Secretary Hagel's Remarks at Malaysia's Institute of Defence and Security

              SECRETARY OF DEFENSE CHUCK HAGEL:  General [William] Stevenson, thank you for your generous welcome and very kind introduction.

 

               I'm honored to be here this afternoon at the Malaysian Ministry of Defense and very much appreciate the warm hospitality of my friend, the defense minister for Malaysia, Minister Hishammuddin, who I have gotten to know over the last few months very well.

 

                And I very much appreciated the time that we had together this morning, as well as the time that I had with Prime Minister Najib.

 

                Let me also acknowledge the guests that have come here for this event, including representatives from the American Malaysian Chamber of Commerce, and I'm particularly proud that Anne Marie Brooks, who was with me in the United States Senate for a few years, who has recently become a senior member of the Malaysian American Chamber of Commerce, and continues to work in her capacity to help build a stronger relationship between our two countries in so many ways.  I'm very proud of her and the work that she is doing for both of our countries.

 

                Having the opportunity to visit Kuala Lumpur just a few days before your celebration of independence, I'd like to particularly wish the people of Malaysia a happy Merdeka Day.  And as you all know, next month marks 50 years since the formation of modern Malaysia.  At that time, President John F. Kennedy observed that both the United States and Malaysia are unions composed of a number of states, stretching over great distances, drawn together in the interests of freedom and the well-being of our people.

 

                These enduring realities underpin what President Kennedy called a special bond between the people of Malaysia and the people of the United States.  Over the last half-century, this special bond has flourished into a robust diplomatic, economic and security relationship.  We're both multiethnic, multi-cultural, and multi-faith nations, where our peoples live together in harmony, despite their differences.

 

                Both our lands are blessed with abundant bounty and many natural resources that we have worked very hard to develop.  And we are both trading nations, seeking to improve the lives of our people through the promotion of international commerce.

 

                The United States and Malaysia are now significant regional and global partners, and our two countries share a diverse and expanding relationship in trade, investment, education and culture.  Our two militaries are also cooperating more than ever before in areas such as maritime security, counterterrorism, nonproliferation, and responding to humanitarian crises and natural disasters. 

 

                In the future, it's clear that Malaysia will be playing an even more critical role in helping sustain Asia's security and prosperity.  The strong and thriving relationship of our two nations enjoy -- a very special bond and a testament to the progress Malaysia and Southeast Asia have made over the last five decades. 

 

                Consider that in the years following Malaysia's formation in 1963, Southeast Asia was a region plagued by conflict and poverty.  There was the Emergency and then the konfrontasi between Malaysia and Indonesia, and diplomatic ties between Malaysia and the Philippines were suspended because of territorial disputes. 

 

                On the mainland, the conflict between North and South Vietnam was escalating, with growing direct involvement by the United States.  Millions of American troops -- including my brother, Tom, and me -- would be deployed to fight in that long and bloody war. 

 

                The repercussions were felt for many years afterwards, not only by the Vietnamese, Americans, and others who fought in the war, but also by nations throughout the region.  That period of turmoil and conflict has since given way to a new era, an era defined by growing stability, cooperation and prosperity for the region.

 

                Southeast Asia's fast-growing economics and 600 million six hundred million people now produce more than $2 trillion in goods and services every year, and the region has the world's busiest trade routes and some of the busiest ports.  

 

                The region is also home to emerging democracies, with Myanmar's ongoing transition the latest example of how governments across the region are becoming more responsive to the democratic wishes of their people. 

 

                And Southeast Asia is playing a leading role in helping solve many regional challenges, with the 10 ASEAN nations strengthening key institutions that are helping foster cooperation among countries, and also maintaining stability, and resolving disputes peacefully. 

 

                The rise of the Asia Pacific is a tribute to the resilience, the energy, the entrepreneurial spirit of its people.  The United States admires what you have achieved, and we are very proud and committed to continue our engagement in this region. 

 

                Since World War II, the U.S. has helped build a system of free and open commerce that has assisted in bringing stability to this part of the world.  As we look to the future, it is clear that the Asia Pacific region will also help shape the trajectory of global security and prosperity.  And because America recognizes that its future will be even more connected to this part of the world, we are rebalancing the weight of our global diplomatic, economic and security engagement toward the Asia Pacific. 

