ABSTRACT
Chapter 6 proposes specific proposals for how North Korea could prepare its trade policies. Assuming that the nuclear issue defines the pace at which North Korea will enter the world trade system, Chapter 6 examines key constraints on the trade policy to be designed and suggests three specific options that meet these constraints. It argues that the unilateral trade liberalization measures required by the absence of a solution to the nuclear issue may be a blessing for North Korea because they will put its economy on the right economic track. Also the chapter examines the conditions for making beneficial bilateral trade agreements possible by means of an emerging solution to the nuclear issue, and preparing the WTO accession that will follow and/or “seal” a final solution to the nuclear issue. Finally, it also suggests ideas for closer relations between North Korea and South Korea for the best of the whole peninsula, and options for North Korea to participate in ongoing FTA negotiations in East Asia.
