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Solving the North Korean Nuclear Puzzle Appendix 5: Chronology of Events Related to the U.S.-North Korean Agreed Framework Compiled by Holly Higgins July -- September 2000 [July 2000] [August 2000] [September 2000] Note: The end notes to this chronology can be found here Additional pages: June 1998 - June 1999 July - September 1999 October - December 1999 January - March 2000 April - June 2000 October - December 2000 January - March 2001 April - June 2001 July - September 2001

July 1:
U.S. Defense Secretary William Cohen said the United States should maintain a military presence on the Korean peninsula even if South and North Korea reunify. Cohen said U.S. troops "should remain there, even if there were to be a unification or some kind of federation, a confederation or whatever the political arrangement might evolve." Cohen warned that with its large military, North Korea is still capable of threatening the United States.⁴⁰⁰

North Korea's KCNA blasted KEDO for reportedly saying that the concept of U.S. compensation for North Korea due to delays in the LWR project was not acceptable. KCNA said KEDO was not entitled to intervene in this matter since it was between the United States and North Korea. KCNA said: "If the issue of compensation for the loss of electricity...fails to find a smooth solution, the DPRK will have no option but to turn out electricity by graphite-moderated reactors depending on its rich natural resources and its own technology."⁴⁰¹

July 3:
South Korea's National Intelligence Service named a new deputy director, Kim Bo-hyun, to deal exclusively with North Korean affairs.⁴⁰²

July3-4:
A KEDO delegation held meetings in Pyongyang to discuss technical issues. Chang Sung-sup, administrator of the LWR Planning office, affiliated with the Unification Ministry, said the KEDO delegation discussed how to fine-tune the quality and assurance protocol.⁴⁰³

July 5:
The Red Cross announced it would select 400 preliminary candidates for the Liberation Day reunions of families separated by the Korean War. The 400 people were selected out of more than 75,000 who applied based on selection criteria that considered age, relationship with separated family members and past application record. Half of the applicants would be eliminated from consideration based upon physical examinations and investigations of social records. The list of 200 people selected would then be sent to North Korea on July 16 for confirmation of the whereabouts of relatives. After confirmation, South Korea would announce 100 finalists who will visit Pyongyang on August 15.⁴⁰⁴

July 6:
The U.S. Departments of Commerce, State, and Treasury held a joint information session on relaxed economic sanctions toward North Korea. The session was designed to assist U.S. companies interested in investment opportunities in North Korea. At the session, 17 "do's and don'ts" were distributed for trading with North Korea. American companies were advised not to assume that North Korea had basic industrial resources and not to enter into any dealings with North Korean entities known or suspected of missile proliferation activities. The government advised businesses to "understand what can and cannot be exported without a license under the new guidelines."⁴⁰⁵

President Kim Dae Jung urged APEC member nations to increase mutual exchanges and understanding by thinking of North Korea as a tourist destination and a friendly country. President Kim asserted that tourism would play a crucial role in advancing reconciliation, cooperation, peace and unification between North and South Korea. Kim also stated that trade between various countries and the liberalization of investment should be accelerated in the tourism industry.⁴⁰⁶

July 10:
North Korea introduced its own website called, "DPRKorea Infobank," to provide information and news related to North Korea in the English language. The operator of the homepage is the Pan-Pacific Economic Development Association of Korean Nationals, headquartered in Beijing.⁴⁰⁷

EU Ambassador Frank Hesske said the European Union was willing to upgrade the level of its political dialogue with North Korea, provided that Pyongyang faithfully implement the summit declaration made with South Korea.⁴⁰⁸

July 10-12:
The United States and North Korea held missile talks in Kuala Lumpur. The talks covered U.S. concerns about North Korea's missile exports and its indigenous missile activities. The talks ended in deadlock over Pyongyang's demand for compensation for $1 billion in economic aid. U.S. negotiator Robert Einhorn stated: "The North Koreans should not be compensated for agreeing to stop conducting an act which they should not be conducting in the first place." The two sides agreed to meet again at an undetermined time and location. The lead negotiator for North Korea reportedly told U.S. officials, "Our missile policy is to develop, to produce and to deploy powerful missiles continuously."⁴⁰⁹

July 12:
North Korea and the Philippines signed an agreement formally establishing diplomatic relations between them.⁴¹⁰

North Korea agreed to expand the Mt. Kumgang tourism project by allowing tourists to bathe at an East Coast beach beginning in late July. Hyundai and its business counterpart, North Korea's Asia-Pacific Peace Committee, were in the process of selecting a beach, which may be between Haegumgang and Changjon Port. As of July 2000, Hyundai attracted close to 264 thousand South Korean visitors and 350 foreigners.⁴¹¹

July 14-15:
Japanese Foreign Minister Yohei Kono visited South Korea to meet with President Kim Dae Jung and Foreign Minister Lee Joung Binn to discuss the outcome of the inter-Korean summit talks and other issues of concern. Kono said: "The G-8 nations have evaluated the changes on the Korean peninsula positively, but share the opinion that humanitarian issues as well as security concerns including missile-related issues remain to be resolved."⁴¹²

President Kim voiced his fear that the next administration would undue all his progress made with North Korea. Kim said: "No doubt there is a bumpy road ahead for the next administration maintaining the inter-Korea relationship, but what I really fear is having all my progress with the North undone and having to go back to the drawing board. ...There are rumors that some in North Korea also share my worries about the ability of the next administration to maintain my progress with the North."⁴¹³

July 14:
Robert Einhorn, U.S. Assistant Secretary of State for Arms Control and Nonproliferation, arrived in Seoul for consultations with Song Min-soon, Director-General of the South Korean Foreign Ministry's Bureau of North American Affairs to discuss South Korea's bid to boost its missile range. Both sides agreed to work out a formal agreement within a few months. Once the agreement is struck, South Korea will join the MTCR, which bars its members from deploying missiles with a range longer than 300 kilometers.⁴¹⁴

In an interview with Reuters, Russian President Vladimir Putin said he wants to play an important role in Korean diplomacy.⁴¹⁵

July 15:
North Korea's KCNA reported that North Korea was committed to establishing diplomatic relations with nations around the world, and that it would actively work to improve existing ties.⁴¹⁶

