China calls for calm in N. Korea nuclear crisis

updated 5:20 a.m. ET Oct. 20, 2006

BEIJING - China appealed for “coolheadedness” on all sides in the North Korean nuclear crisis Friday, amid signs that an exasperated Beijing is willing to get tougher with its traditional ally.

Secretary of State Condoleezza Rice appealed to North Korea to return to stalled international talks over its nuclear program without condition. Concluding urgent talks in Asia in response to the North’s Oct. 9 nuclear test, Rice played down differences among the United States, China and South Korea over the strength and tone of world’s response to Pyongyang.

“We hope all relevant parties will maintain coolheadedness, adopt a prudent and a responsible approach and adhere to peaceful dialogue,” Foreign Minister Li Zhaoxing said following a meeting with Rice.

The underground test confirmed the North’s claim that it has nuclear weapons capability and raised fears of potential war or an arms race in Asia. Although it is not likely to be a direct target of an attack, the United States is playing a central role in pushing for a strong international demand that the North give up its weapons.

At a brief joint appearance with Li, Rice said both President Bush and Chinese President Hu Jintao want a peaceful diplomatic solution. She did not mention the U.S. military commitment to defend allies Japan and South Korea from an attack by the North, a centerpiece of her remarks in those nations earlier this week.

“We also talked about the importance of leaving open a path to negotiation,” through the six-way arms talks, Rice said. North Korea has boycotted the negotiations for nearly a year. Rice said the North “should return to those talks without condition,” and begin to carry out an agreement it made last year to give up its weapons program.

Shift in China's attitude
Rice’s conciliatory tone appeared to be aimed at keeping Beijing’s cooperation, which is key to enforcing United Nations sanctions slapped on North Korea last week in response to the rogue test. The U.S.-backed sanctions were watered down partly at China’s request, but China’s vote in favor of punishment still represents a shift for Beijing.

Li assured Rice that Beijing would carry out its obligations, although he avoided the word sanctions and gave no specifics.

“China has an excellent track record in playing a constructive role in the international community and in honoring all of our commitments,” he said.

Chinese moves to close off North Korean access to the global financial system appear to bear out Li’s pledge.

Chinese banks have stopped financial transfers to North Korea under government orders as part of the sanctions, bank employees said Friday.

China is North Korea’s main trading partner and aid donor, and has long been reluctant to use economic pressure against the North for fear the government of Kim Jong Il might collapse.

All four major Chinese state-owned banks and British-owned HSBC Corp. have stopped financial transfers to the North, according to bank employees in Beijing and the northeastern Chinese city of Shenyang.

China has also been inspecting North Korean trucks at some points along the two nations’ 880-mile border, and it dispatched a top envoy to Pyongyang this week to warn the North against a second test and try to bring it back to the arms talks.

Rice and Li didn’t mention that visit, and Beijing has not released details of Kim’s response. Rice met with the envoy, State Counselor Tang Jiaxuan, after her session with Li. Before cameras were ushered from the room Tang was overheard telling Rice his trip “was not in vain.”

Report: Return to talks?
On Friday, a South Korean newspaper reported that Kim told Tang the North would return to nuclear talks if Washington drops financial sanctions.

“If the U.S. makes a concession to some degree, we will also make a concession to some degree, whether it be bilateral talks or six-party talks,” Kim was quoted as saying by the Chosun Ilbo, which cited diplomatic sources in China.

The North has boycotted the talks since the United States imposed sanctions last year on North Korean companies accused of counterfeiting American currency and money-laundering and on a bank in the Chinese territory of Macau that dealt with them.

Kim also apologized for the nuclear test to the Chinese envoy, the newspaper reported.

MORE FROM ASIA-PACIFIC

Asia-Pacific Section Front

Al-Qaida ties in Indonesia bombings? U.S. intel: Java attacks ‘in your face’ 10 climbers die on Japanese mountains North Korea hit with new U.N. sanctions Dog wet nurse saves panda cubs in China Asia-Pacific Section Front   Add Asia-Pacific headlines to your news reader: