Balance of Power: Kim Jong Un Gets the Upper Hand

(Bloomberg) -- U.S. President Donald Trump's options for stopping North Korea's nuclear ambitions are dwindling with each new missile test.

Kim Jong Un declared his country's nuclear quest complete today after testing a new rocket that potentially puts the entire continental U.S. within striking distance. While Kim must still prove some capabilities to back up that boast — miniaturizing a warhead and ensuring its survival through reentry, among them — it's clear he's closing fast.

Trump, meanwhile, is exhausting ways to coerce North Korea that don't involve military action, as David Tweed reports. China and Russia are unlikely to embrace stricter United Nations sanctions that might destabilize their neighbor. And recent overtures between Beijing and Pyongyang haven't shown any sign of a breakthrough.

That leaves talks with Kim himself, who Trump has derided as a “deranged tyrant” with no respect for diplomacy. The president's response to the latest launch was cryptic. “We will take care of that situation,” he told reporters.

The U.S. has always demanded that Kim accept denuclearization. But with pressure tactics failing and military strikes unpalatable, Kim might yet push Trump toward the table on more favorable terms.

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And finally… Diamonds have been a blessing and a curse for the Central African Republic since its independence from France in 1960, providing crucial income while fueling corruption and conflict. Whispered offers of gems for sale hint at a thriving illegal market, writes Pauline Bax, which is bad news for a government lobbying for the removal of an international export ban. “If you're caught in the act, we'll deport you,'' Mines Minister Leopold Mboli Fatrane said. “But we have a big country and barely any means to investigate.''

--With assistance from Karl Maier and Michael Winfrey

To contact the author of this story: Brendan Scott in Singapore at bscott66@bloomberg.net.

To contact the editor responsible for this story: Ruth Pollard at rpollard2@bloomberg.net, Caroline Alexander

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