North Korea staged an artillery drill Friday within earshot of a South Korean island shelled earlier this week, and warned that an upcoming US-South Korean naval exercise heightens the risk of war.

Seoul named a former military chief as its new defence minister to try to restore confidence in the armed forces, after their allegedly feeble response to Tuesday's deadly bombardment of Yeonpyeong island.

China, the North's sole major ally, reiterated its opposition to the war games but also said it held talks with US Secretary of State Hillary Clinton about the shelling and called in Pyongyang's ambassador for consultations.

The diplomatic moves, which included discussions with the South Korean foreign minister, were intended to "prevent a recurrence of similar incidents", Beijing's foreign minister said.

The distant sound of the latest artillery fire sent residents of the front-line border island scrambling for air raid shelters, though South Korea said it appeared to be an exercise and no shells landed on its territory.

The top US commander in South Korea, General Walter Sharp, visited Yeonpyeong during the brief panic.

He denounced Tuesday's attack — which killed two civilians and two marines, injured 18 other people and set buildings ablaze — as a violation of the armistice which ended the 1950-53 war.

The bombardment was the first to hit civilian areas in the South since the war and sparked widespread anger. Seoul's response drew strong criticism from newspapers and Kim Tae-Young stepped down Thursday as defence minister.

President Lee Myung-Bak on Friday named Kim Kwan-Jin, former chairman of the Joint Chiefs of Staff, to the post.

A US aircraft carrier battle group was heading for the Yellow Sea for the four-day drill starting Sunday, a show of force designed to deter the North.

Pyongyang, unrepentant over its barrage, criticised "the US imperialists and South Korean puppet war-like forces" for what it called an exercise in "sabre-rattling".

"The situation on the Korean peninsula is inching closer to the brink of war due to the reckless plan of those trigger-happy elements to stage again the war exercises targeted against the (North)," its official news agency said.

Pyongyang has used such language frequently in the past. It was unclear whether it would try to disrupt the drill.

China has previously come out strongly against such events in its backyard, saying they risk exacerbating tensions, and the foreign ministry's spokesman said Friday it opposed "any military actions in our exclusive economic zone without permission".

But Beijing's foreign minister Yang Jiechi also urged both North and South Korea to "exercise calm and restraint", the ministry said in a statement, according to the official Xinhua news agency.

"The pressing task now is to put the situation under control and prevent a recurrence of similar incidents," Yang was quoted as saying.

China has come under international pressure to act in the wake of the shelling given its privileged relationship with Pyongyang.

The US military says the naval exercise is not aimed against Beijing, and was planned well before the North's "unprovoked artillery attack".

"This exercise is not directed at China," Pentagon spokesman Darryn James said Friday. "These operations are defensive in nature and designed to strengthen deterrence against North Korea."

The North has justified its firing Tuesday as retaliation, claiming South Korea lobbed shells into its waters during an exercise.

In response, the South fired 80 shells at the North's coastal artillery positions but says it did not call in air strikes to avoid escalating the conflict. It also sent 400,000 propaganda leaflets over the border on specially designed balloons, according to Yonhap.

The South will send more troops and guns to five front-line islands and said it would change the rules of engagement to let its military hit back harder against any future attacks.

The North, in another statement Friday, vowed to stage such attacks if there is any further "provocation" by the South.

Parts of Yeonpyeong island resembled a war zone Friday, an AFP correspondent reported. Stray dogs searched for food after their owners joined an exodus of hundreds of villagers to the mainland.

Some residents fled the island for fear of more shelling from the North when the joint naval exercise starts, policeman Kang Sang-Beom said.

Fears also spread to other front-line islands, including Baengnyeong, near the spot where according to a multinational expert panel a North Korean submarine in March torpedoed a South Korean warship, killing 46 sailors.

"After seeing what happened to Yeonpyeong island, many residents feel nervous and they want to get off this island," a local government official told AFP.

Many observers believe this week's attack was meant to highlight the military credentials of the North's heir apparent, Kim Jong-Un, youngest son of leader Kim Jong-Il.

China issues warning ahead of US-S.Korean exercises
Beijing (AFP) Nov 26, 2010 –

China warned Friday against military activity in its exclusive economic zone, ahead of weekend US-South Korean exercises intended as a show of force against Beijing's ally North Korea.

"We hold a consistent and clear-cut stance on the issue. We oppose any party to take any military actions in our exclusive economic zone without permission," foreign ministry spokesman Hong Lei said in a statement.

Beijing said Thursday it opposed the war games, which come after North Korea on Tuesday fired a barrage of artillery shells at a South Korean island, as Premier Wen Jiabao warned against "provocative" acts.

Tensions are high in the region after Tuesday's attack, which left four people dead and prompted retaliatory fire from the South.

The United States and South Korea, which have both appealed to Beijing to use its influence to rein in its wayward ally, are planning a four-day naval show of force against North Korea that will involve a US aircraft carrier.

China has previously come out strongly against such exercises in its backyard, saying they risk exacerbating tensions.

South Korea said Thursday it would seek cooperation from China and Russia over the issue.

Beijing, which is North Korea's closest ally and source of economic support, has so far refused to take sides, merely calling for "restraint" from all parties.

The South is weighing what support it will get from Russia and China before deciding whether to refer Tuesday's attack to the UN Security Council, where Beijing and Moscow hold veto power as permanent members.

Earlier this year, China blocked efforts by South Korea and other nations to secure UN condemnation of North Korea over the torpedoing of a South Korean naval ship that was blamed on Pyongyang, in which 46 sailors died.

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