Before UN resolution, US and China in tug-of-war over North Korea sanctions

Posted on : 2016-09-30 17:43 KST Modified on : 2019-10-19 20:29 KST
Washington is currently putting increased pressure on both Chinese companies and government
Daniel Fried
Daniel Fried

As the US and China begin deliberations about the sanctions resolution against North Korea that the UN Security Council will adopt in response to North Korea’s fifth nuclear test, the US government continues to find new ways to put pressure on the Chinese government in a bid to toughen the sanctions that will be included in the resolution. Since China is likely to resist any measures that could affect its people’s livelihood, the tug-of-war between the two countries is expected to become fiercer as time goes by.

During a hearing before the US Senate Foreign Relations Subcommittee on East Asia, The Pacific and International Cybersecurity Policy on Sep. 28, Daniel Fried, Coordinator for Sanctions Policy at the US State Department, responded in the affirmative when senators asked him whether the government was actively investigating Chinese companies that are doing business with North Korea.

“The Treasury and State are investigating a number of companies around the world," Fried added in an attempt to tone down his remarks, explaining that “We go where the evidence takes us.” But Fried made these remarks immediately after the US Treasury Department placed sanctions on China’s Dandong Hongxiang Industrial Development for providing support to North Korea’s nuclear weapons and missile development programs.

Fried did not conceal the fact that the US had sanctioned Dandong Hongxiang and was investigating other Chinese companies in order to put pressure on Chinese companies. “It would also be useful if Chinese banks and companies understood that increasingly, dealing with North Korean companies, especially those that are sanctioned, is going to be risky; frankly not worth it,” he said.

Fried also acknowledged that the actions of the US government were aimed not only at Chinse companies but also at the Chinese government. "Of course, the preferred option is for China to do more," Fried said.

Fried’s remark implies that the US Treasury Department placed Dandong Hongxiang under sanctions because the actions taken by the Chinese authorities did not meet American expectations. This also serves as a warning that the US may implement additional sanctions of its own if the Chinese government is slow to investigate and prosecute companies that work with North Korea in the area of weapons of mass destruction.

Fried also referred to North Korea’s Air Koryo during the hearing. “It is true that we and our allies have curtailed Air Koryo's activities and restricted its ability,” Fried said, hinting that the US would continue to push countries to ban the airline from its airports. With Pakistan refusing to allow Air Koryo to touch down, the only countries that still allow Air Koryo to use their airports are China, Russia and Kuwait. The chances are slim that China or Russia will grant the American request on this issue.

During the hearing, Daniel Russel, the US State Department’s Assistant Secretary for the Bureau of East Asian and Pacific Affairs, said that the Chinese are worried about the possibility of South Korea and Japan acquiring their own nuclear weapons. “That, I believe, ought to motivate China to redouble its efforts to push back on the North Koreans," Russel said. This shows that the US administration will not allow South Korea and Japan to arm themselves with nuclear weapons but is still willing to use that threat to put pressure on China.

Russel also admitted that the US was putting more pressure on North Korea through diplomatic methods and by blackening its reputation. "This month, we instructed our embassies around the world to ask host governments to condemn the test and take further additional actions to downgrade or sever diplomatic and economic ties,” he said.

By Yi Yong-in, Washington correspondent

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