July 19:
Russian President Vladimir Putin visited Pyongyang for summit talks with North Korean leader Kim Jong-il. At its conclusion, Putin said North Korea offered to give up its missile program if given access to other countries' rockets for space research. Putin announced that "North Korea is altogether prepared to use exclusively rocket equipment of other states" for space research. Kim assured him that North Korea's missile program was entirely peaceful. Putin invited Kim to visit Moscow and Kim Jong-il agreed. The two leaders signed an 11-point Joint Declaration, which reiterated the friendship and cooperation treaty, opposed the U.S. national missile defense system, and affirmed Moscow's willingness to be "open for contact and cooperation" in the event that North Korea was threatened with invasion or peace on the peninsula was at risk.⁴¹⁷

July 19-21:
U.S. envoy Charles Kartman met in Berlin with North Korean Vice Foreign Minister Kim Gye Gwan to discuss bilateral issues. The main purpose of the meeting was to make arrangements for a meeting between Secretary of State Albright and North Korean Foreign Minister Paek Nam-sun to be held at the upcoming ASEAN meeting in Bangkok.⁴¹⁸

July 20:
In a Defense Department press briefing, spokesman Kenneth Bacon commented on Putin's announcement that North Korea was willing to give up its missile program in return for space- launch capabilities. Bacon said that the development of space-launch capabilities was often a way to move toward ICBM capability. He added that the United States "would be willing to explore further with North Korea ways to help them meet their space needs, short of having them develop their own missile program."⁴¹⁹

July 22:
Remains of 12 American soldiers, believed to be those missing in action from the Korean War, were repatriated to the United States. A joint U.S.-North Korean team operating in Unsan and Kujang counties recovered the remains during an operation that began June 25. This recovery operation was the 13th in North Korea since 1996.⁴²⁰

North Korea accepted South Korea's invitation for high-level ministerial talks in Seoul for July 29-31. The meeting will be the first between senior officials from the two Koreas in eight years.⁴²¹

Russian Foreign Minister Igor Ivanov said Moscow would take part in KEDO. Ivanov said North Korea wanted Russia to join the KEDO and that the idea had won U.S. and Japanese backing. Ivanov said Russian experts were now working on this issue.⁴²²

July 23:
During a news conference in Seoul, U.S. Ambassador to South Korea Stephen Bosworth said North Korea should replace its present economic strategy in order to make the best of resources provided by South Korea following the summit. He also commented that improved relations between South and North Korea took precedence before that of U.S.-North Korean relations, with the latter to improve gradually once the former has been established.⁴²³

Russian President Vladimir Putin said of Kim Jong-il: "I have the impression he knows how to hear and to listen...He can be a partner in negotiations. It is possible to deal with him." Putin added that the situation on the Korean peninsula was "still potentially explosive," and that Russia favored launching a full dialogue with North Korea to reduce tensions.⁴²⁴

July 24:
Defense Secretary William Cohen said North Korea's offer to abandon its long-range missile program in exchange for international assistance in launching space satellites was "fairly ambiguous" and not reliable evidence that the missile threat from North Korea had lessened. Cohen added, "It would require a great deal more clarification before I could comment that it was a positive proposal or not." Cohen said he was skeptical of North Korea's intentions.⁴²⁵

July 26:
South and North Korea held their first-ever foreign ministers' talks in Bangkok between Foreign Minister Lee Joung-binn and North Korean Paek Nam-sun. The two ministers agreed on principles to build inter-Korean cooperation in the international community, including plans to hold regular talks between Korean foreign ministers and to meet at international conferences. In addition, both agreed to cooperate in various areas by supporting North Korean membership in various international organizations, including the Asian Development Bank and the International Bank for Reconstruction and Development. They also committed to stop criticizing each other in the international community. Prior to the inter-Korean talks, Minister Lee held separate bilateral talks with foreign ministers from Japan, China, Russia and Canada.⁴²⁶

The head of the World Bank, President James Wolfensohn, expressed a willingness to provide financial assistance to North Korea in a letter sent to President Kim Dae Jung. Wolfensohn said: "We at the World Bank stand ready to support inter-Korean economic cooperation. We hope to assist in the development of North Korea, within our capacity and mandate, whenever the North Korean authorities are ready to work with us."⁴²⁷

Russian officials confirmed that Kim Jong-il was planning to visit Russia in September. The trip will be billed as an "unofficial" visit to the region, and not a negotiating session with Kremlin leaders.⁴²⁸

The Japanese and North Korean Foreign Ministers, Yohei Kono and Paek Nam-sun, issued a joint statement, which noted their intention to establish "a new bilateral relationship based on goodwill and friendship by liquidating the past, and agreed to make every effort to do so at an early date." Both sides agreed to hold a tenth round of normalization talks in late August.⁴²⁹

July 27:
Canadian Foreign Minister Lloyd Axworthy announced that Ottawa had extended diplomatic recognition to North Korea and would soon begin talks on establishing formal ties.⁴³⁰

The ASEAN Regional Forum approved membership for North Korea during its seventh meeting in Bangkok, making North Korea its 23rd member. North Korean Foreign Minister Paek Nam-sun told delegates that North Korea would be an active participant in the organization. It was the first time that North Korea has joined an intergovernmental organization dealing with security issues in the region.⁴³¹

July 28:
U.S. Secretary of State Albright and North Korean Foreign Minister Paek Nam-sun met in Bangkok to discuss bilateral relations. The meeting marked the highest-level contact between the two countries. Albright said the purpose of the meeting was to "enable the Foreign Minister and I to get acquainted, to reaffirm our interest in more normal ties and to touch briefly on the core issues we've been discussing at other levels for some time." Albright said the meeting constituted "a substantively modest but symbolically historic step away from the sterility and hostility of the past and towards a more direct and promising approach to resolving differences and establishing common ground." However, Albright was unable to glean further details on the missile proposal North Korea reportedly made to Russian President Putin. ⁴³²

North Korea and New Zealand announced they had agreed to establish diplomatic ties late this year or early next year. New Zealand Foreign Minister Goff said: "The move toward reconciliation and the reduction of hostility between North and South Korea have opened up the opportunity whereby New Zealand can now consider developing diplomatic relations with the North."⁴³³

July 29-31:
The first round of inter-Korean ministerial-level talks was held in Seoul. At the conclusion of the three-day talks, North and South Korea issued a joint press release, which contained a six-point statement. The two Koreas agreed to reopen the liaison offices at Panmunjom on August 15, to hold another round of ministerial talks in Pyongyang in late August. The two Koreas also agreed to reconnect the Seoul-Shinuiju railway at the earliest possible date. In addition, the officials agreed to do everything possible to make the families' reunions proceed smoothly, and to allow ethnic Koreans living in Japan who sympathize with North Korea to visit with their families.⁴³⁴

July 31:
KEDO held an executive board member meeting in Seoul to discuss how to proceed with the LWR project.

