The US and North Korea have been locked in a war of words after Pyongyang threatened recently to fire ballistic missiles over Japan towards the US Pacific island of Guam.
Regional tensions have been soaring after US President Donald Trump warned that North Korea would "truly regret" any hostile action against America.
"I think we're not closer to war than a week ago, but we are closer to war than we were a decade ago," said national security adviser Lt General H R McMaster.
What's clear now is America's interests are aligned with all responsible nations, he said, adding that it is time for all nations, including China, Russia as well as US' close allies Japan and South Korea to work together toward a common goal of denuclearising the Korean peninsula.
He said the US was prepared militarily to deal with North Korea if necessary.
"But we're taking all possible actions short of military action to resolve this very grave threat to the United States and the world," he said, adding that it includes a very, very determined diplomatic effort.
It also includes increasing sanctions, increasing pressure on the North Korea, to convince its leader Kim Jong- un that this is not in his interest to continue the path of provocation and escalatory actions, he said.
"We have tremendous military capabilities. We have a very high degree of readiness. So the US military is always locked and loaded. But the purpose of capable, ready forces is to preserve peace and prevent war. And George Washington said it. The most effective way of preserving peace is to be prepared for war," McMaster said.
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