 

                Two months ago, in my remarks at the Shangri-La Dialogue in Singapore, I noted the logic and the principles of this broader strategy.  Today, I want to share my perspective on how the United States is reinvigorating and reshaping its engagement with Southeast Asia. 

 

                President Obama has made clear that the United States must not only rebalance toward Asia Pacific, it must also rebalance within the Asia Pacific to reflect Southeast Asia's emerging prominence and importance.  As I said in Singapore, the rebalance should not be misinterpreted.  The United States has alliances, interests and responsibilities across the globe. 

 

                Within the Asia Pacific, our historic alliances in Northeast Asia with Japan and the Republic of Korea will remain cornerstones of regional and global security, particularly as we stand firm in the face of North Korea's dangerous and destabilizing activities and provocations.  But as political, economic and security trends across Southeast Asia evolve, the Obama administration is responding to the strong interests from leaders and publics for increased U.S. security cooperation, economic engagement, and support of ASEAN efforts to adhere to rules and norms in support of regional security and prosperity. 

 

                This rebalance consists of new diplomatic initiatives.  Since President Obama took office in 2009, the United States has made major advances in the relationships in Southeast Asia and recognized the centrality of ASEAN, joining the ASEAN Treaty of Amity and Cooperation, holding annual ASEAN-U.S. leaders' meetings, joining the East Asia Summit, appointing a resident ambassador to ASEAN, and standing up a permanent mission to ASEAN, making the United States the first non-ASEAN country to do so.  I will be attending the ASEAN Defense Ministers' Plus Conference in Brunei later this week. 

 

                A related diplomatic initiative is our carefully calibrated engagement with Myanmar, as it pursues political and economic reforms.  President Obama has expressed our support for Burma's turn toward democracy, through his historic visit to the country last year and his hosting of President Thein Sein in the Oval Office earlier this year.  This week, I will have the opportunity to meet for the first time with my Burmese counterpart at the ASEAN Defense Minister Plus Meeting. 

 

                My upcoming visit to the ADMM-Plus, and my travel to Malaysia, Indonesia, and the Philippines this week, is an example of how the United States is engaging in defense diplomacy -- defense diplomacy in this region.  My predecessor, Secretary Gates, attended the inaugural ADMM-Plus in Hanoi in 2010, and we began holding annual ASEAN-U.S. Defense Ministers' informal dialogues in 2011.  I've invited ASEAN defense ministers to Hawaii next year for the first-ever U.S.-hosted meeting of this important group of partners. 

 

                Other senior officials across the United States Government are also making travel to Southeast Asia a top priority.  Earlier this summer, Secretary of State Kerry traveled to Brunei.  Secretary Kerry was in Brunei to meet with his ASEAN counterparts.  Secretary of Health and Human Services Sebelius visited Thailand and Vietnam.  And Vice President Biden traveled to India and Singapore recently.

 

                The United States trade representative, Mike Froman, was just in Brunei for talks with other ASEAN economic officials.  And this fall, President Obama intends to make his sixth trip to Asia and visit Southeast Asia for the fifth time. 

 

                In addition to the APEC summit and ASEAN leaders' summit, his itinerary includes the Global Entrepreneurship Summit here in Kuala Lumpur, where he will be accompanied by our new secretary of commerce, Penny Pritzker, as well as American corporate leaders, entrepreneurs, innovators, educators and investors. 

 

                The Obama administration has made engagement in this region a priority, a priority because we believe more robust ties with ASEAN countries are very important to America's economic growth.  Last November, President Obama and the 10 ASEAN leaders launched the expanded economic engagement initiative, which is helping boost trade and investment and create new business opportunities and jobs in all 11 countries. 

 

                A related effort is the Trans-Pacific Partnership, a high-standard trade agreement.  This agreement will eliminate market access barriers to goods and services and establish a stronger rules-based economic framework for Asia Pacific nations.  The United States welcomes Malaysia's decision to join these negotiations, which partnership nations are trying to complete by the APEC Summit in October. 

