how to respond to a joke by POTUS. One way,\nhowever, to break the ice and establish rapport, would be to\nmention family --- his family, the American family, family\nvalues, whatever.\n2)\nPOTUS was here in '89, and also in '82 as vice president.\nSINGAPORE\nPOLICY THEMES\nSingapore is the only ASEAN country we'll visit -- therefore\nwe'll want to touch on issues common to those countries. (ASEAN\nis made up of Singapore, Malaysia, Indonesia, Brunei, and the\nPhillippines.) Singapore is our strongest ally in the region.\nSingaporeans welcome us as a balance to Japanese investment.\nThey have a longstanding fear that Japan eyes them with military\ninterest.\nWe'll want to talk about South East Asia and Cambodia,\nsetting the stage for future dealings with Viet Nam. Instability\nin the region: Thailand just had a coup, Burma has a\ndictatorship. Cambodia, however, is soon to have UN sanctioned\nelections. Ultimately, we'll want to resolve the POW/MIA\nquestion -- an issue some unscrupulous people in the are have\nexploited for profit. Resolution will require that Viet Nam be\ncompletely open so we can scrutinize all the records. Until we\nget to the bottom of POW/MIA, we can't really say that Viet Nam\nis truly over.\nI believe there are also some human rights concerns in\nSingapore itself.\nPOTUS SCHEDULE\nMONDAY:\n--AF1 to Singapore\nTUESDAY: --Breakfast meeting at Raffles with U.S. ambassadors to\nASEAN countries, no formal remarks\n--Arrival ceremony at Istana Palace\nPOTUS makes courtesy call on President and Mrs. Wee\nKim Wee at the Istana Palace\n--meeting with Prime Minister Goh Chok Tong, then\nexpanded bilaterals\n--15 min. speech at lecture series to the\nSingapore/American Business community, held in Westin\nHotel (Security and Trade: U.S. engagement in the\nPeter PUSTR Collins\nregion; importance of working together towards the\nx3430\nfuture)\n-Business Roundtable meeting at Hewlett-Packard, no\nformal remarks\n-groundbreaking ceremony for new American Chancery,\nembassy greetings type remarks\ncourtesy call on Senior Minister Lee Kuan Yew.\nState Dinner at Istana Palace hosted by President Wee\nKim Wee, after dinner toast\nWEDNESDAY: view static display at Changi airport\nAF1 to Australia\nSITES\n1)\nRaffles Hotel (just FYI, no formal remarks planned at this\npoint). Wrote Rudyard Kipling, \"Feed at Raffles when\nvisiting Singapore.\" Established in 1887, the hotel\nsymbolizes the exotic charm and colonial nostalgia often\nassociated with the area. The hotel was named after Sir\nStamford Raffles, founder of modern Singapore in 1819.\nCelebs who added their aura to Raffles': Joseph Conrad,\nCharlie Chaplin, Douglas Fairbanks, Somerset Maugham, Nowel\nCoward, and sundry sultans, kings, and politicians. Raffles\nembodied colonial high life: tea-dances, Charleston, jazz\nbands, and billiards. Raffles is the birthplace of the\nSingapore Sling. In 1902, the last tiger to be shot in\nSingapore was pursued in Raffles, and finally dispatched\nunder the Bar & Billiard Room.\nThe hotel was declared a protected monument in 1987.\n2)\nWestin Hotel: the hotel is supposedly the tallest hotel in\nthe world. The lecture series in which the President takes\npart is designed to give political, academic, and financial\neminentoes the opportunity to visit Singapore and mouth off.\nSingapore gets to bask in their wisdom.\nThe series, inaugurated in 1980, is organized by the\nInstitute of Southeast Asian Studies. Previous speakers\ninclude Henry Kissinger, Milton Friedman, Brian Mulroney,\nRaymond Barre, and Giscard D'Estang. 1,500-2,000 will\nattend speech.\n3)\nGroundbreaking ceremony for new American Chancery: this\nevent will basically take the place of Embassy\nGreetings/American community remarks. Projected completion\nfor new embassy is 1995-6. 150-200 embassy staff, loads of\nSingaporean schoolchildren. 2,000 guests in all. Site is\nbasically just a hill. Use your imagination. Building\nmetaphors applied to broader scope of U.S.-Singapore\nrelations might be appropriate.\nThe U.S. Ambassador in Singapore is Robert Orr. DCM is\nArthur Kobler.\n4)\nIstana Palace: previously called Government House, the\nIstana was built in 1869 to house the British Governor of\nLOC.\nSingapore. The grounds had been the nutmeg estate of\nCharles Robert Princep. A statue of Queen Victoria was\ninstalled in the drawing room to mark her jubilee in 1889.\nQueen Elizabeth and the Duke of Edinburgh stayed there in\nFebruary 1972. The edifice itself looks like a cross\nbetween a mini-Versailles and a southern plantation.\nAdorning the entry foyer are a matching set of tusks\npresented by the Sultan of Singapore to the British\ngovernment.\nThe staff of the President, the Cabinet Office, and a\nsection of the Prime Minister's office work at the Istana.\nCONTACTS: --DCM, AmEmbSingapore, Arthur Kobler, 338-0251, ext.\n217\n--USIS, Dennis Donahue, 244-5233\nCOLOR\n1)\nSingapore is a country of many races, languages and\ncultures. The population is made up of Chinese, Malays,\nIndians and Eurasians. Harmonious multiculturalism. One\noften hears the phrase, \"many races, one people.\" Maybe we\ncan make some \"E Pluribus Unum\" connection.\n2)\nThe first American consul in Singapore, Joseph Balestier,\ncame to the area in 1834 and took up his post in 1837 --\ninaugurating 154 years of diplomatic relations. His wife,\nMaria Revere Balestier, was the daughter of Paul Revere.\nBalestier's memory lives on in a bell, now in\nSingapore's National Museum, cast in Boston's Revere Works.\nMrs. Balestier, presented the bell to the original Church of\nSt. Andrew.\n3)\nAmerican Embassy Singapore suggests a Pearl Harbor footnote\nto our Singapore stop: POTUS will be at Pearl Harbor on\nSaturday, commemorating the 50th anniversary of the Japanese\nattack, and honoring the resultant 2,400 Americans dead or\nmissing. We might also remember that on the same day, but\non Singapore's side of the international dateline, the war\nbegan for the Philippines, for Thailand, for Malaysia, and\nfor Singapore. Bombers appeared over Clark Field and over\nSingapore. Ground troops landed at Songkhla and Pattani\n(Thailand) and at Kota Baharu (Malaya). Singapore did not\nthen have an army (British and Australian forces were\nthere) ; Singaporeans who were either killed or injured were\ncivilians.\n4)\nSingaporean suffrage is universal and compulsory.\n5)\nOrchids are a major Singaporean product (and they're\nbeautiful).\n6)\nWhile there is no compulsory education in Singapore,\nattendance is 94% and the literacy rate is over 87%.\n7)\nPOTUS and FLOTUS visited Singapore when Bush was Vice\nPresident.\n8)\nWhen the President called Orr to offer him the\nambassadorship, one of his selling points was to tell the\nfuture ambassador how comfy the Residence is. (Orr was\npreviously Governor of Indiana).\n9)\nQuayle was here on May 22.\n10) The origin of the name \"Singapore\" comes from the 13th\ncentury's appellation of \"Singapura,\" meaning \"Lion City.\"\nAUSTRALIA\nPOLICY THEMES\nThe last President to go down under was LBJ, 21 years ago.\nAustralia feels left out. They've been a strong ally -- there in\nWWII, there in Nam, there in the Gulf. The Australians have been\nvery grateful to us for saving them from the Japanese in WWII.\nBut those warm feelings are now being tried by their anger over\ntrade policies (agricultural subsidies).\nOops on EEPS: Our Economic Enhancement Programs (an American\ndomestic subsidy so that we can export our products abroad at a\nlower price) and the EC's strict protectionist policies have left\nAussies demonstrably furious -- riots, strikes. Need some\nstroking action. POTUS needs to show himself as a champion of\nfree trade, \"that's why the Uruguay round is so important,\" blah,\nblah. Hopefully we'll have GATT progress we can highlight by\nthat time.\nGenerally, stress \"harmony/kinship with the Australians.\"\nCANBERRA\nPOTUS SCHEDULE\nWED. DEC 4:\n--arrival ceremony\nTHUR., DEC 5:\n--Embassy greetings, hosted at Ambassador\nSembler's residence\n--luncheon hosted by Prime Minister in Australian\nParliament Building's Great Hall. Toasts after\nlunch; PM's toast/speech will be 5-10 mins., intro\nPOTUS for 3-5 mins. (may have to stretch if PM's\nspeech is longer).\n--15-20 min. remarks to Australian Parliament\n--meeting with Australian academic community;\ntalking points (don't know if we're responsible)\n--Australian War Memorial\n--Governor General Hayden's State Dinner at the\nGovernment House\n--RON Canberra\nSITES\n1)\nEmbassy Greetings: The Ambassador's Residence is 50 years\nold, as are formal Australian-American diplomatic relations.\nThe ground lease for the mansion was signed while the\nJapanese were bombing Australia. The house was built during\nthe war, and completed in 1943. Mrs. Roosevelt had a\npersonal interest here, and came out after the building's\ncompletion to plant a tree.\nThe current Ambassador to Australia is Mr. Mel Sembler.\nAmbassador and Mrs. Sembler are from Treasure Island,\nFlorida. In addition to the Embassy in Canberra, the U.S.\nhas three Consulates General in Australia -- one in Sydney,\nMelbourne and Perth -- and a Consulate in Brisbane. There\nis also a Consular Agent in Adelaide.\n2)\nAddress to Australian Parliament:\nThe building itself is a striking postmodern palace,\ndesigned by Roman Giurgola, and completed for the Australian\nBicentennial in 1988. The structure incorporates many\nsymbolic features which strive to reflect certain Australian\nvalues, and resonate with Australian history, geography, and\nculture.\nFor instance, on one side the earth, rather than\nmeeting the building at a right angle, runs gradually from a\ndistance and at an angle right up to the buildings peak\nflagpole. This design twist represents the accessibility\nand accountability of Australian government -- that the\ngovernment are subservient to those they serve.\nAnother example: in the forecourt of the Parliament,\nalong the walkway POTUS will follow, is a mandelic mosaic\ndesign called \"Meeting Place\" which represents a meeting\nplace for all races and cultures. The work also celebrates\nAustralia's earliest settlers, so it is appropriate that an\nAboriginal artist, Michael Nelson Tjakamara, was asked to\ncreate the centerpiece. It's pointillist strokes are\nreminiscent of his tribes sand paintings.\nAlso neat: one of the original copies of the Magna\nCarta is housed in the Parliament building.\nPOTUS will be greeted by the PM, walk up to the mosaic\nin the middle, walk over and shake some Australian hands.\nHe then goes to lunch (check) in the Great Hall with the\nugly tapestry.\nParliament speech: POTUS starts out, \"Thank you, Mr.\nSpeaker.\" (Speaker is Leo McLeay. Speech is not\nteleprompted. House of Representatives: amphitheater-\nlike, modern, bathroom-tile-green. NOTE: this will be the\nfirst time a foreign head of state has addressed a joint\nsession of parliament -- ever (POTUS should stress what a\ngreat honor it is).\nVERY IMPORTANT: We were going to do an event with the\nAustralia/USA Parliamentary Group which has now been cut --\nso a specific reference should be included as to who they\nare, what they do, kudos. The group is not a standing\ncommittee or anything like that, just an association of\nupper and lower house parliamentarians working to promote\nUS-Australian friendship ties. The group was formed under\nthe auspices of the Inter-Parliamentary Union, Australian\nNational Group in May '88. The bipartisan group is the most\nactive of all Parliamentary Friendship groups. For more\ninfo, contact: Nonda on MP Eamon Lindsay's staff at 077-\n724844.\n3)\nAustralian War Memorial: (No remarks, just FYI) Built\nroughly in the shape of a Byzantine church, the memorial is\nthe most popular tourist attraction in the nation's capital.\nEvent will take place in the rectangular, central\ncourtyard, which includes a commemorative stone, a pool of\nreflection, the Eternal Flame, a commemorative area, and\nthen, enclosed, the Hall of Memory. The dome inside the\nHall bears a radial pattern which represents the spirits of\nthe war dead rising towards the central circle (heaven).\nThe memorial also contains a museum, whose galleries\nevoke and explain the Australian experience of war.\nAustralians in combat: New Zealand (1860), Sudan (1885),\nSouth Africa (1899-1902), China (1900-01), WW1 (1914-18),\nWWII (1939-45), Korea (1950-53), Malaya (1950-60), Malaysia\n(1963-66), Vietnam (1962-72), Persian Gulf (1991) -- we\nmight remember that the Aussies responded immediately in the\nGulf, needing no prompting.\nPlaque in memorial reads: \"The Australian War Memorial\ncommemorates those 100,000 Australians who have died in war\nand recalls the service and sacrifice of all Australians in\nwartime.\" Also, museum holds a mini-copy of Eugeni\nVouchetich's famous statue, \"Beat the swords into\nploughshares.\" NOTE: Australian repatriation hospitals are\nstill treating men wounded in WWI. 496 Australians died in\nViet Nam; 2,398 were wounded.\n4)\n(no remarks, just FYI) After dinner, when POTUS toasts, the\nonly thing he says is: \"Ladies and Gentlemen, Her Majesty\nthe Queen of Australia,\" in response to the Governor\nGeneral's \"Ladies and Gentlemen, the President of the United\nStates of America.\" Hayden is Queen Elizabeth's\nrepresentative; there is a such a representative in each of\nthe 6 Australian states (Australia is a commonwealth).