U.S. Secretary of State Albright visited Japan after the ASEAN conference and urged Japanese Prime Minister Mori to take up North Korea's missile and nuclear programs in Tokyo's dialogue with Pyongyang. Albright told Mori that although there were positive developments regarding North Korea, concerns remained over its missile and nuclear programs. Albright also said she supported the entry of North Korea into organizations such as the IMF and World Bank, if certain conditions were met.⁴³⁵

Aug. 4:
South Korea's Red Cross revealed the final list of 100 people who will be allowed to visit their North Korean relatives as members of the North-South separated family exchange program.⁴³⁶

Aug. 5:
Russian President Vladimir Putin signed the law on the ratification of the Treaty of Friendship, Good neighborliness and Cooperation between the Russia and North Korea. The law was adopted earlier on July 19, 2000 by the State Duma and approved by the Federation Council on July 26, 2000. According to the Russian embassy, the conclusion of the new interstate treaty with North Korea provides a contemporary legal framework for Russian-North Korean relations.⁴³⁷

Aug. 5-12:
Broadcasters and executives of 46 South Korean dailies and other news organizations visited North Korea at the invitation of Kim Jong-il. The executives met with Kim Jong-il and North Korean media persons to discuss media and cultural exchanges. At the conclusion of the visit, a five-point agreement on bilateral cooperation was concluded with their North Korean counterparts. The accord called for promotion of personnel and other exchanges between media organizations of the two sides. It also called on both sides to refrain from slandering each other.⁴³⁸

Aug. 6:
South Korean officials said that its soldiers would enter a section of its border along the DMZ with North Korea in order to remove land mines before reconnecting a rail line across the border. Kim Jae-hwan, Defense Ministry spokesman, said the Defense Ministry would publish a detailed plan for clearing the way for the rail link later in August.⁴³⁹

Aug. 9-10:
A United States envoy led by Michael Sheehan, the U.S. Coordinator for Counter-terrorism, held talks in Pyongyang on North Korea's removal from the U.S. list of state sponsors of terrorism. In a State Department Daily Press Briefing, spokesman Richard Boucher said Sheehan explained the steps North Korea must take to be considered for removal. Discussions were said to be productive. No date was set for the next round.⁴⁴⁰

Aug. 10:
ABC News reported that the U.S. intelligence community had reports indicating that Iraq was financing the construction of a Scud missile assembly plant in Sudan, enlisting North Korea's help. Sources said North Korean personnel would build and run the plant, with the assembled Scuds to be held in Sudan for Iraq's future use. U.S. officials could not confirm the veracity of the report.⁴⁴¹

Chung Mong-hun, chairman of Hyundai-Asan Corporation, returned from Pyongyang with various agreements. Hyundai will open a new tour from Seoul to Kaesong, North Korea via Panmunjom. Kaesong and its surrounding area was also selected for the Hyundai-proposed special economic zone. Hyundai will complete a feasibility study on this new proposal by August. North Korea also agreed to allow Japanese tour groups to start visiting Mt. Kumgang.⁴⁴²

According to the CIA's unclassified semiannual report on the acquisition of weapons of mass destruction, North Korea expanded its procurement of raw materials and components for its ballistic missile program from various sources during the second half of 1999. However, the CIA acknowledged: "we do not know of any procurement directly linked to the nuclear weapons program."⁴⁴³

Aug. 14:
In a speech prepared for Liberation Day, President Kim Dae Jung said South Korea would promote joint committees on military, economic and social and cultural affairs with North Korea and seek to set up a military hotline and defense ministers' talks between the two Koreas. South Korea also planned to promote an investment guarantee treaty, an agreement on double taxation avoidance with North Korea, and would seek to revise the National Security Law.⁴⁴⁴

South and North Korea reactivated their liaison offices at the border village of Panmunjom after a four-year hiatus.⁴⁴⁵

Aug. 15:
Liberation Day, a national holiday in both Koreas to celebrate the anniversary of the peninsula's liberation from Japanese colonial rule at the end of World War II. One hundred members from both Koreas visited each other's capital via direct air flight. The delegation comprised of 100 families accompanies by 30 assistant members and 20 journalists. They returned after three days with their families. A group meeting, two separate meetings, and two luncheons were scheduled for participating families.⁴⁴⁶

The Federation of Korean Industries announced the South-North Economic Cooperation Committee, which will act as a window for collaboration with the North, will be expanded to set up subcommittees for prospective sectors. As a result, the committee, which until now consisted only of an advisory board, will have subcommittees handling textiles, construction and other major sectors.⁴⁴⁷

Aug. 16:
Japanese Foreign Ministry officials announced that Japan had decided to accept a request by North Korea to set up two working level panels to discuss Korean cultural assets seized and destroyed by Japan and the granting of legal status to North Koreans living in Japan.⁴⁴⁸

Aug. 17:
President Kim Dae Jung told U.S. Pacific Command Chief Dennis Blair that he hoped Washington improved ties with North Korea.⁴⁴⁹

Aug. 21:
In an interview with the Yomiuri Shimbun, President Kim Dae Jung said that the improvement of inter-Korean ties should proceed in tandem with the progress of Japan-North Korea normalization talks. In response, a Japanese Foreign Ministry official said Kim's remarks would "provide an impetus to the diplomatic normalization talks between Japan and North Korea."⁴⁵⁰