 

                The United States also strongly supports ASEAN's own economic integration goals, its vision of increased political cohesion, and security cooperation, including the launch of the ASEAN community in 2015, during Malaysia's chairmanship. 

 

                This summer in Brunei, Secretary Kerry pledged that the United States will continue to invest significantly in technical assistance to support this effort.  We are strongly supportive of ASEAN's success.  These diplomatic and economic initiatives are designed to bring greater prosperity to all of our nations by building trade and investment, increasing our cultural and societal ties, educating our people, and fostering innovation to provide better health care, more renewable energy, and a sustainable environment. 

 

                But success in every one of these areas is underpinned by peace and security.  The security of our nations help to ensure that people enjoy sustained prosperity.  The U.S. and regional defense and security cooperation supports the diplomatic, economic and cultural goals that we all share and we all work toward. 

 

                Security is a critical foundation of prosperity.  Trade cannot flourish in waters that are contested by force.  Societies cannot thrive under the threat of terrorism.  And commerce cannot be sustained in areas devastated by natural disasters. 

 

                The security and prosperity of Southeast Asia -- like all regions of the world -- will depend on how we confront persistent and emerging threats, including terrorism; weapons proliferation; the illicit trafficking of people, drugs, protected wildlife, and dangerous materials; the growing threat of disruptions in space and cyberspace; natural disasters and environmental degradation; competing maritime claims; the curse of poverty and disease; and ethnic strife. 

 

                Our Southeast Asian partners recognize that these complex threats and challenges cannot be resolved by any single country.  They require bilateral and multilateral political will and capability to confront them. 

 

                A key component of U.S. security strategy is to help nations and institutions across Southeast Asia improve their capabilities to address these threats.  One of the most important ways in which we do this is through joint military exercises and engagements.  These build trust, let us exchange best practices, and better prepare our militaries to work together in response to crises. 

 

                As part of the rebalance, we are making these exercises more robust and inclusive.  Last month's successful Cooperation Afloat Readiness and Training exercise with Malaysia incorporated the USS Freedom, a new Littoral Combat Ship now deployed in Singapore.  This exercise built on last year's first-ever visit to Sabah by a U.S. Navy aircraft carrier, the USS John C. Stennis. 

 

                We're including more nations across the region in these exercises, as we have done with Cobra Gold.  What began as a bilateral military exercise between the United States and our treaty ally Thailand in 1980 has since evolved into a large multilateral exercise involving more than 13,000 personnel from the United States, Thailand, Indonesia, Japan, Malaysia, Singapore, and South Korea, all training together in areas such as jungle warfare, counter-proliferation, and combined arms. 

 

                Another example is RIMPAC, the U.S. Navy's largest multilateral exercise, which features 46 navy vessels, 200 aircraft, and over 25,000 personnel.  India joined this exercise in 2012, and in 2014, Brunei and China will participate for the first time. 

 

                Over the past year, the United States has placed a priority on sustaining these exercises and engagements during a period of unprecedented budget turmoil at home.  Despite these fiscal challenges, we will continue to strengthen these exercises and engagements, particularly as the end of the war in Iraq and the drawdown in Afghanistan allow us to shift focus and capacity from these wars to our presence in the Asia Pacific. 

 

                The U.S. is helping its partners improve their capabilities by providing new defense technology and equipment.  Our most recent budget includes $90 million for Foreign Military Financing and International Military Education and Training programs in Southeast Asia, an increase of more than 50 percent compared to four years ago. 

 

                We're also increasing commercial defense trade and ultimately envision moving towards co-production and co-development of new platforms with our closest partners in the region.  This will allow us to share American technology and expertise which will further deepen our security partnerships.  We are currently working with Japan and Singapore on these kinds of initiatives, and we are looking to expand this important engagement with other countries in the region. 

 

                In addition to helping improve the capabilities of our Southeast Asian partners, we're encouraging them to cooperate more effectively with each other and other nations in the region, including our close allies Australia, Japan, and South Korea, as well as emerging powers, like China and India. 

