Chapter 8 The Fourth Round of Talks in Pyongyang

North Korea officially informed China that Sinuiju Special Administrative Region would be established. On July 10, Qiao Shengli accompanied Li Jiahua, the famous investor, to visit Holland Village to discuss the details of investment the Sinuiju special for oil refineries and ports. After dinner, I went to their villa to visit my old friend Qiao.
At 22:30 in the evening, Yang Bin called me to accompany Qiao Shengli to his residence at A9.
Yang Bin had just sent off his visitors, only three of us talking. He happily told us that he had just received the news that on yesterday (9th) North Korea’s Ministry of Foreign Affairs formally notified the Chinese Embassy in North Korea that they wanted to meet Chinese ambassador to North Korea. Because China's ambassador to North Korea was currently China, the Chinese envoy participated in the meeting with North Korea’s Ministry of Foreign Affairs. Talks lasted for one and a half hours, mainly on three points: Firstly, North Korean Government was prepared to establish Sinuiju Special Administrative Region, we hoped that Chinese government would understand and support; Secondly, owing to the contributions of the Dutch Chinese Yang Bin, President of Holland Euro-Asia Group, to the modernization of agriculture in North Korea, we decided to appoint him as the Chief Executive of Sinuiju Special Administrative Region. Thirdly, we hoped that your government would ensure the security of Yang Bin enterprises in China as well as financial and personal security. Chinese envoy to North Korea replied that, I would immediately report the matter to the Chinese Government.
Yang Bin could not hide his excitement, he said: “We should accelerate the investment invitation, speed up! The future investment promotion in the special region is your business. And with funds, you will be in charge of the construction of the region. I heard from Guan that you were commander-in-chief of the construction of Shekou?”
Qiao Shengli replied quietly: “That is a matter of the past.”

[Photo: Photograph of Qiao Shengli and the author in Myohyang Mount, North Korea]
Yang Bin was still extremely excited, he said immediately: “Good. You should be commander-in-chief of the construction of Sinuiju Special Administrative Region, and also be the Director of Merchants Bureau. You have a lot of work to do!”
Qiao Shengli said nothing, listening quietly.
Seeing me beside, Yang Bin added: “Guan, you will be in charge of the newspapers journalism and propaganda…”
I could only say with a smile: “I am too old!”
Yang Bin asked Qiao Shengli: “Qiao, do you think establishing Sinuiju Special Administrative Region is a good thing? Is it beneficial to the prosperity of northeast Asia?”
Qiao Shengli still replied in a moderate tone: “I think it is a good thing for North Korea to engage in opening up the Sinuiju Special Administrative Region, which is conducive to the peace and development of Northeast Asian and complies with the “theme of peace and development” proposed by Chairman Jiang.”
Yang Bin nodded: “Yes. It is worthwhile if a person is capable of doing such an important thing. The special is not my own, it is everyone's. I also hope that you can make some money in the region to guarantee the lives and study abroad of the next generation. Guan, you need not to worry about your poor afterlife…”
Yang Bin’s words impressed me. Scholars sometimes were easy to be satisfied with only a few thoughtful words.
On June 11, Ma Ning, Weng Yongxi, Wang Nuo, Tong Lianfa and so on arrived in Holland Village, Shenyang, invited by Yang Bin.
Yang once again told everybody that the North Korean government met the Chinese envoy. We have listened very pleased that the Chinese Government will support the new Sinuiju Special Administrative Region, North Korea can “open”, after all, is a good thing.
In order to maintain the unity of thinking and external consistency among members of “Yang Bin delegation”, Weng Yongxi proposed at the meeting: “The North Korean government has formally notified the Chinese government through diplomatic channels, so the issue of Sinuiju Special Administrative Region will gradually become clear and public. Therefore, we have to pay special attention to our words and deeds. First of all, we will never do anything harmful to China or North Korea.”
Weng Yongxi said: “As regards to Sinuiju Special Administrative Region, there will be many people asking you. How to answer? Our words should not be different. In order to speak with one voice, here are six criteria:
A： What is the special region? It is an international free trade zone established by North Korea in Sinuiju, covering financial services, logistics, high-tech, processing, tourism and property.
B: How do you think of Sinuiju Special Administrative Region? Swords into plowshares, it is a matter committed to peace, reform and opening up, and it can promote and stimulate China’s economy, especially that of the Northeast.
C: How to judge this issue？Establishing the special region is North Korea's sovereignty; is the cooperation between Holland companies and North Korea; is the decision made by General Kim Jong II and he chose Yang Bin.
D: Who is Yang Bin? (1). He introduced the Holland classic agricultural to China, contributing to China’s agricultural modernization. (2). After Kim Jong II visiting the Volkswagen and greenhouse agriculture in Shanghai, he found Yang Bin and asked him to engage in modern agriculture model in Pyongyang, North Korea. Yang Bin said that at present in North Korea, there are "seventy percent of mountains, twenty percent of fields and ten percent of water", in order to do a good job in agriculture, we must get rid of the shortcomings and use the advantages, focusing on fruit and vegetable cultivation and aquaculture, which won North Korea's trust. (3) North-South is opening up at the north and south end, with Kaesong in the south and Sinuiju in the north. Yang Bin will construct Sinuiju into a international park. (4) Yang is enthusiastic about the economy and the pursuit of success; he is naturally good at struggling and overcoming difficulties. (5) Yang Bin is not involved in politics, no big country background, no political background, and no political elements. Yang Bin believes the Chinese Government, believes the CPC Central Committee is a mature team, and they will support the opening up of Sinuiju, in line with “the theme of peace and development” proposed by President on “OPEK” meeting, (6) How much money does Yang Bin have? Yang Bin can make money.
E: Why does Yang Bin invite you here? We are persons Yang Bin temporary invited, mainly engaged in “Fundamental Law”.
F: What are the two parties going to talk about? It is the “Fundamental Law”. North Korea considers the establishment of the Sinuiju Special Administrative Region is a good thing. Our attitude is to respect “the unbreakable Sino-North Korea friendship” China supports this issue because it is good. It is beneficial to the peace and stability of Northeast Asian as well as peace and development in Asia and the world.
In short, remember the two sentences: speak facts and take the main road. ①
Representatives participating in the negotiations on Sinuiju issue all hoped that this could help North Korea promote the opening up, hoped that this would benefit the peace and development of Northeast Asian, and hoped that this would strengthen Sino-Korean friendship. This was the common wish of everyone.
