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Thank you very much. Good afternoon ladies and gentlemen. Chairman Hasegawa, thank you so much for your generous introduction and for inviting me here today. It’s an honor to be with all of the membership of the Keizai Doyukai. I understand you’ve been early and strong supporters of the TPP – something I look forward to talking about in a little while.
I also want to recognize my colleagues from the United States administration, especially from the Embassy – our deputy chief of mission and also Ambassador Caroline Kennedy. Ambassador Kennedy, as I think all of you know, is a public servant cut from the same cloth as her father. His legacy of friendship with Japan lives on through her.
I have to tell you also it’s a pleasure to be back in Tokyo. I first came here – I believe it was in 1980 with my family, and I wanted to come here on my first trip as Deputy Secretary of State – and not just to have a drink at the Okura’s Orchid Bar before it’s too late. I wanted to come here to Japan because our alliance is the cornerstone of President Obama’s Asia-Pacific policy.
In fact, when I was moving from the White House to the State Department just a few weeks ago, and I was sitting with President Obama to ask him what he wanted me to focus on, he said Asia. And Secretary Kerry, when I got over to the State Department, I asked him the same question, and he gave me the same answer, and it’s simply a reflection of the importance that both the President and the Secretary attach to the region and to the Alliance with Japan.
There is a reason that President Obama made the strategic decision to rebalance America’s engagement and resources toward the region, and it’s very simple: Nowhere in the world are economic and strategic opportunities clearer or more compelling than in the Asia-Pacific. As Prime Minister Abe said last year, “Asia is a synonym for growth and another name for achievement.”
And that’s because of what the Asia-Pacific has done over the past 70 years, and what it has done is nothing short of a miracle, a miracle that stretches from the base of Mount Fuji to the emerald waters of the Coral Sea – millions out of poverty, some of the fastest growing economies on the planet, home to more than one-third of the world’s population, a growing percentage of whom are middle-class, and of course many dictatorships having given way to democracies.
That’s why the President has made seven visits to the Asia-Pacific including three separate visits to Japan. It’s why Secretary Kerry has traveled to the region nine times in just two years. It’s why Vice President Biden and almost every member of the President’s cabinet have traveled here as well – most of them more than once.
So what exactly is the United States doing to support and share in the growth, in the achievement, and the stability, prosperity, and peace that we see spreading throughout the Asia-Pacific?
We have this policy that we call the rebalance, and it has several pillars, each of which contributes in substantial ways to facilitating and supporting this region’s growth and economic dynamism. To start with, we’re redoubling our commitment to the region’s security, which is essential to its economic future. Because the plain fact is that conflict and trade do not mix. So we’ve enhanced and we’re modernizing our alliances, especially with Japan. Over the past few years, our two nations began revising our bilateral Defense Guidelines for the first time in more than two decades. This is part of a larger, transparent discussion about our collective self-defense. This review – along with Japan’s decision to relax some restrictions on defense equipment exports – will help make sure that the Alliance evolves to reflect both the shifting security environment and the growing capabilities of Japan’s Self-Defense Forces.
Elsewhere in the region, we strengthened our security alliances with South Korea, with the Philippines, with Australia, and we’ve reinforced partnerships with India, Indonesia, Malaysia, Singapore, Vietnam, and others. We’ve begun to conduct more joint training exercises – like the Keen Edge exercises we hold with Japan biannually. And we’ve sent more assets to the region, both diplomatic and military. And we’ve bolstered our trilateral cooperation with Japan and Australia, and with Japan and South Korea.
Strengthening our relationship with China is also part and parcel of the rebalance. We seek a relationship with China defined by practical and tangible cooperation on challenges that face both of our nations. The more we can work together, and be seen as working together, the more we can avoid the trap of inevitable rivalry.
I just came from Beijing where I met with a range of senior Chinese officials. And just in the last year – it’s been quite extraordinary – our cooperation has grown deeper and wider, from combating climate change, to facilitating travel between our people; from confidence-building measures between our militaries to working together to bring peace to South Sudan and to pursue a comprehensive agreement with Iran to ensure that its nuclear program is for exclusively peaceful purposes.
This year, we intend to build on this momentum of last year through ongoing, day-to-day bilateral discussions, our Strategic and Economic Dialogue, and the state visit of President Xi that he will make to Washington coming up in September.
But even as we deepen cooperation, we also deal forthrightly with our differences – and we will continue to do so. For example, we are firm in our stance on maritime security. Free commerce requires free waterways for ships to pass. It requires that the needs of business take precedence over squabbles over rocks and shoals.