 

                This multilateral cooperation is essential to meeting transnational security challenges.  For example, counter-piracy efforts in the Strait of Malacca, those were largely ineffective, until Malaysia, Indonesia, Thailand, and Singapore began cooperating routinely to share information and coordinate patrols.  Now this threat has been virtually eradicated. 

 

                To further this kind of cooperation, we are making new investments in the Asia-Pacific region's growing security architecture, particularly the ASEAN-led institutions like the ADMM-Plus, which is now Asia's primary multilateral defense ministerial. 

 

                Enhancing U.S. contributions to regional institutions is a key pillar of our strategy in the region.  Over the past three years, the ADMM-Plus has demonstrated remarkable progress.  This year, the ADMM-Plus is hosting its first-ever multinational field exercises in three areas -- humanitarian assistance/disaster relief and military medicine; counterterrorism; and maritime security. 

 

                The just-concluded humanitarian assistance and disaster relief exercises hosted by Brunei -- involving 18 nations and more than 3,000 troops -- were very successful and were an example of the promise of the ADMM-Plus to facilitate these increasingly complex and real-world exercises. 

 

                While this cooperation is encouraging, we cannot lose focus on what still remains to be accomplished.  For regional security institutions like the ADMM-Plus to successfully achieve tangible solutions to shared problems and build a common framework for overcoming differences, much more hard work will be required, including at this week's meetings in Brunei. 

 

                Two particular areas I want to focus on in our discussions this week in Brunei will be cybersecurity and maritime security, both of which are complex regional issues that stand directly at the intersection of security and prosperity.  Disruptions to either domain could put lives at risk and threaten our economies, like a cyber attack inflicted on banking networks and critical infrastructure or a naval confrontation in disputed waters. 

 

                ASEAN institutions have an important role to play in reducing risks in these areas.  Forums like the ADMM-Plus can be part of the process to establish norms of behavior in cyberspace.  The United States is helping nations across the region bolster their cyber defenses to make sure we are protected against cyber threats and to reduce the risks stemming from cyber attacks, but ultimately there is no substitute for effective regional cooperation that establishes strong rules of the road. 

 

                On maritime security, the United States is troubled by the increase in tensions and incidents in waters throughout the region, including in the South China Sea.  We continue to call on all parties to exercise restraint, in keeping with the 2002 Declaration of Conduct, and to resolve any incidents peacefully, without use of intimidation, coercion or aggression. 

 

                We have made clear that we strongly support ASEAN's efforts to start formal negotiations on a binding Code of Conduct for the South China Sea.  As for the underlying claims, we support peaceful means of settling territorial disputes consistent with international law, including the Law of the Sea. 

 

                We must not let disagreements in areas like maritime security undermine the tremendous progress this region has made over the recent decade.  Instead, we should ensure that ADMM-Plus emerges as a venue where nations put aside animosity in favor of practical cooperation, where leaders discuss their differences candidly and transparently, where our military officers can share best practices, and where young soldiers, sailors, airmen and Marines of many nations can get to know one another through regular joint exercises, side by side. 

 

                A strong ADMM-Plus supports our vision for a future of shared peace and prosperity, in a world where nations of the Asia Pacific region -- including the United States and the ASEAN community -- are bound together by strong economic ties, mutual security interests, and respect for rules, norms, and the institutions that underpin them. 

 

                No security architecture in Southeast Asia can succeed without the active involvement and participation of the two large emerging powers that border this region, China and India.   

 

                As part of our rebalance, the United States is committed to pursuing a positive and constructive relationship with China.  We have very open discussions with China, including a productive visit last week by my counterpart, Defense Minister General Chang, whom I hosted at the Pentagon.  He and I agreed that we must increase our cooperation and our mutual understanding, including through more defense exercises and the recently established U.S.- China Cyber Working Group.  And we continue to encourage China to work toward greater transparency. 

 

                We are clear-eyed about the challenges of the U.S.-China relationship and will continue to work to implement through dialogue and engagement the vision laid out by our two leaders at their June meeting in California.  I enthusiastically accepted General Chang's invitation to visit China next year, and I look forward to further progress in this relationship in the months ahead. 

