Remember ‘China, China, China’: acting U.S. defense chief

FILE PHOTO: U.S. President Donald Trump, flanked by Deputy Secretary of Defense Patrick Shanahan, holds a cabinet meeting at the White House in Washington, U.S. May 9, 2018. REUTERS/Jonathan Ernst/File Photo

By Phil Stewart and Idrees Ali

WASHINGTON (Reuters) – Acting U.S. Defense Secretary Patrick Shanahan told civilian leaders of the U.S. military on Wednesday to remember “China, China, China” even as America fights militants in places like Syria and Afghanistan, a U.S. defense official said.

The comments underscoring Shanahan’s focus on China came during his first meeting with secretaries of the U.S. military branches since taking over for Jim Mattis, who resigned as defense secretary over policy differences with President Donald Trump.

The U.S. official, who spoke on condition of anonymity, did not elaborate on Shanahan’s views on China. But other officials have described him as a driving force behind the Pentagon’s toughening stance toward Beijing, which includes branding China as a strategic competitor in the 2018 National Defense Strategy.

Shanahan, a former Boeing executive, had been Mattis’ deputy and it was unclear how long he will remain in the role of acting secretary. Trump could face an uphill battle finding someone who can be confirmed by the Senate in the wake of Mattis’ acrimonious departure.

Several candidates long rumored to be interested in the post had indicated in recent days, some publicly, that they did not want to succeed Mattis, who was respected in the Pentagon and enjoyed bipartisan support when he departed on Dec. 31.

Trump acknowledged that Shanahan could be in the job for a long time and the Pentagon appeared to be taking steps to prepare for an extended tenure — including naming someone to fulfill the role of deputy defense secretary provisionally.

David Norquist, the Pentagon’s comptroller, will perform the duties of the deputy as well as retain his current title.

Shanahan, in a statement on Tuesday shortly after taking over the job, said he looked “forward to working with President Trump to carry out his vision” which includes a surprise withdrawal from Syria and an expected drawdown in Afghanistan, America’s longest war.

Shanahan, best known for his focus on internal Pentagon reform and his private-sector experience, had spent three decades at Boeing and was the general manager for the 787 Dreamliner passenger jet before he joined the Pentagon last year.

“Acting Secretary Shanahan told the team to focus on the national defense strategy and to keep this effort moving forward,” the U.S. defense official told reporters.

“While we’re focused on ongoing operations, acting Secretary Shanahan told the team to remember China, China, China.”

Shanahan was due to participate in a cabinet meeting later on Wednesday.

(Reporting by Phil Stewart and Idrees Ali; Editing by Chizu Nomiyama and David Gregorio)

Downgrading U.S.-Saudi ties would be ‘grave mistake’: Pompeo

U.S. Secretary of State Mike Pompeo pauses during a news conference at the State Department in Washington, U.S., November 20, 2018. REUTERS/Yuri Gripas

By Doina Chiacu and Patricia Zengerle

WASHINGTON (Reuters) – Secretary of State Mike Pompeo said on Wednesday that downgrading U.S. ties with Saudi Arabia over the killing of journalist Jamal Khashoggi would be a mistake for national security and would not push Saudis in a better direction at home.

After repeated calls from members of Congress for a strong U.S. response, Pompeo and Defense Secretary Jim Mattis were briefing the U.S. Senate behind closed doors about Saudi Arabia and the Oct. 2 murder of Khashoggi at the Saudi consulate in Istanbul, as well as the civil war in Yemen.

In a blog post, Pompeo said: “The October murder of Saudi national Jamal Khashoggi in Turkey has heightened the Capitol Hill caterwauling and media pile-on. But degrading U.S.-Saudi ties would be a grave mistake for the national security of the U.S. and its allies,” Pompeo wrote.

In his remarks for the briefing, which were released as it got underway, Mattis said that pulling back U.S. military support in Yemen and stopping weapons sales to important partners would be misguided.

“Our security interests cannot be dismissed, even as we seek accountability for what President (Donald) Trump described as the “unacceptable and horrible crime” of Jamal Khashoggi’s murder, a crime which “our country does not condone,” Mattis said in his prepared remarks.

Pompeo made the case that the Saudis are too important an ally to lose, citing the country’s help to contain Iran in the region, secure democracy in Iraq and fight the Islamic State and other militant groups.

“The kingdom is a powerful force for stability in the Middle East,” he wrote. “Saudi Arabia, like the U.S. – and unlike these critics – recognizes the immense threat the Islamic Republic of Iran poses to the world.”