The story occurred after crossing the Yalu River
On June 18, 2002, Wilson, an Australian grape fazenda owner and wine plant boss arrived in Shenyang. He was going to pick sites for building grape plantation and wine plant, introduced by Yang Bin. On the next day, he flied to Pyongyang with Yang Bin and some others. In Pyongyang, I had accompanied Wilson twice to Pyongyang, Nampo and other places to study the sites of grape plantation. In November 2007, Wilson came to Beijing on a business trip, Ma Ning and I feasted the three of his family in Diaoyutai State Guests' House. We were very glad meeting old friends and we had a lot of feelings talking about the days in North Korea, Sinuiju and Yang Bin. This happened after the issue.
On June 19, Wang Shifu, Yang Bin’s uncle (a geography professor in Nanjing University), Wang Nuo, Yang Dayong, Cui Yang, two girls cooking for Yang Bin (I had eat what they cooked in Holland Village for several times, the meal was delicious with color, smell and taste, high praised by members in Yang Bin delegation. They were all taught by Yang Bin personally.), and I, left Shenyang at about 8 in the morning, arriving at Dandong in the noon by the train from Shenyang to Dandong. When we went to Pyongyang in April, the 230 km from Sinuiju to Pyongyang took as long as six hours; and the “computer software” ② trouble we encountered at the customs inspection house delayed another two hours. Although we prepared mineral water, but we did not prepare the food, so everyone was hungry during the trip. We had learned a lesson, so we had a big meal in Dandong; bring enough mineral water and beverages, together with stuff-steam bun, cooked beef, fried dishes, rice and other food in package to eat in case of hanger.
It was noon in the early summer when the car began to drive on the Yalu River Bridge. The interior temperature was high. When opening the window, we felt the comfortable freeze outside. Boats on the Yalu River were cruising and the frontier was quiet and peaceful. We arrived at the inspection yard after crossing the Yalu River, and the yard was packed with cars and trucks, bustling.
I met that Major again. It was inevitable that I gave him my “Zhonghua” cigarettes and had friendly talks on seeing each other as old friends. At this time, there were representatives from Ministry of Foreign Affaires of North Korea meeting us, so the inspection went smooth. Our two cars went through South Sinuiju and Fengxi, swaying and shaking, and then we went straight to Chongju, passing Ryongchon and Kumobongri. The rice seedling had been planted in the rice fields along the road, all green. The corn seedling had already grown on the hillside, which were more than one foot high, but thin and weak, shaking with the wind. The land in North Korea was hilly and infertile, so the crops would need a lot of fertilizers. However, the fertilizer they produced was not enough to meet the requirements of the farmers. When passing the hilly area, I thought why did they plant fruit trees on the hillside? I asked my Korean friends, they said that the rural agricultural production cooperatives were collective nature. After the “three-year flood”, they had been struggling to resume production and harvest more food, not being able to plant fruit trees. They did not have high-quality fruit seedlings and fertilizers, more important, fruit could not be harvested at the same year. During the two or three years, what would they eat? I fully understood that they had many difficulties at the same time and food should enjoy priority. But the North Korean government had taken note of the fruit planting and vegetables in the hilly areas and had instructed North Korea Horticulture Company to negotiate on the cooperation with foreign investors. They would cooperate through a way that North Korea would transfer the land and provide labors while the foreign investors provide funds and technology. Yang Bin's invitation of Wilson, the Australian farm owners to Pyongyang for grape cultivation projects, and the Argentine agricultural entrepreneur who would arrive in a few days were all cooperation with North Korea Horticulture Company.
Our vehicles went through Chongju, Baixianglou and Chongchon River Bridge, and then we entered South Pyongan Province. We had covered half of the trip and stop beside one pavilion beside the road. The Korean friend asked us to have a rest and man could take the woods as the toilet.
The sun began to set and it was 4 in the afternoon. The early summer sky was blue and cloud-free for miles. The primary school had just dismissed and the children wearing red scarves went back to their villages, accompanying each other. We believed that we could arrive in Pyongyang earlier this time, so we took the food we brought from Dandong out of the car and gave them to the children. On seeing our Chinese, they were first at a loss; when we approached them to give them our food, they scattered to escape. This was true for several times and no one could give the food to them. We had only to give the food to the entourage from the Ministry of Foreign Affairs and told them that they could give the food to Korean friends. Taking the food, they went to tell the old men in the pavilion for sunbath. The old men lived in the near villages, killing time in the pavilion together.
We also approached to greet them. But they would not take the stuff steam buns, beef, dishes and rice in the plastic boxes. In order to dispel their doubts, I got a stuff steam bun and ate; entourage and the Korean driver also ate the stuff steam buns. Immediately, the old men stretched out there bony hands, competing to get stuff steam buns, and began to eat. The tuff steam buns, beef, dishes and rice were eaten up by the several old men immediately.
After swallowing the food, each of them was given a bottle of mineral water. We Chinese guests were very happy. North Korea was in a "difficult period" we had passed and we were very sympathetic to the suffering of North Korean people. Because we had suffered this and we were deeply aware of what was the taste of hunger.
At about 7 pm, we finally entered the urban area of Pyongyang. Pyongyang was very beautiful with the lights. Despite of the electricity lack, the main streets and buildings were still ablaze with lights. Comforting by the night freeze in early summer, we arrived at the Moranbong Ambassador Hotel which we left two months ago.
Yang Bin, Li Gang, Shi Jun, Zhou Xiang, Liu Dianhui and Wilson, the Australian arrived in Pyongyang in the morning by a special plane, staying in Moranbong Ambassador Hotel. Seeing that we arrived before dinner, Yang Bin was very pleased. Because he wanted to gamble in the Yanggakdo Hostel and we were needed to add the fun.
He said during the dinner:” After dinner, everybody takes a break and then we go to Yanggakdo.”
We smiled, knowing that Yang Bin could not help wanting to gamble.
Yang Bin smiled at me and said:” Guan, with you, I win each time.”
It was true that during our stay in Pyongyang in April, I had accompanied him to Yanggakdo for several times. He always won. When leaving Pyongyang, he won US$80,000 in total.
On June 20, at about 10 am, Ma Ning, Wang Huidong, Qiao Shengli, Li Su, Tong Lianfa, Luo Weijian and so on arrived in Shunan International Airport by a passenger plane. Up to then, all members of Yang Bin delegation reached Pyongyang for the fourth round of talks.
Negotiations began after the education of revolutionary tradition
In the morning of June 21, people from Euro-Asia Group, including Yang Bin, Li Gang, Ge Xianmin and Wang Yumin, accompanied by President Kim, went to “Pyongyang-Euro-Asia Joint Venture” to inspect the agricultural greenhouse base there. September 9 was the National Day of North Korea, and North Korea hoped that the glass greenhouse would be fully completed before the National Day. But because some of greenhouse equipment had not arrived and constructed, the progress was delayed, which made Kim Dongkyu, Director of North Korea Horticulture Company，very anxious. He asked him to coordinate and solve the problems during Yang Bin’s stay in Pyongyang.
