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Congressional Research Service: CRS Report for Congress, 94-505 F November 18, 1994 -ti- North Korea: U.S. Policy and Negotiations To Halt Its Nuclear Weapons Program; An Annotated Chronology and Analysis Richard P. Cronin Specialist in Asian Affairs with the assistance of Violet Jie Moore Foreign Affairs and National Division SUMMARY On October 21, 1994, the United States and North Korea signed an accord that, if fully implemented on a step-by-step basis, could resolve a prolonged confrontation over Pyongyang's suspected nuclear weapons program. The accord came after 17 months of volatile talks, marked periodically by American threats to seek United Nations economic sanctions and various dire warnings and implied military threats from Pyongyang. Although the Clinton Administration maintains that the agreement fulfills its 1

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Page 1: Congressional Research Service Reportsweb.sungshin.ac.kr/~youngho/data/security/e-CRSReport(18... · Web viewnuclear reactors, this reactor is sometimes called a 5-MW(e) reactor,

Congressional Research Service: CRS Report for Congress, 94-505 F

November 18, 1994

-ti- North Korea: U.S. Policy and Negotiations To Halt Its Nuclear

Weapons Program; An Annotated Chronology and Analysis

Richard P. Cronin

Specialist in Asian Affairs

with the assistance of

Violet Jie Moore

Foreign Affairs and National Division

SUMMARY

On October 21, 1994, the United States and North Korea signed an

accord that, if fully implemented on a step-by-step basis, could

resolve a prolonged confrontation over Pyongyang's suspected

nuclear weapons program. The accord came after 17 months of

volatile talks, marked periodically by American threats to seek

United Nations economic sanctions and various dire warnings and

implied military threats from Pyongyang. Although the Clinton

Administration maintains that the agreement fulfills its

1

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long-standing basic negotiating objectives, the accord differs

significantly from earlier U.S. negotiating positions in regard

to the timing and sequencing of actions by both parties, and

includes some new elements.

The United States long resisted direct talks with North Korea due

to the character of the government under Kim Il Sung and the

legacy of the Korean War, but beginning with a meeting in Beijing

in 1988, it conducted numerous rounds of working-level talks. The

character of the talks changed dramatically after North Korea's

March 1993 announcement of its intent to withdraw from the

Nuclear Non-Proliferation Treaty (NPT.) The announcement elevated

what was long viewed as a serious proliferation threat into a

high stakes U.S.-North Korean diplomatic confrontation. From June

1993 until the October 21, 1994, accord, the parties held three

rounds of direct high-level negotiations at various locations.

On August 12, 1994, one week after the beginning of the third

round of high-level talks in Geneva, the negotiators issued an

"Agreed Statement" in which North Korea said it was "prepared to

remain" in the NPT and also was prepared to allow implementation

of the 1992 safeguards agreement with the IAEA. The United States

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in return committed itself to arrange for the transfer of light

water nuclear reactors to North Korea, and establish "diplomatic

representation.''

Direct negotiations between the United States and North Korea

resumed on September 23 in Geneva. North Korea made several new

demands, including requests for financial support, and balked at

accepting light water reactors supplied by South Korea. After

first appearing to collapse in the face of new North Korean

demands, the talks resumed, and the parties reached an accord on

October 17, subject to final approval by their governments and

signature on October 21.

The following report: (1) provides a background on the North

Korean nuclear program and the events leading to the negotiations

between the United States and North Korea; (2) tracks the

progress of direct talks aimed at resolving the issue, and (3)

provides a chronology of policy statements and other significant

remarks by senior U.S. officials. The report does not evaluate

the accord or otherwise make judgments about its utility.

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CONTENTS

INTRODUCTION 1

BACKGROUND TO NEGOTIATIONS WITH NORTH KOREA OVER ITS NUCLEAR

PROGRAM 2

RISING CONCERN ABOUT NORTH KOREA'S NUCLEAR ACTIVITIES 2

EVOLUTION OF DIRECT U.S.-NORTH KOREA NEGOTIATIONS 3

INITIAL "WORKING-LEVEL" TALKS FROM JANUARY 22,1992, TO MAY

17, 1993 3

North Korea Signs an IAEA Safeguards Agreement 4

March 12, 1993, Withdrawal from the NPT 4

OUTCOME OF THE THREE "HIGH-LEVEL" U.S.-NORTH KOREA ROUNDS, JUNE

1993-OCTOBER 1994 5

FIRST ROUND OF HIGH-LEVEL TALKS IN NEW YORK, JUNE 2-11,

1993 5

SECOND ROUND OF HIGH-LEVEL TALKS IN GENEVA, JULY 14-19,

1993 6

Working Level Talks, August 1993-February 1994 7

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Cancellation of Planned High-Level Talks Following

Collapse of IAEA Inspection Activities 9

Precipitate Action by North Korea to Remove Fuel

Rods 9

Carter Mission to North Korea, June 15-18, 1994 11

THIRD ROUND OF HIGH-LEVEL TALKS BEGIN IN GENEVA, JULY 8-10,

1994 12

THIRD ROUND OF HIGH-LEVEL TALKS RESUME IN GENEVA, AUGUST

5-14, 1994 12

Working-Level Meetings in Berlin and Pyongyang,

September 10, 1994 14

RESUMPTION OF THIRD ROUND OF HIGH-LEVEL TALKS, SEPTEMBER 23,

1994 14

COMPLETION OF THE THIRD ROUND OF TALKS 15

U.S. POLICY TOWARDS NORTH KOREA'S SUSPECTED NUCLEAR WEAPONS

ACTIVITIES: A CHRONOLOGY OF SELECTED ADMINISTRATION

STATEMENTS, MARCH 12, 1993, TO OCTOBER 21, 1994 17

ACKNOWLEDGEMENT

This report represents the efforts of several persons. Violet Jie

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Moore, a volunteer in the Foreign Affairs and National Defense

Division, carried out much of the research and the organization

of the material under the supervision of Richard P. Cronin. Larry

A. Niksch and Rinn Sup Shinn, of the same division and Zachary

Davis of the Energy and Natural Resources Division provided

technical guidance. Nancy Givens, Research Production Assistant,

prepared the manuscript for final publication.

----------

North Korea: U.S. Policy and Negotiations To Halt Its Nuclear

Weapons Program; An Annotated Chronology and Analysis

INTRODUCTION

On October 21, 1994, the United States and North Korean

negotiators signed an accord that, if fully implemented on a

step-by-step basis, could resolve the prolonged confrontation

between the two countries over Pyongyang's suspected nuclear

weapons program. The accord was reached after 17 months of

volatile talks, marked periodically by American threats to seek

6

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United Nations economic sanctions against North Korea and various

dire warnings and implied military threats from Pyongyang.

Although the Clinton Administration maintains that the agreement

fulfills its long-standing basic negotiating objectives of

containing North Korea's production of fissionable material and

providing for inspections aimed at verifying suspected past

diversions, the accord differs significantly from previous U.S.

negotiating positions in regard to the timing and sequencing of

actions by both parties, and includes some new elements.

The confrontation leading to the agreement had slowly gathered

momentum over a number years. Due to the aggressive character of

the authoritarian regime of Kim Il Sung and unresolved issues

from the Korean War, the U.S. Government long resisted direct

talks with the Pyongyang about Korean peninsula issues. Proposals

for direct talks by North Korea beginning in 1974 were viewed

generally as tactical maneuvers to deny legitimacy to the

Government of South Korea and gain the removal of U.S. forces

from Korean Peninsula.

By the late 1980s, North Korea's apparent progress toward an

ability to produce nuclear weapons raised the cost of avoiding

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direct talks and led to a partial rethinking of U.S. policy. The

first official contact took place in Beijing in 1988. Between

1988 and 1992, there were numerous rounds of "working-level"

talks between the United States and North Korea.

The character of the talks changed dramatically on March 12,

1993, when North Korea announced its intent to withdraw from the

Nuclear NonProliferation Treaty (NPT). The announcement elevated

what was long viewed as a serious proliferation threat into a

high stakes diplomatic confrontation between North Korea and the

United States. After consultation with South Korea and the

International Atomic Energy Agency (IAEA), the United States, in

June 1993, decided to open high-level talks with North Korea.

