The sudden decision from the North caught many by surprise and is raising questions on how we should read the message from the North, what exactly the North wants and why.
Arirang's Unification Ministry correspondent Oh Jung-hee spoke to some experts.
The major announcement from North Korea on Wednesday that it will demolish South Korean facilities at Mount Geumgang-san tourist resort and replace them with its own buildings got many observers in Seoul thinking it will be difficult to revive the tours as a symbol of inter-Korean cooperation.
They say the North is doing more than just expressing discontent towards the South for delaying the resumption of the joint economic project.
It's a declaration that North Korea will take Mount Geumgang-san tours into its own hands and run them by itself.
"Kim Jong-un's comments criticize how the North has been dependent on South Korea. It will be difficult to see the Mount Geumgang-san tours as a symbol of cooperation from now on. Even if the tours resume, the North would be the main business owner and South Koreans will only be the visitors."
South Korean tours to the North's Geumgang-san mountain started in 1998 as a joint project.
It's main operator has been the South Korean firm Hyundai Asan, which built most of the facilities there.
The sudden turnaround, pundits say, comes as North Korea prepares for a prolonged international sanctions regime.
Pyeongyang doesn't expect much from its nuclear talks with the U.S. and at the same time, thinks it cannot depend on Seoul either.
Therefore, the regime is eyeing tourism to earn currency.
"North Korean economy has been placed under very harsh economic sanctions through UNSC resolutions. And North Korea is obligated to have all its workers now abroad return home by the end of this year. So this is one of the last minute attempts to help improve the fiscal situations of North Korean economy."
While Kim Jong-un ordered the officials to first consult with Seoul before removing the South Korean facilities, experts say the talks won't be friendly.
It's highly likely to be the North unilaterally notifying the South about its decision.
"If inter-Korean talks about the Mount Geumgang-san tours begin, then the North will be demanding that Seoul quickly remove the facilities it built. The talks won't help in improving or thawing inter-Korean relations."
Observers also note North Korean leader Kim Jong-un's visit to Mount Baekdu-san last week.
It's where Kim goes everytime he has to make a major political decision.
And the measure announced on Wednesday provides a clue of what he decided there to strengthen the regime's self-reliance and break away from its past dependence on Seoul.
Oh Jung-hee, Arirang News.