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US President Donald Trump speaks to reporters after his meeting with Kim Yong-chol

US President Donald Trump suggested North Korea’s neighbors such as South Korea, China, and Japan would be responsible for economic aid as a corresponding measure for its denuclearization.

His remarks were seen as reaffirming that he is not considering aid funded by the US.

Trump discussed the issue of economic aid while fielding questions from reporters after a June 1 meeting with Workers’ Party of Korea vice chairman and United Front Department director Kim Yong-chol.

“I think South Korea will do it [provide economic aid]. [. . .] I think, frankly, China will help out. I think that Japan will help out,” he said.

“Those places are very close. It’s their neighborhood. We’re thousands — we’re 6,000 miles away,” he added.

Trump’s remarks drew notice for stressing South Korea’s role as an agent in providing economic aid to the North.

“I’ve already told South Korea, I said, ‘You know, you’re going to have to get ready,’” Trump said.

His remarks suggest some explicit discussion of economic aid took place at a South Korea-US summit held on May 22. South Korean President Moon Jae-in previously outlined a vision for proactive economic cooperation with North Korea during his Apr. 27 inter-Korean summit with North Korean leader Kim Jong-un.

US economic aid to North Korea appears likely to take the form of encouraging private investment. Speaking in a May 13 interview, Secretary of State Mike Pompeo said the US could not spend taxpayer dollars to support North Korea, but added that it would support power grid expansions, social infrastructure, and agricultural development through private investment. Experts have suggested that inflows of US capital would contribute in some way to increasing the practical stability of the North Korean regime.

The US is also expected to explore support through international financial organizations such as the IMF and World Bank as North Korea’s denuclearization progresses. The corresponding economic measures the US offers to the North are expected to consist of a combination of encouragement of US private investment; support from South Korea, China, and Japan; and the use of international financial organizations.

China appears likely to be proactive in providing the North with economic support. During a North Korea-China summit on May 7–8, President Xi Jinping reportedly expressed to Kim Jong-un that China could assist North Korea in stages if a denuclearization agreement is reached. Participation by Japan is expected to be tied to the issue of abducted Japanese nationals and discussed in the context of normalization of North Korea-Japan relations.

By Yoo Kang-moon, senior staff writer

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