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With its now 450 million inhabitants and 25 countries since last year's successful enlargement, the European Union is neither a nation-State nor a superstate. With no historical equivalent, it is a radically new and profoundly innovative project. The result of the French referendum on the Constitutional Treaty on 29 May this year certainly does not mean that the French want to abandon Europe. But, on the other hand, what the French do want – we are convinced of this – is for Europe to tell them today where it is going. At a time when many European citizens have legitimate questions about the European project, it is indeed essential to reaffirm the direction in which it is heading, and this – let's spell it out –, for France as for many member States, is towards a political, strong, ambitious Europe.

Consequently, we member States, both old and new, have a duty: to promote a clear, political vision of the EU's future, and concretely respond to people's expectations of the European project. Today we are constantly having to adapt. We are well aware that the need for reform is at the heart of the political debate in Europe and, consequently, at the centre of people's concerns. But we have to conserve the best of what our common heritage offers, ensuring our collective unity as a higher and valuable asset. More than ever at the beginning of this twenty-first century, Europe is an irreplaceable intermediary between each of our nations and the world. Every European people has its own distinct historical, political, cultural and social identity. The aim isn't, of course, to call these into question. It is these differences, our differences which make Europe rich. But they do not, of course, prevent us from sharing the same values, the same principles and the same ambitions for Europe. Let there be no mistake here. It is only together, in the united Europe, that we shall be able to take full advantage of globalization and foster our individual identities. And to succeed in this, we must have three priorities: growth, solidarity and protection.

Everything flows from growth and employment, as the Prime Minister constantly reiterates. With the fear of conflict growing more distant in European eyes – even so, peace is such a fragile thing at our gates – economic and social concerns dominate. In different ways, these are present in all our countries: in the new member States, where their need to catch up on the economic, social, health and environment fronts is a major imperative for us all; in the old member States, where unemployment is often still high and increasing competition from the emerging countries is arousing growing fears. So we need, with due regard to our individual identities, to put the levers of growth at the heart of the European project: economic reform to inject dynamism into the markets, without which nothing is possible in international competition; progress in the coordination of macro-economic policies in order to cope with economic and employment cycles; industrial strategies to breathe life into European industry and stimulate innovation and research; continuation of European efforts to focus budgets on growth-promoting policies (research, education, training and transport); active concerted efforts to address the demographic problem. In all these areas, the States obviously have a determining role, but we must also rely on Europe which, here too, offers an efficient framework for action.

The heart of the European project is also a requirement for solidarity between member States. This is a matter of urgency for us all collectively. So the 2007-2013 budget must be adopted as soon as possible in order to consolidate the common policies, develop new policies and finance the enlarged Europe. It is essential for everyone to make their fair contribution to financing the enlargement so that we can put together the vast budgetary programme to support the convergence of the new and old member States' economies. This will encourage everyone to support the European project: by setting up major education, transport, energy and environment projects in the new member States for the benefit of everyone, by developing exchanges in every area (trade, science, students, tourism, etc.) between new and old member States, and by progressively reducing differences in living standards between member States. We have long had proof of the success of the policy of solidarity between member States. Let's look at Spain and Ireland to see the beneficial effects of their economic and social catch-up, demonstrating EU solidarity. The new member States must in their turn benefit from this policy which will let us make the enlargement, already a strength for the present, an opportunity for the future.

Finally, Europe must play its full part in the globalized economy while addressing a strong expectation for protection. The European Union alone has the critical size to contribute to managing globalization, to protect our fellow citizens from its negative effects and help them gain all its benefits. Indeed, let's not forget that globalization, even though it sometimes causes fear and concern, is positive for growth, exchanges between cultures and giving everyone access to material prosperity. But Europe must be able to defend its interests and those of its citizens. For example at the WTO by defending the goal of a balanced and controlled liberalization of trade which genuinely benefits the poorest, particularly the least-developed countries on the African continent. Europeans also expect Europe to protect them. The market, however essential, cannot be enough.

This is why the Europeans' common will must also be expressed through harmonization. As President Jacques Chirac has said, this is an imperative at the heart of the European project. In all our countries, let's fight to simplify procedures and reduce the costs burdening businesses and households, particularly in the way of taxes. We also intend fighting for adherence to the subsidiarity principle in order to give priority to joint initiatives capable of giving Europeans better protection. But this cannot justify undermining standards and drawing up new – even minimal – ones, when these are useful and effective. In the areas of public health, the environment, cultural identity, consumer protection, collective services and even the fight against organized crime, we reaffirm our desire to implement a concerted approach for common standards in order to deliver growth and protect Europeans.

Going beyond our differences, let's not forget that we Europeans have common ground despite our differences; regarding the rejection of discrimination, need for protection against the vagaries of life and solidarity between generations, importance of the social dialogue, role of public services, fight against child labour and many other things as well. Fired by this conviction, we shall be able to propose to the world a goal of managed globalization and give the European project a new lease of life in order to preserve the best of our heritage and build on it in the interest of an ever-closer union of the European peoples./.