Major Post-Panmunjeom Declaration Achievements
I. In the Wake of the Panmunjeom Declaration: First 100 Days
□ Peace now part of everyday lives
In 2017, the Korean Peninsula saw recurring hair-trigger crises caused by North Korea’s nuclear test and 15 ballistic missile launches, escalating the threat of war to a new height. The risk of accidental confrontation persisted due to the lack of communication channels between the militaries of the two Koreas and those of the North and the United States.
The April 27 Panmunjeom Declaration for Peace, Prosperity and Unification of the Korean Peninsula, however, culminated in agreement that the North would discuss the complete denuclearization of the Peninsula and establishment of a permanent and solid peace regime with the South and the United States. It has made it possible for the Korean people to completely escape the fear of war and for peace to become the norm. As a result, problems associated with the so-called “Korea discount” began to show signs of abating.
This past year, North Korea has conducted no nuclear test or missile launch. The North took initial steps to remove the risk of war on the Korean Peninsula at its roots by dismantling its nuclear and missile test sites.
Moody’s Senior Credit Officer Christian de Guzman said on May 1 that if irreversible measures facilitating inter-Korean reconciliation continued, it would have a positive impact on South Korea’s credit rating.
The restoration of a suspended cross-border military hotline and talks between South and North Korean military authorities will help gradually build military trust and eliminate the possibility of an accidental clash.
□ Mutual trust and respect basis for new normalization of inter-Korean relations and more frequent talks
The first inter-Korean summit in 11 years and the Panmunjeom Declaration have enabled inter-Korean relations to launch a new beginning, going beyond a simple restoration of ties.
Since the turn of this year, inter-Korean relations have been progressively restored through a series of events, including North Korean athletes participating in the PyeongChang Winter Olympics, reciprocal visits by special envoys between the two Koreas and mutual visits and performances by South and North Korean art troupes. In the process of implementing the Panmunjeom Declaration, high-level, sector-specific inter-Korean talks and meetings have been held and regularized, institutionalizing the framework for consultations between South and North Korea.
The leaders of the two Koreas have also established a relationship based on mutual trust to the extent that they can easily call and casually agree to meet on short notice. They went so far as to skip cumbersome procedures and formalities to hold their second summit on May 26.
□ The Koreas restoring sense of common identity naturally through experiences shared by residents in the South and North
Inter-Korean exchanges and cooperation in various areas, for instance through the July 2018 South-North Korea Unification Basketball Friendly and the forming of joint teams for the 2018 Asian Games (August 18-September 2), will help increase opportunities for South and North Koreans to meet and restore a sense of commonality.
The two sides have agreed to hold a reunion for families separated by the division of Korea for the first time in three years. The reunions may help heal the wounds of those who have lived with pain and sorrow, albeit in a small way.
□ More contact between North Korea and international community on all fronts
With the Panmunjeom Declaration as a catalyst, the historic North Korea-United States summit was held and the Singapore joint statement adopted. Increasing opportunities for talks and contacts between North Korea and many other countries will provide occasions for the North to become a member of the international community.
The first 100 days following the Panmunjeom Declaration can be characterized as the start of a bold journey toward a new era of peace and prosperity on the Korean Peninsula. Going forward, efforts for peace and prosperity, including the denuclearization of the Korean Peninsula, the establishment of a peace regime and the normalization of inter-Korean ties, will be institutionalized on the basis of cooperation with the international community and public consensus.
II. Achievements of Panmunjeom Declaration by Sector
1. Extensive and Sweeping Improvements and Progress in Inter-Korean Relations
□ Inter-Korean talks to be institutionalized and joint liaison office established
A framework of dialogue and consultation between the two Koreas has been institutionalized through the regular holding of high-level inter-Korean talks and meetings by sector: general-level military talks on June 14 and July 31; sports talks on June 18; an inter-Korean Red Cross meeting on June 22; and talks on reconnecting railroads (June 26) and roads (June 28) as well as on forestation (July 4).
Preparations have been underway to establish a joint liaison office with resident representatives of both sides in the Gaeseong region by the end of August. The office will serve as an institutional means for inter-Korean communication and dialogue at any time around the clock. Gaeseong Industrial Complex office buildings and living quarters began to be renovated from July 2.
