North Korea has increased its efforts to produce parts for a new nuclear reactor it is building while continuing to operate the main existing one that provides fuel for its atom bombs, the U.N. nuclear watchdog said in an annual report released Friday.

North Korea has conducted two nuclear tests and dozens of missile tests since the beginning of last year, defying world powers and raising fears of a conflict breaking out on the heavily militarized Korean peninsula.

A missile test last month put the mainland United States in range. Pyongyang later said it had a plan to fire missiles at the U.S. Pacific territory of Guam, while U.S. President Donald Trump said any threats would be met with "fire and fury."