To: GUSTAVE JAEGER who wrote (2935 ) 12/10/2003 9:12:36 AM From: ChinuSFO Read Replies (2) | Respond to of 3959 Another instance of US' world isolation, Oops, I am sorry, the US has Rwanda's economic cooperation and frienship.chicagotribune.com U.S. denies allies contracts in Iraq France, Germany, other war foes kept out of rebuilding By Stephen J. Hedges, Washington Bureau. Tribune senior correspondent William Neikirk contributed to this report December 10, 2003 WASHINGTON -- Citing national security concerns, the Bush administration is excluding France and Germany, which opposed the invasion of Iraq, from bidding on $18.6 billion in U.S.-funded reconstruction projects in the war-torn country. Deputy Defense Secretary Paul Wolfowitz signed an order to that effect Friday, saying it was "necessary for the protection of essential security interests of the United States" to limit competition for the contracts to the U.S., Iraq and countries that supplied forces or otherwise supported the coalition. Besides excluding contractors from France and Germany, the order also bars those from Russia and Canada, which also did not support the Iraqi invasion. The order, posted on a Pentagon Web site, said that "limiting competition for prime contracts will encourage the expansion of international cooperation in Iraq and in future efforts," presumably by dangling the prospect of contracts for those willing to contribute forces. Wolfowitz's order applies to the $18.6 billion that Congress appropriated earlier this year for Iraqi construction. Sixty-two countries, including Rwanda and the Marshall Islands, were declared eligible to compete on Iraqi construction contracts but not France or Germany. The French and Germans had rankled the Bush administration for their opposition to the war, and they did not pledge any money to an international Iraqi reconstruction fund during a conference in Madrid last month. Bush administration officials were saying little Tuesday about the policy, but Democrats were sharply critical of it. Sen. Joseph Biden (D-Del.), the ranking member of the Senate Foreign Relations Committee, said the order was a "gratuitous slap" at traditional U.S. allies. The decision "does nothing to protect our security interests and everything to alienate countries we need with us in Iraq," he said. During a presidential campaign debate Tuesday, Sen. John Kerry (D-Mass.) criticized the order. "I can't think of anything dumber or more insulting or more inviting to the disdain of countries and potential failure of our policy," Kerry said. Wolfowitz's decision is certain to further test strained U.S. relations with France and Germany. In September, German Chancellor Gerhard Schroeder, who vehemently opposed the war, said that he and President Bush had patched up their differences. The U.S. did not take up Schroeder on his offer to have Germans help train Iraqi police and military personnel. Germany and France's call for United Nations direction of reconstruction efforts in Iraq continues to upset the White House. Bush has sought a more limited UN resolution that would clear the way for international aid in Iraq. Among the countries the Pentagon deemed eligible for work in Iraq, some are staunch U.S. allies, but others offered little or no support for the war in Iraq. The list includes Britain, Poland, Italy, Spain, Japan, Turkey, Jordan, Egypt and Saudi Arabia. "International support and cooperation are necessary for progress in Iraq," Wolfowitz's order states. "An unsuccessful reconstruction effort would have serious negative effects on the ultimate success of the war effort." The projects involve 24 construction and service contracts that "will upgrade and rebuild electrical sector, public works and water, military courts and borders, building, housing and health, transportation, communications and oil infrastructure," Wolfowitz stated. Last spring, a measure to deny France and Germany Iraqi reconstruction work passed in a voice vote in the House of Representatives. A similar amendment in the Senate ran into opposition and was withdrawn.