Since then, numerous working-level talks and three rounds of

high-level negotiations were held at various locations, leading

eventually to the October 21, 1994, agreement.

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page 2

This report provides background on the North Korean nuclear issue

and the events leading to the negotiations between the United

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States and North Korea; tracks the progress of direct talks aimed

at resolving the issue; and provides a chronology of policy

statements and other significant remarks made by senior U.S.

government officials. The report does not evaluate the utility of

talks to U.S. nonproliferation objectives or otherwise make

judgments about the effectiveness of U.S. policy or the prospects

for ultimate fulfillment of the accords.

Additional information and background on U.S. policy issues

related to North Korean nuclear weapons program is available in

other recent CRS reports and issue briefs. A brief, selected list

includes: North Korea's Nuclear Weapons Program: U.S. Policy

Options. CRS Report 94-470 F, dated June 1, 1994 [by Richard

Cronin, coordinator], and North Korea's Nuclear Weapons Program,

Issue Brief 91141, updated regularly [by Larry A. Niksch].

BACKGROUND TO NEGOTIATIONS WITH NORTH KOREA OVER ITS NUCLEAR

PROGRAM[1]

1 Except where specifically noted, sources for this summary

include The Christian Science Monitor, Far Eastern Economic

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Review, Foreign Broadcast Information Service, New York

Times, Reuters, Washington Post, Washington Times and CRS

reports and issue briefs.

RISING CONCERN ABOUT NORTH KOREA'S NUCLEAR ACTIVITIES

The North Korean nuclear program began in the mid-1960s with the

construction of a 2-4-thermal-megawatts (MW) research reactor at

Yongbyon, 60 miles north of its capital Pyongyang, supplied by

the former Soviet Union, and the nearly simultaneous acquisition

of a 0.1-MW critical facility. The ostensible rationale for the

facilities was scientific research and the production of

radioactive isotopes for medical and industrial use.[2] Then, in

the early 1980s, North Korea began construction of the 5-MW(e)

research reactor in Yongbyon,[3] followed by a "radiochemical

laboratory," North Korea's euphemism for a plutonium reprocessing

plant. The latter two facilities are widely suspected as having

provided North Korea with enough weapons grade plutonium for one

or two nuclear weapons.

2 Joseph S. Bermudez, Jr., North Korea's Nuclear Programme.

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Jane's Intelligence Review, Sept. 1991: 406.

3 Due to alternative means of measuring the output of

nuclear reactors, this reactor is sometimes called a 5-MW(e)

reactor, based on its potential to produce electrical power,

and a 25-30-thermal-megawatt reactor, based on its heat

output. It is not connected to any power grid and does not

actually produce electricity.

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page 3

In December 1985, North Korea signed the NPT under prompting from

Moscow, but, for six years, it avoided signing an obligatory IAEA

safeguards agreement as required by the treaty. Such an agreement

would provide for a full accounting of North Korea's nuclear

materials and provide for monitoring and inspection of only its

declared nuclear facilities by IAEA personnel. During several

years of negotiations aimed at bringing North Korea into

compliance with its NPT obligations, Pyongyang repeatedly argued

with the IAEA that implementation of its safeguards obligations

should be linked to the removal of U.S. nuclear weapons stationed

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in South Korea.

In September 1991, President Bush announced that the United

States would end deployment of an American tactical nuclear

arsenal worldwide. The United States reportedly withdrew all

nuclear weapons from South Korea in late 1991. Among other

things, the declaration took away North Korea's ostensible

rationale for refusing to allow international inspection of its

facilities.

The U.S. declaration opened the way for North and South Korea to

initial an agreement in mid-December 1991, providing for future

steps to effect reconciliation and the normalization of

relations, and a December 31 agreement on the denuclearization of

the Korean Peninsula. Under the "Joint Declaration on the

Denuclearization of the Korean Peninsula," both parties pledged

not to "test, produce, receive, possess, deploy or use nuclear

weapons." They also agreed that they "will not possess facilities

for nuclear reprocessing or uranium enrichment," and to allow

mutual inspections of "objects chosen by the other side and

agreed to by both parties."[4]

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4 Washington Post. Jan. 1 1992: A24.

EVOLUTION OF DIRECT U.S.-NORTH KOREA NEGOTIATIONS

INITIAL "WORKING-LEVEL" TALKS FROM JANUARY 22, 1992, TO MAY 17,

1993

On January 22, 1992, the highest working-level meeting between

the United States and North Korea in four decades took place in

New York. It was held between U.S. Under Secretary of State

Arnold Kantor and Kim Yong Sun, international director of the

North Korean Workers' Party.

Reportedly, in the January 22 meeting, Mr. Kantor gave North

Korea a specific date of February 19, 1992, by which time it

should agree to open its facilities to IAEA inspection. On that

date, North and South Korea were scheduled to formally complete

the December 31, 1991, accord on denuclearization. Mr. Kantor is

said to have presented a Bush Administration offer to open an

American airbase in South Korea to North Korean inspection,

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as a way of reassuring Pyongyang about the removal of U.S.

nuclear weapons.[5]

5 New York Times, Jan. 22, 1992: A9; Feb. 21, 1992: A9;

Washington Post, Feb. 7, 1992: A19.

North Korea Signs an IAEA Safeguards Agreement

On January 30, 1992, North Korea signed a safeguards agreement

with the IAEA that would provide for the inspection of seven

declared sites. During the signing ceremony, a North Korean

Foreign Ministry official made pointed references to Japan's

possession of large quantities of plutonium and demanded the

complete removal of U.S. nuclear weapons from the peninsula,

causing concern that Pyongyang might be establishing a pretext

not to fulfill its obligations under the agreement with the

IAEA.[6]

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6 New York Times, Jan. 31, 1992: A2; Financial Times, Jan.

31, 1992: 3.

Between May 1992 and March 1993, the IAEA conducted six

inspections of North Korean nuclear facilities to verify the

accuracy of Pyongyang's declaration of nuclear materials.

However, the inspectors found discrepancies in the declared

plutonium inventory, and were not allowed sufficient access to

verify whether, as was suspected, North Korea had previously

diverted nuclear materials during a partial reloading of the fuel

rods. Nor were the inspectors able to clarify the purposes of a

reprocessing facility or inspect two suspected waste sites. North

Korea reacted with growing antagonism towards the IAEA inspectors

and rejected the IAEA's demands for a "special inspection" of two

suspected nuclear waste storage sites.

March 12, 1993, Withdrawal from the NPT

Tensions escalated when North Korea announced its withdrawal from

the NPT on March 12, 1993. The action followed a meeting several

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weeks earlier of the IAEA Board of Governors during which Board

Members were shown U.S. aerial surveillance photos and chemical

analysis of data collected by the IAEA inspectors that confirmed

the existence of a nuclear waste dump -- long denied by Pyongyang

-- and provided evidence that more plutonium had been reprocessed

from spent uranium fuel rods than the amount declared by North

Korea. Reports suggested that the U.S. intelligence capability

surprised and angered the North Koreans, and created a

realization that they could not continue with their program

undetected in the presence of IAEA inspectors.[7]

7 New York Times, Mar. 13, 1993; Korean Herald, Mar. 18,

1993: 4.

The United States made a direct appeal to North Korea in a March

17 meeting with North Korean officials at the U.S. Embassy in

Beijing as part of an effort to persuade the North to reconsider

its decision. The meeting was the 30th in a series of periodic

working-level talks since December 1988.[8]

8 The Washington Post, Mar. 18, 1993: A33.

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Reportedly, at the end of March 1993, during a visit to

Washington by South Korea's foreign minister, the U.S.

