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Viewing cable 08SEOUL2341, PRESS BULLETIN - December 8, 2008

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Reference ID Created Released Classification Origin
08SEOUL2341 2008-12-08 07:42 2011-08-25 00:00 UNCLASSIFIED Embassy Seoul
O 080742Z DEC 08
FM AMEMBASSY SEOUL
TO SECSTATE WASHDC IMMEDIATE 2543
USDOC WASHDC 7866
DEPT OF TREASURY WASHINGTON DC
CIA WASHINGTON DC//DDI/OEA//
USCINCPAC HONOLULU HI//FPA//
SECDEF WASHINGTON DC
JOINT STAFF WASHINGTON DC
DIA WASHINGTON DC//DB-Z//
UNCLAS SEOUL 002341 
 
 
DEPT FOR EAP/K, EAP/PD, INR/EAP/K AND INR/IL/P 
TREASURY FOR OASIA/WINGLE 
USDOC FOR 4430/IEP/OPB/EAP/WGOLICKE 
STATE PASS USDA ELECTRONICALLY FOR FAS/ITP 
STATE PASS DOL/ILAB SUDHA HALEY 
STATE PASS USTR FOR IVES/WEISEL 
 
E.O. 12958: N/A 
TAGS: KPAO PGOV PREL MARR ECON KS US
SUBJECT: PRESS BULLETIN - December 8, 2008 
 
Opinions/Editorials 
 
1. U.S. Automakers' Blaming of the ROK Preposterous 
(Dong-a Ilbo, December 8, 2008, Page 27) 
2. North Korea's Nuclear Verification Needs Patience 
(Hankook Ilbo, December 8, 2008, Page 39) 
 
 
Features 
 
3. U.S. State Department Asks Ambassadors Overseas to Submit 
Resignations 
(Dong-a Ilbo, December 6, 2008, Page 8) 
 
 
Top Headlines 
 
Chosun Ilbo 
Obama Plans "New" New Deal to Create 2.5 Million New Jobs 
JoongAng Ilbo 
Owners of a Single Home in Provincial Areas to be Exempt 
from Comprehensive Real Estate Tax 
Dong-a Ilbo 
Sweeping Reshuffle of Blue House Secretariat Planned 
at Year's End 
Hankook Ilbo 
Mid-term Evaluation of Public Firms' Presidents Planned 
Before Year's End 
Hankyoreh Shinmun 
Modern History DVD Produced by Education Ministry Downgrades "April 
19 Revolution" of 1960 
to "April 19 Demonstration" 
Segye Ilbo 
North Korea Demands Additional Corresponding Measures 
in Return for Putting Nuclear Sampling in Writing 
Seoul Shinmun 
18th National Assembly's First Regular Session Ends Tomorrow, 
With 2,325 Bills Still Pending 
 
 
Domestic Developments 
 
1. Former U.S. Ambassador to the ROK Alexander Vershbow, in a Dec. 5 
speech organized by the Korea Economic Institute (KEI), called for 
Seoul to show flexibility in promptly dealing with the KORUS FTA. 
(Chosun, Segye) 
 
International News 
 
1. The Six-Party Talks on North Korea's nuclear programs will resume 
in Beijing today. (All) Given the North's insistence that the issue 
of nuclear sampling should be dealt with at the next phase of 
negotiations, this round of the Six-Party Talks is expected to be 
very difficult. Chief ROK Delegate to the Six-Party Talks Kim Sook 
was quoted as telling reporters yesterday: "I'm not very optimistic 
about the talks." (Chosun, JoongAng, Dong-a, Hankook, all TVs) 
2. According to a diplomatic source in Beijing, North Korea recently 
delivered to the U.S. its position that additional corresponding 
measures are necessary in order to include nuclear sampling in a 
verification protocol. (Segye) 
3. Seoul, Washington and Tokyo, meanwhile, are considering a 
compromise proposal to include the word, "nuclear sampling," in a 
s-e-c-r-e-t memorandum. (JoongAng) 
4. North Korea, in a Dec. 6 statement by a Foreign Ministry 
spokesman, said that it will not talk with Japan in the upcoming 
Six-Party Talks because Tokyo refuses to provide promised energy aid 
for Pyongyang. (JoongAng, Hankyoreh) 
5. The chief ROK and North Korean delegates to the Six-Party Talks 
will meet today in Beijing for a bilateral meeting. An ROKG official 
was quoted as saying: "The two sides will discuss the North Korean 
nuclear issue, but if time permits, they will also discuss 
inter-Korean relations." (All) 
 