\nGovernor Generals are Australian citizens; their posts are\npurely ceremonial. Hayden is Australia's former Foreign\nMinister.\nThe Government House is an old cattle \"station,\" or\nproperty. It is a simple, classical mansion on the rim of\nLake Burley Griffin.\nCONTACTS: Lew Luchs, Media Counsellor, AmEmbCanberra, 270-5872\n--Ray Burson, USIS, (062) 705966\n-Marilyn Meyers, DCM, 270-5000\n-AmEmbCanberra, after hours, 270-5900\nSYDNEY\nPOTUS SCHEDULE\nFRIDAY (DEC. 6th) :\n--noon arrival at Sydney airport (QANTAS Jet Base)\n--Sydney Convention and Exhibition Centre: 12:30-12:45\npre-lunch reception with South Wales Premier Grenier's\n50 guests, 1:00 p.m. State Luncheon with remarks after\nremarks and intro by Premier, 15-20 mins., 1,000 guests\n--post-lunch reception with Australian American Coral\nSea Commemorative Council\n--visit Australian National Maritime Museum, visit\nAmerican Gallery, brief remarks in dedication of\nmuseum.\n--harbor cruise on John Cadman III to Sydney Opera\nHouse\n--press conference at Sydney Opera House\n--over to Kirribilli House for dinner?\n-RON Sydney\nSITES\n1)\nState Luncheon at Convention Centre: Both anthems played,\ngrace said, lunch served. After lunch, Premier Grenier\nspeaks then intros POTUS. Audience will be a cross-section\nof the New South Wales Community. Centre is beautiful, yet\nmodern and antiseptic. Themes focus on our trade, joint\nlongterm commitments, the global marketplace, the coming\ncentury, thread of education, etc.\nIf we touch on Asian topics, we might note that, for\nmore than a year, Australia has taken a leading role in\nseeking a comprehensive solution to the Cambodian conflict\nunder UN auspices.\n2)\nAustralian National Maritime Museum: Present are Prime\nMinister and Mrs. Hawke, Chairman and Mrs. Doyle, Premier\nand Mrs. Grenier, Ambassador and Mrs. Sembler. The event\nserves as the official opening and USA Gallery Dedication.\n2-3 min. remarks required, after brief remarks by Prime\nMinister.\nThe building occupies a waterfront site on an arm of\nSydney Harbor, described by Mark Twain as \"the darling of\nSydney and the wonder of the world.\" The sweeping curves of\nthe museum's white painted roof are reminiscent of waves,\nclouds, and sails. It's interior is kind of split-level,\npost-modern white. Almost warehouse looking, with hanging\nmobiles and high ceilings. Out front, next to the museum's\nsign, is a large mobile with fluctuating signal flags, the\nkind used for intership communication. In one section is a\nmodel of the Endeavor, presented as a gift by Queen\nElizabeth. The Endeavor was the ship commanded by Captain\nCooke when he discovered Australia. Also, there's a section\nwith surfboards (joke material?)\nThe American Gallery was our 1988 bicentennial gift to\nAustralia. Here, POTUS will unveil a plaque and then\nbriefly tour the gallery. The opening exhibit is called:\n\"Linked by the Sea,\" and that name is carved into the wall.\nIt explores the similar origins of our two countries. We\nmight use that as a theme, touching upon how our two\nmaritime traditions, among many other bonds, help contribute\nto our mutual sense of kinship. One of the most powerful\nlinks: The Australian and US navies fought side by side to\nturn back the Japanese military advance in WWII. Five\nmonths after the outbreak of war in the Pacific, the Battle\nof the Coral Sea in May 1942 was a crucial strategic victory\nfor the allies, and the first reverse for the Imperial\nJapanese Army.\nFUN FACTS:\n*Australia has a long maritime heritage,\ngoing back at least 50,000 years to the\nprobable arrival of the first humans from\nAsia.\n*There were three Americans on board Endeavor\nwhen Cook discovered the east coast of\nAustralia in 1770 (but they were British\nloyalists).\n*The first foreign merchant vessel to arrive\nin New South Wales was a US ship with a\nwelcome cargo of rum and other supplies.\n*The first person to ride a surfboard in\nAustralia was a Hawaiian -- Duke Kahanamoku.\n****Note: The exhibit houses two periscopes, one of\nwhich is from the same class of submarine as the one which\ncollected the President after he was shot down in WWII.\nMore information is on the way via fax.\nCONTACTS: --Margaret Eubank, Public Affairs Officer (USIS) 261-\n9244\n--Consulate General (after hours) 963-1209\n--Ian Wilcock, Asst. Sec. Americas Branch, Australian\nDept. of Foreign Affairs and Trade, (06) 261-2711\n--John Wade, Sr. Curator, Australian National Maritime\nMuseum, (02)552-7728\nAUSTRALIA COLOR\n(among other materials, files include extensive info on above\nsites, speech excerpts from American Ambassador Sembler\nGENERAL\n1) Australians in film: Errol Flynn, Mel Gibson, Paul Hogan\n(one of screenwriters and main actor in \"Crocodile Dundee),\nDean Semler (cinematographer of \"Dances with Wolves.\")\n2) Australians in music: Olivia Newton John, Men At Work, Bee\nGees.\n3) Washington Post cartoonist Patrick Oliphant is from\nAustralia.\n4) James Tuckey, a lieutenant aboard the ship which took the\nfirst unwilling settlers into Port Phillip Bay (the future\nMelbourne) in 1803 wrote:\n\"I beheld a second Rome rising from a coalition of banditti.\nI beheld it giving laws to the world, and superlative in\narms and in arts, looking down with proud superiority upon\nthe barbarous nations of the northern hemisphere.\"\n5) Maybe POTUS could do a joke about vegemite, or vegemite\nsandwiches. There's potential for humor in the fact that\nAustralians love the stuff while we think it's yucho. Maybe\nat a luncheon, \"Despite our many similarities, Americans\nhave never really developed a taste for your vegemite. In\nfact, when I asked about today's menu, I was assured -- no\nvegemite. \\ Actually, I was worried about the broccoli.\"\n6) On Australian TV there's a very famous show called, \"Skippy\nthe Bush Kangaroo.\" Everyone knows about Skippy, he's kind\nof equivalent to our Lassie. Maybe a joke about, \"I hear\nthat here in Australia, you have 'Skippy the Bush Kangaroo.'\nWell, back home we have 'Millie the Bush Canine. (Tony\nMauro: Millie the Bush Scoobydoo). Or, \"I was a little\nnervous about playing golf here, what with all the kangaroos\nrunning around. \\ Fortunately, I've got Skippy on my side.\"\n7) In May 1836, President Jackson appointed J.H. Williams as\nthe first American Consul in Australia. The \"Colonist,\" a\nnewspaper of the day, welcomed his arrival, praising America\nthus: \"Scarcely is there a sea which their ships do not\nplough, or a port in which they do not ride...\" (maybe for\nMaritime Museum?)\n8)\n\"The Australians did not seem to me to differ noticeably\nfrom Americans, either in dress, carriage, ways\nor\ngeneral\nappearance.\"\n--Mark Twain, 1895.\n9)\nAnother link between Australia and the United States during\nthe 19th century: from 1897-1898, Herbert Hoover, later to\nbecome the 31st U.S. President, worked in Western Australia\nas a young mining engineer.\n10) \"Next to our own nation we place our kindred in America.\"\n--Alfread Deakin, 1905 (Australian statesman?)\n11) In September 1918, Australian and American troops fought\nalongside each other in the main attack on the Hindenburg\nLine which ended World War I, a battle experience to be\nshared again in WWII, Korea and Vietnam.\n12) In 1969, an Australian radio telescope and an American\nantenna brought us the historic television pictures of the\nfirst manned landing on the moon. The picture everyone\nremembers -- Neil Armstrong's leg searching for the surface\n-- was first seen in a tracking station briefing room near\nCanberra. As a compliment to Australia, NASA in 1971 named\nApollo 15 \"Endeavor after Captain Cook's Endeavor.\n13) Australia's coat of arms consist of a shield containing the\nbadges of the 6 states. The supporters are native\nAustralian fauna -- a kangaroo and an emu. A yellow-\nflowered native plant, wattle, also appears in the design.\n14) Note: Australia taxes capital gains. (Individuals and\ncompanies pay at different rates)\n15) Bush has called the Australian-American relationship \"an\nintimate partnership between two peoples.\"\n16) In the Persian Gulf, the first combined boarding to enforce\nUN resolutions was by the USS Brewton and the HMAS Darwin.\n17) 300,000 US tourists visit Australia annually.\n18) \"It will be a very poor day when little Australia won't be\nable to summon up its traditional impudence by looking at\nthe U.S. and saying, 'What do you mean, you big stiff?'\"\n--Sir Robert Menzies in the Sydney Morning Herald,\n27 June 1964. (Possible rejoinder: \"Well,\nAustralia is not all that little, and I hope that\nAmerica is not all that stiff.\" Could be relevant\nre. trade disputes)\n19) \"You must be the most beautiful people in the world.\"\n--Duke Ellington, in the Sydney Morning Herald, 7\nFeb. 1970.\n20) Every year, America sends a high level delegation to\nparticipate in the Coral Sea Commemoration. Dan Quayle was\nhere in '89 and Bush was here in '82.\n21) Rugby and Cricket are Australian national pastimes. Rugby's\nWorld Cup will be over by the end of October. It will be\nthe first time an American team has participated.\n22) One of the most popular Australian television shows is\ncalled \"The Flying Doctor.\" Joke potential? LA Law is the\nmost popular American TV show here. The Civil War series\nwas also very popular.\nCANBERRA\n1)\nAmerican architect Walter Burley Griffin designed\nAustralia's capital. Griffin was from Chicago; studied\nunder Frank Lloyd Wright.\n2)\nCanberra is known as \"The Bush Capital.\" I think there is\njoke potential here, e.g. 'I know Australians and Americans\nare close, but you didn't have to name your capital after\nme.')\n3)\nCanberra's detractors often refer to the capital as\n\"Monumentsville,\" \"a city without a mind,\" \"the city of the\ngray flannel mind, and \"a great waste of sheep country.\"\nCanberra's fans call her \"the garden city of the\nCommonwealth\" or \"the front window of the nation.\" They\nalso say that \"to know Canberra is to love it.'\n4)\nThe name \"Canberra\" comes from \"Canberry,\" an Aboriginal\nword meaning \"meeting place.\"\n5)\nIn Canberra, the kangaroos have a habit of falling people's\nswimming pools (don't worry, they don't drown) joke\npotential?\n6)\nAustralia has the 10 most popular snakes in the world,\nstarting with the Death Adder.\n7)\nPOTUS visit coincides with the annual advent of fly season.\nAussies are constantly waving off the insects, a gesture so\ncommon it's nicknamed the \"Australian Wave.\" Maybe POTUS\ncan joke: \"Australians have a reputation for warmth and\nhospitality. In fact when I got off the plane, I told\nBarbara how flattered I was that they were all waving to me.\nShe said, 'Sorry to burst your bubble, George, but it's fly\nseason.\n8)\nKangaroos abound on tennis courts, golfing greens. Maybe\nthere's a joke about POTUS asking PM what kind of penalty\nyou get for hitting a roo.\nSYDNEY\n1)\nIn the bay cradled by Darling Harbor stands a little rook\nnamed Fort Denison. It was built in the 1840's to keep\nAmericans away at a time when the colonists in Sydney were\nconcerned about possible American aggression springing from\nAnglo-American contention. It's a cute, little-known fact,\nwhich reflects the loyalty of the early Australian colony.\n2)\nDuring World War II, Japanese submarines actually made it in\nto Sydney Harbor. This illustrates what a mortal threat\nJapan posed at the time, and provides a sharp contrast with\npresent relations.\n3)\nLooking out upon Sydney Harbor, the eye is drawn to the\nPacific horizon. Given our policy themes, we might want to\ntalk about Australia's \"window on the Pacific,\"\ngeographically as well as politically and economically.\n3)\nAside from the Sydney Opera House, the Sydney Harbor Bridge\nis also considered a famous symbol of the City.\n4)\nOn the state crest of South Wales appear a latin motto that\ntranslated means: \"Newly Risen, How Brightly We Shine.\"\nHONOLULU\nTHEMES:\nThe stop centers around the 50th Commemoration of Pearl\nHarbor. We want to recognize the sacrifice of those\nwho lost their lives and those who lost their loved\nones on December 7, 1941. Lt. Gen. Fields talked of\ncreating a realization for the American people that the\nattack changed America forever. We went from being an\nisolationist nation to an international superpower.\nPOTUS SCHEDULE\nFRI, 12/6:\n--evening AF1 to Honolulu\nSAT, 12/7:\n--7:30 helo to naval base, barge to USS Arizona\nfor memorial ceremony. Presidential honors, brief\nremarks by Admiral Larson, Rear Admiral White,\nMoment of Silence, ship whistle, missing man\nflyover, national anthem, flag raising, 5 min.\nremarks.\n--8:20 depart for K-8 (Kilo 8, it's like a pier),\nhonors arrival, Joo intros POTUS, remarks 15-20\nmins.\n--9:00 depart for Hickam AFB, proceed to Kenney\nConference room for brief remarks to Asian\nAmbassadors (in Honolulu attending annual meeting\nof Chiefs of Missions Conference).\n--depart Honolulu\nSITES\n1)\nUSS Arizona: The memorial itself is a bier-like structure,\nwhite, with open windows on the sky. Supported above the\nwater, it straddles the midsection of the sunken Arizona,\nwhose bow and stern are marked by buoys. Toward the back of\nthe memorial is a chapel-like enclosure housing a wall with\nall the names of Arizona's drowned. POTUS's back will be to\nthis wall, in front of him is a cutaway section in the\nmemorial's floor, where one can peer down on the submerged\nstarboard.