The U.S. to Impose New Sanctions on Chinese Companies Linked to North Korea

U.S. officials say that Washington will impose new sanctions in the coming weeks against Chinese banks and small companies engaged in trade with North Korea. Reuters reported on Thursday, July 13, citing these officials without naming them, that the U.S. sanctions will initially target shell companies and small economic institutions linked to North Korea's nuclear and missile programs. According to them, Chinese banks are safe from these sanctions at this stage, and Washington is not currently taking action against them; however, the timing of sanctions and future actions by the United States heavily depends on what measures China will take against North Korea. Donald Trump and his senior advisors have expressed their dissatisfaction with China's policies and actions regarding North Korea, especially since last week when North Korea tested its first intercontinental ballistic missile. Experts say that with this missile, North Korea could target the state of Alaska in the U.S. However, Beijing has protested against U.S. requests to pressure Pyongyang, emphasizing that China bears no more responsibility than others regarding North Korea. Nevertheless, U.S. officials have warned that China may face economic and trade pressures from the United States if this situation continues unless it takes more action to rein in North Korea. The United States considers secondary sanctions as a strategy to exert economic pressure on companies and economic institutions connected to North Korea, preventing their access to the U.S. market. The discussion of economic sanctions arises as Nikki Haley, the U.S. ambassador to the United Nations, is also trying to gain the agreement of China and Russia for a Security Council resolution against North Korea and to impose stricter international sanctions.