Taiwan plans to invest in advanced arms as China flexes its muscles

A Taiwanese domestically-built Indigenous Defense Fighter (IDF) (also known as the AIDC F-CK-1 Ching-kuo) performs at Gangshan air force base in Kaohsiung, Taiwan August 7, 2017.

By Jess Macy Yu and Greg Torode

TAIPEI/HONG KONG (Reuters) – Taiwan’s ruling party plans to use a long-term increase in defense spending to pursue advanced weapons systems, government officials say, in what is widely seen as growing determination to forge a stronger deterrent against a Chinese attack.

The left-leaning Democratic Progressive Party (DPP), led by President Tsai Ing-wen, is working on detailed spending plans through 2025, two officials with direct knowledge of the matter told Reuters.

Tsai and her team have met repeatedly with military leaders in a push for new investment in training and equipment, one of the officials said. Immediate priorities include new missiles, drones and electronic warfare systems, fighter aircraft and ballistic missile defenses, according to a separate statement from the Ministry of National Defence sent to Reuters.

Although some arms would be domestically produced, such as an existing plan to locally build eight submarines, they say a longer-term Taiwanese drive for improved capabilities could mean fresh U.S. deals. Those requests could deepen tensions between Beijing and Washington.

China considers democratic Taiwan to be a wayward province and has never renounced the use of force to bring the island under its control.

The United States, Taiwan’s sole foreign supplier of arms, has for years called on Taipei to address a worsening military imbalance across the Taiwan Strait, which has recently seen heightened tensions amid military assertiveness by China. In the first week of 2018, China sailed an aircraft carrier and other military ships through the strait on a training mission.

“If there are three weapons systems that China’s high command really wants to keep out of Taiwan’s hands, it is submarines, fighter jets and ballistic missile defenses. Taipei is smartly investing in all three,” said Ian Easton, a U.S.-based research fellow at the Project 2049 Institute, which studies Asia security issues.

In October, Tsai signaled that defense spending would increase by at least 2 percent each year, with more possible based on the need for significant purchases.

By 2025, Taiwan’s annual defense spending is projected to increase by at least 20 percent – or NT$62.4 billion ($2.08 billion) – to NT$381.7 billion, the officials said, if the legislature approves the future budgets.

With economic growth “on track” for this year, Taiwan’s defense spending will “likely” exceed the baseline that the president has announced, one of the officials said.

“The Tsai administration is seeking to undo years of defense spending cuts,” the two officials said in a separate written statement to Reuters.

“The additional funds will target enhancements in asymmetrical defense strategies in the short-term, and advanced weapons and equipment either domestically produced or through defense procurements in the long-term,” one of them added.

Taiwan’s Ministry of National Defence confirmed to Reuters that electronic warfare, information security and improved drones were among the priorities for this year, along with existing programs, including upgrades of its Raytheon Co Patriot missile defenses, Lockheed Martin Corp F-16A/B jet fighters and indigenously built training planes.

The ministry also confirmed plans to improve mobile missile launchers, but has yet to detail whether that would mean reviving an earlier ballistic missile program or improving the cruise missiles Taiwan already has. Both are likely to face intense Chinese scrutiny.

The planned increases mark a change in commitment from the previous China-friendly Kuomintang government under President Ma Ying-jeou, under whom defense spending from 2009 to 2016 slid from 3 percent to 2.1 percent of GDP, according to government data.

Regional diplomats are watching developments closely. Although few nations have formal diplomatic or military ties with the island, any boost in Taiwan’s military could complicate China’s strategic domain.

“The military balance is rapidly shifting in China’s favor, but the new Taiwanese government is more prepared to stand up to China’s behavior,” said Singapore-based security analyst Tim Huxley. “I think some countries, particularly Japan, will see that as a net benefit by making life more difficult for China.”

In recent months, China has ramped up its long-range air force drills, particularly around Taiwan. In March, it said its defense spending would increase 7 percent for 2017, or 1.044 trillion yuan ($158.70 billion).

