RL33590
North Korea's Nuclear Weapons Development and Diplomacy
January 21, 2008

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Summary

The six parties to the North Korean nuclear negotiations concluded an agreement on February 13, 2007, that specifies two Phases of implementation. The phases provided for a freeze of North Korean nuclear installations at the Yongbyon site, a subsequent disablement of all North Korean nuclear facilities, and a North Korean declaration of "all nuclear programs." The Agreement also establishes working groups of the six parties on subjects such as U.S.-North Korean normalization of relations, denuclearization of the Korean peninsula, energy and economic cooperation, Japan-North Korea normalization of relations, and a North Korean peace and security mechanism. The Six Party Agreement was negotiated following a North Korean nuclear test in October 2006, the imposition of sanctions against North Korea by the United Nations Security Council, and mounting congressional criticism of Administration policy. The nuclear test signaled progress by North Korean in reprocessing plutonium since 2002 for six to eight atomic bombs. The Agreement also came about because of changes in Bush Administration policy. Tactically, the Administration ended its unwillingness to negotiate bilaterally with North Korea and actively sought bilateral meetings; the details of the Agreement were negotiated at these meetings. The implementation of the Initial Phase of the Agreement, which had a 60-day deadline, was delayed until the Bush Administration acceded to North Korean demands for access to foreign banks to deposit $25 million from frozen accounts at the Banco Delta in Macau -- the object of U.S. financial sanctions since September 2005 because of Banco Delta's involvement in North Korean criminal counterfeiting. Following the release of the funds, North Korea shut down its operational nuclear reactor and plutonium reprocessing plant. Negotiations between North Korean and U.S. diplomats produced a deal for implementation of Phase Two of the February 2007 agreement that was alluded to in a six party statement of October 3, 2007. Phase Two was to be completed by December 31, 2007. North Korea would allow disablement of the plutonium facilities at Yongbyon and would provide a declaration of its nuclear programs. The Bush Administration would reciprocate by removing North Korea from the U.S. list of state sponsors of terrorism and from the sanctions under the U.S. Trading with the Enemy Act. The December 31 deadline, however, was not met. Substantial progress was made on disablement, but North Korea's declaration of its nuclear programs fell short of the Bush Administration's expectations of the information that needed to be disclosed. This report will be updated periodically.

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