After U.S. Secretary of State Mike Pompeo's meeting with North Korean officials in Pyongyang last week, he stated the U.S. and North Korea would hold working-level talks on repatriating the remains, July 12.
However, officials say it could be months before excavations can begin and years until the remains are identified.
North Korea said Saturday it was seeking the "earliest start of the working-level talks" on the recovery of US remains.
Kim Boo-kyum, minister of the interior and safety, said the suspension of the civilian drills was a follow-up to the suspension of the military exercises amid recent changes in "South-North relations and other security situations".
Donald Trump told reporters he wouldn't reveal what the gift was.
According to estimates from the Pentagon, 7,700 US troops are still unaccounted for from the Korean War.
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"North Korea would have to deal with the consequences of breaking away from the negotiations if it were to do so, so it will likely not make an extreme decision", Kim said. Kim is reportedly eyeing Switzerland as a potential venue for a second meeting, with North Korean diplomats sent to Bern, Davos, and Geneva last week to scope out hotels and conference centers, Kyodo reported.
The US military has since announced that 100 wooden coffins have been moved to the inter-Korean border in preparation.
Pyongyang has reportedly asked the United Nations Command Armistice Commission to upgrade the talks to a higher level to include a US general, South Korea's foreign ministry said. "It is likely that military generals from the USA and North Korea will take part in the meeting".
While lacking in specifics about the status of diplomatic talks between the USA and North Korea, Kim's letter lavishes praise on Trump, repeatedly referring to the President as "Your Excellency".
The US also accused North Korea of violating a United Nations sanctions cap on refined oil products.
North Korea is not messing around.
Between 1996 and 2005, some 33 recovery operations were conducted in North Korea which saw 200 sets of remains returned.