After taking office in 2016, Tsai has promoted Taiwan’s domestic defense industry as one of several pillars under a so-called “5 plus 2” program that seeks to foster important business sectors in Taiwan.

Analysts have said Taiwan would need to improve both asymmetric warfare and high-end capabilities like aircraft and missile defense after years of budgetary neglect.

Asymmetric warfare means using limited resources to inflict unacceptable damage to a more powerful opponent. Taiwan is betting it can make an attack on it too painful for China to consider, according to Collin Koh, a research fellow at Singapore’s S. Rajaratnam School of International Studies.

“The Taiwanese may not be able to overturn the balance of power now, but they can improve their abilities to raise the costs on China,” he said.

(Editing by Anne Marie Roantree and Gerry Doyle)

Malaysia to pay U.S. firm up to $70 million if it finds missing MH370

Civil Aviation Malaysia's Director General Azharuddin Abdul Rahman and Ocean Infinity's CEO Oliver Plunkett sign documents, witnessed by Malaysia's Transport Minister Liow Tiong Lai, during the MH370 search operations signing ceremony between Malaysia's government and Ocean Infinity, in Putrajaya, Malaysia January 10,

KUALA LUMPUR (Reuters) – Malaysia signed a deal on Wednesday to pay a U.S. seabed exploration firm up to $70 million if it finds the missing Malaysia Airlines aircraft MH370 within 90 days of embarking on a new search in the Southern Indian ocean.

The disappearance of the aircraft en route from Kuala Lumpur to Beijing in March 2014 with 239 people aboard ranks among the world’s greatest aviation mysteries.

Australia, China and Malaysia ended a fruitless A$200-million ($157 million) search of a 120,000 sq. km area in January last year, despite investigators urging the search be extended to a 25,000-square-km area further to the north.

Malaysian Transport Minister Liow Tiong Lai said a Houston-based private firm, Ocean Infinity, would search for MH370 in that 25,000-sq-km priority area on a “no-cure, no-fee” basis, meaning it will only get paid if it finds the plane.

“As we speak, the vessel, Seabed Constructor, is on her way to the search area, taking advantage of favorable weather conditions in the South Indian ocean,” Liow told a news conference.

The search will begin on Jan. 17, said Ocean Infinity Chief Executive Oliver Plunkett, who attended the signing event.

Ocean Infinity will be paid $20 million if the plane is found within 5,000 sq km, $30 million if it is found within 10,000 square km and $50 million if it is found within an area of 25,000 square km. Beyond that area, Ocean Infinity will receive $70 million, Liow said.

Its priority is to locate the wreckage or the flight and cockpit recorders, and present credible evidence to confirm their location within 90 days, Liow added.

“They cannot take forever or drag it on for another six months or a year.”

‘UNIQUE SOLUTION’

Ocean Infinity’s vessel carries eight autonomous underwater vehicles that will scour the seabed with scanning equipment for information to be sent back for analysis.

It has 65 crew, including two government representatives drawn from the Malaysian navy.

The ship could complete the search within three or four weeks, and cover up to 60,000 square km in 90 days, or four times faster than earlier efforts, Plunkett told Reuters.

“It was a unique problem that required a unique solution… We looked at it and said, ‘Let’s do something different than what other people would do,’ and that’s the essence of our business.”

Ocean Infinity’s core business is in the oil and gas industry, as well as subsea exploration services for tasks such as underwater cabling and seabed mapping, he said.

The company’s shareholders would bear the upfront costs of the search, Plunkett added.

Debris from MH370 could provide clues to events on board before the crash. There have been competing theories that the aircraft suffered mechanical failure or was intentionally flown off course.

Investigators believe someone may have deliberately switched off the plane’s transponder before diverting it thousands of miles out over the Indian Ocean.

At least three pieces of debris collected from sites on Indian Ocean islands and along Africa’s east coast have been confirmed as being from the missing plane.