We have made clear that the U.S. military would not abide by China’s unilateral declaration of an Air Defense Identification Zone in the East China Sea, including over the Senkaku Islands. And President Obama has clearly stated that the Senkaku Islands fall under Japan’s administration and under the mutual defense treaty with Japan and the United States. We don’t take a position on the various territorial claims of others, but we do take a strong position on how those claims are pursued. Any disagreement must be dealt with in accordance with international law, peacefully, with restraint, and avoid actions that unilaterally change the status quo. We have urged China and ASEAN to reach a code of conduct that will reduce the potential for conflict in the years to come.
The true question at the heart of these conflicts is who controls access to Asia’s abundant energy resources. The region depends, as you know, on sustainable, affordable, and reliable access to diverse energy supplies – which in turn rely upon the safe and reliable transport of oil and gas in maritime channels. Almost a third of global crude oil and over half of global LNG passes through the South China Sea, making it one of the most important trade routes in the world.
Uncertainty fueled by competing South China Sea claims affects energy security; it affects trade and commerce; it creates a more unpredictable investment environment. If we can peacefully end ongoing conflicts over rocks and reefs, then the Asia-Pacific region will be better able to attract investment. Cooperation is needed to fully prove and develop the billions of barrels of oil and hundreds of trillions of cubic feet of LNG that are estimated to reside under the sea. Developing these resources will bring jobs; it will bring growth and a more secure energy future to the region.
So enhancing security is one pillar of the President’s rebalance. Supporting regional institutions is another.
We know that strong regional institutions are essential to helping to lower tariffs, encourage cooperation, maintain stability, and resolve disputes. So that’s why we’ve remained a very strong supporter of ASEAN and its mission to promote smart energy, trade, and investment. It’s why we’ve taken an active role in APEC, an organization working to promote trade and investment liberalization, cut global carbon emissions, and expand economic opportunities for women. And it’s why we’ve worked hard to elevate the East Asia Summit to the premier forum for dealing with political and security issues throughout region.
Today, though, it is my honor to have the attention of so many of Japan’s business leaders, and so I’d like to focus the balance of my time on the third pillar of our rebalance strategy, and that of course is the economic pillar.
U.S. businesses, workers, farmers, and consumers have been a dependable foundation for growth in the Asia-Pacific for decades. I see it everywhere I travel. Trade with the United States fills bank accounts, store shelves, and ocean freighters – from the Port of Yokohama, to the Stock Exchange of Hong Kong, to the markets of Kuala Lumpur. We remain the single largest source of foreign direct investment in the region – U.S. investment stock here reached $622 billion a couple of years ago in 2012. We are also the most important market for Asian goods, exchanging well over $1 trillion dollars in trade with the continent each year.
But we’re not the only driver of growth in the Asia – far from it. Japan is fueling billions of dollars in trade with Thailand, South Korea and Hong Kong. Australia, which signed free-trade agreements with China, South Korea and Japan last year, is importing from Singapore and Japan. And of course China is exporting to Malaysia and Vietnam. Overall, trade among APEC nations reached $1.4 trillion this year and is outpacing world trade growth by a 40 percent margin.
As we look forward and deeper into 2015, the single most important step we can take together for our economic relationships is completing the Trans-Pacific Partnership.
The state-of-the-art Trans-Pacific Partnership Agreement – or as we call it, TPP – establishes high standards on labor, intellectual property, the environment, and it levels the playing field for businesses in all of our nations. It will unlock vast new markets. It will curb the role of state-owned enterprises as they compete with private companies. It will expand trade in a region that already represents one-third of all global exchange. And it will bring economic growth and jobs to all our shores. For example, economists predict it will add $100 billion to Japan’s GDP over the next decade.
Working together to create a rules-based regional trade architecture built on transparency and competition – this is an ambitious undertaking. But it is an achievable one. And it will change how we trade for decades to come.
This agreement is about more than the economic opportunities it unleashes, because the fact is, TPP is not just a technical trade agreement, it’s a strategic opportunity for the entire region.
The TPP serves both the United States and Japan’s strategic interests for three principal reasons:
First, it will cement the strong alliance framework and partnerships that ensure the Asia-Pacific’s security and prosperity. We’ve long had a security presence in the region, as I just discussed. The TPP is the vital next step. It will assure our allies and partners that our long-term commitment to the region reaches beyond security and into the economic realm. It will add another dimension to our strong and enduring presence in the Asia-Pacific.
