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CNN Live Sunday

Bush, Putin May Have Reached Breakthrough

Aired July 22, 2001 - 16:00   ET

THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.

THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
DONNA KELLEY, CNN ANCHOR: We begin with the final days of the summit of industrialized nations. A surprise agreement between the United States and Russia to hold new arms talks. The deal involves cutting nuclear arsenals and how President Bush plans to move forward on his controversial plans for a missile defense shield.

The announcement comes amid a disagreement over another hot issue, global warming. CNN's John King standing by in Rome with a live update.

Hi, John.

JOHN KING, CNN SR. WHITE HOUSE CORRESPONDENT: Hello to you, Donna.

The president in high spirits because of what he believes is a breakthrough with the Russians. The president celebrating that good mood at his next stop at his week-long European trip. The president here in Rome tonight. He arrived a few hours ago, coming here from Genoa, Italy. That was the sight of the G8 Summit.

Already the president has managed to work in a little sightseeing. Joined by the first lady Laura Bush, the first couple of the United States took a tour of the historic Roman Forum, back in the days of the Republic. That was home of the Roman senate.

The president saying he was happy to be here, calling Rome a historic city, saying he was looking forward to a fascinating time. Also, on the agenda some official meetings with the prime minister and the Pope John Paul II as well.

As you mentioned, the news of the day came earlier from Genoa. Mr. Bush was there for the two-day meeting of the G8 leaders, a summit marred by sometimes violent protest out in the street. After posing with the class photo with leaders from that summit, Mr. Bush had his second meeting in little more than a month with the Russian president Vladimir Putin.

After months of frustration, months of stalemate, the Russians objecting to the U.S. plans to move ahead with a missile defense program, at least the beginnings perhaps of a breakthrough in these discussions. Mr. Bush and Mr. Putin emerged to announce that they had an agreement to begin almost immediately what they promised would be an intensive round of negotiations. On the one hand, the Russians agreeing to consider Mr. Bush's plan for missile defense. On the other, Mr. Bush saying he had agreed to Mr. Putin's long-standing call to put on the table for those negotiations, major cuts in the nuclear arsenals of both the United States and Russia.

(BEGIN VIDEO CLIP)

GEORGE W. BUSH, PRESIDENT OF THE UNITED STATES: We are young leaders who are interested in forging a more peaceful world, and along these lines, as the president said, we are going to have open and honest dialogue about defensive systems, as well as reduction of offensive systems. The two go hand in hand, in order to set up a new strategic framework for peace.

(END VIDEO CLIP)

KING: Now, Mr. Putin for months had been critical of the U.S. position and said he was reluctant to consider any changes to the 1972 ABM Treaty. That treaty blocks the research and development the United States wants to do on missile defense, but the breakthrough came, Mr. Putin told reporters, when the U.S. president agreed to link two issues: missile defense, and plans to make dramatic cuts in the nuclear arsenals that date back to the Cold War.

(BEGIN VIDEO CLIP)

VLADIMIR PUTIN, RUSSIAN PRESIDENT: What was unexpected both for me and I think for President Bush as well, was the understanding that was reached today between us on the issue that the offensive arms and issue of defensive arms will be discussed as a set.

(END VIDEO CLIP)

KING: Now, Mr. Bush's national security adviser, Condoleezza Rice, due to head to Moscow in just a couple days to set up the framework for those negotiations. Remember in recent months, not only the Russians but many European alleys have been critical on the president on the issue.

U.S. officials emerging from these talks with the Russian leader today convinced they have at least a mini breakthrough. And if nothing else, this will quiet the European criticism while the U.S. enters into high stakes negotiations with the Russians -- Donna.

KELLEY: On the arm's talks, John, maybe a mini breakthrough or this agreement to keep talking, but not so on Kyoto?

KING: That's right, Donna. Not so on Kyoto at all. The European leaders and well as the Japanese prime ministers had hoped to pressure Mr. Bush into changing his mind and agreeing to endorse the so-called Kyoto protocol, filing for major reductions of greenhouse gas emissions. But Mr. Bush would not budge.

And so a rarity, the G8 is a group with consensus, but in their final communique today, they acknowledge publicly there was no consensus on Kyoto because of Mr. Bush's objections. It was scheduled to take affect in 2002. The other leaders promising to kept up the pressure on Mr. Bush, but he says he won't budge, although he does promise to come up with some kind of alternative over the next couple of months -- Donna.

KELLEY: Also John, you mentioned the president's sightseeing there at the forum. He also meets with the pope tomorrow, and that may have some bearing on what he is trying to do to listen to all sides as he tries to make a decision on stem cell research.

KING: That's right. A very controversial facing the president back in the U.S., whether to allow federal funding for embryonic stem cell research. Now, during the campaign, the president indicated he was against that, but he has now receiving conflicting advice from his advisers.

Some believe it is important for medical research; others believe that such research on embryos is tampering with human life. The Catholic church is on the record; the pope has been outspoken on this issue, he opposes it. Both sides, though, not expecting for this to come up directly. President Bush's side says he has no intention of raising it. Vatican officials saying the pope probably won't bring it up himself, but certainly meeting with the leader, just as he faces making what the president has called a very difficult moral decision and scientific decision, will have overtones as the president heads home to face that decision over the next several days -- Donna.

KELLEY: John King from Rome, thanks very much.

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