81st INTER-PARLIAMENTARY MEETING TRANSATLANTIC LEGISLATORS DIALOGUE. Washington D.C., 5 December Joint Statement

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81st INTER-PARLIAMENTARY MEETING TRANSATLANTIC LEGISLATORS DIALOGUE Washington D.C., 5 December 2017 Joint Statement We, the members of the U.S. House of Representatives and the European Parliament, held our 81st InterParliamentary Meeting of the Transatlantic Legislators Dialogue in Washington D.C. on 5 December 2017. Building upon the strong foundation of our common values and shared principles, we discussed ways to strengthen our relationship and to respond effectively to the important challenges we face. Following-up on previous discussions, we exchanged views on issues organised under three headings: 1. Current political prospects and challenges for the EU and the U.S.; 2. Cooperation in Foreign Affairs and Security policy, with a focus on the Democratic People s Republic of Korea, Iran and Venezuela; 3. Digital economy and the future of work. We undertook to show responsibility to address these challenges and opportunities together as legislators. We reaffirmed the conclusions of our previous inter-parliamentary meeting, and are resolved to bring these and the current aims to completion. Current political prospects and challenges for the EU and the U.S. We affirmed that our relationship is strong, strategic and unique. A strong transatlantic bond is crucial for us and for the world. We welcomed the timing of this Transatlantic Legislators' Dialogue (TLD) to take stock of the new political climate. As legislators, we have an important role to deliver a joint message of stability, continuity and unity to our constituents and the world. The transatlantic partnership in security is strong and indispensable. The EU and U.S. remain fully committed to European security and to our strategic partnership. We welcome the European Union's efforts to strengthen its defence. U.S. and Europe are at their greatest when our partnership and those with others around the world are strong. Most of the threats we jointly face, such as terrorism, hybrid 1

threats, economic volatility, climate change and energy insecurity, are global threats and need a multilateral approach to be tackled effectively. In particular we welcomed the most recent initiatives by the EU to boost Europe s defence spending and capabilities, notably through the new European Defence Fund, which will supplement, amplify and enhance national investments in defence research, and through Permanent Structured Cooperation, which will enable Member States jointly to develop their defence capabilities and invest in shared projects. We acknowledged the substantial amount of $ 4.6 billion, which the U.S. Congress just approved for the European Deterrence Initiative in the 2018 federal budget. As we work towards ensuring a better future for our citizens and strive to strengthen economic growth and create jobs, we also follow with great interest the tax reform process in the United States. We briefed each other on the recent gubernatorial and special elections in the U.S. and the latest elections in Germany, Austria, and the Czech Republic. We recalled the clear and present danger to our democracies posed by fake news, disinformation and propaganda, and notably the malign interference by Russian sources. We called for our respective administrations to invest more human and financial resources in countering these threats effectively. We discussed developments in the Brexit negotiations and repeated our common wish for the future relationship between the UK and the EU to remain as close as possible, and for both the UK and the EU to maintain their strong relationships with U.S. post-brexit. We remain hopeful that both sides will do everything in their power to avoid a disorderly exit. We noted that on 5 November 2017, the Paradise Papers, the latest in a series of tax-related document leaks were made public, revealing the involvement of anonymous shell corporations in tax optimisation practices and the use of tax havens. We strive to fight tax evasion and other financial crimes and to ensure transparency in the beneficial owners of corporations. We should work towards the aim of realigning taxation with economic substance and value creation, while preventing double taxation. We followed with interest the discussions of the UN Climate Change Conference in Bonn (COP23). We commended Fiji for its successful presidency of the conference. The country's vulnerability to climate change underscored a need for action. We acknowledge the important role of non-state actors, the private sector and local governments can play in support of green innovation. We welcomed the intention on both sides to continue positive high-level cooperation on energy security, and diversification. To that 2

