AMBASSADOR GOLDBERG'S INTER-AGENCY MEETING WITH

S E C R E T SECTION 01 OF 02 TOKYO 001995

SIPDIS

EAP/S/NKP-GOLDBERG
DOD FOR OSD/APSA-GREGSON/MITCHELL/SCHIFFER/HILL/HAMM
PACOM FOR J00/J01/J5
USFJ FOR J00/J01/J5

E.O. 12958: DECL: 08/25/2019
TAGS: PREL JA KN PARM PREL KNSD UNSC
SUBJECT: AMBASSADOR GOLDBERG'S INTER-AGENCY MEETING WITH
JAPANESE OFFICIALS ON UNSCR 1874

TOKYO 00001995 001.2 OF 002


Classified By: Deputy Chief of Mission James P. Zumwalt, reasons 1.4 (b
and d)


1. (S) SUMMARY: On August 25, GOJ officials led by MOFA Asia
DG Akitaka Saiki and Ambassador Philip Goldberg discussed
UNSCR 1874 implementation and issues related to the DPRK's
nuclear and missile programs. JapaQe officials said they
are happy with the current level of coordination between the
U.S. and Japan, and emphasized the need for continued close
trilateral coordination among the U.S., Japan and the ROK.
MOFA officials characterized recent DPRK initiatives to the
U.S. and the ROK as mere "smile diplomacy" designed to show
the world that Kim Jong-il is firmly in power. Japan's
position remains unchanged--that the DPRK should "feel the
pain" of its past provocative actions. The U.S. and Japan
should not rush to Pyongyang in the wake of recent DPRK
overtures, but should ascertain through verifiable measures
whether or not the DPRK is "sincere." MOFA officials are
concerned that a resumption of suspended tourism programs to
the DPRK would give it financial "breathing room." They
shared with Ambassador Goldberg a list of measures taken by
the GOJ against North Korea. END SUMMARY


2. (C) UNSCR 1874 Implementation Coordinator Ambassador
Philip Goldberg met August 25 for UNSCR 1874 implementation
discussions with MOFA Asia Bureau Director General Akitaka
Saiki, who was accompanied by Northeast Asia Division
Director Junji Shimada, Non-Proliferation, Science and
Nuclear Energy Division Director Tsutomu Koizumi, Senior
Foreign Policy Coordinator Masashi Nakagome, National
Security Policy Division Acting Director Seiichiro Taguchi,
North America Division Principal Deputy Director Yukio Saita,
Cabinet Secretariat Counselor Kanji Yamaouchi, Ministry of
Finance Research Division Director Tsuyoshi Kurihara and a
representative from the FSA. Ambassador Goldberg was
accompanied by NSC Director for Nonproliferation Charles
Lutes, Treasury Department Assistant Director for Sanctions
and Targeted Measures Jennifer Fowler, Defense Department
Senior Assistant for Transnational Threats Donald Leathem,
Executive Officer to the North Korean Mission Manager, Office
of the Director for National Intelligence Mauricio de la
Cruz, Embassy Political Section Acting Chief Marc Knapper and
Embassy notetaker.

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MOFA's View: DPRK "Smile Diplomacy"
--------------


3. (S) Saiki said that the GOJ is "very comfortable" with the
level of consultation between the U.S. and Japan on DPRK
issues. Noting that the DPRK has reached out to the U.S. and
the ROK, but not to Japan, Saiki characterized recent DPRK
actions such as releasing the two U.S. journalists and
sending a delegation to attend the funeral of former South
Korean President Kim Dae Jung as "smile diplomacy." MOFA
officials shared with Ambassador Goldberg a list of
independent measures (notal: emailed septel),as well as
measures related to UNSCRs 1695, 1718 and 1874, taken by the
GOJ against North Korea. Saiki said that Japan's position
remains unchanged--measures put in place by UNSCR 1874 should
be reinforced and the U.S. and Japan should make the DPRK
"feel the pain" of its provocative actions. The DPRK needs
to know that its provocative actions are not withoQost, he
said, adding that close trilateral cooperation among the
U.S., Japan and the ROK is very important as it will send a
strong message to the DPRK. Saiki said that the GOJ's view
is that the DPRK's peace initiative is nothing new, and is
merely an attempt to show the world that Kim Jong-il is in
control. The GOJ knows the DPRK's intentions and will not be
easily manipulated, he said. Japan and the U.S. need to
monitor the DPRK very carefully and ascertain whether or not
the DPRK is sincere, not "rush to Pyongyang." The GOJ has

TOKYO 00001995 002.2 OF 002


had no meaningful bilateral contact with the DPRK since
August 2008, but would welcome a bilateral dialogue between
the DPRK and the U.S. within the framework of the Six Party
Talks, he said.

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Ramifications of Resumption of Tourism at Kaesong and
Mt.Kumgang
-------------- --------------


4. (S) Saiki said that although he has not yet coordinated
the official GOJ response to the possible resumption of
suspended tourism programs to Kaesong and Mt. Kumgang, he is
worried that the DPRK will divert foreign currency earnings
to prohibited activities, giving the regime financial
"breathing space." Ambassador Goldberg shared Saiki's
concerns and noted the possible corrosive effect on UNSCR
1874, but said an initial assessment indicates that tourism
activities are not sanctionable under UNSCR 1874 as they are
not tied directly to prohibited programs. In this, certain
countries' continuing to allow remittances to North Korea was
also not sanctionable, although those monies might be
fungible as well, said Ambassador Goldberg. (Note: Saiki was
visibly uncomfortable with the idea of a "green light" for
North-South tourism and industrial projects, and had no reply
to the remittances comment. He said he will not comment
publicly on the North-South projects for the time being
because he "feels the U.S. and Japan should not reveal any
difference in viewpoint." Ambassador Goldberg made clear
that no green light existed, simply an understanding that the
activities being discussed likely fall outside UNSCR 1874.
End Note.)

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Cargo Inspections and Import/Export
--------------


5. (S) Japan has fully implemented UNSCR 1874 import/export
provisions, Saiki said. Regarding cargo inspection, Saiki
said that the 1718 Committee needs to define more clearly the
list of luxury goods subject to inspection. In the meantime,
Japan will use it's own list of luxury goods, which Saiki
presented to Ambassador Goldberg. Saiki also said that the
1718 Committee needs to address dual use goods, and that the
provision allowing the export of small arms to the DPRK
should be changed. The export of all arms to the DPRK should
be banned, he said. Ambassador Goldberg noted his
understanding that countries will proceed with their
"national lists" of luxury goods until the UNSC 1718
Committee codifies a master list.

--------------
China, EU, Switzerland and the Middle East
--------------


6. (S) Saiki said that Japan expects China to play a more
influential role with the DPRK, but since China is not
transparent with its actions, Japan questions whether or not
China is doing enough. Ambassador Goldberg said that China
has given very high level rhetorical support to UNSCR 1874
and there are indications that China is being more vigilant
on illicit financial transactions. Saiki also asked about
efforts to enforce UNSCR 1874 in the Middle East, EU and
Switzerland. Ambassador Goldberg noted that there are no
real problems with enforcement in the EU, and that Swiss
banking authorities should be well aware of the risks of
maintaining DPRK accounts. Ambassador Goldberg said that he
will follow up on that point with the Swiss Ambassador upon
his return to Washington.


7. Ambassador Goldberg has cleared this cable.
ROOS