SEOUL - PRESS BULLETIN; JANUARY 26, 2010

UNCLAS SECTION 01 OF 03 SEOUL 000094 SIPDIS E.O. 12958: N/A TAGS: PREL PGOV MARR ECON KPAO KS US SUBJECT: SEOUL - PRESS BULLETIN; JANUARY 26, 2010 TOP HEADLINES -------------- Chosun Ilbo, All TVs Three Coordinated Bomb Attacks Hit Hotels in Baghdad JoongAng Ilbo Local SAT Centers to Remain Open; Despite Leak Scandals, Students Can Take Tests as Scheduled Dong-a Ilbo ROK to Foster Enterprises Bigger than Small and Mid-sized Companies but Smaller than Conglomerates Hankook Ilbo "Era of NyLon (New York and London)" Waning; New York and London, Leading Global Financial Centers for Decades, Now under Strong Financial Regulations Hankyoreh Shinmun Police Summon 69 Leaders of Korean Teachers and Education Workers' Union and National Civil Servants Union for Joining Certain Political Party Segye Ilbo, Seoul Shinmun ROK, India Forge "Strategic Partnership" DOMESTIC DEVELOPMENTS -------------- The Unification Ministry yesterday proposed holding talks on resuming cross-border tours with North Korea on Feb. 8. Earlier, the North proposed a meeting from Jan. 26-27 but Seoul reset the date. (All) INTERNATIONAL NEWS -------------- According to a senior ROKG official, the ROK and the U.S. are fine-tuning details of a "comprehensive package deal" for denuclearizing North Korea on the premise that the North returns to the Six-Party Talks. The official also said that talks on a peace treaty (called for by the North) could commence at any time if such talks would help to denuclearize the North. (Segye) MEDIA ANALYSIS -------------- -N. Korea -------------- Conservative Segye Ilbo carried an inside-page report quoting a senior ROKG official as saying yesterday that the ROK and the U.S. are fine-tuning details of a "comprehensive package deal" for denuclearizing North Korea on the premise that the North returns to the Six-Party Talks. The official was further quoted as stressing that there is no change in the (ROKG) position that denuclearization talks should come first but that talks on a peace treaty (called for by the North),if they would help denuclearize the North, could commence at any time. -U.S.-Japan Relations -------------- Right-of-center JoongAng Ilbo carried an op-ed entitled "It is Time for the U.S. to Let Go of Japan's Hand." It said: "Japanese Prime Minister Yukio Hatoyama vows to come up with a solution (to the Futenma relocation issue) by the end of May, but the recent election of a mayor who campaigned for the relocation (of U.S. Marine Corps Air Station Futenma) to a site outside Okinawa is likely to make his search for an alternative relocation site more difficult. ... The U.S. needs to seriously consider letting go of Japan's hand. The time has come for the U.S. to allow Japan a 'free hand' so that the SEOUL 00000094 002 OF 003 country can have more room to maneuver as a 'normal state,' while maintaining its alliance -in whatever form - with Japan. ... It is also time for the U.S. to consider changing its role from a protector of Japan to its partner." OPINIONS/EDITORIALS IT IS TIME FOR THE U.S. TO LET GO OF JAPAN'S HAND (JoongAng Ilbo, January 26, Page 33; Excerpts) By Editorial writer Bae Myung-bok Japanese Prime Minister Yukio Hatoyama vows to come up with a solution (to the Futenma relocation issue) by the end of May, but the recent election of a mayor who campaigned for the relocation (of U.S. Marine Corps Air Station Futenma) to a site outside Okinawa is likely to make his search for an alternative relocation site more difficult. Opinions are divided in the U.S. on conflicts over the relocation of the Futenma base. Conservatives see this as an issue which the U.S. should not capitulate on. Victor Cha, a professor at Georgetown University said that Prime Minister Hatoyama should not repeat the same mistake made by former ROK President Roh Moo-hyun, who challenged key U.S. interests with a negative attitude toward the U.S. However, Joseph Nye, a professor at Harvard University believes that the U.S. should not ruin the five-decade-old U.S.-Japan alliance just because of the Futenma issue. ..... The U.S. needs to seriously consider letting go of Japan's hand. The time has come for the U.S. to allow Japan a 'free hand' so that the country can have more room to maneuver as a 'normal state,' while maintaining its alliance -in whatever form - with Japan. China and Japan cannot become allies due to differences in (national) identity and values. ..... It is also time for the U.S. to consider changing its role from a protector of Japan to its partner. Features ROK, U.S. FINE-TUNING DETAILS OF COMPREHENSIVE PACKAGE DEAL FOR NORTH KOREA (Segye Ilbo, January 26, 2010, Page 2) By Reporter Lee Woo-seung An ROKG high-ranking official: "(The ROK and the U.S.) are also considering discussing a peace treaty in parallel" The ROK and the U.S. are fine-tuning the details of a "comprehensive package deal" for denuclearizing North Korea on the premise that the North returns to the Six-Party Talks. In particular, believing that the discussion of a peace treaty is essential to resolving the North Korean nuclear issue, they consider discussing a peace treaty in parallel with progress on the discussion of denuclearization. An ROKG high-ranking official said on January 25, "The ROK and the U.S. have been discussing an idea for the Six-Party Talks for several months," adding, "It was meant to coordinate the terms of the grand bargain, and the ROK already had deep discussions with the U.S., Japan, and Russia, and it will also continue to have talks with China (on this matter)." In this regard, Wi Sung-lac, Special Representative for Korean Peninsula Peace and Security Affairs, visited Washington on January 20 and had discussions with key U.S. officials, including State Department officials, before returning home on January 24. The ROKG official said that there is no change in the (ROKG) position that denuclearization talks should come before any discussions on a peace treaty, but he stressed that talks on a peace treaty (called for by the North),if they would help denuclearize the North, could commence at any time. SEOUL 00000094 003 OF 003 It was reported that, in developing the comprehensive package, the ROKG and the USG are discussing how, when, and what to negotiate with North Korea so as to resolve issues such as the denuclearization of the Korean Peninsula, the signing of a peace treaty, and economic aid to North Korea all at once. In this regard, the ROK and the U.S. reportedly understand that North Korea's recent tough gestures are designed to demand the lifting of sanctions and the discussion of a peace treaty as preconditions for Pyongyang's return to the Six-Party Talks, and both nations see eye-to-eye on how to respond to (North Korea's actions). The official emphasized, "There will be no easing of sanctions for the North's return to the Six-Party Talks." STEPHENS