Washington had cancelled joint drills with Seoul, scheduled in August, following a historic summit between North Korean leader Kim Jong-un and US President Donald Trump in Singapore after Pyongyang had committed to denuclearization in exchange for security guarantees from the US.
One will connect the South's eastern border county of Goseong with the North's major eastern port of Wonsan, and the other will run between the North's western city of Kaesong and the capital Pyongyang, said the statement.
"No change is actually a pretty significant story. this is still an active site producing plutonium for North Korea", according to Jeffrey Lewis, a professor at the Middlebury Institute of International Studies.
Tensions around the nuclear state have eased after North Korean leader Kim Jong Un met with his counterparts from South Korea and U.S. While it's far from clear whether the two halves of the peninsula will ever reunify, they may be closer to establishing two peaceful, independent states, which by UBS' analysis would also help growth. "There is no longer a Nuclear Threat from North Korea".
"I'm confident what he intended there was we did reduce the threat", said Pompeo. "For the moment, we have reduced risk".
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By contrast, Pyongyang is expected to call on Seoul to start joint work early on road repairs and connection on the assumption that the sanctions will be eased in line with progress in the denuclearization of North Korea.
"North Korea is not obligated to any specific actions as of yet, but (these images) certainly underscore the importance of continuing negotiations, and getting a detailed agreement in place to freeze North Korea's nuclear program", said Jenny Town, managing editor at 38 North, in emailed comments.
The basic position of the worldwide community is that sanctions can be lifted after the North Korean nuclear issue is resolved, Unification Minister Cho Myoung-gyon told a forum in Seoul, adding South Korea should respect an global consensus.
He added that Washington D.C. will not put a timeline on negotiations with North Korea, but will instead constantly reassess latter's commitment to denuclearisation.