1. The Secretary of State of the United States of America, Madeleine Albright,
and the Secretary of Defense, William Cohen, met in Washington on November
3, 1999, with Australia's Minister for Foreign Affairs Alexander Downer and
Minister for Defense John Moore, to strengthen further the alliance relationship
between the US and Australia and to discuss regional and global issues.

VITALITY OF THE ALLIANCE

2. Ministers recalled that one of the stated motivations of the ANZUS Security
Treaty of 1951 was the signatories' desire "to strengthen the fabric
of peace in the Pacific Area," and agreed that the strategic partnership
between the US and Australia continued to fulfill this goal. The shared values
and interests embodied in the ANZUS Treaty and the 1996 Sydney Statement underpinned
the full range of cooperative activities undertaken by the US and Australia
in the Asia - Pacific region and beyond. Events since AUSMIN 98 had demonstrated
once again that the strategic partnership was flexible enough to cope effectively
with rapid changes in the regional and global security environment.

3. Australia and the United States affirmed that the spread of political
and economic freedom, growth of democratic institutions, and respect for human
rights were essential for the achievement of genuine long-term stability and
lasting peace. They further agreed that adherence to these principles should
continue to guide their cooperative efforts to advance their national interests
and values.

REGIONAL ISSUES

4. The US and Australia congratulated the people and the Government of Indonesia
for their achievements to date in effecting a transition to democracy. They
also commended Indonesia's far-sighted decision to work with Portugal and
the United Nations to give the people of East Timor a say in their future
status, and then transferring administrative authority for East Timor to the
United Nations. Both countries called on Indonesia to continue cooperating
with international efforts to facilitate the expeditious movement of displaced
persons who wish to return to East Timor, establish a secure and peaceful
border between East Timor and Indonesia, and gather information regarding
alleged violations of human rights.

5. The US and Australia noted that developments within Indonesia will continue
to have significant security implications for other nations that are either
located in Southeast Asia or whose national interests are affected by developments
in that region. With this in mind, both sides affirmed their support for a
peaceful transition to democracy within an economically prosperous Indonesian
state that is unified within its current borders. They also confirmed their
commitment to work with Indonesia for a productive, mutually beneficial relationship
that assists Indonesia in meeting the many challenges it faces.

6. The US thanked Australia for the leadership it has displayed in supporting
the United Nations Mission in East Timor (UNAMET) as well as taking the lead
in organizing and, at the request of the UN Secretary General, assuming command
of the International Force for East Timor (INTERFET). Australia expressed
gratitude to the US for the rapid and essential military and diplomatic support
given these endeavors. The US and Australia welcomed the strong regional participation
in INTERFET, including the willingness of the island state members of the
South Pacific Forum to provide practical support within their resources for
UN operations in East Timor. Both sides expressed support for the United Nations
Transitional Authority for East Timor (UNTAET) and called on other nations
to also provide voluntary contributions to support UNTAET. The US and Australia
strongly urged all parties in East Timor to strive for national reconciliation
that respects the rights of all Timorese, and to pursue friendly, mutually
beneficial relations with Indonesia.

7. The United States and Australia agreed that a key component of global
security in the new century would be the emergence of a stable, prosperous,
and open China that played a constructive role as a full member of the international
community. Both governments agreed that achievement of this goal would be
served by continuing practical and comprehensive engagement with China, affirmed
their commitment to a "one China" policy, and stated their firm
belief that disputes between China and Taiwan should be settled only by peaceful
means. They also expressed the hope that China would soon be able to enter
into full membership in the World Trade Organization under appropriate terms.

8. Both governments underscored the continuing importance to regional security
and stability of the bilateral alliances between the US and Japan, the Republic
of Korea, Thailand, and the Philippines. Australia expressed continued support
for the US-Japan alliance as a central pillar in the region's security architecture,
and welcomed the recognition by the US and the Japanese government of the
importance of their relationship to the region, manifested most recently by
the passage of the Defense Guidelines by Japan's Diet. Australia and the United
States welcomed indications of a return to positive economic growth in Japan
and looked to the government of Japan to take firm action to ensure that this
growth continued in a sustained way. Australia and the United States agreed
continued implementation of policies to advance economic growth in Japan would
have significant benefits, both economic and strategic, for the Asia Pacific
region. The United States and Australia expressed their strong support for
closer relations between Japan and China and Japan and Russia, as important
steps in fostering the Asia Pacific's growing sense of community and cooperative
endeavor.

