NAPSNet Daily Report Monday, September 12, 2005

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NAPSNet Daily Report Monday, September 12, 2005

NAPSNet Daily Report Monday, September 12, 2005

I. United States

Preceding NAPSNet Report

I. United States

1. US on DPRK Nuclear Program

Reuters (“US PROMOTES SOUTH KOREA ELECTRICITY OFFER FOR NORTH”, 2005-09-09) reported that the DPRK could be hooked up to the ROK’s electrical grid within three years if it agreed to abandon its nuclear ambitions, Christopher Hill said on Friday. Although the DPRK insists any nuclear agreement must recognize its right to a civilian nuclear energy program, Hill said the ROK’s offer to provide conventionally-generated electricity is the best solution. “So if this is about energy, we’ve got a very good proposal for that. This would really meet their capacity needs. We don’t see any reason to go and develop additional capacity, especially through such very difficult and extremely expensive projects as nuclear energy,” he added.

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2. Experts on DPRK Nuclear Program

The Washington Post (“NORTH KOREA STANDS FAST ON NUCLEAR ENERGY USE”, 2005-09-09) reported that two prominent DPRK experts, John W. Lewis and Siegfried S. Hecker, briefed Secretary of State Condoleezza Rice on Thursday regarding their recent talks with key DPRK officials. The two men summarized their conversations in Pyongyang, made some suggestions for bridging gaps, and provided an assessment of the chances of reaching an agreement, according to one US official. During the talks with Lewis and Hecker, DPRK officials made it clear that they intend to insist that the statement of principles acknowledge the DPRK’s right to peaceful use of nuclear power.

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3. DPRK on Biological Weapons

The Korea Times (“PYONGYANG DENIES HAVING BIOLOGICAL ARMS”, 2005-09-12) reported that the DPRK denied on Monday that it possessed “a single biological weapon” and that it is committed to honoring international agreements on the development of biological agents. “Since signing the Biological and Toxin Weapons Convention in 1987, we have implemented it sincerely,” Rodong Sinmun said in a commentary. The newspaper was responding to a US congressional report that claimed Pyongyang was developing biological agents in violation of the international agreement. The state-run newspaper said the US is the “real offender,” claiming that Washington ruthlessly employed biological weapons against it during the 1950-53 Korean War.

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4. Six Party Talks

The Korea Herald (“SIX PARTIES VOICE OPTIMISM ON PROGRESS OF NUKE TALKS”, 2005-09-10) reported that countries involved in six party talks have voiced optimism about making progress during the next round of negotiations slated for Tuesday in Beijing. Russian Vice Foreign Minister Alexander Alexeyev said in Moscow on Thursday that the positions of the six countries involved “have never been as close” since the start of negotiations two years ago. “We see that there is real agreement on most of the points of a joint statement that is to set out the common objectives and principles of the six-nation talks,” said Alexeyev. ROK Unification Minister Chung Dong-young also expressed optimism on settling the issue of the DPRK being able to use nuclear power plants to generate electricity.

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5. US on Six Party Talks

Reuters (“US SEEKS NOT TO FOCUS ON N. KOREA CIVILIAN ATOM PLAN”, 2005-09-12) reported that the US is ready to seek a negotiated settlement in six party talks, the top US negotiator said on Monday. “One should not assume that the outstanding problems all have to do with the issue of so-called peaceful use or civilian use,” said Christopher Hill. “I would be careful not to focus on any one aspect of it at this point,” Hill said after meeting ROK Unification Minister Chung Dong-young. Hill said that the US and ROK were on the same page when it came to the peaceful nuclear program issue. “They (the South Koreans) have a rather ambitious and rather important conventional energy proposal, which will, within two and half to three years, begin lighting up DPRK towns, cities and villages,” Hill told reporters.

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6. PRC on Six Party Talks

Reuters (“CHINA DAMPENS HOPES OF QUICK FIX TO N. KOREA CRISIS”, 2005-09-12) reported that the PRC tempered expectations of a quick resolution of the DPRK nuclear crisis, saying the six party talks process would be long and a breakthrough hard to achieve. Foreign Ministry spokesman Liu Jianchao told reporters on Monday that the major impediment to progress remained a lack of trust between the US and DPRK. Liu said delegates were still aiming for the joint document. “We hope to see some progress, but we didn’t really expect too much … because the process takes time,” Liu told reporters.