\nRemarks here are brief, as they are part of a larger,\nhour-long ceremony. Here, as in the longer speech,\nacknowledgments are key: both sites are far too small to\naccommodate the vast number of veterans, families, and\nguests. POTUS will be introduced by a survivor.\nAcknowledgements should be handled with care to make sure\nthat no group (particular ship vets, vet organizations,\netc.) are slighted.\nIn particular, while the memorial is for the Arizona,\nmentions should be made of USS Utah. The two downed ships\nare the only that have people entombed in them (1, 177 went\ndown with the Arizona, 58 went down with the Utah). Also,\nwhile the longer speech contains a more general Pearl Harbor\nfocus, the memorial speech should be more specific to those\nwho went down with the Arizona and other ships, more of a\nnaval aspect.\nNotes on the Arizona:\n*One-third of all those who died at Pearl Harbor went down\nwith the Arizona.\n*USS Arizona is still commissioned.\n*USS Nevada, there during the attack, will be in port to\ntake part in the ceremony.\n*Over 34 sets of brothers were killed on the Arizona.\n*While I was there, I saw old women throwing leis in the\nwater; they were crying. I'm told Japanese visitors also\nmake their own pilgrimage to give leis.\n*There is still oil leaking from the wreck; its viscous\niridescence coats the water under and around the memorial.\n*In the same harbor as the memorial is the Bowfin -- the\nsister submarine to the one that picked up POTUS when shot\ndown.\n*It's possible that commemoration will include the same\nvintage plane that POTUS flew in WWII.\n*Sec. Cheney might take part in the day's events.\nTo come: I'm having faxed extensive detail on the memorial,\na history of the attack, letters sent by those aboard\nArizona shortly before it was bombed, letters written by\nfamily members of the fallen, letters written by contrite\nJapanese, survivor quotes on reconciliation, and more.\nResearch: get book, The Day of Infamy. Also, look for\nrecent Approach magazine with Bush on cover; it has a\ndetailed description of his involvement in WWII.\n2)\nMajor speech at K-8: Kilo 8 is a fairly nondescript pier,\nthough apparently they'll fix it up for the commemoration.\nThese longer remarks will be teleprompted. POTUS will be\nspeaking with his back to the water, historical battleship\nrow, and then Ford Island. Behind his right shoulder is the\nArizona, behind his left, the Missouri. Note: look at\nabove, Arizona info for color, etc.\n3)\nRemarks to Asian Ambassadors: Conference room within AFB\nadministrative building. Building exterior retains strafed\npocks of Japanese attack. Remarks are kind of wrap up of\nthemes and policy objectives of whole Asia swing. Asst.\nSecretary for East Asia Solomon is the host of the\nambassadors, but he probably won't be in on meeting.\nRemarks are brief; wouldn't be surprised if talking points\nget substituted.1\n12. 11. 91 03:21 PM\nPO1\nU.S. Department of State\nEAP\nFAX\nDate: 12/11/91\nTO: White House Research- - Michele Mix\nFAX Phone Number: 456-6218\nAddressee's Phone:\nFROM: EAP/ANZ ANZ - Brian Woo\nFAX Phone Number: 202-647-7350; 647-4402\nSender's Phone: 202-647-9690\nNUMBER of PAGES INCLUDING COVER SHEET\n2\nRemarks: As requested.\nUNCLASSIFIED ONLY\n12. 11.91 03:21 PM\nP O 2\n3. EVENT: PRE-LUNCHEON DRINKS.\nFRIDAY JANUARY 3, 1280, WORLD CONGRESS CENTER, HOWQUA\nROOM 1, MELBOURNE\nPURPOSE: TO INTRODUCE DISTINGUISNED VICTORIAN STATE\nGUESTS\nSETTING: HOSTED BY PREMIER JOAN KIRNER.\nPARTICIPANTS: THE STATE CABINET, THE LEADERS OF THE\nTWO STATE OPPOSITION PARTIES, THE LORD MAYOR OF\nMELBOURNE, THE STATE CHIEF JUSTICE, THE LIEUTENANT\nGOVERNOR, AND THEIR SPOUSES. TOTAL NUMBER: 30-48\nLIKELY.\n4.\nEVENT: LUNCHEON/SPEECH\nFRIDAY JANUARY 3, 121E, WORLD CONGRESS CENTER,\nBELLARINE ROOM, MELBOURNE\nSETTING: ALL OTHER LUNCHEON GUESTS WILL BE SEATED IN\nADVANCE, INCLUDING MOST OF THOSE FROM PRE-LUNCHEON\nDRINKS. THE PRESIDENT, PREMIER AND REMAINDER OF\nHEAD-TABLE PARTY MOVE TOGETHER TO THE BELLARINE ROOM TO\nA DAIS AT THE FRONT. BOTH NATIONAL ANTHEMS WILL BE\nPLAYED, AFTER WHICH THE PREMIER WILL MAKE BRIEF\nINTRODUCTORY REMARKS. THE PRESIDENT WILL DELIVER HIS\nSPEECH, AFTER WHICH THE PARTY MOVES FROM THE DAIS TO\nTHE HEAD TABLE FOR LUNCH.\nPARTICIPANTS: APPROX 1900 GUESTS, INCLUDING SPOUSES\nTALKING POINTS (LOCAL COLOR):\n-- MELBOURNE BEGAN ITS DEVELOPMENT AS A MAJOR CITY WITH\nTHE DISCOVERY OF GOLD IN THE SURROUNDING AREA.\nAMERICANS WERE THERE RIGHT AT THE OUTSET, BOTH AS\nPROSPECTORS AND AS BUSINESSMEN. SOME 10.000 AMERICANS\nJOINED THE AUSTRALIAN GOLD RUSH IN THE EARLY 1850'S.\n-- ANOTHER AMERICAN INFLUX TOOK PLACE AFTER PEARL\nHARBOR IN 1942. WHEN MELBOURNE BECAME A MAJOR STAGING\nAREA FOR U.S. FORCES IN THE PACIFIC. MELBOURNE WAS\nAUSTRALIA'S DEFENSE HEADQUARTERS AND WAS GENERAL\nMACARTHUR'S FIRST HEADQUARTERS AFTER HE WAS EVACUATED\nFROM CORREGIDOR.\n-- AS AUSTRALIA'S MANUFACTURING CENTER, MELBOURNE IS\nTHE HOME OF MANY AFFILIATES OF U.S. COMPANIES. IT ALSO\nMAINTAINS A THRIVING SISTER-CITY RELATIONSHIP WITH\nBOSTON.\n-- ONE MELBOURNE INVENTION WHICH HAS INFLUENCED THE\nWORLD IS THE \"BLACK BOX\" RECORDER NOW IN USE IN ALL\nINTERNATIONAL COMMERCIAL AIRCRAFT.\nON A MORE PERSONAL LEVEL, AMERICAN WOMEN LIVING IN\nMELBOURNE SIXTY YEARS AGO FORMED THE AMERICAN WOMEN'S\nAUXILIARY TO THE ROYAL MELBOURNE CHILDRENS HOSPITAL.\nTODAY, SIXTY YEARS LATER, THIS ORGANIZATION IS STILL\nGOING STRONG, RAISING THOUSANDS OF DOLLARS EVERY YEAR\nFOR THE HOSPITAL.\n12. U S. 09:07 PM\nP01\nU.S. Department of State\n01 DEC 10 A7: A 10\nEAP\nFAX\nDate: 12-9-91\nTO: Carol Aarhus. - White House Speech writers\nFAX Phone Number: 456-6218\nAddressee's Phone:\nFROM: EAP/ANZ - Brian Woo\nFAX Phone Number: 202-647-7350; 647-4402\nSender's Phone: 202-647- 9690\nNUMBER of PAGES INCLUDING COVER SHEET\n$\n20\nRemarks: per your request advance copies of Australia\nspeech / event themes.\nUNCLASSIFIED ONLY\n12. 09. 91 09:07 PM\nP02\n12/7- not fully cleaned\nTHEMES AND TOPICS FOR PRESIDENT'S AUSTRALIA SPEECHES\n(To Be Provided to WH Speech Staff)\nThere will be two opportunities for the President to make\nmajor speeches while in Australia. The first will be in\nCanberra on Thursday, January 2, when he addresses a joint\nsession of parliament. The general focus of this address\nshould be on the bilateral relationship, although global\nregional themes should also be included. A second speaking\nengagement will be on Friday, January 3, in Melbourne, where he\nis invited to speak on regional/global themes at a luncheon for\nbusiness executives and others hosted by Victoria State Premier\nJoan Kierner.\nParliament Address on U.S.-Australia Bilateral Relations\nThemes to Include: Though largely focused on bilateral issues,\nglobal themes should be included. The address should recognize\nthe important relationship that has existed bilaterally, the\nsuccess of this relationship, and the continued relevance of\nour partnership in the face of post-Cold War era challenges.\nBilateral, regional and global economic issues should be\naddressed and explicit recognition made of our major bilateral\nfriction point -- U.S. agriculture export subsidies. Finally,\nthere should be an invitation for increased bilateral dialogue\nand cooperation in areas of particular interest to younger\n(post-WWII) Australians, such as economic policies and trade\ndevelopment, conservation and environmental protection,\neducation, resource development, narcotics control, and the\narts.\nContinuing Importance of the Alliance:\no\nOur long-standing key alliance has served us well. Next\nyear we celebrate the 50th anniversary of the Battle of the\nCoral Sea. It will be a special commemoration of the close\nand special defense partnership that had origins in the\nSecond World War. (The President's personal involvement in\nthe Pacific theater during that war can lend special\nsignificance to this testimonial.)\no\nHowever, looking ahead over the next fifty years, the\npost-Cold War Era presents new challenges for our\nalliance. While East-West tensions have diminished, other\nproblems such as ethnic rivalries, nationalist aspirations\nand territorial or political disputes -- suppressed during\nthe Cold War period -- are now arising.\n12. 09. 91\n09:07\nPM\nP03\n- 2 -\no\nIn these endeavors, Australia has and continues to play an\nimportant role:\n--\nNote contributions to the Multinational Gulf\nCoalition, refugee assistance and the ongoing naval\ninterdiction effort in the region. Express\nappreciation for Australian public support during the\nGulf Coalition and its policies.\n---\nNote Australia's active role in developing a framework\nfor the current peace process which is taking place in\nCambodia, as well as Australia's contribution to the\npeace keeping force.\n--\nNote strong efforts on proliferation issues,\nparticularly regarding nuclear and chemical weapons\nproliferation.\no\nAt this point, provide the American definition of the New\nWorld Order, an explanation of the vision which guides us,\nand a statement of the welcome and constructive role\nAustralia is playing and will play in such a new order.\nStress Cooperation on Multilateral Trade Issues:\no\nThe New Order that is being shaped encompasses not just the\npolitical realm but the economic. Both our countries have\nbeen at the forefront, pushing hard for free and open\nmarkets in the world. We must avoid the creation of\ntrading blocs. And we must continue our joint efforts to\nshape an international trading system which will foster\nrather than obstruct free trade, particularly through a\nsuccessful conclusion of the GATT Uruguay Round.\n--\nAcknowledge Australia's leadership in establishing\nAPEC and in shaping its development as an important\ninternational economic entity.\n--\nNote Australia's bipartisan efforts to press the EC to\nend agricultural subsidies and for a successful\nconclusion to the Uruguay Round.\n--\nNote Australia's leadership of the Cairns Group of\ncountries which is working for agricultural trade\nliberalization in the Uruguay Round.\n--\nNote that what we are pursuing in the NAFTA is not a\nbloc. We intend to lower internal barriers, not\ncreate external barriers. NAFTA will be GATT\nconsistent.\n12. 09. 91\n09:07 PM\nP 0 4\n- 3 -\nReassure on U.S. Engagement in the Region:\no\nOur reasons for remaining engaged and active in Asia and\nthe Pacific are obvious. The U.S. is a Pacific nation.\nThe Asia-Pacific region is now America's largest trading\npartner, with trans-Pacific commerce totalling more than\n$300 billion in annual two-way trade. This is nearly\none-third larger than that across the Atlantic.\no\nWe will remain committed to our allies and to fulfilling\nour security obligations. The U.S. will remain engaged in\nAsia and the Pacific.\no\nThe regional partnerships which the U.S. enjoys with\nAustralia and other countries have and will provide the\nfoundation for economic and political stability in the\nregion.\no\nBuilding on those, we need to define a renewed defense\nstructure for the Asia-Pacific theater that reflects the\nregions's diverse security concerns and mitigates\nintra-regional fears and suspicions - a prerequisite for\nmaintaining the stability required for continuing economic\nand political progress.\nFuture Relations Between Australia and the U.S.:\no\nWe have points of differences, but overall our relations\nare excellent. We share common histories and similar\nvalues. And we see this relationship strengthening further\nin the years shead. There are many contemporary issues in\nwhich Americans and Australians have much to learn from\neach other:\nIn culture and education:\n--- Australian culture increasingly influences American\nmusic, cinema and sports.\n-- There is also a solid basis of bilateral academic\ninterchange, including the 40-year-old Fulbright\nprogram in Australia and numerous private exchanges\ninvolving younger Australians at the secondary level.\n--- The U.S. 4-H organization, Future Farmers of America,\nand Rotary are among the groups with active exchange\nprograms with Australian counterparts.\n12. 09. 91\n09:07 PM\nP05\n- 4 -\nIn bilateral economic relations:\n--\nThe importance of bilateral trade: after Japan, the\nU.S. is Australia's largest trade partner. Annual\nbilateral trade exceeds US$ 13 billion. The U.S. is a\nmajor purchaser of Australian beef, veal, lamb and\ncheese.\n:\nU.S. firms have over US$ 15 billion invested in\nAustralia, the second highest in Asia after Japan,\nmuch of it in leading edge technology in\ntelecommunications, aviation, and informatics, as well\nas manufacturing, mining, agriculture, and energy.\n-- Tourism remains very big business for both countries.\nNearly one-half million people travel each way each\nyear. U.S. airlines have inaugurated new routes to\nAustralia in 1991.\n--\nWe are broadening economic dialogue, this year\ninitiating bilateral consultations on agricultural\nissues and continuing our consultations and joint\nefforts in important international economic fora such\nas APEC and the GATT.\nIn environmental and resource management:\n--\nCooperation in conservation and environmental\nprotection is expanding; we have many shared interests\nand similarities in resource endowments (i.e., coal,\noil, gas, hard rock minerals) and topography. There\nare many recent examples of cooperation:\n--\nOur two governments have established a High Level\nGroup on Energy to exchange information on energy\npolicy, programs, demand; to review ongoing research\nand development; and to engage in joint research\nefforts.