The Nautilus Institute

Northeast Asia Peace and Security Network
For Thursday, October 8, 1998, from Berkeley, California, USA

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I. United States

II. Republic of Korea III. People's Republic of China IV. Announcement

I. United States

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1. ROK-Japan Summit

The Associated Press (Joseph Coleman, "JAPAN APOLOGIZES TO S. KOREA," Tokyo, 10/08/98) and Reuters (Teruaki Ueno, "JAPAN MAKES HISTORIC APOLOGY TO SOUTH KOREA," Tokyo, 09/08/98) reported that Japanese Prime Minister Keizo Obuchi and ROK President Kim Dae-jung signed an agreement Thursday on new areas of cooperation. Obuchi stated, "It is my conviction that this joint declaration will be a new start." The agreement included a US$3 billion loan package from Japan to the ROK. Also in the declaration, Obuchi "expressed deep remorse and extended a heartfelt apology to the people of South Korea, having humbly accepted the historical fact that Japan inflicted heavy damage and pain on the people of South Korea through its colonial rule." It was the first written apology ever issued by Japan to an individual country. Kim accepted the apology and Japan's recognition of the past, and acknowledged that it went deeper than previous Japanese apologies for the war. The two sides also agreed that implementing the agreement to build two light-water nuclear reactors in the DPRK was the best way to prevent the DPRK from developing its own nuclear weapons. Kim also promised Obuchi a gradual opening up to Japanese cultural imports. The two sides also agreed to create a working holiday system for travelers aged 18-25, as well as a new tax treaty. Kim said at a news conference after the meeting, "The apology in the declaration is different from previous statements by the Japanese government in terms of form and gravity." In a speech to the Japanese Diet, Kim stated, "It is truly infantile to regard 1,500 years of exchanges and cooperation as insignificant because of unfortunate periods that totaled fewer than 50 years. Isn't it something we should be ashamed of and something we should be reproached for by our ancestors, who forged such a history, and by our descendants?" However, the Korean Council for the Women Drafted for Military Sexual Slavery by Japan said in a statement "We are seriously disappointed because the joint announcement doesn't even mention the issue of" women forced into sexual slavery during World War II.

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2. PRC-Taiwan Relations

Reuters ("CHINA SAYS TAIWAN TIES AT CRITICAL POINT," Beijing, 10/07/98) reported that the People's Daily on Wednesday quoted Chen Yunlin, director of the Taiwan Affairs Office under the PRC State Council, as saying that relations with Taiwan were at a "critical historical point." Chen stated, "Whether there will be sound relations in the 21st century depends on whether the two sides can start political negotiations as early as possible." The official Xinhua news agency quoted Chen as saying he that hoped Taiwan would actively respond to the PRC's proposal to hold political negotiations, saying dialogue was in line with the aspiration of Taiwan residents for peace, stability, and better ties. He added that the PRC also hoped Taiwan would prove its sincerity to improve relations and seek reunification of the two sides by abandoning attempts to hinder the development of relations.

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3. Alleged US Technology Transfers to PRC

The Washington Post (Walter Pincus, "INFORMATION EXCHANGES WITH FOREIGN NUCLEAR ARMS LABS SCRUTINIZED," A08) reported that since July, scientists from the Los Alamos, Lawrence Livermore, and Sandia nuclear weapons laboratories have been showing Chinese scientists and government officials at the PRC Institute of Atomic Energy some of the latest US techniques for safeguarding nuclear facilities and fissionable materials, as part of an exchange program that also brings Chinese scientists to US laboratories. One senior US scientist who has participated in the program said that the exchanges are "our only eyes and ears into the Chinese program." However, some US Congressmen have expressed concern that the exchanges may be unregulated and lead to unauthorized technology transfers. Representative Duncan Hunter (R-Calif.), chairman of the House National Security military procurement subcommittee, stated, "Many of the foreign visitors are from countries that are considered possible threats from national security or proliferation perspectives." Keith O. Fultz, assistant comptroller general at the General Accounting Office, told the subcommittee that "counterintelligence experts believe that the laboratories are targets of foreign espionage efforts, and investigations have shown that security has been jeopardized." However Paul Robinson, head of Sandia, told the subcommittee that "programs on threat-reduction, nonproliferation and arms control, safe and secure dismantlement, nuclear materials protection, proliferation prevention, [and] lab-to-lab collaborations in basic science ... require the cooperation of foreign nations if they are to be successful." He also noted that allowing visits in the US opened up nuclear labs in other countries that were not accessible before.