Second, concluding the TPP, with over 40 percent of global GDP, will build a magnetic effect attracting non-members across the region to the benefits that it offers. It will spur them to make the necessary reforms like lowering tariff and non-tariff barriers to trade and investment. And in the end, it will lead them to enter the fold as liberal and open economies. Indeed, what we’re seeing is that a number of non-TPP countries like South Korea are expressing strong interest in joining. Even China is showing interest. We welcome new members – so long as they can meet the high standards that will be front-and-center in this agreement.
And there is a very important point there that I want to emphasize, and I want to be very clear with all of you about it. The TPP is not an attempt to isolate or contain China. Any nation that is willing to rise to the occasion and meet the high standards we have set for ourselves is welcome – China included. In fact, the world would be a better place if China made the changes and embraced the reforms that would make it an eligible candidate for TPP.
Finally, concluding the TPP is about defining the values that we want to see prevail in the Asia-Pacific – values like fair labor standards, environmental protection, and laws updating intellectual property rights. The standards enshrined within this agreement reflect our values and interests as nations committed to dynamic, just, and rules-based economic practices. The TPP offers economic stability in a turbulent world.
Ultimately, this agreement establishes a framework that enables countries throughout the region to grow together – in a way that will benefit us for generations to come. It will ensure that we focus not just on whether our economies grow, but how they grow.
So where does TPP stand today? We made lots of progress during the most recent negotiations in New York, and I was just discussing that with the chairman before we came out here. The contours of a final agreement are coming into focus. But the closer you get to the end of something as complicated and meaningful as TPP, you get to the toughest issues and the hardest choices. So we need all stakeholders in all sectors – including those of you in this room – to help make those choices and push TPP over the finish line. We need you to make the calls, convene the meetings, and remind officials of the economic and strategic benefits that this agreement will bring. With your help, we can complete this agreement and continue to bend the arc of the region in the direction of progress and prosperity.
There are enormous opportunities in the years ahead – that you know better than most anyone – to make headway on trade. And we have to seize them. But TPP alone is not a cure all. It’s not the only answer. Broad-based economic growth requires a thriving society. It requires that people have access to training and education. It requires the free flow of ideas and information. It requires the rule of law, the protection of intellectual property. And it requires that governments protect the universal human rights of their citizens.
This too is a pillar of our policy in the region, and it helps to uphold all the others. Promoting these values serves some very practical goals. When all people in society are unshackled – when they are free to think and act creatively and for themselves to question and criticize, to challenge conventional wisdom – that’s how you get innovation. That’s how you get entrepreneurship and the building blocks of a growing, self-sustaining economy.
These values empower citizens to demand a cleaner environment and safer products, to ask for high labor standards, to make their governments more accountable and less corrupt – all of which makes trade more free and fair and helps our companies compete.
That’s why in Burma we’ve been working to keep the government accountable to its people as Burma opens to the world. It’s why in Vietnam – 20 years after normalizing relations – we continue to work encourage reforms that will strengthen the rule of law and freedom of expression. And it’s why in Cambodia, we are supporting civil society and pluralistic politics while strengthening our relationship at the same time.
In the United States, entrepreneurship is almost written into our DNA. But we believe that businesses and governments alike can’t just invest in profits; we have to invest in all the tools that create prosperity, especially our human resources.
Think about this: If you asked people 50 or 100 years ago to define the wealth of a nation, they might talk about the size of its population, the expanse of its land mass, the strength of its military, the abundance of its natural resources. And all of those things still matter. And in the United States, we’re blessed with all of them. But in the 21st century, the true wealth of a nation lies in its human resources and in the ability of countries to maximize their potential, to let them be free and creative and innovative. That is the true wealth of a nation.
On top of the list, then, are the investments we have to make in our young people – the men and women who will be making our economic decisions in 10, 15 or 20 years down the road. And that’s something I know that all of you are well aware of. We are grateful for your efforts to expand student exchange programs between Japan and the United States.
And programs like the Young Southeast Asian Leaders Initiative, or YSEALI, are also leading the way in these efforts. As we encourage students to come to the U.S. to learn about open markets and entrepreneurship, we send Americans to Asia as students, as Fulbright Scholars, as Peace Corps volunteers.
These programs empower young people to be the business leaders of the future. In Manila, I heard one YSAELI alumnus launched a program to help modernize the Philippines’ agricultural economy. In Cambodia, another graduate wrote a handbook to help students choose the right career path. And in Singapore, we brought graduates of our program together with American firms to help open markets, but also open minds.
