Russia ready to mediate North Korea-U.S. talks

The Kremlin said on Tuesday thatRussia stands ready to act as a mediator between North Korea andthe United States in talks aimed at reducing tensions, if bothparties are willing for Moscow to take on this role.

"Russia's readiness to clear the way for de-escalation isobvious," spokesman Dmitry Peskov said in a phone call withreporters.

South Korea predicted on Tuesdaythat North Korea would look to open negotiations with the UnitedStates next year in an optimistic outlook for 2018, even asSeoul set up a specialized military team to confront nuclearthreats from the North.

The UNSecurity Council unanimously imposed new, toughersanctions on reclusive North Korea on Friday for its recentintercontinental ballistic missile test, a move the Northbranded an economic blockade and act of war.

"North Korea will seek negotiation with United States, whilecontinuing to pursue its effort to be recognized as a de factonuclear-possessing country," South Korea's unification ministrysaid in a report, without offering any reasons for itsconclusion.

The ministry of defence said it would assign four units tooperate under a new official overseeing North Korea policy,aimed to "deter and respond to North Korea's nuclear and missilethreat."

• North Korea calls latest UN sanctions 'act of war'

Tensions have risen over North Korea's nuclear and missileprograms, which it pursues in defiance of years of UNSecurity Council resolutions, with bellicose rhetoric comingfrom both Pyongyang and the White House.

U.S. diplomats have made clear they are seeking a diplomaticsolution but U.S. President Donald Trump has derided talks as uselessand said Pyongyang must commit to giving up its nuclear weaponsbefore any talks can begin.

In a statement carried by the official KCNA news agency,North Korea said the United States was terrified by its nuclearforce and was getting "more and more frenzied in the moves toimpose the harshest-ever sanctions and pressure on our country."

• UN Security Council unanimously OKs stiffer sanctions against North Korea
• Tillerson, White House offer different opinions on North Korea talks

China, the North's lone major ally, and Russia bothsupported the latest UNsanctions, which seek to limit theNorth's access to refined petroleum products and crude oil andits earnings from workers abroad, while on Monday ChineseForeign Ministry spokeswoman Hua Chunying called for allcountries to ease tension.

On Tuesday, Beijing released customs data indicating Chinaexported no oil products to North Korea in November, apparentlygoing over and beyond UNsanctions.

China, the main source of North Korea's fuel, did not exportany gasoline, jet fuel, diesel or fuel oil to its neighbour lastmonth, data from the General Administration of Customs showed.

China also imported no iron ore, coal or lead from NorthKorea in November.

North expected toadapt tosanctions

In its 2018 forecast, South Korea's unification ministrysaid it believed the North would eventually find ways to bluntthe effects of the sanctions.

"Countermeasures will be orchestrated to deal with theeffects, including cuts in trade volume and foreign currencyinflow, lack of supplies, and reduced production in each part ofthe economy," the report said.

The latest round of sanctions was prompted by the Nov. 29test of what North Korea said was an intercontinental ballisticmissile that put the U.S. mainland within range of its nuclearweapons.

The Joongang Ilbo Daily newspaper, citing an unnamed SouthKorean government official, reported on Tuesday that North Koreacould also be preparing to launch a satellite into space.

Experts have said such launches are likely aimed at furtherdeveloping the North's ballistic missile technology, and as suchwould be prohibited under UNresolutions.

The North Korean Rodong Sinmun newspaper said on Mondaysaying that "peaceful space development is a legitimate right ofa sovereign state."

North Korea regularly threatens to destroy South Korea, theUnited States and Japan, and says its weapons are necessary tocounter U.S. aggression.

The United States stations 28,500 troops in the South, alegacy of the 1950-53 Korean War, and regularly carries outmilitary exercises with the South, which the North sees aspreparations for invasion.