Department of State a r- Tn 1 TELEGRAM SEGRE4B AN n750413 1025 PAGE 01 280819 I 67 ORIGIN INFO ISO-00 580-00 l026 DRAFTED BY e LEONARD APPROVED BY PM MR soonav MR 3 5 a HR MOFFAT 051409 2700152 NOV 75 FM SECSTATE NASHOC TO AHEMBASSY TOKYO AMEMBASSY SEOUL INFO AMEMBASSY PARIS 230819 E 0 116522 GDS KS JA FR SUBJECT JAPANESE EMBASSY APPROACH ON ROK NUCLEAR REPROCESSING FACILITY JAPANESE EMBASSY COUNSELOR DONOHAKI CALLED ON PM DEPUTY DIRECTOR GOODMY NOVEMBER 25 TO DIS- CUSS ROK NUCLEAR REPROCESSING FACILITY MEETING WAS AT REQUEST ROK COUNTRY AND SECOND SECRETARY YAHAZAKI ALSO ATTENDEDX 2 DONOWAKI SAID GOJ HAD LIMITED INFORMATION FROM PRESS AND OTHER SOURCES ABOUT PLANNED ROK ACQUISITION OF REPROCESSING FACILITY HE ASKED FOR BACKGROUND AND USG VIEWS TOHARD PROJECT a 3 GOODBY ON FOLLOWING TALKING POINTS IN RESPONSE TO PAGE 02 STATE 280819 m- 57 run My 14 0 113m '999 @909 @9889 @9998 899 999 '99 999 9999999 9989888 9999999 999999999 999 999 999 993 @96 @999 @909 QEQQ @889 @999 889 999 889 @99 989 999 989 @999 @9999 e9eae see 999 sea see 998 9969999 sseesse @999 see @999 @969 @@09 e@@9 @99 639 99388699 999 999 @99 @99 GEGRET A SUBJECT OF ROK REPROCESSING FACILITY IS EXTREMELY SENSITIVE AND WE ASK GOJ TO TREAT IT CONFIDENTIALLY AND WITH SAME DEGREE OF PROTECTION AS THAT ACCORDED TO NUCLEAR SUPPLIERS DISCUSSIONS B AS JAPAN IS AWARE ROKG IS NEGOTIATING TO CHASE FROM FRANCE A PILOT NUCLEAR-REPROCESSING FACILITY C US POSITION ON QUESTION OF TRANSFER OF NUCLEAR REPROCESSING TECHNOLOGY AND EQUIPMENT IS WELL KNOWN SECRETARY IN HIS SEPTEMBER 22 SPEECH TO UNGA EXPRESSED OUR CONCERN OVER SPREAD OF NUCLEAR REPROCESSING FACILI- TIES UNDER NATIONAL CONTROL AND OUR STRONG DESIRE TO ENCOURAGE MULTINATIONAL REGIONAL REPROCESSING INSTEAD NE WELCOME FACT THAT THIS POSITION HAS BEEN REFLECTED IN THE NUCLEAR EXPORT POLICY GUIDELINES RECENTLY AGREED TO IN LONDON D RON HAS OF COURSE SIGNED AND RATIFIED DON- PROLIFERATION TREATY AND IN ADDITION THIS FACILITY OR ANY FACILITY OF THE SAME TYPE CONSTRUCTED IN KOREA WOULD BE SUBJECT TO FULL IAEA SAFEGUARDS IN ACCORD- ANCE WITH TRILATERAL AGREEMENT WITH FRANCE AND THE IAEA E ROK DESIRE TO OBTAIN A PILOT REPROCESSING FA- CILITY SHOULD BE SEEN AT LEAST PARTIALLY AGAINST GROUND OF ITS AMBITIOUS PEACEFUL NUCLEAR POWER PROGRAM AS AN EFFORT TO SOLVE ITS LONG-TERM ENERGY NEEDS ROK HAS EXPRESSED STRONG INTEREST IN PARTICIPATING IN A REGIONAL HULTINATIONAL NUCLEAR CENTER AS WELL AS READI- NESS TO LOCATE SUCH A SITE IN KOREA IT WISHES TO DEVELOP ITS OWN NATIONAL FUEL CYCLE TECHNOLOGY AS A STEP TOWARDS THIS ALSO TO HELP REDUCE FOREIGN EX- CHANGE COSTS OF ITS NUCLEAR POWER PROGRAM KOREANS HAVE DESCRIBED FRENCH FACILITY AS NECESSARY TO LEARN THE TECHNICAL SKILLS HHICH WOULD PERNIT ROK BOTH TO DEVELOP ITS NATIONAL PROGRAM-AND TO PARTICIPATE NORE-EFFECTIVELY IN A COMMERCIAL REGIONAL VENTURE E US HAS SERIOUS EEONOHIC AND TECHNICAL DOUBTS PAGE 03 STATE 280819 - SEEREF ABOUT KOREAN ACQUISITION OF FACILITY EVEN THE AME GRAN HOULD NOT JUSTIFY A NATI IN FACT OUR ECONOMIC ANALYSI NOT REALIZE FOREIGN EXCHANGE MOREOVER OUR ANALYSIS UNDERL A PILOT FACILITY FOR EVENTUAL JAPAN AND us HAVE BOTH EXPERI TECHNICAL AND