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Seemed to catch the south koreans unawares by saying he would suspend these key very important joint military exercises. what might -- this is a concern for allies now. what might he then concede again? >> if there is a second summit, david rhode -- it looks like there very may well be, the president said because he got this very, in his words, beautiful letter from kim jong-un, there would be a second summit. what are the lessons to be learned from summit number one that the trump administration should look back at and say here is x, y and z that needs to be done differently or here is what w...

>> reporter: he has been eager to set up this second meeting between him and kim but there are real questions about the key issue, denuclearization. it will be a key opportunity this week when we'll see it han hear much more from president trump. he is meeting with south korean president today. north korea is on the agenda and he has already tasked his secretary of state with setting up this meeting. the issue here, denuclearization. are we getting closer to that? it's not at all clear that we made that kind of progress. poppy and jim? >> nic robertson and analyst david rhode. nic robertson, t...

>> that is the president revealing a concession to kim jong-un. stopping what he calls war games with south korea. the president holding court for more than an hour in the h historic summit meeting. let's bring in josh rogin and david rhode. david, when he talks about the war games which are joint military exercises with the democratic ally, south korea, he said south korea wasn't paying its fair share. this is a concession. no question he gave to the north koreans. >> it is enormous concession. i hope these talks work out well. you know, there is nothing new in the agreement. these are vague ...

Why is it important, david rhode, for him to be in attendance there at the g-7 summit and also what is the significance of him cutting out early? >> this is incredibly important because this is about the american economy. he is, you know in the very early stages of a possible trade war with many of the countries that will be at the g-7. he is, you know, some say he inherited the economy, some, you know, supporters say his tax cut, the economy is growing right now. and american politics as bill clinton said, it is the economy, stupid. if he starts a trade war, and that causes a drop in the mark...

American diplomacy sort of turned on its head, you know. we fought shoulder to shoulder in two world wars with ally and the g-7. in terms of europe and canada, it has been an incredibly successful alliance, and, you know, president trump is being friendlier to authoritarian leaders as you mentioned kim jong-un and now towards putin than he is to our long time allies. he declared them as part of the tariff on aluminum and other metals, he declared our european allies and canada national security threats to the united states, but he's, you know, welcoming vladimir putin back to this meeting afte...