Treasury's Mnuchin: China may face new sanctions on North Korea


Although the sanctions were the toughest in a long line of efforts to halt North Korea's nuclear program, they were scaled back in order to satisfy China and Russian Federation.

"We think it's just another very small step - not a big deal", Trump said as he met with Malaysia's prime minister at the White House.

"But those sanctions are nothing compared to what ultimately will have to happen", he said without elaborating.

Those remarks came just hours after House lawmakers from both parties expressed frustration that the USA isn't exerting greater pressure on China to stop North Korea's march toward developing nuclear weapons capable of striking the continental United States. "Of course, this will affect the life of the country's population", Matvienko said.

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Washington so far has mostly held off on new sanctions against Chinese banks and other companies doing business with North Korea. "Both oppose North Korea to become a full-fledged nuclear state, and both think parallel action from the U.S. is needed to affect any change in the situation". "Frankly, the policy looks more like fecklessness and failure".

Haley said the worldwide community is doing that by hitting North Korea's ability to fuel and fund its weapons programme.

A Chinese state media editorial on Tuesday said the the U.S. should stop isolating North Korea and return to the table for talks.

Lawmakers pressed Billingslea, and Acting Assistant Secretary of State Susan Thornton for evidence new sanctions would be more effective. "We are determined to induce the Chinese to help solve this problem", Billingslea said. "We are not looking for war". But when asked about cutting off trade, she offered a caution.

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Assistant Treasury Secretary Marshall Billingslea displayed slides showing ships he said picked up coal and other commodities in North Korea, illegally turning off their electronic identification systems to hide the fact that they were carrying cargo to China and Russian Federation. United Nations sanctions already ban coal and other commodity exports from the country, hitting one of Pyongyang's biggest income streams. The UN representatives of both countries on Monday reiterated what they called "the four nos": no regime change, regime collapse, accelerated reunification or military deployment north of the 38th parallel dividing the Korean Peninsula. It might take tactical nuclear weapons in South Korea-something President Moon Jae-in has opposed-to bring Kim to the negotiating table earlier, according to Lee Ho-ryung, chief of North Korean studies at the Korea Institute for Defence Analyses.

It's already yielding some successes, she said, pointing to the Philippines announcing it will cut all trade, and other countries, including Mexico and Egypt, taking steps to scale back links to Pyongyang. It has voted unanimously on a new sanctions resolution.

On Monday the UN Security Council unanimously voted to boost sanctions on North Korea, with its profitable textile exports now banned and fuel supplies capped, prompting a traditionally defiant threat of retaliation against the United States.

KELEMEN: It did seem so to many of us who have been watching this. But slashing shipments of refined petroleum by more than half likely will impose some restriction on North Korea's military activity, if the limits are strictly enforced. "We can put economic sanctions to stop people trading".

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