NAPSNet Daily Report
thursday, june 22, 2000

I. United States

II. Republic of Korea

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I. United States

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1. US Sanctions on DPRK

Reuters ("NORTH KOREA URGES TOTAL LIFT OF U.S. SANCTIONS," 6/20/00) reported that a DPRK Foreign Ministry spokesman told the DPRK's official Korean Central News Agency (KCNA) that the US should lift all sanctions against the DPRK. The spokesman stated, "If the U.S. honors our sovereignty and free choice and sincerely works toward improved bilateral relations on the principle of equality and reciprocity, the DPRK will move in good faith."

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2. US-DPRK Missile Talks

The Associated Press (Barry Schweid, "U.S. MISSILE TALKS UPCOMING," 6/22/00) reported that, in response to the DPRK's decision to extend a moratorium on missile flight tests, the US is set to announce negotiations with the DPRK to stop the development and export of missile technology to Iran, Pakistan and possibly other nations. A senior US official said the US still faced a threat of missile attack by the DPRK and as a result, US President Clinton will not be deterred in considering the development of a missile defense program.

The Office of International Information Programs, U.S. Department of State ("STATE DEPARTMENT NOON BRIEFING, JUNE 21, 2000," 6/21/00) reported that US State Department Deputy Spokesman Philip Reeker welcomed the DPRK statement reiterating its moratorium on long-range missile tests. Reeker stated, "This moratorium, which covers testing of all long-range missiles, has been in effect ... since last September, and we look forward to conducting bilateral missile talks soon to address the range of issues related to the North Korean missile program. We've had a set of preparatory talks that took place in Rome on having the next set of missile talks, and we expect to conduct some bilateral missile talks soon to address the range of issues."

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3. ROK-DPRK Summit

The New York Times (Calvin Sims, "SUMMIT GLOW FADES AS KOREANS FACE OBSTACLES TO UNITY," Seoul, 6/21/00) reported that the euphoria that followed the inter-Korean summit last week has started to fade as leaders face the reality of trying to reunite two countries with different ideologies and fortunes. Recent statements by the DPRK's Korean Central News Agency (KCNA) accused the US of raising tensions, and the KCNA rebroadcast a 1999 speech by DPRK leader Kim Jong-il in which he said, "We must create a self-sufficient and strong nation and not yield to economic reforms and market openings that would certainly lead to our destruction." Chung Hyung-keun, a legislator of the ROK's opposition Grand National Party, said "Kim Jong-il is very good at putting on a show. But he is an old-line Communist leader who believes that he can make the South his own at any time, and that is very dangerous." Yoon Young-joong, who monitors DPRK broadcasts for the ROK Unification Ministry, stated, "We support the notion that Kim Dae Jung's visit created a lot of excitement in North Korea and that the recent broadcasts reasserting revolutionary principles were designed to calm the excitement there that reunification was near." Jo Dong-ho, an economist for the Korean Development Institute, a private think tank in Seoul, said, "Kim Jong-il's power has never been stronger, despite his people's dismal economic situation. For change to take place, North Koreans have to become aware that their difficulties arise from bad governance. But most of them still believe that Kim Jong-il is great and all people on this planet worship him."

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4. Japanese View of Summit

The Wall Street Journal (Masayoshi Kanabayashi, "JAPANESE CHEER ABOUT KOREA TALKS COVERS THICK LAYER OF UNEASINESS," 6/22/00) reported that Japan is generally pleased with the recent political thaw on the Korean peninsula, but is also concerned that the Korean accord did not cover the DPRK's missile-development program and that an increase in economic assistance from the ROK could strengthen the DPRK. Hideshi Takesada, a senior researcher at the National Institute for Defense Studies, a Japanese Defense Agency think tank, said, "North Korea will become more obstinate" in negotiations with Japan. Masao Okonogi, a law professor at Keio University, said, "South Korea will come to Japan for financial support in financing the promised help. Even if Japan doesn't like North Korea, Japan can't simply reject a cooperation request from South Korea." The Japanese newspaper Mainichi Shimbun wrote in an editorial last week, "We urge the Japanese government to stick to its principled positions in such issues as nuclear and missile development by North Korea and abductions of Japanese nationals by North Korea."