\nI\nUS Interior Department (DOI) Minerals Management\nService has recently signed a bilateral MOU with\nAustralia's Department of Primary Industries and\nEnergy (DPIE) for sharing data on offshore minerals\ndevelopment, including environmental protection\naspects.\n12. u 9. 91 09:07 PM\nP06\n- 5 -\n--\nDOI Bureau of Land Management has initiated a dialogue\nwith DPIE that is focused on the need to balance the\nextraction of minerals, oil, gas, and timber with the\ngrowing demands for recreation, and management of\ncultural resources, and wildlife and fisheries\nhabitats. Plans include an exchange of technical\npersonnel between our countries.\n-- USDOC/NOAA officials have recently met with their\nAustralian counterparts to discuss ways in which our\ntwo nations can strengthen efforts regarding the\nimportant environmental problems of driftnet fishing,\nendangered species, and the monitoring/assessment of\nthe global warming threat.\n--\nIn APEC, where Australia leads the Energy Working\nGroup, our two governments are considering, with other\ngovernments, establishing a regional clean coal\ntechnology utilization center.\n--\nThe U.S. and Australia recently co-sponsored the\ncreation of an International Forestry Research\nInstitute to focus on issues related to the\nconservation of tropical forests and the arrest of\ndeforestation and environmental degradation.\nIn fighting illicit narcotics:\n--\nAustralia has done much to assist regional countries\nin their counternarcotics efforts and is an active\nmember of the \"Dublin Group\" of donor nations that\ncoordinates counternarcotics aid to producer nations.\n--\nOur countries are united in the worldwide fight\nagainst drug abuse and trafficking, which is becoming\na security threat of the 1990s,\nOther Issues:\no\nThere are some issues on which we do not meet eye-to-eye\nbut which should also be mentioned.\no\nOne particularly difficult issue is Australian continuing\nconcern over the impact on Australian farmers of the U.S.\nExport Enhancement Program for agriculture. This issue\nshould be confronted sympathetically but directly:\n12. 09. 91\n09:07 PM\nP07\n- 6 -\n--\nNote the plight of American as well as Australian\nfarmers, our legitimate stake in world grain markets,\nour intention to continue EEP as leverage on the EC,\nand our hope that export subsidies will be sharply\nreduced in the Uruguay Round.\n--\nRecognize and regret that EEP is a factor affecting\nAustralian farmers, but note other factors --\nespecially EC dumping, higher global production,\nAustralia's transport/port inefficiencies affecting\ncompetitiveness, the drought, the high cost of\nagricultural inputs, and the simultaneous collapse of\nthe wool market.\n---\nMention that he (the President) has just met with\nrepresentatives of rural organizations and that they\nhave been forthright in describing their concerns.\n--\nStress that we take Australian interests into account\nin implementing EEP, including setting up a bilateral\nconsultative mechanism that met in August for the\nfirst time, and will continue.\n1 U E. 09:07 M\nP08\n- 7- -\nMelbourne Luncheon Speech on Global/Regional Issues\nOverall themes: Begin with the changes in Europe and move on\nto the latest initiatives in the Middle East and Southeast\nAsia. While addressing the changing political winds in the\nworld, the President should also assure continued U.S.\ncommitment to regional stability in Asia and the Pacific.\nFinally, focus should be placed upon international economic\nissues of mutual concern, as well as benefits to both nations\nof an open trading system.\nRecognize Australia's Growing International Role;\nO\nExpress appreciation for the leadership role Australia has\nassumed in the world.\n--\nAustralia's contribution to the Multinational Gulf\nCoalition\n--\nActive role in working toward a settlement in Cambodia\n--\nLeadership in forming APEC\n--\nStrong efforts on proliferation issues, particularly\nregarding nuclear and chemical weapons\nO\nOur partnership has become increasingly important,\nespecially in the wake of the tremendous changes that have\noccurred in the world over the last two years.\nU.S. Regional Role to Remain Strong:\no\nThe regional partnership which the U.S. has enjoyed with\nAustralia and other countries has been the foundation for\neconomic and political stability in the region.\n12.\n09:07\nFUS\n- 8 -\nDespite the changes elsewhere in the world, the U.S. will\nremain engaged, concerned and active in Asia and the\nPacific, both in strategic and economic terms.\nStress Cooperation on Multilateral Trade Issues:\no\nThe New Order that is being shaped encompasses not just the\npolitical realm but the economic. Both our countries have\nbeen at the forefront, pushing hard for free and open\nmarkets in the world. We must avoid the creation of\ntrading blocs. And we must continue our joint efforts to\nshape an international trading system which will foster\nrather than obstruct free trade, particularly through a\nsuccessful conclusion of the GATT Uruguay Round.\n--\nAcknowledge Australia's leadership in establishing\nAPEC and in shaping its development as an important\ninternational economic entity.\n--\nNote Australia's bipartisan efforts to press the EC to\nend agricultural subsidies and for a successful\nconclusion to the Uruguay Round.\n--\nNote Australia's leadership of the Cairns Group of\ncountries which is working for agricultural trade\nliberalization in the Uruguay Round.\n---\nNote that what we are pursuing in the NAFTA is not a\nbloc. We intend to lower internal barriers, not\ncreate external barriers. NAFTA will be GATT\nconsistent.\nFacing Challenges Ahead:\no\nThis is not to say that there are no challenges ahead:\n---\nThe proliferation of chemical, nuclear and biological\nweapons of mass destruction remains a problem;\nAustralia's role in achieving international safeguards\nto reverse the proliferation trend has been critical\nto this effort.\n--\nWe share a common view that the formation of\nprotective trading blocs must be avoided, and support\nfor cooperative frameworks such as APEC must be\nvigorously continued.\n--\nWe should do all we can to open markets and foster\nfree trade in order to strengthen international\neconomic cooperation, confidence and recovery.\nPOSSIBLE LANGUAGE FOR THE PRESIDENT'S AUSTRALIA SPEECHES\nINTRODUCTORY REMARKS\n-- This is only my second visit to Australia, but my\nimpressions of your vast and beautiful country will always be\nvery special ones.\n-- (Insert complimentary remarks on Canberra, Sydney and\nMelbourne -- depending on itinerary. Could also make reference\nto Australia's size by noting that several states the size of\nTexas would fit in Western Australia.)\nTHE ALLIANCE\n-- It isn't just Australia's natural beauty that draws\nAmericans \"down under.\" We share a long-standing friendship\nbased on common language, heritage and origins and embodied in\na special alliance that has served our two countries so well.\n-- We also share a democratic openness and willingness to\naccept substantial immigration as a means of further enriching\nour societies.\n-- I was deeply moved by my visit to the Australian War\nMemorial. It evoked memories of the sacrifices that both our\ncountries have made, often side by side. (n.b. - Can only be\nused in Melbourne speech after visit to Memorial.)\n-- Yanks and Aussies fought together in World War I, helping to\nliberate France. The first U.S.-Australian military\ncooperation took place when elements of the U.S. 33rd Division\njoined Australian troops in the capture of Le Hamel, France.\n-- And in World War II, our troops again fought side by side,\nand half a million U.S. military men and women served in\nAustralia through that war.\n-- Together, U.S. and Australian forces fought throughout the\nPacific, in tough land, sea, and air combat. Our alliance and\npartnership has been solid ever since == in Korea, Vietnam, and\nmost recently in the Persian Gulf.\n12. U 9. 91 09:07 PM\nF 1 1\n- 2 -\nRECOGNIZING AUSTRALIA'S INDEPENDENT INTERNATIONAL ROLE\n-- While our close and important strategic relationship will\ncontinue to be of great mutual benefit, Australia has become a\npositive force of its own in world affairs. Your views are\nvalued and while we may not see eye-to-eye on every issue, the\ndirection of your policies are complementary to our own and are\nconsistent with my vision of a new world order, an order where\ndemocratic ideals of peace, freedom, and respect for human\ndignity bond nations in a common purpose. Let me cite some\nexamples:\n-- In the post-Cold War era, we are witnessing a reinvigorated\nrole for the United Nations. Much credit goes to Australia for\nfacilitating this.\n-- Your initiative and persistence were key to shaping the\nframework for the Cambodia peace settlement finally agreed to\nby all warring factions last October. And Australia continues\nto ensure that the process toward democracy and lasting peace\nin Cambodia does not falter.\n-- You were among the first to dispatch aid and technical\nsupport under the United Nations Transitional Authority in\nCambodia (UNTAC), which an Australian was appointed by the UN\nSecretary General to command.\n-- Australians also serve under the UN banner in the Western\nSahara and are a vital part of the Multinational Interdiction\nForce, ensuring that UN sanctions against Iraq are enforced\nunder international law. In the Middle East, as in Cambodia,\nyou have been quick to provide humanitarian relief. Last May\nyour defense force provided medical teams and water\npurification equipment and services to Kurds and Iraqis fleeing\nSaddam's oppression.\n-- But even long before the Gulf War, Australia had the\nforesight to focus world attention on the problems which are\nnow emerging as key concerns for the world community. Thanks\nto your efforts, the \"Australia Group\" was established in 1984,\nand is currently comprised of 22 nations dedicated to\npreventing the use and spread of chemical and biological\nweapons throughout the world.\n-- Australia also plays a major constructive role in\nstrengthening the international economic system. It was Prime\nMinister Hawke who pushed the idea of a regional effort to\npromote freer trade by eliminating trade barriers and\n12. 09. 91 09:07 PM\nP 1 2\n- 3 -\nestablishing common policies. Through his vision and efforts\nwas born the Asia-Pacific Economic Cooperation, a key economic\nforum we know as APEC. And since its first ministerial meeting\nin Canberra two years ago, APEC has succeeded in mobilizing the\nsupport of all fifteen participants to push for substantive\nprogress in this key GATT Uruguay Round, and to explore ways\nthat countries in this dynamic region can better cooperate to\nachieve sustainable growth, to increase employment, and to\npreserve the environment.\n- Clearly, Australia has established itself as a strong\npromoter of multilateral solutions to important international\nproblems, be they military, social, political or social in\nnature. And in large measure, your goals are shared by the\nUnited States.\nASSURING CONTINUED U.S. ENGAGEMENT IN THE REGION\n-- Let me take this opportunity to assure you that we, too, are\ncommitted to remaining engaged throughout the world. There are\nsome naysayers who wrongly predict that recent events in Europe\nand Asia will lead to a more isolationist America. This could\nnot be farther from the truth.\n-- America tried to isolate itself politically from the world\nin the past, and we ended up fighting two bloody world wars.\nWe also tried economic isolation that only helped to set off a\ndevastating world depression.\n-- Current trends point to our strengthened engagement in Asia\nand the Pacific in the decades ahead. This region has become\nour largest and fastest growing trade partner. Two-way trade\nbetween the region and the U.S. now amounts to more than $300\nbillion, nearly one-third larger than that across the\nAtlantic.\n-- American firms have invested more than $61 billion in the\nregion, and that will certainly grow. On the other hand,\ninvestors from the Asia-Pacific have invested more than $95\nbillion in the U.S. We welcome this investment, which results\ntechniques. in new jobs, new technology and new, more effective management\n-- Our bilateral trade relationship with Australia is strong\nand growing. Total bilateral trade exceeds US$ 13 billion,\nhaving grown over 20 percent in the last five years. After\nJapan, the U.S. is Australia's most important trading partner,\ntaking 12 percent of her exports, and providing 23 percent of\nher imports. At US$ 15 billion, Australia is the largest\nrecipient of total U.S. direct investment in the Asia-Pacific\nregion, again next to Japan.\nP13\n- 4 -\n-- Cooperation and dialogue on economic issues can only benefit\nour respective economies. We must continue this openness in\nour relationship, and indeed work for greater openness in our\ntrade relations, particularly as we both continue to face\neconomic difficulties on the domestic front.\nREMARKS ON THE EXPORT ENHANCEMENT PROGRAM\n-- But while we generally agree on the goals, we sometimes\ndiffer on the means. Our use of the Export Enhancement Program\nto counter the agricultural subsidies of the European Community\nis one point of difference.\n-- I appreciated the opportunity to meet with rural\nrepresentatives earlier today (or yesterday if said in\nMelbourne). I can assure you, American and Australian farmers\nhave much in common.