Saturday, March 14, 2015

How China Is Circumventing Sanctions To Aid The North Korean Economy

Trucks cross from North Korea to China at a steady rate in Dandong, China, which is the commercial gateway to North Korea. (Anna Fifield/The Washington Post)

Washington Post: North Korea’s growing economy — and America’s misconceptions about it

DANDONG, China — The textile factories producing “made in China” goods from compounds just across the Yalu River from North Korea offer a glimpse into a hidden world that is helping North Korea’s economy to thrive.

Operated by North Koreans, the factories produce clothes and other goods that are exported under foreign-company labels, making it impossible to tell that they have been made with North Korean hands and have contributed to North Korean profits.

The thriving operations belie the perception in Washington that U.S. and international sanctions are working to strangle North Korea’s ability to make money. While an overwhelming majority of North Koreans live in poverty, the country’s output has been steadily increasing, and an estimate by South Korea’s Hyundai Research Institute forecasts that the North’s economy will grow this year by a whopping 7 percent.

WNU Editor: This is solid reporting from the Washington Post .... and kudos to them for revealing what are essentially Chinese sweat shops in North Korea for manufacturers to produce goods to be shipped to the West. Unfortunately .... despite the overwhelming evidence of what is happening .... the Chinese are going to do nothing about it, and the international community is only going to pay lip service to this behavior.

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