 

                The United States is also building on our close partnership with India.  I had a very positive meeting with Indian National Security Advisor Menon last week in Washington.  India's role as a stabilizing power in the region is of growing importance -- of growing importance with the increase of trade and transit between the Indian and Pacific Oceans. 

 

                The United States considers India's efforts to enhance its military capabilities a welcome contribution to security in the region, and we are working to move our defense trade relationship from that of a buyer-seller to one of co-development and co-production.  This will be on the agenda for Prime Minister Singh's upcoming visit to the United States, which was announced last week. 

 

                Together, the United States and all the nations of this region are defining a new future, one where we embrace the obligation to conduct ourselves responsibly and identify ways to work together to solve common challenges.  In that spirit of cooperation, we can ensure that the peace and prosperity that this region has so far experienced will continue into the future. 

 

                I'd like to close my remarks today with a story that reflects the complex but hopeful history of this region and our shared hope for a better future for all of us.  It is the story of a young man named H.B. Le, who was born in Vietnam and was only 5 years old when the North Vietnamese army overran Saigon.  He and his family fled, like thousands of others, on overcrowded fishing trawlers.  One of those trawlers was commanded by his father, who was an officer in the South Vietnamese Navy. 

 

                They were rescued by a U.S. Navy ship and resettled just outside Washington, D.C., where H.B. and his many brothers and sisters grew up.  It was nearly 35 years before H.B. returned to Vietnam, no longer a child or a refugee, but instead the commander of a United States Navy destroyer on a goodwill port visit to Da Nang. 

 

                Commander H.B. Le's story is a testimony to the strength and resilience of the United States, Vietnam, and nations across the region, and I'm very proud that he now serves as one of my military assistants.  In fact, he's accompanying me on this trip, and he is here with us today. 

 

                Commander Le, stand up.  (Applause.) 

 

                H.B.'s presence here, and his story, is evidence of people determining their own future, and moving beyond the past, and embracing the promise of a more secure and prosperous future for all people.  Whether the future of Commander H.B. Le is the future for all of Asia depends on what we all do today, at this time, at this time in history, as we define our own destinies.  Thank you all for being part of that effort and for helping us build a better world for all our people for the 21st century.

 

               Thank you very much.  Thank you.  (Applause.)

 

                LIEUTENANT GENERAL WILLIAM STEVENSON:  Thank you, Mr. Secretary, for your insightful and informative presentation.  You've touched on many aspects pertinent to this region, which I shall not repeat.  I will now invite questions from the floor. 

 

                Before I invite you to present your questions, I'd like to ask you to please introduce yourself.  Just state your name and organization will do.  And please be brief with your questions.

 

                May I see a show of hands for those who like to ask questions before we proceed?  (Laughter.)  Questions?  All right.  Could you please make your way to the microphone, positioning yourself at the mic, and I will call out based on the numbers that have been designated on the mic?  Please.  For the VIPs in the middle, if you raise your hands, the cordless mic will be delivered to you for your questions.  For the others who want to ask questions, please position yourselves at the mic.  Right.

 

                We'll start with the first question at mic number one.  Yes, please?

 

                Q:  Thank you -- (inaudible) -- I'm looking forward to your -- (inaudible) -- my question -- (inaudible) -- the economic diplomacy of China.  So this is two -- (inaudible) -- using its economic diplomacy, and as well as the way of engagement of -- (inaudible) -- what you've seen or your opinion for these two -- (inaudible) -- my second question is regarding -- (inaudible) my second question is regarding the -- the interests of -- (inaudible) -- towards East Asia, the relationship between alliance of United States and also South Korea and what it effect the rest of China, because -- and during -- (inaudible) -- increasing of the China -- (inaudible) -- United States -- (inaudible) -- Chinese using their economic power to influence the alliance -- (inaudible) -- South Korea -- (inaudible) -- your views on that -- (inaudible) -- the alliance will be an enduring alliance or, in the future, because of China -- (inaudible) -- effect the way forward -- (inaudible) -- alliance -- (inaudible) -- alliance.  Thanks.