9. Australia welcomed the recent improvement in US-DPRK bilateral relations
and US efforts, along with Japan and the Republic of Korea, to reduce the
threat of nuclear and missile proliferation on the Korean peninsula, noting
that continued progress in these areas was essential for Australia's own security,
especially in light of its economic ties to northeast Asia. The US expressed
appreciation to Australia for its recently announced contribution to the Korean
Energy Development Organization (KEDO) for the year 2000.

10. The US and Australia welcomed continuing efforts by the ASEAN Regional
Forum (ARF) to enhance regional security. Both expressed support for the review
of the overlap between confidence building measures and preventive diplomacy
and hoped that the ARF would progress to a greater focus on preventive diplomacy,
bearing in mind the need to proceed at a pace comfortable to all members.
The two countries reaffirmed their efforts to press the Burmese regime to
cease its political repression and begin a direct dialogue with the democratic
opposition, including Aung San Suu Kyi, and representatives of the ethnic
minorities.

DEFENSE COOPERATION AND ARRANGEMENTS

11. Australia and the United States re-emphasized the strength and vitality
of the US-Australia defense relationship. The two governments noted that the
climate of trust and confidence that had built up over 50 years as security
partners continued to deliver essential benefits to both sides. The United
States valued Australia's leadership role in forming

INTERFET and its initiative and determination in successfully deploying INTERFET
into East Timor.

12. The United States and Australia affirmed their commitment to expanding
their defense engagement programs within the Asia Pacific region. Both governments
acknowledged the value of these activities in encouraging and improving regional
cohesion. Australia regarded United States engagement as essential and welcomed
its sustained commitment to the region. Australia acknowledged the potential
in this regard of the US initiative that focuses on exercises, professional
military education, and readiness as methods to enhance contingency interoperability
in the region. Recalling the 1996 Sydney Statement, both sides reaffirmed
their intention to work cooperatively with other states in the region and
to encourage collective solutions to problems and security challenges in the
region. They observed that the various phases of the UN operations in East
Timor were a striking example of regional cooperation to achieve shared goals.

13. Australia and the United States noted that interoperability remains a
priority goal of the alliance. Rapid echnological changes require both governments
to maintain an open dialogue and continue to explore exchanges focused on
interoperability. Australia and the United States applauded the highly successful
Crocodile joint exercise, held in Queensland, Australia in October 1999. The
achievements of our forces during Crocodile and the effective collaboration
in INTERFET reflect the benefits and importance of our combined training and
exercises arrangements. Both sides welcomed maintaining a robust training
and exercise schedule and look forward to expanding military training opportunities
in Australia.

14. Ministers expressed their pleasure at the success of the AUSMIN Defense
Acquisition Committee, established during the 1998 AUSMIN talks in Sydney.
They noted that in encouraging constructive dialogue, the Committee offers
important new ways to eliminate many of the obstacles that had previously
delayed acquisition programs between the US and Australia. The Ministers emphasized
the importance of Australian access to advanced US military technologies.
The US declared it would aim to facilitate further extensive and timely access
by Australia to relevant technologies in order to enhance interoperability
between our armed forces.

GLOBAL SECURITY

15. Participants confirmed the shared commitment of the US and Australia
to countering the proliferation of weapons of mass destruction and systems
for their delivery. They agreed on the crucial need to implement fully and,
where appropriate, strengthen the framework of multilateral agreements designed
to serve this goal: the Treaty on the Non-Proliferation of Nuclear Weapons
(NPT), the Chemical Weapons Convention (CWC), the Missile Technology Control
Regime (MTCR) and the Biological Weapons Convention (BWC). The United States
and Australia agreed to work hard towards an early conclusion of a protocol
to strengthen compliance with the BWC. The US expressed strong support for
Australia's proposal to convene a high-level meeting to propel the Ad Hoc
Group negotiations into the final phase. They expressed the hope that an effective
fissile material cut-off treaty (FMCT) that would end for all time the production
of fissile material for nuclear weapons or other nuclear explosive devices
could soon be added to this framework. The US and Australia agreed that the
NPT continues to deliver significant security benefits to all nations and
to seek an outcome of the 2000 NPT Review Conference that reinforces the treaty.
They urged support for the
IAEA's ongoing efforts to strengthen safeguards, including the prompt conclusion
of protocols to IAEA safeguards agreements.

