Friday, June 18, 2010

Firms in Gaeseong to Seek Deferment in Loan Repayment


South Korean firms in the Gaeseong Industrial Complex plan to request the government to extend the deadline for repaying emergency government loans provided on top of existing loans.


An association of South Korean firms operating in the Gaeseong park held an emergency meeting on Thursday and agreed to make the request in a letter to the Unification Ministry. The association noted that South Korean companies in Gaeseong are increasingly facing difficulties, including a drop in orders, in the wake of Seoul’s stern measures against the North for its attack against the Cheonan naval ship.


The association also plans to convene a general meeting next Thursday and issue a statement that would appeal to the government to suspend efforts to resume psychological warfare against the North and to remove regulations that limit the number of South Korean workers that can reside in the industrial park.


http://world.kbs.co.kr/news_print.htm?lang=e&No=73420&Category=News

Thursday, June 17, 2010

N.Korea and China to jointly develop two N.Korean cities

North Korea and China have reportedly agreed to from a management committee

to jointly develop the Hwanggeum Plain of the North Korean cities of Nason and

Shinuiju. As inter-Korean relations head toward a crisis situation due to the

sinking of the Cheonan, China and North Korea have pushed economic

cooperation at a fast pace. The two countries agreed upon economic cooperation

during North Korean leader Kim Jong-il’s visit to China in May.

A North Korea-related source with knowledge of the discussions that wished to

remain anonymous said Wednesday that a party led by North Korea’s vice

minister of trade visited Beijing last week. The party agreed to form a join

development management committee to jointly develop with China the

Hwanggeum Plain of Nason (Najin-Sonbong) and Shinuiju. He said that the two

officials in charge would be the North Korean vice minister of trade and the

Chinese vice minister of commerce.

This indicates that Chinese investment in Najin Port and the Hwanggeum Plain will be carried out systematically through the joint committee, a government body, rather than through development companies. The source also said that North Korea and China plan to rapidly push the development of Nason and Shinuiju based on the joint committee that runs Kaesong.

The source said China and North Korea are considering plans to invest in the

region on a 50-50 or 51-49 basis, and Chinese firms that are considering

investing are scheduled to visit the region shortly for inspection. China also

reportedly agreed to provide the power for the region.

One diplomatic source in Beijing said despite the Cheonan incident, North Korean and Chinese officials are visiting one another’s countries to hold concentrated discussions on economic cooperation. He said it appears, with North Korea in a situation in which it has no choice but to depend on China, that the matters agreed upon during Kim Jong-il’s visit to China are being pushed quickly.

Meanwhile, an official delegation from China’s Jilin Province, led by Vice Governor

Chen Weigen, visited Pyongyang Tuesday and met with new Deputy Prime

Minister Ri Tae-nam to explain matters pertaining to the development of China’s

Changchun-Jilin-Tumen River Valley region and exchange views on the matters

agreed upon by the two nations’ leaders during Kim Jong-il’s visit.

A forty-member North Korean Workers Party delegation, led by Minister of Land

and Environmental Protection Kim Chang-ryong, is also currently on visit to

China. Chinese state-run media reported that they visited the Binhai New Area

region of Tianjin, a city visited by Kim Jong-il during his trip to China.

http://www.hani.co.kr/popups/print.hani?ksn=426105

Incheon Mayor-Elect Pledges to Resume Inter-Korean Projects


Incheon mayor-elect Song Young-gil on Wednesday pledged to resume an inter-


Korean exchange project that is on hold in the wake of the North sinking of the Navy


corvette Cheonan.


A spokesman for the mayor's team said inter-Korean relations are at a nadir due to


the Lee Myung-bak government, which "inherited former U.S. president George


Bush's failed hardline North Korea policy."


But the new mayor, from the opposition Democratic Party, "will take the initiative to


turn the relationship into a forum for reconciliation and exchange."


The spokesman said the city government will release W2 billion (US$1=W1,211)


from the city budget earmarked for inter-Korean exchange and cooperation the moment Song is


sworn in. The fund has been frozen since the central government halted all inter-Korean exchange projects except the joint Kaesong Industrial Complex over the Cheonan sinking.



http://english.chosun.com/svc/news/printContent.html

Wednesday, June 16, 2010

Gov't Allows Remittance for Imports from N.Korea


The Ministry of Unification authorized remittance payments to North
Korea upon receiving processed products from the North. A ban was
imposed on payments after the North was accused of sinking the
South Korean Navy corvette Cheonan.
According to the ministry, the payments are for importing products
manufactured from raw materials sent to North Korea before the ban
was imposed on May 24.
Since the ban, South Korean firms producing clothes in the joint
Kaesong Industrial Complex have raised complaints over economic
losses of more than US$180 million.
Meanwhile, the ministry also approved additional shipments of
humanitarian aid to the North worth around $250,000.