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5. Businesses in DPRK

The Associated Press ("COCA-COLA MAKES DEBUT IN N. KOREA," 6/22/00) reported that Coca-Cola spokesman Robert Baskin said that Coca-Cola marked the easing of trade sanctions on the DPRK by sending several hundred cases of drinks into the DPRK. Baskin stated, "We're going to monitor the business [in the DPRK] and see what makes sense."

Business Wire ("GLOBALSTAR PROVIDES FIRST COMMERCIAL PHONE CALLS BETWEEN NORTH AND SOUTH KOREA IN NEARLY 50 YEARS," 6/22/00) reported on a Globalstar press release which publicized that it facilitated the first commercial telephone calls directly between the DPRK and the ROK in nearly 50 years during the recent inter-Korean summit.

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6. Korean War Massacre

The Associated Press (Sang-Hun Choe, "US COMPLIES ON KOREA KILLING PROBE," 6/22/00) reported that ROK Lieutenant General Kim Jong-hwan, the chief No Gun Ri investigator at the ROK Defense Ministry, said his investigators had received two boxes of papers from the US Defense Department, including an aerial photograph and transcripts of interviews with more than 70 US veterans as part of a probe of an alleged mass killing of refugees by US soldiers at the village of No Gun Ri. His statement was in response to a statement by group of survivors which said, "We suspect the Pentagon is trying to block a swift and impartial investigation by not sharing data crucial to learning the truth about No Gun Ri."

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7. Albright's PRC Visit

Reuters ("ALBRIGHT DISCUSSES TAIWAN, KOREA, RIGHTS IN CHINA," Beijing, 6/22/00; and Elaine Monaghan, "ALBRIGHT MEETS CHINESE LEADERS, KOREA A FOCUS," 6/22/00) and the Associated Press (Barry Schweid, "ALBRIGHT URGES CHINA ON TAIWAN TALKS," 6/22/00) reported that US Secretary of State Madeleine Albright told a news conference that apart from discussing defense issues, the PRC's accession to the World Trade Organization (WTO), and last week's inter-Korean summit, she and PRC Premier Zhu Rongji, Vice Premier Qian Qichen and Foreign Minister Tang Jiaxuan also focused on relations with Taiwan. She said, "What was so evident to me was that they know that this is on the front burner, that this is something that they want to deal with, that they have to deal with -- and that the world is watching how they deal with this issue." Albright said that the PRC officials she talked to Thursday have doubts about Taiwanese President Chen Shui-bian, adding, "They are questioning, basically, who he is, what his motives are." She urged PRC leaders on Thursday to hold talks with Taiwan. She said they had also discussed US plans for a National Missile Defense, but the PRC was more concerned about Theater Missile Defense. A senior US State Department official stated, "We fully expect the Chinese to draw the line and say: 'Well, if peace is breaking out on the Korean peninsula, what about NMD? You don't still need that now, do you?' So obviously, the Secretary's going to be representing the U.S. position quite clearly which is ... that the North Korean missile problem is by no means solved." Albright said that the PRC recognized the need to curb exports of missile technology and she outlined to them the Clinton administration's progress in seeking congressional approval for a permanent lowering of duties on Chinese exports to the US. She also singled out the PRC's human rights record and its activities in Tibet as two areas of sharp disagreement. Albright also learned more about the DPRK's overtures to the ROK. PRC Foreign Ministry spokesman Zhu Bangzao quoted Foreign Minister Tang Jiaxuan as telling Albright, "Thanks to the joint efforts, especially the efforts made by the two heads of state, relations between China and the United States have gradually moved on to the road of improvement. This kind of improvement is hard-won." Tang demanded the US stop selling Taiwan weapons, exclude it from any regional missile defense system, and abide by commitments not to recognize an independent Taiwan.

