Recently, a North Korean government official stated to South Korean journalists that North Koreans no longer use Chinese-made products. In reality, sources in North Korea say that Chinese products in the country are having their labels changed, a practice referred to as “label switching.”
Label switching involves changing the labels attached to clothes and other products to disguise the origin, production date and source materials of the product. While South Korea deems such actions illegal, North Korea does not have any regulations concerning the marking of product origin.
In response to a Daily NK reporter asking whether North Koreans use Chinese products, a source in North Pyongan Province replied, “Of course there are Chinese products being used. There are a lot, but they have had all their brand markings taken off to look like they were made in North Korea.”
A separate source in North Pyongan Province added, “Some products are made in China and then packaged in North Korea because of the lack of source materials here.”
South Korean reporters were in North Korea on July 6, reporting on the goodwill basketball games taking place between the two countries. After the games, a North Korean government official told the reporters, “There are no more Chinese-made products used in Korea, including food and other regular consumer items […] Families don’t feed their children Chinese-produced food and don’t use other Chinese products because they are unsafe.”
The official further spoke proudly about North Korean products saying, “There is now the perception that North Korean products are good and what we make is better than the Chinese, so people don’t buy Chinese stuff anymore […] Chinese quality is not very good, so people don’t purchase such products.”
The official’s statements are likely related to North Korean leader Kim Jong Un’s continual emphasis on “localization [of manufacturing].” Government officials are supporting this push by attempting to show the world that the North Korean state is unaffected by international sanctions.
In his 2016 New Year’s Address, Kim mentioned the “priority for self-development” and called for the localization and modernization of manufacturing technology. He has continued to emphasize such points through North Korea’s state media.
While conducting on-site visits to factories in Sinuiju and other locations on the Sino-North Korea border, Kim “seriously reproached officials for failing to take the pains to finish as early as possible the upgrading of the paper manufacturing process that had been prioritized and sought by the Party and to fulfill their [the officials’] responsibility and role,” according to Korean Central News Agency (KCNA).
Kim pointed out that North Koreans should have found ways to achieve the decision points and goals set by the leader.
North Korean residents themselves are reporting that North Korean products have indeed overtaken the volume of Chinese products for sale in the country’s markets.
A source in Ryanggang Province said that local communities and companies producing candy and cookies through the encouragement of the authorities are increasing, noting that “there is definitely an increase in North Korean-made products in the markets and a rise in people buying them.”
