In contrast, Iran, according to the Department of State, remained the primary state sponsor of terrorism in 2005 and has been actively conducting a longstanding nuclear development program, raising concerns in the international community that Iran's nuclear ambitions extend well beyond nuclear research, with direct implications for a host of ongoing terrorist activities. The Threat of Terrorism

Increasingly, international terrorism is recognized as a threat to U.S. foreign, as well as domestic, security. A growing number of analysts expresses concern that radical Islamist groups seek to exploit economic and political tensions in Saudi Arabia, Egypt, Indonesia, Russia, Jordan, Pakistan, and other countries. Furthermore, reports are ongoing of cross-national links among different terrorist organizations. Of utmost concern to policymakers is the specter of proliferation of weapons of mass destruction (WMD) or the means to make them. It continues to list Iran as the most active state sponsor of terrorism. As in any long-term campaign, international cooperation and capacity-building programs, such as the State Department's Anti-Terrorism Assistance Program (ATA), are seen as having a central role in combating terrorism. U.S. Policy Response

		Framework

Past Administrations have employed a range of measures to combat international terrorism, from diplomacy, international cooperation, and constructive engagement to protective security measures, economic sanctions, covert action, and military force. The possibility of covert provisioning of weapons, financing, and logistical support remains open, and detecting such transfers would require significantly increased deployment of U.S. intelligence and law enforcement assets in countries and zones where terrorists operate. U.S. Policy Tools to Combat International Terrorism

		Diplomacy/Constructive Engagement

Use of diplomacy to help create a global anti-terror coalition is a central component of the Bush Administration response to September 11 events. Causing a financial blow to the U.S. and the West seems to be a major goal of Al Qaeda and related terrorist organizations. The well-funded charitable activities and publicity efforts of terrorist or extremist groups appear to have led to broadened acceptance of extremist views in target populations. To the extent that the U.S. and other Western countries fail to effectively address this "cold war of ideology," a growing proportion of the world's Moslem youth may grow up embracing extremist views which could ultimately lead to increased terrorism.
This report examines international terrorist actions, threats, U.S. policies and responses. It reviews the nation's use of tools at its disposal to combat terrorism, from diplomacy, international cooperation, and constructive engagement to physical security enhancement, economic sanctions, covert action, and military force.
A modern trend in terrorism appears to be toward loosely organized, self-financed, international networks of terrorists. Increasingly, radical Islamist groups, or groups using religion as a pretext, pose a serious threat to U.S. interests and to friendly regimes. Of concern as well is the growing political participation of extremist Islamist parties in foreign nations. Also noteworthy is the apparent growth of cross-national links among different terrorist organizations, which may involve combinations of military training, funding, technology transfer, or political advice.
Looming over the entire issue of international terrorism is the specter of proliferation of weapons of mass destruction (WMD). Iran, seen as the most active state sponsor of terrorism, has been secretly conducting—and now openly seeks—uranium enrichment, and North Korea has both admitted to having a clandestine program for uranium enrichment and claimed to have nuclear weapons. Indications have also surfaced that Al Qaeda has attempted to acquire chemical, biological, radiological, and nuclear weapons.
U.S. policy toward international terrorism contains a significant military component, reflected in U.S. operations in Afghanistan, deployment of U.S. forces elsewhere for specific missions, and, according to the Administration and its supporters, the war in Iraq. Issues of interest to the 110th Congress include whether the Administration is providing sufficient information about the long-term goals and costs of its diverse strategy and whether military force is an optimally effective anti-terrorism instrument when compared with other methods such as intelligence-enhanced law enforcement and pro-active public diplomacy.
Increasingly, a wide range of well-funded charitable and publicity activities of radical Islamist groups has led to broadened acceptance of extremist views in target populations. To the extent that nations fail to effectively address this "cold war of ideology," a growing proportion of the world's Moslem youth may grow up embracing extremist views that could ultimately lead to increased terrorism.
As terrorism is a global phenomenon, a major challenge facing policymakers is how to maximize international cooperation and support without unduly compromising important U.S. national security interests and options. Other significant policy challenges include (1) how to minimize the economic and civil liberties costs of an enhanced/tightened security environment, and (2) how to combat incitement to terrorism, especially in instances where such activity is state sponsored or countenanced. This report will be updated periodically.