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7. DPRK-US Bilateral Talks Before Six Party Talks

Kyodo News (“N. KOREA WANTS MEETING WITH U.S. AHEAD OF 6-WAY TALKS: SOURCE”, 2005-09-09) reported that the DPRK is seeking a bilateral meeting with the US shortly before the resumption of the six party talks on Tuesday, a diplomatic source in Beijing said Friday. The DPRK has communicated the request to the PRC, the source said. The PRC, however, is reluctant to pursue the idea, saying it believes it would be better to hold the meeting between the two countries after the six party talks open Tuesday evening. “If the talks break down this time, the six-party process will not function anymore,” the source said.

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8. DPRK-US Relations

Chosun Ilbo (“KIM JONG-IL OFFERS TO MEET BUSH”, 2005-09-12) reported that DPRK leader Kim Jong-il offered to meet with US President Bush and discuss bilateral issues to bring about a normalization of ties between the two countries, Nihon Keizai Shimbun reported Monday. According to the paper, Kim made the offer to ROK Unification Minister Chung Dong-young when they met in Pyongyang in late June, and Seoul passed it on to Washington. The paper said the offer was an attempt to get security guarantees in return for abandoning all nuclear projects, but Washington was unlikely to accept Kim’s offer. It said the DPRK could repeat the offer when six party denuclearization talks resume in Beijing on Tuesday.

(return to top) Forbes (“NORTH KOREA STEPS UP ANTI-US RHETORIC AHEAD OF SIX-PARTY TALKS”, 2005-09-12) reported that the DPRK has stepped up its anti-US rhetoric, accusing Washington of clouding the prospects of six party talks. The DPRK said through state-run newspaper, Rodong Sinmun, that the US was hurting its dialogue partner by listing it ‘unreasonably’ as violating an international convention against biological weapons. In a separate dispatch, the Korean Central News Agency called for the withdrawal of US troops from the ROK, calling them ‘the root cause of instability’ in the region. (return to top)

9. US on Food Aid to DPRK

The Associated Press (“ENVOY SPEAKS OUT ON NORTH KOREA”, 2005-09-08) reported that US human rights envoy Jay Lefkowitz suggested on Thursday that US food aid to the DPRK might be linked to liberating political prisoners. Lefkowitz said it was time to start a dialogue with other countries about the DPRK’s human rights abuses, especially in Asia. When asked if he meant that the DPRK’s human rights record be made a condition of receiving food aid, Lefkowitz replied: “I think we need to take a look at the entire relationship.” Later, however, State Department spokesman Tom Casey said, “U.S. policy on food aid has not changed.” “We do not use food aid as a weapon. Decisions on such assistance are based on need and our ability to ensure that food will reach those for whom it is intended,” Casey said.

(return to top) Agence France Presse (“RICE DENIES US USING FOOD AS WEAPON AGAINST N. KOREA”, 2005-09-09) reported that Secretary of State Condoleezzaa Rice denied that Washington might use food aid as a weapon against the DPRK, stating that “Our policy is that we don’t use food as a weapon,”. Rice denied any political component to decisions on humanitarian assistance, but expressed concern about who was receiving the assistance. She said “There have been concerns about the ability to monitor the uses of that food aid because we want it to go to the most needy of the North Korean people and not to the North Korean elite.” (return to top)

10. DPRK on UN Food Aid

The Associated Press (“N. KOREA WANTS DEVELOPMENT HELP OVER FOOD”, 2005-09-09) reported that the DPRK wants the World Food Program to shift the focus of its aid from food supplies to development projects that would help the country feed itself, the UN aid agency said Friday. Gerald Bourke, a Beijing-based spokesman for the agency, denied recent reports that the DPRK has asked the WFP to leave the country. Instead, Bourke said that the DPRK has told aid agencies it wants to review their status. The DPRK is concerned about becoming dependent on aid and expressed “a preference for development assistance over emergency humanitarian assistance,” said Bourke, adding that the WFP was in talks with the government about “the terms of what we hope to be a continued presence in the country.”

