For Immediate Release
Office of the Press Secretary
April 23, 2004
U.S. Eases Economic Embargo Against Libya
Statement by the Press Secretary
Since December 19, Libya has taken significant steps eliminating
weapons of mass destruction programs and longer range missiles, and has
reiterated its pledge to halt all support for terrorism. In the last
two months, the Government of Libya has removed virtually all elements
of its declared nuclear weapons program, signed the IAEA Additional
Protocol, joined the Chemical Weapons Convention, destroyed all of its
declared unfilled chemical munitions, secured its chemical agent
pending destruction under international supervision, submitted a
declaration of its chemical agents to the Organization for the
Prevention of Chemical Weapons, eliminated its Scud-C missile force,
and undertaken to modify its Scud-B missiles.
Officials from the United States, United Kingdom, OPCW, and IAEA,
invited by the Libyan government to assist in and verify the
elimination of its WMD programs, have received excellent cooperation
and support.
Through its actions, Libya has set a standard that we hope other
nations will emulate in rejecting weapons of mass destruction and in
working constructively with international organizations to halt the
proliferation of the world's most dangerous systems. Libyan actions
since December 19 have made our country and the world safer.
The President made clear on December 19 that Libya's actions to
voluntarily dismantle its WMD and longer range missile programs, as
well as renounce terrorism, would open the path to better relations
with the United States.
In recognition of the steps it has taken over the last two months
to repudiate WMD and to build the foundation for Libya's economic
growth and reintegration with the international community, the United
States will take the following steps:
Today, the President has terminated the application of the Iran
and Libya Sanctions Act with respect to Libya, and the Treasury
Department has modified sanctions imposed on U.S. firms and individuals
under the authority of the International Emergency Economic Powers Act
to allow the resumption of most commercial activities, financial
transactions, and investments. U.S. companies will be able to buy or
invest in Libyan oil and products. U.S. commercial banks and other
financial service providers will be able to participate in and support
these transactions.
Controls on exports with respect to Libya will be maintained
consistent with Libya's continued presence on the State Sponsors of
Terrorism List. Restrictions will continue to apply to exports of
dual-use items with military potential, including potential for WMD or
missile applications. Exports to Libya of defense articles and
services on the U.S. Munitions List remain prohibited. Direct air
service between the U.S. and Libya and third country code-sharing are
not yet authorized, nor is the release of frozen Libyan Government
assets.
In conjunction with our enhanced economic relations, we will begin
a dialogue on trade, investment, and economic reform, and will
take steps to encourage Libya's reintegration with the global market.
In particular, we will drop our objection to Libyan efforts to begin
WTO accession process.
In recognition of our deepening dialogue and diplomatic engagement
on a broader range of issues, the Department of State intends to
establish a U.S. Liaison Office in Tripoli, pending Congressional
notification. Our protecting power relationship with Belgium, whose
support in Tripoli over the years has been greatly appreciated, would
end. Direct diplomatic dealings with Libya will reflect the reality on
the ground over the last several months of bilateral cooperation and
dialogue.
The U.S. will continue to promote humanitarian and joint programs
that advance people-to-people ties between America and Libya. As a
result of the lifting of commercial restrictions on Libya, Libyan
students will be eligible to study in the United States, subject to
admission to an American educational institute and meeting the
eligibility requirements for a student visa.
A U.S. education delegation will travel to Libya on April 23, to
begin consultations on cooperation in the education sector and in
educational exchanges.
The United States has underscored to Libya the importance of a
complete renunciation of all ties to terrorism. The President's
certification to Congress under ILSA that Libya has fulfilled the
requirements of relevant United Nations Security Council resolutions
relating to the bombing of Pan Am 103 does not prejudge the removal of
Libya from the Terrorism List or detract from Libya's obligation to
fulfill its continuing Pan Am 103 commitments. The necessity of ending
any tie to terrorist groups or activities will continue to be a central
issue in relations with Libya.
Assistant Secretary of State for Near Eastern Affairs William Burns
will continue our political and economic dialogue with Libya on issues
that include terrorism, human rights, political and economic
modernization, and foreign policy in Africa.
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