end we look forward to the hosting by the EU of an EU-U.S. Energy Council meeting in Brussels in early 2018. We agreed to explore ways to further deepen EU-U.S. trade and investment relations taking into account the common ground reached during TTIP negotiations. We confirmed our belief in a rules-based, open, and non-discriminatory multilateral trading system that plays a crucial role in promoting global economic growth and sustainable development. We also agreed to intensify our efforts to work together to address trade barriers imposed by other countries, particularly China. Cooperation in Foreign Affairs and Security policy, including on North Korea, Iran and Venezuela We strongly condemned the aggressive and irresponsible provocations of the Democratic People s Republic of Korea (DPRK), and notably its latest nuclear test conducted on 3 September 2017, as a serious threat to regional and global peace and security, and a clear violation of the relevant UN Security Council resolutions. We urged the DPRK to refrain from any further provocative actions, abandon its nuclear and ballistic missile programmes in a complete, verifiable and irreversible manner cease all related activities and comply immediately, fully and unconditionally with all its international obligations. Further to the latest restrictive U.S. and EU sanctions towards the DPRK, we called for the mobilisation of all diplomatic tools, in order to prevent further escalation of the crisis and work towards achieving lasting peace and denuclearisation of the Korean peninsula. In particular, we called on the Government of the People s Republic of China to exert its significant influence and political and economic leverage over the DPRK, to ensure North Korean compliance, and to fully implement all sanctions. We reviewed the status of the implementation of the Joint Comprehensive Plan of Action (JCPOA), a significant agreement aimed at limiting nuclear proliferation in the Middle East, and encouraged additional U.S. and EU engagement to strengthen enforcement and implementation of the JCPOA. The nuclear issue has to be addressed within the broader framework of initiatives to ensure a more stable, peaceful and secure regional environment in the Middle East. Beyond the agreement, we are deeply concerned by the broad range of threats that Iran continues to pose. We remain concerned by the security risk posed by Iran s ballistic missile programme and 3

highlighted the need for full implementation and enforcement of UN Security Council Resolution 2231, which calls on it not to undertake any activity related to ballistic missiles designed to be capable of delivering nuclear weapons, in addition to other measures necessary to limit Iran s proliferation of ballistic missiles. We stand with the people of Iran as they seek to improve human rights and democracy in their country. We monitor violations such as mistreatment of minorities and the arbitrary detentions of our citizens. We also expressed serious concerns about Iran's destabilizing activities in the wider region. The JCPOA remains important for security in the region, as it allows the U.S. and EU to engage Iran on these other activities, as well as encourage contacts with Iranian civil society. We reaffirm our common support for the independence, territorial integrity and sovereignty of Lebanon, and urge all parties to comply with United Nations Security Council Resolution 1701. We call on all sides involved, in particular Saudi Arabia and Iran, to put an end to the war in Yemen, which has become a humanitarian emergency of catastrophic proportions. We urge all parties to find a political solution consistent with United Nations Security Council Resolution 2216, or otherwise agreed to by the parties. We also call on Iran to immediately cease providing support to Houthi forces in Yemen, either directly or through proxies, as required by UNSCR 2216. We remain concerned about Iran s actions, directly or through proxies in Syria and support for the regime and their crimes against humanity. We called on the Iranian authorities, as well as Saudi Arabia, Turkey and Russia to use their influence on the Syrian regime to uphold the ceasefire, to remove obstacles to humanitarian aid deliveries and support the UN-led process to put an end to the civil war and pave the way for an inclusive transition on the basis of Security Council Resolution 2254. We were deeply concerned about the seriously deteriorating situation as regards democracy, human rights and economic and social instability in Venezuela. We deplored the unconstitutional violation of the democratic order by the Venezuelan authorities and strongly condemned the elections to a Constituent Assembly of 30 July 2017, as unacceptable both in form and content. We did not recognise the decisions taken by the newly established Assembly due to its lack of legitimacy, and reiterated our grave concerns about the illegal prosecution and repression of the democratically elected opposition and attacks carried out against members of the judiciary and peaceful protesters. We called on the Government to respect the constitution, restore the democratic order and ensure the immediate and unconditional release of all political prisoners. 4

