The Nautilus Institute

Northeast Asia Peace and Security Network
For Monday, June 16, 1997, from Berkeley, California, USA

NOTE: Because of scheduled maintenance work on our computer systems, we do not anticipate publishing a Daily Report on Wednesday, June 18, 1997. Your understanding is appreciated.

The Daily Report is distributed to e-mail participants of the Northeast Asia Peace and Security Network (NAPSNet). Other recent web version Daily Reports may be found in the Recent Reports Folder. Text versions of all previous Daily Reports may be accessed (using either web browsers or ftp software) in the Daily Report Archive. Please send news items, discussion contributions, subscription requests, or other comments to the Daily Report Editor at:

For information or application instructions for the Nautilus Security Program Assistant position opening, please see the Security Program Assistant Position Description.

In today's Report:

I. Republic of Korea

I. Republic of Korea

1. DPRK Adopts De Facto Market Economy in Najin-Sonbong

The DPRK recently reported to the UNDP of their economic liberalization and reform plan in the Najin-Sonbong SEZ. The plan is comprised of eleven articles and includes proposals for currency reform, permission for citizens to run private businesses and freely trade goods, the establishment of a free market in the border town of Wonjong-li, the privatization of government owned businesses, and a cut in government subsidies. Observers view such reform plans as a de facto adoption of a market economy and demonstrated concerns of its impacts. (Joong-ang Ilbo, "DPRK TO PERMIT PRIVATE BUSINESS IN NAJIN- SONBONG," 06/16/97)

2. Taiwan to Purchase 2,000 Rocket Launchers from France

The Taiwanese defense ministry announced through local media on June 15 of their plan to purchase two thousand anti-tank rocket launchers from France. The announcement came despite the 1994 PRC-France agreement on arms embargo to Taiwan. The report, quoting an anonymous senior official in the defense force, said that the proposed deal is likely to be completed because the rocket launchers are classified as "general" military equipment. Neither the name of the exporter nor the cost of the purchase were disclosed. (Kyunghyang Shinmun, "TAIWAN TO PURCHASE ANTI-TANK MISSILE LAUNCHERS FROM FRANCE," 06/16/97)

3. ROK Food Aid Continue in DPRK

The ROK's first shipment of corn in relief aid to the DPRK, which began last Thursday, resumed yesterday in three areas bordering the North and China. It is expected that the last of the 11,200 tons of corn will be delivered to the DPRK by June 19, with the second shipment of 17,600 tons of corn scheduled to begin the following day. According to Lee Kye-bok of the South Korean National Red Cross (KNRC), who is overseeing the transportation of the food aid from Tumen to Namyang, "There were some unseen delays in the beginning due to railroad conditions in China but these have returned to normal. As of Sunday, 1,980 tons or 50 percent of the first shipment of four thousand tons to Namyang have reached the city." (Joong-ang Ilbo, "FOOD DELIVERY TO NORTH KOREA RETURNS TO NORMAL," 06/16/97)

4. ROK President to Visit Mexico

ROK President Kim Young-sam will visit Mexico June 26-28, the Mexican Foreign Ministry announced Friday. Accompanied by business leaders, President Kim is scheduled to hold discussions on bilateral trade and investment with President Ernesto Cedillo. This is Kim's first visit to Mexico, and is the second ROK presidential visit following that of Roh Tae-woo in 1991. Last year President Cedillo visited Seoul and signed agreements on the mutual extradition of criminals and cooperation on tourism. Trade between the two countries reached its highest level last year, totaling US$1.95 billion. (Chosun Ilbo, "KIM YOUNG-SAM TO VISIT MEXICO," 06/16/97)

5. US and Japanese Views on Timetable of Korean Unification

A joint survey by the Nihon Keizai Shimbun of Japan and the Wall Street Journal of the US found that about 40 percent of Americans and Japanese share the view that both Koreas will not be reunited soon. Of the 1,200 adults surveyed in each country last month, 41.3 percent and 42 percent of the respective populations replied negatively in respect to Korean peninsula unification in the immediate future. Nevertheless, 37.5 percent of Americans and 30.5 percent of Japanese believe that the Korean peninsula will be united within the next five to 20 years, while 6.6 percent of Americans and 11.2 percent of Japanese feel it will take more than 20 years for the two countries to unite. (Joong-ang Ilbo, "40 PERCENT OF AMERICANS, JAPANESE CONSIDER UNIFICATION OF THE KOREAN PENINSULA UNLIKELY," 06/16/97)

The NAPSNet Daily Report aims to serve as a forum for dialogue and exchange among peace and security specialists. Conventions for readers and a list of acronyms and abbreviations are available to all recipients. For descriptions of the world wide web sites used to gather information for this report, or for more information on web sites with related information, see the collection of other NAPSNet resources.
We invite you to reply to today's report, and we welcome commentary or papers for distribution to the network.

Produced by the Nautilus Institute for Security and Sustainable Development.

Wade Huntley:
Berkeley, California, United States

Choi Chung-moon:
Seoul, Republic of Korea

Peter Razvin:
Moscow, Russian Federation

Chunsi Wu:
Shanghai, People's Republic of China

Dingli Shen:
Shanghai, People's Republic of China

Hiroyasu Akutsu:
Tokyo, Japan

Return to the top of this Daily Report | Go to the Daily Report Archive

Nautilus Home Page  Search Our Site