hankyoreh

North Korea‘s new premier

By Kang Tae-ho, senior staff writer

A recent North Korean cabinet shakeup is pointing to a new two-track approach of building the national economy and beefing up nuclear armament.

The new policy was announced at an Apr. 1 plenary session of the Workers’ Party of (North) Korea (WPK) central committee, with economic technocrat Pak Pong-ju named as premier and numerous cabinet officials replaced.

Pak, who as head of the WPK light industries department was in charge of improving economic conditions for the North Korean public, is viewed by many as a reformist. After then-leader Kim Jong-il visited special economic zones in Shanghai and elsewhere in 2001, Pak developed the so-called “July 1 economic management improvement measures” the following year, an ambitious program that emphasized a “new way of thinking.” He was also responsible for working-level efforts in the Kaesong Industrial Complex, as well as plans for a special economic district at Sinuiju that ultimately fell through.

His background is raising high hopes for change. A South Korean government official compared him to predecessor Choi Yong-rim by saying Pak was “more like a science student than Choi, who was something of a humanities student.”

The official also said the replacement of many cabinet ministers in economic areas may be interpreted as signal to Pak to “give things a try” as a technocrat.

Indeed, chemical industry minister Ri Mu-yong, whose position was upgraded to deputy premier level, is a thirty-year friend of Pak’s. Analysts attributed this boost to the key role of the chemical industry in shoring up the light industries and agriculture that the government is emphasizing by producing the raw materials and fertilizer they need.

Other new members of the cabinet, including Kang Yong-su (urban management), Ri Chun-sam (national resource development), and Kim Kyong-jun (environmental protection) are also believed to have formed close relationships with Pak since he was first appointed premier in 2003.

But North Korea may also be setting itself up for trouble by working to beef up its nuclear capabilities and develop its economy at the same time. The North is likely to have a difficult time trying to build the kind of independent socialist economy it had in years past. The international environment surrounding North Korea has been deteriorating significantly over the nuclear issue, with sanctions from the United Nations and elsewhere in the international community.

The two-track approach is also complicated by the fact that Pak’s reappointment represents a firm break with a regressive approach of strengthening planning and controls in the economy.

For this reason, many observers are saying the move is a sign of Pyongyang’s intent to put rebuilding the economy first as a policy objective in the future. With uncooperative relations with Seoul and frictions with the US, the North is left to rely on China for its economic push.

According to analysts, the cabinet shakeup may point to a greater chance that Beijing could pressure Pyongyang to change its foreign relations and denuclearize with the promise of improving the economy. It comes at a time of new leadership in both capitals, with Xi Jinping and Li Keqiang taking over in Beijing and Kim Jong-un marking his second year as leader.

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