I was in South Korea just a few days ago at the beginning of this trip. I met with college students and alumni from our International Visitor Leadership Program, and a few of them told me a little bit about their careers. Some of them were journalists. Some of them spoke passionately about their studies to become businesspeople, to become lawyers, to become engineers.
And then yesterday I sat with three remarkable young entrepreneurs on a train from Tientsin to Beijing, and they told me about the challenges and opportunities of launching start-up ventures in China.
Across the board, these young people are thinking big. They don’t just want an education; they want to be able to vote for their leaders. They don’t just want a big paycheck; they want to make sure everyone has the right to speak freely and that that right is respected at the same time.
I’ve had inspiring conversations with young people throughout the region, and every time I walk away with confidence that – if we can make the right choices today and take advantage of the economic opportunities that are staring us literally in the face – then the region’s future will be bright, and it will be in very good hands.
America’s engagement with the Asia-Pacific – economic and otherwise – is a testament to a simple fact: America too is a Pacific nation. Our commitment to this region has stood the test of time, the test of conflict, the test of Mother Nature. And one of the clearest indicators of this commitment is our long history of partnership and alliance with Japan, a partnership based not on a temporary alignment of interests, but on a permanent foundation of shared values, a partnership and alliance we look forward to reaffirming when Prime Minister Abe makes a state visit to the United States in April, a partnership that sets a powerful example for the rest of the world.
Seventy years after the end of a bloody war, our countries have never been closer. Your cities host the U.S. Navy’s 7th Fleet and 50,000 American troops – including the U.S. Marines on Okinawa. And across the Pacific, more than 1.3 million Japanese-Americans populate and energize cities from San Francisco to New York.
But these statistics tell only part of the story. Behind the numbers are businesses creating new technology, volunteers distributing emergency food aid in the Philippines after the typhoon, government agencies working hand-in-glove to combat climate change, battle violent extremism, and the scourge of Ebola.
The next chapter in this historic friendship will be about how we shape the Asia-Pacific economy for the 21st century and beyond. We have weathered the storms of war and conflict. We’ve transcended the differences that divided us. Now it’s up to us to take the next step and unite behind a shared economic vision.
I believe Japan, the United States, and the other economies in the Asia-Pacific region will continue to grow and prosper together. But it depends on wise leadership. And it depends on all of you, the business community, continuing to make and strengthen your connections with businesses and people across the Pacific. And it depends on our governments, seeing past short-term concerns to long-term opportunities.
Change is never easy, but we know what our shared future should look like. The task before us is to turn that vision into reality, to the benefit of this time and the benefit of generations to come. Thank you so very much.
QUESTION: Thank you for your inspiring speech. We have been very much encouraged by your confidence in TPP, especially I’ve been chairman of promoting TPP for the last four years, so I am really glad that this is going to be the time that we can probably celebrate by summertime. The next action, though, for us after TPP is the Japan-China-Korea trilateral, then going to the Rsep, so we really hope that the TPP will set the stage for the fundamental agreement going forward with China and East Asian countries. Having said all this, we, who just came back from Davos, a lot of discussion being talked about geo-political risk in East Asia, and the first thing you mentioned out of the three is also the regional security. So if you could mention a little bit about the geo-political risk in East Asia after you have visited Korea, China, and Japan – what will be the take-away after you visit, and also on a long-term basis, what we can do to keep peace over here.
QUESTION: I’d like to take the privilege of master of ceremonies and add one question related to the TPP. You said that TPP is nothing about isolating or excluding China, but on the other hand, how much do you think China is serious or ready to join TPP discussions?
DEPUTY SECRETARY BLINKEN: Thank you both and I want to thank you personally for your extraordinary leadership in working to advance TPP. It doesn’t happen without the kind of leadership that you, and indeed the members of this organization have made.
Let me start actually with the second question very quickly, because I just came from China. My sense is that there has been a real shift in China with regard to TPP from looking to reject and hoping in fact that it didn’t happen, to being quite curious and interested in it. And as I said a few minutes ago, we would welcome that. But like with any member, China would have to meet the high standards across the board that the TPP establishes. If that were to happen, it would be a very good thing for all of us, because those standards would continue to help China move in a positive and progressive direction. So ultimately, as with anything it’s going to be up to China more than anyone else. So we’ll see if it evolves in that direction, but once TPP gets done and you have 40 percent of the world’s GDP represented, I think that’s going to cause countries who are not in it to want to be in it. And then we have another agenda beyond TPP, and that of course is the so-called TTIP in Europe, and if you were to realize that and bring TPP and TTIP together, you would have about 75 percent of the world’s GDP represented, and again I think that will create a very powerful magnet for those countries not in either agreement to want to get in.