Tuesday, June 15, 2010

U.N. starts discussions on Cheonan sinking

The U.N. Security Council appeared to have begun discussing potential measures for dealing with Seoul’s claims that North Korea sank a South Korean warship earlier this year. The Council held the first round of informal discussions related to the sinking of the Cheonan after it received a briefing by a multinational team of investigators led by South Korea on Monday (New York time), diplomatic sources said Tuesday.
“This means that the discussion process has begun,” said one source on the condition of anonymity. He said that additional informal discussions would likely follow. The government here seemed to be expecting a chairman’s statement regarding the Cheonan. Officials stressed that such a statement would not be less significant than a resolution depending on the contents of such a statement.

In the document, the government is reportedly hoping to verify North Korea‘s involvement and demand an apology, along with a promise for preventive measures. The two Koreas on Monday respectively made their case to the15 members of the U.N. Security Council on how the organization should respond to the sinking of the Cheonan.
The multinational investigation team represented by South Korea’s U.N. Ambassador Park In- kook held a question and answer session after a screening of video footage showing North Korean torpedo parts being pulled out of the site of the sinking. Shortly after the two-hour session, the North Korean mission at the U.N. also briefed the Council to rebuke Seoul's claims.
In what was called an "informal interactive dialogue," the North claimed that it was not inolved in the Cheonan sinking in any way.
North Korea’s ambassador to the U.N. Shin Seon-ho reportedly said the North “was not related to the Cheonan.” He also said the forensic evidence presented by the multinational investigation team was “unacceptable,” according to Amb. Pak Dok-hun, deputy chief of North Korea’s mission at the U.N.
More such disputes between the two Koreas are likely to come as the North Korean mission said it would be holding a related press conference.
Seoul referred the Cheonan issue to the U.N. after the team in May concluded that a torpedo manufactured by Pyongyang had split the Cheonan in two, killing 46 sailors.
The two biggest factors in drawing out an effective U.N. response are China and Russia. The two nations hold veto power and may prevent the U.N. from taking punitive action against Pyongyang. France and the U.S. reportedly expressed support for the investigation results and called for a strong punishment of the North.  
“We offered sufficient explanations,” Yoon Duk-yong, a scientist who headed the Cheonan investigation, told reporters after the briefing.
Yoon said his team also urged the Council to respond appropriately to North Korea’s provocations.
Following the briefing, the Security Council warned the two Koreas against escalating regional tension. South Korea has been upping the ante against the North in the aftermath of the investigation results.
President Lee Myung-bak pledged to take severe measures to promote national security, including those for punishing the North.
Inter-Korean trade has been halted, and operations at a joint industrial complex in the border city of Gaeseong are being kept at a minimum.
Seoul also said it would be re-engaging in anti-North Korean propaganda programs but the campaign has been put on hold following an explosive response from the North.
Pyongyang is said to fear such campaigns the most for they drive the North Koreans away from their regime. The North initially said it views the investigation and Seoul’s accusations as an “act of war.”
On Saturday, the communist regime threatened that its armed forces “will launch an all-out military strike” to blow up propaganda loudspeaker facilities the South has installed along the heavily armed border and turn Seoul into a “sea of flame.” Washington, Seoul’s strongest ally, has shown complete support for the Cheonan incident. For further consultations on the ship sinking and dealings with the North, Kurt Campbell, U.S. Assistant Secretary of State, is to visit Seoul for a two-day trip from Wednesday.
The visit comes less than a month since Secretary of State Hillary Clinton visited as a part of her Asian tour. Clinton at the time manifested staunch support for Seoul. Foreign Ministry officials here said the Cheonan, along with the schedule and agenda for the upcoming meetings between U.S. and South Korean foreign and defense ministers scheduled for July are expected to be discussed when Campbell arrives.
Among the officials the assistant secretary meets will be Vice Foreign Minister Chun Young- woo who is in charge of handling U.N. affairs.

http://www.koreaherald.com/pop/NewsPrint.jsp?newsMLId=20100615000563#

he buck should stop with Lee


While South Korea was burning up with World Cup fever, North Korea


once again threatened to turn Seoul into a “sea of fire.”


This can be regarded as a historic threat in the annals of communism,


having first been used to intimidate Seoul in 1994. It was a bluff, but an


effective one: South Korea cowered when Pyongyang issued its blackmailing threats. It remains to be seen if it will work again. Is defeatism endemic in


South Korea?


The North’s threats would not have worked against U.S. President Harry


Truman. As World War II came to an end in 1945, the United States, Britain, France and the Soviet Union divided Germany and ruled its two parts. In June


1948, the three Western forces planned to establish an independent West


German government in the region they occupied. In response to that, the


Soviet Union blocked off routes from western countries to the German capital, Berlin. The Soviet Union threatened to starve 2.5 million Berlin citizens and occupy the city.