Pompeo also said the United States would provide an additional $131 million for food aid in Yemen.

The nearly four-year-long war in Yemen, which has killed more than 10,000 people and triggered the world’s most urgent humanitarian crisis, is seen as a proxy war between Saudia Arabia and Iran.

(Reporting by Doina Chiacu; Editing by Chizu Nomiyama and Bill Berkrot)

U.S. to fight Islamic State in Syria ‘as long as they want to fight’: Mattis

U.S. to fight Islamic State in Syria 'as long as they want to fight': Mattis

By Phil Stewart

WASHINGTON (Reuters) – The U.S. military will fight Islamic State in Syria “as long as they want to fight,” Defense Secretary Jim Mattis said on Monday, describing a longer-term role for U.S. troops long after the insurgents lose all of the territory they control.

As U.S.-backed and Russian-backed forces battle to retake the remaining pockets of Islamic State-held terrain, Mattis said the U.S. military’s longer-term objective would be to prevent the return of an “ISIS 2.0.”

“The enemy hasn’t declared that they’re done with the area yet, so we’ll keep fighting as long as they want to fight,” Mattis said, speaking to reporters at the Pentagon about the future of U.S. operations in Syria.

He also stressed the importance of longer-term peace efforts, suggesting U.S. forces aimed to help set the conditions of a diplomatic solution in Syria, now in its seventh year of civil war.

“We’re not just going to walk away right now before the Geneva process has traction,” he added.

U.S. President Donald Trump and Russian President Vladimir Putin affirmed joint efforts to stabilize Syria as its civil war wanes, including with the expansion of a July 7 truce in the southwestern triangle bordering Israel and Jordan.

Mattis said he believed the southwestern zone was working, and spoke hopefully about additional areas in the future that might allow for more refugees to return home.

“You keep broadening them. Try to (demilitarize) one area then (demilitarize) another and just keep it going, try to do the things that will allow people to return to their homes,” he told reporters at the Pentagon.

He declined to enter into specifics about any future zones.

Russia, which has a long-term military garrison in Syria, has said it wants foreign forces to quit the country eventually.

Turkey said on Monday the United States had 13 bases in Syria and Russia had five. The U.S-backed Syrian YPG Kurdish militia has said Washington has established seven military bases in areas of northern Syria.

The U.S.-led coalition says it does not discuss the location of its forces.

One key aim for Washington is to limit Iranian influence in Syria and Iraq, which expanded during the war with Islamic State.

(Reporting by Phil Stewart; Editing by Peter Cooney)

Mattis looking at ways to bring Russia into compliance with arms control treaty

Mattis looking at ways to bring Russia into compliance with arms control treaty

BRUSSELS (Reuters) – U.S. Defense Secretary Jim Mattis said on Thursday he had discussed Russia’s violation of an arms control treaty with his NATO counterparts and they were looking at how to bring Moscow into compliance with it.

“We have a firm belief now over several years that the Russians have violated the INF and our effort is to bring Russia back into compliance,” Mattis said, speaking with reporters during a meeting of NATO defense ministers.

U.S. officials have said Russia has deployed a cruise missile despite complaints by Washington that it violates the arms control treaty banning ground-based, U.S. and Russian intermediate-range missiles.

Russia however, has said in the past that it appears that Washington, now in the midst of a $1 trillion, 30-year modernization of its ageing ballistic missile submarines, bombers and land-based missiles, that was in breach of the same treaty.

“Many of the nations already have their own evidence of what Russia has been up to and we have been in active discussions amongst ourselves on the issue,” Mattis said.

He added that the United States and NATO would be engaging with Russia to try and resolve the issue.

(Reporting by Idrees Ali and Robin Emmott; editing by Mark Heinrich)

Mattis, in Seoul, says U.S. can’t accept nuclear North Korea

Mattis, in Seoul, says U.S. can't accept nuclear North Korea

By Phil Stewart

SEOUL (Reuters) – U.S. Defense Secretary Jim Mattis said on Saturday that he could not imagine United States ever accepting a nuclear North Korea, warning that its rapidly advancing nuclear and missile programs would undermine, not strengthen, its security.

Mattis has been at pains during his week-long trip to Asia to stress that diplomacy is America’s preferred course, a message he returned to after top-level military talks in Seoul on Saturday and at the tense border area with North Korea on Friday.

