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North Korea Nuclear Threat; Trump White House. Aired 8-9a ET

Aired September 04, 2017 - 08:00   ET

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


[08:00:00] (COMMERCIAL BREAK)

KRISTIE LU STOUT, CNN NEWS STREAM SHOW HOST: I'm Kristie Lu Stout in Seoul. Welcome to this special edition of "News Stream."

A fiery message from South Korea. Stimulates a strike on North Korea in retaliation to Pyongyang's latest nuclear test. North Korea blasts the move

calling on Seoul to stop the military exercises or face being reduced to ashes. And as the crisis intensifies, one Korean war veteran shares his

memories of the conflict in a deeply personal letter to Kim Jong-un.

And we begin with the region on edge. The head of the United Nations nuclear watchdog is calling North Korea a global threat, one with new

dimensions and unpredictability. It comes after North Korea claimed it successfully detonated a hydrogen bomb and now South Korea says that there

are signs the north is preparing for another missile launch.

World leaders are united in their condemnation, but divided as to how to contain the threat. And with the U.S., South Korea, and their allies

ramping up their military presence in the region, new tensions are emerging. Russia says it might increase its missiles in the pacific to

balance the deployment of U.S. missile defense systems in South Korea and Japan.

And despite repeated threats from North Korea and despite the military response of Pyongyang's nuclear test, Seoul has long pushed for a

diplomatic solution, but the U.S. president sees this as being too soft on North Korea. Now, combined that with recent tensions over trade, is there

possible rift growing between the two allies? Paula Hancocks has more.

(BEGIN VIDEO CLIP)

PAULA HANCOCKS, CNN INTERNATIONAL CORRESPONDENT (voice-over): It started so well, a state visit in June, a dinner agreement on North Korea, then a

slight bleep as U.S. President Donald Trump publicly chastised the South Korean leader for what he saw as an unfair trade deal. But North Korean

missile launches brought back the alliance we are used to seeing, joint force, U.S. and South Korean military side-by-side, shoulder-to-shoulder.

And now this on Sunday, a direct jab at the South Korean President Moon Jae-in's desire for more dialogue with the north. A tweet from President

Trump that read, South Korea is finding as I have told them, that their talk of appeasement with North Korea will not work, they only understand

one thing.

JOHN DELURY, ASSOCIATE PROFESSOR OF CHINESE STUDIES, YONSEI UNIVERSITY: You can't really get a more toxic term than appeasement, and so to throw that

at your ally, who apparently is saying to President Trump, look, dialogue needs to be part of the mix. At this moment, when North Korea has just

tested a nuke, it's a real head spinner as to, you know, what the president thinks he gets out of that.

HANCOCKS (voice-over): Mr. Trump spoke to Japan's Leader Shinzo Abe twice in 24 hours over North Korea's actions, but is yet to pick up the phone to

call the South Korean president, leading some in Seoul to ask, what happened?

This man says we're the ones dealing with this directly. It's fine to talk to Abe, but Trump should have talked to the South Korean president first.

If there's war, it will be on this peninsula.

This young woman says if the U.S. responds too strongly to North Korea, North Korea might choose an extreme response. I'd like to know what

responsibility Mr. Trump would take if that happens.

Walking the streets of Seoul, it doesn't look like a country technically at war. Tensions are not visible, but there is concern all the way up to the

president that military confrontation with the north be avoided at all costs. Add to that President Trump's insistence of a free trade deal that

South Korea thought was signed, sealed and delivered be renegotiated, confusion is rife.

HANCOCKS: One side that couldn't be happier about this perceived drift between the U.S. and South Korea, North Korea, a less unified response to

its nuclear and missile tests only gives Pyongyang political success as well as its recent technical success. Paula Hancocks, CNN, Seoul.

(END VIDEOTAPE)

LU STOUT: Here in Seoul, some have noticed that there has been no mention of any phone call between President Trump and President Moon, but the

military chiefs of both nations spoke with each other after North Korea's nuclear test.

China is responding to a tweet by U.S. President Donald Trump that says, the U.S. is considering stopping all trade with any country

[08:05:00] that does business with North Korea. Beijing calls any such actions unfair and unacceptable and says it's been working hard to

peacefully resolve tension on the Korean peninsula. The Chinese president is hosting leaders of the BRICS nations for talks.