North Korea formally applied for membership in the Asian Development Bank (ADB). Kim Yong-moon, North Korean Minister of Trading, asked Tadono China, the president of ADB, on August 21 to send ADB representatives to North Korea to discuss matters related to North Korea's application.⁴⁵¹

Aug 21-25:
Japan and North Korea held the tenth round of talks on normalizing bilateral ties in Tokyo. North Korean Ambassador Jong Thae Hwa and Japanese Ambassador Kojiro Takano led the talks. Japan reportedly offered economic cooperation to North Korea in place of compensation for its colonial rule of the Korean peninsula, but North Korea did not respond.⁴⁵² Takano said: "There was no substantial progress overall, or an agreement on specific issues, but we were able to lay the groundwork for future talks. That was the purpose of the talks at this time, so in that sense, they were a success."⁴⁵³

Aug. 21- Sept. 1:
South Korean and U.S. troops held their annual "Ulchi Focus Lens Drill" military exercises. South Korea said it scaled back its participation in the exercise in order to reflect the mood of reconciliation with North Korea. Accordingly, no South Korean troops were deployed in the field and the exercises focused more on military preparedness in the event of a national emergency rather than preparing for a potential North Korean attack.⁴⁵⁴

Aug. 23:
During a National Economic Council meeting, President Kim Dae Jung announced that an Inter-Korean Economic Cooperation Council (IKECC) would be created to ensure no redundant investments occurred in North Korea due to excessive competition. Kim said economic cooperation with North Korea should be done to maximize profitability for both countries, and while humanitarian assistance would continue there would be no free handouts. Kim also noted that there needed to be a joint committee with North Korea to resolve systemic differences, investment guarantees, account payments, safety guarantees and to prevent double taxation.⁴⁵⁵

The Grand National Party (GNP) leader Lee Hoi-chang called on President Kim to focus on problems in South Korea, such as the economy and law and order, and not just concentrate on relations with North Korea. The GNP's committee for abductees and POWs also demanded that the return of North Korean spies should be linked to the return of South Koreans held in the North. It called the government's abandonment of reciprocity unjustifiable.⁴⁵⁶

Unification Minister Paek Jae-kyu announced the government would establish a bureau to handle issues related to the repatriation of POWs and kidnapped South Koreans believed to be still alive. The new bureau will be put under the Ministry of Unification and will begin work as early as September.⁴⁵⁷

Hyundai Business Group officially signed a contract with North Korea's Asia Pacific Peace Committee (APPC) to develop a special economic zone in Kaesong. Hyundai is to create an industrial complex. The project will start in early November after a team carries out a geological survey and soil analysis in early September. Hyundai plans to carry out the project in three stages until 2008.⁴⁵⁸

Aug. 24:
During a meeting with national security ministers, President Kim Dae Jung said the details of a lasting peace on the Korean peninsula should be discussed through the Four-Party Talks between the two Koreas.⁴⁵⁹

Aug. 25:
Former South Korean President Kim Young-sam gave a press conference in Seoul and said North Korea should clearly admit and apologize for starting the Korean War as well as international terrorist incidents against South Korea. Kim Young-sam said the South-North Joint Declaration from the summit was unconstitutional, and asserted that discussions on unification were being dragged out unnecessarily by North Korea.⁴⁶⁰

Ruling Millenium DemocraticParty (MDP) Chairman Suh Young-hoon held a press conference to launch the second half of the current administration and spoke on changes in inter-Korean affairs. Suh said the National Security Law should be revised and the special commission on South-North relations (proposed by GNP President Lee Hoi-chang) should be formed immediately in the National Assembly. Suh also stated that, in order to keep up with reconciliation on the peninsula, the MDP would revise its party constitution, rules, and platform.⁴⁶¹

Aug. 28-29:
A total of approximately 300 ethnic Koreans living in Japan, who are members of pro-North Korean organization, visited South Korea as part of a national Chusok (full moon festival) event. A committee of the South Korean Red Cross subsidized 20 percent of the visitor travel costs.⁴⁶²

State Department Ambassador Wendy Sherman visited Moscow to inquire about North Korea's conditional offer to give up its missile program. According to a press release from the Russian embassy, Russian Deputy Minister of Foreign Affairs Alexander Losyukov met with Sherman and discussed "the possibility for Russia and the United States to act both in a bilateral format and within the framework of multilateral international mechanisms in order to facilitate the process of inter-Korean settlement."⁴⁶³

Aug. 29-Sept 1:
North and South Korea held their second round of ministerial-level talks in Pyongyang. North and South Korea agreed to hold exchanges of separated families at least two more times before the end of the year and to exchange a group of about 100 tourists from each side to visit Mount Baekdu in the North and Mount Halla in the South. The two Koreas agreed to form a committee on economic cooperation that will engender investment security, prevent double taxation, and mediate disputes. On September 1, North and South Korean ministers issued a joint seven-point press release, which included confidence building measures between the two countries' military structures by holding future discussions on the installation of a hot line and meetings between top officials.⁴⁶⁴

Aug. 30:
The ruling MDP held its convention, where it introduced its new platform and elected new co-chairmen. The party announced it would raise about $500 million to help carry out inter-Korean cooperative projects. The money would be earmarked from the state budget for the Inter-Korea Economic Cooperation Fund. It also said that it would push for "regularizing" the reunions of family members as well as confirming the whereabouts of lost relatives and allowing them to exchange letters. MDP leaders said they would also seek the continued presence of U.S. forces in Korea, even after unification. The party said it supported efforts by Pyongyang to normalize relations with the United States and Japan, and to join international organizations.⁴⁶⁵

The Washington Post reported that Kim Dae Jung affirmed that Kim Jong-il said it was "desirable" that U.S. troops stay on the Korean peninsula. Kim Dae Jung said that Kim Jong-il understood and fully agreed that American troops were needed even if the two Koreas reconciled, in order to prevent Russia, Japan, and China from assuming more power in Northeast Asia.⁴⁶⁶

Aug. 31:
State Department Spokesman Richard Boucher reported that Ambassador Wendy Sherman had good discussions with Russian Foreign Ministers Losyukov and Mamedov. Boucher stated that: "Both U.S. and Russian officials believe that [Kim Jong-il's proposal] needs to be treated seriously and needs to be followed up."⁴⁶⁷

