Democratic People’s Republic of Korea: Sanctions Update
In the last month, the EU institutions reinforced sanctions against Democratic People’s Republic of Korea twice.
On 3 May, Council Regulation (EU) 2016/682 of 29 April 2016 amending Regulation (EC) No 329/2007 concerning restrictive measures against the Democratic People’s Republic of Korea has been published on the Official Journal of the European Union (OJ L 117/2 of 3/5/2016).
Some amendments concern dual-use items and nuclear-related materials and some minerals (gold, titanium ore, vanadium ore and rare earth minerals).
The main changes for dual-use items and nuclear-related materials concern their re-organisation in Annexes, following the modification of Article 2 of Council Regulation 329/2007.
- Dual-use items as defined in Council Regulation (EC) No 428/2009 and prohibited are listed in Annex I to this Council Regulation (EU) 2016/682.
- Annex Ia has been added to the Regulation, listing the prohibition of other items, materials, equipment, goods and technology which could contribute to North Korea’s nuclear-related, other weapons of mass destruction-related or ballistic missile-related programmes.
- Annex Ib has been added, listing the prohibition of certain key components for the ballistic missile sector.
For items listed in Annex I, Ia and Ib, it shall be prohibited to purchase, import or transport the goods and technology from North Korea, whether or not the item concerned originates in North Korea.
Finally, Annexes Ic and Id are added as to prohibit to purchase, import or transfer or transport on board the flag vessels or aircraft of a Member State gold, titanium ore, vanadium ore and rare earth minerals (listed in Annex Ic) or coal, iron and iron ore (listed in Annex Id).
On 28 May, Council Regulation (EU) 2016/841 and Council Decision (CFSP) 2016/849 of 27 May 2016 have been published on the Official Journal of the European Union (OJ L 141 of 28/05/2016).
Decision (CFSP) 2016/849 mainly strengthens existing prohibitions, notably:
- It prohibits the supply, sale or transfer to North Korea of further items, materials and equipment relating to dual-use goods and technology;
- It introduces a prohibition on the import of luxury goods from North Korea;
- It prohibits any aircraft operated by North Korean carriers or originating from North Korea from landing in, taking off from or overflying Member States’ territory as well as any vessel that is owned, operated or crewed by North Korea from entering into Member States’ ports.
Finally, financial sanctions concerning:
- The prohibition of transfers of funds to and from North Korea (unless specifically authorised in advance);
- Prohibition of investment by North Korea and its nationals in the territories under the jurisdiction of Member States and investment by Union nationals or entities in North Korea;
- Prohibitions on the provision of financial support for trade with North Korea.
- A prior-contract exemption from the obligation to freeze the funds and economic resources of certain North Korean persons and entities is also introduced.
Council Regulation (EU) 2016/841 of 27 May 2016 amending Regulation (EC) No 329/2007 concerning restrictive measures against the Democratic People’s Republic of Korea introduced amendments accordingly to Council Decision (CFSP) 2016/849.