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S.Korea says U.S. reaffirms it will pay THAAD costs; Trump calls Asia allies

(Updates with Trump calls to Thailand and Singapore leaders, White House defending Duterte call, background)

* U.S., South wrap up joint drills

* U.S. Navy strike group arrives near Korean peninsula

* Trump talks with Thailand, Singapore prime ministers

By Ju-min Park and James Pearson

SEOUL, April 30 (Reuters) - South Korea said the United States had reaffirmed it would shoulder the cost of deploying the THAAD anti-missile system, days after President Donald Trump said Seoul should pay for the $1 billion battery designed to defend against North Korea.

In a telephone call on Sunday, Trump's national security adviser, H.R. McMaster, reassured his South Korean counterpart, Kim Kwan-jin, that the U.S. alliance with South Korea was its top priority in the Asia-Pacific region, the South's presidential office said.

The conversation followed another North Korean missile test-launch on Saturday which Washington and Seoul said was unsuccessful, but which drew widespread international condemnation.

Trump, asked about his message to North Korea after the latest missile test, told reporters: "You'll soon find out," but did not elaborate on what the U.S. response would be.

Trump stepped up his outreach to allies in Asia over the weekend to discuss the North Korean nuclear threat and make sure all are "on the same page" if action is needed, a top White House official said.

The president spoke on Sunday to Thailand Prime Minister Prayuth Chan-ocha, who heads a military government that took power in a 2014 coup, and Singapore Prime Minister Lee Hsien Loong, and invited both of them to Washington. He talked on Saturday night with Philippines President Rodrigo Duterte, who was also invited for talks.

The White House defended the Duterte call, saying his cooperation was needed to counter North Korea, even as the administration faced criticism for its overture to Manila. Duterte has been accused by human rights groups of supporting an anti-drug campaign of extrajudicial killings, which his government denies.

"There is nothing right now facing this country and facing the region that is a bigger threat than what is happening in North Korea," White House Chief of Staff Reince Priebus told ABC's "This Week."

Trump's comments in an interview with Reuters on Thursday that he wanted Seoul to pay for the THAAD deployment perplexed South Koreans and raised questions about his commitment to the two countries' alliance.

South Korean officials responded that the cost was for Washington to bear, under the bilateral agreement.

"National security adviser H.R. McMaster explained that the recent statements by President Trump were made in a general context, in line with the U.S. public expectations on defence cost burden-sharing with allies," South Korea's Blue House said in a statement, adding that McMaster requested the call.