Administration and the South Korean government broadly agreed on

a "measured approach" employing "sticks and carrots" to gain more

inspections of North Korea's nuclear facilities.[9]

9 Washington Post, Mar. 30, 1993: A14, A16.

OUTCOME OF THE THREE "HIGH-LEVEL" U.S.-NORTH KOREA ROUNDS, JUNE

1993-OCTOBER 1994

On April 22, 1993, the Clinton Administration indicated its

readiness for the first time to take part in high-level talks

with North Korea to help resolve the crisis caused by North

Korea's refusal to abide by the NPT on nuclear weapons.

Purportedly, the offer was made largely at the behest of China.

The meeting was suggested by Under Secretary of State Peter

Tarnoff during a visit to South Korea.[10] The stated ultimate

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U.S. objectives for the talks were to get North Korea to rejoin

the NPT and come into compliance with its obligations to allow

full inspections of its nuclear facilities, and carry out the

December 1991 North-South denuclearization accord.[11]

10 New York Times, Apr. 22, 1993; Washington Times, Apr. 23,

1994: A7.

11 Washington Times, Jun. 2, 1993: A7.

On May 5, 1993, the United States and North Korean officials met

in Beijing in a working-level meeting to lay the groundwork for

the first direct high-level meeting with North Korean officials

under the Clinton Administration.[12] On May 17, diplomats from

both countries met in New York to begin planning for the

high-level talks. On May 26, Assistant Secretary of State Robert

L. Gallucci said that the United States was prepared to offer

some concessions in return for North Korea's agreement to allow

inspections of its nuclear facilities, such as responding to

"legitimate concerns" about U.S. military operations and

exercises.[13]

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12 New York Times, May 6, 1993: 7.

13 New York Times, May 27, 1993: A6.

FIRST ROUND OF HIGH-LEVEL TALKS IN NEW YORK, JUNE 2-11, 1993

The United States and North Korean officials held their first

round high-level talks in New York, beginning on June 2.

Assistant Secretary of State Robert L. Gallucci headed the U.S.

delegation, while First Vice Minister of Foreign Affairs Kang Sok

Ju headed the North Korean team.[14] After extensive

14 New York Times, Jun. 3, 1993: A9.

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page 6

meetings, the heads of both delegations issued a joint statement

in which North Korea agreed to suspend its withdrawal from the

NPT for "as long as it considers necessary" and agreed to the

principle of the "impartial application" of IAEA safeguards, in

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return for U.S. "assurances against the threat and use of force,

including nuclear weapons," and a promise of "non-interference"

in North Korea's "internal affairs."[15] The United States stated

that if the dialogue was to continue, North Korea must accept

IAEA inspections to ensure the continuity of safeguards, forego

reprocessing, and allow IAEA presence when refueling the 6-MW

reactor.

15 Washington Post, Jun. 12, 1993: A1, A14.

While in Seoul, following the July 1993 Tokyo summit of the Group

of Seven (G-7) industrialized democracies, President Clinton

called North Korea a "renegade nation" and said that the United

States "would retaliate quickly and overwhelmingly retaliate if

they were to ever use, to develop and use, nuclear weapons. It

would be the end of their country as they know it."[16]

16 Washington Times, Jul. 10, 1993: 1.

SECOND ROUND OF HIGH-LEVEL TALKS IN GENEVA, JULY 14-19, 1993

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The United States and North Korean delegations met in Geneva for

a second round high-level talks during July 14-19, 1993. Both

sides reaffirmed the principles of the June 11, 1993, joint

statement.

For its part, the United States reaffirmed its assurances against

the threat or use of force, including nuclear weapons. Both sides

recognized the desirability of North Korea's intention to replace

its graphite moderated reactors and associated nuclear facilities

with less threatening light water reactors (LWRs).[17] As part of

a final resolution of the nuclear issue, and on a premise that a

solution to the provision of LWRs is achievable, the United

States said that it is prepared to support the introduction of

LWRs and to explore with North Korea ways in which LWRs could be

obtained.

17 LWRs also produce plutonium as their uranium fuel is

depleted. However, unlike graphite-moderated reactors, which

employ natural uranium, reactors moderated by light water

require uranium that is enriched to a higher level of purity

and that generally can only be obtained from a few

technologically sophisticated countries, all of whom require

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safeguards on the fuel that they provide as well as on the

disposition of the spent fuel. Reprocessing plutonium from

spent LWR fuel is also more technologically difficult than

from reactors fueled with natural uranium.

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page 7

Both sides agreed that full and impartial application of IAEA

safeguards was essential to accomplish a strong international

nuclear non-proliferation regime. On this basis, North Korea

promised to begin immediate consultations with the IAEA on

outstanding safeguards and other issues, but its negotiators said

that they "could not guarantee" that inspections would take

place.[18] Both sides also reaffirmed the importance of the

implementation of the North-South Joint Declaration on the

Denuclearization of the Korean Peninsula. North Korea reaffirmed

that it remained prepared to begin immediate North-South talks on

bilateral issues, including the nuclear issue. They also agreed

to meet again in the next two months to discuss outstanding

matters, including technical questions related to the

introduction of LWRs, and to lay the basis for improving overall

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relations between the United States and North Korea.[19]

18 Washington Post, Jul. 17, 1993: A12.

19 Washington Post, Jul. 17, 1993: A12; Washington Times,

Jul. 21, 1994: A7.

Working Level Talks, August 1993-February 1994

After the second round of high-level talks, representatives from

both sides met in New York again for further working-level talks

in August 1993. They discussed steps toward a suspension of the

United States and South Korean "Team Spirit 94" military

exercises and the possibility of eventual U.S. diplomatic

recognition of the North. However, the Clinton Administration

maintained, until early November 1993, that it would not agree to

hold a third round of high-level talks until North Korea allowed

the resumption of routine IAEA inspections of declared nuclear

sites and agreed to arrangements for a meeting of North and South

Korean presidential envoys.[20]

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20 New York Times, Nov. 2, 1993: A10.

On November 11, 1993, North Korea proposed a bilateral

negotiation for a "package solution" to the nuclear weapons

issue. A State Department briefer cautiously welcomed the

proposal and expressed U.S. willingness to explore the issues in

a third round of high-level talks.[21]

21 Washington Times, Nov. 13, 1993: A6.

Clinton Administration policy makers held an interagency meeting

on November 14 that reportedly was marked by internal divisions.

In the end, the Administration agreed to offer various

inducements, including the suspension of the annual "Team Spirit"

military exercises with South Korea and enter "broad,"

"comprehensive" direct negotiations following North Korea's

fulfillment of two conditions: (1) allow the IAEA full access to

all the declared facilities to maintain continuity of safeguards

and (2) agree to hold simultaneous denuclearization talks with

South Korea.[22] Later in the month, in press briefings connected

with the Seattle meeting of the Asia-Pacific Economic

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22 Washington Post, Nov. 15, 1993: 1;Washington Times, Nov.

16, 1993: 1;

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Cooperation (APEC) organization and talks between President

Clinton and Asian leaders, including South Korean President Kim

Young Sam, the Administration indicated a "subtle" shift, putting

special inspections of undeclared sites "on the back burner for

now" as a means of getting high-level talks restarted.[23]

23 New York Times, Nov. 22, 1994: A5 and Nov. 24: A16.

In mid-level talks at the United Nations in New York, North

Korea, on December 3, 1993, offered to restore IAEA access to

five of the declared sites but not the plutonium reprocessing

plant (which North Korea calls a "radiochemistry laboratory") and

the operating nuclear reactor. Administration officials expressed

skepticism but said they needed to study the proposal carefully

and confer with allies before responding. President Clinton spoke

favorably about certain positive indications in the offer, but

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IAEA officials rejected the proposal out-of-hand as

unacceptable.[24] In further mid-level talks on December 10, U.S.

officials presented a counterproposal with some additional

"nuances." Press reports speculated that these related to the

sequencing of steps or a clearer definition of the overall

package the U.S. was offering.[25]

24 Washington Post, Dec. 4, 1993: A1, A22 and Dec. 7: A19.

25 New York Times, Dec. 11, 1994: 3.

At the end of December, the two sides reportedly reached a

tentative new understanding that appeared to put off North

Korea's need to comply fully with its obligation to allow

full-scope inspections, including special inspections aimed at

investigating suspected past diversions. North Korean agreed to

accept onetime IAEA inspections needed to maintain continuity of

safeguards at the seven declared sites. In exchange, the United

States would suspend "Team Spirit 94" and set a date for a third

round of U.S-North Korean talks, which would begin only after the

North completed its end of the bargain. News reports in late

December and early January 1994 said that the U.S. offer remained

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subject to the successful completion of an agreement between

North Korea and the IAEA on arrangements for inspections that

would insure the continuity of safeguards on the declared

facilities.[26]

26 New York Times, Dec. 31, 1993: A1, A9; Jan. 4, 1994: A3;

and Jan. 5, 1994: A1-A2; Washington Times, Jan. 4, 1994: A1,

A12; and Jan. 5: A10.

