I. United States

1. DPRK Missile Program
2. Food Aid for DPRK
3. Cross-Straits Relations
4. Japanese Textbook Controversy
5. US Forces in Japan

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I. United States

1. DPRK Missile Program

Agence France Presse ("'NOTHING WRONG' WITH NORTH KOREAN ROCKET MOTOR TESTS: TOP US OFFICIAL," Washington, 7/7/01) reported that the US said on July 6 that there was "nothing in itself wrong" with the DPRK testing missile engines, confirming for the first time that such a test recently took place. US Deputy Secretary of State Richard Armitage told reporters that he did not believe the DPRK had infringed its offer of a self-declared moratorium until 2003 on testing missiles. He also said the DPRK was "living up to the letter" of the 1994 Agreed Framework. He said, "Recently we believe they tested a motor engine, a rocket engine, there is nothing in itself wrong with that. We have not seen they have gone back on their comments to EU officials about 2003." Armitage said that it was too early to judge how the DPRK would respond to Bush's offer of a dialogue, but that he believed US Secretary of State Colin Powell may use a trip to Vietnam later this month for the ASEAN regional forum to meet DPRK Foreign Minister Paek Nam-sun.

2. Food Aid for DPRK

Agence France-Presse ("WORLD FOOD PROGRAMME OFFICIAL DENIES REPORT ON NORTH KOREAN AID," Geneva, 07/06/01) reported that World Food Programme (WFP) Executive Director Catherine Bertini criticized a report by the UN's special rapporteur for food rights Jean Ziegler alleging that most foreign food aid sent to the DPRK was not reaching its intended recipients. Ziegler had made the allegation in March before the Geneva-based UN Human Rights Commission, but Bertini demanded that the paragraphs in question be removed from his report. In a letter to Ziegler dated June 21, she stated, "Our gravest concern is that this erroneous information will undermine the political will of our donors. This will is essential to feed the over eight million hungry women, children and men in DPRK." She added, "In particular, the phrase 'most of the international aid has been diverted' is unsubstantiated, not referenced and is not based on first-hand observation of our food aid programme." Ziegler, however, defended his findings that significant amounts of aid were being diverted by the DPRK army and government, asserting that they had been backed up by information from non-governmental organizations such as Action against Hunger, which pulled out of the DPRK in spring last year.

3. Cross-Straits Relations

The Washington Post (John Pomfret, "TAIWAN'S OPPOSITION TO SHIFT CHINA STANCE," Beijing, 7/9/01) and Agence France Presse ("TAIWAN DIVIDED OVER CONFEDERATION PROPOSAL," Taipei, 7/8/01) reported that on July 7, Taiwan's Nationalist Party (Kuomintang) issued a policy paper on relations with the PRC that argued that the best option for Taiwan would be to form a confederation under which both entities would maintain their central governments and control their own diplomacy, national defense and internal affairs. It stipulated confederation as a transitional period before "reunification under the principles of democracy, freedom and equitable distribution of wealth" can take place. Nationalist officials said that they expected the policy to be approved by the party's Central Standing Committee this week and by its national congress at the end of the month. The policy would then become the party's official platform for legislative, mayoral and county magistrate elections in December. According to a survey by Taiwan's United Daily News, the percentage of Taiwanese who say they could accept the "one-country, two-system" arrangement under which the PRC regained possession of Hong Kong from Britain in 1997 is the highest it has been in years--about 33 percent, up from 23 percent last December.

Agence France Presse ("PRO-REUNIFICATION TAIWAN PARTY MEMBERS TO VISIT CHINA," Taipei, 7/9/01) reported that several leading members of Taiwan's New Party (NP) are to visit Beijing this week to discuss ways of achieving a peaceful reunification. Yu Mu-ming, spokesman of the four-member delegation, said Monday, "We would like to build a long-term mechanism for negotiations with the Taiwan Affairs Office under the State Department." Yu said that party members would discuss with the PRC the definition of the "One China" policy and ways to improve cross-Strait exchanges towards an eventual reunification. Other members in the team include Hsu Li-nung, chairman of the party's mainland committee, party secretary general Li Ping-nan and Taipei City Council Deputy Speaker Fei Hug-tai. They are scheduled to leave on July 10 for the four-day trip. Chen Ming-tung, vice chairman of the cabinet- level mainland affairs council, said that the government welcomed efforts by all political parties seeking improved ties with the PRC. However, Chen said that a "one country, two systems" offer could not be accepted.

4. Japanese Textbook Controversy

The Associated Press (Paul Shin, "S.KOREA LEADER WON'T MEET JAPAN ENVOYS," Seoul, 7/9/01) reported that ROK President Kim Dae-jung refused to meet a high-level Japanese delegation Monday. A special delegation from Japan's three-party ruling coalition flew to Seoul on July 8, hoping to meet Kim and seek his understanding about the textbook decision. ROK officials said that they bore a letter from Japanese Prime Minister Junichiro Koizumi pledging his country's continued efforts to develop ties with the ROK. However, Kim turned down a request for a meeting, saying he could not meet the visitors because of a "conflicting schedule." The ROK Foreign Ministry issued a statement expressing "deep disappointment and regret" over the Japanese decision. The statement said, "In light of such an attitude on the part of the Japanese government, we are compelled to question whether Japan values the ties of friendship and goodwill with neighboring countries and is willing to play an active role for global peace and stability."

