China, which has close ties to Pyongyang despite Beijing’s anger over North Korea’s missile and nuclear tests, welcomed the proposal, saying cooperation and reconciliation between the two Koreas was good for everyone and could help ease tensions.

“We hope that North and South Korea can work hard to go in a positive direction and create conditions to break the deadlock and resume dialogue and consultation,” Chinese Foreign Ministry spokesman Lu Kang told a daily news briefing.

The proposals come after Moon said at the G20 summit in Hamburg earlier this month that he was in favour of dialogue with the North despite the “nuclear provocation” of its latest missile test.

When Moon visited Washington after being elected president, he and U.S. President Donald Trump said they were open to renewed dialogue with North Korea but only under circumstances that would lead to Pyongyang giving up its weapons programmes.

“The fact that we wish to take on a leading role in resolving this (North Korean) issue has already been understood at the summit with the United States and the Group of 20 summit meetings,” Cho said on Monday.

In the proposal for talks, South Korea did not elaborate on the meaning of hostile military activities, which varies between the two Koreas. South Korea usually refers to loudspeaker propaganda broadcasts by both sides, while the North wants a halt to routine joint U.S.-South Korea military drills.

Moon suggested earlier this month hostile military activities at the border be ended on July 27, the anniversary of the 1953 armistice agreement that ended the Korean War. Since no truce was agreed, the two sides remain technically at war.

When asked if South Korea was willing to “be flexible” on military drills with the United States should North Korea be open to talks, Cho said the government had not discussed the matter specifically.

Pyongyang has repeatedly said it refuses to engage in all talks with the South unless Seoul turns over 12 waitresses who defected to the South last year after leaving a restaurant run by the North in China.

North Korea says the South abducted the 12 waitresses and the restaurant manager and has demanded their return, but the South has said the group decided to defect of its own free will. Cho said this matter is not included on the talks agenda.

In an act to rein in the North, the United States is preparing new sanctions on Chinese banks and firms doing business with Pyongyang possibly within weeks, two senior U.S. officials said last week.

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