For several weeks North Korea balked at reaching an agreement

with the IAEA on the parameters of the one-time inspection. On

February 15, 1994, however, faced with the likelihood that the

IAEA Board of Governors would report to the UN Security Council

that the continuity of the inspections system had completely

broken down, Pyongyang agreed in writing to an IAEA checklist of

procedures and facilities for a one-time inspection. These

included the collection of samples from a "glove box" connected

to the reprocessing facility, and gamma ray scans.

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On February 25, 1994, after a series of talks in New York, the

United States and North Korea announced an agreement concluding

the working-level talks. Both sides agreed to take four

simultaneous steps on March 1, 1994. North Korea agreed to accept

IAEA inspections and to resume working-level talks in Panmunjom

on the exchange of North-South special envoys. In return, the

United States agreed to announce a date for the third round of

high-level talks and to announce its decision to suspend the

"Team Spirit 94" military exercise.

Cancellation of Planned High-Level Talks Following Collapse of

IAEA Inspection Activities

Two weeks after the agreement, however, the IAEA inspectors were

denied access to several key nuclear sites covered by the

February 15 agreement between North Korea and the IAEA. The North

Koreans refused to allow the inspectors to take the previously

agreed upon "glove box" samples and gamma ray scans at the

reprocessing facility. Moreover, the inspectors found evidence of

new construction activities that suggested an effort to open a

second, unsafeguarded reprocessing line.[27]

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27 Washington Post, Mar. 19, 1994: A16; Report by the

Director-General of the International Atomic Energy Agency,

Addendum, Mar. 23, 1994 (INFCIRC/403), 5 pages.

The United States, on March 16, 1994, canceled high-level talks

with North Korea scheduled for the following week and consulted

with South Korea about rescheduling the "Team Spirit" exercises,

normally held before the spring planting season, for the fall. A

senior Administration official reportedly declared "this time the

North went too far . . . there are no more carrots."[28]

28 Financial Times, Apr.21, 1994: 4; and Washington Post,

Apr. 23, 1994: A7.

Precipitate Action by North Korea to Remove Fuel Rods

The crisis atmosphere heightened significantly in mid-May, 1994,

when North Korea abruptly began removing some 8,000 fuel rods in

the reactor without the presence of IAEA inspectors. The removal

of the rods without a careful inventory of their location in the

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reactor jeopardized the ability of IAEA inspectors to determine

at a future point whether the North Koreans had diverted

plutonium from the reactor. The rods themselves contained enough

plutonium to build several nuclear weapons.

In an attempt to retain leverage on North Korea's actions, the

Administration offered to hold the long-deferred third series of

high-level talks to consider the entire range of Korean peninsula

issues, including economic, diplomatic and security benefits that

North Korea might obtain in return for reversing its decision to

withdraw from the NPT. Such talks would be conditioned, however,

on North Korea's willingness to allow the IAEA to monitor the

refueling operations and safeguard the fuel rods already removed.

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page 10

On May 21, North Korea reportedly agreed to meet with IAEA

inspectors to discuss ways to preserve the fuel rods that were

being removed so as to permit a future assessment of the

reactor's operating history.[29] Subsequently, at working-level

talks in New York, U.S. and North Korean officials discussed the

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agenda for the high-level talks, including the possible supply of

light water reactors and improved diplomatic and economic

ties.[30]

29 New York Times, May 22, 1994. Sec. 1, p. 17.

30 Washington Times, May 24, 1994: A13.

The apparent breakthrough quickly evaporated. North Korea

reportedly rejected two alternative IAEA proposals for preserving

the fuel rods not yet removed from the reactor, and accelerated

the removal operation. Reportedly, at a high-level interagency

meeting, the Administration decided to prepare for formal

consultations with the relevant countries about imposing economic

sanctions. The South Korean government put its military on a

higher level of alert, and President Clinton reportedly told

South Korean President Kim Young Sam that the confrontation had

reached "a very dangerous stage."[31]

31 Washington Post, June 1, 1994: A22.

Reportedly, on May 30, 1994, the five Permanent Members of the UN

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Security Council -- the United States, the U.K., France, Russia,

and China -reached agreement on a draft resolution urging North

Korea to safeguard the removed fuel rods in a way that would

preserve any evidence of past diversion of plutonium. In

deference to China, the resolution did not include a direct

threat of economic sanctions, but the action was clearly viewed

as a last chance before stronger measures were sought.[32] On May

31, a Department of State briefer said that North Korea's actions

were destroying the premises on which negotiations had been

based.[33]

32 New York Times, May 30, 1994: 1, 31.

33 CNN Report, May 31, 1994

By early June 1994, the standoff had acquired an atmosphere of

serious crisis. U.S. officials and outside analysts expressed

grave concern about the implications of North Korean actions,

including the credibility of the NPT regime. Administration

officials expressed a desire to respond to North Korea's

provocation but not to "throw the baby out with the bath water."

U.S. officials appeared to discount North Korea's threats that

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sanctions would be an "act of war," but the sanctions route

remained problematic. First, under the best of circumstances,

sanctions would take a long time to have effect, given the

already primitive level of North Korea's economy. Second, China

still opposed sanctions and appeared prepared to veto them in the

UN Security Council.[34]

34 Washington Post, June 4, 1994: A1, A14.

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page 11

U.S. warnings and the Security Council's action did not produce

the desired effect. On June 3, 1994, the IAEA's Director-General,

Hans Blix, told the UN Security Council that North Korea had

removed all but 1,800 of the 8,000 fuel rods, and that, by mixing

up the rods, they had made it impossible to reconstruct the

operating history of the reactor.[35] On June 15, U.S. Ambassador

to the United Nations, Madeleine Albright, announced the

Administration would begin consultations with other Security

Council members, as well as Japan and South Korea, about a

two-phase sanctions plan. The first phase, after a 30-day "grace

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period" during which North Korea could reconsider its position,

would be an arms embargo. The second phase would include a

variety of economic and diplomatic sanctions, including an oil

and trade embargo, a sharp cutback in North Korea's already

limited diplomatic, cultural, educational, and scientific

contacts with the rest of the world, and a cutoff of the flow of

remittances to North Korea from ethnic Koreans in Japan.[36]

35 New York Times, June 4, 1994: 3.

36 New York Times, June 16, 1994: A1, A12; Wall Street

Journal, June 16, 1994: A12; Washington Times, June 16,

1994: A1, A12.

Carter Mission to North Korea, June 15-18, 1994

Former President Jimmy Carter and Mrs. Carter visited Pyongyang

during June 15 and 18, 1994. Although the former President

described the trip as that of "private citizens," Carter had been

briefed by Administration officials before his departure. The

Administration categorically denied, however, that he was making

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the trip on its behalf. The Administration initially reacted with

anger at former President Carter's statement, on June 17, that

the White House had suspended the push for sanctions at the

United Nations. However, when the North Koreans agreed to

"freeze" their nuclear program in return for the resumption of

high-level talks, President Clinton and other officials welcomed

the outcome and praised the former President. Some in the

Administration and many outside expressed skepticism about the

freeze, since the fuel rods in any event would remain too highly

radioactive to be handled for several weeks or months.[37]

37 Wall Street Journal, June 23, 1994: A11; Washington Post,

June 23, 1994: A1, A25.