The Associated Press (Barry Schweid, "CHINA NIXES ALBRIGHT OVER TAIWAN," Beijing, 6/22/00) reported that PRC President Jiang Zemin insisted that Taiwan must first acknowledge that there is one China before the PRC will hold reconciliation talks with Taiwan. Jiang thanked US Secretary of State Madeleine Albright for the Clinton administration's effort to lower trade barriers for PRC goods. He also told Albright that DPRK leader Kim Jong-il is a logical, energetic and very polite leader, but added, "The road is still long before [the two Koreas] solve their difficulties."

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8. PRC-US Relations

The Office of International Information Programs, US Department of State ("HOUSE ARMED SERVICES CHAIRMAN JUNE 21 REMARKS ON CHINA," 6/21/00) reported that US Representative Floyd D. Spence held a hearing June 21 of the House Armed Services Committee to explore the PRC's strategic interests and goals. He said, " Ironically, it seems that U.S. relations with China were better during the Cold War than they are today. I am concerned that China's intentions toward the United States may be more threatening than is widely accepted." He said that beyond misunderstanding the PRC's strategic objectives, there has been a failure "to effectively communicate American interests in the Asia-Pacific region and American intentions to defend those interests. If so, current Administration policy may be reinforcing China's behavior and setting the United States and China on a collision course," resulting in "a more assertive Chinese foreign policy, an increased risk of Chinese miscalculation," and an "increase in the risk of military confrontation."

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9. PRC News Agency in Washington

The Associated Press (David Briscoe, "U.S. QUESTIONS CHINESE NEWS BUREAU," 6/22/00) and the Washington Times (Rowan Scarborough and Bill Gertz, "CHINA'S MOVE OF NEWS OFFICE BROKE LAW," 6/22/00) reported that the US State Department said that the PRC's official news agency Xinhua failed to get required permission when it purchased a seven-story building for news offices and living quarters close to the Defense Department's Pentagon complex. The State Department, in a position statement prepared for its daily briefing with reporters Thursday, said that the Chinese were notified in 1985 that they would have to obtain prior authorization for any purchase or sale of real property by Xinhua, a government-affiliated news agency. It said, "The restriction remains in place today, and Xinhua is aware of it." Jiang Liu, Xinhua's Washington bureau chief, said that Xinhua is registered in the state of Virginia as a private company and does not need to follow rules that apply to foreign diplomats.

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10. Dalai Lama's Washington Visit

The Office of International Information Programs, U.S. Department of State ("WHITE HOUSE PRESS SECRETARY ON CLINTON-DALAI LAMA MEETING," 6/21/00) reported that the XIV Dalai Lama met at the White House this afternoon with US President Bill Clinton and US National Security Advisor Sandy Berger to discuss Tibet. Clinton reiterated the US commitment to support preservation of Tibet's unique religious, cultural, and linguistic heritage and to the protection of human rights of Tibetans, and pledged his continued support for the Dalai Lama's effort to encourage dialogue and expressed his hope that the PRC will respond favorably.

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11. PRC Olympic Bid

The Associated Press ("TAIWAN TO BACK CHINA OLYMPIC BID," Taipei, 6/22/00) reported that Taiwan is willing to support the PRC's bid to sponsor the 2008 Olympic Games in order to ease tensions and ensure peace between the longtime rivals. Taiwanese newspapers quoted C. K. Wu, a Taiwanese member of the International Olympics Committee, as saying he plans to visit his PRC counterpart to see what assistance Taiwan can offer with the bid. Chia Wei-chieh, an official of Taiwan's Olympics Committee, said, "Sports exchanges shall provide the best opportunity for reconciliation."