 

                SEC. HAGEL:  (off mic) ask General Stevenson to give me the bottom-line question, both -- both to -- to both your questions, because I want to make sure that I answer your questions.  And I didn't quite understand what you said.  (Laughter.)

 

                So if you could -- I'm going to ask the general to give me a very bottom-line question.  So --

 

                LT. GEN. STEVENSON:  The first question is on the TPP, as we're aware, the TPP issues on the -- (inaudible) -- particularly on this region (off mic)

 

                SEC. HAGEL:  Yes, okay.  Okay.

 

                LT. GEN. STEVENSON:  (off mic) South Korea -- (inaudible) -- U.S. (off mic)

 

                SEC. HAGEL:  Okay.  Okay.  I think -- I think I've got here enough to, I hope, give you a cogent answer.  Thank you.  And I apologize.  It was on my side that I didn't quite get it.

 

                The first part of your question I would answer this way.  Trade agreements and arrangements, any kind of multilateral arrangement agreement is meant to be a wide platform of areas of mutual interests, where there can be general agreement.  You then take that framework of general agreement and then you bring it down into the specifics of compliance with the agreement.  And that requires negotiation.  That requires recognizing that each country is a little different, each country has different dynamics, influences.  There are no two countries alike in the world, many similar.

 

                So they are imperfect processes.  They are imperfect systems.  But they are particularly important because they give us a framework of cooperation.  These essentially reflect these coalitions of common interests.  And you work through those differences always with some flexibility, because recognizing, as I said -- and I think it was implied in your question -- every country's different.

 

                There are different views we recognize on these things in each country.  The United States of America has many different views on trade, on agreements, on bilateral, multilateral relationships.  So that is the case with every country.  But you work to accommodate a consensus where you can get general agreement for the good of the people and the good of multilateral relationships.

 

                As to your question on China and the Korean peninsula, if I'm -- if I'm getting this right, General Chang and I spent a considerable amount of time last week talking about the Korean peninsula.  And he noted very clearly -- and it has been the position of the People's Republic of China, as it has been the United States' position -- that the Korean peninsula must be denuclearized.  It is in everyone's interest.  That has been our longstanding position, the United States of America. 

 

                In order to accomplish that, we have to work with other countries.  China borders North Korea.  China is a very important power and influence in -- in Asia, the Pacific.  It certainly is an important country with North Korea.  So we work with China.  We must work with China.  And we find the common interests with China, starting with denuclearization of the North Korean peninsula, trying to find a way to accommodate people's interests.

 

                Trade, commerce, exchanges are all part of efforts to accomplish that, because it enhances all people, if for no other reason.  The quality of life of your citizens is enhanced when your country prospers.  Your children have futures, education, jobs, possibilities, peace, stability. 

 

                And so these are efforts that are imperfect.  There's ups and downs.  There are losses, but you keep coming back.  We have no choice.  All of you here in uniform, in particular, you're in uniform because obviously you have some sense of responsibility for your country, your country's security, and that is about a bigger responsibility and obligation than just yourself, or I doubt you'd be doing what you're doing.

 

                Thank you.

 

                LT. GEN. STEVENSON:  Thank you, sir.  Tan Sri Tana -- can you deliver a mic to him first?

 

                Q:  The Honorable Secretary of Defense Mr. Chuck Hagel, I am retired chief of navy.  I was the first local relation chief of navy back in the late '60s, right up to the mid-'70s.  I would like to ask you a question regarding the East China Sea, where you have defense agreements with Japan and South Korea.  As we all know, Japan has territorial problems with China, with South Korea, and also Russia.  My question is, how would the U.S., in the event of any conflict, so to speak, at sea respond because of your commitment to Japan and South Korea?

 

                My second question, if I may, sir, is since you have defense agreements with Japan and Korea, South Korea, and they have a dispute between them, how are you going to overcome that, sir?  Thank you.

 

                SEC. HAGEL:  Admiral, thank you very much.  And thank you for your service to your country. 

 

                The way I would answer your question is this.  We have said, the United States -- and it is our policy -- that we take no position on those disputes and those issues, that they should be resolved diplomatically, through negotiation, as I said in my remarks here, using international law.  That's for nations to decide and work through.