Let's bring Andrew Stevens from the side of those talks in Xiamen. Andrew, we've been talking about this all day today. This must be dominating

discussions in Xiamen. When the U.S. president threatens to stop all trade from any country doing business with North Korea, how did China, how did

India respond to that?

ANDREW STEVENS, CNN CORRESPONDENT: Well, the main response was what you just read out there, China through the Ministry of Foreign Affairs saying

it was unacceptable and unfair given the fact that China was going to (INAUDIBLE) peaceful resolution to the crisis on the Korean peninsula and

said that the neutralization (INAUDIBLE).

But that didn't really resonate, obviously hasn't resonated with Donald Trump. Here, most people are saying about that tweet, Kristie, that it's

just so far into left field. It's almost not worthy a response because if you take the U.S.-China trade relationship, for example, we are talking

about $580 billion, $120 billion of U.S. exports goes to China.

So if that stopped overnight, imagine the consequences on the U.S. economy of that sort of money, those sort of jobs disappearing, et cetera, et

cetera. India is a much, much smaller number, but they would have ramifications as well.

So, it hasn't been the major topic of conversation that you would consider although obviously China is aggrieved by it, but the BRICS leaders seem to

be focusing on getting their ducks in a run, coming out with a unified strong condemnation of North Korea and pushing hard on this line of

dialogue. That is what they say is the best way forward, in fact the only way forward is talks with North Korea.

LU STOUT: Got it. So the BRICS nations altogether there at the conference in Xiamen calling for and pushing for dialogue as the way to manage the

North Korea issue. I also wanted to get your thoughts on another tweet from Donald Trump while we have you, Andrew. Donald Trump saying, quote, North

Korea is a rogue nation which has become a great threat and embarrassment to China which is trying to help, but with little success, unquote. Once

again, Donald Trump puts the blame on China. What more can China, should China do?

STEVENS: Just on that embarrassment line, that's really -- there is a ring of truth there without a doubt, that Kim Jong-un ordered this nuclear test

right as Xi Jinping was stepping on to the international stage as the host of this BRICS Summit. This is the third time that North Korea has done

something similar when President Xi has stepped into the international spotlight and that has irritated Beijing intensely.

What can China do? Well, there is no doubt that it holds the key to -- really the economic future of North Korea at the moment, if you like, and

90 percent of trade of North Korea goes to China. These are all statistics we have' been talking about for the past few days, that if China chose to,

it could close off the oil supply, the energy supply, that would hurt.

If China chose to, it could scale back on the textile products going between the two countries. And it could also target banks, Chinese banks,

which are helping North Korea get money out into the international financial system. On the energy first, Kristie, that's the really big one.

But the equation still remains in China that if you turn those oil taps off, you would destabilize Korea to the point where it could collapse.

Again, we've heard this do many times, but China keeps repeating it, they are not prepared to see a collapsing North Korea on their border with the

prospect of millions of refugees, with the prospects perhaps of the U.S. taking a bigger role and a unified Korea having the U.S. literally on their

doorstep.

So China has so far pushed back on any attempts to increase, particularly from Donald Trump, to increase the economic pressure. The United Nations

Security Council meets as we know in the next few hours, sanctions are on the table. U.S. Treasury Secretary Steve Mnuchin has said this much, that

he's got a package of much tougher sanctions.

China would have to be involved in those. The question is, is their strategic thinking going to change because of this game-changing move by

North Korea? Thermonuclear device by all accounts are capable of hitting the U.S. So, the ball is in China's court. China will say, it's the U.S.

who has to talk, but China still has the keys to the North Korean economy. It can move. The question is, will it? And a lot of people here will say

[08:10:00] it's unlikely China is going to change its stance there, Kristie. It is going to go for this hard line particularly about something

like oil as fundamental as energy supplies to North Korea.

LU STOUT: Yes. It would just cut too deeply, but we'll see what comes out of that U.N. Security Council emergency session which as you pointed out

will be starting in just a couple hours from now. Andrew Stevens reporting live from Xiamen. Thank you.

This latest provocation from the north comes nearly after Pyongyang fired a missile over Japan. Japan's prime minister called the nuclear test, quote,

a grave and imminent threat. We get the latest now from Tokyo with Will Ripley who was reporting from Pyongyang only a few days ago.

Will, we know that Prime Minister Abe and Donald Trump, they do enjoy a good personal relationship. They talk to each other on the phone. Mr. Abe

says that Japan will take determined actions against North Korea. What does that mean? Do we know what shape that would take?