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4. Russian Nuclear Policy

The Associated Press ("RUSSIA MAY USE NUCLEAR WEAPONS IF THREATENED - DEFENSE MIN," Moscow, 10/08/98) reported that Russian Defense Minister Igor Sergeyev said Thursday that Russia believes it has the legal right to use its nuclear weapons to defend itself from an external threat. Sergeyev stated, "We frankly admit that at a time of reform of the entire military organization of the country, and of certain reduction in the combat ability of the conventional forces, the role of the nuclear deterrent factor is increasing." He added, however, that Russia is aware of the dangers of nuclear weapons and remains committed to the principles of nuclear deterrence.

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5. Russian Missile Test

The Associate Press ("RUSSIA SUCCESSFULLY TEST-FIRES BALLISTIC MISSILE," 10/08/98) reported that Russian officials said on Thursday that Russia's strategic missile forces have successfully test-fired an RS-18 inter- continental ballistic missile from neighboring Kazakstan to a designated target area in Russia's Far East. The launch, the 85th during the 20 years that the missile has been in service, was undertaken to "study a possibility of extending the lifetime of such missiles." ITAR-Tass news agency said that the military considers the extension of the RS-18's duty "especially important in current conditions," because Russia needs time to replace older nuclear forces with the new Topol-M ballistic missiles.

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6. Russian Nuclear Waste

The Associated Press ("RUSSIA'S NUCLEAR MINISTRY SEEKS OUTSIDE FUNDS FOR CLEANUP," Moscow, 10/08/98) reported that Russian Atomic Energy Minister Yevgeny Adamov said Thursday that the nuclear ministry is planning to seek outside help for cleaning up contamination from weapons production as it does not expect any more federal money. Adamov also insisted that Russia has no plans to develop new types of nuclear arms.

II. Republic of Korea

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1. Nautilus DPRK Windpower Project

JoongAng Ilbo ("US REASEARCH CENTER OPERATES GENERATORS IN DPRK," Seoul, 10/07/98) reported that wind generator towers constructed by the Nautilus Institute began supplying electric power to a village north of Nampo in the DPRK. The institute revealed on October 7 that Peter Hayes, the institute's executive director who recently visited the DPRK, informed them of this fact through the Internet. This institute said that the power generated by the seven wind towers is being supplied to neighboring houses, a kindergarten, and a hospital. Institute workers visited the DPRK last May and constructed a 30m-high generator tower and electronic equipment to measure wind speed in farmland 48 km north of Nampo City. On the second visit, the institute constructed the remaining six generator towers as scheduled. Peter Hayes said before his second visit to DPRK, "This project will tell us how important alternative energy is in fulfilling the Geneva Agreement concluded between DPRK and the US in October 1994."

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2. ROK-Japan Summit

Korea Times ("HIGHLIGHTS OF ACTION PLAN FOR ROK-JAPAN PARTNERSHIP," Seoul, 10/08/98) reported that the leaders of Korea and Japan agreed to strengthen bilateral security consultations and expand "person to person" cooperation, moving away from the past focus on government to government contacts. The two leaders issued a joint statement on the new ROK-Japan partnership, which mandates the two countries to implement a 43-point action plan. The action plan included agreements on diplomatic exchanges, coordination of policy toward the DPRK, economic cooperation-- including US$3 billion in untied loans to the ROK through the Japanese Export-Import Bank--and cultural exchanges, including an end to the ROK ban on imports of Japanese popular culture.

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3. Asian Financial Crisis

Korea Times (''ROK CALLS FOR STRENGTHENED WORLD FINANCIAL STRUCTURE,'' Seoul, 10/08/98) reported that ROK Finance Minister Lee Kyu-sung on Wednesday urged world leaders to introduce a stepped-up international financial structure to stave off a global economic meltdown. ''The international financial structure must be updated for greater global stability and soundness,'' said Lee during the annual meetings of the International Monetary Fund and the World Bank. He suggested that enhanced surveillance, improved standards in transparency, and an effective early warning system be put in place to ward off risks of contagion. Minister Lee called on the world to address the intrinsic instability associated with short-term capital flows. However, he made it clear that the ROK fully supports the efforts made by the IMF and endorses its position on global economic matters. He stressed that the world will have to take immediate steps to improve macroeconomics policy coordination at the global level. He praised US President Bill Clinton's proposal to use a new method to overcome the spreading crisis and welcomed a recent interest rate cut by the US central bank. ''We need new arrangements that enable crisis-hit nations to quickly regain access to the capital market,'' Lee continued. He also hailed a Japanese initiative to help countries in the Asian region by providing them with US$30 billion in aid.