\n-- Let me be clear in stating that I don't favor subsidy\nprograms. They are a burden to the taxpayer. They weaken the\nmechanism and reduce the benefits of a free trading system.\nAnd subsidies take the competitive edge out of industry.\n-- But let me be equally clear in pointing out that we did not\nstart the wheat war. Talks with the EC on this issue had\npreviously led nowhere. And it is our farmers in the U.S. and\nAustralia who have been badly hurt by continued EC subsidies of\nwheat.\n-- We must both remember that the basic cause of depressed\ninternational agricultural prices, which have been hurting both\nour farm sectors, lies with the European Community.\n-- We are now seeing glimmers of hope. And I believe it is\nbecause we have countered EC subsidies with the EEP. It is in\nthe long-term interest of all non-subsidizing nations that this\npressure on the EC be maintained.\n-- At the same time, we in the U.S. will try to limit the harm\nthat our EEP does to non-subsidizers like Australia. This does\nnot mean, however, that Australian farmers, or American\ntaxpayers, will be immune from the costs of the fight against\nsubsidies. I firmly hope that the long term gain for American\nand Australian farmers from a successful Uruguay Round will\noutweigh the short term pain.\n12. U 9. 91 09:07 PM\nP 1 4\n- 5 -\n-- Any mature relationship, even between close allies, cannot\nbe without differences. I have agreed to greater bilateral\ndialogue on this and other economic issues of bilateral\nconcern. We must continue to seek understanding and work to\niron out our differences.\nTHE NEXT FIFTY YEARS\nThe Environment\n-- We can be proud as we look back over the accomplishments of\nthe last five decades. But we can and must do more to expand\nour bilateral relationship in ways which will be beneficial to\nfuture generations of Australians and Americans. A key area is\nthe environment.\n-- We share common energy interests which are derived from our\nlarge domestic energy resource bases. Together, we are the\nworld's largest coal exporters. Ministerial meetings were held\nhere last year to discuss upgrading our cooperative research\nand development efforts in the area of energy.\n== At the ensuing high level group meeting held in Washington\nlast April, Australia and the U.S. agreed on the importance of\npursuing energy policies that will help promote our energy\nexports while addressing environmental issues.\n-- Together, U.S. Energy Department officials are working with\ntheir Australian counterparts to develop clean coal technology,\nenergy efficient technologies, and other programs of importance\nto the environment.\n-- Our governments also have agreed to share information on\noffshore minerals development, which include environmental\nprotection aspects. And there is an increase in our sharing of\nexperiences in balancing the extraction of minerals, oil, gas,\nand timber with the growing demands for recreation, better\nmanagement of cultural resources, and environmental\npreservation.\n-- Our scientists also are working alongside your scientists to\nbetter understand the global climate system. The U.S. National\nOceanic Atmospheric Administration, NOAA, collaborates with\nFlinders University of South Australia in tidal research. NOAA\nand the University of Tasmania also have a cooperative\narrangement for climate and global change research.\n12. US. 91 09:07 PM\nP15\n- 6 -\n-- We are collaborating on providing regional governments much\nneeded information and training in preserving endangered\nforests. Toward this end, the Australian and U.S. Governments\nare co-sponsoring an International Forestry Research Institute\nto address conservation, deforestation, and environmental\ndegradation.\n-- And in managing the delicate balance of our ocean fisheries,\nAustralia and the United States have shared concerns over\ndriftnet fisheries for albacore and other tuna in the South\nPacific. We have joined other nations in remedying this\nserious conservation threat to tuna stocks in the Pacific.\nEducational and Artistic Interchange\n-- I began my remarks today noting that Australia is a country\ngraced with much natural beauty. But it is really the spirit\nof your people which has made it a country so admired by\nAmericans and others throughout the world.\n--- We see this in the arts, with the creative works of\nAustralians in all media, including painting, sculpture, dance\nand, of course, film making. And we hear it in your music,\nwhere Australian artists remain extremely popular in the United\nStates.\n-- We must continue to facilitate this rich interchange between\nour people. Let me give you one recent example. Our Consul\nGeneral in Perth last November invited American musical artist\nPaul Simon, who was in Australia then on tour, to meet with a\nnumber of West Australian Aboriginal musicians in his\nresidence. After the guests had arrived, it was the\nAustralians who made the first move, setting up their\ntraditional instruments on the coffee table. Soon, Mr. Simon\nand his fellow American musicians were receiving didgeridoo\nlessons. And by the end of the evening, he was sharing a few\nof his own skills with the guitar, completing an evening of\nmusical fellowship.\n- At a more institutional level, we (if in Canberra remarks,\ntext should read will launch today; if Melbourne, text should\nread, launched yesterday in Canberra) the Australian Center for\nAmerican Studies. This new national center will expand our\nbilateral links through the development of programs of\npractical benefit to business, higher education, and the\nuniversities. We hope this new national center will serve as a\nforum in which interdisciplinary study and discussion of\ncontemporary issues will be conducted to the mutual benefit of\nboth our nations.\n12. 09. 91 09:07 PM\nP16\n- 7 -\n-- While we may have our differences over the EEP program, our\nyoung people look beyond the present. In preparing for this\ntrip I was very pleased to learn that our 4-H program and our\nFuture Farmers of America have active exchange programs with\nyoung people in your farm communities.\nEasing Travel Access\n-- Nearly one-half million Australians visit the U.S. each\nyear, and an equal number of Americans come here.\n-- We are working together on facilitating freer travel between\nour countries for visitors and business persons. The U.S. has\noffered to waive the issuance of temporary visitor visas for\nAustralian nationals, but this can only be done on a reciprocal\nbasis. Our two governments are also discussing modifications\nin your business visa issuing regime which would permit us to\nlegally offer treaty trader and investor visas to Australians\nunder our own laws.\nConclusion\n-- These examples are real indications of the cooperative\nspirit that exists between our two nations as we seek to\nstrengthen our economic, cultural and educational ties. They\nare positive signs of the shape which our bilateral\nrelationship will take over the next five decades.\n-- Let us continue to work closely together to ensure that the\nfuture of our relationship will be as productive a partnership\nas it has been over the last fifty years.\n12. 09. 91 09:07 PM\nP17\ncleaned\nSUGGESTED POINTS FOR TOAST AT THE STATE DINNER\nHosted by the Governor General and Mrs. Hayden\nJanuary 1, 1992 - Canberra\nBefore proposing a toast to the Queen, I would like to make\na few brief remarks.\nFirst and foremost, I can't express strongly enough how\npleased Barbara and I are to be here with you, Mr. Governor\nGeneral, your gracious wife, Dallas, and the other\ndistinguished guests.\nBarbara and I recall fondly the warmth we felt during our\n1982 visit during Coral Sea Week. We are feeling that warmth\nagain on this visit. Other than Kennebunkport, I can't think\nof another place we would rather have seen in this new year.\nOur shared values, history, culture, and struggles through\nwar and peace together have created a bond between our two\npeoples that is close and lasting.\nWe shared the burdens of the Cold War together. Now let's\nlook together to the next fifty years. Let's seek ways to\nexpand the bonds of friendship for the next generation of young\nAmericans and Australians, to help them face the challenges of\nthair time, building 8A the peace, conserving the environment,\neducating their children, and sharing the benefit of God's\nbounty with all.\nLadies and gentlemen, a toast to Her Majesty the Queen.\n12. 09. 91 09:07 PM\nP18\nSUGGESTED POINTS FOR TOAST AT PRIME MINISTER'S DINNER\nHosted by Prime Minister and Mrs. Hawke\nJanuary 2, 1991 - Canberra\nBefore proposing my toast to the Queen, I should like to\noffer a brief observation on our host this evening.\nYou, Mr. Prime Minister, and your government, have been\ngood and true friends as we together have faced the challenges\nof a rapidly changing world order.\nI have valued your counsel especially over the past year as\nwe brought a tyrant to task in Iraq, moved the peace process\nforward in the Middle East, responded to democratic openings in\nEastern Europe, and established a framework for peace in\nCambodia.\nFinally, you and your Ministers, by continuing to press for\nreal progress in the Uruguay Round, have helped bring us close\nto a worthwhile outcome. We thank you for that.\nLadies and gentlemen, a toast to Her Majesty the Queen.\n2. 09. 91 09:07 PM\nP19\nUNCLASSIFIED\nMEETING WITH MEMBERS OF THE AUSTRALIA-UNITED STATES\nCORAL SEA COMMEMORATIVE COUNCIL\nSCENESETTER\nPURPOSE\nThe purpose of your meeting with members of the Australia-U.S.\nCoral Sea Commemorative Council will be to express appreciation\nto the Council for assuring that the 50th anniversary of the\norigins of the bilateral alliance is given the prominence it\ndeserves.\nSETTING\nApproximately 50 members of the Council, distinguished and\ninfluential citizens from many sectors of Australian society,\nwill have gathered in Otway Room No. 1 of the World Congress\nCentre. The Ambassador will introduce you to the Chairman of\nthe Council, Sir Eric Neal, and the Council Vice Chairman, Vice\nAdmiral Michael Hudson. Sir Eric will then invite you to\naddress the Council. Following your remarks, Sir Eric will\nmake concluding remarks and introduce you to the Committee\nChairmen and to the other Members of the Council.\nKEY OBJECTIVES\n== To thank members of the Council, especially chairman Sir\nEric Neal, for their contributions to Council programs and\nprojects that will commemorate the World War II origins of\nour bilateral alliance in 1992.\n-- To focus press attention on the Council and stimulate\ngeneral public interest in the cycle of commemorative\nevents planned in Australia during 1992, especially the\n50th anniversary of the Battle of the Coral Sea.\nTo acknowledge the contributions of th thousands of\nAustralians who are working to develop commemorative\nactivities during 1992.\n-- To underline the importance the U.S. attaches to younger\nAustralians and the future of the alliance.\nAttached is a list of participants.\nUNCLASSIFIED\n09.\n09:07 PM\nP20\nUNCLASSIFIED\nPOINTS TO BE MADE WITH THE AUSTRALIA-UNITED STATES\nCORAL SEA COMMEMORATIVE COUNCIL\nI am pleased to have the opportunity this morning to thank\nall of you personally for your participation in the\nAustralia - U.S. Coral Sea Commemorative Council.\n-- The programs and activities you coordinate or sponsor will\nensure that events which shaped the beginnings of our\nbilateral alliance -- especially the 50th anniversary of\nthe Battle of the Coral Sea -- receive the attention they\ndeserve in 1992.\n-- I also want to convey to this Council and to all\nAustralians who are developing commemorative programs this\nyear the appreciation of the over one million American men\nand women who served in Australia during World War II.\n-- The participation of so many prominent Australians on this\nCouncil is evidence that the defense of freedom here and in\nthe South Pacific during World War II by Australians and\nAmericans has not been forgotten.\n-- I share your hope that many of our veterans will return to\nAustralia with their families in 1992 to take part in the\nactivities that are being planned. I know they will\nreceive the same open, warmhearted Aussie welcome that I\nhave received.\n-- I am sure that the actions of this Council will strengthen\nand sustain an alliance that has matured and is as relevant\ntoday as it ever was.\n-- My best wishes to you throughout this commemorative year.\nUNCLASSIFIED\nTime Difference: hrs.ahead\nFACT- CHECK COPY\nLead Advance: BobAithy\nSmith/Aarhus\nDraft Six\nX=Ds partondist already\nDecember 18, 1991\nA:MELBLNCH\nPRESIDENTIAL REMARKS: BUSINESS LUNCHEON\nMELBOURNE, AUSTRALIA\nFRIDAY, JANUARY 3, 1991\nAcknowledgements. Thank you for that introduction. Your\nNat' Anthem\nNational Anthem speaks of a land \"abound ing] in Nature's gifts,\nof beauty rich XX and rare.' // Barbara and I feel richer for the\nrare privilege of being with you today. //\n( (It is a pleasure to be in the country of Paul Hogan,\nChristobel\nSkippy the Bush Kangaroo, and of course Greg Norman. // Greg may\nbe nicknamed \"The Great White Shark\" -- but when I'm on the\ncourse I spend a lot more time in the water. )) //\n( (If I wasn't sure I was in Australia, it was confirmed\ntoday when \"Hail to the Chief\" was replaced with \"Tie Me Kangaroo\nCurt\nMate\nDown Sport. // Actually, I like the song -- just as I do your\nbeautiful land known as \"Bush Country.