Philippines-United States relations
Encyclopedia
Philippines – United States relations are bilateral relations between the Republic of the Philippines
Philippines
The Philippines , officially known as the Republic of the Philippines , is a country in Southeast Asia in the western Pacific Ocean. To its north across the Luzon Strait lies Taiwan. West across the South China Sea sits Vietnam...

 and the United States
United States
The United States of America is a federal constitutional republic comprising fifty states and a federal district...

 of America.

Overview

Pursuant to the 1947 Military Bases Agreement, the United States maintained and operated major facilities at Clark Air Base
Clark Air Base
Clark Air Base is a former United States Air Force base on Luzon Island in the Philippines, located 3 miles west of Angeles City, about 40 miles northwest of Metro Manila. Clark Air Base was an American military facility from 1903 to 1991...

 until November 1991, and at Subic Bay Naval Complex
U.S. Naval Base Subic Bay
U.S. Naval Base Subic Bay was a major ship-repair, supply, and rest and recreation facility of the United States Navy located in Zambales, Philippines. It was the largest U.S...

 and several small subsidiary installations in the Philippines until November 1992. In July 1991, negotiators from the two countries reached agreement on a draft treaty providing for the clean-up and turn over of Clark to the Philippine government in 1992, and for the lease of Subic Bay Naval Base by the U.S. for 10 years. By 1991, operations at Clark had already been scaled back because of the end of the Cold War
Cold War
The Cold War was the continuing state from roughly 1946 to 1991 of political conflict, military tension, proxy wars, and economic competition between the Communist World—primarily the Soviet Union and its satellite states and allies—and the powers of the Western world, primarily the United States...

, with the last combat aircraft leaving in 1990, before the base was heavily damaged by the 1991 eruption of Mount Pinatubo
Mount Pinatubo
Mount Pinatubo is an active stratovolcano located on the island of Luzon, near the tripoint of the Philippine provinces of Zambales, Tarlac, and Pampanga. It is located in the Tri-Cabusilan Mountain range separating the west coast of Luzon from the central plains, and is west of the dormant and...

.

In September 1991, the Philippine Senate rejected the bases treaty by a slim margin, and despite further efforts to salvage the situation, the two sides could not reach an agreement. As a result, the Philippine Government informed the U.S. on December 6, 1991, that it would have one year to complete withdrawal. That withdrawal went smoothly and was completed ahead of schedule, with the last U.S. forces departing on November 24, 1992. On departure, the U.S. Government turned over assets worth more than $1.3 billion to the Philippines, including an airport and ship-repair facility. Agencies formed by the Philippine Government have converted the former military bases for civilian commercial use, with Subic Bay serving as a flagship for that effort.

The post-U.S. bases era has seen U.S.-Philippine relations improved and broadened, with a prominent focus on economic and commercial ties while maintaining the importance of the security dimension. U.S. investment continues to play an important role in the Philippine economy, while a strong security relationship rests on the 1952 U.S.-Philippines Mutual Defense Treaty
Mutual Defense Treaty (US-Philippines)
The Mutual Defense Treaty Between the Republic of the Philippines and the United States of America was signed on August 30, 1951 in Washington, D.C. between representatives of the Philippines and the United States...

 (MDT). In February 1998, U.S. and Philippine negotiators concluded the Visiting Forces Agreement (VFA), paving the way for increased military cooperation under the MDT. The agreement was approved by the Philippine Senate in May 1999 and entered into force on June 1, 1999. Under the VFA, the U.S. has conducted ship visits to Philippine ports and has resumed large combined military exercises with Philippine forces. Key events in the bilateral relationship include the July 4, 1996 declaration by President Ramos
Fidel V. Ramos
Fidel "Eddie" Valdez Ramos , popularly known as FVR, was the 12th President of the Philippines from 1992 to 1998. During his six years in office, Ramos was widely credited and admired by many for revitalizing and renewing international confidence in the Philippine economy.Prior to his election as...

 of Philippine-American Friendship Day in commemoration of the 50th anniversary of Philippine independence. Ramos visited the U.S. in April 1998, and then-President Estrada
Joseph Estrada
Joseph "Erap" Ejercito Estrada was the 13th President of the Philippines, serving from 1998 until 2001. Estrada was the first person in the Post-EDSA era to be elected both to the presidency and vice-presidency.Estrada gained popularity as a film actor, playing the lead role in over 100 films in...

 visited in July 2000. President Arroyo
Gloria Macapagal-Arroyo
Gloria Macapagal-Arroyo is a Filipino politician who served as the 14th President of the Philippines from 2001 to 2010, as the 12th Vice President of the Philippines from 1998 to 2001, and is currently a member of the House of Representatives representing the 2nd District of Pampanga...

 met with President Bush
George W. Bush
George Walker Bush is an American politician who served as the 43rd President of the United States, from 2001 to 2009. Before that, he was the 46th Governor of Texas, having served from 1995 to 2000....

 in an official working visit in November 2001 and made a state visit in Washington on May 19, 2003. President Bush made a state visit to the Philippines on October 18, 2003, during which he addressed a joint session of the Philippine Congress—the first American President to do so since Dwight D. Eisenhower
Dwight D. Eisenhower
Dwight David "Ike" Eisenhower was the 34th President of the United States, from 1953 until 1961. He was a five-star general in the United States Army...

