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Last updated on May 25, 2012 at 14:14 EDT

South and North Korea to Tackle Railways

November 17, 2007
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North Korea’s dilapidated railways will be overhauled under a new agreement with South Korea that also will include cross-border railway service.

Following three days of inter-Korean prime ministerial talks, officials from South and North Korea agreed Friday to move forward will plans for a cargo railway system between their two countries, the Yonhap news agency reported.

The railway system will connect the North Korean city of Kaesong, where several South Korean companies have established themselves, with South Korean cities.

South Korean Unification Minister Lee Jae-joung said the transport agreement could mark a significant step in positive negotiations between the neighboring countries.

The agreement is the first step toward enhancing inter-Korean relations in quality through the virtuous circle of peace and economy, the South Korean official said.

Yonhap said the agreement also comes as South Korea has discussed connecting both South and North Korea’s railway systems to national Chinese and Russian railways to improve cargo transport into Europe.