On June 21, the Administration sent a letter to North Korea

proposing to resume high-level talks and offering to suspend its

push for economic sanctions once talks were under way. North

Korea, meanwhile, took two steps that followed up on pledges it

made to Mr. Carter. It extended the visas of international

nuclear inspectors in North Korea and proposed a date, August 15,

for a summit between President Kim Il Sung and South Korean

President Kim Young Sam.

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page 12

On June 27, 1994, the United States and North Korea announced

that direct negotiations on nuclear and other issues would resume

on July 8 in Geneva.

THIRD ROUND OF HIGH-LEVEL TALKS BEGIN IN GENEVA, JULY 8-10, 1994

The third round of high-level talks built on the outcome of the

Carter-Kim meeting. The Clinton Administration reportedly would

offer North Korea a package that included diplomatic ties,

lifting of existing economic sanctions, security assurances and

help in securing a $1-billion-plus civilian nuclear reactor for

North Korea's energy-starved economy. In return, North Korea

would have to stop its nuclear program.[38]

38 New York Times, Aug. 5, 1994: A3.

On July 9, North Korean radio reported that the nation's 82-year

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old leader Kim Il Sung had died on Friday, July 8, of a heart

attack. The announcement came hours after the talks opened in

Geneva. On July 10, U.S. officials received assurance from North

Korea that it would maintain its current nuclear policies.

However, high-level talks were called off for the duration of a

mourning period of unspecified length.

On July 13, 1994, North Korean radio reported that Kim Jong Il

succeeded his late father. U.S. officials said that Washington

"stands ready to resume talks" as soon as North Korea was ready

to do so. On July 21, North Korea announced its decision to

resume the third round high-level talks with the United States on

August 5 in Geneva.

THIRD ROUND OF HIGH-LEVEL TALKS RESUME IN GENEVA, AUGUST 5-14,

1994

Beginning on August 5, 1994, officials of the United States and

North Korea met in Geneva to resume high-level negotiations

interrupted by the death of President Kim Il Sung one month

before. The negotiations pivoted on the issue of North Korea's

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willingness to abandon its program of graphite-moderated reactors

in return for an American commitment to arrange for the supply of

light water reactors and other concessions.

The two parties signed a conditional accord on August 12, that

included four broad elements.

(1) In return for U.S. arrangements to provide LWRs of

approximately 2,000-MW(e), and interim energy alternatives, North

Korea was prepared to give up its graphite-moderated reactor

program, including the 50-MW(e) and 200-MW(e) facilities under

construction. Upon receipt of U.S. assurances regarding its

commitments on the LWRs and alternate interim energy supplies,

North

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Korea would freeze construction on the reactors, "forego

reprocessing, and seal the Radiochemical laboratory, to be

monitored by the IAEA."

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(2) The parties agreed that they were "prepared to establish

diplomatic representation in each other's capitals and to reduce

barriers to trade and investment, as a move towards full

normalization of political and economic relations."

(3) The United States said it was prepared to provide "assurances

against the threat or use of nuclear weapons," while North Korea

remained "prepared to implement the North-South Joint Declaration

on the Denuclearization of the Korean Peninsula."

(4) North Korea was "prepared" to remain an NPT state and allow

implementation of the safeguards agreement signed earlier with

the IAEA.

As explained by Assistant Secretary of State Robert Gallucci

during an August 12 press conference, North Korea agreed, pending

completion of the details of the agreement, to freeze its nuclear

program and maintain the continuity of safeguards on the seven

declared facilities. North Korea did not agree to give up its

spent fuel rods and had declined U.S. technological help in

extending their safe storage life. Mr. Gallucci said that the

United States expected, based on the talks, that North Korea

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would "forego or give up all facilities related to its graphite

technology, and that ultimately those facilities will be

dismantled." Gallucci said that this outcome ultimately was

connected with arrangement to supply LWR technology, but "what is

not decided and captured in this agreement is exactly the timing

for dismantlement."[39]

39 Office of Public Affairs, United States Mission, Geneva

Switzerland. Assistant Secretary Robert Gallucci's Press

Conference at 2:15 A.M. on Saturday, August 12, at the U.S.

Mission in Geneva. p. 6.

Important issues to be resolved in "expert-level discussions"

included the modalities of supplying the LWR's, the safe storage

and disposition of the 8,000 spent uranium fuel rods already

unloaded from the reactor, the provision of alternate interim

energy supplies, and terms for the establishment of liaison

offices.[40]

40 Gallucci press conference, Aug. 12, 1994, ibid.

The remaining issues were said to be difficult ones. Reportedly,

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the North Koreans favored keeping the fuel rods on their own

territory.[41] One "senior U.S. official" reportedly indicated

that the Administration might delay the exchange of diplomatic

missions until North Korea allowed IAEA inspections of the two

suspected waste dumps. Prior to the August 12 agreement, a North

41 Washington Post, Aug. 11, 1994: A24.CRS-14

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page 14

Korean official in Geneva reportedly had said that Pyongyang

would never allow such inspections.[42]

42 New York Times, Aug. 14, 1994: 19.

On an other issue that would later prove contentious -- the

source of the LWRs -- North Korea's Vice Foreign Minister, Kang

Sok Ju, said at a joint press conference with Assistant Secretary

Gallucci that while there was a long history of distrust between

the North and South, he thought it was "the business and

responsibility of the United States" as to whether South Korea or

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other countries were the vendors of the LWRs.[43] Subsequently,

in late August, a North Korean official radio broadcast suggested

that Pyongyang would not accept South Korean reactors, but wanted

more advanced German, Russian or U.S. reactors. Press reports

speculated that North Korea also may have been reacting to

statements by South Korea linking any role on its part to the

North's acceptance of special inspections of the suspicious waste

dumps.[44]

43 Joint Press Conference at the North Korean UN Mission,

Aug. 12, 1994.

44 New York Times, Aug. 29, 1994: A2.

Working Level Meetings in Berlin and Pyongyang, September 10,

1994

On September 10, 1994, U.S. and North Korean officials held

simultaneous working-level talks in Berlin and Pyongyang. The

talks in Berlin focused on the implementation of a plan to help

North Korea replace its nuclear reactors with LWRs. The talks in

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Pyongyang, the first-ever official U.S.-Democratic People's

Republic of Korea (DPRK) talks there, centered on preparation for

establishing liaison offices in each other's capitals. Assistant

Secretary Robert Gallucci said that these two meetings were "not

to make policy but to exchange views in order to better move

forward." Mr. Gallucci appeared to link the "political dimension"

of the U.S.-North Korean dialogue to simultaneous improvement in

relations between Pyongyang and Seoul.[45] Press reports

indicated that at least as an interim measure, the Clinton

Administration had agreed to allowing North Korea to weld the

spent fuel rods into steel containers and keep them in cooling

ponds under IAEA inspection.[46]

45 Washington Times, Sep. 10, 1994: A8.

46 Washington Post, Sep. 10, 1994: A24.

RESUMPTION OF THIRD ROUND OF HIGH-LEVEL TALKS, SEPTEMBER 23. 1994

Direct negotiations resumed between U.S. and North Korean senior

level officials on September 23, 1994, in Geneva. Assistant

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Secretary of State Robert Gallucci headed the U.S. delegation. On

the eve of the talks, North Korea reportedly made several

unexpected new demands, including a request for $2

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page 15

million in addition to the expected $4 billion cost of the LWRs,

and insistence that the LWRs be sourced in Germany or Russia. Mr.

Gallucci called the new North Korean demands "ludicrous," noting

that they sharply contradict what were agreed to by both parties

on August 12, 1994.[47]

47 Washington Post, Sep. 23, 1994: A32.

In the face of a mounting stalemate, the parties agreed to extend

the talks until September 29. After failing to resolve the

differences, both sides were further from an agreement than they

were at the August 1994 talks in Geneva, according to U.S.

officials. North Korea was said still to be balking at agreeing

on the removal of 8,000 spent fuel rods from its territory or

allowing special IAEA inspections of the two suspected waste

44

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sites. North Korea also had not agreed to extend the freeze on

its nuclear program while the talks continued. Reportedly, North

Korea had privately informed U.S. officials of its intent to

refuel its reactor. North Korean officials claimed that they

needed to restart the reactor to provide heat to buildings in the

Yongbyon area in the coming winter. Also, Pyongyang was said to

be demanding more than just assurances of the supply of the

LWRs.[48]

48 New York Times, Oct. 6, 1994: A7; Far Eastern Economic

Review, Oct. 13, 1994: 14.