Some of us were arranged to visit the Tower of Juche Idea and the Sino-North Korea friendship tower. The Tower of Juche Idea was established to commemorate the Juche idea- the revolutionary theory proposed by Kim II Sung. It was located at the southern bank of Taedong River. From Rungna Bridge, Okryu Bridge Taedong Bridge, there was a Juche idea steet from east to west, cutting out a long strip, which should be said all within the zone of the Tower of Juche Idea. Stepping on more than ten stages, the platform of the Juche tower appeared. The base platform took an area of thousands of kilometers and it was built by marble, so the design style was very solemn and it could hold tens of thousands of visitors. We met some Korean high school students from Japan, and they were attentively listening to the woman dressed in national costumes explaining the poetry on the full-face of the tower.
We talked with the Korean high school students from Japan through Pak Song Ho, our translator. The students in white shirt and black pants or dresses were from different parts of Japan and gathered to visit their hometown. Hearing that we were from China, they were very glad and had photos with us.
We went on an elevator with the students on an elevator and came to the top of the tower. Standing there, we had a panoramic view of Pyongyang. We were looking for…Taedong River lying at the foot of the tower, Moranbong Ambassador Hotel in our sight nearing the “May 1" stadium on Rungna Island. It was there that on the evening of April 26, Kim Jong II invited Yang Bin and all of us to watch the rehearsal of “Arirang Festival”, meeting General Kim again. Kim II Sung Square was opposite to the Tower of Juche Idea, where Kim Jong II paraded the forces on April 25 and we were invited to the ceremony. There was a high building in the river in the west, which was Yanggakdo Hostel…
Stepping down from the Juche tower, going across the Taedong River, through the Triumphal Arch, we arrived at the Sino-North Korea friendship tower (Monument to the fallen soldiers of Chinese People’s Volunteer). It was not far away from the embassy of People's Republic of China.
It was said that this tower used a total of 1,025 stones, symbolizing that Chinese People’s Volunteers took part in the war on October 25, 1950. At that time, the construction plan of the friendship tower was reviewed by Kim II Sung and Zhou Enlai personnel. The leaders of the older generation of the two countries were so close to each other. We missed that.
This was a square park, with green pines and cypress. Trees appeared everywhere. Climbing on the steps, we went to the bottom of the tower. People could go inside the tower; there were large-scale murals on the walls painted by North Korean artists describing that the Chinese and North Korean soldiers fought against the Japanese aggressors in Changbai Mountains; the Chinese People's Volunteers crossed the Yalu River and fought with the Korean People's Army; the Korean women helped transport supplies for the volunteers; the Chinese People's Volunteers helped North Korea in the post-war construction…
At the center of the hall inside the tower, there placed an exquisite wooden desk. A thick roster on it attracted our attention. That was the list of soldiers martyrs of the Chinese People’s Volunteers in North Korea, with the titles and names of high-ranking officers, commanders and the famous heroic martyrs at all levels. It was a pity that I only remembered the titles of deputy commander, deputy political commissar, division, regiment, battalion, and so on, but did not remember their names. The martyr in the North Korea battlefield with the highest title was a commander named Li Xiang. The names of Mao Anying, son of Chairman Mao, and the well-known Yang Gensi, Huang Jiguang, Luo Shengjiao, Qiu Shaoyun and others were all on the list.
It also reminded me of the way from Sinuiju to Pyongyang, we saw many monuments and cemetery for martyrs of the Chinese People’s Volunteers. Hundreds of thousands of martyrs were buried in the land of North Korea. The Sino-Korean friendship was strengthened with blood. Friends, shall we forget? Forget meant betrayal.
On the afternoon of 21, North Korea arranged Yang Bin and members of the delegation, together with Australian guests to visit Taedong River.
Taedong River originates from Nangnim Mountains in the east part of North Korea, passing Chincheng and Dechuan, it goes west to arrive Longyanli. From there, it directly goes through Sunchuon to Pyongyang. Another river named Potong River originates from the area of Quanyanli, Wuqinli and Fengsui Mount in South Pyongan Province, going south to Pyongyang. The two rivers join with each other at Toulao Island.

[Photo: In the morning of April 23, 2002, accompanied by North Korean representatives, the author and others visited the Tower of Juche Idea and took photos.]
We walked out of Moranbong Ambassador Hotel, finding the blue Taedong River and barge port beside the road at the gate. The barges were not for the public, but only for the visiting international guests and honored guests.
The barge went south along the Taedong River. Passing under the Okryu Bridge, we had a sight of sceneries on both banks. That day was a public holiday; Korean women in national dresses came to the bank with their family. Many small barges were on Taedong River. There were two fountains going into the mid-air in the middle of the river, which was spectacular. We saw the Tower of Juche Idea which we had visited in the morning and we passed the Yanggakdo Island. Soon we saw the confluence of Potong River with Taedong River. Our barge then reached Mangyongdae Ferry, so we anchored, coming ashore. Our cars were waiting there. Then we drove for a while, arriving at Mangyongdae. The hills on both sides of the roads belong to Mangyongbong. The green trees, mainly cypress and pines, were giving a kind of fresh scent. Under the bright sunshine, we walked to the former residence of Comrade Kim II Sung.
Former Residence of General Kim II Sung is situated on a hillside platform of Mangyongdae, which is an ordinary small peasant courtyard. Comrade Kim II Sung took part in the revolution, and his grandparents lived here. The small courtyard is composed of several thatched cottages and the roof is made by layers of rhynchelytrum repens which I had often seen in the Changbai Mountains. This kind of grass is very light, snow proof and durable. The rooms of Kim II Sung’s grandparents are not wide, but very clean. Big pictures of Kim II Sung’s grandparents and parents are hung on the white wall. Accompanied by President Kim and others, Yang Bin presented flowers to pictures of Kim II Sung’s grandparents and parents. Two storage rooms stand opposite to the living room, and there are various tool inside, once used by the old couple.
The guide told us that many relatives of Comrade Kim II Sung participated in the anti-Japanese activities, encouraged by Kim II Sung. Some of them lost their lives in the revolution. We thought about Mao Zedong, his wife Yang Kaihui, his brother Mao Zemin, Mao Zetan, and other relatives all dedicated their lives to the Chinese revolution. At this point, Mao and Kim are the same.
The female guide also told us that leading the People’s Army, Kim II Sung liberated Pyongyang. After the welcome ceremony held by 400,000 people in Pyongyang, at noon of October 14, 1945, he came back to Mangyongdae to visit his grandparents who survived the sufferings. Recalling this, Kim II Sung wrote:
“My grandfather, without any shoes, went to the yard from the room, holding me with his hands, breaking down in tears and said: ‘Our eldest grandson comes back, let me look at you!’ Seeing me, my grandmother said: ‘You leave your parents there and come back alone?’