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12. US Missile Defense

The Washington Post (John Lancaster, "U.S., N. KOREANS MOVE IN CONCERT RECIPROCAL GOODWILL GESTURES SIGNAL WARMING OF RELATIONS," Beijing, 6/22/00, P. A1) reported that the DPRK's decision to extend its ban on missile test flights is likely to factor into President Bill Clinton's decision on whether to begin construction of an anti-missile system. General Michael Ryan, the US Air Force chief of staff, told reporters in Washington that the easing of tensions on the Korean peninsula does not do away with the need for missile defenses because other nations also are developing the capability to hit the US with long-range missiles. He also noted the lukewarm support that many Defense Department leaders are giving to missile defense and said the system should not be paid for by the armed services but by increasing the overall Defense Department budget. A senior US State Department official said, "Since a moratorium is self imposed, and it's not a binding agreement, it is extremely useful to get it reaffirmed publicly."

Reuters ("RUSSIAN OFFICIAL SAYS MOSCOW MAY RETALIATE ON ABM," 6/21/00) reported that Colonel-General Vladimir Yakovlev, commander of Russia's strategic missile forces, told the Russian Interfax news agency that Russia could pull out of the 1987 Intermediate-range Nuclear Forces (INF) treaty, which eliminated medium-range missiles, if the US goes ahead with a planned national missile defense system. He said, "Such a step is possible as Moscow's asymmetrical answer to Washington's exit from the 1972 Anti-Ballistic Missile Treaty." Although Yakovlev is Russia's top military officer in the strategic arms field, key decisions on treaties are taken in Russia by politicians and any such move would have to be authorized by President Vladimir Putin. The goal of the treaty from the US view was eliminate the Soviet SS-20 missile, which could reach US allies but not the US itself, and other similar missiles produced by the USSR and the US.

II. Republic of Korea

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1. DPRK Official's Visit to ROK

The Korea Herald (Kim Ji-ho, "RANKING N.K. OFFICIALS TO VISIT S. KOREA AHEAD OF KIM JONG-IL," Seoul, 06/22/00) and Joongang Ilbo (Lee Young- jong, "NORTH'S KIM YONG-SUN COULD VISIT KOREA," Seoul, 06/21/00) reported that ROK Unification Minister Park Jae-kyu said on Wednesday that a few high-level DPRK officials are expected to visit the ROK before Kim Jong- il makes a proposed reciprocal trip to Seoul. The ranking DPRK officials will likely hold meetings with their ROK counterparts to fix the timetable for Kim's official visit, Park told reporters. He said that he did not yet know the exact timing of the DPRK leader's return visit. Park quoted Kim as saying, "I will determine an appropriate time for the return visit after watching both sides' efforts to implement the joint declaration and sending one or two officials to South Korea." The DPRK watchers in the ROK said that Kim Jong-il's visit to Seoul would serve as a major indicator for future inter-Korean talks. In an additional follow up to the Kim-Kim accord, the two sides are expected to hold governmental talks next month.

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2. DPRK Leader's Visit to ROK

Chosun Ilbo (Kim In-gu, "NK LEADER TO VISIT AFTER RELATIONS IMPROVE," Seoul, 06/21/00) reported that ROK Unification Minister Park Jae-kyu told reporters on Wednesday that it was conceivable for DPRK leader Kim Jong- il to visit Seoul after one or two DPRK officials higher than minister level visit the ROK. The officials will be negotiating current issues involving the two countries, and improving relations. Minister Park added that the officials would be minister-levels or higher and that ideas will be extensively discussed to conduct the policies mentioned in the June 15 DPRK-ROK Joint Declaration. Park explained that the meetings for the DPRK and ROK government officials will be held in either Seoul, Pyongyang or Panmunjom.

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3. US Forces in ROK

The Korea Herald (Chon Shi-yong, "KOREAN LEADERS DID NOT DISCUSS STATUS CHANGE FOR U.S. FORCES," Seoul, 06/22/00) and The Korea Times (Lee Chang- sup, "NO DISCUSSION ABOUT USFK ROLE CHANGE: HWANG," Seoul, 06/21/00) reported that an top Chong Wa Dae official on Wednesday dismissed reports that ROK President Kim Dae-jung and DPRK leader Kim Jong-il discussed a possible change in the status of US forces in ROK. "The leaders did not discuss the issue," said Hwang Won-tak, senior presidential secretary for foreign affairs and national security. The two leaders did discuss issues regarding the US forces in the ROK, but did not touch on this proposal during their summit meetings in Pyongyang. Hwang, who returned home Tuesday from a trip to the US and Japan, rejected predictions that DPRK leader Kim Jong-il might attend the UN General Assembly this September and other future international meetings.