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11. Inter-Korean Socio-Cultural Cooperation

The Korea Times (“SEOUL WANTS MORE SOCIAL, CULTURAL COOPERATION WITH NK”, 2005-09-09) reported that the ROK will propose the formation of an inter-Korean co-operation committee on social and cultural exchanges during the upcoming 16th round of inter-Korean Cabinet talks set to open next Tuesday in Pyongyang. According to an official at the Unification Ministry, the government-level panel will focus on providing infrastructure for civic-level co-operation in social and cultural fields. The move reflects the increasing number and growing scale of ROK-DPRK civic-level events in those fields.

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12. Inter-Korean Economic Cooperation

The Korea Times (“TOUR PROJECT IN NK TURNS SOUR”, 2005-09-11) reported that inter-Korean tourism projects face a deadlock with the DPRK increasing the pressure on the ROK operator of the tour programs, Hyundai Asan, over its personnel decisions. The DPRK, displeased with Hyundai Group chairwoman Hyun Jeong-eun’s decision to dismiss Kim Yoon-kyu as Hyundai Asan CEO, has made it clear that it can suspend all tour programs if Hyun keeps Kim away from the projects. DPRK officials met with two Hyundai Asan executives last week and warned of a “more serious situation if the problem remains unsolved,” Hyundai Asan officials said.

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13. Inter-Korean Ministerial Talks

The Korea Herald (“INTER-KOREAN TALKS TO BE HELD IN PYONGYANG”, 2005-09-12) reported that the DPRK and ROK will begin ministerial talks in Pyongyang on September 13th to discuss re-opening general-level military talks, ROK prisoners of war, and civilian abductees believed to be living in the DPRK. During the four days of inter-Korean talks, the two Koreas will follow up issues that were previously discussed in the last round of cabinet talks in Seoul in June and seek additional progress in economic, military, humanitarian, and socio-cultural fields, Seoul officials said.

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14. DPRK-ROK Peace Framework

The Korea Times (“S.KOREA TO PROPOSE REACE REGIME WITH NK”, 2005-09-12) reported that the ROK will propose establishing a peace framework on the Korean Peninsula during the 16th round of inter-Korean minister-level talks that start on Tuesday, a Unification Ministry official said Monday. “We think it is necessary for the two Koreas to start serious discussions on the matter,” Kim Chun-sig, director of the ministry’s Inter-Korean Exchanges and Co-operation Bureau, told reporters. While refusing to reveal further details on the peace system agenda ahead of the talks, Kim did say it would entail all possible political and military issues between the two Koreas. A Seoul expert contacted by The Korea Times said that Seoul’s push to start discussions on the peace system with the DPRK may be the initial preparation for a possible 2nd round of inter-Korean summit.

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15. DPRK Responsibility in ROK Floods

The Korea Times (“NK EXPRESSES REGRET OVER WATER RELEASE”, 2005-09-12) reported that the DPRK sent a message to the ROK that denied its role in a massive amount of water that flooded the northern part of Kyonggi Province, according to the Unification Ministry in Seoul. Expressing regret over damage caused by the flood in villages near the Imjin River last Friday, the DPRK said, “Dams in the upper stream of the river are all overflow dams and we believe this incident was caused by the natural discharge of water triggered by heavy rains.’’ The DPRK also said it remains committed to the position that it will give prior notice to the ROK when releasing water, the ministry said.

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16. PRC Bank Probe

Chosun Ilbo (“BANK OF CHINA IN U.S. SIGHTS OVER N. KOREA CASH FLOW”, 2005-09-08) reported that the US is investigating several banks, including the Bank of China, Banco Delta Asia SARL, and Seng Heng Bank, in a drive to stop the DPRK’s cash flow. The banks are suspected of laundering money from the DPRK’s counterfeiting and drug and weapons deals. The banks could face tough sanctions if the suspicions are confirmed. Washington is reportedly focusing its inquiries on Macau’s Zokwang Trading Co., which it says sells gold and other goods to provide a financing window for the DPRK and has been involved in the acquisition of parts for Pyongyang’s nuclear program.