. There are regular U.S. cabinet-level and congressional visits to the Philippines as well.

President Arroyo has repeatedly stressed the close friendship between the Philippines and the U.S. and her desire to expand bilateral ties further. Both governments seek to revitalize and strengthen their partnership by working toward greater security, prosperity, and service to Filipinos and Americans alike. Inaugurated into office on the same day as President Bush, President Arroyo lent strong support to the Global War on Terrorism
War on Terrorism
The War on Terror is a term commonly applied to an international military campaign led by the United States and the United Kingdom with the support of other North Atlantic Treaty Organisation as well as non-NATO countries...

. In October 2003, the U.S. designated the Philippines as a Major Non-NATO Ally
Major non-NATO ally
Major non-NATO ally is a designation given by the United States government to close allies who have strategic working relationships with US armed forces but are not members of the North Atlantic Treaty Organization...

. That same month, the Philippines joined the select group of countries to have ratified all 12 UN counterterrorism conventions.

The annual Balikatan (Shoulder-to-Shoulder) bilateral military exercises contribute directly to the Philippine armed forces' efforts to root out Abu Sayyaf
Abu Sayyaf
Abu Sayyaf also known as al-Harakat al-Islamiyya is one of several military Islamist separatist groups based in and around the southern Philippines, in Bangsamoro where for almost 30 years various Muslim groups have been engaged in an insurgency for an independent province in the country...

 and Jemaah Islamiyah
Jemaah Islamiyah
Jemaah Islamiah , is a Southeast Asian militant Islamic organization dedicated to the establishment of a Daulah Islamiyah in Southeast Asia incorporating Indonesia, Malaysia, the southern Philippines, Singapore and Brunei...

 terrorists and bring development to formerly terrorist-plagued areas, notably Basilan and Jolo. They include not only combined military training but also civil-military affairs and humanitarian projects. The International Military Education and Training (IMET) program is the largest in the Pacific and the third-largest in the world, and a Mutual Logistics Support Agreement (MLSA) was signed in November 2002. Similarly, law enforcement cooperation has reached new levels: U.S. and Philippine agencies have cooperated to bring charges against numerous terrorists, to implement the countries' extradition treaty, and to train thousands of Filipino law enforcement officers. There is a Senior Law Enforcement Advisor helping the Philippine National Police
Philippine National Police
The Philippine National Police is the national police force of the Republic of the Philippines. It is both a national and a local police force in that it does provides all law enforcement services throughout the Philippines...

 with its Transformation Program.

The U.S. is also working closely with the Philippines to reduce poverty and increase prosperity. The U.S. fully supports Philippine efforts to root out corruption, to open economic opportunity, and to invest in health and education. USAID
United States Agency for International Development
The United States Agency for International Development is the United States federal government agency primarily responsible for administering civilian foreign aid. President John F. Kennedy created USAID in 1961 by executive order to implement development assistance programs in the areas...

 programs support the 'Philippines' war on poverty as well as the government's reform agenda in critical areas, including anti-money laundering, rule of law, tax collection, and trade and investment. Other USAID programs have bolstered the government's efforts to heal divisions in Philippine society through a focus on conflict resolution, livelihood enhancement for former combatants, and economic development in Mindanao
Mindanao
Mindanao is the second largest and easternmost island in the Philippines. It is also the name of one of the three island groups in the country, which consists of the island of Mindanao and smaller surrounding islands. The other two are Luzon and the Visayas. The island of Mindanao is called The...

 and the Autonomous Region in Muslim Mindanao
Autonomous Region in Muslim Mindanao
The Autonomous Region in Muslim Mindanao is the region, located in the Mindanao island group of the Philippines, that is composed of predominantly Muslim provinces, namely: Basilan , Lanao del Sur, Maguindanao, Sulu and Tawi-Tawi. It is the only region that has its own government...

, among the poorest areas in the country. Meanwhile, important programs continue in modern family planning, infectious disease control, environmental protection, rural electrification, and provision of basic services—as well as PL 480 food aid programs and others, which together totaled $211.3 million. In 2006, the Millennium Challenge Corporation granted $21 million to the Philippines for a threshold program addressing corruption in revenue administration.

