YONHAP NEWS

(News Focus) N. Korea sets pace by calling for peace treaty with U.S., end to sanctions

SEOUL, Jan. 11 (Yonhap) -- The proposal by North Korea to hold talks to formally end the Korean War reflects the intransigent country's determination to discuss peace treaty first before any international talks over its nuclear weapons programs, analysts said Monday.

   The move also suggests Pyongyang is pushing forward with the plans it laid out in its New Year's message to improve relations with the outside world and pave the way for its economic revival, they said.

   North Korea on Monday proposed holding talks on replacing the Korean War armistice with a peace treaty in a statement by its foreign ministry, saying the agenda can be discussed at an independent meeting of "armistice signatories" or even in the six-party nuclear talks.

   "The North is pushing ahead with its first priority, which is to end what it thinks is U.S. intent -- that is, to topple its regime," said Paik Hak-soon, chief North Korea specialist at the Sejong Institute, a think tank south of Seoul.

   "To North Korea, that's an issue more urgent than its denuclearization," he said, adding that the North believes the hostility remains because Pyongyang and Washington are still in a truce, not peace.

   However, North Korea did not clarify whether or not it could talk to South Korea in the framework of six-party talks on the possible peace treaty. In the past, North Korea would not acknowledge South Korea as one of the countries directly involved in the armistice agreement. But a South Korean government official said Seoul is directly involved in the armistice agreement, adding that North Korea may be willing to talk with South Korea and other countries on a peace treaty within the framework of the six-party talks.

   So far, the reaction of South Korean government is not very positive. A government official said, "We cannot accept the North Korea's position that it wants to discuss the peace treaty first (before denuclearization)." He added that if a peace treaty is discussed in the six-party talks or a separate forum, then the issue of denuclearization may be set aside until the peace treaty talks show some progress.
The communist country, which drew U.S.-led U.N. punishment for its nuclear and missile testing over the last several years, also demanded that sanctions be lifted before it returns to the denuclearization talks.

   "The North is setting the agenda for this year's negotiations, and believes its proposal can help drive the setting in a direction more favorable to it," said Ryoo Khil-jae, a professor at the University of North Korean Studies in Seoul.

   In Monday's statement, North Korea dangled hope for a quick resolution of the nuclear problem by saying that a peace treaty could hasten progress in its denuclearization.

   "The conclusion of the peace treaty will help terminate the hostile relations between the DPRK and the U.S. and positively promote the denuclearization of the Korean Peninsula at a rapid tempo," it said, referring to its official name, the Democratic People's Republic of Korea.

   "The removal of the barrier of such discrimination and distrust as sanctions may soon lead to the opening of the six-party talks" that include the U.S., the two Koreas, China, Japan and Russia, it said.

   The statement came after a U.S. special envoy flew to Pyongyang last month with a letter from President Barack Obama. Stephen Bosworth said the two countries agreed on a "common understanding" on the need to resume the six-nation talks, but added the North has yet to give a date for the resumption.

   "The foreign ministry statement is the most authoritative comment that can officially come out of Pyongyang when it comes to diplomatic matters," Paik said. "It would not be wrong to say that today's statement was a response to Obama's letter."

   Ryu said the North's recent moves calling for better ties with the U.S. are related to its view that its economy cannot improve unless the U.S. ends its sanctions on it.

   With the goal of achieving a "strong, great and prosperous nation" by 2012, the North bolstered its campaign this year to raise the standard of living for its people after performing a major currency denomination last year.

   "Unless the diplomatic isolation is resolved, the economic isolation cannot be ended. The North understands its key goal of an economic rebound can't be attained without economic assistance from outside," Ryu said.

  (END)