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US says no cognac, jet skis for North Korea

WASHINGTON, Nov 30 (Reuters) The United States, taking direct aim at North Korea's Kim Jong-il, is trying to make it harder for the reclusive leader to acquire such finer things in life as cognac, cigars, jet skis and plasma televisions.

In a list made public yesterday, the Bush administration detailed the kinds of luxury items it would seek to block from North Korea under UN trade sanctions mandated after Pyongyang conducted its first nuclear test on October 9.

''While North Korea's people starve and suffer, there is simply no excuse for the regime to be splurging on cognac and cigars,'' said Commerce Secretary Carlos Gutierrez.

''We will ban the export of these and other luxury goods that are purchased for no other reason than to benefit North Korea's governing elite,'' he added in a written statement.

Responding to North Korea's nuclear test on October 9, the UN Security Council voted to ban military supplies and weapons shipments -- sanctions already imposed by the United States.

It also prohibited sales of luxury goods but left each country to define such items. Japan included beef, caviar and fatty tuna, along with expensive cars, motorcycles, cameras and more. Many European nations are still working on their lists.

The US list would disallow items including Rolex and other high-end watches, designer clothes, furs, diamonds, laptop computers, racing cars, yachts, and iPods.

Other US-banned items includes wine, beer and snowmobiles.

The measures are targeted to hurt Kim and the elite families he favors with luxury goods in effort to maintain their loyalty.

US officials argue that if the elites directly feel the sting of international outrage, it could loosen Kim's control of the government.

''It's a creative idea. Somebody's got a sense of humor over there'' at the Commerce Department, said William Reinsch, a former senior Commerce Department official who administered trade restrictions with North Korea for former President Bill Clinton.

''I don't think it'll do any good but it'll certainly send a message,'' he said.

David Straub, who dealt with North Korea before retiring earlier this year from the State Department, also was skeptical, dismissing the idea that Kim ''will lose support domestically because he can't give out so many Rolexes.'' ''On the contrary, people will rally around Kim,'' said Straub.

He criticised the Bush administration for wasting time on a ''trivial petty thing like a few million dollars worth of luxury items going to North Korea when we have a serious nuclear and missile issue'' to resolve with Pyongyang.

North Korea, the United States and China agreed on Wednesday after two days of meetings in Beijing to push for an early resumption of the six-country nuclear talks, boycotted by Pyongyang for a year. No date was set.

REUTERS SBA BST0758

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