WILL RIPLEY, CNN INTERNATIONAL CORRESPONDENT: Well, all we have to go by are the actions that we've seen so far, which is the United States and

Japan pressuring their allies to step up enforcement of sanctions against North Korea and continue to try to pressure China, as Andrew was just

talking about, because their other options are extremely limited.

They can continue to show force in terms of bomber and fighter jet fly- overs. They can deploy military assets to the region, strategic military assets such as aircraft carriers, U.S. aircraft carriers, remember the

"Carl Vinson" strike group was deployed off the Korean peninsula back in April after tensions were escalating there.

But the bottom line is, their options truly do remain limited when it comes to reining in North Korea and of course we have just seen time and time

again a defiant response from Pyongyang and its leader Kim Jong-un.

LU STOUT: And also reaction from the comments we heard, from the U.S. Secretary of Defense James Mattis, warning for a quote, massive military

response, to North Korea after its nuclear test. Is that raising some concern there in Tokyo?

RIPLEY: People in Japan are certainly nervous to hear about any talk of a military response, but frankly the actions of North Korea are also making

people nervous. So, it was just a week ago that people woke up to the sound of air raid sirens in Hokkaido, Japan's norther island, and received

terrifying messages on their phone telling them that a North Korean missile was coming and they had to seek shelter at sturdy building.

This is the first time that there is an entire generation of Japanese who are growing up with this kind of threat. Obviously this country still is

deeply scarred by the atomic bombs that were dropped on Hiroshima and Nagasaki. Now, they are living with that fear revived. However, unlikely or

perhaps likely it may be depending which analyst you are talking about, that there could be more bombs raining down on this country.

I mean, a lot of North Korea's missile launches to date have been launched in the direction of Japan and have come down in the waters off of Japan.

Now, there are indications that this new, these new preparations for missile launches in North Korea may send those missiles on a trajectory

toward the Pacific Ocean.

Whether that would be the Pacific Ocean off of Hokkaido as we saw last week or in a southerly direction toward the U.S. territory of Guam, that has yet

to be seen.

LU STOUT: All right. CNN's Will Ripley reporting live for us from Tokyo. Thank you, Will.

Our next guest played a key role in the six-party talks on North Korea's nuclear program. These negotiations stalled over a decade ago, and China

and Russia, they want them revived. David Straub was also the head of the Korea desk at the U.S. State Department. He joins us now. Thank you for

joining us here in the program.

DAVID STRAUB, ASSOCIATE DIRECTOR, KOREA PROGRAM: My pleasure.

LU STOUT: We were talking just then with our correspondent in Seoul and in Tokyo. On one hand, you have that close personal relationship between Prime

Minister Abe and Donald Trump. They talked to each other on the phone after the latest nuclear test by the north.

No phone call reported just yet between President Moon and President Trump. And then you have that tweet of criticism that Donald Trump leveled at the

South Koreans for -- in his talk about appeasement. Where this -- is that a rift? Where does that leave Seoul?

STRAUB: Well, I wouldn't call it a rift yet, but I do think that there is a gap between the two presidents. And I must say President Moon is not

faultless in this, but I think President Trump and the way he acts in general, it is an obstacle to closer U.S.-South Korea relations. In

particular, his tweets are very undisciplined. They caused a great deal of confusion and they even caused fear in South Korea, that we might have a

war here.

LU STOUT: There is a gap between these two presidents, the president of South Korea and the president of the United States. Also, the president of

China and the United States. Donald trump continues to say China, you're not doing enough and even launching indirect threat, you know, saying that

if you continue to do trade, we're not going to trade with you. That's certainly not helping things.

STRAUB: Yes. Well, on the one hand, I think China

[08:15:00] could do a great deal more. One thing that everybody talks about, which is real, which is China could begin to cut off the oil supply

to North Korea. That is the only thing that I can think of that might in the short to midterm have a decisive effect.

But the idea that we are going to cut off all trade with China much less all other countries in the world that have any trade with North Korea, this

is bizarre. This is really not leadership, it's the opposite of leadership.

LU STOUT: When you get a trade threat from an ally, when you are being called out with the criticism on Twitter and yet you need to deal with

President Trump when you have to manage the North Korean crisis, what is your advice for leaders of American allies in east Asia about what they

need to do to manage this relationship?

STRAUB: The South Koreans I think are trying to deal with this by having people -- deal with the people directly under President Trump, for example,

General McMaster and General Mattis and other people -- Secretary Tillerson, and then only deal with President Trump when they really have

to.

