{"id":4204,"date":"2019-05-17T17:57:22","date_gmt":"2019-05-17T08:57:22","guid":{"rendered":"http:\/\/www.01.asiapress.org\/rimjin-gang\/?p=4204"},"modified":"2019-05-20T11:34:13","modified_gmt":"2019-05-20T02:34:13","slug":"russia-boom","status":"publish","type":"post","link":"https:\/\/www.02.asiapress.org\/rimjin-gang\/2019\/05\/society-economy\/russia-boom\/","title":{"rendered":"\uff1cInside N. Korea\uff1e \"The Russia Boom\": Traders Scramble to Make Russian Connections after Kim-Putin Summit"},"content":{"rendered":"
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On April 27, Kim Jong-un visited Vladivostok for his first summit with Putin. As originally broadcast by Chosun Central Broadcasting.<\/p><\/div>\n

\u25c6 Is Russia providing oil, food, and fertilizer?<\/h2>\n

A reporting partner living close to the border with Russia, in North Hamkyung Province, said on May 2 that, since Kim Jong-un\u2019s summit with Putin in late April, there has been a sudden increase in expectations among traders and the public of Russian support and economic cooperation.<\/p>\n

The reporting partner said, \u201cThere are many people who expect to receive fuel, fertilizer, pesticide, and food from Russia, as the Rodong Newspaper and other media reported that Kim Jong-un\u2019s visit to Russia was fruitful. There are also many trading companies that are pinning their hopes on Russia\u2019s massive investment, support, and trade expansion.\u201d<\/p>\n

Behind this \u2018rise in Russian stock\u2019 is the lasting sense of disappointment felt in the wake of the fruitless Hanoi summit with the U.S. in late February. The outlook for the easing of economic sanctions is still not looking good- with China, the country which North Korea relies on for 90% of its trade, making it clear that it will continue to abide by the sanctions.<\/p>\n

Since early March, shortly after the failed Hanoi summit, China has tightened its customs inspections and, in addition, implemented a thorough crackdown on smuggling at its border. North Korea\u2019s state-owned trading companies are at an impasse, beleaguered by the serious slump in trade and joint ventures.<\/p>\n

Next page : Making Trade Offers to Even Russian Tourists...<\/strong><\/p>\n

\u25c6 Making Trade Offers to Even Russian Tourists<\/h2>\n

The reporting partner described the \u2018sudden Russian boom\u2019, saying, \u201cSince Kim Jong-un\u2019s visit, many traders have even been approaching Russian tourists in Rason City to offer them trade deals. The companies are putting up flyers written in Russian with business information and contact details. There is already quite a scramble to find Russian interpreters.\u201d<\/p>\n

But it will not be that easy. Russia is also in favor of the UN Security Council\u2019s resolution to impose sanctions on North Korea and has promised to abide by them as well. There is also the threat that Russian companies, if found to be in violation of the sanctions, could be punished with secondary sanctions by the U.S..<\/p>\n

Indeed, North Korean trade with Russia has also plunged due to the impact of the economic sanctions. In 2018, North Korea\u2019s imports from Russia amounted to around $32 million, down 56.9% from the year previous. Exports to Russia, meanwhile, totalled $19.8 million, down 46% from the year before.<\/p>\n

Unless the regime makes some headway in its denuclearization talks with the U.S., however, Russian engagement with North Korea will remain limited to food aid and other minor support.<\/p>\n

The reporting partner concluded, \u201cNow that North Korea is in a tight spot with China, there is only Russia left. Half of the traders have high hopes. The other half do not, but are still running around, clutching at straws.\u201d (Kang Ji-won)<\/p>\n

\u203b ASIAPRESS contacts its reporting partners through smuggled Chinese mobile phones.<\/p>\n

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