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Thursday, July 23, 2009

Korean Peninsula Today, 24 July 2009

N. Korea calls 'comprehensive package' of U.S. incentives 'nonsense' (Yonhap)

PHUKET – A senior North Korean diplomat on Thursday dismissed a U.S.-proposed "comprehensive package" of political and economic incentives for Pyongyang as "nonsense."

U.S. Secretary of State Hillary Clinton, on a visit here to attend the ASEAN Regional Forum (ARF), said Wednesday that Washington is willing to provide the package, including the normalization of diplomatic relations with Pyongyang, if the communist nation moves towards "complete and irreversible" denuclearization.

The comprehensive package is nonsense," Ri Hung-sik, director-general of the North Korean foreign ministry's international organization bureau. Ri is deputy head of the North's delegation to the ARF.

"It is just a replay of the Bush administration's policy of CVID (complete, verifiable, irreversible dismantlement)," Ri told reporters.

He said the North Korean government does not care about U.N. sanctions imposed on Pyongyang for its nuclear test in May, adding it has been under such sanctions "for half a century."

He also charged that the current standoff between Pyongyang and Washington stems from Washington's "deep-rooted hostile policy" against Pyongyang.

Ri said U.S. officials should think about why the North has chosen to develop nuclear weapons.

"The U.S. is telling us to take off all of our clothes," he said. "The most important thing for us is sovereignty. Sovereignty, security, namely life, should be guaranteed. How can we barter life with money?"

The North Korean diplomat said his country is willing to talks with the U.S. if it abandons its hostile policy.

"We can't talk with a person with a knife in his pocket," he said.

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Remarks at the ASEAN Summit (U.S. Department of State)

SECRETARY CLINTON: Good afternoon. Let me start by saying we’ve had a series of very productive sessions here in Phuket, and I’ve had the opportunity for the first time to engage with the nations of ASEAN and our regional partners on issues of common concern, to sign the Treaty of Amity and Cooperation, and to lay the groundwork for even stronger partnerships as we move forward.

I’ve also had the opportunity to meet one on one with a number of my counterparts. Earlier, I met with Foreign Minister Qureshi of Pakistan, and we talked about the encouraging signs in Pakistan’s fight against violent extremists, including the return of significant numbers of refugees to Buner and Swat. There are still great challenges ahead facing Pakistan, including the ongoing threat of violent extremism and continuing economic difficulty. But I assured the foreign minister that the United States stands ready to help the Pakistani Government and people. And I also advised him that I support the steps Pakistan and India have taken to find a more productive way forward.

I want to take this opportunity to discuss the situation in North Korea and our efforts here in the ASEAN Regional Forum to promote security in Northeast Asia. Yesterday, I held consultations with our allies and partners in the Six-Party process, and this morning, there was a very good discussion with the ASEAN nations and regional partners. I was gratified by how many countries from throughout the region spoke up and expressed directly to the North Korean delegation their concerns over the provocative behavior we have seen these past few months.

Unfortunately, the North Korean delegation offered only an insistent refusal to recognize that North Korea has been on the wrong course. In their presentation today, they evinced no willingness to pursue the path of denuclearization. And that was troubling not only to the United States, but to the region and the international community. So the question is, where do we go from here?

I think it’s important to stress that the international community’s response to North Korea’s actions has been unequivocal and nearly unanimous, leading to a new consensus around a common set of principles. The United States and its allies and partners cannot accept a North Korea that tries to maintain nuclear weapons to launch ballistic missiles or to proliferate nuclear materials. And we are committed to the verifiable denuclearization of the Korean Peninsula in a peaceful manner. Now this convergence of views reflected, as you will see later today in statements by ASEAN, and as you saw just a few weeks ago with the G-8 statement and others, produced two important Security Council actions – a presidential statement and a unanimous binding resolution.

Now these are more than expressions of condemnation. Resolution 1874, combined with the designations authorized by the UN Sanctions Committee, provides a powerful tool to curb North Korea’s unacceptable activities, and to put pressure on individuals and entities connected to the regime’s nuclear, ballistic missile, and other WMD-related programs. We believe that this resolution can be effective because it is unprecedented in scope, substance, and approach.

First, it differs from past efforts in that it is based on a global consensus, bringing to bear the combined weight of the international community, not just one nation or a small handful of nations. Second, it targets a spectrum of individuals, organizations, and institutions, not just one or two. Third, it fits into the broader framework of our approach to North Korea. It is accompanied by a message, as I reiterated this morning, that we are prepared to work with the North Koreans if they are willing to act on their previous commitments.