We paid tribute to the Venezuelan people suffering under the Maduro regime and recognised the courageous struggle by the Democratic Opposition, to which the European Parliament recently awarded the Sakharov Prize for Freedom of Thought. We also welcomed the EU embargo on arms and related material that might be used for internal repression, and the legal framework for a travel ban and assets freeze, and resolved to work together on international action to put further pressure on the regime. We reiterated the strong commitment to the sovereignty and territorial integrity of Ukraine, including over occupied Crimea and over the Donetsk and Luhansk regions. The illegal actions of the Russian Federation have weakened and undermined European and global security and must be matched by a strong Transatlantic partnership. We agreed to cooperate in the Western Balkans in order to support democracy and prevent a reemergence of violence in the countries of the region. We welcomed the renewed commitment of NATO allies towards achieving the 2% goal of GDP defence spending, as pledged at the 2014 Wales NATO Summit. We also welcomed the streamlined EU-NATO collaboration and encouraged further common work, particularly in cyber security, one of the strongest pillars of cooperation and a critical field where both actors have unique capacities. We called on EU and NATO to develop infrastructure and procedures for military mobility across EU that would remove obstacles for rapid movement of reinforcements and materials to forward deployed U.S. and NATO troops. Overall, we believe supporting democracy is the best form of conflict prevention. Defeating enemies, ending conflict and war is one thing, but winning the peace and ensuring it lasts is another. Both Congress and the European Parliament can be influential, not only through deciding budget appropriations for support to democracy programmes, but also through our committee activities, legislative initiatives and by sending parliamentary delegations. Digital economy and the future of work We agreed to work internationally to promote an open, interoperable, unfettered, and secure internet governed by the multi-stakeholder model which promotes human rights, democracy, and rule of law, including freedom of expression, innovation, communication, and economic prosperity, while 5

respecting privacy and guarding against deception, fraud, and theft. Central to this effort is the development of norms of responsible state behavior and the applicability of international law of international law in cyberspace. Internet access and digitalization has been a driver of economic activity around the world. Unbounded by national borders, it contains the potential to significantly reduce global economic inequality and support international development. In this sector, the European Union and the United States are global leaders and they should work together towards securing global standards. We seek to coordinate public and private sector investments in critical infrastructure and telecommunications, to reduce installation costs for high-speed Internet networks and serve as a development best practice. We encouraged our respective administrations to advance dialogue in standards in the digital sphere. We reaffirmed that the completion of the Digital Single Market remains the main objective of the EU s digital agenda. We recognised the potential of an integrated EU digital market, to unlock digital opportunities, create jobs and promote economic growth in the EU. The European Union and the United States further share common values on the importance of internet privacy and data protection in modern societies. On issues of e-privacy, we must ensure that the fundamental rights to the respect of private and family life, home and communications, and to the protection of personal data are respected, in accordance with our respective legal systems. Other objectives we need to have in mind are enhancing security and communication confidentiality, defining clearer rules on tracking technologies, and achieving a greater harmonisation of standards. We discussed our differing views on the issue of net neutrality and resolved to continue our dialogue on the matter. Collaboration and discussion with our transatlantic partners is also key to ensure a safe cyberspace for our citizens. Malicious cyber-activity like the Wanna-Cry and Petya ransomware attacks were an important wake-up call for internet dependent economies. It is important for the EU and the U.S. the work together on cybersecurity and digital issues and not go their separate ways. One common challenge for both the EU and the U.S. is the vulnerability of the Internet of Things to cyber-attacks, many of them coming from China and Russia. We also note with concern the troubling trend toward restrictions on virtual private networks, cross-border data flows, and other local data storage and processing requirements supported by restrictive regimes under the false guise of cybersecurity. We welcomed the adoption of the EU-U.S. Privacy Shield decision on 12 July 2016, and the entry into operation of the Privacy Shield framework on 1 August 2016. This is an essential framework, not only for data exchanges between the EU and the US, but also for the transatlantic commerce. We welcomed 6

the first annual report on the functioning of the EU-US Privacy Shield issued by the European Commission on 18 October and its recommendations for better implementation of this framework. Whereas some of the issues regarding the practical implementation of the Privacy Shield framework must be addressed, especially as regards to the swift nomination of an Ombudsperson permanent appointee, we continue to support this important framework for our economic relations. We noted the importance of continued protection for European citizens offered by Presidential Policy Directive 28 (PPD-28) and the Foreign Intelligence Surveillance Act. Conclusion Our discussions have convinced us of the need to further strengthen and deepen our relations. We will continue the policy-oriented approach in the Transatlantic Legislators' Dialogue. We will continue to 7

work towards increased security, as well as cooperate more closely on the economy and jobs, as well as have a closer political dialogue, in the spirit of enriching our valuable partnership. We look forward to achieving progress on these and other topics by the time of our next meeting in Sofia, Bulgaria. Christian Ehler Co-Chairman EU Delegation Mario Diaz-Balart Co-Chairman U.S. Delegation Jeppe Kofod Vice-Chair EU Delegation Jim Costa Ranking Member U.S. Delegation 8