Truman’s military, political and diplomatic advisers said to withdraw U.S.


forces from Berlin. They worried that another global war could break out if


the United States stood against the Soviet Union’s blockade.


Truman said flatly, “We stay in Berlin,” then he ordered the largest-ever airlift operation in history. The Soviet Union unsealed the blockade 11 months later. Truman proved how the courage of a president can change the course of history. If the United States had withdrawn from Berlin, the Soviet Unionwould have occupied the city and the reunification of Germany would have taken far longer


to achieve.


Sixty-two years later, President Lee Myung-bak is facing a critical decision.


He can delay resuming broadcasting propaganda and flying leaflets condemning the Kim Jong-il regime across the border. Or he can carry out sterncountermeasures for the March 26 attack on the Cheonan warship, as


he promised on May 24 in front of the South Korean people and the souls


of the heroes who died protecting their homeland.


Even before North Korea’s latest threat, the Lee administration seemed to


be wavering. The military appeared to give up the leaflet plan, and reduced


the number of loudspeakers it planned to install; it is doubtful that the


military will eventually resume its broadcasts. Diplomats also seem to have


backed down from their pledge to push for a “strong UN Security Council


resolution.” With this retreat, the Lee administration has given the wrong signals, both domestically and internationally. Because of it, the president’s perseverance and confidence will continue to be challenged. Lee wasn’t able to uphold law and public order in the summer of 2008, when protesters staged massive street rallies to oppose the resumption of U.S. beef imports. The same political forces will think they can weaken punitive countermeasures against the North this time, too.


If Lee gets weaker and falters, North Korea and China will continue to disdain South Korea. Kim Jong-il will harden his opinion that South Korea is run by cowards. When South Korea condemned China for receiving Kim Jong-il earlier this year, Lee expressed determined resolution through his public address, and China responded to that. Right after the president issued a resolute statement on May 24, Chinese Premier Wen Jiabao, who visited South Korea, said,


“China will realize justice.”


Since then, China seems to have reverted to its earlier position, neither


acknowledging the probe results nor agreeing to impose additional sanctions


on North Korea. Now, China is even pressuring South Korea. The Global Times,


a sister paper of the state-run People’s Daily, has bluffed:


“It would be difficult for South Korea to take even one step forward on the


Korean Peninsula issues without China’s understanding and cooperation.”


As head of state, Lee has to take ultimate responsibility for the nation’s


security. The Kaesong Industrial Complex will be a tricky problem, but Lee


should not give in to any threat. If North Korea destroys its loudspeakers,


South Korea should destroy the North’s artillery camps. North Korea would


not dare to initiate a massive military response, such as turning Seoul into


a sea of fire, because the North is afraid of a full-scale war. Such a provocation would mean the end of the North Korean regime.


Standing firm will send stock prices fluctuating and South Korean society


faltering. But the market will rebound within several days if Lee communicates determination to the people. Only then will the North and China change their minds about South Korea.Truman was a businessman who didn’t have a college diploma. He was called “a timid country boy from Missouri” due to his innocent and rustic style. But the timid country boy hung a framed note from writer Mark Twain in his office: “Always do right.” And in the end, his courage defeated the Soviet Union.



http://joongangdaily.joins.com/article/print.asp


Unification Minister to miss June 15 ceremony

Amid increased tensions and a widened rift between two Koreas over the

sinking of the Cheonan warship, the Ministry of Unification said yesterday

that its minister will not attend today’s event to mark the 10th anniversary

of the June 15 Joint Declaration.

The Kim Dae-jung Peace Center, a nonprofit organization formerly chaired

by the late president, has held commemorative ceremonies to mark the

2000 accord between him and North Korean leader Kim Jong-il each year

since 2003.

Unification Minister Hyun In-taek had been invited to this year’s event, but

the ministry said he had been scheduled to attend a National Assembly

hearing on foreign affairs and national security. Vice Minister Um Jong-sik

will attend in his place.

It is the second year in a row that the unification minister is skipping the

event. Hyun missed the ceremony last year, citing a conflict with a meeting

on the Kaesong Industrial Complex.

“The government has not changed its stance that it respects the spirit of the

June 15 Joint Declaration and hopes to discuss follow-up measures through

inter-Korean dialogues,” said Chun Hae-sung, spokesman for the ministry.

But, he added, “if North Korea is willing to develop the inter-Korean

relationship, it has to take measures such as apologizing for sinking the

Cheonan and punishing those responsible.”

Some civic groups in the South have criticized the South Korean government

for taking a too inflexible a stand against the North. The Rev. Han Sang-ryeol, a progressive activist, traveled to Pyongyang on Saturday to attend the 10th anniversary ceremony held in the North.

http://joongangdaily.joins.com/article/print.asp