III. People's Republic of China

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1. ROK-Japan Summit

China Daily ("OBUCHI SET TO APOLOGIZE FOR JAPAN'S INVASION INTO KOREA," Tokyo, 10/08/98, A11) reported that ROK President Kim Dae-jung started a four-day state visit to Japan in an effort to build a new bilateral partnership in the next century. He is also likely to receive the most thoroughgoing apology yet for Japan's colonial rule, Obuchi's deputy spokesman, Akitaka Saiki, told reporters. Obuchi is scheduled to deliver the apology during wide-ranging talks with Kim. Obuchi also intends to propose that six-party talks be held on the situation in the DPRK, Saiki said. Obuchi and Kim may also sign a provisional agreement on a new bilateral fisheries pact today, which the two countries, through last- ditch efforts, managed to achieve in time for Kim's visit. In Seoul, senior ROK officials said that Kim's trip will be highlighted by non- economic issues, although economic issues are not less important.

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2. Implementation of Agreed Framework

Jie Fang Daily ("THIRD ROUND OF FOURTY-PART TALKS TO BE HELD," New York, 10/1/98, A4) reported that the Korean Energy Development Organization published its annual report in New York on September 29. According to the report, the organization expects to carry out the full-scale construction of two light-water reactors in the DPRK in 1999.

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3. DPRK-US Missile Talks

People's Daily ("NO PROGRESS IN US-DPRK MISSILE TALKS," New York, 10/5/98, A6) reported that US-DPRK missile talks ended on October 2 without progress. Commenting on the DPRK statement that it launched a satellite, not a missile, on August 31, a senior US official said after the talks that the launch proved that the DPRK has the ability to launch longer-range missiles. Therefore, it concerns the US.

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4. US Defense Bill

People's Liberation Army Daily ("US ANTI-CHINA DEFENSE CLAUSES OPPOSED," Beijing, 10/7/98, A4) reported that the PRC is concerned by, and opposed to, the US 1999 fiscal year National Defense Department Authorization Act, which contains some anti-PRC clauses and was passed recently by the US House of Representatives and the Senate. The act includes Taiwan in the missile defense system, and allows continued US arms sales to the island. PRC Foreign Ministry spokesman Zhu Bangzao said that passage of such a bill creates obstacles to improving and developing relations between the countries, and is detrimental to the security and stability of Taiwan and the Asia-Pacific region. The PRC hopes that the US Government will take effective measures to prevent the anti-PRC clauses from becoming law, and refrain from transferring the theater missile defense system and related technology and equipment, and from selling advanced weapons to Taiwan.

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5. Tang Jiaxuan's Visit to the US

People's Daily ("TANG HOLDS TALKS WITH US STATE SECRETARY," Washington, 10/1/98, A6) reported that PRC Foreign Minister Tang Jiaxuan and US Secretary of State Madeleine Albright held talks in Washington. During the meeting, Tang noted that to handle the Taiwan issue carefully is the key for the healthy and stable development of PRC-US relations. The US side should adhere to the principles in the three Sino-US joint communiques and the Sino-US joint statement. The PRC and the US agreed to start negotiations soon on nonproliferation issues, including talks on the Missile Technology Control Regime. The two foreign ministers also had positive discussions on how to carry out, on the basis of equality and mutual respect, dialogues and exchanges on the human rights issue between the two countries.

Wen Hui Daily ("JIANG, CLINTON TO MEET AGAIN," 10/2/98, A2) reported that PRC Foreign Ministry spokesman Tang Guoqiang said in Beijing on October 1 that PRC Foreign Minister Tang Jiaxuan's visit to the US had been successful. The spokesman also announced that the PRC and US presidents would meet again at next month's informal Asia-Pacific Economic Cooperation summit in Malaysia.

