Published: Wed, September 13, 2017
Industry | By Dora Warner

Peru says expelling North Korean ambassador over nuclear program

Peru says expelling North Korean ambassador over nuclear program

Almost a week after Pyongyang conducted its sixth and largest nuclear test, the United Nations Security Council (UNSC) on Monday passed a USA -drafted resolution to impose a new set of sanctions on North Korea.

He again raised the Chinese and Russian proposal of a dual suspension of North Korea's nuclear and ballistic missile testing along with USA and South Korean military exercises in a bid to kick-start talks.

The sanctions were welcomed by Japan, with Prime Minister Shinzo Abe telling local media Tuesday they impose "an unprecedented high level of pressure on North Korea".

The US initially sought an oil embargo, which China - North Korea's sole ally and main trading partner - strongly opposed.

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These sanctions do not, as US President Donald Trump suggested, ban all oil imports and freeze global assets of the government and its leader, Kim Jong Un.

"We call on all countries to vigorously implement these new sanctions and all other existing sanctions", he added.

The resolution bans the import and export of textiles - both fabric and clothing - by the North. Refine oils, including gasoline and kerosene, were subjected to a 2 million barrel annual cap.

According to figures from the International Trade Centre, a joint World Trade Organization-United Nations agency, the North imported $115 million-worth of refined oil products - which could include petrol and aircraft fuel - from China past year.

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However, the recent test demonstrated that sanctions do not prove to be effective in this regard. The content could be seen as offering Beijing a rationale and the United States a foothold for lowering the oil import cap in the event of additional provocations from the North. The only sanction that has been retained from the US original wish list is a ban on exports of North Korean textiles. Importantly, Beijing has suspended coal imports from North Korea, which is generally believed to be a key source of Pyongyang's income.

It is an attempt to head off further U.S. measures targeting Chinese banks which are accused of doing sanctions-busting business with North Korea.

China also supplied most of its crude oil to North Korea.

Ms Haley struck a softer tone Monday than she had last week, when she said Kim Jong Un was "begging for war" and U.S. patience was "not unlimited". Since May 2017 FireEye says it has observed North Korean actors target at least three South Korean cryptocurrency exchanges with the suspected intent of stealing funds. "Countries are already required to provide the UNSC notification by December 14 on the number of overseas North Korea workers there with established employment contracts and the contracts" anticipated expiration dates.

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Russian Federation argues that sanctions aren't working and President Vladimir Putin expressed concern last week that a total oil cutoff could hurt the North Korean people. It also "puts an end to the regime making money from the 93,000 North Korean citizens it sends overseas to work", according to the statement issued by Haley's office. Unlike the draft, the resolution did not designate Air Koryo as being subject to sanctions. However, a major concern for all the world leaders after the vote is whether the move would bring North Korea to the negotiating table. Aggravating the matter was the North Korean government's own pronouncement that their missiles were capable of reaching USA shores. The announcement states that institutions are to check their systems for individuals and companies included on the sanctions list and report any relevant information to the People's Bank.

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