Sept. 1:
The TCOG met in Seoul. A joint press statement said: "The delegates reaffirmed their shared approach toward North Korea, especially the centrality of inter-Korean dialogue, further promotion of meaningful tension reduction and continued implementation of the Geneva Agreed Framework as the basis for achieving stability and lasting peace on the Korean peninsula. The delegates particularly lauded the recent exchange of visits between members of separated families in South and North Korea and hoped that more exchanges and communication would occur."⁴⁶⁸

Sept. 2:
Sixty-three long-term North Korean prisoners held in South Korea, who refused to renounce their loyalty to North Korea, were allowed to return to North Korea via Panmunjom.⁴⁶⁹

Sept. 3:
Military analyst and former South Korean Defense Ministry official Jee Man-won warned the National Assembly of potential catastrophic consequences as a result of opening the Munsan-Kaesong road that crosses the South-North border, saying that it may pave the way for North Korea to invade the South. Jee claimed, "The opening of the four-lane highway, coupled with that of the Seoul-Shinuiju railway, is tantamount to clearing away all obstacles for a possible North Korean invasion into the South."⁴⁷⁰

Sept. 4:
The Korea Times reported that the International Monetary Fund and the World Bank invited North Korea to attend their joint assembly meeting to be held September 19-28 in Prague. A South Korean ministry official said that the government would work with international financial organizations and major players in global politics to help North Korea join such institutions as early as possible.⁴⁷¹

The Grand National Party (GNP) announced it would oppose the government's plan to provide rice to North Korea on credit as agreed at the second ministerial meeting. The party said food on credit was the wrong policy as North Korea was unlikely to pay, and so it would be better to donate 50,000 tonnes of food on a humanitarian basis.⁴⁷²

Sept. 5:
A new round of Red Cross meetings on arranging more reunions for separated families in the two Koreas was delayed because North Korea never replied to Seoul's proposal. South Korea had proposed at the mid-June summit to hold the second round of Red Cross talks September 4 at Panmunjom to discuss establishing a permanent "reunion station" for millions of relatives.⁴⁷³

A nine-member delegation of the Philippine Senate left for Pyongyang for a four-day trip, during which the two countries' parliamentarians discussed cooperation between their legislative branches. Blas Oble, vice president of the Philippine Senate, led the Philippine delegation.⁴⁷⁴

Sept. 6-8:
The United Nations in New York hosted the "Millennium Summit" of world leaders. The North Korean delegation, on its way to New York, returned home after members of the delegation reportedly received "rude and provocative" treatment by airline security staff before boarding an airplane in Frankfurt, Germany. North Korean Deputy Foreign Minister Choe Su Hon called the incident an intentional and premeditated plot by the U.S. administration. White House spokesman Joe Lockhart called the incident unfortunate. The UN expressed its disappointment at North Korea's withdrawal.⁴⁷⁵

Sept. 6:
Japanese Prime Minister Mori and Chinese President Zemin agreed on the need for Japan and North Korea to establish diplomatic ties. Both also agreed to establish a "friendly and cooperative partnership" between Japan and China. Mori asked Zemin for "side support" on negotiations between Japan and North Korea to establish diplomatic ties, and Zemin signaled he would oblige.⁴⁷⁶

Sept. 7:
The South Korean Ministry of National Defense announced its plan to remove mines along the path of the Seoul-Shinuiju railway and the Musan-Kaesong highway.⁴⁷⁷

Presidents Kim Dae Jung and Bill Clinton met on the sidelines of the UN meeting. Both agreed to strive to establish a permanent peace mechanism on the Korean peninsula in conjunction with North Korea and China. Clinton reportedly reaffirmed Washington's position that the Korean problems must be resolved by Koreans and that the United States would render whatever support was necessary. South Korean Foreign Minister Lee Joung Binn indicated that the Seoul government would push for a so-called "two-plus-two" format to work out a new Korean peace system.⁴⁷⁸

U.S. Ambassador to South Korea Stephen Bosworth stressed that South Korea and the United States must maintain a strong military alliance to act as a deterrent against possible North Korean aggression. Bosworth reiterated that North Korea's military threat had not diminished despite improved inter-Korean relations on the peninsula. Bosworth said: "I suspect it will be some time before engagement can be a sufficient strategy by itself. It must still be bolstered by deterrence."⁴⁷⁹

Sept. 8:
Japanese Ambassador to Korea, Tarusuke Terada, said that Japan would not normalize ties with North Korea unconditionally, pointing to substantial issues that needed to be addressed. Terada acknowledged that North Korea has a right to demand compensation for past events, but Japan also has a right to address North Korea's missile tests, nuclear development, abductions of Japanese citizens, and drug smuggling.⁴⁸⁰

Former South Korean president Kim Young-sam said he would launch a national rally to "save" the nation's democracy. Kim said: "An era of chaos is descending on Korea because President Kim Dae Jung has been deceived by the North's manipulations, despite it having not renounced its policy of communizing the South."⁴⁸¹

Sept. 9:
South Korean Ministry of National Defense announced that it has been holding negotiations with the UN Command (UNC), on assuming control of the corridor in the DMZ through which the Seoul-Shinuiju railway and the Munsan-Kaesong highway will pass. Currently, the entire DMZ is administered and controlled by the UNC as agreed to in the armistice. However, at a late August meeting, the UNC said that it had to abide by the terms and framework of the armistice agreement until such time that it was invalidated by a peace treaty.⁴⁸²

Sept. 10:
International Olympic Committee president Juan Antonio Samaranch announced that athletes from North and South Korea would march together behind a unification flag during opening ceremonies at the Olympics. The team name during the opening ceremonies would be "Korea," but the two teams would still compete as separate countries, with their own uniforms, flags and anthems.⁴⁸³

Sept. 11:
The South Korean Unification Ministry revealed North Korea's official request for the provision of 1 million tonnes of grain during the second ministerial talks and said it was set to announce a large-scale shipment of rice and corn to Pyongyang in the form of loans to ease food shortages.⁴⁸⁴