Still, he warned Pyongyang that its military was no match for the U.S.-South Korean alliance, and that diplomacy was most effective “when backed by credible military force.”

“Make no mistake – any attack on the United States, or our allies, will be defeated. And any use of nuclear weapons by the North will be met with a massive military response that is both effective and overwhelming,” Mattis said.

Mattis’s South Korean counterpart, Defense Minister Song Young-moo, dismissed the idea of deploying tactical nuclear weapons to the peninsula as a response to the North’s advances.

But the U.S.-Korean alliance had the ability to respond, even in the event of a nuclear attack from the North, Song added.

Tension between North Korea and the United States has been building after a series of nuclear and missile tests by Pyongyang and bellicose verbal exchanges between North Korean leader Kim Jong Un and President Donald Trump.

The CIA has said North Korea could be only months away from developing the ability to hit the United States with nuclear weapons, a scenario Trump has vowed to prevent.

Mattis, too, said Kim’s behavior had left no room to imagine accepting Pyongyang’s nuclear status.

“I cannot imagine a condition under which the United States can accept North Korea as a nuclear power,” Mattis told a news conference.

Trump – who has threatened to destroy the North if necessary – leaves on his first trip as president to Asia next week, including a stop in South Korea to meet President Moon Jae-in.

Moon, after talks with Mattis on Friday, said the “aggressive deployment” of U.S. strategic assets in the region, which have included overflights by U.S. bombers, had been effective in deterring the North Korean threat.

DENUCLEARIZE?

U.S. intelligence experts say Pyongyang believes it needs the nuclear weapons to ensure its survival and have been skeptical about diplomatic efforts, focusing on sanctions, to get Pyongyang to denuclearize.

Mattis suggested, however, that Pyongyang needed to understand that its weapons programs would not strengthen its defenses. The North says it wants a nuclear-tipped missile capable of reaching the United States.

“If it remains on its current path of ballistic missiles and atomic bombs, it will be counter-productive,” Mattis said, adding North Korea would be “reducing its security.”

Still, any attempt to force the North to denuclearize could have devastating consequences, thanks in part to the large amount of artillery trained on Seoul.

During Mattis’ trip to the inter-Korean Demilitarized Zone (DMZ) on Friday, he was briefed on the posture of North Korean artillery.

Defense Minister Song suggested that U.S. and South Korean missile defenses simply could not stop all of the weapons trained on the South.

“Defending against this many LRAs (long-range artillery) is infeasible in my opinion,” Song told Mattis at the DMZ, citing a need for strategies to “offensively neutralize” the artillery in the event of a conflict.

Mattis replied: “Understood.”

Still, Mattis reaffirmed to reporters in South Korea that military options do exist to deal with the North Korean threat that spare the South’s capital, Seoul. Mattis, who has made such assurances in the past, did not disclose what those options were.

(Additional reporting by James Pearson in Seoul; Reporting by Phil Stewart; Editing by Nick Macfie)

Mattis talks diplomacy on North Korea ahead of Trump’s Asia tour

Mattis talks diplomacy on North Korea ahead of Trump's Asia tour

By Phil Stewart

PANMUNJOM, South Korea (Reuters) – U.S. Defense Secretary Jim Mattis emphasized diplomatic efforts to resolve the North Korean missile and nuclear crisis as he stood at the tense and heavily fortified border between North and South on Friday, saying: “Our goal is not war.”

His remarks came before U.S. President Donald Trump – who has threatened to destroy the North if necessary – leaves on his first trip to Asia next week, including a stop in South Korea to meet President Moon Jae-in.

For his part, Moon, after talks with Mattis, said the “aggressive deployment” of U.S. strategic assets in the region, which have included overflights by U.S. bombers, had been effective in deterring the North Korean threat.

Tension between North Korea and the United States has been building after a series of nuclear and missile tests by Pyongyang and bellicose verbal exchanges between Trump and North Korean leader Kim Jong Un, stoking fears any miscalculation could lead to an armed confrontation.

“North Korean provocations continue to threaten regional and global security despite unanimous condemnation by the United Nations Security Council,” Mattis said in prepared remarks as he visited the demilitarized zone (DMZ).

“As Secretary of State Tillerson has made clear, our goal is not war, but rather the complete, verifiable, and irreversible denuclearization of the Korean peninsula.”

Standing alongside Mattis, South Korean Defense Minister Song Young-moo said: “We together will continue to defend peace through strong will and strong might.”

