Thank
you all, thank you. I am delighted to have a chance to address you
today. I know you’ve had a busy and active set of encounters and
discussions. But it is a special treat for me to be here. I thank you,
John, for that introduction, because you and many in this audience have
held fast to a vision of partnership in the Americas even when some
people may have had a hard time seeing it or understanding it, because
it is so important that we keep our eyes on the horizon about what is
possible and continue to work toward achieving it.
It was that potential which inspired 18 years ago the very first
Summit of the Americas. I remember it very well when my husband
announced in this building – somewhere but not in this brand new
conference center – that the United States would host the first-ever
gathering of democratically elected leaders from throughout the Western
Hemisphere. He talked then about our “unique opportunity to build a
community of free nations, diverse in culture and history, but bound
together by a commitment to responsive and free government, vibrant
civil societies, open economies, and rising living standards for all of
our people.”
Well, that opportunity that was spoken about 18 years ago has really
been born into reality. The people and the societies of the Americas
have done so much to realize it. And that may be exemplified by the
place where President Obama and I will head tomorrow for the sixth
Summit of the Americas. I think that if we look back on the work we have
done through the last years to support Colombia, it’s quite remarkable
where Colombia stands today.
Now, first and foremost, of course, the credit goes to the heroic
effort of Colombia’s people and government, but it’s had steadfast U.S.
support. And so leaders from the entire hemisphere will gather in
Cartagena with an agenda focused not on how we overcome a threat, but
how we seize a unique opportunity.
As much as our hemisphere has changed, it is not alone in that
experience. The world has changed so much, and we have to do a very
honest assessment about where the United States stands in our efforts to
realize the potential of these partnerships.
Before President Obama traveled to Brazil, Chile, and El Salvador
last year, I did address the issue of what I called “the power of
proximity” because the Americas drive our prosperity. They buy more than
40 percent of our exports – three times as much as China. They provide
more than half our imported energy. They are home to a growing number of
global players with a central role in building new architectures of
cooperation that defend our interests and our values. Their record of
democratic development has global resonance at a time when democratic
models and partners are needed more than ever. And our historic and
deepening interdependence gives the Americas a singular importance to
our people, our culture, and our society.
So harnessing that power of proximity is one of the most
strategically significant tasks facing our foreign policy in the years
ahead. I think the same can be true for our neighbors, because the power
of proximity runs in both directions, and we together must harness it.
We must turn the Americans, already a community of shared history,
geography, culture, and values, into something greater – a shared
platform for global success.
That has been the principle behind the Obama Administration’s focus
on building equal partnerships, and it will be the message that the
President takes to the Summit. We will look to translate our strategic
vision into concrete steps. As our Colombian hosts have shown, those
steps must be all about building connections among our governments, our
businesses, our markets, our educational institutions, our societies and
citizens.
Now, when we think about connecting the Americas, we start with our
shared agenda for competitiveness and innovation. After all, this
hemisphere is home not just to the United States’ biggest trading
partners, but also to the dynamic emerging economies. Brazil and Mexico
are projected to become top-five global economies in coming decades.
Countries like Colombia, Chile, Peru, Uruguay, Panama have found recipes
for strong growth. That has major implications for jobs right here.
U.S. exports in this hemisphere were up 24 percent last year. President
Obama set a goal of doubling exports in five years and we are well on
the way to doing that. But what it means for Latin America and the new
middle class is that half of all households are now in the middle class.
That number could grow to three-quarters within 20 years.
Our free trade agreements and economic diplomacy capitalize on this
two-way market. Thanks to the FTAs we ratified last year with Colombia
and Panama, as John said, our trade partnerships run uninterrupted from
the Arctic to Patagonia. We have signed a slew of agreements on economic
cooperation and investment with Brazil and others. The Trans-Pacific
Partnership that we are negotiating includes Chile and Peru. It’s also
received strong interest from Canada and Mexico.
What’s notable is not just the scale, but the makeup of hemispheric
trade. It consists of value-added products that create jobs and drive
innovation. Production and design span borders, like the LearJet, which a
Canadian company builds in the United States with Mexican-manufactured
parts. This is high-quality trade, and high-quality trade means
competitiveness for all of our companies.
Now, that’s good, but it’s not good enough. For when we compare
ourselves to the most dynamic global regions, we still have a ways to
go. The Inter-American Development Bank estimates that hemispheric trade
is only half of what it could and should be. There are still too many
barriers, whether uncoordinated regulations or inadequate
infrastructure, that limit our potential. And in the face of rising
competition, especially from Asia, we have to up our game.
