A thaw in the North-South relationship is occuring, as evidenced by the Red Cross organizations' talks, ROK government's flexible policy on socialist countries, and talking points for initial contact between the two governments.

North and South Korean Red Cross organizations meet to undertake the reunion of separated families. Although the event is a step toward unification, UNCURK is doubtful that the North-South relationship will improve.

A UN Command officer suggests future ROK and DPRK talks should be conducted directly. The ROK government, anxious to maintain US and UN military presence in ROK, criticizes the statement.

In a drastic change from previous policy, President Park Chung Hee called for the peaceful reunification of the peninsula. One of the prerequisites would be North Korea's uneqivocal acceptance of the competence and authority of the UN. Some believe that the strength of the ROK economy and SALT program may have prompted Park's change in attitude.

The Park administration continues to urge that a modernization of ROK defense forces needs to take place before US troop withdrawal. In a crisis of confidence, the ROK government fears US abandonment vis-a-vis North Korea.