TRUMP VISIT LOOMS

Ahead of Trump’s visit to Asia, Mattis has emphasized diplomatic efforts to find a peaceful solution to the crisis during his week-long trip to the region.

“That’s really what it was all about – to keep the (North Korea) effort firmly in the diplomatic lane for resolution,” Mattis said earlier this week after three days of meetings with Asian defense chiefs in the Philippines.

At the same time, the U.S. and South Korean militaries are looking for ways to deter Pyongyang and bolster the South’s defenses.

Washington’s top military officer, Marine General Joseph Dunford, chairman of the Joint Chiefs of Staff, met with his South Korean counterpart, General Kyeong Doo Jeong, a U.S. military statement said. Dunford renewed U.S. warnings of retaliation to further provocations.

“(Dunford) reaffirmed that any attack by North Korea would be met with a response that will be overwhelming and effective, using the full range of U.S. military capabilities,” the statement said.

The United States flew Air Force bombers over waters east of North Korea last month in a show of force. The U.S. Navy, in what it says was a long-planned maneuver, will have three U.S. aircraft carrier strike groups in the Pacific in the coming days.

Last week, CIA chief Mike Pompeo said North Korea could be only months away from developing the ability to hit the United States with nuclear weapons, a scenario Trump has vowed to prevent.

U.S. intelligence experts say Pyongyang believes it needs the weapons to ensure its survival and have been skeptical about diplomatic efforts, focusing on sanctions, to get Pyongyang to denuclearize.

The United States on Thursday imposed sanctions on seven North Korean individuals and three entities for “flagrant” human rights abuses, including killings, torture, forced labor and the hunting down of asylum seekers abroad.

In a speech last month at the United Nations, Trump threatened to destroy North Korea if necessary to defend the United States and allies. Kim has blasted Trump as “mentally deranged.”

Despite the rhetoric, White House officials say Trump is looking for a peaceful resolution. But all options, including military ones, are on the table.

“Do we have military options in defense for attack, if our allies are attacked? Of course we do. But everyone is out for a peaceful resolution,” Mattis told reporters traveling with him this week.

“No one’s rushing for war.”

Separately, North Korea released a South Korean fishing boat which had been found to be in North Korean waters illegally, state media said.

The crew of 10 – seven South Koreans and three Vietnamese – were released on Friday evening, a spokesman for South Korea’s coastguard told Reuters. The return of the boat, which had been reported as missing from Saturday, may have eased already strained relations between North and South.

The two sides are technically still at war because their 1950-53 conflict ended in a truce, not a peace treaty. The North regularly threatens to destroy the South and the United States.

(Additional reporting by Christine Kim and James Pearson; Writing by Lincoln Feast; Editing by Clarence Fernandez and Nick Macfie)

Defense Secretary Mattis suggests sticking with Iran nuclear deal

U.S. Secretary of Defense James Mattis testifies before a Senate Armed Services Committee hearing on the "Political and Security Situation in Afghanistan" on Capitol Hill in Washington, U.S., October 3, 2017. REUTERS/Aaron P. Bernstein

By Idrees Ali and Phil Stewart

WASHINGTON (Reuters) – U.S. Defense Secretary Jim Mattis said on Tuesday the United States should consider staying in the Iran nuclear deal unless it were proven that Tehran was not abiding by the agreement or that it was not in the U.S. national interest to do so.

Although Mattis said he supported President Donald Trump’s review of the agreement curbing Iran’s nuclear program, the defense secretary’s view was far more positive than that of Trump, who has called the deal agreed between Iran and six world powers in 2015 an “embarrassment.”

Trump is weighing whether the pact serves U.S. security interests as he faces an Oct. 15 deadline for certifying that Iran is complying, a decision that could sink an agreement strongly supported by the other world powers that negotiated it.

“If we can confirm that Iran is living by the agreement, if we can determine that this is in our best interest, then clearly we should stay with it,” Mattis told a Senate hearing.

“I believe …, absent indications to the contrary, it is something that the president should consider staying with,” Mattis added.

Earlier, when Mattis was asked whether he thought staying in the deal was in the U.S. national security interest, he replied: “Yes, senator, I do.”

The White House had no immediate comment on Mattis’ remarks, which once again highlighted the range of views on major policy issues within the Trump administration.

If Trump does not recertify by Oct. 15 that Iran is in compliance, congressional leaders would have 60 days to decide whether to reimpose sanctions on Tehran suspended under the accord.