\" // Now, if I can just\nget that description to apply to all 50 States back home. )) //\n((I have also enjoyed this luncheon. // Earlier, someone\nwas kidding me about the menu. / He said the good news was that\nflavoring had been added to the vegemite to make it more\nappealing to Americans. / He said the bad news was that the\nflavoring was broccoli. )) //\nX\nTen years ago this May, I first visited Australia to mark\nEncy,\nBrianwo, 647-9690 State -9690\nthe fortieth anniversary of the Battle of the Coral Sea. Last\nJune, Prime Minister Hawke made his fifth visit to Washington,\n647\nof\nformer\n2\nwhere we met in the Oval Office. / \"What XXX we want, \" he said, \"is\nXXXXX\nX\nXXX\nnot going X to fall into XT our lap We XX must work together to XX get\nX\nX\nL\n+\nX\nit.\" //\nThe obligation isto The is\nI am here to talk of that work -- and how, together,\nAustralia and America can help to build a better world. We will\nbuild it through liberty, and opportunity -- and through trade\nthat is both free and fair. // We will build it by using our\ncommon culture and heritage, language and principles to promote\nThistni\nprosperity at home and democracy abroad. //\nmorning\nYesterday, I visited the Australian War Memorial, where the\npower of this alliance -- in Lincoln's words -- \"crowded upon my\nmind.\" // There lie the heroes who stood with America in World\nChristobel\nWars I and II, Korea, Viet Nam, and of course the Persian Gulf\n-- heroes who fought together to defend our ideals. // Our task\nnow is to join together to create a world where the force of law\noutlasts the use of force. //\nWe term this the New World Order -- a world of peace and\nhuman dignity. Its triumph is inevitable -- but only if\nX\nBrianho, State\ndemocracies are resolute. // Globally, you have encouraged this\nby supporting a XX more engaged United Nations. Nearby, you helped\nshape the framework for the Cambodia peace settlement agreed XX to\nby warring factions -- and I assure you: Here, too, America is\nyour partner. We will not abandon the search for stability in\nthis XXXXXXX\nx\nPresident Andrew Jackson\nappointed J.H. Williams as the first American counsel here.\nConsulx\nnewspaper\n3\nArriving from Boston, Williams was X greeted X by an editorial: \"We\narticle\nX\nwelcome\nusis\nregard his arrival\" read the Australian paper, \"as XX a pledge of\nincreasing intimacy between the two countries, from X which mutual\nfrom JAG fax\nadvantages may be expected to flow. ) )\nOne year ago, in the Persian Gulf conflict, those\nX\nadvantages served a cause both right, and true. // You were\nquick to condemn the Iraqi invasion / to endorse economic x\nBrian\nsanctions / and to send X ships to engage in the multi-national x\nY\nstate\nWOD\ncoalition. I thank you for also sending medical teams and\nhumanitarian relief to Kurds and Iraqis fleeing Saddam's\noppression. // Australia stood fast so that decency could stand\ntall. This is no surprise. I remember X how, in 1984 you acted\nwith equal dispatch to achieve the X common good. What you x helped\nBriancoo State, woo\ncreate -- the \"Australia Group\" -- today has twenty-two X member nations,\nx\neach\nEach nation dedicated to preventing the use and spread of\nchemical and biological weapons.\nAustralia believes that multilateral solutions can solve\nglobal problems. So do I. // Fifty years ago, we found that\nwhat happened in Europe and Asia could not be divorced from\nAmerica. Political isolationism doesn't work. // We must now\nrecall that lesson -- but this time in peace, not in war. // The\nAustralian statesman, Alfred Deakin, once said, \"Next to our own\nJen\nnation we place our kindred in America.\" He knew that we are all\nAus. Book quotes\nmembers of the world community. // So we need to strengthen our\nalready steadfast commitment to Asia and the Pacific region --\nincreasing democracy, free expression, and, yes, free markets. //\nregion\nAus,\nBrunai\nChina Twain\nIndo Hong Kong Singapore\nJapan\nNZ\nMalaypia\nMacao\nFrom us Commerce Dept Data Book\nPhillipples\ntorea\nThatand\n1990\nexports NIX 40.7 b\ntoptsia\nexp. Japan 48.6 b\nPacific Rim\nASEAN\nwhat's Matuda\nin regia\nTHE WHITE HOUSE\nElaine ustr brown\nWASHINGTON\nAlready, the two-way trade between this region and the U.S.\ntotals over $300 billion. // I say: We can, and must, expand it.\n((You know, we have to think of free trade like Australia\nand that other Nation, my native Texas. // They show us how to\nXXXX\nAustralia in brief\nthink big. / For instance, I'm impressed that the flag of\nX Xt XXX\nAustralia is the only one to fly over a whole continent. // I'm\nin\neven more struck by the fact that Australia has more sheep than\npeople. That's impressive -- but Washington has more lawyers\nthan you have sheep. )\nnearly'l3\nGDR\nXXX\nIn America, half. of our GNP growth between 1985 and 1990\nflowed from exports. To increase that growth -- which means more\nboustr\njobs -- we need the cooperation that is a cornerstone of the New\nWorld Order: The cooperation that will increase free trade /\nopen markets / and ensure jobs. // On the other hand, we must\nreject the economic isolationism that's been tried before -- and\nfound wanting: The protectionism that will close markets /\nensure poverty / and cost jobs. // We can't go down that dead-\nend street again, and won't: Not as long as I am President. //\nIn1990,\nTwo years ago, free trade helped our merchandise exports\n$200\n(2.4%\nX\nto Australia total $8.5 billion -- up $188 million from 1989. I\ncommend your policies to foster greater openness and\ncompetitiveness in the economy. You have eliminated most import\nBrian\nquotas, and cut domestic subsidies and tariffs. // I also\nwoo\napplaud your efforts to strengthen the international economic\nsystem -- spurring a regional effort to promote freer trade by\nerasing trade barriers.\nTHE WHITE HOUSE\nWASHINGTON\nNone of this has come easily -- but thanks to you, it's\ncome steadily. // I can sum up this trip's purpose in three\nwords: Jobs, jobs, jobs. So XXX I am grateful that several years\nt\nX\nago, Australia helped create the X Asia-Pacific Economic\nX\nBriancio,\nCooperation (APEC), a xx key economic forum. Since APEC's first\nx\nX\nX\nState\nministerial meeting in Canberra XX 2 years ago, it has mobilized all\n+X\n+\nDesupportof\nX\nfifteen participants to push for progress in the GATT Uruguay\nRound. / APEC members want to find ways to achieve sustainable\nX\nt\ngrowth, increase employment, and preserve the environment. So do\nwe. We want the jobs that stem from economic cooperation among\nPacific Rim market economies, including the United States. //\nJust as we need your help, so I pledge ours.\nIt is true our two Nations generally agree on goals. It is\nalso true that we sometimes differ on means. // One difference\nis XXXXX our use of the Export Enhancement Program (EEP) to counter the\nBrian woo state\nXXX\nagricultural subsidies of the European Community. Let me be\ndon't\nfavor\nsubsidy\nprograms\nX\nclear: I oppose such subsidies They burden the taxpayer\n/\n+\nreduce the benefits of free trade / and make industry less\ncompetitive. / In XX the long run, they stifle growth and cost jobs.\nI know negotiations on this issue will be difficult. Yet\n>Christobe\nlet us show how the \"Texas Two-Step\" can meet \"Waltzing Matilda.'\n//\nRecently, in an effort to defuse EEP tensions, an Australian\nUSTR,\nY\ndelegation visited our Department of Agriculture. We heard your\nlaura\nperspective on the current world market situation, and your plea\n295-6813\nfor sensitivity to Australian trade. / Australian officials have\nexpressed interest in holding follow-up talks early this year. I\nTHE WHITE HOUSE\nWASHINGTON\nhope that the long-term gain for Americans and Australians from a\nsuccessful Uruguay Round will outweigh the short-term pain. //\nI have agreed to greater bilateral dialogue on this and\nother economic issues. We will seek understanding in the future\nas in the past. // We can be proud of working together over the\nlast five decades. Yet a record is not something to stand upon.\nA record is something to build upon. //\nWe must expand our bilateral relationship in ways which\nbenefit our countries. // We both breathe the same air. So last\nBrian\nApril, we agreed to pursue energy X policies which will increase\nX\n+\nX\nwoo, State\nexports X while preserving our X environment. // We know that\neducation is our most enduring legacy. So yesterday we launched Advance\nthe Australian Center for American Studies.\nSched.\nThis new center will\nexpand bilateral links by developing programs of value to\nbusiness, education, and the universities. / We hope this center\nwill cause future generations to say of America and Australia, in\nHymn book\nthe words of a XX great hymn: \"Blest be the ties that bind. //\nThese ties are economic, military, social, cultural. They\nrest on shared values -- love of family, faith in God, pride in\ncountry, love of the unknown. / The first pictures of Neil\nUSIS\nArmstrong's adventure on the moon were beamed from Australia's\nradio telescope at Parkes to a waiting world. Later, in return\nX\nApollo XV was named \"Endeavor\" after Captain Cook's ship -- in\nthe hope of many future endeavors between our two Nations.\nThis new year, let's look forward to our next century\ntogether. Let's expand the bonds of friendship for ourselves,\nTHE WHITE HOUSE\nWASHINGTON\nand our children. / Let's help them meet the challenges of their\ntime, as we have met ours: Building the peace / creating\nopportunity / increasing the benefit of God's bounty for all.\nThank you very much, and may God bless the people of this great\nland -- Australia.\n# # #\nAUSTRALIA NOTES\nFrom Australia in Brief:\nTrade: Australia ranks about 20th in the world in international\ntrade.\nFlag: The flag of Australia is the only one to fly over a whole\ncontinent. The Union Jack in the upper left corner represents the\nhistorical link with Britain; the large seven-point star represents\nthe six states and the territories, and the small stars form the\nSouthern Cross -- a prominent feature of the southern hemisphere\nnight sky.\nColors: Green and gold; adopted in 1984.\nCoat of Arms: Australia's coat of arms -- the official emblem of\nthe Australian Government -- was granted by King George V in 1912.\nThe arms consist of a shield containing the badges of the six\nstates. The supporters are native australian fauna -- a kangaroo\nand an emu. A yellow-flowered native plant, wattle, also appears\non the design.\n(NSEW points) From Wyndham to Whyalla, from Bunbury to Bundaberg\nEncyclopedia notes:\n-- Much attention and support (public and private) have been given\nto the expression of distinctively Australian qualities in all art\nforms.\n-- Quote these literary figures: Henry Kendall, Henry Kingsley,\nMarcus Clarke, Fergus Hume, Rolf Boldrewood (aka Thomas Alexander\nBrowne), Adam Lindsay Gordon, Andrew Barton \"Banjo\" Paterson, Henry\nLawson (the best to quote)\n-- Poetry quotables: Robert David Fitzgerald, Kenneth Slessor,\nJudith Wright\nMovies: Mad Max-\nStars: Mel Gibson, Paul Hogan\nMusic: the Bee Gees, INXS, Olivia Newton-John, Helen Reddy\nFrom Bartlett's\nSir Thomas Browne: \"When we desire to confine our words, we\ncommonly say they are spoken under the rose.\"\nAdam Lindsey Gordon: \"Question not, but live and labour till yon\ngoal be won, Helping every feeble neighbor, seeking help from\nnone; Life is mostly froth and bubble, Two things stand like\nstone -- Kindness in another's trouble, courage in your own.\nFrom USIS:\nUs-Australia Historical References\n-- In May, 1836, President Jackson appointed J.H. Williams as the\nfirst American Consul in Australia. Mr. Williams arrived from\nBoston on January 10, 1837. The Colonist, a newspaper of the day,\nsaid\n\"We welcome his arrival with unfeigned goodwill, regarding it\nas a pledge of increasing intimacy between the two countries, from\nwhich mutual advantages may be expected to flow.\"\n-- Upon entering Sydney Harbor via ship, Mark Twain was asked by\na local citizen what he thought of it. \"I said it was beautiful -\n- superbly beautiful. Then by a natural impulse I gave God the\npraise.'\n-- Sydney: Mark Twain said, \"A person ought to see Sydney in the\nsummertime if he wanted to know what warm weather is; and he ought\nto go north ten or fifteen hundred miles if he wanted to know what\nhot weather is. they said that away up there toward the equator\nthe hens laid fried eggs.\"\n-- Aussie/US military history: In September 1918, Australian and\nAmerican troops fought alongside each other in the main attack on\nthe Hindenburg Line which ended WWI, a battle experience to be\nshared again in WWII, korea, and Vietnam.\n-- In 1969, Australia's radio telescope at Parkes was used in\nconjunction with another 210 foot antenna in the US to carry the\nhistoric television pictures of the first manned landing on the\nmoon. The picture everybody remembers -- Neil Armstrong's leg\nsearching for the surface of the moon -- was first seen in the\nbriefing room of the Honeysuckle Creek tracking station near\nCanberra. As a compliment to Australia, NASA in 1971 named Apollo\n15 \"Endeavour\" after Captain Cook's \"Endeavour\".\nSports: Greg Norman-golf, Rod Laver-tennis, Dawn Fraser-swimmer,\nJohn Landy-running.