5. US Forces in Japan

Agence France Presse ("KOIZUMI URGES US TO IMPOSE TOUGHER DISCIPLINE ON FORCES," Tokyo, 7/9/01) reported that Japanese Prime Minister Junichiro Koizumi on Monday sought stricter control over US forces in Japan as a local assembly demanded the revision of a pact governing their presence following the alleged rape of an Okinawa woman by a US airman. Koizumi told US Ambassador Howard Baker during a 15-minute meeting at the premier's office in Tokyo, "Such an incident should never happen again. I would like to request tighter discipline and guidance to soldiers as well as the thorough implementation of rules. It is important that we closely hold discussions with the United States." Baker said that a bond between Bush and Koizumi forged at a meeting at Camp David in the US last month had helped prevent the incident from overly harming relations between the two countries.

II. Republic of Korea

1. DPRK Missile Program

Chosun Ilbo (Kim Hee-sung, "NORTH KOREA IS ABIDING BY MISSILE PLEDGE: ARMITAGE," Seoul, 07/07/01) reported that Richard Armitage, US Deputy Defense Secretary, gave high marks to the DPRK's missile moratorium and urged the nation to resume negotiations with the US. Armitage in Friday's [July 06] briefing said that the DPRK was continuing to live up to its promise to freeze its missile testing program, as well as a seven-year-old commitment to halt its nuclear program. What the US wishes to hear from the DPRK is its "willingness to engage," including on what issues, when and where. Armitage acknowledging that the DPRK did conduct an engine test last week but added however "there is nothing in itself wrong with that."

2. Powell's ROK Visit

The Korea Herald (Kim Ji-ho, "POWELL MAY MEET WITH NORTH KOREAN MINISTER; TO VISIT SOUTH KOREA JULY 27-28," Seoul, 07/09/01) reported that US Secretary of State Colin Powell will visit the ROK July 27- 28, ROK and US officials said over the weekend. During his stay in Seoul, the US secretary will discuss the DPRK with President Kim Dae-jung, Foreign Minister Han Seung-soo, and other ROK leaders, officials said.

3. DPRK View of Hwang's US Visit

Joongang Ilbo (Lee Soo-Jeong, "N. KOREA LAMBASTES U.S. CONGRESSMEN," Seoul, 07/09/01) and Chosun Ilbo (Kim In-mok, "NK CRITICIZES US INVITATION TO HWANG," Seoul, 07/07/01) reported that the DPRK on Saturday criticized two US congressmen who invited DPRK defector Hwang Jang-yop to testify on Capitol Hill. Republican Representatives Henry J. Hyde of Illinois, the head of the House International Relations Committee, and Christopher Cox of California recently invited Hwang to testify before congressional committees about the DPRK. "If the U.S. stages a ridiculous burlesque by inviting such human scum as traitor Hwang Jang-yop, instead of taking an honest attitude toward the improvement of the North Korea-U.S. relations ... this will only further worsen the bilateral relations," the DPRK's official foreign news outlet, KCNA, quoted a Foreign Ministry spokesman as saying. The spokesman, who was not identified, said that the invitation reflected efforts by the Bush administration to "isolate and stifle" the DPRK and would damage plans to reopen talks about security. "This more clearly indicates that the U.S. talk about the resumption of dialogue with North Korea is no more than a fiction," the spokesman said.

4. DPRK Participation in Vietnam War

The Korea Herald (Kim Ji-ho, "NORTH KOREA SAYS ITS PILOTS FOUGHT IN VIETNAM WAR," Seoul, 07/09/01) reported that the DPRK sent fighter jet pilots to combat US forces during the Vietnam War, the DPRK's official news media reported. It was the DPRK's first official confirmation that its pilots participated in the Vietnam War. The DPRK's state-run Radio Pyongyang and Korean Central Television Station reported late Friday that representatives from the DPRK's ruling Workers' Party met in October 1966 and decided to support North Vietnam during the war. The reports also said that the DPRK provided North Vietnam with "numerous weapons and ammunition as well as 2 million sets of uniforms." Lee Chul-soo, a DPRK air force captain who defected to the ROK in 1998, had said earlier that over 800 DPRK pilots flew Soviet-provided MiG jets to help North Vietnamese troops fight against US forces. Kim Yong-nam, the head of the DPRK's national assembly, will visit Hanoi July 11-14 to discuss improving ties. Kim, the ceremonial head of state and the highest ranking DPRK official to visit Hanoi, was invited by Vietnamese President Tran Duc Luong.

5. Inter-Korean Tech Venture

Joongang Ilbo (Lee Seung-nyeong, "NORTH-SOUTH TECH VENTURE OPENS IN CHINA," Seoul, 07/06/01) reported that the first information technology start-up company jointly established by an ROK firm and a DPRK research center will begin operation on August 1 at Dandong, PRC, Hanabiz Co. said Friday. The inter-Korean business promotion start-up in the ROK said that Hana Program Center will be opened in the PRC city. The DPRK partner is the Pyongyang Information Center. "The joint venture will start with capital of US$300,000," Moon Kwang- seung, president of Hanabiz said. "South Korean and North Korean counterparts will invest in the firm in a 60:40 ratio." Moon added that 40 technicians from Pyongyang Information Center will be dispatched to the Hana Program Center to develop software and to design network equipment.

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