“On that day, I took out the liquor I brought from Pyongyang, making a toast to my grandfather and grandmother: ‘Grandpa, Grandma, please forgive me. I am older than thirty, but I have never been filial.’
“‘Do not say that. You realize your father’s will for Korean independence, which is filial piety. Is there any filial piety even greater than that? Do you best for the country and for the people, that is filial piety.’”③
The grandmother of revolutionists could help crying on seeing the grandson coming back more than 20 years later and was proud of such a dedicated revolutionary grandson.
Yang Bin and the Australian guest Wilson were deeply impressed on hearing that. They stood in the yard and in front of the gate of Former Residence of General Kim II Sung, asking me to take photos for them.
We returned to the Moranbong Ambassador Hotel and talked, saying that we were educated in Pyongyang on the revolutionary traditions before the negotiations.
Controversy on the four important positions
At 22:00 on the 23rd, the negotiations began in the conference room on the third floor of the Cultural Palace in Pyongyang.
Kim Dongkyu, head of North Korea's delegation first talked about our visit last day, he said: “Thank you for your visit!” We all smiled, probably because of reminding of the sentence “educated on the revolutionary traditions before the negotiations”.
Kim Dongkyu said to Yang Bin face to face: “The glass greenhouse is a project we plan to present to the National Day and General Kim on September 9. We hope that Yang will try to complete the construction for us to present to General Kim. Mr. Yang, GM Weng, GM Ma and all of you present have talked several times with us, and we become one family. I hope this time will be a success. We want to know first the ideas of President Yang Bin.”
Yang Bin first replied to the greenhouse question, he said: “The sunshine greenhouse is a great success. The progress on glass greenhouse goes on smoothly. I want to solve the problem of vegetable supply for North Korean people. After seven months, Pyongyang’s climate and the progress of the project are very good. Although it is only a model, its importance lies in telling the North Korean people that their living problem in winter, the dependence on the weather and the future foodstuff problems can be successfully solved in such a way. Because a million acres of greenhouse will solve the vegetable problem for North Korean people during the winter season. Thank General Kim for sending so many troops that the construction is carried out smoothly. Tomato is bearing fruits; cucumber is bearing fruits; and cantaloupe is also bearing fruits. The negotiations on Sinuiju should also bear fruits and the harvest should be shared by everyone.”
President Kim was not as poetic as Yang Bin, he clearly said: “I hope that we could agree on the legal issues. We have different opinions on the appointment of President of the Legislative Session, President of the Court and Director-General of the Public Security Bureau. Our opinion is that they should be recommended by North Korea and appointed by the Legislative Session. Your opinion is that they should be foreigners. We think that it will not influence the international investment invitation if the officials lower except the Chief Executive are elected from residents in the special region or in our mainland? The person in charge of the special region is a foreigner, and there will be no problem if the President of the Legislative Session, President of the Court, Attorney-General, and Director-General of the Public Security Bureau are people from North Korea.” If the positions are held by Europeans or Singaporeans, although they are experienced, they are not familiar with local conditions and they don’t know how to manage the natives. The Chief Executives in Hong Kong and Macao are local people. Considering this, we insist that we recommend. Go ahead if you have different opinions.”
Yang Bin: "We have discussed this issue for many times. The only purpose is for the special region. We are not taking the positions from North Korean people, but we think that it is better if they are foreigners. We will not fail, like Sonbong-Rajin. Our aim is to make the foreigners invest. We are also obliged to do so. It is to attract the investors to come. For example, the police are invited from abroad, but the majority of officials below could be North Korean. I want to make the foreigners realize that the special region is different from the other regions in North Korea.
“Personally, I do not want the North Koreans holding important positions. If the positions are appointed to foreigners, we at least have a good image. What is our purpose? The enterprises are here for interests. The special region is to cater to investors. Generate the desire to eat fish for the cats. Investors are like cats, and they follow the smell of fish. But if you put cayenne outside and inside the fish, cats will not dare to come.
“Chairman Kim always goes abroad and he knows the outside situation. People in the world do not understand the real situation in North Korea, and hostile forces also discredit North Korea. Investors from Japan and the United States dare not come. The key is that who can solve the problem, which is a tough job. If I do a bad job in five years, North Korea can dismiss me. Like the glass greenhouse, we first have a model of six kilometers, but North Korea can not even provide enough electricity power for this. What to do? I had been thinking about this, and came up with the idea of sunshine greenhouse, so the vegetable plantation in greenhouse is solved.
“Investors are like parents to marry their daughters: talking about premises before marriage, when she gets married and has a baby, she can not get away. I have invested so much money on Holland Village in Shenyang that I have to continue no matter it is good or bad. I can not bring Holland Village with me. Marrying your daughter, you should not study the brothers of the bride. The most important thing is to marry the bride first.”
Hsu Ming-kui: “Foreign investors come here after reading Fundamental Law. Their investments depend on Fundamental Law instead of the officials. It should be the law which determines the investment environment. We will publicize Fundamental Law as soon as possible. “
Yang Bin: “Do not include in Fundamental Law that who will take the positions. I am also doing research. The foreign public security laws and regulations are completely different from that of North Korea, mainly crimes against property. Kidnapping and dominating the market most appear in the name of companies, which are fundamentally against the government's income. Now, North Korea's public security bureau is not familiar with these. For example, fake checks, fake credit cards, banking and financial fraud, etc. Dealing with these complex economic criminal activities, we must allow those who have years of experience in the market economy, holding the important positions. Legislative Session is a double-edged sword, and it is important for the police and prosecutors to take this sword properly. If they handle improperly, it will not only affect a person, a case, but the overall image and the future development of the special region.”
Hsu explained: “The department leaders are North Korean, but the inferior officials can be foreigners! We think that President of the Legislative Session, President of the Court and Director-General of the Public Security Bureau should be from North Korea. The Chief Executive can manage and supervise them. If we say that the failure of Sonbong-Rajin should blame the local officials, Yang Bin should be the Chief Executive, enjoying three powers to supervise the inferior officials.”
Finding that Yang Bin’s metaphors of “cat theory” and “marrying daughter” failed to persuade the North Korea representatives, Weng Yongxi expressed our opinions from another angle. He said:” Can you give us a transitional period? Five years or 10 years. It takes time to train a volleyball team into a basketball team. We often say that the most typical system of the highest efficiency is maritime vessel. There is only one captain on board, but the driver, engine room or sailors must obey the command of the captain. This is a high concentrated leadership. Otherwise, if the driver is commanded by the first and the engine room is commanded by the second mate, the vessel will not be able to sail, even accidents will happen!