That would let Congress, controlled by Trump’s fellow Republicans, effectively decide whether to kill the deal. Although congressional leaders have declined to say whether they would seek to reimpose sanctions, Republican lawmakers were united in their opposition to the agreement reached by Democratic former President Barack Obama.

Senator Tom Cotton, a long-time skeptic about the Iran deal, backed decertification in order to threaten Iran with more sanctions or military action.

“One thing I learned in the Army is that when you have your opponent on his knees, you drive him to the ground and choke him out,” Cotton said in a speech on Tuesday to the Council on Foreign Relations in Washington.

‘FUNDAMENTALLY’ IN COMPLIANCE

In a House of Representatives hearing on Tuesday, Mattis said Iran was “fundamentally” in compliance with the nuclear deal.

“There have been certainly some areas where they were not temporarily in that regard, but overall our intelligence community believes that they have been compliant and the IAEA (International Atomic Energy Agency) also says so,” Mattis said.

Last month, Iran’s President Hassan Rouhani said the accord cannot be renegotiated.

Trump has said he has made a decision on what to do about the agreement but has not said what he has decided.

The prospect of Washington reneging on the agreement has worried some U.S. partners that helped negotiate it, especially as the world grapples with North Korea’s nuclear and ballistic missile development.

Backers of the pact say its collapse could trigger a regional arms race, worsen Middle East tensions and discourage countries like North Korea from trusting Washington to keep its word.

The deal was signed by Britain, China, the European Union, France, Germany, Iran, Russia and the United States.

White House national security adviser H.R. McMaster has defended Trump’s criticism of the nuclear agreement, saying it had the “fatal flaw” of a “sunset clause,” under which some restrictions on Iran’s nuclear program expire from 2025.

European ambassadors speaking in Washington last week said they would do everything possible to protect companies based in Europe and that continue to do business with Iran from reimposed U.S. sanctions.

French Ambassador Gerard Araud noted that the other countries that signed the pact had made clear they do not support renegotiating it.

J Street, a liberal pro-Israel group, said Trump did not have legitimate grounds to decertify the deal.

“If he chooses to do so anyway, he will be acting purely based on divisive politics and dangerous ideology, and endangering the security of the U.S. and our allies,” Dylan Williams, vice president of government affairs for the group, said in a statement.

(Reporting by Idrees Ali and Phil Stewart in Washington; Additional reporting by Steve Holland and Patricia Zengerle; Editing by Yara Bayoumy and James Dalgleish)

Mattis arrives in Afghanistan as rockets hit Kabul airport

Mattis arrives in Afghanistan as rockets hit Kabul airport

By James Mackenzie and Hamid Shalizi

KABUL (Reuters) – U.S. Defense Secretary Jim Mattis visited Kabul on Wednesday to pledge support for the government of President Ashraf Ghani, with the precarious security in the Afghan capital underlined by a rocket attack on the airport hours after he touched down.

Arriving from India, where he sought support for the U.S. administration’s new South Asia security plan, Mattis said the United States was determined not to allow “a merciless enemy to kill its way to power”.

Promising a more “holistic” approach without fixed timetables and involving other countries in the region, including Pakistan, he said the Taliban would have to learn they could not defeat the government.

“I want to reinforce to the Taliban that the only path to peace and political legitimacy for them is through a negotiated settlement,” Mattis told a joint news conference with Ghani and NATO Secretary General Jens Stoltenberg.

The visit comes after U.S. President Donald Trump announced a new strategy for Afghanistan, promising a stepped-up military campaign against Taliban insurgents who have gained ground as they seek to reestablish Islamic law after their 2001 ouster.

But a rocket attack on Kabul airport that injured five civilians and was claimed by both Islamic State and Taliban insurgents highlighted the rebels’ ability to strike the Western-backed government.

Fighters holed up in a nearby building continued to resist security forces for hours, a spokesman for the interior minister said.

Mattis condemned the attack as a “criminal act by terrorists”, adding that it was a “classic definition of what the Taliban are up to here now”.

There are now about 8,400 U.S. troops in Afghanistan as part of the 13,500-strong NATO-led Resolute Support mission advising and training Afghan forces as well as a separate counterterrorism mission, targeting Islamic State and Al Qaeda.

As part of the new strategy, which will give U.S. commanders greater freedom to use American firepower against the Taliban, Mattis has said the United States will send an additional 3,000 troops to help train Afghan security forces.