16. Both parties agreed that a strong and continuing arms reduction process
was important in its own right, as well as being part of the nuclear powers'
obligation to leadership in reducing nuclear dangers. Australia expressed
its support for ongoing US-Russian discussions aimed at furthering the process
of reducing strategic offensive arms through an eventual
START III agreement. The United States and Australia expressed their shared
concerns about the threat to regional security posed by the proliferation
of ballistic missiles. Australia expressed its understanding of US plans to
decide next year on deployment of a limited National Missile Defense (NMD)
to defend against potential threats from rogue states and noted in that context
US discussions with Russia on possible amendments to the Anti-Ballistic Missile
(ABM) Treaty. Australia encouraged the United States to pursue amendments
consistent with the spirit and intent of the ABM Treaty in order to maintain
an effective Treaty relevant to new strategic circumstances.

17. Australia expressed disappointment at the failure of the United States
Senate to give its advice and consent to ratification of the Comprehensive
Test Ban treaty (CTBT). The US assured Australia that the Administration continues
to support strongly the CTBT and the international regime it establishes,
and would continue to act in accordance with its
obligations as a signatory to the CTBT, would maintain its moratorium on nuclear
explosive testing, and would seek reconsideration of the Treaty by the Senate
when conditions are better suited for ratification. Both countries joined
in calling on nations that have not done so to sign the CTBT, and on signatories
to ratify the treaty promptly. The United States and Australia called on all
states to refrain from conducting nuclear explosive tests.

18. The US and Australia discussed the continuing tensions between India and
Pakistan. Both sides expressed the hope that the Indian and Pakistani governments
would take concrete steps to improve relations, and that Pakistan would replace
its current military-led government with a representative, balanced, accountable,
and economically-effective civilian government in as short a timeframe as
possible. They agreed to continue to work to encourage concrete action to
avert a nuclear and missile arms race in South Asia and to strengthen the
international non-proliferation regime, in accordance with UNSCR 1172.

19. Australia and the US also called on Iraq to comply fully with all relevant
UN Security Council resolutions regarding the verification and destruction
of its capability to produce weapons of mass destruction and missiles. They
expressed their determination to continue support for efforts by the international
community to bring about full compliance by the
Government of Iraq.

20. The two governments expressed their concern about terrorism and the importance
of continued close cooperation to combat this threat to global security, particularly
in the lead-up to and during the Sydney 2000 Olympics.

TRADE

21. Australia and the United States reaffirmed their commitment to the liberalization
of trade and investment and their strong support for the launch of a new round
of multilateral trade negotiations in Seattle in November/December, as a means
of achieving increased global prosperity, higher standards of living, and
sustainable development. They emphasized the central importance of achieving
substantial reform of trade distortions in agriculture in the negotiations.
Australia welcomed the expressed US interest in coordinating more closely
with members of the Cairns Group of agricultural exporting nations. Australia
strongly encouraged the United States to obtain Fast Track negotiating authority
to facilitate progress in the new round.

22. Both governments welcomed the positive outcomes from the APEC Ministers'
and Leaders' meetings in Auckland in September 1999, and endorsed the core
elements that Ministers and Leaders had identified for a new multilateral
trade negotiations round. They acknowledged the contribution that this has
made to the launch of a new round.

23. Australia and the United States reaffirmed their commitment to reducing
and eliminating barriers to trade, expanding bilateral trade and investment
ties and to working closely together to address outstanding bilateral trade
issues, including through the Trade and Investment Framework Arrangement talks
which were last held at Ministerial level in Washington in May 1999. The two
sides agreed on the utility of settling bilateral differences in accordance
with WTO rules. The two governments discussed several bilateral trade issues
including agricultural export and industry assistance measures and lamb safeguards
actions, possible labeling requirements for products containing genetically
modified organisms, and sanitary and phytosanitary import restrictions.

CONCLUSION

24. Both sides affirmed the enduring value of the annual Australia-US Ministerial
Consultations as the peak consultative body of the alliance partners. The
US accepted Australia's offer to host the next round in Australia in 2000.

<AUSMIN Index>