□ Expansion of exchanges, cooperation in diverse areas and reciprocal visits
Vibrant inter-Korean exchanges and cooperation have revolved around the sports sector, including fielding joint inter-Korean teams and friendly matches between the athletes from the South and North. For instance, the South-North Korea Unification Basketball Friendly was held in Pyeongyang July 3-6; a joint inter-Korean table tennis team played in the 2018 Korea Open in Daejeon, South Korea (July 17-22); and agreements have been made to form and jointly train unified inter-Korean teams in such events as canoeing, rowing and women’s basketball for the 2018 Asian Games. Athletes from the two Koreas are also scheduled to march together in the Asian Games’ opening ceremony. In particular, a South Korean military cargo plane flew through North Korean airspace for the first time to transport South Korean athletes participating in the South-North Korea Unification Basketball Friendly in Pyeongyang.
Exchanges in the private sector have also increased. The expansion of diverse inter-Korean exchanges and cooperation includes the resumption of a joint excavation of Manwoldae Palace in Gaeseong, North Korea, and a joint compilation of the Gyeoremal-keunsajeon, a grand dictionary of the national language, as well as efforts to have a North Korean art troupe perform in South Korea this autumn.
□ Continuing efforts for shared prosperity on the Korean Peninsula, including reconnection of railroads and roads
A joint feasibility study for reconnecting and modernizing railroads and roads, the main arteries between the South and North, is underway. Based on the study’s findings, concrete plans will be drawn up.
For the reconnection of railroads, an inter-Korean railroad cooperation meeting was held on June 26. Joint surveys were conducted on the reconnection points of the Gyeongui (Munsan-Gaeseong) and Donghae (Jejin-Geumgangsan Mountain) lines on July 20 and 24, respectively; and studies on the northern sections of the railroads are scheduled in August.
In addition, inter-Korean road cooperation talks were held on June 28 and a field survey on the North Korean side will be carried out in August.
Cooperation for mountain reforestation and preservation in the North is being pursued. Joint studies will be carried out for the modernization of sapling nurseries and cooperation on forestation. A field survey of Geumgangsan Mountain for forest pest control is scheduled for August 8.
□ Reunion of separated families to coincide with August 15 National Liberation Day
The two Koreas agreed at the inter-Korean Red Cross meeting on June 22 to hold a reunion between one hundred families from each side at the Geumgangsan Resort August 20-26. South and North Korean authorities are making thorough preparations to ensure that the reunion will be held free of glitches. The renovation of facilities for the reunion has been underway since July 9.
Fundamental solutions to humanitarian issues, including official confirmation that separated relatives are still alive and visits to hometowns across the border, will be sought during future Inter-Korean Red Cross meetings.
2. Alleviation of Military Tension and Elimination of Risk of War
□ Factors that could spark military clashes to be eliminated for war-free Korean Peninsula
Loudspeaker broadcasts toward the North were suspended preemptively on April 23 to create an amiable atmosphere for the inter-Korean summit. The two sides first decided to specify measures to eliminate the means of propaganda within the agreements related to military issues in the Panmunjeom Declaration. South-initiated propaganda activities were promptly ended on May 5, just over 10 days from the date of the agreement, and North Korea quickly followed suit. The military authorities from both sides have continued to hold follow-up talks to come up with drastic measures to prevent military clashes, including the creation of a peace zone in the Demilitarized Zone.
□ Two Korea’s military authorities restoring communication channels to prevent accidental clashes
After the Panmunjeom Declaration, regular communication channels between the military authorities of the two Koreas were restored, primarily to prevent accidental clashes. Military communication lines in the Yellow Sea were restored on July 16. Construction work for the complete restoration of military communication channels in the East Sea is underway.
Operation of a joint communication network between South and North Korean naval ships in the Yellow Sea was normalized on July 1. Messages are now exchanged everyday via the standard international communication radio frequency for merchant ships in order to prevent accidental clashes in the Yellow Sea, which was once likened to a sea of disputes.
□ Establishment of peace structure on Korean Peninsula sought through regular inter-Korean military talks
Military authorities from both sides have been working to build trust by holding inter-Korean military talks regularly and continuously at various levels following the Panmunjeom Declaration. Inter-Korean general-level talks were held for the first time in 11 years. At the talks held on June 14 and July 31, the two sides discussed ways to implement the agreements in the Panmunjeom Declaration related to military issues. They also held a working-level meeting on June 25 to discuss the provision of supplies and equipment needed to reconnect military communication lines in the west and east coast areas.