 

                At the same time, to your point, we have treaty arrangements with Japan, and we have had to make certain that -- and I talked to the Chinese defense minister about this on Monday -- that everybody involved, particularly the Chinese government understand, that we take those treaty obligations seriously.

 

                I don't get into hypotheticals, what ifs.  That's somebody else's business.  So, thank you.  (Laughter.)

 

                LT. GEN. STEVENSON:  Thank you, sir.  Can we have a question from the gentleman at mic number four?

 

                Q:  Yes, sir, thank you -- (inaudible) -- yes.  Yes, good afternoon.  Thanks, Honorable Secretary.  I'm Dr. Erwin Tan.  I'm from the -- lecturer with the Department of International and Strategic Studies at the University of Malaya. 

 

                And I've got two questions, actually.  And in this regard, I'm quite interested to note the fact that the U.S. is involved in two rather bitter, protracted conflicts against North Korea and North Vietnam.  But at the same time, I think it's also quite interesting to note that in more recent times, as you have noted, the U.S. has managed to extend a hand of friendship towards Vietnam, whilst remaining quite opposed to North Korea's apparent nuclear ambitions.

 

                So the first of my two questions is this.  What factors have facilitated this diplomatic rapprochement with Vietnam?  And, second, on a related note, would it be possible to replicate such rapprochement with North Korea?  Thank you.

 

                SEC. HAGEL:  Thank you.  Well, as you know, there are differences between the situation that occurred between the United States and North Vietnam years ago versus where North Korea is today. 

 

                The United States position on denuclearization in North Korea is not just the United States' position.  North Korea has violated international laws on nuclear issues.  In fact, as you know -- and I just mentioned -- that the People's Republic of China's position is that the Korean peninsula should be denuclearized.

 

                I think the real essence of your question, the way I would answer it, is that, regardless of the time, regardless of the differences, regardless of the situations, peaceful resolutions to disputes are always the responsible and preferable approach to these -- these issues.  And as you know, we, the United States, along with China and Russia, South Korea, Japan, have been party to talks over the years with North Korea to try to resolve these issues.  That is one channel, not the only channel, but that's how we must -- we must find resolution to these differences.

 

                Thank you.

 

                LT. GEN. STEVENSON:  We have about five minutes, sir.  Will you take one question from each of them?

 

                SEC. HAGEL:  Sure.

 

                LT. GEN. STEVENSON:  Okay, we -- we have time for three more questions, so one question from each of these -- of -- (inaudible) -- out there.  (Laughter.)  Please.  Yes, thanks.

 

                SEC. HAGEL:  You can see why he's the general.  (Laughter.)  Yes.

 

                LT. GEN. STEVENSON:  Yes, your question, please?

 

                Q:  Good afternoon, Secretary Hagel, sir.  I'm -- (inaudible) -- the Malaysian armed forces defense.  Since the announcement of the U.S. rebalancing policy to the Asia Pacific region, naysayers said that, well, the U.S. is on a so-called collision course with China.  And there are -- even writers within the U.S. have stated that with China's ascendancy in this region, with a naval strength being on the increase, that China might even exercise her version of the Monroe Doctrine within this region.

 

                But since you, sir, have mentioned, well, just now that where China and the U.S. have enmeshed themselves within region's security architecture.  In your own words, sir, would there be a possibility of actually open conflict in this region?  Having said that, the Chinese have come out with their 9-dash line of these -- (inaudible) -- South China Sea area.  So, sir, your insights, sir.  Thank you very much.  Much obliged.

 

                SEC. HAGEL:  What's the question?

 

                LT. GEN. STEVENSON:  He said that China's expediency in this region and he mentioned about the Monroe Doctrine and --

 

                SEC. HAGEL:  Yes.  And what's the possibility, he said --

 

                LT. GEN. STEVENSON:  Possibility of there being an open conflict --

 

                SEC. HAGEL:  Oh.

 

                LT. GEN. STEVENSON:  -- in this region and what -- how your response.

