1 North Koreals quest tor a noclear weapons capability poses a serious challenge to the peace and stability not only of the Korean peninsula but also of Northeast Asia'ns a whole This will and only when the world has been assured that unacceptable North Korean nuclear activities have ceased Our policy goal remains a Korean peninsula free of nuclear weapons grade material and the means to produce them The best way to bring this about is by an agreement between North and South Korea 2 Both the ROKG and the USS should make use of all possible diplomatic means and international pressures to bring North Korea_to implement fully the provisions of the IAEA safeguards agreement declaring all nuclearvreiated materials and facilities and putting them under international inspection and also foregoing the reprocessing and enrichment of nuclear materials A 3 The 036 and ROKG ue ir 1 se consultations continue nuclear umbrella will' element of i S secur commitment to 6 The ROK should take the lead in discussing with North Korea security matters on the peninSula The US and other concerned countries may play a role in their own bilateral channels or in appropriate multilateral fore in coordination with the efforts of the PICK 7 North-South discussions should be used to address all aspects of peace and stability on the peninsula confidence building measures nonmaggression arrangements and the North Korean nuclear problem 8 The question of arriving at adequate assurances in the nuclear area may come up in the course of either announced or Secret talks between North and South Korea It is recognized that a possible outcome of such talks might be a declaration by the ROKG of non nuclear principles crafted in close coordination with the USG U 526 at 2 3 3m CR ww is Nu we f @e 5d 43 a 9 Apart from having all nuclear facilities under IAEA safeguards in order to achieve the objective of a Korean peninsula free of nuclear weapons grade material and the means to produce them the USS would be willing to lift economic sanctions and promote the end of the diplomatic isolation of the DPRK 10 The ROKG and the USG should encourage Japan to continue to use its influence in the normalization talks to induce North Korea to agree to full implementation of the IAEA safeguards agreement plus steps that would assure a Korean peninsula free of nuclear weapons grade material and the use economic and diplomatic leverage wherever possible to achieve this Japan should also be encouraged to keep its basic policy toward North Korea in step with the 0 5 and ROK Economic assistance should not be rendered to North Korea until the issue of North Korea's nuclear program including the reprocessing problem has been resolved '5 mm mm 2 og 201' Fan cm                     National Security Archive    Suite 701  Gelman Library  The George Washington University    2130 H Street  NW  Washington  D C  20037    Phone  202 994‐7000  Fax  202 994‐7005  nsarchiv@gwu edu