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4. DPRK-Japan Relations

The Korea Herald (Shin Yong-bae, "JAPANESE ENVOY SAYS SUMMIT WILL HELP RESUME TOKYO-P'YANG NORMALIZATION TALKS," Seoul, 06/22/00) reported that Japanese Ambassador to the ROK Terusuke Terada said on Wednesday that the ROK-DPRK meeting would help restart Japan-DPRK normalization talks. Noting that DPRK leader Kim Jong-il indicated that he received a message from Japanese Prime Minister Yashiro Mori "with pleasure," Terada stated, "We take this response as a positive indication from Pyongyang." He added, "I can't tell you at this moment when talks will resume. But I can say that we will patiently wait for a response from the North." Terada spoke at a lecture organized by the Korean Council on Foreign Relations about Japan's DPRK policy.

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5. US Sanctions on DPRK

The Korea Herald ("NORTH KOREA CALLS FOR FULL LIFTING OF U.S. SANCTIONS," Seoul, 06/22/00) reported that the DPRK on Wednesday called for a complete lifting of US sanctions, saying that its moratorium on missile tests announced in Berlin last September is still in effect. The DPRK's Korean Central News Agency reported that a DPRK foreign ministry spokesman said that the US should ease all sanctions and completely scrap its antagonistic policies toward the DPRK. The partial lifting of US sanctions Monday will exert a positive influence in solving pending bilateral issues such as possible higher-level meeting between the two sides in Washington, he said. The DPRK will strive to dissolve US concern if the US moves toward improving bilateral ties and respecting its sovereignty and freedom of choice, he added.

The Korea Herald ("SEOUL TO PRESS U.S. TO REMOVE N. KOREA FROM TERRORISM LIST," Seoul, 06/22/00) reported that a senior ROK administration official said on Wednesday that the ROK government will launch a diplomatic effort to persuade the US to remove the DPRK from its list of terrorism-sponsoring nations. The official said that the move is aimed at facilitating international support for the drive to rebuild the DPRK's economy. Speaking on condition of anonymity, the official said that President Kim Dae-jung might hold talks with US Congressional leaders to persuade them to remove the DPRK from the terrorism blacklist. He said that the DPRK is in need of financial contributions from organizations like the International Bank for Reconstruction and Development and the International Monetary Fund. "It is necessary for the U.S. Congress to remove Pyongyang from the terrorist list if North Korea is to receive this kind of international financing," the official said.

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6. Coca-Cola in DPRK

Joongang Ilbo (Kim Joon-sool, "COCA-COLA SET TO CONQUER NORTH KOREAN FRONTIER," Seoul, 06/21/00) reported that Coca-Cola is poised to be the first US company to make a foray into the DPRK after the US government eased anti-DPRK economic sanctions. According to the June 20 edition of the Financial Times, Coca-Cola has already completed arrangements to enter the DPRK soft drink market. The company has already engaged a distribution company and will be selling its product initially at places like hotels, where foreigners are most likely to be. The Financial Times added, however, that the bottles might not be transported into the DPRK in their standard, trademark red trucks. The DPRK still considers Coca- Cola the quintessential symbol of capitalism, and objects to the idea of trucks emblazoned with that logo invading their territory.

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Timothy L. Savage:
Berkeley, California, United States

Gee Gee Wong:
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Kim Hee-sun:
Seoul, Republic of Korea

Hiroyasu Akutsu:
Tokyo, Japan

Peter Razvin:
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Shanghai, People's Republic of China

Dingli Shen:
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