 

                SEC. HAGEL:  Okay.  Thank you.  And I apologize for -- I've never had a general interpret for me -- (Laughter.)

 

                LT. GEN. STEVENSON:  Very -- very generally, sir.  (Laughter.)

 

                SEC. HAGEL:  That's pretty good for an old sergeant.  (Laughter.)  (Applause.)  No offense, General.  (Laughter.)

 

                I think I got the essence of what you're talking about.  Well, we don't ever want to let these big disputes and issues and differences get to conflict.  I mean, much of what I talked about here in my remarks today was about how we all work together to avoid an open conflict, an open confrontation.

 

                I think the world has had enough war.  And I think one of the things that we have learned over the years, regardless of the region of the world, is that wars can't resolve differences, and not in the world that we live in today, especially, that is so interconnected and so interdependent.  It is a world where we must respect each other and each other's rights.

 

                So, sure, any open conflict is always possible.  But I have great confidence in the responsible leadership and people of China, as well as the United States.  The best way to avoid war is to always be prepared for war.  You know that; everyone in this room who's in the military understands that.  You know that every great military leader throughout the centuries has said it is the soldier who wants war the least, because it is the soldier who suffers.

 

                And so we'll continue to work through these issues to find peaceful resolution.  They are difficult.  And they're not easy.  And most of these solutions will be imperfect.  And it is about consensus.  Each side has to give something on these things.

 

                But if -- if I've got the essence of your question, I hope I have.  So, thank you.

 

                LT. GEN. STEVENSON:  Thank you, sir.  Next gentlemen, please, your question?

 

                Q:  Yes, sir.  Hi, I'm Group Captain – (inaudible) -- it's course participant with Malaysian Armed Forces Defence College.  Sir, from historical perspective, the United States has contributed immensely to international peace and security.  Now, given this rebalancing to Asia Pacific, the concern has been what happens to other regions.

 

                Sir, may I have your perspective or your decision concerning other regions, like Africa, Middle East?  Is the United States still committed to these areas?  Thank you, sir.

 

                SEC. HAGEL:  Thank you.  And it's an important question.  I referenced it in my remarks when I said specifically that the rebalancing does not mean, nor should it be interpreted as we are retreating from the rest of the world or not going to continue to fulfill our responsibilities and relationships that we have all over the world.  The United States will continue to have those relationships and keep those relationships and keep them strong.

 

                But I also noted that we have just unwound from a very long war, one of the longest wars America's ever been in, in Iraq.  We are unwinding from the longest war the United States has ever been in, in Afghanistan.  As we rebalance our interests, as we review and analyze the world, not unlike any country, not unlike any individual, you're constantly assessing your interests.  You're constantly assessing where your assets should be deployed.  Where -- where are they most important?  Where -- which parts of the world are evolving quicker?  Or -- and where are you maybe not positioned as well?

 

                These are all factors that went into the rebalancing, but it was never intended to be walking away from other parts of the world or forsaking our relationships in other parts of the world.  Thank you.

 

                LT. GEN. STEVENSON:  All right.  We'll take the final question, please.

 

                Q:  Thank you, sir.  I'm Commander Te from the Malaysian Armed Forces Defence College, also.  My question, sir, how does U.S. view the strategic partnership of China and Pakistan?  And what defense policy U.S. will take to balance the security in the South Asia?  Thank you, sir.

 

                SEC. HAGEL:  Thank you.  Well, I think the issue on China, I've covered that in many ways, as I have responded to some of the questions and in my comments, in my remarks on how we're working with China.  I also said in my remarks that we're very clear-eyed about that relationship.  There are many possibilities that we can build together with China, and we are pursuing those.

 

                Pakistan is a country with -- with a great deal of challenges.  And it has many difficulties.  But like all relationships, even the difficult ones, you -- you work through those.  You have to manage through those relationships. 

 

                Pakistan is an important country.  It has a significant nuclear arsenal.  It's a large country.  It's positioned in a very combustible part of the world.  I mean, you've got three nuclear powers that all share the same border.  China, India, Pakistan all have histories that are not particularly conducive to easy relationships.  All have been at war with each other. [END OF AUDIO]