“Look at the example of the Director-General of the Public Security Bureau again. He is going to face a most open free trade zone in the world, international drug organizations, mobdom, business fraud, computer crime…, it is hard for all international governments and police. In face of these difficult issues, our director-general will be lack of experience in handling. It is a solution to invite someone from abroad. But there are risks. It is dangerous that the inferior officials make decisions. The responsibilities of the director-general are not held by him, but by the inferiors. About other officials, it is also the truth. I think you’d better give us a transitional period for us to find someone in this area, who is familiar with the laws, have the ability, and is upright. This position must be appointed to such a person.
“Yang Bin has only two things to do, asking the director to do a good job on his position; cultivate people from North Korea as soon as possible for replacement.”
Weng’s speech was actually very moderate; on the one hand he advocated Yang Bin’s work and on the other hand he suggested the replace of North Korean people after training. Even so, North Korea representatives were discontented. Hsu Ming-kui said: “Does Mr. Weng think that we North Korean people are incapable of handling this?”

[Photo: Weng Yongxi, Yang Bin’s chief adviser, had been an assistant to Zhao Ziyang. ]
It should be said that this was a misunderstanding. Weng Yongxi graduated from Beijing University, majoring international relations. When he was just over 30-year-old in the early 1980s, he was appointed as vice minister in the central government. So he could disrespect North Korea during the negotiations. Not only him, all members in Yang Bin delegation all had made great achievements in our career and many of us had been appointed as secretaries, equivalent to ministers, receiving good patriotic And internationalist education, none of us would have any idea or speech disrespecting the North Korea officials.
In order to avoid misunderstanding, Weng had to further explain: “I do not mean that. Not only the director-general, I mean all of the Sinuiju officials have a problem of transition. It is a process to turning from the work he had engaged for 50 years to a brand new area. We hope North Korea also give us a process. North Korea can recommend some directors experienced in other areas. It is also hard for me to adapt all this immediately, because we have not encountered this situation before.”
Gui Shenghai, North Korea representative, said: “We also want to make a good model. I have considered on your behalf and I can understand your opinion. Many people in the mainland are surprised to hear that we are establishing a special region in Sinuiju. We also know some of the reflections of other countries. However, do you have any foreign Chief Executive in your special region? General Kim trusts Yang Bin and appoints him as the Chief Executive of Sinuiju Region. Should you consider the dignity of North Korea? If the law is disclosed and the domestic find that the Chief Executive and principal officials in the region are foreigners, how will they laugh at us! Therefore, we must insist that President of the Legislative Session, President of the Court, Attorney-General, and Director-General of the Public Security Bureau should be North Korean people.”
The speech of Vice Chairman Gui reflected the common ideas of North Korea representatives. They were ordered by Kim Jong II to open the door of the nation, establishing a special region, implementing the opening up and reform policy, and gradually converging with the world. But members of the delegation, particularly those above 50-year-old, their experience were mainly in the 50 years of closure, guided by the Juche idea. The traces were everywhere. The different views on the establishment of the special region from the superiors in the mainland was an invisible pressure for them, so they carefully tried to keep the balance between “open” and “conservative”. This was the minds of members of North Korea’s delegation.
We understand very well the idea and the situation of the members of the North Korea delegation. After all, North Korea had been closed for 50 years. It is impossible to liberate the idea of their cadres all of a sudden. Even if some people thinking openly, they may hide their ideas. We always joked privately, “Hey, Professor Luo, give them a lecture.” Luo was a professor from the Law School of Macao University, taking part in the drafting and negotiation of Hong Kong and Macao Fundamental Law. "Hey, Dean Tong, it is the time for you to give them a lecture!” Tong was the vice president of Liaoning Law College. Therefore, let Qiao Shengli, the person in charge of Shekou special region, which was the earliest opened and reformed city in China, give a lecture to North Korea representatives, which would be kinder and more pragmatic. Qiao Shengli seized the opportunity to share his experience as the commander in Shekou with the North Korea representatives.
Qiao Shengli said: “China’s reform and opening up started in 1978. At that time, China did not have any references. I was pressed when I was sent to Shekou, Shenzhen in 1979. What is a special region? China has never had. There were many different views and understandings, from the lower rank to the superior leaders. By the fourth year of reform and opening up, Deng Xiaoping made a visit to Shenzhen in 1982 mainly to listen and to see, only some occasional questions. Three days later, Deng only had a clear understanding and affirmation of the special region.
“I have spent more than 20 years in Shenzhen, so I have deep feelings. Zhao Ziyang said during his visit that, what you were doing was out of China's current system. It is impossible to be successful if we do according to the system since the foundation of China. The new system works in accordance with the international market economic system. Sinuiju Special Administrative Region is a great decision made by General Kim Jong II, so it is only allowed to be a success.”
“President Yang Bin has feelings for and agrees with North Korean people. He is the Chief Executive holding the responsibilities to General Kim Jong II and North Korean government. Therefore, Yang needs a unified leadership. We hope that North Korea can understand and give us maximum support.”
During talks on the 23, North Korea representatives did their best to win the four key positions. In fact, Yang Bin and his members fully understood their difficulties. Just as mentioned by one representative, how would their people laugh at them if the Chief Executive and the four key positions were foreigners, some would even blame them “traitors”. At the beginning of China’s reform and opening up, a member of the Red Army went to Shenzhen to visit, he cried: "The land we won by guan and blood is ruined by them! The nature of the land has changed!” The story once spread across China, becoming a joke. When Hainan Island held land auction, somebody called it “treason”. We had experienced reform and opening up, so we fully understood the ideological pressure of the North Korea representatives. But Yang Bin and his representatives insisted on their opinions. The confliction between two ideologies was inevitable. Considering this, the most difficult part had not come! ④
Dispute from the beginning of the talks
June 24. At the begging of the talks, the two parties launched a debate.
North Korea representative Hsu Ming-kui first said:
“We will discuss according to the order of Fundamental Law. We have finished Chapter 1 and Chapter 2. We hope that President Yang will agree the part we have discussed. There should be no more change. President of the Court should be recommended by North Korea and appointed by Chief Executive.”
Tong Lianfa: “North Korea previous suggested that be appointed by the Legislative Session.”
Hsu made it clear that: “President of the Legislative Session and President of the Courts are appointed by the Legislative Session. The Administrative Executive is appointed by the Chief Executive. This is ordered by our country. And you have agreed in the past. Who will appoint the Director-General of the Public Security Bureau?”
Yang Bin immediately said: "What about leaving the arrangements for the four key positions? Let’s talk according to the order of Fundamental Law.”
Hsu insisted on not make concessions, said: “We are in accordance your draft, the propositional draft, and the Director-General of the Public Security Bureau is not determined yet. President of the Legislative Session and President of the Courts are elected by the Legislative Session. Do you agree?”
