China flies into North Korean storm

BEIJING, July 10 (Reuters) China's balancing act between Pyongyang and Washington will be tested this week as a delegation of senior Chinese officials visits North Korea days after it fired a volley of missiles and ignited an international storm.

Chinese Vice Premier Hui Liangyu's ''friendship delegation'' to North Korea left for its six-day visit today, but was announced before North Korea test-fired seven missiles on July 5, including a long-range Taepodong-2 that dropped into the sea moments after launch.

Hui will be accompanied by Chinese Vice Foreign Minister Wu Dawei, who oversees diplomacy with North Korea.

China now finds itself buffeted by rival demands from Washington and Pyongyang, which each want Beijing's backing as they square off over Kim Jong-il's weapons plans and possible U N sanctions against North Korea.

China has hosted six-party talks, aimed at ending North Korea's nuclear weapons programme, attended by the United States, South Korea, Japan and Russia. They have been stalled since last year, with Pyongyang objecting to U S financial sanctions based on claims it counterfeited U S currency and trafficked drugs.

But while China is exasperated with Kim, it is unlikely to heed Washington calls to squeeze North Korea's economic and security lifelines to cajole him to the disarmament talks, several Chinese analysts told Reuters.

China has too much at stake in robust ties with North Korea, and believes Washington must defuse this latest dispute, said Chu Shulong of Tsinghua University in Beijing.

''China can do a lot to North Korea, but China does not have a strong interest to do so,'' he said. ''It's a problem between North Korea and the U S, and China's role can only be limited.'' Many Chinese observers say Washington overstates Beijing's sway over North Korea, a staunchly Communist enclave that depends on Chinese oil and trade but resents China's dominance.

The missiles, launched despite warnings from Chinese Premier Wen Jiabao, underlined the limits of that influence, said Shen Dingli of Shanghai's Fudan University.

''The launch has indicated that they do not listen to China,'' he said. ''They consider that working through China has not improved their security environment.'' North Korea appears to have orchestrated the missiles to signal it does not want Beijing to wade between it and Washington, said Li Dunqiu, an expert on North Korea at the State Council Development Research Centre, a government think tank.

''I think the reason for launching the missiles on July 4 was to signal a desire for dialogue with the United States,'' he said, referring to U S Independence Day.

''North Korea also said the launches were unrelated to the six-party talks -- in other words, it's not an issue for multilateral talks; they want this to force bilateral talks with Washington.'' China has its own reasons for not pressing Kim's regime, say observers. Beijing believes an endangered and resentful Communist state on its doorstep would menace Chinese security.

Chinese President Hu Jintao has instead sought to bolster ties with North Korea. In October, he visited Pyongyang and was feted by Kim with mass displays of friendship. In January, Kim visited China to inspect China's economic engine and draw lessons for his own cautious reforms.

''The logic of the DPRK weapons programme is not directed at China, but the U S'' said Shen, referring to the North by its full name, the Democratic People's Republic of Korea.

REUTERS MQA VA VV1022