Rabin Would Oppose F-15 Sales to Saudis : Diplomacy: The Israeli leader, at National Press Club, pointedly cites past U.S. aid to Iraq.

WASHINGTON —  Israeli Prime Minister Yitzhak Rabin, sketching the limits of his newly proclaimed partnership with President Bush, said Wednesday that his government will object strongly if the United States attempts to sell advanced F-15 warplanes to Saudi Arabia.

Responding to reports that the Administration is considering the sale of as many as 72 of the fighters to the desert kingdom, Rabin said such a deal would upset the military balance of the Middle East and require Israel to add to its own arsenal to keep pace.

And in a barbed reference to the Bush Administration’s controversial and ill-fated policy of aiding Iraq before it invaded Kuwait, Rabin said the region is so unstable that Washington can never be sure that aid to the Saudis will not also prove to be a serious mistake.

“I know everybody would tell you, ‘After all, Saudi Arabia is a friendly country, an ally of the United States . . . participated in the war against Iraq and the United States defended it,’ ” Rabin said in response to questions following a speech to the National Press Club. “And they are all good reasons. But I heard the same argument about Saddam Hussein four, five months before he invaded.”

Washington’s military supply relationship with Saudi Arabia has been a source of friction between the United States and Israel for almost two decades. Despite the improved atmosphere produced by the Bush-Rabin summit in Kennebunkport, Me., the issue remains a point of controversy.

Although Rabin and Bush had only good things to say about the relationship after the President’s approval of a $10-billion package of loan guarantees for Israel, the prime minister was quoted in the Israeli press as saying that disagreements between the two countries are inevitable.

“It always needs to be remembered that on certain issues there are different opinions, even disagreement between Israel and the U.S.,” Rabin was quoted as saying. “The wisdom is in achieving what you want, in this instance the guarantees, without leading to a conflict between the two opposing positions.”

Turning to the Arab-Israeli peace talks scheduled to resume in Washington on Aug. 24, Rabin said his new centrist government is ready to permit Palestinian residents of the West Bank and Gaza Strip to hold general elections next year to choose members of an administrative council that would govern the territories, except in matters of security.

“I know that the Palestinian aspirations are higher than that,” Rabin said. “I believe they were very unfortunate that their leadership for the last 50 years aspired to everything, and they have remained with nothing. I hope that reason will prevail among the Palestinian leaders in the territories” this time.

Rabin acknowledged that Palestinians want to elect a legislative assembly, not just an administrative council. But he said such an election would be a step toward creation of an independent state--something his government opposes.

Rabin, who returns to Israel today, spent much of Wednesday in meetings on Capitol Hill, urging speedy approval of the loan guarantee package. He also paid a call on Democratic presidential candidate Bill Clinton.

Sen. Patrick Leahy (D-Vt.) said his foreign aid subcommittee probably will consider the loan legislation shortly after Labor Day as part of the regular foreign aid spending bill.

He said the agreement “will heal what has been a rift in U.S.-Israeli relations and help to move the peace process forward, especially if the building of settlements ends.”