(Reporting by Rozanna Latiff; Writing by Praveen Menon; Editing by Jamie Freed and Clarence Fernandez)

Philippines to protest to China over apparent airbase on manmade island

Construction is shown on Fiery Cross Reef, in the Spratly Islands, the disputed South China Sea in this June 16, 2017 satellite image released by CSIS Asia Maritime Transparency Initiative at the Center for Strategic and International Studies (CSIS) to Reuters on June 29, 2017.

MANILA (Reuters) – The Philippines will make a diplomatic protest to China, which the southeast Asian nation’s defense minister described as having reneged on a promise not to militarize artificial islands in the busy South China Sea waterway.

The United States has criticized China’s build-up of military facilities on the artificial islands and is concerned they could be used to restrict free movement along the key trade route.

Philippine Defence Secretary Delfin Lorenzana’s comment followed a Dec. 30 broadcast of aerial footage by the official China Central Television (CCTV) showing Fiery Cross Reef, which appeared to have been transformed into an airbase.

“The Chinese government said some time ago that they were not going to militarize those reclaimed islands,” Lorenzana told reporters, adding that the protest would be made through the foreign ministry.

“If it is true and we can prove that they have been putting soldiers and even weapons systems, that will be a violation of what they said.”

Asked about the protest, China’s foreign ministry spokesman said the construction was on the country’s territory and was intended to aid peace in the region, as well as maritime safety and disaster prevention.

“Of course, China also needs to construct necessary defense equipment for its territory,” the spokesman, Lu Kang, told a regular briefing on Tuesday. “The relevant equipment is not directed at any particular country.”

China and the Philippines have long sparred over the South China Sea, but relations have improved considerably under President Rodrigo Duterte, who has been courting Beijing in hopes of winning business and investment.

China has assured the Philippines it will not occupy new features or territory in the South China Sea, under a new “status quo” brokered by Manila as both sides try to strengthen their relations.

Reports about China militarizing reclaimed islands were not new, presidential spokesman Harry Roque told a regular news briefing.

“We have always been against the militarization of the area,” he added. “It is certainly not OK, because it constitutes a further threat to peace and security in area.”

China is holding to a commitment not to reclaim more islands, Roque added, however.

“There is still no breach of the good faith obligation for as long as China has not embarked on new reclamation,” he said, when asked about the situation on the reef.

China has denied U.S. charges that it is militarizing the South China Sea, which also is claimed by Brunei, Malaysia, the Philippines, Taiwan and Vietnam.

The reef has a hospital with more than 50 doctors, high-speed mobile connections and an airport with a runway of 3,160 meters (3,456 yards) to serve what Beijing calls a “weather station” equipped with radar, Chinese state media say.

In the last 27 years, China’s navy has sent more than 1,000 soldiers to guard the reef, state media have said.

(Reporting by Karen Lema; Additional reporting by Christian Shepherd in BEIJING; Editing by Clarence Fernandez)

North, South Korea agree to resolve issues through dialogue

South and North Korean delegations attend their meeting at the truce village of Panmunjom in the demilitarised zone separating the two Koreas, South Korea, January 9, 2018.

By Christine Kim and Hyonhee Shin

SEOUL (Reuters) – North and South Korea on Tuesday agreed on negotiations to resolve problems and military talks aimed at averting accidental conflict, after their first official dialogue in more than two years, as Pyongyang’s nuclear weapons program fuels tension.

In a joint statement after the 11-hour talks, the North pledged to send a large delegation to next month’s Pyeongchang Winter Olympics in the South, but made a ‘strong complaint’ after Seoul proposed talks to denuclearize the Korean peninsula.

South Korea asked its neighbor to halt hostile acts that stoke tension on the peninsula, and in return, the North agreed that peace should be guaranteed in the region, the South’s unification ministry said in a separate statement.

The talks had been closely watched by world leaders keen for any sign of a reduction in tension, as fears grow over the North’s missile launches and development of nuclear weapons, in defiance of United Nations Security Council resolutions.