Yang Bin knew about the serious consequences if continued and changed his words a: “I am a stranger married to North Korea from the outside. General trusts me completely so he grants such an important position to me.
“Sinuiju Special Administrative Region is like a large aircraft carrier, and I was the captain. But there are waves during sailing. Everybody should follow the captain to overcome the wind and waves. When there is fog in front, we should make it. But the sailors do not obey my commands and the carrier sinks on encountering an iceberg. My loss does not matter, but it is great loss to North Korean people. Practice has proved that it will be a failure if a person does not have the authority to lead. "
From the left: Ma Ning, Hsu Mingkui (Vice Chairman of Legal Group for Promotion Association for Foreign Economic Cooperation of North Korea)
Hsu Ming-kui: “Neither party cares about the nationality of President of the Legislative Session and President of the Courts, so how about appointed by the Legislative Session?”
Yang Bin: “The first session of Legislative Session is very important, just like textbook of free and open society; the foreigners are looking at us! It is most appropriate that President of the Legislative Session is a foreign. One third of the legislators are appointed by North Korea, one third by the Chief Executive, and remaining one-third of totally 10 should be recommend on the first Legislative Session. The election by residents will begin from the second Legislative Session. The election will be held after the establishment of the Legislative Session. In the early period of the construction of the special region, everything is at the beginning. If there is an old women requiring me to explain everyday how to invite investment and how to do a good job, the special region cannot be constructed well.”
Hsu Ming-kui explained: “Members of the Legislative Session are to provide services for the special region, there will be no other purpose.”
Yang Bin: “China did not send a single person to taking back Hong Kong, the purpose is to avoid fund outflow of foreign-funded enterprises and capital, so that the investors have a stable mentality. Establishing the special region, we will face the contradiction between socialism and high-degree capitalism. This seems to be a team composed of three basketball players and two volleyball players, how to win? The team is in a mess at the beginning. Can you take down our opinions and report to General Kim? We will follow his decisions and commands.”
Kim Dongkyu: “We hope to reach a consensus and report to the General.”
Hearing that it was not the decision of Kim Jong II, Yang Bin said: “My opinion is that I hope to have enough rights to establish the special region, without any bound. It is better to employ foreigners for all the four positions and work according to the rules.”
Hsu Ming-kui: “We have discussed in Shenyang that the 15 legislators should include 8 from North Korea and 7 from Yang. I also said that Chief Executive Tung Chee-hwa do not lead the Legislative Session while Mr. Yang enjoys three powers. So what are you worrying about? The announcement and veto right of the Legislative Session all belong to the Chief Executive! Foreigners will feel that the Chief Executive is more powerful than the U.S. President.”
Hsu Ming-kui: “You recommend the legislators; the President will be elected from the 15 members?”
Yang Bin: “Will President of the Legislative Session be appointed by foreigners, or through elections?”
Kim Dongkyu: “Our aim is to do a good job in the region, enlivening the economy. If there is some discrepancy concerning Fundamental Law, you can put forward! Our opinion is that President of the Legislative Session and President of the Court should be appointed by the Legislative Session and Attorney-General and Director-General of the Public Security Bureau shall be appointed by North Korea.”
Yang Bin said: “I am conflicting in my mind. I really want to do a good job in Sinuiju, making it better. Look, I invite Mr. Qiao Shengli who was the commander-in-chief of the Shekou special region; I did all this for the region…
“I listen to all views, two systems, two thoughts, then what to do? I hope North Korea could give me a transitional period. Knowing each other for months, we are friends. General Kim give me such great responsibility, I have no reason to fail. It is not about what I think; it is the only thing I can do.”
Kim Dongkyu also comforted Yang Bin, and said: “At the beginning, during the transitional period, the Chief Executive must have the power, concentrated. It cannot work without the power.”
Yang Bin: “For the first Legislative Session, the legislators elected by the residents shall be first appointed by the Chief Executive, only for the first session.”
In order to ease the dispute, Kim smiled and asked Ma Ning: “What is your opinion?”
Hsu Ming-kui also joked: “Our central government may recommend GM Ma!”
Yang Bin said again: “Let’s recommend three.”
Kim had to say: “The purpose of all of us is to do a good job in the special region. Everyone has the responsibility to construct Sinuiju into the best special region in the world. So we should debate no more for our own interests. General Kim trusts Yang Bin and he has to do a good job to finish his tasks.”
Hsu continued: “For the judicial power, it is not complete, such as final adjudication. I would like to ask Mr. Yang if the final adjudication belong to the central government.”
Yang Bin: “The central government will finally adjudicate. I have something to add. Singapore resumed death penalty for their regional security. But the Dutch Parliament can not understand. They have asked me why China has death penalty. If there is no death penalty in the Sinuiju region, there will be street fighting, kidnappings and drug trafficking each day. There will be no stability and people would not have a sense of security. Asian countries must assume death penalty. ”
Tong Lianfa explained: “Half of Asian countries abolished death penalty and the other half assume. Life imprisonment is adopted in those countries abolishing death penalty.”
Kim Dongkyu: “Death sentenced by courts in the special region must be agreed by the central government. Most criminals are sent to reeducation camps, including traitors. In order to create a good investment environment in the special region, we must let foreigners understand the laws of the region, and there should be no fraud, drug trafficking, kidnapping and other criminal activities in the region.”
Wang Huidong: “It is said that the Chinese government will send someone to visit North Korea. We hope that North Korean government can talk to Chinese government about the special region. The support from Chinese government is very important.”
Kim Dongkyu: “Do you have specific comments?”

[Photo: Wang Huidong, later becoming the spokesman for Yang Bin, was once educated in the U.S. He suggested to North Korea during the Sinuiju negotiations that ask the Chinese government for preferential policies. The photo is of Wang Huidong and Yang Bin in Holland Village. Photo was taken by Guan Shan]
Wang Huidong made the following suggestions in detail:
Ⅰ. Access to customs
(A)Sinuiju customs should make preferential policies for personnel entering and leaving Dandong and Sinuiju. On entering Sinuiju, all those who have Chinese passports or passports of a third party shall be visa-free or use landing visa.
(B) In the early period of construction, the workers and staff shall obtain work visas, temporary visas and permits to facilitate the access of tourists, investors, businessmen and so on. This may be first implemented in Dandong of Liaoning, Shenyang and Dalian, later expanding to Beijing, Guangzhou, Shanghai and even the whole country.
(C) North Korea (the Sinuiju Special Administrative Region) and China shall build joint inspection buildings to meet the requirements of the increased amount of people, and the working hour should be prolonged. At present the customs closed on Saturdays and Sundays. The human flow and material flow are important to the special region.
Ⅱ.Finance and funds
(A) China can set up Bank of China in the Sinuiju.
