South Korean President Lee Myung-bak says that his nation will sever nearly all trade ties with North Korea to punish the North for what he called the deliberate sinking of a South Korean warship two months ago. South Korea also plans to block North Korean merchant ships from using South Korean sea lanes. US diplomats said the situation on the Korean peninsula is one of the gravest threats to Northeast Asian security “in decades.” President Barack Obama has directed the US military to coordinate with South Korea to “ensure readiness” and deter future aggression from North Korea. South Korean Defense Minister Kim Tae-young outlined plans for future US-South Korean military exercises.

Kim Tae-young: “We are planning on holding a South Korea-US combined anti-submarine training exercise in the West Sea in the near future. It will serve as an opportunity to focus on the enhancement of our defensive tactics against underwater attacks by North Korea and our surface firing capabilities.”