Lifting Financial Sanctions Come True?

[imText1]Though North Korea has agreed with the U.S. and China to rejoin the six-party talks, critics say that if there are no major changes to the restrictions on North Korea financial measures, the talks will not be a smooth one.

On the 1st, a spokesperson of the North Korean Foreign Affairs Department revealed that North Korea will resume the six-party talks with a proposal to discuss with the U.S. the lifting of financial measures. At present, the North is seen to be expressing a firm willingness to “solve” rather than simply “discuss” the issue.

For the most part, in comparison to North Korea’s past ultimatum that it would not attend the talks wearing a “sanctions” hat, to a position of rejoining the talks and discussing financial measures, suggests that by and large progress has been made. However, as insinuated in the announcement, an adversary is predicted that greater weight will be placed on the removal of financial measures rather than the surrender of nukes.

In the case North Korea persists with the removal of financial measures, it is expected that the North will repeatedly claim that the removal of financial measures was the proposal for the North’s nuke negations and the six-party talks. Rather, what has happened is that the topic of removing financial sanctions has been packaged and simply relocated. (to the talks)

In the Beijing meeting, the delegates agreed on setting up a working group to discuss the financial sanction issue. Although the working group deals with the topic separately, the group’s decision is highly likely to affect the main negotiation among the chief delegates of the six countries.

The fact that North Korea may approach the talks with the reduction of armaments cannot be disregarded. Throughout North Korea mass rallies are conducted in success of nuclear experiments. In amidst celebration rallies for nuclear experiments “Talks destroying nukes” are now in discussion. However, though it may be difficult for member countries to accept considering the removal of financial measures as first priority, the claim to reduce nuclear armaments is also an enormous burden.

The U.S. has not particularly changed its position on financial measures. At a press conference on the 31st, U.S. Assistant Secretary of State for East Asian and Pacific Affairs said “It (financial measures) will be resolved according to law. Further, it will be resolved when North Korea ceases participating in illegal acts.”

What Assistant Secretary Hill means by this statement is that the financial measures will not be lifted under the current circumstances. Even if the investigations for Banco Delta Bank (BDA) are completed, it is more likely that the U.S. will accept the suspicion of money laundering. In other words, on conclusion of the investigation, it will be difficult for the financial measures to be removed.

The North Korea financial measures based on the “Patriot Act Section 311 Clause 5” which stipulates special measures for “international transactions of primary money laundering concern” will only be eased in the case North Korea proves that its counterfeit money and money laundering has significantly decreased.

In addition Assistant Secretary Hill said “The reopening of the six-party talks was agreed by the U.S. and North Korea to implement the 9.19 agreement, not to simply talk.” He suggests that a strong claim will be proposed for the abandonment of the North Korean nuke process.

At the reconvening of the talks, the U.S. is anticipated to incorporate the 9.19 negotiations. Hence, it is inevitable that a clash will arise with North Korea who wishes to liaise talks on removing the financial measures.

Though both the U.S. and North Korea have agreed to reopen the six-party talks, the future does not seem bright as their aims and approach is remarkably different.

In the case the negotiations begin to limp, the threat will fall on North Korea who will suffer damages. If North Korea persists to delay ending its nuclear process, it will be pressurized and the North Korea sanctions will continue. It is also possible that its original support China will be the first to begin exercising pressure.

In the end, whether North Korea was persuaded by China to rejoin the talks or whether it joined on its own, we are now pressured with a new international shadow.