Meeting With South Korean Minister of Foreign Affairs and Trade Song Min-Soon

Secretary Condoleezza Rice
Remarks to the press following meeting
Washington, DC
January 5, 2007

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(1:35 p.m. EST)

SECRETARY RICE: Good afternoon. I would like to welcome Foreign Minister Song. Min-Soon, it's very good to have you here. We have had a very good and extensive discussion of many global and regional issues. I think it is fair to say that we have few better friends and stronger relations around the world than with the Republic of Korea where we maintain a strong political relationship, a strong economic relationship and a strong defense relationship which contributes greatly I think to peace and security in the Asia Pacific region.

We have also had an opportunity to talk about the shared values that really are the pillar on which this relationship is built. And in particular I would like to thank Minister Song and the Korean people for the commitment that South Korea is making to democracy and to the forward march of freedom of the Iraqi people with the deployment of South Korean forces there. And we of course, talked about events in Iraq. We've also, of course, had a discussion of regional issues, our own defense relationship. We've talked about the six-party talks and about the importance of a favorable North Korean response to proposals that were made during that talk. It is obviously very important for the North Koreans to live up to the obligations that they undertook in the September 19, 2005 agreement for the verifiable denuclearization of the Korean Peninsula.

We've talked also about our economic relationships, our desire to move forward with an FTA. So all in all, we've had a very good talk and thank you very much for coming. I want to -- I should say that I'm welcoming you for the first time as foreign minister, although we have talked many times when you were national security advisor. So congratulations also on your appointment to your new post.

FOREIGN MINISTER SONG: Well, thank you, Secretary Rice, for a warm welcome. As Secretary mentioned, we discussed a variety of issues, our common interests, starting from Korean Peninsula and over to Middle East and the trade issues and others. We just assessed that the ROK-U.S. alliance is developing into a form suitable for our future common needs and desire and this security relation is developed, transforming itself into a more robust and resilient shape. We have been talking about restructuring the forces, relocation of U.S. forces, moving as planned with some adjustments. And we talked about this North Korean nuclear issue. We assess that the last six round -- last six-party talks in Beijing laid the groundwork for our next round of talks in which we see, we hope, some progress as Secretary mentioned. It is North Korea's turn to come back to us with a positive and realistic response to the proposals tabled in Beijing at the last rounds, which it was made in close coordination between Seoul and Washington.

We -- Secretary Rice and I agreed that we are prepared to take proactive and forthcoming measures in case North Korea comes to us with some realistic response to the proposals made last month. And we also agreed to encourage the others of the parties in the six-party talks to take a further constructive role in drawing an implementation plan of September 19th joint statement of six-party talks through which we can denuclearize Korean Peninsula and establish a peaceful regime on the Korean Peninsula. As well, we can move ahead for a regional security cooperation. With that shared vision, we -- Secretary Rice agreed to work further harder to achieve the goal.

And so we also talked about this free trade agreement in the negotiation now should reach a high-level goal, a sort of high-level of FTA so that we can have good, comprehensive trade instruments for our two countries. We also talked about the Visa Waiver Program and we have agreed on the roadmap how to reach Visa agreement in working level. And according to this roadmap, we hope we can reach the goal we are aiming at.

Well, once again, Secretary Rice, thank you very much for your warm welcome in our first meeting in this year and then I would like to extend my blessing for a Happy New Year for all of you. Thank you.

QUESTION: Foreign Minister, if I may, is North Korea making preparations for another nuclear test? When do you suppose the six-party talks will begin? Will they begin, whatever North Korea does, and how might a test affect the outcome of those talks?

FOREIGN MINISTER SONG: Well, first of all, we do not have any indication that that kind of test is imminent. Republic of Korea and the United States are in good cooperation to closely watch what's going on in these kind of activities in the North Korea.

SECRETARY RICE: And I would just say that obviously, we're in very close coordination. We don't see -- I'm not going to speak about intelligence information, but we don't see any change in the circumstances that we currently face. Obviously, there's a political issue here and I think the most important -- really, the most important assessment is the political assessment and the North Koreans would have to know that any such test would obviously further deepen their isolation. The last test, of course, got them a Chapter 7 resolution which was a 15-0 vote and fairly extensive sanctions. So I don't think that from the North Koreans' point of view this would seem to be a reasonable course, and obviously the reasonable course is to return to the six-party talks. And I think the answer, Barry, to when the six-party talks should reconvene is we'll continue to assess that among the participants and assess it with the Chinese. And when we think that there is some prospect of success, I think we'll be prepared to return and return quickly.

QUESTION: Thank you. My question is to both Secretary Rice and Minister Song. Obviously, the Banco Delta Asia issue seems to be the major stumbling block in the progress of the six-party talks. To your understanding, what is it exactly that North Korea wants the U.S. to do, being that it's a financial measure, a legal measure? What is it exactly that the U.S. can do to resolve this issue? What is your understanding that you can do to resolve that?