(B) RMB shall be allowed to circulate in Sinuiju.
(C) China’s state-owned enterprises and private enterprises shall be free to invest in the special region, creating a relaxed environment for them. Including private enterprises and individuals, funds can be circulated.
(D) China shall encourage Chinese people to invest, setting up plants, shops and enterprises in Sinuiju.
Ⅲ. Trade, import and export
(A) Border trade and barter shall be encouraged. In the construction period, in simple ways, perform trade activities in the fish industry and mining with China.
(B)No customs will exist for trade with China and China is hoped to be customs free.
(C) Sinuiju is a newly established free trade zone. In the re-export trade, the region provides convenient services, such as the establishment of the bonded area, and so on.
Ⅳ. Transportation
(A) Direct air services of civil aviation from Sinuiju to China’s major cities such as Beijing, Shenyang, Dalian, Wuhan, Shanghai, Guangzhou, Xi’an, Chengdu and other places, shall be opened.
(B) Passenger transport and freight from Sinuiju port to China's major coastal cities shall be opened.
Ⅴ. Strength the relations between China and Sinuiju Special Administrative Region government
(A) Strengthen the relations between China and Sinuiju Special Administrative Region government, establishing a liaison group. North Korea can be concluded, i.e. to form a tripartite liaison group. The purpose is to perfect the functions of the special region and promote the construction of the special region.
(B) Ask the Chinese Government and Hong Kong SAR Government to give instructions and trainings on executive, structure and management, etc.
(C) As foreign tourists, businessmen and media are going to Sinuiju and the number will be increasing, the Chinese government is suggested to set up councilor agencies or offices in Dandong or the special region to deal with the foreign affairs.
Kim Dongkyu: “You have these suggestions and requirements finished and report to us. At the appropriate time, we will hand them over while the Central Government exchanging views with China.”
Yang Bin: “The fruits and vegetables produced in North Korea can be exported to China, in the form of border trade or tax-free trade. Or they can be exported to South Korea, Japan, or even to Hong Kong and Southeast Asia through the special region.”
Li Su chipped in: “At the beginning, a large amount of food, building materials, food and daily necessities from China will be needed in the region. We use what to exchange with China? North Korea has minerals, marine products, fish and fruits, which are indispensable for China. In border trades, we hope that China will give preferential policies.”
President Kim: “We shall sort out the items we agreed about Fundamental Law and Basic Agreement. As for the remaining problems, we are friends, so we hope to make agreements. Those beyond our authority will be reflected to the Central government. Thank you.”⑤
The two parties did not reach consensus through the talks
On June 25, the North Korea representatives accompanied us to visit Myohyang Mount.
Myohyang Mount extends to West North Korea Bay from east to west. North of the mount, there are North Pyongan and Miaoxiang Jagang Province, while south of the mount, there is South Pyongan. Rivulets at both sides of the mount converge into a river named Chenglong River, which goes to Pyongyang in the southwest after joining Taedong River near Zhongsanli.
The peak of Myohyang Mount is 1909 meters high, which is a well-knower scenic spot in North Korea. Besides the famous temples, there is a grand Gift Palace of Comrade Kim II Sung, exhibiting gifts from governments, heads of state, political parties and international friends. There are precious gifts in the hall from Chinese leaders and CPC leaders, such as Mao Zedong, Liu Shaoqi, Zhou Enlai, Zhu De, Deng Xiaoping, Jiang Zemin and so on; and gifts from Chinese comrades-in-arms when he participated the anti-Japanese activities in the Northeast. This will enable us to review the unbreakable friendship between the two parties and between the two peoples.

[Photo: On June 25, 2006, Yang Bin was accompanied by the author and others to visit Myohyang Mount. The second from left was Kim Dong-kye, North Korea’s chief representative; first from right was the author and second from right was Yang Bin.]
The range of Myohyang Mount stretches with the forest on it. Clear river water appears in the mountains. In the temple of more than a thousand Mu, there are ancient pines. The several temples contain statues of Kwan-yin or Buddha. There were few visitors in the temple, so we could hear the sound of wind beating up the leaves. It was mid-summer, but it was cool in the temples. Thanks to the hosts for inviting us to visit. Yang Bin probably believed in Buddhism. There were several statues of Buddha in Holland Village in Shenyang. I had seen two statues of Buddha on his desk and glass bookcase in his office. And there was a large statue of Kwan-yin in the living room of his villa. I believed that the other members of Yang Bin delegation had also seen that. Therefore, while accompanying him to visit the temple of Kwan-yin, it was not surprising on seeing him worship and kowtow to the statue and then donated money. Or, rich people all worship the gods to pray for his success? I noticed that President Kim, Kim Xiuji, Pac Chong Ho and the photographers from Pyongyang TV, none of them worshiped the statues of Kwan-yin or Buddha. As North Korea's state cadres, they were not allowed to believe in Buddhism? But their temples, monasteries were well preserved.
We spent a nice day on the picturesque Myohyang Mount. It seemed that we temporarily forgot the tension during our negations and the many not “unexplainable” reasons for our insistence on the good image of the special region.
June 26 was the last day of the fourth round of negotiations.
As usual, the talks were held on the third floor of the Cultural Palace in Pyongyang. I counted the number of representatives of North Korea; it was a total of 13.
As the host, President Kim Dongkyu first greeted: “Thank you for yesterday!"
Yang Bin expressed our appreciations: “Thank you for accompanying us, and we really had a good day!”
Kim Dongkyu: “There is no big problem concerning Basic Agreement. Mr. Yang, do you have any different idea?”
Yang Bin: “Tax issues.”
Qiao Shengli: “As for the economic construction and development of the special region, there is a policy issue at two levels: firstly, the overall policy of the North Korean government for Sinuiju; secondly, the special policy of Sinuiju Special Administrative Region for investment invitation. If the relevant problems can be solved, in my opinion, there exist only the two problems.
“Take Hong Kong as an example, its investment invitation circumstance is very good. On one hand, the economy is developed to a high level; on the other hand, it has experiences on governmental management, which keeps the prosperity of Hong Kong. Adopting the original method of the British, Hong Kong simplifies the tax type and decreases the tax amount, leaving only one income tax with the tax rate of 15 percent. This attracts investors to Hong Kong from all over the world. The good investment environment and the efficient settlement in Hong Kong are best in the world for capitals and investors.
“Sinuiju will absorb the rest of good methods in the world to introduce the best talents and management. The tax rate in Sinuiju shall not exceed 15 percent as in Hong Kong and the tax types shall not be too many, either. In particular, the government should not allow too heavy and too much tax in ten years. Otherwise, it will not be conducive to the investment invitation as well as the construction and development of the special region. I introduce this to ask for permission of the light tax of the special region from the North Korea government. Otherwise, it will be very difficult to be successful."