So geo-political risk: I’d actually start from the other way around. I see TPP as a fundamental way to lower geo-political risk, to create incentives for countries to trade together, to do business together, to work together, and to avoid conflict. That’s the power of it as a strategic proposition, not simply an economic one. But I also think that the work we’ve been doing in the region is designed precisely to lessen risk. Our presence in the region, our military presence in the region, has been a force for stability for decades. It’s allowed, I believe, some of the remarkable progress we’ve seen over the last 70 years. Similarly, the work we’re doing to try to build the institutions in the region – that too is a way to lower geo-political risk because it creates mechanisms and forums where countries can work through their differences and try and come to common solutions. That’s why we spend so much time on it.
And then the other element in this, of course, it the relationships between and among the different countries in the region, apart from the institutions, and there we’ve seen some positive developments in recent months. I think the progress that has been made in the relationship between Japan and China, including the meeting between Prime Minister Abe and President Xi at the end of last year, the commitment to work together on a number of issues – that’s encouraging. We’ve seen similarly a more positive relationship develop between South Korea and China. That’s also promising and important in terms of lowering risk. And as I said, our own relationship with China – we’re determined to build on the cooperation we’ve already established even as we address the differences. That too, I think, will lower geo-political risk.
So all of these things taken together, I think, can make a big difference. Now, there are clearly sources of significant instability. I believe the most significant source of instability in the region is North Korea and its reckless pursuit of a larger and larger nuclear program and the missiles to deliver those weapons around the world. And that’s why we’ve been trying to make common cause with Japan, with South Korea, with China, with Russia to convince North Korea that it needs to denuclearize. But I actually feel that the entire rebalance is starting to shift and lower geo-political risk, and that in turn is going to create an even more attractive place for investment and for trade.
QUESTION: My name is Hirano, MetLife Japan vice chairman. Can I ask one more TPP question? Or if it’s too much, I withdraw. OK. I heard lots of positive voices when I visited Washington last month, and I’m quite encouraged by your tone of speech – that’s quite encouraging. But we also know that there are many big impediments going forward. So my question is quite straightforward: What are the biggest remaining impediments for TPP to move forward? And to what extent can we be optimistic about the closing of negotiations? Thank you.
DEPUTY SECRETARY BLINKEN: Thank you very much. Well, since negotiations are ongoing at this very moment, the last thing I want to do is get in the middle of them. I trust our negotiators very much. In fact, when I first began in government 22 years ago in the Clinton administration, for about six months I shared an office with Ambassador Froman, our trade negotiator, so I’ve known him for a long time, and I know his dedication and commitment to getting this done. Let me just say this: In anything this complicated and this meaningful, the last mile or the last kilometer is the toughest. The hardest things remain at the end. But what I’m confident of is that with regard to the United States and Japan, both countries, both teams, are working through the remaining issues with determination, and I think in a very pragmatic way, and I’m convinced that there is a determination in particular from Prime Minister Abe and from President Obama to see this to conclusion in the coming weeks and months. So I never want to minimize the challenges of that last mile or last kilometer, but given the determination and good will on both sides, I’m feeling confident that we’ll get there.
QUESTION: (via interpreter) … About the Senkaku Islands and also about visiting Yasukuni Shrine where war criminals are enshrined.
DEPUTY SECRETARY BLINKEN: Again, with regard to the Senkakus, I think President Obama has been very clear. They are under Japanese administration and part of and covered by the U.S.-Japan security treaty. It’s as clear and simple as that. The only thing I would say with regard to the second part of the question is, I think that in many areas in many countries it’s important to be sensitive to history and to the sensitivities created by history, but what strikes me when I think about the countries in this region, and for example Japan and South Korea, to cite just one example, whatever the sensitivities of history, so much more unites countries than divides them. And those common interests and those shared values today, in the year 2015, are what we should focus on, what our leaders should focus on, and they are the foundation for the future that we are trying to build together. Thank you.