In short, our approach isolates North Korea, imposes meaningful pressure to force changes in its behavior, and provides an alterative path that would serve everyone’s interests. Our joint efforts to take Resolution 1874 from paper to practice are now underway. I asked Ambassador Philip Goldberg to lead an interagency team charged with implementing the sanctions, and he’s already traveled to the region to consolidate and coordinate our efforts. Russian and Chinese representatives have visited Washington to work together on these issues.

And in addition to this week’s meetings, I’ve spoken repeatedly with my counterparts in China, Russia, Japan, and South Korea about our common way forward. I intend to send Ambassador Goldberg back to the region in the near future to continue our common efforts to enforce the sanctions. And next Monday and Tuesday, as part of our strategic and economic dialogue with China, I will be holding intensive discussions with State Councilor Dai Bingguo on North Korea and the broader questions of peace and security in Asia.

In implementing 1874, we are asking our partners to help dissuade all nations from facilitating, directly or indirectly, North Korea’s attempts to enhance and proliferate its nuclear and missile technologies. We were gratified by Burma’s statement and those of many other countries announcing an intension to implement the resolution. Burma’s statement is significant because in the past, North Korea has provided Burma with materials now barred by Resolution 1874.

The bottom line is this: If North Korea intends to engage in international commerce, its vessels must conform to the terms of 1874 or find no port. Our goal in enforcing these sanctions and others imposed earlier is not to create suffering or to destabilize North Korea. Our quarrel is not with the North Korean people. In fact, it was the North Korean leadership that rejected humanitarian aid from the United States and forced us to suspend our food aid program.

So let me be clear: As we work to end the regime’s nuclear program, we remain committed to the well-being, dignity, and human rights of the people of North Korea. We will continue to work closely with other governments, international organizations, and NGOs to address human rights violations and abuses perpetuated by the regime. We will maintain our support of NGOs working to improve human rights in North Korea. And we will keep funding Korean language radio broadcasting for the same purposes, and we will soon announce a special envoy for North Korean human rights.

As we enforce sanctions, we are open to talks with North Korea, but we are not interested in half measures. We do not intend to reward the North just for returning to the table. We will not give them anything new for actions they have already agreed to take. And we have no appetite for pursuing protracted negotiations that will only lead us right back to where we have already been.

We and our partners have a more ambitious agenda for any future talks. Such talks must lead to irreversible steps by North Korea to denuclearize. This, in turn, would lead us and our partners to reciprocate in a comprehensive and coordinated manner. Full normalization of relationships, a permanent peace regime, and significant energy and economic assistance are all possible in the context of full and verifiable denuclearization.

In the meantime, we will undertake the necessary defensive measures to protect our interests and our allies. North Korea’s ongoing threatening behavior does not inspire trust, nor does it permit us to sit idly by. Our partners in the region understand that a nuclear North Korea has far-reaching consequences for the security future of Northeast Asia. North Korea’s continued pursuit of its nuclear ambitions is sure to elevate tensions on the Korean Peninsula and could provoke an arms race in the region. This would serve no nation’s interests – not ours, not Japan’s, South Korea’s, China, nor Russia’s and nor, might I add, North Korea’s.

Our success in putting this resolution into action will also have implications beyond North Korea. It will demonstrate to other countries with nuclear ambitions, such as Iran’s, that we can and will impose costly penalties for those who violate international agreements and undermine global security. And it will give us a blueprint for how to manage any similar challenges that might arise in the future.

So our policy is clear. North Korea knows what it has to do: return to denuclearization talks and fulfill its commitments under the 2005 joint statement to abandon all nuclear weapons and existing nuclear programs and return at an early date to the nonproliferation treaty and to IAEA safeguards. The path is open, and it is up to North Korea to take it.

Thank you very much.

QUESTION: Thanks. Madame Secretary, the North Korean representatives today spoke just behind us over there and said that the Six-Party Talks were dead; there is no way they’re coming back, and that whatever we have to offer them in terms of incentives is nothing new to them, and they won’t accept it.

The foreign ministry at the same time issued a statement with actual attacks and insults personally aimed at you. I wonder whether you think that perhaps the time has come to replace the Six-Party framework with perhaps a broader framework. You just suggested that there’s a broad consensus today here about what to do with North Korea. And since China has been reluctant to put it – amend the resolution so far, what would you want them to do when you meet with them on Monday and Tuesday in Washington?

