U.S. Secretary of State Hillary Clinton says that North Korea has caused a highly precarious situation in the Northeast Asian region and that the U.S. is working hard to avoid an escalation of belligerence and provocation.

Clinton said while in Beijing on Monday that the U.S. fully supports President Lee Myung-bak's responsible handling of the "Cheonan" incident.

She said every country that neighbors or is in proximity to North Korea understands the situation must be contained.

She also said that Washington is in the midst of very intensive consultations with Beijing regarding how to respond to the incident and that China also recognizes the gravity of the situation.

Clinton is in Beijing to attend the U.S.-China Strategic and Economic Dialogue. She will visit Seoul on Wednesday.