Earlier on Tuesday, Seoul said it was prepared to lift some sanctions temporarily so North Korean officials could visit the South for the Games. The North said its delegation would comprise athletes, high-ranking officials, a cheering squad, art performers as well as reporters and spectators.

South Korea has unilaterally banned several North Korean officials from entry in response to Pyongyang’s ramped-up missile and nuclear tests, held despite international pressure.

However, some South Korean officials have said they see the Olympics as a possible opportunity for easing tension.

Foreign ministry spokesman Roh Kyu-deok said Seoul would consider whether it needed to take “prior steps”, together with the U.N. Security Council and other relevant countries, to help the North Koreans visit for the Olympics.

Working talks will be held soon to work out the details of bringing the North Koreans to the Olympics, the statement said, with the exact schedule to be decided via documented exchanges.

 

FAMILY REUNION

At Tuesday’s talks, the first since December 2015, Seoul proposed inter-Korean military discussions to reduce tension on the peninsula and a reunion of family members in time for February’s Lunar New Year holiday, but the joint statement made no mention of the reunions.

The North has finished technical work to restore a military hotline with South Korea, Seoul said, with normal communications set to resume on Wednesday. It was not immediately clear what information would be transferred along the hotline.

The North cut communications in February 2016, following the South’s decision to shut down a jointly run industrial park in the North.

North Korea also responded ‘positively’ to the South’s proposal for athletes from both sides to march together at the Games’ opening ceremony and other joint activities during the Winter Olympics, Seoul said.

Athletes of the two sides have not paraded together at international sports events since the 2007 Asian Winter Games in China, after relations chilled under nearly a decade of conservative rule in the South.

The United States, which has 28,500 troops stationed in South Korea as a legacy of the 1950-1953 Korean War, initially responded coolly to the idea of inter-Korean meetings, but U.S. President Donald Trump later called them “a good thing”.

Trump has said he would like to see talks go beyond the Olympics. “At the appropriate time, we’ll get involved,” he said.

On Tuesday, China’s foreign ministry said it was happy to see talks between North and South Korea and welcomed all positive steps. Russia echoed the sentiment, with a Kremlin spokesman saying, “This is exactly the kind of dialogue that we said was necessary.”

(Additional reporting by Soyoung Kim and Josh Smith in SEOUL and David Brunnstrom, Jim Oliphant and Steve Holland in WASHINGTON, Writing by Soyoung Kim, Editing by Paul Tait and Clarence Fernandez)

Iran says it might reconsider cooperation with U.N. nuclear watchdog

Head of Iran's Atomic Energy Organization Ali-Akbar Salehi attends the opening of the International Atomic Energy Agency (IAEA) General Conference at their headquarters in Vienna, Austria September 18, 2017.

By Bozorgmehr Sharafedin

LONDON (Reuters) – Iran said on Monday it might reconsider its cooperation with the U.N. nuclear watchdog if the United States failed to respect its commitments in the nuclear deal Tehran struck with world powers in 2015.

U.S. President Donald Trump must decide by mid-January whether to continue waiving U.S. sanctions on Iran’s oil exports under the terms of the nuclear pact that eased economic pressure on Tehran in exchange for limits on its nuclear program.

In October, Trump refused to certify that Iran was complying with the deal, also known by its acronym JCPOA, even though the International Atomic Energy Agency (IAEA) said it was.

“If the United States does not meet its commitment in the JCPOA, the Islamic Republic of Iran would take decisions that might affect its current cooperation with the International Atomic Energy Agency (IAEA),” Iran’s nuclear chief, Ali Akbar Salehi, was quoted as telling IAEA Director General Yukiya Amano in a phone call.

The IAEA is an international organization that seeks to promote the peaceful use of nuclear energy, and is scrutinizing Iran’s compliance with the agreement.

Supporters of the deal insist that strong international monitoring will prevent Iran from developing nuclear bombs. Iran has denied that it is seeking nuclear weapons.

Iranian foreign ministry spokesman Bahram Qasemi said on Monday that Tehran “would not prejudge the decision that America would take on January 13,” but said it was ready for all possible outcomes and “all options were on the table”.