That should begin with building new, more productive ties among
entrepreneurs, companies, and markets. In Cartagena, we’re joining with
business leaders to create a sustained private sector effort that will
coordinate with and complement the work of governments. We’re
intensifying our focus on small- and medium-sized enterprises,
especially those started and run by women. They account, after all, for
90 percent of Latin American businesses and two-thirds of Latin American
jobs, yet they have little access to the tools, financing, and
partnerships that could help them thrive. In the United States just 1
percent of small and medium-sized enterprises access global markets. So
by building links among these businesses, we can turn them into engines
of job growth and prosperity.
We also have to do better when it comes to the technology that makes
connectivity possible. This hemisphere’s young people have embraced
technology and new media in huge numbers. But their ambitions have not
been matched by the infrastructure and access that can drive real
progress. Broadband costs more than three times more in Latin America
than the OECD average. That’s a serious drag on development. So we’re
going to try to leverage technology to enhance opportunity.
And as you look at innovation, we need to consider it in the
long-term, and that means the hemisphere has to do more to provide
better financing, deeper ties between scientists and institutions. We
require more private initiatives like the announcements from Boeing and
GE that they will establish research and technology centers in Brazil.
We have to empower all of our citizens to take advantage of the new
economy.
That brings me to the second area where we need to connect more:
education. America’s record in education is really commendable, but our
record in exchanges in education throughout the hemisphere leaves a lot
to be desired. We need to leverage the skills of young people. Building
those connections will be key to that. When President Rousseff met with
President Obama earlier this week, they advanced our joint commitment to
educational exchanges under our 100,000 Strong in the Americas and
Brazil’s Science Without Borders. These are initiatives that will send
thousands of students to train in universities in one another’s
countries throughout the hemisphere. Now businesses have to do their
part because they have to help us develop the skilled workforce that we
seek and we will try to build those private sector partnerships in
Cartagena.
We’ll also build connections in a third area: energy. Now, massive
oil finds are being developed in Brazil while countries like Colombia
and Canada are expanding production. And new methods have unlocked
natural gas everywhere from the United States to Argentina. Smaller
countries like Trinidad and Tobago are gas refiners and providers. And
the progress is as striking in green energy, whether it’s Mexican
advances in energy efficiency, Chilean innovations in geothermal, or the
work on bio-fuels we’re doing with Brazil.
We’ve made energy a priority of our foreign policy and in February I
signed a historic trans-boundary oil agreement with Mexico. We started
high-level energy dialogues with producers. And just this week,
President Obama and President Rousseff agreed to collaborate on deep
water oil and gas operations. Under the Energy and Climate Partnership
of the Americas, launched by President Obama at the Summit of the
Americas in 2009, we have leveraged already more than $150 million in
government investment to support more than 40 initiatives.
There’s no doubt the Western Hemisphere is capable of producing
cleaner, cheaper, more reliable energy to support growth here and
globally, but in order to do that, we have to build a truly hemispheric
network of our energy sectors. Connected markets would bring economies
of scale, stable supplies, efficiency, and more use of renewables. That
work we will also launch in Cartagena. And we will do what we can to
help create a future of sustainable, affordable energy for all in the
Americas.
Now progress within the hemisphere gives the Americas a new global
profile. When I talk with foreign ministers – I’ve just finished the G8
ministers meeting here in Washington – whether I’m talking climate
change or global growth and trade or nonproliferation, U.S.-Latin
America relationships really matter to these global issues.
Peru and Chile have become key partners in the Pacific. Colombia is
leading on citizen security globally and, with Guatemala, is one of our
closest current partners on the Security Council. Uruguay contributes
the most per capita to peacekeeping of any nation in the world. Costa
Rica aims to become the first carbon-neutral country. Canada is one of
our most important allies in diplomatic and security efforts. And nearly
every country in the hemisphere stepped up to support Haiti.
This global activism carries tremendous strategic benefits. And at
the summit, it is time to add an outward looking dimension to our
connections, because our global engagements will be crucial to our
success in the hemisphere. Now being global partners, I will hasten to
say, does not mean we’ll always agree; that’s not the case. But it
reflects a faith that even when we disagree, convergent interests and
values give us important shared objectives in the world.
Now President Obama and I have said many times that this will be
America’s Pacific century, and we are focused on the broader Pacific.
But remember, the Pacific runs from the Indian Ocean to the western
shores of Latin America. We see this as one large area for our strategic
focus. That’s why we’re working with APEC; that’s why we’re creating
the Trans-Pacific Partnership. We recognize the mutual benefits of
engagement between the Americas and the rest of the Pacific.
