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The United States is for a two-state solution. The United States wants to see the Israelis and Palestinians come together.

We have a close, unshakable bond between the United States and Israel, and between the American and Israeli people. We share common values and a commitment to a democratic future for the world, and we are both committed to a two-state solution. But that doesn't mean that we're going to agree.

We need to separate the two peoples: Israeli Arabs are part and parcel of Israel, and Palestinians should be separate, as part of a two-state solution.

The most vexing problem Israel faces is its relations with its neighbors. From the inception of the state until today, Israelis have felt besieged, surrounded by enemies who want to make them disappear.

We're saying this to both countries: We want a two-state solution. We want a Jewish state of Israel and alongside a independent Palestinian state. Unilateral measures are not helping at all to bring about this cause, and we agree that we wish to cooperate very closely on this, because as we both say, time is of the essence.

I believe that in the long run, separation between Israel and the Palestinians is the best solution for resolving the Israeli-Palestinian conflict.

We're willing to make difficult and hard decisions and compromises to live in peace with our neighbours, but we're entitled to our own country where Jews from around the world can come here, just as Palestinians from around the world can come to the Palestinian state.

Moreover, resolving the mother of all problems - the Israeli-Palestinian question - requires cooperation between Europe and the U.S.

Imagine the situation between Israel and Palestine. It's such a big mess. You can be on one side or the other. But what's clear is that there's an urgent need for a solution there and that's been dragging on for so long.

Yes, Israel's our ally. But, are the Palestinians our enemy? No, they are not.