Deputy foreign minister Abbas Araghchi said world powers should be ready for a possible U.S. withdrawal from the deal.

“The international community might come to this conclusion that the United States will withdraw from the JCPOA in the next few days,” Araghchi was quoted as saying by the state news agency IRNA.

“The international community must be ready for this development,” Araghchi added, warning that such a decision would affect stability in the region.

Trump is weighing whether the pact serves U.S. security interests, while the other world powers that negotiated it – France, Germany, Britain, Russia and China – still strongly support it.

U.S. Defense Secretary Jim Mattis said in September that the United States should consider staying in the Iran deal unless it were proven that Tehran was not abiding by the agreement or that it was not in the U.S. national interest to do so.

(Reporting by Bozorgmehr Sharafedin; Editing by Robin Pomeroy, William Maclean)

China warns of second wave of snow after blizzard alert lifted

: A Chinese flag is seen in front of the Friendship bridge over the Yalu River connecting the North Korean town of Sinuiju and Dandong in China's Liaoning Province on April 1, 2017.

SHANGHAI/BEIJING (Reuters) – China warned of a second wave of snow and sleet hitting northern, central and eastern parts on Friday after record snowfall paralyzed parts of the country in the most severe weather this winter.

Heavy snowfall has wreaked havoc in central and eastern China since Tuesday, killing 10 people and disrupting the lives of more than half a million people in five provinces, according to the official Xinhua news agency.

Agriculture has also been hit, with economic losses amounting to 510 million yuan ($79 million) so far.

The National Meteorological Centre lifted a blizzard alert, but said light to moderate snowfall was expected to sweep across much of the north between Friday and Sunday.

Snow has disrupted public transport and energy supplies, damaged power lines and shut roads, airports and schools in parts of central China.

All power in Suizhou, a small city of 2.5 million people in the north of central Hubei province, was down due to heavy snow, state broadcaster China Central Television reported.

Temperatures in Suizhou are expected to plunge as low as minus 5 degrees Celsius (23 degrees Fahrenheit) on Friday.

Hubei, which does not have central heating infrastructure unlike northern provinces, has seen a spike in electricity consumption for heating, according to CCTV.

On Thursday, at least three airports were shut and nine were experiencing extensive delays because of heavy snowfall.

As of 0630 GMT on Friday, all airports in China were open, and only three airports faced delays, according to Chinese aviation data provider VariFlight.

Several high-speed trains from Shanghai and Beijing were also delayed or canceled on Thursday, and highways in the provinces of Jiangsu, Henan, Shaanxi and Hubei have also been closed off, the China Daily reported.

The ceilings of several bus stations in Hefei, the capital of Anhui province, had collapsed as a result of snow, resulting in at least one death, the newspaper said. The province saw a record 30 cm (12 inches) of snow on Thursday.

The roof of a factory in Xiangyang, also in Hubei province, collapsed, trapping five people, and traffic in the city ground to a halt, according to the state broadcaster, China National Radio.

CCTV footage on Friday also showed collapsed roofs of factories in Henan and Anhui provinces.

By contrast, Beijing has been dry, with many parts of northern China experiencing little to no snowfall.

(Reporting by David Stanway in SHANGHAI and Michael Martina in BEIJING; Additional reporting by Judy Hua, Ryan Woo, Brenda Goh and Zhang Min; Editing by Nick Macfie)

North Korea agrees to talks after U.S., South Korea postpone military drills

Ribbons bearing messages wishing for unification between the two Koreas hang on a barbed-wire fence near the militarized zone separating the two Koreas, in Paju, South Korea, December 21, 2017.

By Christine Kim

SEOUL (Reuters) – North Korea agreed on Friday to hold official talks with the South next week, the first in more than two years, hours after the United States and South Korea delayed a military exercise amid a standoff over the North’s nuclear and missile programs.

South Korea said the North had sent its consent for the talks to be held on Tuesday. The last time the two Koreas engaged in official talks was in December 2015.