But even so, we still don't have this telephone call between President Trump and President Moon even after this test. Maybe it will happen

tomorrow. So my advice would be to deal with the second tier as much as you can, but then you still have to deal with President Trump because he is the

president he got the football and we just can't avoid him.

LU STOUT: We heard moments ago from our correspondent in Xiamen covering the BRICS conference that the BRICS nations there, assembled there,

including of course Russia and China are calling for dialogue, that should be the way forward. Should it?

STRAUB: Well, eventually dialogue is something that I think U.S. government wants and is necessary.

LU STOUT: Yes.

STRAUB: But it has to be dialogue about things that are in American interest. Otherwise, it's not in the American interest by definition to sit

down with the North Koreans.

Currently, it's quite clear that the North Koreans hope that when dialogue between them and the United States eventually takes place, it's going to be

something like, OK, you Americans, we're equal to you because we have nuclear weapons too and it's time for you to remove your military forces

from South Korea, so that we can then deal with the South Koreans the way we want to.

LU STOUT: You have to create the right conditions before you sit down at the table gain and you did sit down at the table with North Koreans on the

negotiating team about a decade ago. What was it like to negotiate with them? What's their negotiating style? Do they have a list of demands? Do

they ask a lot of questions? What it's like?

STRAUB: I think the North Koreans are excellent negotiators in one way. They are very manipulative. They are very disciplined. They are very smart.

They are very knowledgeable. In fact, I'm embarrassed to say it, they are much more knowledgeable about these issues than the American negotiators

have tended to be.

I don't think that they themselves really know what their top leadership is doing. I think they have a set of talking points and position papers. And I

think they -- in a very disciplined way, they act on that basis. It's a very frustrating exercise dealing with the North Koreans.

LU STOUT: Yes. David Straub, really fascinating. Thank you for sharing your time with us and your analyses.

STRAUB: Thank you.

LU STOUT: Take care. All right. In the U.S., some 800,000 young undocumented immigrants could soon live under the fear of deportation. If

President Trump decides to cancel an Obama era immigration program, that's what is going to happen. The call he's making to change the dreamer policy,

that story is next, keep it here.

[08:20:00] (COMMERCIAL BREAK)

LU STOUT: Welcome back to this special edition of "News Stream." We are live from Seoul. The latest on the escalating tension following North

Korea's announcement that it tested a hydrogen bomb. U.S. President Donald Trump suggested several possibilities including stopping trade with nations

that do business with the north, but it was the U.S. defense secretary who made a forceful and carefully crafted statement about a response.

(BEGIN VIDEO CLIP)

JAMES MATTIS, UNITED STATES SECRETARY OF DEFENSE: Any threat to the United States or its territories including Guam or our allies will be met with a

massive military response, a response both effective and overwhelming. We are not looking to the total annihilation of a country, namely North Korea,

but as I said, we have many options to do so.

(END VIDEO CLIP)

LU STOUT: All right. Pentagon correspondent Barbara Starr joins us now with more on the difficult military choices ahead for the United States and its

allies. Barbara, thank you for joining us. The South Koreans believe after detonating a nuclear bomb -- is North Korea preparing for another missile

test? I mean, that what the defense ministry here is saying.

BARBARA STARR, CNN PENTAGON CORRESPONDENT: It is what they're saying in South Korea. No reaction here at the Pentagon yet, Kristie. Of course, it's

a federal holiday in the United States and the federal government is closed. But, U.S. spy satellites, the U.S. intelligence community really

continuing to watch North Korea around the clock for any signs of just that, could they be fueling up another missile, could they be getting ready

for more launches.

And of course, the big question is, if they are, what are we talking about? Are we talking about an intercontinental ballistic missile or something of

a shorter range? Still very troublesome but less worrisome perhaps. Kristie?

LU STOUT: Yes. And the reaction that we heard from Secretary James Mattis on the back of that nuclear test over the weekend, the U.S threat of a

quote, massive military response, could you interpret that for us?

STARR: Well, you know, I think the secretary is reflecting U.S. policy which is if North Korea were to attack or threaten the United States or

allies that there would be a military response. But this has always been a very problematic issue of course, you know, because of Seoul and its

proximity to the DMZ and to North Korea just across the DMZ.

The challenge has always been if you were to attack North Korea, the presumption is North Koreans would launch a counter attack very quickly

killing tens of thousands in Seoul.