COMPLETION OF THE THIRD ROUND OF TALKS

On October 17, 1994, at Geneva, the United States and North Korea

reached a resolution of the issues left outstanding after the

August 12 accord. The parties formally signed the agreement on

October 21 after consulting with to their respective governments.

The accord provided for the achievement of long-standing U.S.

negotiating objectives, but only in a conditional, step-by-step

process of sequential actions that hold the potential for a

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future breakdown.[49]

49 The following terms of the accord are based on Ambassador

Robert Gallucci's press briefing of October 25, 1994. U.S.

Department of State, Bureau of Public Affairs. Daily Press

Briefing, Oct. 25, 1994, as supplemented by press accounts.

Immediately upon coming into effect, the accord freezes all

activities in connection with its graphite-based facilities. The

existing 5-MW reactor cannot be refueled, the suspected

reprocessing facility is to be sealed closed, with the exception

of access by the IAEA, fuel fabrication will cease, and work will

stop on the 50- and 200-MW reactors. A consortium of countries

will provide North Korea with heavy fuel oil to cover energy that

might have been foregone as a result of North Korea's actions,

starting with 50,000 tons this year and growing to about 500,000

tons annually.[50]

50 New York Times, Oct. 21, 1994: A8.

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Other actions aimed at bringing North Korea into full compliance

with its NPT obligations will follow a "road map."

-- Within six months the United States will organize a consortium

to finance and construct the LWRs, tentatively called the Korean

Energy Development Organization (KEDO).[51] Once a contract has

been executed with the DPRK, the IAEA can commence "ad hoc" and

routine inspections of other nuclear facilities not mentioned

above, and North Korea will confirm its membership in the NPT.

Preliminary work on the LWR site can then begin.

51 Financial Times, Oct. 22,1994: 26.

In a separate letter to North Korea's leader, Kim Jong Il, dated

October 20, President Clinton provided assurances that he would

use the "full powers" of his office to organize the financing and

construction of the LWRs and funding for alternative interim

energy sources. If either of these did not materialize for

reasons beyond the control of the DPRK, the President said that,

subject to approval of the U.S. Congress, he would also use the

full powers of his office to have the United States provide

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them.[52]

52 New York Times, Oct. 27, 1994: A8.

-- In a second phase, lasting until about five years hence,

Pyongyang must grant full access to its waste sites and allow the

IAEA to resolve discrepancies regarding North Korea's past

production of plutonium, or else the agreement will be halted. If

that commitment is fulfilled, the critical nuclear components of

the LWR can begin to be delivered. During the next three years,

the fuel rods are to be physically removed from North Korea.[53]

53 New York Times, Oct. 21, 1994: A8.

-- After eight years, the first LWR is to be up and running.

After ten years, North Korea is to be in full compliance with its

safeguards obligations under the NPT, and the dismantling of the

old graphite-based facilities is to be completed.

Other provisions of the accord require North Korea to

"consistently take steps to implement the North-South Agreement

on Denuclearization." North Korea also has made a vaguely worded

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pledge to engage in dialogue with the South. None of these

commitments, nor the establishment of U.S. and North Korean

liaison offices and other steps toward normalization, are tied

explicitly to the timing of the nuclear aspects of the agreement.

The agreement also contains a two-and-one-half page confidential

annex. In his press briefing of October 25, Assistant Secretary

of State Robert Gallucci said that the contents of the "Minute"

would be disclosed to Congress. He also said that while he could

not reveal publicly the contents of the Minute, he would not

answer questions "in a way inconsistent with what the document

provides for."

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page 17

U.S. POLICY TOWARDS NORTH KOREA'S SUSPECTED NUCLEAR WEAPONS

ACTIVITIES: A CHRONOLOGY OF SELECTED ADMINISTRATION STATEMENTS,

MARCH 12, 1993, TO OCTOBER 21, 1994.

The Clinton Administration repeatedly has identified North

Korea's nuclear weapons program as the greatest threat to peace

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in Asia. In an interview on November 7, 1993, President Clinton

stated that "North Korea cannot be allowed to develop a nuclear

bomb." On January 25, 1994, in his State of the Union Address,

President Clinton stated that the United States' objective is

"working to achieve a Korean Peninsula free of nuclear weapons."

Other selected statements by the President and senior U.S.

officials and Administration spokespersons during the period

March 12, 1993, to October 21, 1994, appear below.

These entries are drawn from the major news media, including The

Christian Science Monitor, Far Eastern Economic Review, Foreign

Broadcast Information Service, New York Times, Reuters,

Washington Post, and Washington Times. Of necessity, many of the

statements shown below are only fragments of more lengthy

remarks. They should be read in the context of the fuller

discussion of the course of the confrontation and negotiations

summarized above.

03/12/93 -- North Korea announced its intention to withdraw from

the Nuclear Non-Proliferation Treaty. The Clinton Administration

denounced North Korea's decision. Secretary of State Warren

Christopher said that sanctions and "enforcement action" will be

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sought if North Korea does not change its position.

04/22/93 -- The United States offered for the first time to take

part in high-level talks with North Korea to help resolve a

crisis caused by North Korea's refusal to abide by the NPT on

nuclear weapons. Reportedly, the offer was made largely at the

behest of China. The meeting was suggested by Under Secretary of

State Peter Tarnoff during a visit to South Korea. It was

expected to be held in New York with the United States

represented at the level of an Assistant Secretary of State.

06/04/93 -- The Clinton Administration said that the talks

between Assistant Secretary Robert Gallucci and North Korea's

Vice Foreign Minister Kang Sok-ju were disappointing. It said

that North Korea showed no willingness to meet most of the U.S.

and the international community's concerns.

07/10/93 -- President Clinton warned North Korea against engaging

in "endless discussions" as a way to continue a program to build

nuclear weapons and urged the North to reaffirm its commitment to

the NPT. In an ABC Nightly News interview, President Clinton

said: "We intend to press to see that the NPT's regime is fully

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observed, including having international observers there. The

message should be clear. Even as we move into and through the

sixth year of defense cuts, we are not reducing our base presence

in Japan. We are not reducing our base presence in Korea. North

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page 18

Korea is just one of many renegade nations that would like to

have nuclear weapons and be unaccountable for them, and we can't

let it happen. We would quickly and overwhelmingly retaliate if

they were to ever use, to develop and use, nuclear weapons. It

would mean the end of their country as they know it."

09/14/93 -- Assistant Secretary of State Robert Gallucci said

that the United States would not rush to bring the North Korean

nuclear issue to the U.N. Security Council but, instead, would

wait and see whether North Korea would make necessary moves.

However, he said the United States would not continue the

proposed third round of high-level talks if North Korea makes no

progress.

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10/93 -- In unpublicized talks in New York aimed at resolving the

North Korean nuclear issue, U.S. and North Korean officials

reportedly discussed steps toward a suspension of the U.S. and

South Korean "Team Spirit 94" military exercises and the

possibility of eventual American diplomatic recognition of the

North.

11/05/93 -- Secretary of Defense Les Aspin stated that the U.S.

patience was wearing thin with North Korea over its nuclear

program. He added that the United States is still not prepared to

set any deadlines.

11/23/93 -- At a news conference with South Korean President Kim

Young Sam, President Clinton said that the White House has made

it clear to North Korea that "if it abandons its nuclear option

and honors its international nonproliferation commitments, the

door will be open on a wide range of issues not only with the

United States, but with the rest of the world." The President

said that the approach that resulted from his talks with

President Kim was different, but not a weakening of the U.S.

position.