Hsu Ming-kui asked: “The tax rate shall also be 5%?”
Qiao Shengli replied: “10% is the best.”
Hsu Ming-kui said: “We adopt different opinions and make suggestions to the central government. It can be 14 percent in Sinuiju, and in Russia, it is 35 percent.”
Qiao Shengli explained once again: “The income tax rate in China is only 3 percent, and it is one percent in Shenzhen. It is a good policy of less taxes and low tax rates. In China's reform and opening up process, this policy is effective. All enterprises in the special region are the source of tax revenue, and low tax rate will bring about rapid development and expand the tax source. The total amount of investment on municipal infrastructure construction in Shenzhen in 1998 was 50 billion Yuans. Since 2000, the fiscal revenue of Shenzhen is more than 5 billion, and the amount handed to the central and provincial government is less than 10 billion, so the balance can be used for the improvements of the local infrastructure. In this way, the mayor of Shenzhen has done a good job, which depends on the good tax source developed by policy. The good policy greatly promoted the rapid development of the special region in 15 years.”
Ma Ning: “Individual and corporate income taxes are handed to the local government. Revenue creates favorable investment environment for the special region. Well, who is going to invest? Nobody would dare with bad social order. No investor is enthusiastic with high income tax. The tax is for the sake of region construction. In the first two years, the investment by enterprises loses and there will be little revenue in the first two years. If the enterprises profits in the third or fourth year, the profits will be used to pay for the losses of the first two years. There will be additional profits in the fifth year, so in that year, there will be revenue. We have not come up with a good way. The revenue is not enough to afford the normal expenses of the government, let alone high wages for the officials.”
Kim Yongshu, Chairman of Chairman of the Economic Cooperation and Promotion Committee of North Korea said: “The income tax shall be imposed since the enterprises begin to get profit and the enterprise income tax shall be exempted in the first ten years, do you agree? The special region can make exemption policies. The high-tech enterprises can enjoy preferential policies and the income tax good enterprises can be exempted in four years and half imposed for another three years. But no preferential policy will be enjoyed by backward enterprises.”
Hsu Ming-kui: “To enliven the special region, the tax issue can be discussed later. Today we shall focus on the tax and profit law for the investments by foreigners. Shall there be profits or no profit?”
Yang Bin: “10 percent for high-tech and 14 percent for others, this is low enough. The industrial and agricultural taxes should be from 3 to 5 percent, no higher. Transaction tax and business tax should be handed to the local government, which is the method and assurance for maintaining the stability of local finance.”
Hsu Ming-kui: “Let’s discuss in the Legislative Session.”
Hsu said: “The expenditure of the Sinuiju Special Administrative Region Government must be ensured, please be assured that there is no problem. The details shall be discussed later.”
Yang Bin: “There are three conditions ensuring the foreign investors to come:
“A: Infrastructure. The electricity, water, heat, and short-term telecommunications equipment can be from Dandong. But we can only rely on Dandong for a short term or in a certain period. We must have our own. The construction of telecommunication facilities alone will need 2-3 years. Of course, we can spend several million dollars to build a simplest communication network. The overall planning requires US$10 million, which should be pre-paid. There must be an overall planning even for selling lands and the planning needs money.
“B: Flood control facilities. A local flood control facility shall be constructed to protect the investment risks and profits of the investors. A large amount of funds will be need for disinfection in the two years before the establishment of the special region.
“C: Temporary transportation routes. There shall be temporary docks from Dandong to Sinuiju. We have discussed with Dandong on this issue. The Sino-North Korea Bridge will be put into use in three years, so how to cross the river? I need to raise funds to solve all those problems. With those problems, there will be no investment.
“In a short period of time, primary industry can develop. Tourism can promote the human resource and materials. We should plan the zones as soon as possible, such as industrial zone, Taiwan industrial zone, European agricultural zone, chemical zone, etc., which shall be constructed as soon as possible.
“We have too much to do. It is necessary to organize a new government team. We want to go to the outside, to Europe, Japan, and South Korea, to negotiate and invite investment. We go to the United States, persuading the members of U.S. Congress do not oppose us. We have a lot to do. We should talk with the European Parliament. EC is very important to us.
Moreover, we need to get the support of the Chinese Government, which takes top priority.
Decorate the Yalu River Hotel in Sinuiju as the temporary office of the special region. The staff must be there, including me. Planning should be in place, law and order should be in place and funds should be in place.
Now, the place of the dock remains unsolved. The 4 million tons oil refinery is also under discussion, which shall be constructed in the special region soon.
Entrepreneurs from China, Japan and South Korea also hope to go to Sinuiju as soon as possible.”
Yang Bin: “How to solve the living problems of more than 200,000 Korean people? The enterprises will be closed after the beginning of the construction of the special region, so what will the 40,000 families live on? There is one solution, we build 20,000 sun greenhouses in the special for them to produce vegetables, supplied to the special region or exported to Dandong. In this way, their annual income will reach US$ 2,500. Or they can lease or contract the greenhouses. We shall consider the food, clothes, and living of the 200,000 people and we shall calm down their emotion. We can also ask the North Korea army to construct the greenhouses and deliver the products to Euro-Asia Company for sales. The key is the stability, order and life of the 200,000 people in Sinuiju.”
Kim Dongkyu: “Yang is appointed by the General Kim as the chief executive. We will fully support. Please be assured we are a family and our common aim is to do a good job in the special region. We have made consensus on Fundamental Law and Basic Agreement. As for the discrepancy, we can have more discussions. We will report to the supreme conference for those beyond our authority. We hope that we can achieve satisfactory results when we go to Shenyang days later.”
It could be said that the fourth round of talks was now over. Although there was one afternoon, but there were other arrangements. I thought that the Pyongyang trip made little achievement. It was far from Yang Bin’s hope that “We will go to Pyongyang in June and we hope at that time Fundamental Law is signed by the supreme conference and comes into effect.” It should be said that although progress has been made, but there was no new and important result through this round of negotiation, which was disappointing.
Notes:
① The speech of Weng Yongxi is from my record.
② On April 21, when Wang Nuo, Wang Dayong, Cui Yang and I crossed Yalu River to North Korea, we were inspected at Sinuiju customs and a few disks brought with Cui Yang were found. The information in the disks was concerning Sinuiju Fundamental Law. The female officer of North Korea insisted on checking the information and we refused firmly. Later, Ministry of Foreign Affairs of North Korea contacted Pyongyang and we were released.
③ See page 417, volume 8, Memoir of Kim II Sung, Pyongyang: North Korea Foreign Language Press, 1998
④ Plots and conversations in this chapter all come from my record on June 23, 2002.
⑤ Plots and conversations in this chapter all come from my record on June 24, 2002.