As Exports Grow, China Defends Trade With Sanctions-Hit North Korea

Threat of North Korea growing, senator says

Threat of North Korea growing, senator says

Trade between Beijing and Pyongyang during the past few months has not included any sanctioned content related to the provision of materials, nor has it helped to generate revenue for the DPRK's nuclear or ballistic missile programmes, Geng noted.

Since taking office in January, Trump has vowed to press Beijing, North Korea's only major ally and largest trade partner, to do more to curb the reclusive regime's weapons programs.

"Make no mistake, the Security Council's sanctions on [North Korea] can not be equated with all-encompassing economic sanctions".

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China's imports from North Korea have seen a drastic drop in the past four months and it "has strictly abided" by United Nations Security Council resolutions, a customs official said.

The decline follows China's decision in February to ban all imports of North Korean coal.

Notably, China Customs said its first-half coal and iron ore imports from North Korea were in line with U.N. Security Council resolutions.

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The fresh and potential sanctions could target "low-hanging fruit", or smaller institutions rather than any of China's bigger banks, but the breadth of and when the sanctions are put in place will be contingent on talks between the USA and China Wednesday, administration sources told Reuters.

Geng: China and North Korea are neighbors, the two countries maintain normal trade and commerce dealings. Trump tweeted on July 5.

The US Congress is pushing for a bill meant to block companies with North Korea ties from using the American financial system amid growing calls for secondary sanctions against entities in China and elsewhere that may assist with Pyongyang's nuclear and missile programs.

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China's exports to North Korea increased by 29.1 percent in the same period, but Huang said that was mainly driven by traditional labor-intensive commodities such as textiles, which are outside the embargo lists.

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