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12/10/93 -- Mid-level Clinton Administration officials met with

North Korean diplomats and presented a slightly more flexible

proposal for breaking the deadlock over the North Korean nuclear

program. However, the Administration said that it had not altered

its basic stance that North Korea must agree to unimpeded

inspections and to resume talks with the South.

01/05/94 -- After North Korea agreed to allow a new international

inspection of all seven of its declared nuclear facilities,

President Clinton said that the Administration was prepared to

accept the offer but had not retreated to accepting only a single

new inspection.

01/09/94 -- Defense Secretary Les Aspin said that the

Administration is willing to cancel this year's Team Spirit

military exercises with South Korea if North Korea allows the

IAEA to inspect all nuclear facilities.

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01/25/94 -- Central Intelligence Agency director James Woolsey

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testified to the Senate Intelligence Committee that U.S.

intelligence agencies estimated that North Korea may have

produced one or two nuclear weapons.

01/26/94 -- In an article in the Washington Post, Undersecretary

of State Lynn Davis asserted that the "immediate task" for the

Clinton Administration was to ensure that North Korea had not

engaged in a "future diversion of plutonium." After this was

assured, the Administration "will then press North Korea for

inspection of suspect sites and dismantling of nuclear

facilities."

02/11/94 -- During a meeting with Japanese Prime Minister

Morihiro Hosokawa, President Clinton reportedly said that North

Korea's nuclear program poses a serious threat to regional

stability and to international nonproliferation efforts. He also

said sanctions were one option.

02/21/94 -- State Department spokesman Michael McCurry said that

the United States would not set a date for resuming high-level

talks with North Korea until international experts inspect all

seven nuclear sites.

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03/03/94 -- State Department spokesman Michael McCurry announced

that the United States would begin a third round of high-level

negotiations with North Korea on March 21 in Geneva. The

announcement was made after IAEA inspectors arrived in North

Korea to begin inspecting the nuclear sites.

03/16/94 -- IAEA inspectors left Pyongyang after North Korea

blocked access to key parts of a nuclear facility. The Clinton

Administration responded by canceling high-level talks with North

Korea scheduled for March 21 and stepping up planning for "Team

Spirit 94".

03/21/94 -- The Clinton Administration announced a battalion of

Patriot missile interceptors would be sent to South Korea as a

"purely defensive" move and said that the United States would

defend South Korea against attacks from North Korea. He also

called on North Korea to "do the right thing" by allowing an

adequate international inspection.

03/25/94 -- Responding to North Korea's refusal to allow

international inspections, Secretary of Defense William Perry

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reportedly said that the United States would probably wait four

to six weeks to see if North Korea complies before seeking

economic sanctions. In press reports he was quoted as

acknowledging that it was not clear whether sanctions would lead

North Korea to permit inspections. He said: 'We have a very

little knowledge of what drives the thinking of the leadership in

the North Korean government, what is likely to cause them to

respond in a positive way, what is likely to cause them to

respond in a negative or in a backlash sort of a way."

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03/30/94 -- Secretary of Defense William Perry warned publicly

that the United States intends to stop North Korea from

developing a substantial arsenal of nuclear weapons even at the

potential cost of another war on the Korean Peninsula. As

outlined by Secretary Perry, the Clinton Administration is

pursuing a three-part strategy aimed at blocking the North Korean

nuclear program. The first aim is to prevent North Korea from

driving a diplomatic wedge between the United States and South

Korea. The second aim is to ensure that U.S. and South Korean

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ground troops are capable of blunting any North Korean invasion

across the demilitarized zone. The third aim is to ensure the Air

Force "can quickly get overwhelming air power" to the country

within a day after any North Korean invasion, for use in "massive

airstrikes on North Korean ground forces."

04/03/94 -- On NBC's "Meet the Press" program, Secretary of

Defense William Perry said the Administration has temporarily

ruled out a pre-emptive air strike to slow or to demolish the

North Korean nuclear program but reserved it as "an option in the

future." Commenting on North Korea's plan to build more powerful

weapons in the near future, he said: "The issue at this time is

not tied directly on whether they have one or one-and-a-half or

two bombs, it is whether they will stop the nuclear program that

they have under way... Our first objective is to freeze the

program where it is now. Then we can be concerned with rolling

that back."

04/04/94 -- President Clinton ordered the establishment of a

Senior Policy Steering Group on Korea with responsibility for

coordinating all aspects of U.S. policy dealing with the current

nuclear issue on the Korean Peninsula. Robert Gallucci, Assistant

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Secretary of State, was asked to chair the group.

04/20/94 -- The Administration announced that "Team Spirit 94"

will be deferred until later this year. Secretary of Defense

William Perry reportedly said that the decision is meant to avoid

provoking North Korea while U.S. and South Korean diplomats are

trying to persuade the North to allow full international

inspections.

04/21/94 -- Defense Secretary William Perry told journalists that

North Korea may be ready within weeks to remove enough plutonium

from its nuclear reactor to build four or five nuclear bombs, but

there is no imminent danger of war. He also said, because the

defueling of the reactor would give North Korea an opportunity to

expand its supply of plutonium, it is critical for the IAEA

inspectors to monitor the process.

04/22/94 -- Defense Secretary William Perry said that the

Administration will seek to impose U.N. sanctions, or some form

of multinational sanctions, against North Korea in the following

month, if the country fails to allow a full IAEA inspection of

its planned defueling process.

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05/03/94 --President Clinton publicly offered "a hand of

friendship" to North Korea if it honors a pledge not to develop

nuclear weapons. In a National Press Club speech. Defense

Secretary William Perry said that North Korea

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has two choices: continue the nuclear program and face the

consequences, possibly including war, or drop it and accept

economic aid and normal relations with the United States and its

allies. Assistant Secretary of State Robert Gallucci said in

remarks to foreign reporters that the Administration wants a

"diplomatic solution," and he said he was "reluctant to go very

far down a road that presumes" negotiation will fail.

05/05/94 -- Assistant Secretary of State Robert Gallucci said: "I

do not have confidence that we can resolve this issue through

negotiations." Nevertheless, he said that only by pursuing

diplomacy to its logical conclusion will the United States have a

chance of later persuading China and its allies to support

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sanctions against North Korea.

05/20/94 -- The Administration decided to accept North Korea's

demand for new high-level talks after being informed by the IAEA

that North Korea has not diverted any of the fuel it recently

removed from its reactor. Secretary of Defense William Perry said

that although North Korea began removing the fuel rods over IAEA

objections, that "does not mean that the spent fuel is being

diverted for weapons purposes." No announcement was made about

the timing of the new negotiations following a White House

meeting on North Korea attended by Secretary of State Warren

Christopher, Secretary of Defense William Perry and several other

senior Administration officials.

06/01/94 -- White House officials stated that the Administration

is leaning toward seeking gradual economic sanctions on North

Korea rather than an immediate trade embargo, because of the

difficulty in getting China to agree to punish North Korea over

its nuclear weapons program.

06/02/94 -- The Clinton Administration called for international

economic sanctions against North Korea after IAEA inspectors said

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that North Korea had destroyed evidence of whether it had

diverted material for a nuclear bomb. President Clinton said,

"the United States and the world community have worked with North

Korea on this issue for five years now, and I believe, therefore,

the question of sanctions has to be at least taken up in the

United Nations Security Council and discussed."

06/03/94 -- The Clinton Administration rejected North Korea's

call for immediate talks on their nuclear dispute. The

Administration stated it will pursue United Nations worldwide

economic sanctions against North Korea following an IAEA report

that it can't determine if Pyongyang may have diverted spent fuel

for nuclear weapons. A White House statement said that President

Clinton telephoned Russian President Boris Yeltsin and South

Korean President Kim Young Sam, who agreed that the U.N. Security

Council should be asked to consider economic sanctions against

North Korea.

06/04/94 -- At a news conference in England, President Clinton

said that North Korea could still take action to avoid economic

sanctions. The President said: "Clearly, any sanctions are not an

act of war and should not be seen

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as such. All we want them to do is keep their word". He also

said, "I do not want a lot of saber rattling over this, or war

talk." The remarks came a day after North Korea stated that it

would regard sanctions as a declaration of war.

