Libya: Background and U.S. Relations

Publication Date: November 2008

Publisher: Library of Congress. Congressional Research Service

Author(s):

Research Area: Government

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Abstract:

On May 15, 2006, the Bush Administration announced its intention to restore full diplomatic relations with Libya and to rescind Libya's listing as a state sponsor of terrorism and a country not fully cooperating with U.S. counterterrorism efforts. The announcements mark the culmination of a period of improvement and rapprochement in U.S.-Libyan relations that began in December 2003, when the Libyan government announced its decision to eliminate its weapons of mass destruction and long-range missile programs. Full diplomatic relations were restored on May 31 when the United States upgraded its Liaison Office in Tripoli to Embassy status. An ambassador nominee has not been named.

Observers expect that these changes will usher in a new era in the U.S.-Libyan relationship, which has been strained and hostile for much of the last 35 years. Administration officials have stated that normalization of U.S.-Libyan relations will provide greater opportunities for the United States to address specific issues of potential concern to Congress with regard to Libya, such as Libya's political and economic reform efforts, the development of Libya's energy resources, Libyan human rights practices, and Libya's engagement with Arab and African states.

Presidential Determination No. 2006-14 (signed May 12, 2006) certified that the government of Libya had not provided any support for international terrorism during the preceding six months and had provided assurances that it would not support acts of international terrorism in the future. Following a 45-day congressional notification period that began on May 15, the determination will terminate the remaining restrictions on U.S. trade with Libya, including the ban on the export of U.S. defense articles. A range of other derivative sanctions will also come to an end. Section 40 of the Arms Export Control Act (22 U.S.C. 2780) allows Congress to reject the rescission of Libya's terrorism-related listings and reinstate the ban on the sale of U.S. defense articles by passing a joint resolution.

Some family members of U.S. citizens killed and injured in Libyan-sponsored or supported terrorist attacks have expressed their opposition to the U.S. decision. On June 7, 2006, the Senate passed S.Res. 504, which expresses the sense of the Senate that the President should not accept the credentials of any Libyan government representative without the expressed understanding that the Libyan government will "continue to work in good faith to resolve outstanding cases of United States victims of terrorism sponsored or supported by Libya." This includes the settlement of cases arising from the 1988 Pan Am Flight 103 and 1986 LaBelle nightclub bombings. A similar House resolution (H.Res. 838) expressly calls for "the fulfilment of Libyan financial commitments" to victims' families and has been referred to the Committee on International Relations. Libyan officials and representatives of victims' families recently resumed talks regarding the settlement of the families' outstanding claims.

This report provides background information on Libya and U.S.-Libyan relations; profiles Libyan leader Muammar Al Qadhafi; discusses Libya's political and economic reform efforts; and reviews current issues of potential congressional interest. It will be updated periodically to reflect important developments.