SECRETARY RICE: Well, thank you. I would not -- I don't think that the Banco Delta Asia is the major stumbling block in the six-party talks. The major stumbling block is the question of whether or not the North Koreans are, in fact, committed to denuclearization, as they signed onto on September 19th of 2005. That's the issue. The Banco Delta Asia issue, the financial measures, relates to a legal issue for the United States of illicit activities that the North has been engaged in, including the counterfeiting of our currency. And that just can't be accepted by any government.

And so we made an offer and the North Koreans have, in fact, taken up that offer to have on the parallel, on the margins of the six-party talks, to have a working group that the Treasury Department heads in which these issues can be addressed, in which information can be made known and in which, if there is to be a resolution, that could be pursued. But that is the proper channel in which to look at what is, from our point of view, a very serious legal matter. The denuclearization agreement is an agreement among six parties dating back to 2005, and that should be resolved on its own merits. But of course, as I said, there is a channel in which to address the Banco Delta Asia and we are fully prepared to address it within the context that it is a legal matter for the United States.

FOREIGN MINISTER SONG: Well, we welcome that the working level people, the experts on these banking matters, met in the margin of the six-party talks and also they are ready to continue the talks sometime late this month. We think that this BDA issue should be handled in parallel with the denuclearization talks. We had better not mix them. But in case North Korea is really poised to go ahead in this denuclearization process, not putting this BDA issue in front of the process, then they have to solve the problem within the context of the banking matters itself, not linked to the implementation of the joint statements in September 19, 2005. But in this regard we still encourage the North Koreans come along with some ideas how to convince the others that the suspected illicit activities will not be repeated or not continue in the years.

Well, on balance, we hope quick results of the talks between the experts on the banking matters.

QUESTION: Madame Secretary, we were told this morning that if North Korea were to conduct another test there would be severe consequences to the six-party process. What would those severe consequences be? Would you look for another resolution with tougher sanctions? And we were also told that there were some signs that the talks, the six-party talks, could resume even this month. Do you see any such signs?

SECRETARY RICE: Well, on the second matter, there is intensive discussion among the parties about the resumption of the six-party talks, because I don't want to leave the wrong impression about the last round. We did not make the progress that I think we would have liked and we believe that the North Koreans need to come in a more constructive spirit. But that does not mean that there were not very productive discussions that went on during that round that concluded in Beijing on the 22nd of December. I think that because of some of the groundwork that was laid there, if the North Koreans are prepared to demonstrate that they are, indeed, now prepared to come with a constructive response we could be back at six-party talks fairly soon. So I want to be clear that while we didn't achieve an outcome there that I think we all wanted, I don't think that by any means the round was without some productive effort and some productive discussions among the parties.

I am not going to speculate on what might happen if the North Koreans tested a nuclear weapon again. I think it doesn't -- it really doesn't help to speculate on such matters. I would just note that I don't think there's any doubt that it would deepen their isolation because the first test clearly deepened their isolation with a 15-0 vote on a very tough Chapter 7 resolution in the Security Council.

FOREIGN MINISTER SONG: Well, if I can add one more point on that. The North Korea has to know that nuclear weapon does not guarantee its security nor help in resolving its economic problems. They have to come back to the talks and denuclearize the Peninsula and get a wide opening for their country in the future.

QUESTION: My question is to Secretary Rice. Since last six-party talks in Beijing, have there been any responses from North Korea as long as you know? Just this morning the State Department announced that it expects that next round of six-party talks will resume some time this month. So on what grounds can you say that? Thank you.

SECRETARY RICE: Well, thank you. Look, I think it's very important that the parties be able to discuss matters without airing them in public. And I will say that we have been in very intensive discussions with our partners in the six-party talks. I know of no substantive response from the North Koreans but there are parties in the six-party talks who are talking to them and discussing it. And obviously what we want to do is to find a way to assess when it is time to go back to the six-party talks. And I think that one of the reasons that you're hearing some sense that we might be able to return sooner than later is that when you look at what happened in the last round of the talks, there actually was significant groundwork laid for potential outcomes that could be useful. I don't mean that we're going to resolve the North Korean nuclear problem in the next round, but there were some productive discussions among parties.

And because of those productive discussions, I think if there are signals that, in fact, the North is now ready to come back in a more constructive way, as Minister Song put it, recognizing that there's a BDA issue that is being addressed in a channel that is appropriate to discussing a banking issue, the North Koreans can understand that and are ready to come back in a constructive way, I do think that we could be back in talks fairly soon.

But I think we don't want to sign onto a specific date until we have properly prepared the ground for the next round of talks. Thank you very much. Thank you.

FOREIGN MINISTER SONG: Thank you.

SECRETARY RICE: Happy New Year, everyone.

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Released on January 5, 2007