Department of State spokesman Richard Boucher said that North Korea relayed the message that Foreign Minister Paek Nam-sun would not be attending the UN General Assembly session. North Korea said Paek would miss the event for "unavoidable reasons," but assured the United States that this development did not affect ongoing U.S.-North Korean dialogue. Boucher said the United States was working to schedule another round of missile talks with North Korea.⁴⁸⁵

In an interview with the New York Times, President Kim expressed his hope that South Korea would sign a peace treaty with North Korea before he left office in 2003. He also hoped that North Korea would be a responsible member of the international community by then. Kim said it was impossible to predict the speed and substance of what would happen, but said there must be improved relations between the United States and North Korea. Kim said he talked with President Clinton about considering Kim Jong-il's suggestion of curbing its missile program in exchange for financing, that would allow it to launch satellites. Kim said he believed the North Korean suggestion would serve as the basis for the ongoing missile negotiations between North Korea and the United States.⁴⁸⁶

Sept. 11-14:
Kim Yong Sun, secretary of North Korea's Worker's Party visited Seoul as a special envoy for Kim Jong-il. Kim Yong Sun met with President Kim and other government officials for wide ranging discussions on inter-Korean relations and arranging a time when Kim Jong-il would visit Seoul. The two sides agreed to push for a reciprocal visit to Seoul by Kim Jong-il next spring. Both Koreas agreed to hold defense minister and Red Cross talks in late September as well as convening vice economic ministerial level talks. South and North Korea also agreed to launch a joint survey within the month to work out anti-flood schemes around the Imjin River area.⁴⁸⁷

Sept. 12:
Japan and the United States signed a new Special Measures Agreement on Japan's Host Nation Support. Both reaffirmed their close cooperation with South Korea in preserving stability on the Korean peninsula. Secretary of Defense Cohen said that although there were encouraging signs on the Korean peninsula, the United States needed to see much more "in the way of a substantive commitment to have a peaceful relationship with the South and to see whether the North Korean government is willing to become fully integrated into the international community." Likewise, Japanese Defense Minister Torashima said that at the moment he saw no change in the military situation on the peninsula. Torahsima stated: "We will have to closely watch how this North-South summit will lead to changes in the ballistic missile development..."⁴⁸⁸

Sept. 12-18:
Sixteen Japanese wives of North Korean nationals returned to Japan in a deal brokered by the two countries on the sidelines of the ASEAN conference.⁴⁸⁹

Sept. 14:
The Korea Herald reported the results of a government survey conducted on 1000 men and women over the age of 20 in South Korea. The survey found that 77.7 percent believed the Seoul-Shinuiju would generate new economic windfalls for both Koreas. Almost 64 percent of those surveyed said that although South Koreans would have to bear a greater burden by assisting North Korea now, it would help revive the North Korean economy, and in the long run, reduce the cost of reunification.⁴⁹⁰

JoongAng Ilbo reported that Hyundai Asan Chairman Chung Mong-hun met with North Korean envoy Kim Yong-sun in Seoul to express his views about Hyundai's North Korea projects and relations between North Korea and Japan. According to a source from Hyundai, Chung informed Kim that he had confirmed, at the September 12 meeting with Japanese Prime Minister Mori, that Japanese companies would actively invest in North Korean projects. Chung reportedly requested that North Korean authorities fulfill the investment guarantee agreement and follow international customs when Japanese capital contributes to the construction of the Kaesong industrial complex.⁴⁹¹

Thomas J. Donohue, President of the U.S. Chamber of Commerce, said that if the current trend on the Korean peninsula continued, he expected members of the chamber would visit North Korea within the next twelve months.⁴⁹²

GNP leader Lee Hoi Chang commented on Kim Dae Jung's recent policy pledge to institute a peace treaty with North Korea before 2003, saying it should be preceded by a reduction in military tension and in the defense spending of North Korea. Lee added that an attempt to complete a peace treaty before first bringing about significant progress in the military situation would only meet with failure.⁴⁹³

The South Korean Budget Policy Bureau issued a report, which revealed that Hyundai business group incurred a total of $243.5 million in losses from the Mt. Kumgang tourism project since November 1998, when the project was first launched, to the end of 1999.⁴⁹⁴

Sept. 15:
North Korean ambassador to the UN, Li Hyong-chul, addressed the General Assembly and accused Japan of seeking to rebuild its arms. Li also pointed to the airline incident in which U.S. airline staff at Frankfurt airport tried to impose body searches on North Korean head of state Kim Yong-nam. Li said: "The recent incident...is, after all, the manifestation of the continued hostile policy pursued by the United States against the DPRK." However, Li said it recognized the recently stated U.S. position about not perpetuating hostile relations and said when the United States acted, North Korea would respond in a positive way.⁴⁹⁵

The remains believed to be those of nine Americans missing in action were repatriated to the United States. Deputy Assistant Secretary of Defense for POW/Missing Personnel Affairs Robert L. Jones received the remains in a formal ceremony in Pyongyang.⁴⁹⁶

Athletes from both Koreas marched together at the opening ceremony of the Olympics for the first time, waving a unification flag and holding hands.⁴⁹⁷

Sept. 17:
South Korean Labor Minister Kim Jo-jin said the Ministry was working out measures to take advantage of the cheap but skilled North Korean workforce in a bid to speed up inter-Korean cooperation and exchanges in the labor sector. Kim Jo-jin said the two Koreas had a complementary labor market structure, since South Korea has specialized workers in technology-intensive industries, while North Korea has an abundant labor force in light industries. Kim stressed that inter-Korean cooperation in the labor field would contribute to the revival of the North Korean economy and help promote reconciliation.⁴⁹⁸

The GNP urged the Kim Dae Jung administration to delay the connection of the inter-Korean Kyongui railway. The opposition party expressed concerns over possible North Korean threats that the reopening of the railway could pose to national security. Members of the GNP said the construction on the railway should be delayed until North Korea agreed to establish the South-North Joint Military Commission and took other measures to ease military tensions.⁴⁹⁹