The establishment of trust, including through the transformation of the Demilitarized Zone into a peace zone, is being sought with a view to creating a friendly atmosphere for denuclearization. A decision was made through close consultations between South Korea and the United States to suspend the Ulchi-Freedom Guardian joint military exercise originally scheduled in August to give a boost to talks among the two Koreas and the United States, which is aimed at denuclearizing the Korean Peninsula and establishing peace.
3. Denuclearization and Establishment of Peace Regime on the Korean Peninsula
□ North Korea-U.S. relations: from distrust and confrontation to cooperation for denuclearization of the Peninsula
Following the announcement of the Panmunjeom Declaration, both Koreas and the United States have begun discussions in earnest to establish peace on a denuclearized Korean Peninsula.
With the North Korea-U.S. summit in Singapore and the adoption of the Joint Statement on June 12 as a catalyst, the two countries embarked on trust building efforts for denuclearization and peace on the Korean Peninsula. For its part, North Korea turned pledges into actions as part of the efforts to achieve a complete denuclearization by dismantling its nuclear test site in Punggye-ri on May 24 and a missile test facility at its Sohae Satellite Launching Station in July.
Pending humanitarian issues between the two countries were also resolved: North Korea released three American detainees on May 9 and, on July 27, repatriated the remains of U.S. soldiers killed in the Korean War.
□ North Korea and the United States now engaging in various exchanges and consultations to resolve North Korean nuclear issue and establish peace
Chairman Kim Jong Un of the State Affairs Commission of North Korea and U.S. President Donald Trump have exchanged personal letters, and U.S. Secretary of State Mike Pompeo and Kim Yong Chol, Vice Chairman of the Central Committee of the Workers’ Party of Korea, paid reciprocal visits to each other's countries. High-level and working-level discussions followed. As such, the two countries are now striving to build mutual trust through various exchanges and discussions.
The two heads of state discussed pending issues by exchanging personal letters whenever necessary. They have stopped slandering each other with extreme and provocative words and have now entered a phase of mutual respect.
□ Pivotal efforts underway for lasting peace
Improvements in inter-Korean relations have spearheaded progress in North Korea-U.S. relations and denuclearization efforts, forming a virtuous cycle. Efforts are being exerted to make progress in relations between North Korea and the United States, denuclearization and the establishment of a peace regime. Countries concerned are engaged in close consultations to try and declare, within this year, an official end to the Korean War, which was halted in 1953 through an armistice agreement.
□ Peace now part of everyday lives
In 2017, the Korean Peninsula saw recurring hair-trigger crises caused by North Korea’s nuclear test and 15 ballistic missile launches, escalating the threat of war to a new height. The risk of accidental confrontation persisted due to the lack of communication channels between the militaries of the two Koreas and those of the North and the United States.
The April 27 Panmunjeom Declaration for Peace, Prosperity and Unification of the Korean Peninsula, however, culminated in agreement that the North would discuss the complete denuclearization of the Peninsula and establishment of a permanent and solid peace regime with the South and the United States. It has made it possible for the Korean people to completely escape the fear of war and for peace to become the norm. As a result, problems associated with the so-called “Korea discount” began to show signs of abating.
This past year, North Korea has conducted no nuclear test or missile launch. The North took initial steps to remove the risk of war on the Korean Peninsula at its roots by dismantling its nuclear and missile test sites.
Moody’s Senior Credit Officer Christian de Guzman said on May 1 that if irreversible measures facilitating inter-Korean reconciliation continued, it would have a positive impact on South Korea’s credit rating.
The restoration of a suspended cross-border military hotline and talks between South and North Korean military authorities will help gradually build military trust and eliminate the possibility of an accidental clash.
□ Mutual trust and respect basis for new normalization of inter-Korean relations and more frequent talks
The first inter-Korean summit in 11 years and the Panmunjeom Declaration have enabled inter-Korean relations to launch a new beginning, going beyond a simple restoration of ties.
Since the turn of this year, inter-Korean relations have been progressively restored through a series of events, including North Korean athletes participating in the PyeongChang Winter Olympics, reciprocal visits by special envoys between the two Koreas and mutual visits and performances by South and North Korean art troupes. In the process of implementing the Panmunjeom Declaration, high-level, sector-specific inter-Korean talks and meetings have been held and regularized, institutionalizing the framework for consultations between South and North Korea.
The leaders of the two Koreas have also established a relationship based on mutual trust to the extent that they can easily call and casually agree to meet on short notice. They went so far as to skip cumbersome procedures and formalities to hold their second summit on May 26.
