U.S. Goals for Middle East Falter

Powell told reporters yesterday that Bush's position on the Middle East peace process "is unchanged," and that he "is committed to the proposition that all final settlement issues have to be resolved between the two parties."

But the reality, foreign policy experts and diplomats say, is that the administration has largely subcontracted its Arab-Palestinian policy to Sharon to break the deadlock on the "road map" for peace launched at two major summits attended by Bush in June.

"A year ago, you had the Sharm el-Sheik and Aqaba summits and a new Palestinian prime minister, and frankly a lot of hope existed at the time," said Nabil Fahmi, Egypt's ambassador to the United States. "But in terms of the peace process, we've moved backwards."

On the Greater Middle East Democracy Initiative, the Bush administration still plans on rolling out an ambitious plan for political and economic liberalization at three summits with European and NATO allies in June -- and making the Arab world part of the dialogue, U.S. officials say. "We are anxious to work with the Arab nations on their ideas for reform within the region," Powell told reporters after his meeting with Muasher.

But the United States is counting on approval from European allies to get that initiative off the ground because suspicion of U.S. motives is so deep among Arabs. They recently postponed the annual Arab League summit in part because of a split over two resolutions -- one endorsing regional reform and the other renewing a peace overture to Israel.

The summit is tentatively rescheduled for late May, which U.S. officials admit may be too late -- and dangerous in light of recent events.

"The big question is what will come out of it. We are hoping they will focus on issues important to us in a positive way, but there are also a lot of negatives that could come out of it," said a State Department official involved in Middle East policy.

On all three key planks of U.S. policy, momentum that was sparked by bold U.S. initiatives is now running against the United States, said Geoffrey Kemp, a Reagan administration National Security Council staffer and now a Nixon Center fellow.

"Whether you're talking about the situation in Iraq or the unilateral agreement with Sharon or the wildly mishandled democracy initiative, it's very hard to pick up a head of steam once you lose credibility in your overall stated goals," he said.

To regroup, Kemp added, the administration will need to "go back to the drawing board" on the tactics of stabilizing Iraq, promoting the logic of democracy in the region and promoting peace between Israel and the Palestinians.