It will also make greater use of its air power to support Afghan forces and strike the Taliban, a strategy that carries the risk of an increase in civilian casualties.

“I don’t want to tell the enemy exactly what we are doing but the whole point is to make certain we have a compelling battlefield advantage over anything the Taliban tries to mass against your forces,” he said.

Mattis said U.S. forces would do “everything humanly possible” to limit civilian casualties, which fueled bitter disputes between Washington and the government of former President Hamid Karzai.

Trump has said he expects NATO allies to step up contributions of both troops and funding to the Afghanistan mission, and Stoltenberg said the credibility of the international alliance depended on maintaining its support.

“We know the cost of staying in Afghanistan,” he said. “But the cost of leaving would be higher. If NATO forces leave too soon, there is a risk Afghanistan may return to a state of chaos and once again become a safe haven for international terrorism.”

(Additional reporting by Mirwais Harooni and Mostafa Hashem in Cairo; Editing by Nick Macfie)

Exclusive: Trump to weigh more aggressive U.S. strategy on Iran – sources

An Iranian vessel steers close to the U.S. Navy coastal patrol craft USS Thunderbolt (R) in the Gulf in a still image from video provided by the U.S. Navy July 25, 2017. U.S. Navy/Handout via REUTERS

By Jonathan Landay, Arshad Mohammed and Steve Holland

WASHINGTON (Reuters) – President Donald Trump is weighing a strategy that could allow more aggressive U.S. responses to Iran’s forces, its Shi’ite Muslim proxies in Iraq and Syria, and its support for militant groups, according to six current and former U.S. officials.

The proposal was prepared by Defense Secretary Jim Mattis, Secretary of State Rex Tillerson, national security adviser H.R. McMaster and other top officials, and presented to Trump at a National Security Council meeting on Friday, the sources said.

It could be agreed and made public before the end of September, two of the sources said. All of the sources are familiar with the draft and requested anonymity because Trump has yet to act on it.

In contrast to detailed instructions handed down by President Barack Obama and some of his predecessors, Trump is expected to set broad strategic objectives and goals for U.S. policy but leave it to U.S. military commanders, diplomats and other U.S. officials to implement the plan, said a senior administration official.

“Whatever we end up with, we want to implement with allies to the greatest extent possible,” the official added.

The White House declined to comment.

The plan is intended to increase the pressure on Tehran to curb its ballistic missile programs and support for militants, several sources said.

“I would call it a broad strategy for the range of Iranian malign activities: financial materials, support for terror, destabilization in the region, especially Syria and Iraq and Yemen,” said another senior administration official.

The proposal also targets cyber espionage and other activity and potentially nuclear proliferation, the official said.

The administration is still debating a new stance on a 2015 agreement, sealed by Obama, to curb Iran’s nuclear weapons program. The draft urges consideration of tougher economic sanctions if Iran violates the 2015 agreement.

The proposal includes more aggressive U.S. interceptions of Iranian arms shipments such as those to Houthi rebels in Yemen and Palestinian groups in Gaza and Egypt’s Sinai, a current official and a knowledgeable former U.S. official said.

The plan also recommends the United States react more aggressively in Bahrain, whose Sunni Muslim monarchy has been suppressing majority Shi’ites, who are demanding reforms, the sources said.

In addition, U.S. naval forces could react more forcefully when harassed by armed speed boats operated by the Islamic Revolutionary Guard Corps, Iran’s paramilitary and espionage contingent, three of the sources said.

U.S. ships have fired flares and warning shots to drive off IRGC boats that made what were viewed as threatening approaches after refusing to heed radio warnings in the passageway for 35 percent of the world’s seaborne petroleum exports.

U.S. commanders now are permitted to open fire only when they think their vessels and the lives of their crews are endangered. The sources offered no details of the proposed changes in the rules, which are classified.

ISLAMIC STATE FIRST

The plan does not include an escalation of U.S. military activity in Syria and Iraq. Trump’s national security aides argued that a more muscular military response to Iranian proxies in Syria and Iraq would complicate the U.S.-led fight against Islamic State, which they argued should remain the top priority, four of the sources said.

Mattis and McMaster, as well as the heads of the U.S. Central Command and U.S. Special Forces Command, have opposed allowing U.S. commanders in Syria and Iraq to react more forcefully to provocations by the IRGC, Hezbollah and other Iranian-backed Shi’ite militias, the four sources said.