\nAuthor: Colleen McCullough \"The Thorn Birds\"\nOther notable Aussies:\nRupert Murdoch--media guru\nJim Wolfensohn--chairman at kennedy center\nPatrick oliphant--cartoonist at WPost\nState's Office of the Historian\nHighlights in relations between the US and Australia\nMay 1, 1982, Bush as VP visited Australia to commemorate the 30th\nanniversary of the ANZUS Treaty\nJune 24-27: PM Hawke made his 5th visit to W,DC to meet w/ GB.\nAustralia Overview\nBilateral relations are excellent, but australian concerns over US\ntrade policies have caused problems. We are working closely in the\nGATT Uruguay Round to resolve trade issues. On issues of major\nimportance to the US, we can count on Australian support.\nThe US and Australia are important trading partners, with 2-way\ntrade exceeding $12 billion in 1990. From that trade, the US\nenjoyed a surplus of about $4.1 billion. US investment in\nAustralia totals over $30 billion. Australia's investment in the\nUS is about $15 billion. The US is Australia's second largest\ninvestor and second largest export market.\nAustralia was quick to condemn the Iraqi invasion of Kuwait, to\nendorse economic sanctions, and to send naval forces (3 ships) to\nparticipate in the multinational force in the Gulf. Australia also\nsent 4 military medical teams and a specialized team of divers.\nConcerned that European economic integration and the US-Canada Free\nTrade Agreement could lead to diminution of Australian markets\noverseas, Hawke took the lead in organizing the first APEC (Asian-\nPacific Economic Cooperation) ministerial conference in November\n1989. APEC's goal is to promote economic cooperation among Pacific\nRim market economies, including the US.\nAustralia National Anthem\nAustralians all let us rejoice, for we are young and free;\nWe've golden soil and wealth for toil, our home is girt by the sea.\nOur land abounds in Nature's gifts, of beauty rich and rare;\nIn hist'ry's page, let ev'ry stage advance Australia fair.\nIn joyful strains then let us sing, \"Advance Australia Fair.\"\nBeneath our radiant Southern Cross we'll toil with hearts and\nhands;\nTo make this Commonwealth of ours renowned of all the lands;\nFor those who've come across the seas we've boundless plains to\nshare;\nWith courage let us all combine to advance Australia fair.\nIn joyful strains then let us sing, \"Advance Australia Fair\".\nFrom Cities of the World (3rd Edition)\nGeologically, Australia is one of the oldest continents; in\ncivilization, the most recent.\nIts 16 million (1986 estimate) people enjoy a high standard of\nliving which is still in the process of developing its great\nnatural resources.\nCanberra\nCanberra: an aboriginal word meaning \"meeting place\". Often called\nthe \"garden city\" because of the millions of trees and shrubs which\nenhance the parks and thoroughfares of the entire area.\nIncreasingly, Canberra is becoming the nation's political,\nadministrative, commercial, educational, and scientific hub.\nLake Burley Griffin (named after the architect of the city, Walter\nBurley Griffin) is supplied annually with rainbow trout and brown\ntrout, which may be taken only with line and rod.\nCanberra was chosen as the capital when the rival claims of Sydney\nand Melbourne could not be satisfied after the unification of\nAustralia in 1901.\nSydney\nSydney is the capital of the State of New South Wales. It is\nAustralia's largest city and it is situated on the magnificent\nharbor of Port Jackson. It was the first European settlement in\nAustralia, founded in 1788 as a penal colony.\nSydney was named for Thomas Townsend, the first Viscount Sydney,\nsecretary of the Home Department, who was responsible for colonial\naffairs when New South Wales was established.\nSydney is in many ways like San Francisco. It has an international\nseaport with a scenic harbor, home of a world-famous opera house,\nold homes perched alongside modern apartment buildings on hills\noverlooking picturesque bays and coves. In other ways, the city\nresembles LA, with its pleasant climate and informal outdoor life.\nSydney grew rapidly with the arrival of free settlers; the\nestablishment of wool raising and wheat growing in New South Wales;\ngold rushes; building of road and rail networks focusing on the\nharbor; and the growth of commerce, industry and banking. The\ndevelopment was largely unplanned, and the winding narrow streets\nand jumbled buildings which add to Sydney's charm also aggravate\ntraffic problems.\nBushwalking (hiking) is very popular -- joke potential.\nMelbourne\nMelbourne was the capital of Australia until 1927, and several\nCommonwealth government departments and offices are still located\nhere. It is a major port city and rail hub, as well as a principal\ncenter of industry, business, and finance. Major traffic problems\nhere.\nAustralia's program of immigration has brought to Melbourne many\n\"new Australians\" from western and southern European countries.\nThis has been especially noticeable since WWII. These people have\ninjected a continental influence that is reflected in\ndelicatessens, restaurants, and shops, and in sports, music, and\ncultural programs, as well as the frequency with which foreign\nlanguages are heard.\nAustralia's Commerce and Industry\nAustralia's economy is based on a combination of free enterprise\nand state-owned or-licensed monopolies (with considerable federal\ngovernment authority) in banking, credit, and agriculture.\nRailroads and utilities are owned by state and federal governments.\nTelecommunications are a responsibility of the latter. Wages are\ndetermined by state and federal boards and, to some degree, by\ncollective bargaining. Most major agricultural products are\nsubject to marketing controls or stabilization arrangements.\nAustralia's economy was traditionally based on agricultural and\nmineral production, mainly for export. In recent decades, the\neconomic structure has changed. The manufacturing sector's share\nof GDP rose after WWII, under the impetus of import restriction\npolicies. More recently, finance, business services, and community\nservices have accounted for an increasing share of the GDP, while\nthe manufacturing share declined.\nImportant shifts in overseas trade patterns have occurred since\nWWII. The UK is now much less important in Australia as a trading\npartner than it once was. Asian countries and the European\nCommunities have recently become prominent markets for Australian\nproducts. Japan is the nation's best export market, especially for\nwool. Japan also ranks first as a source of Australian imports.\nAustralia imports a wide range of goods from the US -- machines and\nmachinery, transport equipment, scientific and professional\ninstruments, and other business equipment. Exports to the US are\nmainly beef and veal, chemicals, ores and minerals, sugar, and\nseafood.\nAmerican Chamber of Commerce in Australia is located at 50 Pitt\nStreet, Sydney, New South Wales 2000.\nAustralian Tourist Commission; 489 Fifth Avenue, NY, NY 10017\n(212) 687-6300.\nFrom ACT Tourism Commission/Australia's Natural Capital\nCanberra can be described as a park with a city scattered through\na park. No matter where you look, you see trees.\nSeasons -- pink spring blossoms, sun-drenched summers, crisp orange\nautumns, and crystal blue winter skies.\n\"Get to know Canberra, go and visit it, spend a little time here\nto get to know your way around and you'll love it just as much as\nI do.\"\n-- Dame Pattie Menzies\nCanberra, born in 1913, is the tailor-made national capital of\nAustralia. Meticulously planned and carefully laid out, it is a\nworld capital of undeniable beauty, merging with nature at every\nopportunity.\n\"The morning and evening lights at Canberra are wonderful. The\nshadows of the clouds and the mists as they cross the mountains are\nvery beautiful indeed. \" -- Walter Burley Griffin, Canberra's\ndesigner\nNearly 70% of the ACT is national park or native bushland.\nPopulation 300,000 \"friendly souls\".\nFrom National Geographic, Feb 1988\nAustralia has always been a land of immigrants. Aborigines arrived\nfrom Southeast Asia at least 40,000 years ago. The British came\nin 1788, followed by Germans, Chinese, Italians, and Greeks.\nBy 1850, australia had 400,000 people and 13 million sheep. Sheep\nstill outnumber people, and Australia's wool exports were worth 2.7\nbillion US dollars in 1987.\nThe term \"mate\" arose on the goldfields, and, in the era of the\nbushman portrayed in the film \"Crocodile Dundee\", it remains the\ntrademark term of address of the ordinary Australian.\nIn WWI, more Australians than Americans died in battle -- though\nAmerica was 20 times more populous.\nPearl Harbor awoke Australians to the existence of Asia. The\nJapanese attack also pushed Australia closer to the US. With the\nPacific world in shock, PM John Curtin told his nervous fellow\nAustralians, \"Without any inhibitions of any kind, I make it quite\nclear that Australia looks to America free of any pangs as to our\ntraditional links or kinship with the United Kingdom.\" It was\nalmost like a divorce and remarriage.\nThere are ten times as many jumbuck as people\nHow to speak Strine:\nbonzer: great, terrific\nbush: country away from the city\nchook: chicken\ndingo: Australian wild dog\ndinkum, fair dinkum: honest, genuine\njumbuck: deer\nocker: basic, down-to-earth Aussie\noutback: remote bush\nStrine: what Aussies speak\ntucker: food\nAustralia contains the oldest known fragments of the earth's crust,\nfrom the Jack Hills, at 4.3 billion years.\nLiteracy is virtually 100%\nAmerican influence is felt through the economy, popular culture,\nand technology, and is always in flux. \"We are becoming\nAmericanized only in the sense that we're becoming universalized,'\nobserved Tony Staley, a former cabinet minister. \"It so happens\nthat the US is at the forefront of may things; the whole world is\ngoing in that direction.\"\n\"What we want is not going to fall into our lap the way it did\nbefore. The obligation is to work together to get it.'\n-- PM Hawke\nPhoto caption: A \"regular bloke\" to voters who first elected him\nin 1983, PM Robert Hawke attributes his success to a strong Labor\nParty Platform and to his wife Hazel. A former Rhodes Scholar, and\n1954 world beer-drinking champion, the now teetotaling Hawke has\nwon enactment of a tax overhaul and opened the economy to foreign\nbanks.\n\"There is a certain innocence about being an Australian,\" \" painter\nSidney Nolan said years ago. Perhaps it stems from the\nyouthfulness of the nation. Or perhaps it results from closeness\nto nature.\n\"Australia's lost its feeling that it could never do anything,\"\nsaid New South Wales environment minister, Bob Carr.\nDespite skillful efforts at disciplined economic management by the\nHawke government, economic crisis still shadows the face of\nAustralia. Nothing can take away the unpleasant facts. The\nAustralian dollar has lost 50% of its value against the Japanese\nyen in the past three years. Australia's foreign indebtedness is\nso huge that nearly a fifth of yearly export income goes to pay\ninterest on it. Both the inflation rate (8.3%) and the\nunemployment rate (7.7%) are well above the average of Western\nindustrialized nations. Savings are low, and business investment\nis even lower. In some realms the \"lucky country\", as Australia\nsometimes calls itself, seems out of luck. The farmers are in\ndebt. Industry labors under the disadvantages of protectionism's\nlull, a small internal market, and high costs. Mining has not yet\nproved a panacea.\nGet 1990 Figures\nECONOMIC THEMES FOR THE PRESIDENT'S TRIP TO ASIA\nBoth the U.S. and Asia benefit from free trade and open markets:\nOur economic relationship is not a zero-sum game for either\npartner.\nThe American economy and American jobs increasingly depend\non free trade and open markets.\n-\nIn the United States, nearly half (49%) of our GNP\ngrowth between 1985 and 1990 was attributable to\nexports.\n$550\n-\nIn 1991, U.S. will export close to\nbillion worth\nof merchandise and services.\n-\nRecord 7.2 million jobs were supported directly and\nindirectly by U.S. merchandise exports alone in 1990.\n-\nMore than 19,000 jobs are supported per billion\ndollars of U.S. exports.\nAsia's stake in the trading system is greater than ours.\nThe export strength and economic growth of Asian economies\nwill continue to be dependent upon open international\nmarkets for goods, services, and investment.\n-\nAsian economies are relatively more dependent than the\nU.S. economy on exports and imports.\n-\nIn 1990, exports amounted to 32% of GNP in Korea and\n15% of GNP in Japan; by comparison, U.S. figure is 10%.\nIf the open trading system cannot be preserved and expanded\nin the Uruguay Round, Asia's prosperity could be jeopardized\nby stagnant world trade.\nAsia is increasingly important to the U.S. economy:\nThe United States is a Pacific power, with vital economic,\nas well as political, interests in the region.\nAsia is an important and growing market for U.S. exports and\na source of U.S. job creation.\nJapan (#2), Korea (#6), and Taiwan (#9) were among top\n10 markets for U.S. exports in 1990.\n1996 389. $333 6 merch 3 8N\nIn 1990, U.S. manufacturers sold $115 billion of goods\nin the Asia-Pacific region (29% of total U.S. exports) ;\nby comparison, $113 billion in goods were sold in\nWestern Europe.\nbreeg\n- 2 -\n-\nExports to Japan and the four Asian NIE's alone support\nan estimated 1.7 million U.S. jobs.\nTrade with Asia accounts for large and growing proportion of\ntotal U.S. trade.