Sept. 18:
South Korea held a ground-breaking ceremony for the Seoul-Shinuiju railway and the four-lane expressway. The Minister of Construction and Transportation (MOCT) said if North Korea made a request, Seoul would be willing to provide construction materials, equipment, engineering expertise, manpower and financing to complete the links on their side of the border. The 12-km section of railway to be rebuilt in South Korea will cost an estimated 54.7 billion won, while the expressway is expected to cost 100 billion won. The estimated completion time is September 2001. Funding is coming from South Korea's South-North Economic Cooperation Fund. North Korea plans to use 35,000 soldiers in two army divisions to build its portion of the railway and highway.⁵⁰⁰

South Korea and the United States resumed informal talks on removing the remaining obstacles to a bilateral deal on Seoul's bid to increase the allowable range of its missiles. Neither side made public the results of the meeting, but a Seoul government source said the two sides made little progress in the chief negotiator's meeting despite the last-ditch effort to iron existing differences. It has been reported that the two sides will not open formal talks until the they each reach a final agreement on the range of South Korean missiles in an informal meeting.⁵⁰¹

The Korea Herald reported that German Ambassador Hurbertus von Morr announced a member from Germany's federal parliament would visit Pyongyang in October to bolster bilateral relations. Ambassador von Morr said President Kim Dae Jung's economic engagement and reconciliation policy was the best formula unification preparation. He added: "For mutual reconciliation, Germany has also endeavored to persuade North Korea to positively address its nuclear and missile programs as well as human rights and economic normalization."⁵⁰²

The five-day general conference of the International Atomic Energy Agency opened in Vienna. Associated Press reported that participants were expected to seek North Korea's approval to send a team to the country to conduct special inspections of nuclear facilities. IAEA Director General Mohamed El Baradei expressed hope at a September 11 meeting of the IAEA Board of Governors that North Korea "will soon be ready to commence active cooperation with the agency."⁵⁰³

Sept. 19:
Chosun Ilbo reported that North Korea turned down an invitation to attend the annual meeting of the International Monetary Fund and the International Bank for Reconstruction and Development to be held in Prague on September 26. North Korean Ambassador to the UN Li Hyong-chul notified both organizations that North Korea would not be able to participate due to a lack of adequate preparation time.⁵⁰⁴

Japanese Prime Minister Yoshiro Mori told JoongAng Ilbo that Japan would recognize North Korea as a state soon in a move to speed up talks aimed at normalizing relations.⁵⁰⁵

South Korean Foreign Minister Lee Joung-binn met North Korean Ambassador to the UN Li Hyong-chol on the sidelines of the UN General Assembly session. Both agreed to make joint efforts to have a resolution adopted at the UN supporting the June inter-Korean summit. Both also agreed that the two Koreas would maintain cooperation in the international arena.⁵⁰⁶

Four top South Korean and U.S. officials aimed at coordinating policy on North Korea ahead of the inter-Korean defense minister's talks met in Seoul. Attending the "two plus two" meeting were South Korean Defense Minister Cho Seong-tae, Vice Foreign Affairs and Trade Minister Ban Ki-moon, U.S. Ambassador to Korea Stephen Bosworth and Commander in Chief of U.S. Forces Korea Thomas Schwartz. The two sides exchanged opinions on UNC's cooperation for the reconnection of the cross-border railroad and the opening of an adjacent highway.⁵⁰⁷

Sept. 20:
Defense Secretary Cohen visited President Kim Dae Jung ahead of the security consultative meeting. Cohen and Kim agreed that despite the easing of tensions on the peninsula, their nations must maintain a strong military alliance.⁵⁰⁸

Defense Minister Cho Seong-tae said the government had decided to reduce the number of lanes on the proposed inter-Korean highway from eight to four due to the difficulties in the military's mine-clearing operations in the DMZ. Cho said the decision reduced the military's mine-clearing areas from the previous 32,000 sq. meters to about 200,000 sq. meters.⁵⁰⁹

Top military officers from North and South Korea met at Panmunjom to lay the groundwork for the defense minister talks next week. North Korea asked for the talks in order to prepare for the meeting.⁵¹⁰

Hyundai Asan chairman Chung Mong-hun visited North Korea to meet with Kim Jong-il.⁵¹¹

Sept. 20-22:
Red Cross officials from both Koreas met at Mt. Kumgang to discuss details of additional reunions of separated families plus working out a permanent meeting place where the divided family members could meet regularly. Seoul proposed that Pyongyang confirm the whereabouts of the North Korean relatives of all 95,000 South Koreans who had registered for the reunions and allow the family members who had already located each other to correspond starting next month. North Korea insisted the next exchanges of separated families be held in November and December, saying it was having difficulties in preparation for the reunions. North Korea also said it would take some time to confirm the whereabouts of all 95,000 family members due to lack of human resources.⁵¹²

Sept. 21:
South Korea and the United States held their 32nd annual Security Consultative meeting in Seoul. The two concluded a 16-point joint communiqué, which reaffirmed the importance of full implementation of the Denuclearization Declaration, the Agreed Framework, and North Korea's responsibilities under the NPT and associated safeguards agreement. Both also welcomed the efforts by the United States and North Korea to hold bilateral talks on matters such as nuclear nonproliferation, missiles and terrorism.⁵¹³

In an interview with JoongAng Ilbo, Kim Dae Jung said the meeting to take place next spring between him and Kim Jong-il would serve as a forum to begin working out details of a peace system for the two Koreas. Kim noted that while the June summit focused more on the historic meeting itself, Kim hoped the spring summit would tackle more content.⁵¹⁴

KCNA stated that North Korean Foreign Minister Paek Nam-sun had recently sent letters to the foreign ministers of 9 European countries officially proposing the establishment of diplomatic relations. Belgium, Britain, France, Germany, Greece, Ireland, Luxemburg, Netherlands, Spain and the external relations commissioner of the European commission all received letters. The letter reportedly expressed the conviction that North Korea "would conform with the mutual interests to establish diplomatic relations...expand and develop these relations in political, economic, cultural and all other fields in keeping with new changes taking place."⁵¹⁵

In response, British government sources said London was unlikely to rush into accepting the North Korean offer saying it would take a step-by-step approach. German Foreign Ministry spokesman said the German government "sees no grounds to open full diplomatic relations at the moment" and cited German concerns over human rights abuses and North Korea's nuclear and missile policy. France likewise said it declined the offer to open diplomatic relations with North Korea, saying not enough progress had been made towards human rights and nuclear non-proliferation. The remaining countries had no immediate response.⁵¹⁶