Nearly 400,000 Americans visit the Philippines each year. Providing government services to U.S. and other 'citizens, therefore, constitutes an important aspect of the bilateral relationship. Those services include veterans' affairs, social security, and consular operations. Benefits to Filipinos from the U.S. Department of Veterans Affairs
United States Department of Veterans Affairs
The United States Department of Veterans Affairs is a government-run military veteran benefit system with Cabinet-level status. It is the United States government’s second largest department, after the United States Department of Defense...

 and the Social Security Administration
Social Security Administration
The United States Social Security Administration is an independent agency of the United States federal government that administers Social Security, a social insurance program consisting of retirement, disability, and survivors' benefits...

 totaled $297,389,415 in 2006. Many people-to-people programs exist between the U.S. and the Philippines, including Fulbright, International Visitors, and Aquino Fellowship exchange programs, as well as the U.S. Peace Corps.

Trade and investment

Two-way U.S. merchandise trade with the Philippines amounted to $17.3 billion in 2006 (U.S. Department of Commerce data). According to Philippine Government data, 16% of the Philippines' imports in 2006 came from the U.S., and about 18% of its exports were bound for America. The Philippines ranks as the 26th-largest export market and the 30th-largest supplier of the United States. Key exports to the U.S. are semiconductor devices and computer peripherals, automobile parts, electric machinery, textiles and garments, wheat and animal feeds, and coconut oil. In addition to other goods, the Philippines imports raw and semi-processed materials for the manufacture of semiconductors, electronics and electrical machinery, transport equipment, and cereals and cereal preparations.

The U.S. traditionally has been the Philippines' largest foreign investor, with about $6.6 billion in estimated investment as of end-2005 (U.S. Department of Commerce data). Since the late 1980s, the Philippines has committed itself to reforms that encourage foreign investment as a basis for economic development, subject to certain guidelines and restrictions in specified areas. Under President Ramos, the Philippines expanded reforms, opening the power generation and telecommunications sectors to foreign investment, as well as securing ratification of the Uruguay Round agreement and membership in the World Trade Organization
World Trade Organization
The World Trade Organization is an organization that intends to supervise and liberalize international trade. The organization officially commenced on January 1, 1995 under the Marrakech Agreement, replacing the General Agreement on Tariffs and Trade , which commenced in 1948...

. As noted earlier, President Arroyo's administration has generally continued such reforms despite opposition from vested interests and "nationalist" blocs. A major obstacle has been and will continue to be constitutional restrictions on, among others, foreign ownership of land and public utilities, which limits maximum ownership to 40%.

Over the last two decades, the relatively closed Philippine economy has been opened significantly by foreign exchange deregulation, foreign investment and banking liberalization, tariff and market barrier reduction, and foreign entry into the retail trade sector. The Electric Power Industry Reform Act of 2001 opened opportunities for U.S. firms to participate in the power industry in the Philippines. Information and communications technologies, backroom operations such as call centers, and regional facilities or shared-service centers are likewise leading investment opportunities.

Security

U.S. Assistant Secretary of State for East Asian and Pacific Affairs
Assistant Secretary of State for East Asian and Pacific Affairs
The Assistant Secretary of State for East Asian and Pacific Affairs is the head of the Bureau of East Asian and Pacific Affairs within the United States Department of State. The Assistant Secretary guides operation of the U.S...

 Kurt M. Campbell
Kurt M. Campbell
Kurt M. Campbell is an American diplomat and academic, currently serving as Assistant Secretary of State for East Asian and Pacific Affairs.He was previously the Chief Executive Officer and co-founder of the Center for a New American Security , a national security think tank launched in January 2007...

 said in January 2011 that the United States will help boost the capacity of the Philippines to patrol their own waters, including the Spratly islands
Spratly Islands
The Spratly Islands are a group of more than 750 reefs, islets, atolls, cays and islands in the South China Sea. The archipelago lies off the coasts of the Philippines and Malaysia , about one third of the way from there to southern Vietnam. They comprise less than four square kilometers of land...

.

Diplomatic missions

The U.S. maintains an embassy in Manila
Manila
Manila is the capital of the Philippines. It is one of the sixteen cities forming Metro Manila.Manila is located on the eastern shores of Manila Bay and is bordered by Navotas and Caloocan to the north, Quezon City to the northeast, San Juan and Mandaluyong to the east, Makati on the southeast,...

 and a consulate in Cebu
Cebu
Cebu is a province in the Philippines, consisting of Cebu Island and 167 surrounding islands. It is located to the east of Negros, to the west of Leyte and Bohol islands...

. The American Business Center, which houses the Foreign Commercial Service and the Foreign Agricultural Service, is located in Makati City
Makati City
The City of Makati is one of the 17 cities that make up Metro Manila, one of the most populous metropolitan areas in the world. Makati is the financial center of the Philippines and one of the major financial, commercial and economic hubs in Asia...

. The Philippine government maintains an embassy Washington, D.C.
Washington, D.C.
Washington, D.C., formally the District of Columbia and commonly referred to as Washington, "the District", or simply D.C., is the capital of the United States. On July 16, 1790, the United States Congress approved the creation of a permanent national capital as permitted by the U.S. Constitution....

as well as several consulates throughout the United States.

External links


http://www.state.gov/r/pa/ei/bgn/2794.htm#relations
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