And that's, you know, that's been the challenge that nobody can seem to get on top of, and it should be emphasized really that the U.S. State

Department, the Pentagon very much still on the page of diplomacy hoping that that will be the answer. Defense Secretary Mattis has repeatedly said,

conflict war on the Korean peninsula would be disastrous.

LU STOUT: Got it. So despite that saying, the focus still remaining on diplomacy. And also want to hear from you, the update to threat assessment,

after the nuclear test and ahead of the anticipated additional missile launch by the North Koreans, what does the United States believe is North

Korea's capabilities and its motives?

STARR: Well, let's talk about capabilities, you know, and this is also a challenge because you really only know what North Korea's got after they

use it, after they test it, but the presumption by U.S. military commanders for the last couple of years now has been you have to take them at their

word.

If they say they have a missile, you have to believe they do. If they say they have a warhead, you have to believe that they do. That the planning

scenario is you really have to plan against the worst case and that is that they have the capability they say they have. Kristie?

LU STOUT: All right. Barbara Starr, we thank you for your reporting. Take care. Meanwhile, sources say that U.S. President Trump is on the verge of

making a major change to U.S. immigration policy.

[08:25:00] He could end the dreamer program, which is allowing some 800,000 undocumented immigrants to live in the U.S. without fear of being deported.

Joe Johns tells us the president's plan is already causing a firestorm of controversy.

(BEGIN VIDEOTAPE)

UNIDENTIFIED MALE: Should the dreamers be worried?

DONALD TRUMP, PRESIDENT OF THE UNITED STATES: We love the dreamers. We love everybody.

JOE JOHNS, CNN SENIOR WASHINGTON CORRESPONDENT (voice-over): Sources tell CNN that President Trump is expected to end an Obama era program that

protects young undocumented immigrants who were brought to the U.S. as children from being deported. The issue, one of the president's core

campaign promises.

TRUMP: I want the children that are growing up in the United States to be dreamers also. They're not dreaming right now.

JOHNS (voice-over): President Trump's plan would affect some 800,000 so- called dreamers studying and working in the U.S. Two sources with knowledge of Trump's thinking tell CNN that the president is planning to delay his

action for six months, giving congress time to come up with a legislative replacement to DACA, but a growing number of Republicans are speaking out

against the move.

PAUL RYAN, SPEAKER OF THE UNITED STATES HOUSE OF REPRESENTATIVES: These kids don't know any other home. I think there is a humane way to fix this.

I think President Trump agrees with fixing this. And it's got to be up to the legislature.

SEN. JEFF FLAKE (R), ARIZONA: There are 800,000 DACA kids, kids who were brought across the border. The median age I think is six years old for

those 800,000 when they came across the border. They shod not be punished for the sins of their parents.

JOHNS (voice-over): Senator Bernie Sanders says ending the program would be one of the ugliest and cruelest decisions ever made, while Republican

Congressman Steve King praised it as a chance to restore rule of law.

TRUMP: We are going to deal with DACA with heart. I have to deal with a lot of politicians don't forget, and I have to convince them that what I'm

saying is right. The DACA situation is a very, very difficult thing for me because I love these kids.

JOHNS (voice-over): Before leaving the White House, Mr. Trump's predecessor bowed not to remain silent if he went after dreamers.

BARACK OBAMA, FORMER PRESIDENT OF THE UNITED STATES: Efforts to round up kids who have grown up here and for all practical purposes are American

kids and send them someplace else, when they love this country.

(END VIDEOTAPE)

LU STOUT: And we've seen Washington correspondent Joe Johns reporting there. Now, many tech company executives in the United States are

criticizing Mr. Trump's possible move including the CEO of Apple, Tim Cook, who tweeted this, quote, 250 of my Apple co-workers are dreamers. I stand

with them. They deserve our respect as equals and a solution rooted in American values, unquote.

Now, the cleanup has started in parts of Texas as flood waters recede. Houston is now mostly operational, but recovery will be long and it will be

difficult. Thousands of people still can't go home and in some areas, there are worries that hazardous materials from damaged toxic waste sites could

spread into water.

At least 53 people were killed in the storm. The state governor said that the scale of this disaster could surpass the damage by hurricane Katrina

and hurricane Sandy combined, and that Texas could need more than $120 billion to recover.