ECONOMIC DIFFIC COMMERCIAL REPROCESSING OPERA O IN ADDITION KOREA IS A SENSITIVE AREA ALTHOUGH THI NOT A COMMERCIAL SCALE PLANT PLUTONIUM WHICH COULD BE PROD COULD BE SIGNIFICANT FOR REAP CONSTANTLY AND IF IAEA SAFEGU REASON IN THIS CONTEXT GO THAT PILOT FACILITY SAFEBUARDS H BECAUSE OF OUR BROAQ POLI FELT IT NECESSARY TO EXPRESS AND ROKG AND TO CONTINUE DISC I JAPAN SHOULD BE AWARE THA SCIOUS OF THE JAPANESE REPROC INDICATED ITS BELIEF THAT US FACILIT COUNTRIES IS DISCRIMINATORY WITH JAPAN IN - REGIONAL ALTERNATIVE J EMBASSY TOKYO IS CURRENTL THE POSSIBILITY OF SERIOUS BI MULTI-NATIONAL NUCLEAR CENTER TWO COUNTRIES COULD PLAY A MA HAS BEARING ON PROSPECTS FOR PROCESSING FACILITIES IN KORE NIZE INTEREST THAT SEVERAL ST PAGE 09 STATE 280819 HIS PILOT REPROCESSING ITIOUS NUCLEAR POWER PRO- ONAL REPROCESSING EFFORT INDICATES THAT ROK WOULD SAVINGS FROM SUCH AN EFFORT INES VIRTUAL IRRELEVANCE OF COMMERCIAL-SCALE ENDEAVORS ENCED THE EXTRAORDINARY ULTIES OF UNDERTAKING A TION ARTICULARLY POLITICALLY 5 IS SMALL PILOT FACILITY NEVERTHELESS AMOUNT OF UCED BY SUCH A FACILITY ONS PURPOSES IF FACILITY RAN ARDS WERE TERMINATED FOR ANY ODBY STRESSED THAT WE DO WOULD BE UNDER STRINGENT CY CONCERNS WE HAVE OUR CONCERN TO BOTH FRANCE USSIONS WITH THEM ROKG IS VERY CON- ESSING FACILITY AND HAS OPPOSITION TO SPREAD OF 155 IN KOREA AND OTHER THIS SUPPORTING A MULTINATIONAL PURSUING HITH GOJ LATERAL DISCUSSIONS OF A IN EAST ASIA IN WHICH OUR JOR ROLE THIS OBVIOUSLY CONTAINING NATIONAL RE- A AND ELSEWHERE WE RECOG- ATES HAVE IN ACOUIRING A REPROCESSING CAPABILITY BUT HAVE FELT THAT THIS SHOULD BE CHANNELED IN MUETINATIONAL FRAMEHORK TO SUPPORT NON- PROLIFERATION INTERESTS WHAT WE DISCUSS BILATERALLY WOULD OF COURSE COMPLEMENT COMPREHENSIVE ECONOMIC STUDY BEING CONDUCTED BY IAEA AND HE WELCOME - SUPPORT OF THAT EFFORT 3 IN FOLLOW-UP QUESTIONS DONOWAKI ASKED IF US HAD BEEN SURPRISED BY DEAL AND ASKED IF FRENCH SAFEGUARDS ARRANGEMENTS WERE SATISFACTORY NOTED THAT US DOES NOT EXPORT REPROCESSING GIVEN HISTORY OF ROK INTEREST IN REPROCESSING PLANT APPROACH TO FRANCE WAS THUS UNDERSTANDABLE AS FOR SAFEGUARDS GOODBY SAID FRENCH HAVE BEEN COOPERATIVE IN NUCLEAR MEETINGS AND TRILATERAL IAEA SAFEGUAROS WOULD APPLY TO FACILITY IF IT ESTABLISHED DONOWAKI ASKED IF ROK APPROACH TO FRANCE FOR FACILITY CAME AFTER FALL OF VIETNAM STRESSED THAT DIS- CUSSIONS ON REPROCESSING FACILITY BEGAN LONG BEFORE LLAPSE OF VIETNAM R DONONAKI SAID THAT IF THERE WAS REAL POSSIBILITY OF ROK DEVELOPING NUCLEAR WEAPONS THIS WOULD POSE SERIOUS PROBLEM FOR JAPAN HE ASKED HOW LONG US DPSCUSSIONS WITH ROK MIGHT CONTINUE GOODBY SAID DISCUSSIONS HAD BEEN UNDERWAY FOR SOME TIME AND THAT THEY WERE STILL UING HE SAID ROK INTEREST IN NATIONAL REPROCESSING PLANT POINTS UP NEED FOR SERIOUS DISCUSSIONS BETWEEN US AND JAPAN ON SUBJECT OF MULTINATIONAL REGIONAL PROCESSING CENTERS 5 COMMENT AS FAR AS DEPARTMENT AWARE THIS IS FIRST TIME JAPAN HAS APPROACHED yS ON PLANNED ROK FACILITY MEETING HAS LOW KEY AND HE ASSUME VISIT PROMPTED BY RECENT EDITORIALS IN NEW YORK TIMES AND WASHINGTON POST CRITICIZING FRENCH DEAL KISSINGER uh - 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