Oh, and one more: Aren’t you exhausted?

SECRETARY CLINTON: (Laughter.) Aren’t you?

QUESTION: I am. That’s why I’m asking.

SECRETARY CLINTON: Well, first, let me say that China has been very vigorous in working with us in support of full implementation of 1874. Just as we have, they created an interagency task force which is working with our own people. There has already been a meeting in Beijing, and I said, there will be a follow-on meeting in Washington.

The Chinese have been very supportive in our efforts to deliver a strong message to North Korea and to other nations that they expect, as we do, that the international community will enforce 1874. They played a very helpful role in the matter of the North Korean ship that was on its way to Burma.

In addition, today, the Six-Party members who were present, with the exception of North Korea, reiterated their commitment to this process and made it very clear that there is no place to go for North Korea. They have no friends left that will protect them from the international community’s efforts to move toward denuclearization. So I think it’s fair to say that not only were Russia, China, Japan, and South Korea very strong in making the points which they did this morning, but those points were echoed by so many of the ASEAN members and other regional partners.

So the message is coming out loudly and clearly to North Korea. And I don’t think we’ve seen at all the way this will eventually develop. I think we’re just still at the beginning of determining how they’re going to respond.

QUESTION: What framework (inaudible)?

SECRETARY CLINTON: The framework is the Six-Party Talks.

MR. KELLY: Next question (inaudible).

QUESTION: Madame Secretary, what evidence do you have of Burma’s cooperation in enforcing the UN Security Council resolution? How did your talks with Burmese officials go last night? And most importantly, how do you reconcile your appreciation and gratitude that they are promising to enforce that with your two days of public, strong comments about concerns of military and even nuclear cooperation between Burma and North Korea?

SECRETARY CLINTON: Well, we’ve expressed that very clearly and forcefully, but I do think there is a positive direction that we’ve seen with Burma, both in the already existing cooperation they showed with respect to the North Korean ship, in their statements to us and others that they intend to do their part to enforce 1874. Now, obviously, we have to see that unfold, but that’s never happened before, and we’re very encouraged by that. At the same time, we know that there has been cooperation between North Korea and Burma in the past, and we are going to be vigilant to make sure that it doesn’t occur in the future.

I was not part of any talks. Others in our Administration were, and we made it very clear, both privately and publicly, that there are expectations on our part that Aung Sun Suu Kyi be released unconditionally, that there begin a process of release of political prisoners, that the election scheduled for next year be open and fair and transparent and credible. And that view was echoed by many people in the room. It was not just a U.S. view. It was very widely and, I must say, heart – it was really expressed from the heart by so many people.

So we hope that there is going to be recognition on the part of the Burmese leadership that they have more to gain by joining the international community and by effectively taking care of their people and putting Burma on the path to democracy. We don’t expect to see a change overnight, but we’re – it’s better to have those positive statements than the negative ones. So we think that gives us at least something to work with.

QUESTION: (Inaudible.)

SECRETARY CLINTON: Right. And I spoke to foreign ministers in the area, asking their help in speaking to their Burmese counterpart. And they did so, and whether or not it was a proximate cause, shortly after, the ship turned around.

QUESTION: (Inaudible) from (inaudible) in Asia. I just wanted to clarify, when you said U.S. will take any defensive measurements, what exactly that mean? Is it going to be like U.S. ready to start a war with North Korea at any time? And how ASEAN, especially in Myanmar, is going to pick on that?

SECRETARY CLINTON: No. But I wanted to make very clear that the United States does not seek any kind of offensive action against North Korea. We have said that over and over again. The North Koreans said in a meeting today that they’ve been subjected to nuclear weapons on the Korean Peninsula aimed at them. That hasn’t happened for decades. So I think they are living in a historical time period that doesn’t reflect today’s realities.

We are very open to a positive relation with North Korea on the condition that they denuclearize. But if they refuse to do so, as they have in the last months, and refuse to follow the obligations they themselves signed up to in 2005 and -06, then our allies in South Korea and Japan and other countries in the region begin to worry about what North Korea’s intentions are. And we want to make clear that the United States will continue to work for the defense of allies like Japan and South Korea. And that’s unfortunately our obligation, one that we will be serious in fulfilling. But it’s not directed in any offensive manner against North Korea.

We also wish to avoid an arms race in Northeast Asia. If the North Koreans are going to continue to test nuclear weapons and their missiles, then other countries are going to start saying, well, we don’t know what they’re going to do, we’d better start taking care of ourselves and doing that and to have that capacity.