The meeting will take place at the border truce village of Panmunjom where officials from both sides are expected to discuss the Winter Olympics, to be held in the South next month, and other inter-Korean relations, South Korean Unification Ministry spokesman Baik Tae-hyun told reporters.

North Korea asked for further negotiations about the meeting to be carried out via documented exchanges, Baik said.

North Korean leader Kim Jong Un opened the way for talks with South Korea in a New Year’s Day speech in which he called for reduced tensions and flagged the North’s possible participation in the Winter Olympics.

But Kim remained steadfast on the issue of nuclear weapons, saying the North would mass produce nuclear missiles for operational deployment and again warned he would launch a nuclear strike if his country was threatened.

U.S. President Donald Trump and his South Korean counterpart Moon Jae-in announced on Thursday that annual large-scale military drills would now take place after the Olympics.

The North sees these drills as preparations for invasion and just cause for its weapons programs that it conducts in defiance of U.N. Security Council resolutions. South Korea and the United States are technically still at war with North Korea after the 1950-53 Korean conflict ended with a truce, not a peace treaty.

Trump had earlier called the proposed inter-Korean talks a “good thing” and that he would send a high-level delegation, including members of his family, to the Olympics, according to South Korea’s presidential office.

In a tweet, Trump, who hurled fresh insults at the North Korean leader this week, took credit for any dialogue that takes place.

“Does anybody really believe that talks and dialogue would be going on between North and South Korea right now if I wasn’t firm, strong and willing to commit our total ‘might’ against the North,” Trump tweeted.

North Korea regularly threatens to destroy the United States and its two key Asia allies, Japan and South Korea.

Chinese Foreign Ministry spokesman Geng Shuang welcomed North and South Korea “taking positive steps to improve ties”, and said the postponement of the military exercises was “without doubt a good thing”.

China’s Commerce Ministry said it would limit exports of crude oil, refined oil products, steel and other metals to North Korea, in line with tough new sanctions imposed by the United Nations.

Japanese Defence Minister Itsunori Onodera sounded a note of caution about the proposed talks.

“I think what is important is to maintain a firm defense posture,” he told reporters in Tokyo.

“North Korea goes through phases of apparent dialogue and provocation but either way, North Korea is continuing its nuclear and missile development. We have no intention of weakening our warning and surveillance.”

The ramped-up momentum for inter-Korean dialogue follows a year of missile and nuclear tests by North Korea as well as an exchange of bellicose comments from Trump and Kim, which raised alarm across the world.

Earlier this week, Nikki Haley, the U.S. ambassador to the United Nations, said Washington had heard reports that Pyongyang might be preparing to fire another missile.

South Korea’s defense ministry has said it had yet to see any evidence of an imminent missile launch.

Analysts with the website 38 North, which tracks North Korea, reported Pyongyang may be preparing to test a rocket engine at a facility in Sohae, North Pyongan province, where all of the North’s satellite launches have taken place since 2012.

Commercial satellite imagery from Dec. 25 showed a rail-mounted environment shelter had been moved away from a test stand, indicating that an engine test may be in the near future, the website said, rather than a new rocket launch suspected in recent media reports.

(Reporting by Christine Kim; Additional reporting by Hyonhee Shin and Josh Smith in SEOUL, Olivier Fabre in TOKYO and Philip Wen in BEIJING and Denis Pinchuk in MOSCOW; Editing by Michael Perry and Nick Macfie)

Vietnam unveils 10,000-strong cyber unit to combat ‘wrong views’

Men use computers at an internet cafe in Bim Son town, outside Hanoi, Vietnam May 15, 2017.

HANOI (Reuters) – Vietnam has unveiled a new, 10,000-strong military cyber warfare unit to counter “wrong” views on the Internet, media reported, amid a widening crackdown on critics of the one-party state.