□ The Koreas restoring sense of common identity naturally through experiences shared by residents in the South and North
Inter-Korean exchanges and cooperation in various areas, for instance through the July 2018 South-North Korea Unification Basketball Friendly and the forming of joint teams for the 2018 Asian Games (August 18-September 2), will help increase opportunities for South and North Koreans to meet and restore a sense of commonality.
The two sides have agreed to hold a reunion for families separated by the division of Korea for the first time in three years. The reunions may help heal the wounds of those who have lived with pain and sorrow, albeit in a small way.
□ More contact between North Korea and international community on all fronts
With the Panmunjeom Declaration as a catalyst, the historic North Korea-United States summit was held and the Singapore joint statement adopted. Increasing opportunities for talks and contacts between North Korea and many other countries will provide occasions for the North to become a member of the international community.
The first 100 days following the Panmunjeom Declaration can be characterized as the start of a bold journey toward a new era of peace and prosperity on the Korean Peninsula. Going forward, efforts for peace and prosperity, including the denuclearization of the Korean Peninsula, the establishment of a peace regime and the normalization of inter-Korean ties, will be institutionalized on the basis of cooperation with the international community and public consensus.
II. Achievements of Panmunjeom Declaration by Sector
1. Extensive and Sweeping Improvements and Progress in Inter-Korean Relations
□ Inter-Korean talks to be institutionalized and joint liaison office established
A framework of dialogue and consultation between the two Koreas has been institutionalized through the regular holding of high-level inter-Korean talks and meetings by sector: general-level military talks on June 14 and July 31; sports talks on June 18; an inter-Korean Red Cross meeting on June 22; and talks on reconnecting railroads (June 26) and roads (June 28) as well as on forestation (July 4).
Preparations have been underway to establish a joint liaison office with resident representatives of both sides in the Gaeseong region by the end of August. The office will serve as an institutional means for inter-Korean communication and dialogue at any time around the clock. Gaeseong Industrial Complex office buildings and living quarters began to be renovated from July 2.
□ Expansion of exchanges, cooperation in diverse areas and reciprocal visits
Vibrant inter-Korean exchanges and cooperation have revolved around the sports sector, including fielding joint inter-Korean teams and friendly matches between the athletes from the South and North. For instance, the South-North Korea Unification Basketball Friendly was held in Pyeongyang July 3-6; a joint inter-Korean table tennis team played in the 2018 Korea Open in Daejeon, South Korea (July 17-22); and agreements have been made to form and jointly train unified inter-Korean teams in such events as canoeing, rowing and women’s basketball for the 2018 Asian Games. Athletes from the two Koreas are also scheduled to march together in the Asian Games’ opening ceremony. In particular, a South Korean military cargo plane flew through North Korean airspace for the first time to transport South Korean athletes participating in the South-North Korea Unification Basketball Friendly in Pyeongyang.
Exchanges in the private sector have also increased. The expansion of diverse inter-Korean exchanges and cooperation includes the resumption of a joint excavation of Manwoldae Palace in Gaeseong, North Korea, and a joint compilation of the Gyeoremal-keunsajeon, a grand dictionary of the national language, as well as efforts to have a North Korean art troupe perform in South Korea this autumn.
□ Continuing efforts for shared prosperity on the Korean Peninsula, including reconnection of railroads and roads
A joint feasibility study for reconnecting and modernizing railroads and roads, the main arteries between the South and North, is underway. Based on the study’s findings, concrete plans will be drawn up.
For the reconnection of railroads, an inter-Korean railroad cooperation meeting was held on June 26. Joint surveys were conducted on the reconnection points of the Gyeongui (Munsan-Gaeseong) and Donghae (Jejin-Geumgangsan Mountain) lines on July 20 and 24, respectively; and studies on the northern sections of the railroads are scheduled in August.
In addition, inter-Korean road cooperation talks were held on June 28 and a field survey on the North Korean side will be carried out in August.
Cooperation for mountain reforestation and preservation in the North is being pursued. Joint studies will be carried out for the modernization of sapling nurseries and cooperation on forestation. A field survey of Geumgangsan Mountain for forest pest control is scheduled for August 8.
□ Reunion of separated families to coincide with August 15 National Liberation Day
The two Koreas agreed at the inter-Korean Red Cross meeting on June 22 to hold a reunion between one hundred families from each side at the Geumgangsan Resort August 20-26. South and North Korean authorities are making thorough preparations to ensure that the reunion will be held free of glitches. The renovation of facilities for the reunion has been underway since July 9.