Media Analysis 
 
Six-Party Talks/North Korea 
All the ROK media today gave wide play to today's resumption in 
Beijing of the Six-Party Talks on North Korea's nuclear programs. 
Most newspapers predicted that the issue of including sampling of 
North Korea's nuclear facilities into a verification protocol would 
be the biggest bone of contention during this round of talks and 
that the talks would be difficult, given the North's insistence that 
the nuclear sampling issue should be dealt with at the next phase of 
negotiations.  The ROK media also noted that the Dec. 4-5 
preparatory meetings in Singapore between the chief U.S. and North 
Korean nuclear negotiators failed to produce results on the sampling 
issue.  Chief ROK Delegate to the Six-Party Talks Kim Sook was 
widely quoted as telling reporters yesterday: "I'm not very 
optimistic about the talks."  Right-of-center JoongAng Ilbo reported 
today that the ROK, the U.S. and Japan are considering a compromise 
proposal to include the word, "nuclear sampling," in a s-e-c-r-e-t 
memorandum.   Conservative Segye Ilbo's front-page report, 
meanwhile, cited a diplomatic source in Beijing as saying that North 
Korea recently delivered to the U.S. its position that additional 
corresponding measures are necessary to codify nuclear sampling into 
a verification protocol.  Moderate Hankook Ilbo editorialized: 
"North Korea seems to be aiming to use the sampling issue as a 
bargaining chip at the U.S.-North Korea normalization talks, rather 
than delay the completion of the second phase of North Korea's 
denuclearization process for no reason.  There are also some 
expectations that North Korea may take a compromising attitude at 
this negotiation.  Observers speculate that North Korea will take a 
hard line in inter-Korean relations while indirectly showing its 
commitment to negotiations with the U.S. ahead of the launch of the 
new U.S. administration.  In this regard, it is desirable that we 
should read North Korea's intention well and induce the communist 
state to take even a small step forward from its initial stance." 
 
Most of the ROK media also gave attention today to a Dec. 6 
statement by a North Korean Foreign Ministry spokesman that North 
Korea will not talk with Japan in the upcoming Six-Party Talks 
because Tokyo refuses to provide promised energy aid for Pyongyang. 
 
Conservative Chosun and Segye Ilbo and right-of-center JoongAng Ilbo 
carried inside-page reports on Saturday citing ruling Grand National 
Party (GNP) Rep. Chung Mong-joon as telling Korean correspondents in 
Washington on Dec. 4: "I was told during a meeting with former 
Secretary of State Henry A. Kissinger that North Korea last month 
asked the former Secretary of State to visit Pyongyang, and former 
Secretary Kissinger responded to the North's offer by saying that he 
would visit Pyongyang if two conditions were met: a U.S. president 
officially asks him to do so as an envoy, and the North pledges to 
dismantle its nuclear programs." 
 
Opinions/Editorials 
U.S. Automakers' Blaming of the ROK Preposterous 
(Dong-a Ilbo, December 8, 2008, Page 27) 
 
United Auto Workers (UAW) President Ron Gettelfinger vehemently 
criticized the ROK's car market and automakers when asking for 
financial assistance at a hearing.  He stated, "While the ROK 
exports 669,000 cars to the U.S, the U.S. exports 5,000 cars (to the 
ROK).  How can we compete with such a nation?" and this remark was 
broadcast live nationwide in the U.S.  He also argued in late 
September, "It is unfair that the ROK's import tariff is higher than 
that of the U.S." 
 
The best-selling vehicles in the U.S. are Japanese.  Last year, 
Japanese carmakers' market share in the U.S. hit a record high of 
28.6 percent.  Gettelfinger's remarks are tantamount to "taking his 
anger out on the wrong person."  He is attacking the ROK with the 
aim of hiding UAW's wrongdoings and receiving a financial bailout. 
His comment on the ROK's import tariff is also incorrect.  While the 
ROK and the U.S. impose 8 and 2.5 percent tariffs, respectively, on 
passenger cars, import tariffs on trucks are 10 percent in the ROK 
and 25 percent in the U.S.  In addition, when the ROK-U.S. Free 
Trade Agreement takes effect, the ROK will lift tariffs on all kinds 
of vehicles, but the U.S. will remove tariffs only on vehicles with 
engines smaller than 3,000cc. 
 
Through his statements, Gettelfinger clearly intends to turn around 
the U.S.'s negative public opinion about Big Three automakers and 
their labor unions.  Even U.S. lawmakers do not hesitate to say, 
"Financial bailout is meaningless now.  We should let a couple of 
companies go bankrupt."  Forbes.com criticized the UAW by saying, 
"The Big Three sold their souls to the devil unions." 
 