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17. DPRK Economic Meeting in Mexico City

Chosun Ilbo (“NORTH KOREA HOPES TO ATTRACT FOREIGN INVESTORS”, 2005-09-09) reported that the DPRK is trying to attract foreign investments at a meeting of overseas Korean entrepreneurs taking place in Mexico City. The meeting kicked off on Wednesday, and it’s the first time the DPRK has been represented in the global business network. DPRK participants said they want to see how the capitalist economy works and learn international business techniques. All participants voiced their hope to see business activities between the two Koreas increase.

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18. DPRK Defections

Chosun Ilbo (“N. KOREANS DEFECT IN LAUNCH”, 2005-09-09) reported that two DPR Koreans crossed the waters off Yeonpyeong Island to the ROK on Tuesday in a small metal launch, authorities said. “Two men came South; one has clearly expressed the intention to defect while the other is asking to be returned to North Korea,” ROK authorities said Wednesday. The government is reportedly involved in inter-ministerial talks over what to do with the two men and their boat. Another government official said the DPRK wants both men and their boat returned. This is the third time this year that DPR Koreans have come to the ROK braving the West Sea in small boats.

(return to top) Yonhap News (“N. KOREANS EXPELLED AFTER ENTERING S. KOREAN SCHOOL IN CHINA”, 2005-09-12) reported that nine people believed to be DPRK defectors were turned away after forcing their way into a ROK international school in the PRC on Monday, a local civic group that supports defectors said. The group, including a seven-year-old child and a one-year-old baby, entered the ROK international school in Tianjin, northeastern PRC at around 10:40 a.m. on Monday, requesting passage to the ROK, the activists said. (return to top)

19. US Nuclear Use Guidelines

The Chosun Ilbo (“U.S. UPDATES NUCLEAR WEAPONS USE GUIDELINE IN DRAFT DOCTRINE”, 2005-09-12) reported that the US Defense Department has made a draft revision of its nuclear operations doctrine that outlines the use of nuclear weapons. The draft doctrine seeks to allow commanders to request presidential approval to pre-empt an attack by a nation or terrorist group using weapons of mass destruction. It also includes the possibility of using nuclear weapons to destroy known enemy stockpiles of nuclear, biological, or chemical weapons.

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20. Japan Elections

Reuters (“JAPAN’S LEADER VOWS TO PRESS REFORM AFTER ELECTION WIN”, 2005-09-12) reported that Japanese Prime Minister Junichiro Koizumi vowed on Monday to press ahead with postal reforms after a sweeping election victory and dismissed criticism that he has few other concrete plans on his policy agenda. Koizumi has long promised to change the hidebound LDP. The victory will strengthen his hand over remaining old-guard rivals who consider their main job to be distributing benefits to the hinterlands and interest groups.

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21. Japan UN Role

Japan Times (“JAPAN TO PUSH FOR CUT IN UN CONTRIBUTIONS”, 2005-09-12) reported that Japan plans to call for a cut in its contributions to the UN from 2007 as it is unlikely the country will obtain a permanent seat on the UN Security Council for now, the Yomiuri Shimbun reported Sunday. In 2005, the UN budget, or contributions from UN members, totaled $1.83 billion, of which $338 million, or 19.47%, came from Japan.

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22. Sino-Japanese East Sea Gas Dispute

The New York Times (“JAPAN’S RIVALRY WITH CHINA IS STIRRING A CROWDED SEA”, 2005-09-12) reported that in a muscular display of its rising military and economic might, the PRC deployed a fleet of five warships on Friday near a gas field in the East China Sea, a potentially resource-rich area that is disputed by the PRC and Japan. The ships, including a guided-missile destroyer, were spotted by a Japanese military patrol plane near the Chunxiao gas field, according to the Maritime Self-Defense Forces. It is believed to be the first time that PRC warships have been seen in that area.

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23. Sino-US Military Cooperation

The New York Times (“U.S. SEEKS COOPERATION WITH CHINA”, 2005-09-12) reported that the commander of US military forces in the Pacific and most of the Indian Ocean sounded a conciliatory note toward the PRC on Sunday. He called for closer co-operation between the US and PRC militaries and an agreement about how to coordinate responses to natural disasters like the tsunami last Dec. 26.

