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regarding a new missile defense system to combat threats from the North, seen by some as a bid to ensure China's compliance with new sanctions on the reclusive state.</p><p>     South Korea's Ministry of National Defense and U.S. forces stationed in this country formed a working group Friday to discuss deployment of the Terminal High Altitude Area Defense system, or THAAD. The group will study potential locations for the system, a timeline for further negotiations and issues including safety, cost and environmental impact. The final decision on deployment will be left to higher-level officials.</p><div class="page_limit free"></div><div class="page_limit"></div><p>     The THAAD system is designed to intercept ballistic missiles in flight. Its potential deployment in South Korea is aimed at protecting the country from the growing threat of missiles and nuclear weapons from North Korea, the defense ministry says.</p><p>     Some in the South have speculated that China's cooperation on broad sanctions against North Korea adopted Wednesday by the U.N. Security Council could be the result of a backroom deal with the U.S. regarding THAAD, which Beijing fears could be used to monitor its own military activities. But China seems no less concerned about the defense system now than before.</p><p>     Washington and Seoul "should refrain from raising tensions on the [Korean] Peninsula," Hong Lei, a spokesman for China's foreign ministry, told reporters Friday. "We are firmly opposed to the deployment of the THAAD system on the Korean Peninsula, and urge relevant parties to act cautiously."</p><p>     Wu Dawei, China's special representative for Korean Peninsula affairs, praised the U.N. sanctions, saying they had the potential to create change in the North, South Korean newspapers reported Friday. But the diplomat also came out against THAAD, noting that its radar could detect activity far into Chinese territory. Wu also reaffirmed close ties between Beijing and Seoul.</p><p><b>Keeping up</b></p><p>The start of official THAAD talks comes amid intense outbursts from North Korea over the Security Council resolution. Pyongyang "categorically rejects" the sanctions as "the most outrageous provocation," the Korean Central News Agency reported Thursday, quoting a spokesperson's remarks. The government promised to retaliate with "all various means and methods including strong and merciless physical counteractions," hinting that further aggression could be in the cards.</p><p>     The statement also made clear that Pyongyang will continue its nuclear and missile development. Kim Jong Un's regime seems to be ratcheting up its provocative rhetoric ahead of joint U.S.-South Korean troop exercises beginning Monday, with the leader calling for nuclear warheads to be made ready for launch at any time.</p><p>     Despite Kim's remarks, Seoul thinks the North is not yet able to create warheads small enough to be mounted on long-range missiles. But short-range nuclear missiles may be within its technological capabilities, some specialists suggest. South Korean President Park Geun-hye pledged in an address Friday to respond sternly to any provocation from her country's neighbor.</p><div class="page_break auto free"></div><div class="page_break auto"></div><p>     South Korea's defense ministry has said repeatedly that, if deployed, THAAD would be used only against the North. Yet that deployment remains a weighty issue for the U.S. in its struggle with China for influence in East Asia, said Kim Dong-yup of the University of North Korean Studies in Seoul.</p><p>     The U.S. likely will proceed with deployment over the objections of China and Russia, the professor predicted. Given China's interest in avoiding instability in North Korea, many remain leery of Beijing easing sanctions on Pyongyang after a period of time. The U.S. could adjust the pace of THAAD negotiations in response to Beijing's actions, turning the South Korean deployment of the missile defense system into a bargaining chip in the tug of war between the two powers.</p> </div> </div> <div id="modal-screen_zoom"></div> </div> <div class="pagination no-border"></div> <div class="related-list"> <p class="related-header">Related stories</p> <ul class="point-list"> <li><a href="/web/20160602225410/http://asia.nikkei.com/Features/China-up-close/Xi-warns-Obama-over-THAAD-missile-system"><span class="sub-title-s">China up close: </span>Xi warns Obama over THAAD missile system</a></li> <li><a href="/web/20160602225410/http://asia.nikkei.com/Viewpoints/Viewpoints/John-Gruetzner-Defrosting-the-Cold-War-on-the-Korean-Peninsula"><span class="sub-title-s">Commentary: </span>John Gruetzner: Defrosting the Cold War on the Korean Peninsula</a></li> <li><a href="/web/20160602225410/http://asia.nikkei.com/Politics-Economy/International-Relations/North-Korea-sees-advantages-in-further-isolation">North Korea sees advantages in further isolation</a></li> <li><a href="/web/20160602225410/http://asia.nikkei.com/Politics-Economy/International-Relations/South-Korea-US-begin-exercises-as-North-Korea-threatens-attack">South Korea, US begin exercises as North Korea threatens attack</a></li> </ul> </div> <div class="OUTBRAIN" data-src="https://web.archive.org/web/20160602225410oe_/http://asia.nikkei.com/Politics-Economy/International-Relations/Antimissile-talks-put-heat-on-Beijing-to-rein-in-Pyongyang" data-widget-id="AR_1" data-ob-template="Nikkei_Asian_Review_EN"></div> <div class="OUTBRAIN" data-src="https://web.archive.org/web/20160602225410oe_/http://asia.nikkei.com/Politics-Economy/International-Relations/Antimissile-talks-put-heat-on-Beijing-to-rein-in-Pyongyang" data-widget-id="AR_3" data-ob-template="Nikkei_Asian_Review_EN"></div> <script class="OUTBRAIN" type="text/javascript" async="async" src="//web.archive.org/web/20160602225410js_/http://widgets.outbrain.com/outbrain.js"></script> <div class="link-box GCCMD_removeall">  <h2 class="title">Follow Nikkei Asian Review</h2> <div class="follow-nar"> <dl> <dt><div class="fb-like" data-href="https://www.facebook.com/nikkeiasianreview/" data-layout="button_count" data-action="like" data-show-faces="false" data-share="false"></div></dt> <dd class="Facebook">The best content posted</dd> <dt class="Twitter"><a href="https://web.archive.org/web/20160602225410/https://twitter.com/NAR" class="twitter-follow-button" data-show-count="false">Follow @NAR</a> </dt> <dd class="Twitter">The latest headlines tweeted</dd> </dl> </div> </div> </div> <script type="text/javascript">  </script> <script type="text/javascript">  </script> <script>  </script> <link rel="stylesheet" href="/web/20160602225410cs_/http://asia.nikkei.com/css/article_pagination_v001.css"/> <script type="text/javascript" src="/web/20160602225410js_/http://asia.nikkei.com/js/497390b.js"></script> <script type="text/javascript">  </script> </div> <div class="secondary"> <div class="link-box "> <h5 class="title"><a href="/web/20160602225410/http://asia.nikkei.com/Latestheadlines">Latest headlines</a></h5> <ul class="headline-list"> <li> <a href="/web/20160602225410/http://asia.nikkei.com/Tech-Science/Tech/Komatsu-to-use-drones-for-automated-digging-in-US">Komatsu to use drones for automated digging in US</a> </li> <li> <a href="/web/20160602225410/http://asia.nikkei.com/Markets/Equities/Healthcare-helps-Wall-Street-to-slight-gains-jobs-report-next">Healthcare helps Wall Street to slight gains; 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