On Tuesday, the two Koreas held their first high-level talks in more than two years, during which North Korea confirmed its participation in the PyeongChang Olympic Winter Games, and agreed to hold military talks. The inter-Korean dialogue was the first of its kind since December 2015.
South Korean President Moon Jae-in said in his first New Year's press conference Wednesday that improved inter-Korean relations can not be separated from the denuclearization of the Korean Peninsula, noting that the two issues should be pursued simultaneously to create a virtuous cycle between them.
The Peace House, located in the South Korean portion of Panmunjom, was previously used to hold talks with North Korea, including the prospect of reunifying families separated during the Korean War in the 1950's.
"We expect all the interested parties to support the steps that North and South Korea are taking in order to resume dialogue", the statement adds.
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Baek Mi-gyeong, a North Korean defector and former singer, said North Koreans regard the Moranbong Band as the most superior musical group in the country.
Moon and Trump had a telephone conversation for about half an hour from 10 p.m. local time (1300 GMT), agreeing to strengthen cooperation between the two allies, according to local media citing Seoul's presidential Blue House.
Xi agreed to work together to make the Olympics Games a success. For Seoul, which wants to host a successful - and safe - Olympics, it was an enticing overture. However, American forces would have to move quickly to take out North Korea's retaliatory strike capability-both its nuclear forces and its conventional artillery forces that could lay waste to Seoul.
It's unclear whether there will be discussions in Vancouver on the "first strike" option, which would see the USA and possibly other nations launch pre-emptive attacks on North Korea's missile facilities. "I believe efforts at two-track dialogue will contribute to a positive feedback loop", he said. But North Korea reopened one channel last week as signs emerged of improving ties.
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Russian Federation and China had suggested a quid pro quo compromise whereby Kim would freeze his nuclear program in exchange for a commitment by the US and South Korea to suspend their regular military exercises.
In a further olive branch, Moon said on Wednesday he was willing to sit with Kim under the right conditions.
"If I were them, I would try", he said, but added "The difference is I'm President, other people aren't". Only recently, there was a war of words between Kim Jong-un and Donald Trump about the size of the nuclear button on their desks. There is also the memory of a devastating war and the very real possibility that North Korean artillery could claim millions of lives in South Korea.
Military talks on Tuesday were held "to ease the current military tensions between the two Koreas".
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The U.S. and South Korea have postponed large-scale joint military drills - originally scheduled to start in late February - until after the Pyeongchang Games, which will wrap up on March 18.