The advisers are concerned that more permissive rules of engagement would divert U.S. forces from defeating the remnants of Islamic State, they said.

Moreover, looser rules could embroil the United States in a conflict with Iran while U.S. forces remain overstretched, and Trump has authorized a small troop increase for Afghanistan, said one senior administration official.

A former U.S. official said Hezbollah and Iranian-backed Shi’ite militias in Iraq have been “very helpful” in recapturing vast swaths of the caliphate that Islamic State declared in Syria and Iran in 2014.

U.S. troops supporting Kurdish and Sunni Arab fighters battling Islamic State in Syria have been wrestling with how to respond to hostile actions by Iranian-backed forces.

In some of the most notable cases, U.S. aircraft shot down two Iranian-made drones in June. Both were justified as defensive acts narrowly tailored to halt an imminent threat on the ground.

Trump’s opposition to the 2015 Iran nuclear deal, known as the Joint Comprehensive Plan of Action (JCPOA), poses a dilemma for policymakers.

Most of his national security aides favor remaining in the pact, as do U.S. allies Israel and Saudi Arabia despite their reservations about Iran’s adherence to the agreement, said U.S. officials involved in the discussions.

“The main issue for us was to get the president not to discard the JCPOA. But he had very strong feelings, backed by (U.S. Ambassador to the United Nations) Nikki Haley, that they should be more aggressive with Iran,” one of the two U.S. officials said. “Almost all the strategies presented to him were ones that tried to preserve the JCPOA but lean forward on these other (issues.)”

(Writing by Jonathan Landay.; Reporting by Arshad Mohammed,Jonathan Landay, and Steve Holland.; Additional reporting by Phil Stewart and John Walcott; Editing by Howard Goller)

U.S. envoy says North Korean leader ‘begging for war’ as U.N. mulls sanctions

Secretary of Defense James Mattis (L) makes a statement outside the West Wing of the White House in response to North Korea's latest nuclear testing, as Chairman of the Joint Chiefs of Staff Gen. Joseph Dunford listens, in Washington, U.S., September 3, 2017

By Christine Kim and Michelle Nichols

SEOUL/UNITED NATIONS (Reuters) – The United States on Monday said countries trading with North Korea were aiding its “dangerous nuclear intentions” as the United Nations Security Council mulled tough new sanctions and the isolated regime showed signs of planning more missile tests.

South Korea said it was talking to Washington about deploying aircraft carriers and strategic bombers to the Korean peninsula following the North’s sixth and most powerful nuclear test on Sunday.

At a Security Council meeting, U.S. Ambassador Nikki Haley said North Korea’s Kim Jong Un was “begging for war” and urged the 15-member group to adopt the strongest possible measures to deter him.

“War is never something the United States wants. We don’t want it now. But our country’s patience is not unlimited. We will defend our allies and our territory,” Haley said.

“The United States will look at every country that does business with North Korea as a country that is giving aid to their reckless and dangerous nuclear intentions,” she said.

Haley said the United States will circulate a new Security Council resolution on North Korea this week and wants a vote on it next Monday.

China, a top trading partner with North Korea, and Russia called for a peaceful resolution to the crisis.

“China will never allow chaos and war on the (Korean) Peninsula,” said Liu Jieyi, the Chinese ambassador to the United Nations.

Russia said peace in the region was in jeopardy.

“A comprehensive settlement to the nuclear and other issues plaguing the Korean peninsula can be arrived at solely through political diplomatic channels,” Russia’s U.N. Ambassador Vassily Nebenzia said.

North Korea has been under U.N. sanctions since 2006 over its ballistic missile and nuclear programs. Typically, China and Russia only view a test of a long-range missile or a nuclear weapon as a trigger for further possible U.N. sanctions.

U.S. President Donald Trump had asked to be briefed on all available military options, according to his defense chief.

Officials said activity around missile launch sites suggested North Korea planned more missile tests.

“We have continued to see signs of possibly more ballistic missile launches. We also forecast North Korea could fire an intercontinental ballistic missile,” Jang Kyoung-soo, acting deputy minister of national defense policy, told a parliament hearing on Monday.

North Korea tested two ICBMs in July that could fly about 10,000 km (6,200 miles), putting many parts of the U.S. mainland within range and prompting a new round of tough international sanctions.

 

MILITARY EXERCISES

South Korea’s air force and army conducted exercises involving long-range air-to-surface and ballistic missiles on Monday following the North’s nuclear test on Sunday, its joint chiefs of staff said in a statement.