Our global partnership also extends into the G20, which includes
Argentina, Brazil, Canada, and Mexico, which will host the next meeting
in June. And Mexico has been a leader in the climate change negotiations
from Copenhagen to Cancun to Durban. Chile has joined Mexico to become
the second Latin American member of the OECD and others are lined up to
follow.
When I go to Brasilia next week, my conversations there will center
on the major challenges of our day from Syria and Iran to growth and
development. And I will join President Rousseff to co-chair a meeting of
the Open Government Partnership, a joint effort to foster transparency
and accountability among 54 governments, and a quarter of them are from
Latin America and the Caribbean.
So we have an affirmative agenda that is forward-thinking and
outward-looking. It reflects what we can do together in this hemisphere.
But at the same time, we must be clear about where we can and should do
better. We cannot afford to be complacent. So we have to commit to
further progress against exclusion and lack of opportunity. Yes, the
region has come a long way, thanks to a lot of smart social and economic
policies. I applaud the work that has been done on many of the quite
pioneering programs of conditional cash transfer and so much else. But
the gap – the inequality gap – is still much too large. So we have to
focus on economic policies that will close that gap. And we have to pay
particular attention to women and indigenous and Afro-Latin communities,
so that they, too, are part of the future we envision.
We have to protect democracy. It’s no accident that this hemisphere’s
successes have come along with a nearly complete embrace of
democracies. The Inter-American Democratic Charter enshrines democracy
as a fundamental responsibility of governments and a right of all
citizens. So we have to strengthen the capacity of the Organization of
American States to defend democracy and human rights.
And of course, we have to address crime and insecurity. From the
start of this Administration, we’ve have made it clear that the United
States accepts our share of responsibility for the criminal violence
that stalks our neighbors to the south. We tripled funding for demand
reduction for illegal drugs to more than $10 billion a year. We
strengthened the Merida Initiative in Mexico, the Central American
Citizen Security Partnership, the Caribbean Basin Security Initiative,
our ongoing assistance to Colombia.
And our support is focused not just on helping security forces track
down criminals; we’re working to address the root causes of violence,
from impunity to lack of opportunity, to build accountable institutions
that respect human rights and enhance the rule of law. Courts and
prisons, police and prosecutors, schools and job-training centers, and
building those partnerships with political leaders, but also with
businesses and with the elite, who have a special obligation to help
confront these challenges. I really applaud the progress that President
Perez Molina has made in Guatemala, in just the first few months of his
tenure, in tax reform. The fact that so many of the wealthy in Latin
America have not paid their fair share of taxes is one of the reasons
why the services that are necessary to protect citizen security, to
enhance educational opportunities have not been available.
I understand the frustration in the region is high; the progress is
viewed as being too slow. We have launched very open and frank dialogues
with our partners to find ways that we can be of more assistance in
supporting the reform efforts that are necessary.
But ultimately, a lot of this comes down to the connections between
people. We have to be willing to do everything we can imagine to forge
those connections. We have a lot of them already: blood and family,
language and culture, history and geography, but there’s a lot more we
can and must do. And we should act even when governments are not willing
to partner with us.
In Cuba, for example, the hundreds of thousands of Cuban Americans
who have travelled to the island since we eased the way for them early
in this Administration are our best agents for change. They’ve already
helped bring about some promising developments, especially in the
economic arena. So we have to work to unleash the potential that we see
in our hemisphere. And it truly is an exciting opportunity for the
United States and equally for all the nations of the hemisphere.
When President Obama and I went to that first of his summits three
years ago, it was exciting because I remembered the first summit that we
had in Miami. I’m old enough to remember a lot of those things these
days. (Laughter.) And I remember the generational look of that summit
when, frankly, my husband was about the youngest leader, as I recall, or
looked like it anyway. (Laughter.) Whereas now, there are young leaders
with new ideas who are working hard on behalf of their country. There
are women elected president, something which you know I think is a great
advance. (Laughter and applause.)
And so the whole picture is one of great promise and opportunity and
excitement, so I know that both the President and I are excited about
going back to the summit. We’re sure there’ll be some surprises, as
there always are at such large events. But more than that, there will be
a palpable sense of the connections between and among us. And to me,
that is worth everything – to build on those connections, to connect us
in a way that really provides what we are all seeking, to help people
live up to their God-given potential, to enshrine the values and habits
of democracy, to lift people who have a generation or so before been
mired in illiteracy and poverty into the middle class. It doesn’t get
any better than that. This is the time for the Americas. And we have to
do more to reach out to convince our own fellow Americans of that
opportunity, and we have to – those of us in government or in academia
or business or NGOs – be partners in making these connections real.
I’m looking forward to the work ahead, and I thank you so much for
your interest in the abiding partnerships here in our hemisphere. Thank
you very much. (Applause.)