Sept. 22:
The Korea Herald reported that the Hyundai company would begin a Mt. Kumgang tourist cruise ship in Japan beginning in October 2000.⁵¹⁷

Speaking from Japan, Defense Secretary Cohen said North Korea must make reciprocal efforts toward reconciliation on the Korean peninsula to help reduce tension. Cohen told a press conference: "The North cannot take the position that the only basis for discussions will be whether or not economic aid continues to flow North so that it can rebuild its economy without some corresponding reduction in military tensions." Cohen followed up by adding: "There has to be, over a period of time, some indication on the part of the North Koreans that they are prepared to reduce tensions, and that means they will have to find some confidence-building measures that they will take in parallel step with their South Korean counterparts to reduce those military tensions."⁵¹⁸

The Defense Department released a report to the House and Senate Armed Services committees stating North Korea had made major improvement in its military over the past year, including the placement of large numbers of artillery and rocket launchers near the DMZ, despite the thaw in inter-Korean relations. The report described Kim Jong-il as bent on bolstering his nation's preparedness for war. The report did not predict renewed war between the Koreas, but stressed that "the Korean peninsula remains a dangerous theater."⁵¹⁹

Sept. 22-27:
A 63-member delegation from an association of pro-Pyongyang ethnic Koreans living in Japan visited South Korea for the group's first-ever official homecoming event in South Korea. The General Association of (North) Korean Residents in Japan, better known as "Chochongnyon" in South Korea, sent its delegates at the invitation of the Korean National Red Cross.⁵²⁰

Sept. 22-24:
President Kim Dae Jung visited Japan for talks with Japanese leaders on North Korea and economic and cultural issues between the two countries. In a meeting with Japanese and Korean business executives, Kim said that South Korea alone could not help North Korea revive its economy. Kim said cooperation from Japan, the United States and the European Union was necessary, as well as assistance from the IMF, IBRD and the ADB. Kim added that it was necessary for Japan and North Korea to actively promote cultural exchanges in order to contribute to the improvement of relations between them.⁵²¹

Sept: 25:
The KEDO Executive Board appointed South Korean Ambassador Chang Sun-sup to serve as Chair of the Executive Board for a two-year term beginning on September 27, 2000.⁵²²

Dr. William Perry, former Secretary of Defense, stepped down from his duties as North Korea Policy Coordinator. Dr. Perry agreed to remain available to provide advice and assistance as needed, but Ambassador Wendy Sherman, Counselor of the Department, would concurrently assume the role. Sherman also serves as Special Advisor to the President and Secretary of State in this role.⁵²³

German Foreign Minister Joschka Fischer told visiting North Korean Foreign Minister Paek Nam Sun that the two countries must clear many obstacles before establishing diplomatic ties. Fischer told Paek it would be necessary for North Korea to respect human rights and stop exporting missiles and nuclear-related technology to other nations before the two countries launched diplomatic relations.⁵²⁴

Sept. 25-26:
Defense Ministers from North and South Korea, Kim Il-chol and Cho Song-tae, met on Cheju Island for two days of talks. A five-point joint statement was issued at the conclusion of the talks said the two sides: reaffirmed they would make best efforts to implement the Joint Declaration of June 15 and actively cooperate to resolve military issues concerning civilian traffic, exchange and cooperation; shared the understanding that to ensure peace on the peninsula, they must make joint efforts to ease military tension and avoid war; agreed to ensure the safety in each others controlled zone of the DMZ while working on the Kyongui railway project; agreed that issues related to the opening of the DMZ for Kyongui project would be in accordance with the armistice agreement; and agreed to hold a second defense minister meeting in North Korea in mid-November. A working-level commission on the rebuilding of the Kyongui railway was also established.⁵²⁵

Sept. 26:
North Korea's defense minister, Kim Il-chol, paid a courtesy call on President Kim Dae Jung at Chong Wa Dae.⁵²⁶

North Korea and Canada held negotiations on diplomatic normalization in Beijing for two days. The talks were headed by assistant minister-level officials and focused on the time framework for normalization of their relations and whether to open resident missions in each other's capitals.⁵²⁷

Sept. 25-29:
Inter-Korean ministerial talks were held on cultural, economic and academic exchanges. South Korean Unification Minister Park Jae-kyu and North Korean Jon Kum-jin agreed to set up a joint economic consultation body to comprehensively handle inter-Korean economic issues, such as the Kyongui railway project. They agreed to work out remaining details related to investment guarantees and the avoidance of double taxation in a second meeting to be held October 18 in Pyongyang. South Korea also announced it would provide 600,000 tonnes of grain to North Korea, 500,000 tonnes in a soft loan and an additional 100,000 tonnes for free through the UNWFP.⁵²⁸

Sept. 27- Oct. 2:
North Korea and the United States met in New York for comprehensive talks encompassing Agreed Framework implementation, missile issues, and terrorism. North Korea's head delegate Kim Gwe Gyan commented on the talks saying, "an in-depth discussion was carried out and there has been some positive results in this process." On September 29, the State Department announced that North Korea would send first Vice Chairman of the National Defense Commission Jo Myong-rok, to Washington, October 9-12, as a special envoy of Chairman Kim Jong-il.⁵²⁹

Sept. 29:
A survey, commissioned by the Korea Research Center and conducted at the request of the Ministry of Unification, found that 89.7 percent of respondents were in favor of the planned visit to South Korea by Kim Jong-il, while 7.9 percent were opposed. Around 80 percent of the survey participants said they supported the government's engagement policy with North Korea. The survey also revealed that 59.8 percent of respondents believed the pace of developments between the two Koreas was too rapid.⁵³⁰

Sept. 30:
Kim Jong-il inspected Hyundai Asan's Mt. Kumgang tourist resort area. He was accompanied by Kim Yong Sun, chairman of the Korean Asia-Pacific Peace Committee. Kim Jong-il praised the efforts of Hyundai Asan for pursuing inter-Korean projects and cooperation activities.⁵³¹

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