Relying on the strength of its 460,000 members, the UAW pressured 
the companies to pay health insurance premiums for retirees and 
their families and helped them to live in the lap of luxury, even 
 
providing Viagra.  Now that their companies are on the verge of 
collapse, the UAW is pleading, "Please save us," but the reaction of 
Americans is cool. 
 
North Korea's Nuclear Verification Needs Patience 
(Hankook Ilbo, December 8, 2008, Page 39) 
 
The Six-Party Talks will open the meeting of chief negotiators in 
Beijing today to discuss adopting the nuclear verification protocol. 
 Their goal is to put nuclear verification principles in a written 
agreement.  However, since North Korea is refusing to accept nuclear 
sampling, a key means of nuclear verification, at the Yongbyon 
nuclear facilities, the negotiations are expected to face rough 
going.  In order to overcome the biggest hurdle in the second phase 
of denuclearization, the members of the Six-Party Talks should put 
their heads together and try to persuade the North to change its 
stance. 
 
When U.S. Assistant Secretary of State Christopher Hill visited 
Pyongyang in October, the North reportedly made it clear that it 
will accept sample-taking in principle.  However, it is still 
arguing that sample-taking should be allowed not in the second phase 
of denuclearization but in the third nuclear dismantlement phase. 
No compromise was reached, either, at the talks between Assistant 
Secretary Hill and his North Korean counterpart Vice Foreign 
Minister Kim Kye-gwan in Singapore on December 4-5. 
 
North Korea seems to be aiming to use the sampling issue as a 
bargaining chip at the U.S.-North Korea normalization talks, rather 
than delay the completion of the second phase of North Korea's 
denuclearization process for no reason.  This is why, observers say, 
Pyongyang is avoiding including sample-taking in the protocol.  As a 
result, (Six-Party nations) are discussing compromises, such as 
finding another way of taking samples or dividing verification 
measures into several steps, but it is not certain whether North 
Korea will accept it. 
 
However, there are also some expectations that North Korea may take 
a compromising attitude at this negotiation.  Observers speculate 
that North Korea will take a hard line in inter-Korean relations 
while indirectly showing its commitment to negotiations with the 
U.S. in advance of the launch of the new U.S. administration.  In 
this regard, it is desirable that we should read North Korea's 
intention well and induce the communist state to take even a small 
step forward from its initial stance. 
 
The second phase of North Korea's denuclearization process (nuclear 
disablement) and the provision of heavy fuel oil to North Korea was 
supposed to be completed by October.  However, it has been delayed 
to date due to the North's stubborn attitude.  Furthermore, Japan's 
refusal to provide heavy fuel oil to North Korea in protest over the 
abduction issue is also leading (relevant countries) to look for 
other countries to replace Japan.  Simply criticizing North Korea 
will not make things better.  The denuclearization of the Korean 
Peninsula is a goal that can be achieved only after a long and 
difficult process.  This is why we have to have patience pursuing 
this goal. 
 
Features 
U.S. State Department Asks Ambassadors Overseas to Submit 
Resignations 
(Dong-a Ilbo, December 6, 2008, Page 8) 
 
By Washington Correspondent Ha Tae-won 
 
It is routine during the transition toward a new administration... 
sources say, "Ambassador Stephens is highly likely to stay in her 
post, but it is not guaranteed." 
 
AFP reported on December 4 that, in advance of the inauguration of 
President-elect Barack Obama on January 20, the U.S. Department of 
State has asked some 170 ambassadors serving abroad to tender their 
resignations. 
 
This is aimed at ensuring the U.S. President's prerogative to 
appoint ambassadors to U.S. missions overseas.  It is customary for 
career ambassadors to submit their resignations right after the U.S. 
presidential election every four years. 
 
This also applies to U.S. Ambassador to the ROK Kathleen Stephens, 
who has been serving in the ROK for less than three months since 
assuming her post in September. 
 
If history is any guide, career diplomats, not political appointees, 
usually stay in place unless they make a serious mistake or complete 
their two- to three-year term.  For example, U.S. Ambassadors to the 
ROK William Gleysteen and Richard Walker stayed on in 1981 and 1985, 
respectively. 
 
When an incumbent Ambassador resigns with a change of government, 
the Charge d'Affaires takes up the duties of the Ambassador.  For 
instance, Ambassador Donald Gregg resigned in 1993 when the Bill 
Clinton administration was launched, and Stephen Bosworth resigned 
in 2001 when George W. Bush took office. 
 
Sources in Washington said, "As of now, (Ambassador Stephens) is 
highly likely to stay in her post, but no one can guarantee what 
decision the next U.S. President will make," adding, "Although the 
new administration could consult with its ally, the ROKG, it is not 
a necessary procedure." 
 
 
Stephens