We think that would be a terrible mistake. So we’re trying to make clear that we will protect and defend our allies, but we still hope that there is an opportunity to work with North Korea toward denuclearization.

MR. KELLY: Okay, thank you.

SECRETARY CLINTON: Thank you.

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North Korean Exports Total 1.13 Billion USD in 2008 (Institute for Far East Studies)

According to a report released by the Korea Trade-Investment Promotion Agency (KOTRA), mineral products again topped the list of DPRK exports, accounting for 41.3 percent of goods sent out of the country last year. The KOTRA report, “2008 DPRK Trade Trends,” states that the North’s 2008 exports, totaling 1,130,213,000 dollars, increased by 23 percent over the 918.77 million USD-worth of goods exported in 2007.

With the exception of plastic and wooden goods, North Korean exports grew in all areas. Mineral products accounted for 41.3 percent; non-ferrous minerals made up 16.8 percent, textiles accounted for 10.6 percent; chemical plastics made up 7.6 percent; electrical and electronic machinery made up 7 percent; and animal products accounted for 3.6 percent.

Mineral goods were up 33.5 percent over last year, recording sales of 465.44 million USD. This sector has shown continuous growth over the last five years. In 2004, trade in these goods brought in 152.28 million USD; in 2005, 243.66 million USD; in 2006, 244.43 million USD; and in 2007, 349.58 million USD.

Since 2003, North Korea has concentrated on invigorating the light-industrial sector, and has emphasized the export of manufactured goods. However, last year, exports of mineral products and non-ferrous minerals combined to make up a total of 58.1 percent of all exports; the North has been unable to restructure its export sector or satisfactorily boost light-industrial manufacturing.

North Korea’s imports grew as well, to more than twice that of exports. Bringing in goods worth 2,685,478,000 USD, imports grew by 32 percent over the 2.023 billion in imports during 2007. In 2008, mineral products accounted for 25.9 percent of imports; fibers accounted for 11.9 percent; electrical and electronic machinery, 11.5 percent; processed food items, 8.8 percent; chemical and heavy industrial goods, 7.5 percent; and non-ferrous minerals, 6.6 percent. Import of fibers, processed food, and mineral products grew, while the import of animal products, vegetable products and automobiles fell.

Crude petroleum, the North’s largest import item, was imported exclusively from China, and was up 46.9 percent (414.31 million USD) over 2007 (281.97 million USD). However, due to the loss of other sources of fuel, overall imports of crude grew by a mere 1 percent.

Import of grains fell in 2008, recording only 86.24 million USD; a fall of 25.6 percent from the 115.86 million USD in grain imports during 2007. KOTRA explains that due to instability in the grain market, imports from China of rice and barley were halted in April, while corn imports were halted in August.

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U.S. Lawmakers Urges To Re-list Dprk as State Sponsor of Terrorism (Xinhua)

WASHINGTON – U.S. Senate on Wednesday called for the Obama administration to assess the possibilities of relisting the Democratic People's Republic of Korea (DPRK) as a state sponsor of terrorism.

The Senate on Wednesday discussed two amendments dealing with the DPRK and the State Department's State Sponsors of Terrorism list on the National Defense Authorization Act.

The first amendment, which was adopted by a vote of 66-31, called on the Obama administration to submit a report within 30 days to assess the DPRK's behavior since it was removed from the State Department's State Sponsors of Terrorism list.

The assessment should include an evaluation of any evidence that the DPRK has "engaged in acts of terrorism or provided support for acts of terrorism or terrorist organizations," according to SENATUS, a website specializing in coverage of the Senate's daily activities.

"If the report finds evidence that North Korea has in fact provided support for terrorism activities, they should immediately be relisted on the State terrorism list," said the report.

Under the six-party talk's framework which characterized with " action for action," on October 11, 2008, following Pyongyang agreed to all U.S. nuclear inspection demands, the Bush administration responded by removing the DPRK from the terrorism blacklist.

But voice asking to put the DPRK back on the list has been surging inside the United States since Pyongyang conducted an underground nuclear test on May 25 and subsequently fired at least seven ballistic missiles.

Pyongyang also boycotted the six-party talks on its nuclear program.

Responding to Pyongyang's behaviors, the Obama administration has decided to extend economic sanctions by prolonging the national emergency on the DPRK and has vowed to enforce sanctions against Pyongyang set in the 1874 UN Security Council Resolution.