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24. PRC-Canadian Trade Relations

The New York Times (“CHINA’S PRESIDENT, IN CANADA, URGES DEEPENING OF TRADE RELATIONS”, 2005-09-12) reported that the PRC’s president, Hu Jintao, and Prime Minister Paul Martin spoke Friday of forming a strategic partnership in energy and trade, deepening an economic relationship that is becoming increasingly important to both countries. It is the first visit by a PRC leader to Canada in eight years. Beijing is looking for new sources of energy, and Ottawa is looking to diversify its international markets.

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25. PRC Media Regulations

The New York Times (“DISNEY TAKES EXCEPTION TO CHINA’S MEDIA RULES”, 2005-09-12) reported that as Hong Kong Disneyland prepares to open on Monday, the Walt Disney Company will hold off building a similar theme park in mainland PRC until assured that it will be able to broadcast Disney shows on PRC television, the company’s president said here. The company’s firm stance underlines the unhappiness of many Western media companies at the PRC government’s issuance on Aug. 1 of a new and stricter interpretation of the country’s media ownership regulations.

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26. PRC Espionage Accusation

The New York Times (“CHINA FREES U.S. MAN IN SPYING CASE”, 2005-09-12) reported that the PRC has released an American businessman held for more than three months on charges of spying for Taiwan. The businessman, Xie Chunren, a PRC-born health supplements supplier, said Sunday that he was released Sept. 4 and returned four days later to his home in Somerset, N.J.

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27. PRC Government Transparency

Reuters (“CHINA SAYS DISASTER TOLLS NO MORE A STATE SECRET”, 2005-09-12) reported that the PRC will no longer regard the death toll in natural disasters as a state secret, the official Xinhua news agency said, presenting the step as part of government efforts to improve transparency. It gave no indication whether the PRC would start retroactively revising death tolls from such disasters, for instance a famine in the late 1950s and early 1960s that the Communist Party refers to as “three years of natural disasters.”

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28. PRC Honors Hu Yaobang

Washington Post (“CHINA PLANS TO HONOR A REFORMER”, 2005-09-12) reported that PRC President Hu Jintao has agreed to restore the standing of the reform-minded Communist leader whose death triggered the 1989 Tiananmen Square demonstrations, a surprising reversal of party dogma that could prompt new calls for democratic change in the PRC, according to people informed of the decision. Hu Jintao has approved plans for a series of events honoring the late party chief Hu Yaobang on the 90th anniversary of his birth on Nov. 20, the sources said.

(return to top) Asia Pulse (“ANALYSIS – CHINA’S SOLAR ENERGY SECTOR”, 2005-09-12) reported that the nationwide advocacy to construct a resource saving society in the PRC is expected to usher in a golden stage for the development of solar energy industry, a recyclable energy industry boasting the features of cleanness, high efficiency and no exhaustion. At present, though the PRC’s solar energy output accounts for only 3 per cent of the world’s total, there is already a high degree of market acceptance for solar energy products in the country. (return to top)

29. PRC Energy Supply

Asia Pulse (“ANALYSIS – CHINA STOPS TAX REBATES FOR GASOLINE EXPORTS”, 2005-09-12) reported that the PRC has stopped tax rebates for exports of gasoline and naphtha and also restrained crude oil processing trade starting from September 1 in a bid to reduce export and ensure that domestic demand is met. Some industry analysts even guess that this is probably not a temporary measure and a long-term policy may be made before the end of this year.

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30. PRC Population Control

Agence France Presse (“7,000 FORCIBLY STERILISED IN EASTERN CHINA”, 2005-09-12) reported that at least 7,000 people in eastern PRC were forcibly sterilized earlier this year by officials under pressure to limit the growth of the country’s massive population. Quoting lawyers who spoke to local family-planning officials, Time magazine said that between March and July, 7,000 people underwent forced abortions and sterilizations in Yinan county in the eastern province of Shandong.

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31. PRC Space Program

Agence France Presse (“CHINA’S SECOND MANNED SPACE FLIGHT ‘AFTER OCTOBER HOLIDAY'”, 2005-09-12) reported that the PRC plans to launch its second manned space mission after the National Day holiday next month, a state-run newspaper said. The Beijing News said the launch will occur after the October 1-7 holiday. It did not cite a source for its report.

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