At the Olympic Stadium's VIP box, Kim Yo Jong and North Korea's nominal head of state, Kim Yong Nam, took their place among dignitaries from around the world, including U.S. Vice President Mike Pence who sat just a few feet (less than a meter) away and seemed to make an effort not to acknowledge them.
The statement from the Ministry of Unification came after a high-level North Korean delegation concluded a three-day visit which included an invitation for South Korean President Moon Jae-in to travel to Pyongyang for talks.
This items corrects that Kim Yo Jong is the leader's sister.
Rather than stand nervously around Kim Jong Un on visits to official factories, she has moved to the front of media photos more recently, giggling, assisting her brother at state events or collecting flowers presented to him by young children.
The nuclear-armed North is on an Olympics-linked charm offensive, sending athletes, a troupe of performers, hundreds of female cheerleaders, the ceremonial head of state and even Kim's sister to South Korea.
Abe also said he would convey to Moon Tokyo's position on a 2015 bilateral agreement on "comfort women" - many Korean - who were forced to work in Japanese military brothels during World War Two, while urging "future-oriented" two-way ties.
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Since then, scenes of reconciliation between the two Koreas were seen under liberal South Korean presidents Kim Dae-jung and Roh Moo-hyun but they disappeared over the past decade under the subsequent conservative governments of South Korea.
Moon's office says the North Korean delegates were served traditional food from the Gangwon province, a mountainous coastal area that's home to the Olympic towns of Pyeongchang and Gangneung.
During the visit, Kim Yo Jong had delivered a letter from her brother asking South Korean President Moon Jae-in to visit Pyongyang at his earliest convenience.
Critics say it's unclear whether revived dialogue between the Koreas could lead to immediate breakthrough on the nuclear stalemate when it seems unlikely that the North would be willing to give up its nukes under any deal.
The Koreas previously held summits in 2000 and 2007, both hosted in Pyongyang by Kim Jong Il, Kim Jong Un's late father.
The North has refrained from further provocations since testing an intercontinental ballistic missile in November.
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He also did not shake hands with Kim Yong Nam while making a brief appearance at a leaders' reception ahead of the ceremony - although Japanese Prime Minister Shinzo Abe, whose country is also regularly threatened by Pyongyang, did so, while exchanging pleasantries with the North Korean.
The North-South Olympics detente has raised concerns in Washington and Tokyo that Seoul may ease up on a "maximum pressure" campaign by the United States and its allies to get Pyongyang to abandon its nuclear and missile programmes.
Pence is in South Korea, where he is leading the US delegation to the games' opening ceremonies.
Pence says the USA and South Korea are "completely aligned".
Dressed in long, white padded jackets, they followed the flag with a blue silhouette of the Korean Peninsula against a white background.
The two sides also fielded a joint women's ice hockey team, the first unified Olympic team between South Korea and the DPRK.
Kim Jong Un's sister heads home after whirlwind SKorea visit
He also called for the need of a quick resumption of dialogue between North Korea and the United States. But the two sides rebuffed his efforts to organize a meeting between them during the games.