\n-\nIn 1980, U.S.-Asia trade accounted for 24% of total\nU.S. trade (imports and exports). By 1990, Asia\naccounted for 34% of total trade.\nAsia is also a large consumer of U.S. services, including\nfinancial services, an area in which the United States has\nspecial expertise.\n-\nIn 1990, U.S. sold $22.9 billion in services to Japan\nand Australia alone.\nThe westward shift of U.S. population, immigration patterns,\nand increased cultural diversity in the United States point\nto ever closer economic relations with Asia and the Pacific.\n-\nThe U.S. population is increasingly concentrated in the\nWestern states (21.2% of total U.S. population in\n1990).\n-\nA large and increasing share of U.S. GNP is produced in\nthe Western states.\n-\nAsians represent growing share of U.S. population (6.9\nmillion in 1990 or 2.8% of total VS. 1.6% in 1980) and\ngrowing share of U.S. immigration.\nAsia needs our exports:\nAsia's demand for imports -- our exports -- will increase as\nAsian economies grow wealthier.\nAsian consumers need access to foreign goods and services if\nthey are to raise their standard of living and enjoy the\nfruits of their labors.\n-\nJapanese Prime Minister Miyazawa, for example, recently\nstated that Japan should become a \"lifestyle\nsuperpower\". This will benefit our economy by\nincreasing opportunities for U.S. exporters.\nAsian countries have cooperated with the U.S.:\nThe U.S.-Asia relationship helps reinforce global\ncooperation for the benefit of citizens of all nations.\nSeveral Asian nations helped shoulder the economic burden of\n- 3 -\nthe international effort to counter Iraq's aggression.\n-\n$10.4 billion was committed by Japan ($10.0 billion)\nand Korea ($355 million) to offset U.S. military costs\nof Operation Desert Storm.\n-\n$2.8 billion in economic assistance was committed by\nAustralia ($14 million), Japan ($2.7 billion), and\nKorea ($115 million) to ease impact of Gulf Crisis on\nthe frontline states in the Middle East (Egupt, Turkey,\nand Jordan).\nIn the G-7 and Economic Summit fora, Japan has helped foster\nsustainable world growth with low inflation.\nJapan has also supported U.S. initiatives to resolve the\ninternational debt problems of the developing nations. For\nexample:\n-\nIt pledged $500 million for the Multilateral Investment\nFund (MIF) for Latin America, one third of total MIF\nfunding.\n-\nJapan contributed almost $500 million to international\nefforts to clear the arrears owed by Panama, Nicaragua,\nand Panama to the international financial institutions.\nAsian countries have helped the U.S. in efforts to\nstrengthen market forces in Eastern Europe and in developing\ncountries. This will help open up these economies for U.S.\ntrade and investment.\nTreasury Department\nDecember 10, 1991\nKOREA\nFINANCIAL SERVICES\nThe Korean financial system is antiquated, over-regulated,\nand ill-suited to the needs of Korea's dynamic economy.\nU.S. banks and securities firms face numerous barriers to\nentering and operating in the Korean market.\nIn addition, elimination of Korea's pervasive controls over\ninterest rates, credit allocation, and capital flows is\nessential if U.S. financial institutions are to enjoy long-\nterm competitiveness in Korea, and U.S. businesses are to\nfind adequate funding sources.\nThe Treasury Department and Korean Ministry of Finance have\nmade some progress in bilateral talks in addressing both\nspecific national treatment issues and broader financial\nliberalization. However, much work remains to be done.\nThe USG has also sought Korean cooperation in bringing about\na strong financial services agreement in the Uruguay Round;\nKorea's support thus far has been very disappointing.\nOur specific objectives for the President's trip include:\n-\nA public statement by the ROKG of its commitment to\nfinancial liberalization, including support for a\nstrong Uruguay Round financial services agreement.\n-\nIssuance of a comprehensive blueprint for financial\nmarket liberalization, with a clear timetable for\nimplementation.\n-\nImplementation of a commitment last spring to ease\nrestrictions on deferred payment terms for imports by\nthe end of 1991.\nTreasury Department\nDecember 10, 1991\nJAPAN\nECONOMIC THEMES\nThe U.S. and Japan have the single most important\nbilateral economic relationship in the world.\n-\nWith the world's two largest economies, their\nactions impact many other nations, as well.\nDespite disputes over trade issues, Japan has\ncooperated closely with the U.S. (e.g. in the Economic\nSummit and G-7 framework) to foster sustainable world\ngrowth with low inflation, and has been very supportive\nof a number of U.S. initiatives, including resolving\nthe debt crisis in developing countries.\nHowever, a number of contentious economic issues in the\narea of trade, financial services, and investment\nplague the bilateral relationship, despite continuous\nbilateral consultations.\nUruguay Round:\nAgriculture is the key to compromise; Japanese need to\nshow leadership and contribute to a successful\nconclusion.\nAlso need liberalization in financial services area.\nJapan's External Surpluses:\nWe are concerned about Japan's rising current account\nsurplus\n-\nSurplus is expected to rise from $36 billion in 1990 to\n$68 billion in 1991, according to the IMF). This\nimbalance can disturb financial markets and feed\nprotectionism.\nAlthough the U.S. trade deficit with Japan fell from a\npeak of $57 billion in 1987 to about $42 billion last\nyear, it is beginning to increase again and still\naccounted for two-thirds of the overall U.S. trade\ndeficit through September, 1991.\nThis highlights need for Japanese to maintain economic\ngrowth and open markets.\nExport Dependency and Bilateral Trade:\nAlthough both the U.S. and Japan have major stakes in\npreserving the open trading system, Japan is somewhat\nmore dependent on exports than the U.S.\n- 2 -\n-\nJapan's exports of goods and services accounted\nfor 15 percent of GNP in 1990. For the U.S., the\nfigure was 10 percent.\n-\nThe U.S. is Japan's most important market,\naccounting for almost 32% of Japan's exports and\nalmost 22% of Japan's imports in 1990.\n-\nJapan is the U.S.' second most important market,\naccounting for 12% of U.S. exports and 18% of U.S.\nimports in 1990.\n-\nIn finance-related service transactions (royalties\nand license fees, financial services and\ninsurance) the U.S. has a surplus with Japan.\nU.S. receipts amounted to $4.0 billion in 1990,\ncompared to payments of $1.4 billion.\nForeign Investment:\nThe U.S. market is far more open to foreign direct\ninvestment than Japan's. This has fed Congressional\nand popular concern in the U.S.\nCumulative direct investment inflows into the U.S. during\nthe period 1981-90 amounted to $355 billion ($80 billion\nfrom Japan alone), compared with only $6 billion in the same\nten year period into Japan from all sources.\n-\nDuring the period 1981-90, cumulative foreign\ndirect investment in the U.S. represented about\n5.7% of total U.S. fixed investment. In Japan,\nthe equivalent number was 0.1%, a difference of\nmore than 50:1.\nExchange Rate:\nYen/dollar rate has been quite stable since October\n1991 G-7 Ministers meeting.\nU.S. believes rates in G-7 countries are consistent\nwith balance of payments adjustment needs and\nunderlying economic fundamentals.\nJapanese Financial Markets:\nDespite U.S. efforts to open up Japan's financial\nmarkets, Japanese banks are far more important in the\nU.S. than U.S. banks in Japan. Japanese banks in the\nU.S. hold 11% of U.S. banking assets; U.S. banks in\nJapan hold less than 1% of Japanese bank assets.\n- 3 -\nWe have been negotiating with the Japanese since 1984\nto liberalize financial markets. Significant progess\nhas been achieved, but more needs to be done.\nRecent financial scandals are symptomatic of the continued\nlack of transparency and competition in the Japanese market.\nJapan needs to take steps to reform its system and restore\ninternational confidence.\nStructural Impediments Initiative (SII) :\nSII represents an important initiative to reduce\nimpediments to competition and adjustment of external\nimbalances. SII success can help to head off\nprotectionism.\n-\nFor example, U.S. has urged Japan to: increase\npublic infrastructure investment to improve\neconomic well being; reduce monopolistic effects\nof keiretsu business practices; and open up\ndistribution system to imports,\nSome progress has been achieved, but it is essential\nthat we re-energize the SII process by introducing new\ncommitments on both sides.\nTreasury Department\nDecember 10, 1991\nAUSTRALIA\nECONOMIC THEMES\nAustralia has been an invaluable negotiating partner in the\nUruguay Round, especially on agricultural issues like the\nCAP.\nFacing its fourth year of declining agricultural income,\nAustralia has pressed the U.S. on farm issues:\n-\nIt has complained about U.S. subsidized wheat sales, is\nunhappy with having to negotiate with the U.S. a\nvoluntary restraint agreement on beef, and is concerned\nabout a 34% cut in its sugar import quota due to\nincreased U.S. production.\nAustralia's financial markets have been relatively closed to\nforeign entry. However, under reforms recommended to\nParliament in November, foreign banks would be allowed\neasier entry and operation.\nTreasury Department\nDecember 10, 1991\nSINGAPORE\nFINANCIAL SERVICES\nSingapore is an important offshore financial center, and\nmaintains a relatively open market for foreign firms.\nHowever, U.S. firms face discrimination in the significantly\nsmaller domestic market.\nThe U.S. seeks Singapore's support for a strong financial\nservices agreement in the Uruguay Round. At a minimum, the\nU.S. would like to see Singapore stop blocking progress and\nplay a more constructive leadership role.\n-\nThe lack of support from Singapore and the other ASEAN\ncountries for a strong financial services agreement in\nthe Uruguay Round has been very disappointing.\nIn the bilateral financial services negotiations, the U.S.\nseeks a commitment from Singapore for a level local playing\nfield in both the banking and securities sectors.\nTreasury Department\nDecember 10, 1991\nSII - U.S. Commitments\nIssue:\nGOJ officials have criticized the USG for not following\nthrough on as many of its commitments as the GOJ has done. By\ntheir count, Japan has completed 80 percent of its commitments,\nwhile the USG has completed 20 percent, at best.\nSuggested Talking Points:\n--\nWhat matters most in SII is the significance of the\nundertakings, not the quantity.\n--\nThe U.S. deserves credit for making substantial progress on\nits commitments, which, in many respects, have been more\ndifficult politically than those that Japan has undertaken.\nThere is an asymmetry to U.S. and Japanese undertakings. In\nmany cases, Japan is being asked to open up its economy and\nimprove the lifestyle of its people, while the U.S. is\ntrying to cut public expenditures to reduce its budget\ndeficit and stave off protectionist pressure to close the\nU.S. market.\nThe GOJ may have passed a larger number of pieces of SII\nlegislation than in the U.S., but the U.S. has resisted a\nlarger number of protectionist and budget-busting bills than\nJapan.\nIn both countries, we are trying to deal with ingrained\nstructural problems in a way which will have a lasting\neffect, even if it takes some time for their effects to be\nfelt.\nThe two most important efforts by the United States include:\no\nundertaking major budget reforms, which are holding the\nline on deficit spending, even in a difficult recession\nyear;\n-\nThis package included tax increases that were\nundertaken at great political cost, and an even\ntighter rein on discretionary spending.\n-\nWe haven't seen a sustained reduction in the\ndeficit numbers yet; nor has Japan in its trade\nnumbers. The U.S. budget deficit will come down,\nthough, and the reduction will be lasting.\n-\nIn comparison, the parallel Japanese commitment to\nincrease public infrastructure spending benefits\nnumerous Japanese constituencies and is\npolitically popular.\n2\nvigorously defending open investment policy;\n-\nAdministration has maintained its open investment\npolicy in the face of numerous protectionist\nproposals and growing mood of isolationism.\n-\nIn contrast, Japan's commitments are aimed at\nopening its markets, with benefits for the\nconsumer.\n[May wish to note Presidential Statement\nstrongly reaffirming open investment policy,\nif released.]\n--\nIn addition, U.S. has taken a number of other measures:\nintensified export promotion efforts, with a particular\nfocus on Japan;\nembarked on an ambitious program to improve workforce\neducation and training;\n-\nIn April 1991, President Bush outlined strategy to\nachieve national education goals, called \"America\n2000,\" which involves major reforms to primary and\nsecondary education system.\nincreased Federal support for research and development\nefforts;\n--\nThe FY 1992 budget proposed to allocate about $76\nbillion for R&D in 1992, an increase of over $8\nbillion, or 13 percent over 1991 levels. This is\nthe highest level ever.\nand\ncontinued to work toward strengthening incentives for\nprivate saving and long-term investment (e.g.,\nreduction of capital gains tax; enhanced IRAs; Family\nSavings Accounts), despite strong political resistance.\nU.S. intends to intensify these efforts.\n12/9/91\nTreasury"
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