Mixed results for Bush on Asia tour

PRESIDENT George W Bush pressed for closer Asian partnerships in the war on terrorism, carrying his appeal yesterday to free-trade partner Singapore and planning for a visit to Bali, Indonesia, under unusually tight security precautions.

The US president arrived in Singapore from an economic summit in Thailand, where regional leaders pledged to intensify their crackdown on terror groups and to curb the spread of unconventional weapons.

But Mr Bush failed to win explicit endorsement by the 21-nation Asia-Pacific Economic Cooperation forum for a new US-led diplomatic initiative to end a year-long nuclear standoff with North Korea.

And North Korea's firing of a short-range missile possibly two appeared to damage progress toward an agreement.

However, the leaders called for resumption of international negotiations to resolve the North Korean impasse. The call was made by the Thai prime minister, Thaksin Shinawatra, who chaired the annual APEC summit.

Mr Bush came up empty in getting Asian allies to back US efforts to persuade China to end an exchange-rate policy that US manufacturers and politicians claim is costing American jobs.

First on Mr Bush's agenda in Singapore yesterday was a meeting with President S R Nathan and Prime Minister Goh Chok Tong. Though Mr Bush and Mr Goh said little of substance afterward, they issued a joint statement calling for tougher steps against terrorism.

"The prime minister is a wise man and understands south-east Asia very well," Mr Bush said in a picture-taking session. "A lot of our discussion was how we can continue to foster our intent, which is one of peace and freedom as well as prosperity."

The statement welcomed the recent arrest of Riduan Isamuddin Hambali, leader of the al-Qaida linked south-east Asia terror group Jemaah Islamiyah and a key figure in last October's hotel bombings in Bali.

Mr Bush's trip was his first to Singapore and just the second by a US president.

Singapore has been one of America's staunchest allies in south-east Asia in the war on terrorism, arresting more than 30 suspected Islamic militants since 2001.

"I'm very happy with the government of Singapore's response to terrorism. They are strong and they are resolute," Mr Bush said.

"They understand the task at hand. And they understand the dangers."

Mr Bush will today head to Bali, Indonesia, site of nightclub bombings last October 12, which killed 202 people. Indonesia's security minister warned on Monday that "the threat of terrorist attacks is imminent."

A senior administration official said Mr Bush intended with his Indonesia visit to show solidarity with President Megawati Sukarnoputri's vigorous pursuit of those involved in the Bali bombings and other terror activities.

Mr Bush last month signed a free-trade agreement with Singapore the first such accord between the US and an Asian country. Earlier, in Bangkok, Mr Bush also announced he was launching free-trade negotiations with Thailand. The US already has free-trade pacts with Chile, Israel, Jordan, Canada and Mexico.

Mr Bush has said that free trade "is vital to the creation of jobs." But critics say the agreements could cost the US jobs by giving companies an incentive to move to cheaper labour markets.

Singapore is America's 12th-largest trading partner with two-way transactions worth about €34bn annually.