A surge of North Korean trading company officials has descended on Chinese cities this month, snapping up European furniture, widescreen TVs, and other high-end goods worth tens of thousands of dollars in what appears to be a luxury shopping spree for the country’s elite.
The buyers represent major trading companies operating under North Korea’s most powerful agencies, including the ruling party’s Central Committee and the Ministry of State Security. Unlike past procurement trips, these officials are making relatively short visits—about a month—but purchasing far more expensive items than usual.
“Has North Korea suddenly gotten wealthy?” Chinese traders are asking, surprised by the scale and scope of the luxury purchases.
The shopping lists include European sofas and beds costing up to 100,000 Chinese yuan ($14,000), with particular interest in Italian and northern European furniture. Electronics purchases range from massagers and electric heat pads to the latest smartphones and large-screen TVs—all high-end products from South Korea, the United States, and Japan rather than budget alternatives.
Given the astronomical prices, the imports appear destined for North Korea’s highest officials or the newly wealthy merchant class known as donju.
Hiding South Korean origins
The procurement operations reveal interesting attempts to disguise product origins, particularly for South Korean goods that could pose political problems if their source were discovered in North Korea.
Trading officials sometimes ask Chinese intermediaries to remove brand names or instruction labels from South Korean products. In some cases, South Korean goods are even relabeled as “made in China” before shipment across the border.
The luxury items extend beyond furniture and electronics to include alligator skin bags, designer T-shirts costing over 6,000 yuan ($840), and high-end ties. Officials and their Chinese partners are scouring department stores in Beijing, Dalian, and Dadong to source these premium goods.
All items are shipped overland through the Dandong-Sinuiju route before being transported to Pyongyang.
Some North Korean officials have expressed frustration that trade between the two countries hasn’t expanded as quickly as expected, despite apparent demand. They’ve indicated that with slightly more liberal trade policies from China, they could purchase and export far more goods.
“North Korean trade officials sometimes appear frustrated that while trade between North Korea and China seems like it will grow, it hasn’t done so right away,” a source in China told Daily NK. “I think they hope the Chinese government will get more actively involved.”
