The US pointman for sanctions on North Korea holds talks in Malaysia today, possibly on links banks have to the North's finances, while a report said Pyongyang may have shot mid-range missiles in a series fired on Saturday.
North Korea launched seven ballistic missiles, South Korea's defence ministry said, in an act of defiance towards the United States on its Independence Day, further stoking regional tensions already high due to Pyongyang's nuclear test in May.
"We are on high alert," a South Korean defence ministry source said, adding there were no initial signs more launches were coming today.
The North appears to have fired three mid-range Rodong missiles, which can hit all of South Korea and most of Japan, and four Scud missiles, which can strike most of South Korea, Yonhap news agency quoted a South Korean official as saying.
"We found five of the seven missiles fell near the same spot in the East Sea [Sea of Japan], which indicates that their accuracy has improved," the official said.
The officials said the missiles flew about 450 kms and it will take a few days to confirm what was fired.
Reports on Saturday said all seven missiles were likely Scuds. The Scud and Rodong are both ballistic missiles and their launch would mark an escalation of military moves by the North, which has fired several non-ballistic, short-range missile since the May 25th nuclear test.
Impoverished North Korea is barred by United Nations resolutions from firing ballistic missiles such as the Scud, which defence officials said were designed by the North to target US allies South Korea and Japan.
The North has more than 600 Scud-type missiles and 300 Rodong missiles, defence officials said.
It was the biggest barrage of ballistic missiles the North has fired since it launched seven, including its longest-range Taepodong-2, in 2006 near the July 4th holiday.
Japan is considering introducing a new ground-based missile defence system to complement interceptors it currently has, the Japanese daily Mainichi reported.
The launches came as the United States has cracked down on firms suspected of helping the North in its trade in arms and missiles, which were subject to UN sanctions imposed after the nuclear test and are a vital source of foreign currency for cash-short North Korea.
The United States may have found several bank accounts in Malaysia suspected of belonging to North Korea and may freeze them as part of the crackdown, Yonhap reported, citing an unidentified source in Washington.
US Ambassador Philip Goldberg, the US coordinator for the implementation of UN Security Council Resolution 1874, will discuss the banks with officials in Malaysia, the source said.
However, Malaysian deputy finance minister Chor Chee Heung cast doubt on the report when asked if such discussions were the object of Goldberg's visit.
Reuters