In addition to the drill, South Korea will cooperate with the United States and seek to deploy “strategic assets like aircraft carriers and strategic bombers”, Jang said.

South Korea’s defense ministry also said it would deploy the four remaining launchers of a new U.S. missile defense system after the completion of an environmental assessment by the government.

The rollout of the controversial Terminal High Altitude Area Defense (THAAD) system at a site south of the South Korean capital, Seoul, which is vehemently opposed by neighboring China and Russia, had been delayed since June.

At the Security Council, neither Russia nor China mentioned their long-held opposition to THAAD or the prospect of further U.N. sanctions in the wake of North Korea’s nuclear test.

North Korea said it tested an advanced hydrogen bomb for a long-range missile on Sunday, prompting a warning from U.S. Defense Secretary Jim Mattis of a “massive” military response from the United States if it or its allies were threatened.

People walk past a street monitor showing a news report about North Korea's nuclear test in Tokyo, Japan, September 3, 2017.

People walk past a street monitor showing a news report about North Korea’s nuclear test in Tokyo, Japan, September 3, 2017. REUTERS/Toru Hanai

Trump has previously vowed to stop North Korea developing nuclear weapons and said he would unleash “fire and fury” if it threatened U.S. territory

Despite the tough talk, the immediate focus of the international response was on tougher economic sanctions.

Diplomats have said the Security Council could now consider banning North Korean textile exports and its national airline, stop supplies of oil to the government and military, prevent North Koreans from working abroad and add top officials to a blacklist to subject them to an asset freeze and travel ban.

Asked about Trump’s threat to punish countries that trade with North Korea, Chinese Foreign Ministry spokesman Geng Shuang said China has dedicated itself to resolving the North Korean issue via talks, and China’s efforts had been recognized.

“What we absolutely cannot accept is that on the one hand (we are) making arduous efforts to peacefully resolve the North Korean nuclear issue, and on the other hand (our) interests are being sanctioned or harmed. This is both not objective and not fair,” he told a regular briefing.

On possible new U.N. sanctions, and whether China would support cutting off oil, Geng said it would depend on the outcome of Security Council discussions.

China’s state-run Xinhua news agency said in an editorial that North Korea was “playing a dangerous game of brinkmanship” and it should wake up to the fact that such a tactic “can never bring security it pursues”.

 

SKEPTICISM

While South Korean President Moon Jae-in and Japanese Prime Minister Shinzo Abe agreed on Monday to work with the United States to pursue stronger sanctions, Russia voiced scepticism.

Russian Deputy Foreign Minister Sergei Ryabkov said sanctions on North Korea had reached the limit of their impact. Any more would be aimed at breaking its economy, so a decision to impose further constraints would become dramatically harder, he told a BRICS summit in China.

South Korea says the aim of stronger sanctions is to draw North Korea into dialogue. But, in a series of tweets on Sunday, Trump also appeared to rebuke South Korea for that approach.

“South Korea is finding, as I have told them, that their talk of appeasement with North Korea will not work, they only understand one thing!” Trump said on Twitter.

Still, Trump’s response was more orderly and less haphazard than he had offered after North Korea’s previous hostile actions.

His handling of its latest nuclear test reflected a more traditional approach to crisis management, which U.S. officials said illustrated the influence of Mattis and the new White House chief of staff, retired Marine Corps General John Kelly.

Japanese and South Korean stock markets both closed down about 1 percent on Monday, while safe-haven assets including gold and sovereign bonds ticked higher, but trade was cautious. U.S. stock markets were closed for the Labor Day holiday.

“Assuming the worst on the Korean peninsula has not proven to be a winning trading strategy this year,” said Sean Callow, a senior foreign exchange strategist at Westpac Bank.

“Investors seem reluctant to price in anything more severe than trade sanctions, and the absence of another ‘fire and fury’ Trump tweet has helped encourage markets to respond warily.”

South Korea’s finance minister vowed to support financial markets if instability showed signs of spreading to the real economy.

(Additional reporting by Shin-hyung Lee, Hyunjoo Jin and Cynthia Kim in SEOUL, Steve Holland, David Brunnstrom, Tim Ahmann, David Shepardson and John Walcott in WASHINGTON, John Ruwitch in SHANGHAI, Wayne Cole and Swati Pandey in SYDNEY; Writing by Lincoln Feast and Jeff Mason; Editing by Robert Birsel and Paul Simao)