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U.S. worried about regional arms race due to N. Korea (Yonhap)

PHUKET – U.S. Secretary of State Hillary Clinton criticized Thursday what she called North Korea's anachronistic claim aimed at justifying its nuclear ambitions.

"I think they are living in a sort of time period that doesn't reflect today's realities," the secretary said at a press conference after a session of the ASEAN Regional Forum (ARF) on this Thai resort island.

North Korean delegates claimed Pyongyang has been subjected to threats by U.S. nuclear weapons deployed in South Korea, a false charge since all tactical U.S. nuclear weapons were removed from the peninsula in the early 1990s, Clinton said.

She added the U.S. is "very open to a positive relation with North Korea" on the condition that it is denuclearized.

"But we are not interested in half measures," she said.

The U.S. diplomat also expressed worries about a possible regional arms race because of North Korea.

"North Korea's continued pursuit of its nuclear ambitions is sure to elevate tensions on the Korean Peninsula and could provoke an arms race in the region," she said. "This would serve no nation's interests."

Clinton reaffirmed that Washington is ready to provide defensive measures for its regional allies such as South Korea and Japan.

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US Ready To Execute Contingency Plans After Kim Jong-il's Death (Yonhap)

WASHINGTON – The United States has come up with scenarios to cope with any contingencies in North Korea after leader Kim Jong Il's death, the commander of the U.S. Pacific Command said Wednesday.

"We are prepared to execute a wide range of options in concert with allies in South Korea and in discussions through (the Department of) State, which would have the lead, with countries in the region, and internationally if necessary," Adm. Timothy Keating said at a news conference at the Pentagon. "I don't think it is axiomatic that the departure of Kim Jong Il means a national security crisis. We'd hope it wouldn't. But we are going to be prepared if it does mean that."

Keating's remarks come amid allegations that Kim Jong Il has been pushing ahead with nuclear and missile tests to pave the way for a smooth power transition to his third and youngest son Jong-un, 26, after he apparently suffered a stroke last summer.

"What would happen if and when he cedes control or is no longer capable of exercising control? Don't know," the commander said. "But I can tell you that we have plans with the United States Forces-Korea and others in place if the president tells us to execute those plans in the event of some uncertain succession in the North."

The commander made his remarks as U.S. Secretary of State Hillary Clinton met with her counterparts from South Korea, China, Japan and Russia, members of the six-party talks on ending North Korea's ambitions, in Phuket, Thailand, on the sidelines of the ASEAN Regional Forum.

On the Thai resort island, Clinton expressed the U.S. intent to normalize ties with Pyongyang "if they will agree to irreversible denuclearization."

Otherwise, the top U.S. diplomat warned, the reclusive communist state "will face international isolation and the unrelenting pressure of global sanctions."

Pyongyang has said it will boycott the multilateral nuclear talks unless the U.N. apologizes for the sanctions imposed for its recent nuclear and missile tests.

Keating said he was not sure about the North Korean leader's health and possible successor.

"The facts as I know them are fairly limited. He has clearly suffered some change of health. Is it the result of a stroke? Is that change the result of a stroke? Is there some larger issue at stake? I don't know," he said. "He's a different man today than he was a year ago, physically, in appearance. As to his mental acuity, I don't know. As to the plan for succession, I don't know."

On allegations that North Korea is cooperating militarily with Myanmar, Keating said, "If it is, in fact, Burma that is receiving goods and assistance from North Korea, that's against -- that violates United Nations Security Council Resolution 1718. And we, along with the international community, would be very concerned if that is, in fact, occurring."

Clinton Wednesday expressed "growing concerns" over "military cooperation between North Korea and Burma, which we take very seriously," hinting at the possible transfer of nuclear and missile technology to Myanmar, formerly Burma.

A North Korean cargo ship, possibly on its way to Myanmar, returned home recently after a pursuit by U.S. Navy vessels operating under an interdiction mandate imposed recently by the U.N. Security Council Resolution 1874, which was adopted in early June after North Korea's second nuclear test on May 25.

The resolution bans the North from any further nuclear and ballistic missile tests and imposes financial sanctions, an overall arms embargo and cargo interdictions to head off the proliferation of weapons of mass destruction by the North.

Under the resolution, the U.N. Security Council slapped fresh sanctions on North Korea last week by listing five North Korean officials and as many North Korean firms subject to a travel ban and asset freeze for their involvement in nuclear and missile development programs.

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