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6. PRC-Taiwan Relations

China Daily ("OFFICIAL HOPE SEF LEADER'S TRIP HELPS TALKS," 10/7/98, A1) reported that a senior PRC official hopes Straits Exchange Foundation (SEF) leader Koo Chen-fu's visit to Beijing will lead to political talks between Taiwan and the PRC government. Chen Yunlin, director of the State Council's Taiwan Affairs Office, said at a council meeting of the Beijing-based Association for Relations Across the Taiwan Straits (ARATS) that talks can touch on anything under the auspices of the "one China" principle. Citing the PRC's reunification with Hong Kong last year and the scheduled return of Macao, Chen said the PRC Government is confident that the reunion with Taiwan can take place, completing the motherland's "thorough reunification." ARATS's council elected, during its meeting on October 6, Zhang Jicheng, Sun Yafu, and Liu Zhentao as vice-presidents to assist President Wang Daohan and Executive Vice-President Tang Shubei.

When answering a question about Taiwan's cancellation of a military exercise on its "national day," PRC Foreign Ministry spokesman Zhu Bangzao urged Taiwanese authorities to make some "practical efforts" to improve cross-Straits ties, according to a report in China Daily ("US ANTI-CHINA DEFENSE CLAUSES OPPOSED," 10/7/98, A1). Zhu said at a routine briefing on October 6 that if Taiwan's authorities are really sincere, they should come back to the position of "one China," instead of delaying the procedural arrangements for cross-Straits political negotiations.

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7. PRC Military's Business Activities

People's Daily ("BUSINESS: ARMY TO RETREAT," Beijing, 10/8/98, A1-2) reported that the People's Liberation Army, the Armed Police, and law enforcement offices are no longer to be allowed any involvement in business activities. The decision was reached at a two-day meeting ending on October 6 involving the Central Committee of the Communist Party of China (CPC), the State Council, and the Central Military Commission. Hu Jintao, a member of the Standing Committee of the Political Bureau of the CPC Central Committee and a member of the Secretariat of the CPC Central Committee, told the meeting that the central authorities had taken this decision two months ago and that it had the wholehearted support of the Party, the military and the people. Hu said that the state will ensure that all the expenditure necessary for the military, the Armed Police, and law enforcement offices are provided. Arrangements have been made to carry out the decision, Hu said. A thorough investigation of the situation and policies should be carried out, and programs worked out to provide a foundation for further work. Zhang Wannian, a member of the Political Bureau of the CPC Central Committee and vice-chairman of the Central Military Commission, told the meeting that the military is the people's military, under Party leadership and Party orders. The military and the Armed Police will put the interests of the Party and the people first and disengage themselves from their business activities.

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8. PRC Military Reductions

China Daily ("PLA BEGINS DOWNSIZING, REDUCING 500,000 POSITIONS," 10/06/98, A1) reported that the People's Liberation Army (PLA) will be cutting 500,000 personnel from its ranks during the next three years. Officials said that when the reduction is completed, the PLA's personnel, including non-military, will be 2.5 million, 0.21 per cent of the PRC's population. Wang Huiqing, a doctor of military science, describes the disarmament as "a manifestation and enrichment of China's outstanding traditional military thinking, characterized by pursuit of peace."

IV. Announcement

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1. New NAPSNet ROK Partnership

The Nautilus Institute is pleased to announce the implementation of a new NAPSNet partnership with the International Policy Studies Institute (IPSI) of Korea University in Seoul, Republic of Korea. As part of this partnership, IPSI takes over the task of contributing the ROK section of the Daily Report, in addition to other cooperative activities. IPSI's executive director is Dr. Hyun In-taek. Mr. Lee Dong-young is the new NAPSNet ROK writer.

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 in partnership with:
Institute for International Policy Studies Korea University, Seoul, Republic of Korea
The Center for Global Communications, Tokyo, Japan
Center for American Studies,
Fudan University, Shanghai, People's Republic of China

Wade L. Huntley:
Berkeley, California, United States

Timothy L. Savage:
Berkeley, California, United States

Lee Dong-young:
Seoul, Republic of Korea

Hiroyasu Akutsu:
Tokyo, Japan

Peter Razvin:
Moscow, Russian Federation

Chunsi Wu:
Shanghai, People's Republic of China

Dingli Shen:
Shanghai, People's Republic of China

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