💎 Fed’s first rate cut since 2020 set to trigger market. Find undervalued gems with Fair ValueSee Undervalued Stocks

China exports to North Korea surge with edible oil, wheat flour in demand as trade resumes

Published 04/20/2022, 05:53 AM
Updated 04/20/2022, 05:55 AM
© Reuters.

BEIJING (Reuters) - China's exports to North Korea surged in January-March with sales of edible oil, wheat flour and pharmaceutical compounds to its reclusive neighbour sky-rocketing after a COVID-induced pause, Chinese customs data showed on Wednesday.

China resumed freight trains to North Korea in January for the first time since COVID-19 led to a border lockdown between the two countries in early 2020, halting almost all trade.

The rebound in trade comes as the United States is urging the U.N. Security Council to further sanction North Korea over its renewed ballistic missile launches. North Korea has been subjected to U.N. sanctions since 2006, although the Security Council does allow for humanitarian exemptions.

In January-March, Chinese exports to North Korea leaped to $173.4 million from only $13.0 million a year earlier, and nearly recovered to the $215.3 million figure for the first quarter of 2020, when COVID was just emerging. Imports more than quintupled from a year earlier to $23.5 million, according to the customs data.

For March alone, Chinese shipments to North Korea stood at $57 million, up from $13.0 million a year earlier, while imports were at $3.5 million, versus $1.3 million in the previous year.

The top export items were edible oil and wheat flour.

North Korea bought $16.4 million of soybean oil, $5.1 million of palm oil, $4.3 million of wheat flour and $4.1 million of soda in the first quarter, the customs data showed.

North Korea has long suffered from food insecurity, with observers saying mismanagement of its economy had been exacerbated by sanctions and then the unprecedented border lockdowns due to COVID-19.

China also exported $11.3 million of chemical compounds mostly used in making steroids in the first three months. It also shipped more than $3.7 million of tobacco to its neighbour.

The United States is also seeking a ban on tobacco to North Korea. Its leader Kim Jong Un is known as a chain smoker, often seen with a cigarette in hand in state media photographs.

 

 

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.