South Korea's defense minister says North Korea has a warhead small enough to fit on the head of an intercontinental ballistic missile. When we come

back, we will have more on our top story as the international community works to contain the threat.

[08:30:00] (COMMERCIAL BREAK)

KRISTIE LU STOUT, CNN ANCHOR: Welcome back. I'm Kristie Lu Stout in Seoul. You're watching News Stream, and these are your world headlines.

(BEGIN VIDEO CLIP)

LU STOUT: North Korea threatens to obliterate the South if it doesn't stop holding military drills. The South simulated an attack on North Korea's

nuclear site and says more are to come. The drill was conducted after the North said it successfully detonated a hydrogen bomb.

German Chancellor Angela Merkel faced off with her election rival Martin Schulz in a televised debate, hot topics, simply the refugees, the auto

industry and of course North Korea.

Her rival argued the U.S. President Donald Trump is not the right person to solve the North Korean threat. While Miss Merkel said, she doesn't think

the crisis can be solved without the U.S. president.

Now Britain's Prince William and his wife Catherine are expecting their third child. Kensington Palace announced the pregnancy this morning adding

that the queen is delighted by the news. Catherine is suffering from severe morning sickness and is being cared for at Kensington Palace.

(END VIDEO CLIP)

LU STOUT: We're turning now to our top news story. The South Korean defense minister telling lawmakers that the North has succeeded in

miniaturizing a nuclear warhead small enough to fit on an ICBM.

For more on what's next in containing the sort of more threats to come, Paula Hancocks joins us now. Paula, thank you so much for joining us here

tonight.

You've been following reports out of the South Korean defense ministry that North Korea could be up to another provocative action. What could be next?

PAULA HANCOCKS, CNN CORRESPONDENT: That's right, Kristie. This is what we're hearing from the NIS or the intelligence agency. They have got spy

planes over looking what is going on in North Korea right now.

And they think they're seeing preparations of some kind of ballistic missile launch, whether it's the submarine ballistic missile launch or

whether it's an ICBM.

That Intercontinental Ballistic Missile, that angers the United States so much that's what we've seen in the last month or so, and they -- they said

that it could come within days.

I mean we have got a big date on the North Korean calendar. Coming up Saturday is Foundation Day. This time, last year on Foundation Day, they

actually cried out a nuclear test.

Now they have done that already. Now what we could see is another ICBM potentially going into the Pacific Ocean so reaching further than we've

seen before.

LU STOUT: Yes, I was just going to say that sixth nuclear test was anticipated and it happened and as a result today, South Korea launched

these live fire drills. What exactly happened and what was the signal it was sending?

HANCOCKS: Well, they were very visual. This was a live fire drill like you saw the South Korean fighter jets. You saw the surface-to-surface

ballistic missile which was a simulation of attacking North Korean asset off the east coast of Korea.

And what we heard -- the statement as what was quite formal saying that they are showing a willingness that they makes them wipe out this threat

and they could also wipe out the North Korean leadership. So it was a very open threat to the North Korean Leader Kim Jong-un.

We saw the same last week after the missile launch, they said again we are able to destroy the enemy's leadership so this is something that's quite

new, ever recent weeks that South Korea was being quite so open in threatening the North Korean leader.

LU STOUT: South Korea also such a key and critical ally to the United States, and it was a bit surprised that when that bit of Twitter criticism

was leveled at it for talk of appeasement. What's been the reaction here for that?

HANCOCKS: That's right. I mean suddenly the appeasement is a -- is a very loaded words. He -- when translated into Korean, it doesn't seem to be as

offensive but certainly they are concerned more by the fact that Donald Trump has spoken to the Japanese leader twice in 24 hours.

LU STOUT: Yes.

HANCOCKS: And yes, since the nuclear test has not picked up the phone to the South Korean president yet.

LU STOUT: Yes

HANCOCKS: So this is what people on the streets that I was talking were mentioning why almost -- why are we being left out.

LU STOUT: Yes. Paula Hancocks always appreciate your report1ng. Thank you so much, take care. All right, the international nuclear watchdog

agent, say the IAEA calls Pyongyang's weapons test quote, extremely regrettable.

Now for more, our international diplomatic editor Nic Robertson joins me now live from Vienna. Nic, tell us more about what the director-general

told you.

[08:35:00] NIC ROBERTSON, CNN CORRESPONDENT: Yes, look he's very, very concerned about what North Korea is doing at the moment. He describes this

particular test as we have heard from many people as the biggest yield, the biggest test so far.