The cyber unit, named Force 47, is already in operation in several sectors, Tuoi Tre newspaper quoted Lieutenant General Nguyen Trong Nghia, deputy head of the military’s political department, as saying at a conference of the Central Propaganda Department on Monday in the commercial hub of Ho Chi Minh City.

“In every hour, minute, and second we must be ready to fight proactively against the wrong views,” the paper quoted the general as saying.

Communist-ruled Vietnam has stepped up attempts to tame the internet, calling for closer watch over social networks and for the removal of content that it deems offensive, but there has been little sign of it silencing criticism when the companies providing the platforms are global.

Its neighbor China, in contrast, allows only local internet companies operating under strict rules.

The number of staff compares with the 6,000 reportedly employed by North Korea. However, the general’s comments suggest its force may be focused largely on domestic internet users whereas North Korea is internationally focused because the internet is not available to the public at large.

In August, Vietnam’s president said the country needed to pay greater attention to controlling “news sites and blogs with bad and dangerous content”.

Vietnam, one of the top 10 countries for Facebook users by numbers, has also drafted an internet security bill asking for local placement of Facebook and Google servers, but the bill has been the subject of heated debate at the National Assembly and is still pending assembly approval.

Cyber security firm FireEye Inc  said Vietnam had “built up considerable cyber espionage capabilities in a region with relatively weak defenses”.

“Vietnam is certainly not alone. FireEye has observed a proliferation in offensive capabilities … This proliferation has implications for many parties, including governments, journalists, activists and even multinational firms,” a spokesman at FireEye, who requested anonymity, told Reuters.

“Cyber espionage is increasingly attractive to nation states, in part because it can provide access to a significant amount of information with a modest investment, plausible deniability and limited risk,” he added.

Vietnam denies such charges.

Vietnam has in recent months stepped up measures to silence critics. A court last month jailed a blogger for seven years for “conducting propaganda against the state”.

In a separate, similar case last month, a court upheld a 10-year jail sentence for a prominent blogger.

(Reporting by Mi Nguyen in HANOI; Additional reporting by Amy Sawitta Lefevre in BANGKOK and Eric Auchard in FRANKFURT; Editing by Amy Sawitta Lefevre and Nick Macfie)

U.S. places Pakistan on watch list for religious freedom violations

Trump to make final tax push as Republican negotiators near deal

WASHINGTON (Reuters) – The U.S. State Department has placed Pakistan on a special watch list for “severe violations of religious freedom,” it said on Thursday, days after the White House said Islamabad would have to do more to combat terrorism to receive U.S. aid.

The State Department also said it had re-designated 10 other nations as “countries of particular concern” under the International Religious Freedom Act for having engaged in or tolerated egregious violations of religious freedom.

The re-designated countries were China, Eritrea, Iran, Myanmar, North Korea, Sudan, Saudi Arabia, Tajikistan, Turkmenistan and Uzbekistan. They were re-designated on Dec. 22.

“The protection of religious freedom is vital to peace, stability, and prosperity,” the department said in a statement. “These designations are aimed at improving the respect for religious freedom in these countries.”

U.S. President Donald Trump has criticized Pakistan for not doing more to combat terrorism, and his administration has informed members of Congress that it will announce plans to end “security assistance” payments to the country.

Pakistan has said it is already doing a lot to fight militants, and summoned the U.S. ambassador to explain a tweet by Trump that said the United States had been foolish in dispensing aid to Islamabad.

(Reporting by Makini Brice; Editing by Tim Ahmann and Susan Thomas)

U.S. warns North Korea against new missile test, plays down talks

U.S. Ambassador to the United Nations Nikki Haley speaks at UN headquarters in New York, U.S., January 2, 2018

By Rodrigo Campos and Christine Kim

UNITED NATIONS/SEOUL (Reuters) – The U.S. ambassador to the United Nations, Nikki Haley, warned North Korea on Tuesday against staging another missile test and said Washington would not take any talks between North and South Korea seriously if they did not do something to get Pyongyang to give up its nuclear weapons.

Haley told reporters the United States was hearing reports that North Korea might be preparing to fire another missile.

