US to normalize Myanmar ties, rewarding reforms MATTHEW PENNINGTON January 13, 2012 06:01 PM EST

WASHINGTON The United States is restoring full diplomatic relations with Myanmar, a landmark in the Obama administration's drive to reward democratic reforms by a government the U.S. previously treated as a pariah. The decision announced Friday to exchange ambassadors with Myanmar for the first time in two decades followed the release of hundreds of political prisoners, bu t Washington probably will be looking for fair conduct in coming elections and a n end to ethnic violence before it lifts sanctions. The U.S. also wants Myanmar to open up to U.N. nuclear inspectors and sever illi cit military ties with North Korea because of concerns that Pyongyang has sold M yanmar defense hardware, including missiles, in defiance of international sancti ons. Myanmar President Thein Sein pardoned 651 detainees on Friday, among them leader s of brutally repressed democratic uprisings, heads of ethnic minority groups, j ournalists and even a former prime minister who had been blamed himself for inca rcerating activists. President Barack Obama, in a statement, described the pardons as "a substantial step forward for democratic reform." The U.S. decision follows a historic visit by Hillary Rodham Clinton in December , the first by a secretary of state in 56 years, as a way to deepen engagement a nd encourage more openness in the country. That is part of a broader administrat ion policy to step up U.S. involvement across the Asia-Pacific region as well as a way to counter the growing influence of China, which has remained Myanmar's c ore ally during its decades of isolation. "As I said last December, the United States will meet action with action," Clint on said at the State Department. "Based on the steps taken so far, we will now b egin." The highest-level U.S. diplomat based in Myanmar, also known as Burma, has been a charge d'affaires rather than an ambassador. Washington downgraded its represe ntation in 1990, when opposition leader Aung San Suu Kyi's party swept elections but was barred from power by the military. Myanmar's own diplomatic representation in Washington also currently is a step b elow the level of ambassador. Clinton cautioned that exchanging ambassadors is a lengthy process any candidate f or U.S. ambassador requires Senate confirmation and that the process would depend on continued progress toward reform. The U.S. limits diplomatic relations with several countries for political reason s. In countries without a U.S. ambassador, such as Venezuela, or even an embassy , such as Cuba, a charge d'affaires is usually entrusted with directing diplomac y. The diplomat would lack the same standing as an envoy appointed by the presid ent and confirmed by the U.S. Senate. The situation is different in countries with which Washington has broken off dip lomatic relations, such as Iran, where no American diplomats are posted.

Clinton said the U.S. also would identify further steps it could take to support reforms, but she gave no specifics. Among the other recent moves she commended by the Myanmar government was its reaching a cease-fire with the Karen National Union, which is waging a long-running ethnic insurgency. There are myriad U.S. sanctions against Myanmar that heavily restrict trade, inv estment and foreign aid. The restrictions also block financial transfers, especi ally by military-backed leaders and their cronies, and deny visas to the same VI Ps. A senior State Department official indicated that the administration was now act ively considering easing restrictions but said it did not want to "over-promise and under-deliver." Speaking to reporters on condition of anonymity because of the sensitivity of th e issue, the official said the administration is beginning a dialogue with U.S. lawmakers who are important to implementing and interpreting sanctions. They inc lude the top Republican in the Senate, Mitch McConnell, who will visit Myanmar n ext week. Sens. John McCain, a Republican, and independent Joe Lieberman also ar e slated to visit the country this month. Myanmar's path to reform began with elections in 2010 that were widely criticize d as unfair but culminated in an end to nearly five decades of direct military r ule. Although the government still is dominated by the army, Myanmar has freed S uu Kyi and begun a dialogue with her. It also has eased restrictions on media, t rade unions and freedom of assembly. The senior U.S. official, however, said that levels of ethnic violence were stil l "unacceptably high." He said Washington wanted to see the Karen cease-fire rep licated with other groups across the country and subsequent steps to resolve the ir disputes, which he said was "the most serious and sensitive" issue facing the country. Clinton urged Myanmar to release its remaining political prisoners, a number tha t probably still is in the hundreds, and hold free and fair by-elections on Apri l 1 in which Suu Kyi's party will compete. Clinton said she would call Suu Kyi and Myanmar's president this weekend "to und erscore our commitment to walk together with them on the path of reform." U.S. has yet to verify all 651 releases, and some of those freed Friday signed w aivers barred them from "illegal activities," according to the senior official. The U.S. would be urging that all the releases should be unconditional, he said. McConnell supported Friday's move by the Obama administration, a reflection of t he bipartisan consensus on the Myanmar issue despite Washington's polarized poli tics. McConnell has been a prominent voice in Congress on Myanmar and a staunch supporter of Suu Kyi. "While the Thein Sein government will need to do more to explain the military re lationship with North Korea and hold free and fair elections, it appears entirel y appropriate that the United States would consider restoration of more formal d iplomatic ties," McConnell said in a statement. Commenting on Myanmar's military relationship with North Korea, the senior U.S. official said that Thura Shwe Mann, who was the third-ranking general in the for mer ruling junta, has expressed some regret to the U.S. over those ties. That ge neral is now speaker in the lower house of parliament.

The official said the U.S. has asked the new government not to enter into any ne w defense contracts with North Korea. Missile sales are of particular concern, b ecause they could cause a proliferation of such weaponry in Southeast Asia and a spike in regional tensions, he said. ___ Associated Press writers Erica Werner and Bradley Klapper contributed to this re port.