And he says when you put that together, you know, coming from his position of expertise on global view and global reach, when you put this biggest

test so far together with the fact that the last couple of tests were just a year ago.

That the pace and scale now is at such a situation he says, this clearly shows the rapid progress -- his words, rapid progress that North Korea is

undergoing at the moment.

I asked him is it possible to say whether this is in fact a hydrogen bomb as North Korea claims it is. He says at the moment it's not possible for

him at least to be able to say that.

Look, North Korea at the moment is claiming that it can miniaturize this weapon and put it on an ICBM. Does the IAEA have enough information to be

able to make an analysis of that.

And he said look, we can't -- we can't know for sure but he said very clearly what we have learned with North Korea, and again we're haring this

from other people.

What we have learned from North Korea is that when they say that they're going to do something, they generally follow through on it and that's his

view at the moment. He believes that this threat has gone from being a regional threat to a global threat.

(BEGIN VIDEO CLIP)

YUKIYA AMANO, DIRECTOR GENERAL, IAEA: I think North Korean -- a North Korean threat is a global one now. In the past we believe that is regional

issue. It is no longer the case and everyone is aware that this is a global threat. And this is a new level of threat combined with some

nuclear weapons and missiles.

(END VIDEO CLIP)

ROBERTSON: Now, the IAEA also gives reports several year updates on each country, on North Korea their report came out just a few days ago, he told

me what they're seeing is a continued activity-- nuclear activity at an enrichment facility at refinement facilities, at extraction facilities, the

development of their nuclear sites and peripheral sites as well.

So from his estimation of what they're seeing by monitoring and their interpretation, the experts here at the IAEA is that North Korea as we can

see demonstrated by its weapons test is continuing with its nuclear development at quite a considerable pace.

The IAEA he said is stepping up to have monitors ready, ready trained up to a new level, should they be required by some international agreement which

isn't on the horizon yet to go to North Korea and provide a valuable service monitoring North Korea's facilities.

LU STOUT: All right, Nic Robertson live in Vienna. We appreciate that update there. Now the standoff on the Peninsula remains unresolved decades

after the Korean War started. And now a veteran of that war has a message to Kim Jong-un. Hear what he has to say, when we come back.

(COMMERCIAL BREAK)

LU STOUT: You're watching News Stream and we are live from Seoul with special coverage of the intensifying crisis on the Korean Peninsula in the

wake of Pyongyang's hydrogen bomb test.

[08:40:00] The Korean War started nearly 70 years ago and technically hasn't ended and led to the death of tens of thousands, and today The

horror of that war lives in the mind of 85-year-old veteran Park Myong-Ho. He reads us a letter that he has written to the leader of North Korea.

(BEGIN VIDEO CLIP)

PARK MYONG-HO, VETERAN, KOREAN WAR (through translator): Dear Chairman Kim Jong-un, please stop this missile threat towards the U.S. Pacific territory

of Guam.

I, Park Myong-Ho, met your grandfather Kim Il-sung at Seodaemun, Red Cross Hospital in Seoul during the Korean War. I was 17, and working as an

assistant for the hospital.

When your grandfather came out of the Sudan to inspect the hospital, I saw this tall, handsome man with a commanding presence.

At first, he was brimming with confidence, but as he walked out of the hospital, after seeing countless wounded soldiers, I could see the regret

and sorrow in his face.

During the last days of the Korean War, at Nakdong River Defense Line, I saw so many North Korean soldiers bleeding, their arms and legs were

amputated, their head injured. They did not know what to do. Many were not able to get to the hospital.

Seeing those soldiers I couldn't help but feel deep sadness thinking why as such young men had to die on South Korea's territory.

Because of your grandfather's delusion, the Korean War broke out. And millions of young soldiers were sacrificed, more than 10 million families

were separated and more than 80 percent of the houses across the country were destroyed.

The Korean War was terrible. No war like it should happen again. Why? Why are you threatening to wage to war in our beautiful land where the

scenery stretches far and wide?

Why? For what? I was shot several times during the Korean War, and am still suffering from its aftermath. There should be no war again on this

beautiful land. I wish there peace on the Korean Peninsula, World War Veteran, Park Myong-Ho.

(END VIDEO CLIP)

LU STOUT: A dream for peace there and that is it for this special edition of News Stream coming to you live from Seoul. I'm Kristie Lu Stout and

World Sport with Amanda Davies, is next.

END