Fundamental solutions to humanitarian issues, including official confirmation that separated relatives are still alive and visits to hometowns across the border, will be sought during future Inter-Korean Red Cross meetings.
2. Alleviation of Military Tension and Elimination of Risk of War
□ Factors that could spark military clashes to be eliminated for war-free Korean Peninsula
Loudspeaker broadcasts toward the North were suspended preemptively on April 23 to create an amiable atmosphere for the inter-Korean summit. The two sides first decided to specify measures to eliminate the means of propaganda within the agreements related to military issues in the Panmunjeom Declaration. South-initiated propaganda activities were promptly ended on May 5, just over 10 days from the date of the agreement, and North Korea quickly followed suit. The military authorities from both sides have continued to hold follow-up talks to come up with drastic measures to prevent military clashes, including the creation of a peace zone in the Demilitarized Zone.
□ Two Korea’s military authorities restoring communication channels to prevent accidental clashes
After the Panmunjeom Declaration, regular communication channels between the military authorities of the two Koreas were restored, primarily to prevent accidental clashes. Military communication lines in the Yellow Sea were restored on July 16. Construction work for the complete restoration of military communication channels in the East Sea is underway.
Operation of a joint communication network between South and North Korean naval ships in the Yellow Sea was normalized on July 1. Messages are now exchanged everyday via the standard international communication radio frequency for merchant ships in order to prevent accidental clashes in the Yellow Sea, which was once likened to a sea of disputes.
□ Establishment of peace structure on Korean Peninsula sought through regular inter-Korean military talks
Military authorities from both sides have been working to build trust by holding inter-Korean military talks regularly and continuously at various levels following the Panmunjeom Declaration. Inter-Korean general-level talks were held for the first time in 11 years. At the talks held on June 14 and July 31, the two sides discussed ways to implement the agreements in the Panmunjeom Declaration related to military issues. They also held a working-level meeting on June 25 to discuss the provision of supplies and equipment needed to reconnect military communication lines in the west and east coast areas.
The establishment of trust, including through the transformation of the Demilitarized Zone into a peace zone, is being sought with a view to creating a friendly atmosphere for denuclearization. A decision was made through close consultations between South Korea and the United States to suspend the Ulchi-Freedom Guardian joint military exercise originally scheduled in August to give a boost to talks among the two Koreas and the United States, which is aimed at denuclearizing the Korean Peninsula and establishing peace.
3. Denuclearization and Establishment of Peace Regime on the Korean Peninsula
□ North Korea-U.S. relations: from distrust and confrontation to cooperation for denuclearization of the Peninsula
Following the announcement of the Panmunjeom Declaration, both Koreas and the United States have begun discussions in earnest to establish peace on a denuclearized Korean Peninsula.
With the North Korea-U.S. summit in Singapore and the adoption of the Joint Statement on June 12 as a catalyst, the two countries embarked on trust building efforts for denuclearization and peace on the Korean Peninsula. For its part, North Korea turned pledges into actions as part of the efforts to achieve a complete denuclearization by dismantling its nuclear test site in Punggye-ri on May 24 and a missile test facility at its Sohae Satellite Launching Station in July.
Pending humanitarian issues between the two countries were also resolved: North Korea released three American detainees on May 9 and, on July 27, repatriated the remains of U.S. soldiers killed in the Korean War.
□ North Korea and the United States now engaging in various exchanges and consultations to resolve North Korean nuclear issue and establish peace
Chairman Kim Jong Un of the State Affairs Commission of North Korea and U.S. President Donald Trump have exchanged personal letters, and U.S. Secretary of State Mike Pompeo and Kim Yong Chol, Vice Chairman of the Central Committee of the Workers’ Party of Korea, paid reciprocal visits to each other's countries. High-level and working-level discussions followed. As such, the two countries are now striving to build mutual trust through various exchanges and discussions.
The two heads of state discussed pending issues by exchanging personal letters whenever necessary. They have stopped slandering each other with extreme and provocative words and have now entered a phase of mutual respect.
□ Pivotal efforts underway for lasting peace
Improvements in inter-Korean relations have spearheaded progress in North Korea-U.S. relations and denuclearization efforts, forming a virtuous cycle. Efforts are being exerted to make progress in relations between North Korea and the United States, denuclearization and the establishment of a peace regime. Countries concerned are engaged in close consultations to try and declare, within this year, an official end to the Korean War, which was halted in 1953 through an armistice agreement.
