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Bush Administration Says North Korea Not a Crisis.

Aired December 30, 2002 - 14:17   ET

THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.


THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.


KYRA PHILLIPS, CNN ANCHOR: Though many people feel North Korea has overshadowed Iraq as a danger to Americans, the Bush administration says it is not a crisis. CNN White House Correspondent Suzanne Malveaux joins us now from the press center outside the president's ranch in Texas.
Why does he say it is not a crisis, Suzanne?

SUZANNE MALVEAUX, CNN WHITE HOUSE CORRESPONDENT: Well, we were just briefed by White House spokesman Scott McClellan, who is saying, look, this is of concern but certainly not a crisis, really downplaying the situation. They are saying that the president is receiving his daily intelligence and national security briefings at what is known as the Western White House, the Crawford ranch, that he is monitoring developments in North Korea as well as Iraq.

But Secretary of State Colin Powell really trying to explain the administration's position, saying that the White House has no intention of invading North Korea, but isolating the country, using diplomatic and economic means. And they say that they believe that the key success to this policy is really to use the cooperation, to get the cooperation of North Korea's neighbors, that being China, South Korea, Japan and Russia.

(START VIDEOTAPE)

COLIN POWELL, SECRETARY OF STATE: The Japanese were ready to do more for North Korea, the South Koreans were. And the North Koreans have put that all at risk playing with the fool's gold of nuclear weapons, which will not make them stronger, will not make the society better and will not intimidate either the United States or its allies.

(END VIDEOTAPE)

MALVEAUX: Now, those key neighbors of North Korea, China, which is North Korea's largest trading partner, supplies 70 percent of its crude oil, also a major provider of food to that country. South Korea, which has a policy of engaging North Korea in a sunshine policy supported by both the current and new regime. Also new initiatives on the table to open railroads linking the two countries, also to develop economic free-trade zones. Japan which had been set to contribute some $10 billion in economic aid if relations had been normalized. That now being tabled because of North Korea's nuclear brinksmanship as well as the controversy over kidnapping Japanese. And Russia -- North Korea and Russia had signed a trade and economic accord in 2001. That trade in the tune of some $100 million of trade each year. Now, Kyra, I should also mention as well that the White House spokesperson, Scott McClellan, actually responded to the criticism from South Korea today that this policy of isolation would not work. He said it is North Korea that is isolating itself from the rest of the world, that it's North Korea's responsibility to make sure that it abandons its nuclear weapons program.

Clearly, they're hoping that this economic and diplomatic pressure is really going to work. We are going to see kind of a flurry of activity. We're going to see that intensify over the weeks to come, the administration sending a high level envoy to Seoul, also South Korea sending its own representatives to Russia and China.

Kyra?

PHILLIPS: All right, Suzanne Malveaux, from the press room there at Crawford,Texas, thank you.

TO ORDER A VIDEO OF THIS TRANSCRIPT, PLEASE CALL 800-CNN-NEWS OR USE OUR SECURE ONLINE ORDER FORM LOCATED AT www.fdch.com






Aired December 30, 2002 - 14:17   ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
KYRA PHILLIPS, CNN ANCHOR: Though many people feel North Korea has overshadowed Iraq as a danger to Americans, the Bush administration says it is not a crisis. CNN White House Correspondent Suzanne Malveaux joins us now from the press center outside the president's ranch in Texas.
Why does he say it is not a crisis, Suzanne?

SUZANNE MALVEAUX, CNN WHITE HOUSE CORRESPONDENT: Well, we were just briefed by White House spokesman Scott McClellan, who is saying, look, this is of concern but certainly not a crisis, really downplaying the situation. They are saying that the president is receiving his daily intelligence and national security briefings at what is known as the Western White House, the Crawford ranch, that he is monitoring developments in North Korea as well as Iraq.

But Secretary of State Colin Powell really trying to explain the administration's position, saying that the White House has no intention of invading North Korea, but isolating the country, using diplomatic and economic means. And they say that they believe that the key success to this policy is really to use the cooperation, to get the cooperation of North Korea's neighbors, that being China, South Korea, Japan and Russia.

(START VIDEOTAPE)

COLIN POWELL, SECRETARY OF STATE: The Japanese were ready to do more for North Korea, the South Koreans were. And the North Koreans have put that all at risk playing with the fool's gold of nuclear weapons, which will not make them stronger, will not make the society better and will not intimidate either the United States or its allies.

(END VIDEOTAPE)

MALVEAUX: Now, those key neighbors of North Korea, China, which is North Korea's largest trading partner, supplies 70 percent of its crude oil, also a major provider of food to that country. South Korea, which has a policy of engaging North Korea in a sunshine policy supported by both the current and new regime. Also new initiatives on the table to open railroads linking the two countries, also to develop economic free-trade zones. Japan which had been set to contribute some $10 billion in economic aid if relations had been normalized. That now being tabled because of North Korea's nuclear brinksmanship as well as the controversy over kidnapping Japanese. And Russia -- North Korea and Russia had signed a trade and economic accord in 2001. That trade in the tune of some $100 million of trade each year. Now, Kyra, I should also mention as well that the White House spokesperson, Scott McClellan, actually responded to the criticism from South Korea today that this policy of isolation would not work. He said it is North Korea that is isolating itself from the rest of the world, that it's North Korea's responsibility to make sure that it abandons its nuclear weapons program.

Clearly, they're hoping that this economic and diplomatic pressure is really going to work. We are going to see kind of a flurry of activity. We're going to see that intensify over the weeks to come, the administration sending a high level envoy to Seoul, also South Korea sending its own representatives to Russia and China.

Kyra?

PHILLIPS: All right, Suzanne Malveaux, from the press room there at Crawford,Texas, thank you.

TO ORDER A VIDEO OF THIS TRANSCRIPT, PLEASE CALL 800-CNN-NEWS OR USE OUR SECURE ONLINE ORDER FORM LOCATED AT www.fdch.com