06/05/94 -- The Clinton Administration said it might seek to

organize international trade sanctions against North Korea even

if such action failed to win U.N. support. Secretary of Defense

William Perry confirmed the United States had built up its troops

in South Korea although he said there was "no immediate danger of

military confrontation".

06/09/94 -- The Clinton Administration ran into obstacles in

efforts to build an anti-North Korea coalition with Japan and

China. Robert Gallucci, Assistant Secretary of State, told a

House Foreign Affairs subcommittee that the Administration hoped

to come to an agreement in the next few days. The IAEA Board

passed a resolution calling for immediate North Korean

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cooperation by providing access to all safeguards-related

information and locations, and suspending non-medical IAEA

assistance to the North. Meanwhile, former President Carter

announced his private visit to Pyongyang.

06/11/94 -- Senior Clinton Administration officials agreed on a

plan that would put off strict economic sanctions while

proceeding with lesser measures intended to deepen North Korea's

diplomatic isolation. The plan was intended to deter North Korea

from taking further steps to make nuclear weapons.

06/13/94 -- North Korea again said it would withdraw from the

NPT. Administration officials immediately issued warning

statements. Robert Gallucci said that "if the North Koreans begin

to take steps which further exacerbate the situation... our

proposal for the structuring of the [U.N.] resolution might have

to change as well. It would be a very serious and extremely

unfortunate development."

06/14/94 -- The Clinton Administration announced its decision to

seek a voluntary embargo on North Korean arms purchases and sales

as part of its initial set of sanctions. Michael McCurry, a State

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Department spokesman, said the Administration intends to proceed

with its "phased-in approach" on economic sanctions.

06/16/94 -- The Clinton Administration said that North Korea may

have taken a half-step back from confrontation by promising to

cooperate with international monitoring of its nuclear program.

06/17/94 -- President Clinton said that the United States would

resume talks if conciliatory signals from Pyongyang meant it was

now ready to freeze its nuclear program. This announcement came

after former President Jimmy Carter issued a statement that North

Korea had agreed to allow IAEA

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inspectors to remain at its nuclear installations and freeze

further development of the facilities during U.S.-North Korean

negotiations.

06/21/94 -- The Clinton Administration sent a letter to North

Korea proposing to resume high-level talks and offering to

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suspend its push for economic sanctions once talks are under way.

06/22/94 -- President Clinton said that he was now satisfied that

North Korea is willing to freeze its nuclear program temporarily,

and he agreed to open comprehensive talks between the two nations

next month in Geneva.

07/09/94 -- North Korean radio reported that the nation's

82-year-old leader Kim Il Sung had died on Friday, July 8, of an

apparent heart attack. The announcement came just a few hours

after his government opened talks with the United States in

Geneva. White House officials said that they were unsure how the

death of Kim Il Sung would affect the Administration's North

Korean policy. In Italy for an economic summit, President Clinton

made the following statement: "On behalf of the people of the

United States, I extend sincere condolences to the people of

North Korea on the death of President Kim Il Sung. We appreciate

his leadership in resuming the talks between our governments. We

hope they will continue as appropriate.'

07/21/94 -- North Korea announced that it has agreed to resume

high-level talks with the United States on August 5 in Geneva.

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08/05/94 -- The United States and North Korea met in Geneva to

resume high-level negotiations interrupted by the death of

President Kim Il Sung one month ago. After eight hours of talks,

Robert Gallucci, the chief U.S. negotiator, said there was common

ground in some areas. But no agreement was reached.

08/10/94 -- Assistant Secretary Robert Gallucci, head of the U.S.

delegation, said: 'We are working to capture in writing the level

and areas of agreement...recognizing that there are other quite

important areas in which we still do not have an agreement with

North Korea."

08/12/94 -- The United States and North Korea signed an "Agreed

Statement." Assistant Secretary of State Robert Gallucci said the

exact timing of the implementation of the agreement remained

unresolved. He also said that "there will be no ultimate

settlement... until the question of the past, as it is sometimes

known. is settled."

09/01/94 -- The Clinton Administration announced that it agreed

to hold two sets of talks with North Korea on September 10 to

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discuss establishing liaison offices in each other's capitals.

White House Press Secretary Dee Dee Myers said that it should not

be viewed as a step toward diplomatic ties. She added that the

Administration "would be willing to discuss ways

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to improve economic and political relations, but only in the

context of the broader nuclear question."

09/07/94 -- Secretary of State Warren Christopher said that the

United States "cannot finally resolve the nuclear issue until and

unless the North resumes its dialogue with South Korea." He said

that a formal treaty with North Korea is "something far down the

road."

09/09/94 -- Assistant Secretary of State Robert Gallucci

delivered a warning to North Korea that only unhindered

international inspection of its nuclear installations can lead to

improved relations with the United States. He said that the

United States has "no flexibility with the principle of special

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inspections." Referring to the two simultaneous meetings in

Berlin and in Pyongyang, he said that they "are not to make

policy but to exchange views in order to better move ahead."

09/09/94 -- During a meeting with South Korea's foreign minister,

President Clinton reportedly reaffirmed the U.S. commitment to

defend South Korea and said that Seoul's views would be taken

into account in U.S. negotiations with the North.

09/09/94 -- On the eve of two-track negotiations with North Korea

in Berlin and Pyongyang, Assistant Secretary of State Robert

Gallucci said that "we have no flexibility with the principle of

special inspections.'

09/23/94 -- During resumed negotiations in Geneva between the

U.S. and North Korean senior-level officials, Assistant Secretary

of State Robert Gallucci publicly called new North Korean

demands, including a request for $2 billion in financial support,

"ludicrous," noting that they sharply contradict what was agreed

to by both parties on August 12, 1994.

10/02/94 -- The Washington Post reported that in the face of

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North Korea's refusal to accept inspections of two suspected

nuclear waste sites, chief U.S. negotiator Robert Gallucci

assured North Korea's Vice Foreign Minister that the United

States "has some flexibility with respect to timing" of the

inspections, but that at a minimum inspections would have to take

place before the delivery of LWR components.

10/17/94 -- Chief U.S. negotiator Robert Gallucci confirmed from

Geneva that an accord had been reached subject to approval by

both governments, and said that if it gained final approval, the

agreement would address all U.S. concerns "about the problems of

the past, present and future."

10/18/94 -- President Clinton deemed the accord with North Korea

"good for the United States, good for our allies, and good for

the safety of the entire world." He called it "a crucial step

toward drawing North Korea into the global community."

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10/19/94 -- Following the October 17 initialing of the accord,

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chief U.S. negotiator Robert Gallucci said of the agreement,

"Maybe it will produce trust, but its not based on trust."

10/20/94 -- One day before the issuance of a new U.S.-North

Korean agreement on the nuclear issue, President Clinton sent a

letter to North Korean leader Kim Jong-il promising to use the

"full powers" of his office to facilitate the provision of

light-water nuclear reactors and interim energy resources to

North Korea. Clinton asserted that he would act unilaterally if

necessary to ensure these "subject to the approval of the U.S.

Congress."

10/21/94 -- At a signing ceremony at the North Korean mission at

Geneva Ambassador-at-Large Robert Gallucci was quoted as saying

that the -agreement only provides "the prospect of a solution" to

the problem of North Korea's nuclear weapons potential, and that

"There is still a long road ahead of us."

10/21/94 -- Secretary of Defense William Perry reportedly sought

to calm South Korean concerns about the U.S.-North Korean accord

by saying that the United States would not lower the currently

high state of readiness of its forces in South Korea until

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North-South relations improved.

10/25/94 -- At a State Department Press Briefing,

Ambassador-at-Large Robert Gallucci said of the agreement with

North Korea, "It is certainly our hope that it will build trust,

but it is an agreement that is verified by the IAEA in the first

instance, and we're very comfortable with it and believe it does

meet our security interests and those of the other countries in

the region."

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