Sanctions target China-N. Korea axis funneling missiles to Russia's Ukraine war
The United States on Wednesday announced a round of sanctions targeting "a network of six individuals and five entities" in China. The network allegedly helps North Korea procure items for its ballistic missile and space programs.
North Korea, in turn, provided Russia with missiles used "to target civilian population centers and infrastructure in Ukraine, sustaining Russia’s brutal and unprovoked war," according to a press release from the Treasury Department.
The department acted under Executive Order 13382, which empowers it to sanction WMD proliferators and their supporters.
The action, taken through the department's Office of Foreign Assets Control (OFAC), builds on a series of sanctions actions dating back to 2010 and targeting "a Beijing-based representative of [North Korea]'s Second Academy of Natural Sciences (SANS)."
SANS is "a national-level organization responsible for research and development of [North Korea]'s advanced weapons systems, including missiles and probably nuclear weapons," according to the U.N. Security Council.
"SANS has subordinate defense-related procurement and proliferation entities that it uses to obtain commodities and technology to support [North Korea]'s defense research and development programs," the department reports.
North Korea "uses an extensive network of procurement agents overseas" to obtain materials for its ballistic missile and space programs.
The nation employs "foreign-incorporated companies to purchase items in support of its ballistic missile and weapons production" the report adds.
"These companies consolidate and repackage items for onward shipment to [North Korea], concealing the true end-user from the manufacturers and distributors of the items." Without outside assistance, the North Korean ballistic missile and space programs could not function.
North Korea's "ballistic missile and space programs rely on foreign-sourced materials and components that it cannot produce domestically," the department reports.
The sanctions target outside agents, the "Shi Qianpei Network," which helps SANS procure prohibited materials.
Chinese national Shi Qianpei is an alleged "key facilitator" in this procurement process and has helped North Korea "procure sensitive electronics" for its ballistic missile and space programs.
The sanctions seize "all property . . . of the designated persons . . . in the United States or in the possession or control of U.S. persons." Seized assets must be reported to OFAC.
Any business where a designated person holds a 50% or greater stake is also subject to seizure.
The sanctions extend to transactions with designated persons.
"OFAC’s regulations generally prohibit all transactions by U.S. persons or within (or transiting) the United States that involve any property or interests in property of designated or otherwise blocked persons."