looks like progress is being made.



SEOUL, South Korea -- North and South Korea struck an ambitious deal Friday to launch cross-border train service and construction projects in the impoverished North despite concerns that reconciliation will founder if the South elects a conservative president.

South Korean Prime Minister Han Duck-soo agreed to start promised shipyard construction along with highway and railroad repairs in the North next year. His North Korean counterpart, Kim Yong Il, agreed that the isolated communist country would begin allowing regular cross-border cargo train service next month for the first time in a half century.

The train service, set to start Dec. 11, will be limited to freight running on a 16-mile track to a joint industrial complex in the North's border city of Kaesong.


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