“I hope that doesn’t happen. But if it does, we must bring even tougher measures to bear against the North Korean regime,” Haley said.

South Korea on Tuesday offered talks with North Korea next week, amid a tense standoff over Pyongyang’s nuclear and missile programs, after North Korean leader Kim Jong Un said in a New Year’s Day speech that he was “open to dialogue” with Seoul.

Kim also said he was open to the possibility of North Korean athletes taking part in Winter Olympics South Korea hosts next month.

At the same time, he stressed that his country would push ahead with “mass producing” nuclear warheads in defiance of U.N. sanctions and that he had a nuclear button on his desk capable of launching missiles at the United States.

U.S. President Donald Trump responded to Kim in a Twitter post on Tuesday: “Will someone from his depleted and food starved regime please inform him that I too have a Nuclear Button, but it is a much bigger & more powerful one than his, and my Button works!”

Haley said the United States would not take talks seriously if they did not take steps toward banning North Korea’s nuclear weapons.

“North Korea can talk to anyone they want, but the U.S. is not going to recognize it or acknowledge it until they agree to ban the nuclear weapons that they have,” she said.

Haley gave no details of the missile test preparations.

Another U.S. official, who spoke on condition of anonymity, said there were indications that could point toward a potential missile launch “sooner rather than later,” but cautioned that such signs had been seen in the past and no test had resulted.

‘DRIVE A WEDGE’

U.S. State Department spokeswoman Heather Nauert said North Korea might be “trying to drive a wedge of some sort” between the United States and South Korea and added that while it was up to Seoul to decide who it talked to: “We are very skeptical of Kim Jong Un’s sincerity in sitting down and having talks.”

Trump, who has led a global drive to pressure North Korea through sanctions to give up development of nuclear-tipped missiles capable of hitting the United States, earlier held back judgment on Pyongyang’s offer to talk, saying on Twitter:

“Rocket man now wants to talk to South Korea for first time. “Perhaps that is good news, perhaps not – we will see!”

Trump has frequently derided Kim as “rocket man.” The U.S. president said sanctions and other pressures were starting to have a big impact on North Korea.

Kim and Trump have exchanged fiery barbs in the last year and the U.S. president has warned that the United States would have no choice but to “totally destroy” North Korea if forced to defend itself or its allies.

North Korea regularly threatens to destroy the United States, South Korea and Japan and tested its most powerful intercontinental ballistic missile in November, which it said was capable of delivering a warhead anywhere in the United States.

South Korea’s Unification Minister Cho Myong-gyon said the offer for high-level talks next Tuesday had been discussed with the United States. Nauert said she was not aware if the matter had been discussed in advance of the South Korean response.

Cho suggested the talks be held at the border village of Panmunjom and said they should be focused on North Korea’s participation at the Olympics, but other issues would likely arise, including the denuclearisation of North Korea.

“I repeat: The government is open to talking with North Korea, regardless of time, location and form,” Cho said.

Should the talks be held, it would be the first such dialogue since a vice-ministerial meeting in December 2015.

South Korean President Moon Jae-in welcomed Kim’s New Year address and asked his government to move as quickly as possible to bring North Korea to the Olympics, but he stressed that an improvement in inter-Korean relations “cannot go separately with resolving North Korea’s nuclear program”.

China, which has persistently urged a return to talks to ease tensions, said recent positive comments from North and South Korea were a good thing.

“China welcomes and supports North Korea and South Korea taking earnest efforts to treat this as an opportunity to improve mutual relations, promote the alleviation of the situation on the Korean peninsula and realize denuclearisation on the peninsula,” Foreign Ministry spokesman Geng Shuang said.

(Reporting by Christine Kim, Jane Chung and Hyonhee Shin in Seoul, Michael Martina in Beijing, Doina Chiacu, David Brunnstrom, David Alexander and Arshad Mohammed in Washington, and Rodrigo Campos at the United Nations; Editing by Andrew Hay, Alistair Bell and Lisa Shumaker)