The talks were held along the militarized zone, in Panmunjom village.
With this in hand, the leaders of the DPRK and South Korea are now ready to sit down and discuss with the US how to end the war crisis that has existed for so long.
The talks, scheduled to take place in Tokyo, come amid a period of intense period of diplomatic activity in the region, as leaders of North East Asia's major powers look to shore up relations following last week's historic Inter-Korean summit.
Mr Trump said the North Korean decision to close the test site, along with its suspensions of nuclear and ballistic missile tests, were hopeful signs.
The first step in South Korea, the defense Ministry said that it would begin to take action from Tuesday.
They also agreed to establish a joint liaison office with resident representatives of both sides in the North Korean city of Gaeseong (about 55km northwest of Seoul), and encourage more active cooperation, exchanges, visits and contacts at all levels.
The South broadcast a mixture of news, Korean pop songs and criticism of the northern regime, while the North blasted the southern government and praised its own socialist system.
THE North-South conflict has dominated the regional politics. At that time Kim threatened the USA homeland by boasting he could take out American cities, Inhofe continued. There were no reports of casualties.More news: Philadelphia Eagles draft former Australian rugby league star Jordan Mailata
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However, there was no mention in last week's declaration by Moon Jae-in and North Korean leader Kim Jong Un of the withdrawal of USA forces from South Korea.
North Korean leader Kim Jong Un has said he is willing to formally end the 1950-53 Korean War, which has continued as a cold war of hostile threats waged by Kim Jong Un against South Korea, Japan and the United States.
For years, ever since the USA flew Syngman Rhee, who had been living in the United States for decades, back to Seoul and installed him as the first president of the newly created nation of South Korea, Washington has been used to calling the shots there.
"President Moon made the call to communicate on a permanent basis through the offices in Seoul and Pyongyang, and Chairman Kim said he hopes things can turn out in that way", Unification Minister Cho Myoung Gyon-cho was quoted as saying by Yonhap News Agency.
Moon also asked for United Nations support to "transform the demilitarized zone into a peace zone" between the two Koreas, he added.
The South Korean President had recently suggested that he be given the Nobel Peace prize.
The North Korean leader also voiced interested in the location.
Five of North Korea's six known underground nuclear tests, including the largest, carried out in September 2017, were conducted under Mt Mantap, the analysis said.