QUESTION: At the Keizai Doyukai, I am the chairman of the project team for empowerment of “Japan Hands.” Japan Hands means friends of Japan and experts on Japan. In your speech you mentioned about youth exchange and investment in the youth, which means the next generation is quite important, and I totally agree. And you referred to the high school exchange, but I would like to know if, under the implementation of TPP, how we can encourage the next generation of professional level or high-level exchange between Japan and the United States. Thank you.
DEPUTY SECRETARY BLINKEN: Thank you very much. To me, actually, nothing is more important than exchange – at every level. High school students, college students, professionals, science, technology, business – this is what knits our countries together more than anything else. This is the foundation that we are building the next generation of the relationship on. And I see this every day. As I mentioned, when I was in South Korea and then in China, I met with some of the people who had been involved in our exchange programs. And as an American, I have to tell you it’s profoundly powerful because young people will go to the United States on these programs and come back with a totally different picture of the United States, a totally different understanding than they had before. And usually it’s positive. And they share it with their families, with their friends. And this is how you build a relationship. And similarly, we have Americans coming to Japan, and they come home, and they’re able to explain Japan, to share it with their friends and with their families, and that builds the relationship. So I believe deeply in these programs, and even if I didn’t, I wouldn’t have a choice because my wife is responsible for these programs at the State Department. She’s the Assistant Secretary of State for Educational and Cultural Affairs. She runs the Fulbright program. She runs all of the exchange programs. So even if I didn’t believe it, she’d make me. But as it happens, I think nothing is more important. Ambassador Kennedy is very focused on strengthening, expanding, building these programs, and I have to tell you, maybe the No. 1 supporter and cheerleader for these programs is President Obama. He himself benefitted from exchange programs in his youth. He knows the power that they bring. I applaud you for all that you are doing and your support for these programs. Thank you.
QUESTION: I am Tabata, former board member of the International Monetary Fund representing the Japanese government. My question is the relation between the military rebalancing that you mentioned a couple of times and the security of East Asia. A couple of day ago, President Obama asked the U.S. Congress to approve the use of ground forces for the war against terrorism and so on, which means that the former original part of the rebalancing of military forces left from the Middle East and to be concentrated on Asia and so forth. But actually, if military force will be used for the war against terrorism in the Middle East or the Islamic State, then some emptiness will happen in East Asia. But as you know, last year China’s military expenditures exceeded $100 billion U.S. dollars, which is 8 percent of the world’s military expenditures. So taking account of this situation, you mentioned about practical and precise situations are important for the security of East Asia. So my question is for instance to restore Subic Base in the Philippines – you were thinking about that – at the same time, how do you think about restoring and utilizing Cam Ranh Bay in Vietnam? These are very practical strategies and so forth. I would like to ask your comment about this.
DEPUTY SECRETARY BLINKEN: Thank you. Let me be very clear, because I don’t want there to be any misunderstanding, and the President has been extremely clear about this – we will not be sending tens of thousands of troops back to Iraq or to Syria or anyplace else in the region for that matter. The President, as you know – and if you look at the National Security Strategy that we just published last week – we’re focused on moving away from having tens of thousands of American troops in one place locked in for years or even more. What we’re trying to do is to build the capacity of others to deal with the challenges that they face, and so in Iraq, the small number of forces that we have there are trying to help the Iraqis, to train them, to advise them so that they can deal in the first instance with the problems posed and the challenges posed by ISIL. So we are not going to be sending tens of thousands of troops back to Iraq. What the President asked for the other day was really a matter that’s very important – to demonstrate that the executive branch, the White House, and Congress are united in the way we’re going to deal with the threat posed by ISIL. And so he wanted to have Congress on record in this authorization supporting what we’re doing together to deal with this threat. And that’s what that’s about. It is not to authorize tens of thousands of ground forces in Iraq – that is not going to happen. What we’re looking at is a small number of trainers, some advisers, and indeed that’s what we have on the ground in Iraq now. So I just want to be very clear about that.
And then again, with regard to this region, I think what you’re seeing across the board is countries working together to develop their capacity. For example, the United States, Japan, South Korea, and others are working with countries from the Philippines, Vietnam, Malaysia, Indonesia for example to develop their maritime capacity. This is very beneficial in doing exactly what we discussed in response to the first question, which is lowering strategic risk, lowering tensions, creating an environment of stability. So we have a very active program working with countries throughout the region in those areas, and I think we’re already seeing the benefits of that. But the rebalance itself is balanced, with a security component, with an economic component, with an institutional component, with a bilateral component, and increasingly as well with people-to-people exchanges that are another foundation of what we’re doing. So you have to look at the balance within the rebalance to see its strength.