From a report in a Japanese newspaper.
Dave

TOKYO (Aug. 6) - North Korea is in talks to export its Taepodong 2 long-range
ballistic missile to Iran and to jointly develop nuclear warheads with Tehran,
a Japanese newspaper reported on Wednesday.

The conservative Sankei Shimbun, quoting military sources familiar with North
Korea, said that the communist state planned to export components and Iran
would then assemble the Taepodongs at a factory near Tehran.

The paper, known for its hardline stance on Pyongyang, said North Korea would
also send experts to provide Iran with assistance on missile technology and the
two states -- both included in U.S. President George W. Bush's "axis of evil"
-- would jointly develop nuclear warheads.

They have been discussing the plans for about a year and are expected to reach
an agreement in mid-October, the Sankei added.

The United States and North Korea's neighbors are putting pressure on Pyongyang
to dismantle its nuclear programs. North Korea has finally agreed to
multilateral talks, which are expected to take place in Beijing later this
month or early in September.

If Iran acquires the Taepodong 2, which has a range of over 3,700 miles, it
would be able to hit targets in Europe, the paper said.

Missile exports are a vital source of foreign currency for cash-strapped North
Korea and it is widely believed that Pyongyang has had dealings with countries
in the Middle East as well as with Pakistan.

Iran said last month that it had completed tests on its Shahab 3 ballistic
missiles, based on the North Korean Rodong 1.

The Japanese report is likely to fuel suspicions that Tehran is using its
commercial nuclear program to develop nuclear weapons. Iran has repeatedly
denied any plans to build nuclear weapons, saying its program is for civilian
use.

08/05/03 23:10 ET