US bans luxury exports to NKorea

By Staff
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Google Oneindia News

WASHINGTON, Jan 26 (Reuters) The United States today banned exports of luxury items to North Korea, including jet skis, iPods, jewelry and fancy cars, in an effort to pressure Pyongyang's communist leaders by denying their reputed high-end tastes.

A rule issued by the US Commerce Department details the kinds of luxury goods Washington plans to block under UN trade sanctions mandated after Pyongyang conducted a nuclear test on October. 9.

Commerce Secretary Carlos Gutierrez had issued a press release discussing the luxury goods list in November, but publication of a formal rule was delayed until Friday so US negotiator Chris Hill could pursue talks aimed at persuading North Korea to end its nuclear programs, US officials told Reuters.

Hill's talks, which took place recently in Berlin, appear to have made some progress, prompting predictions by Hill and Asian officials that six-country negotiations could soon resume.

A senior Russian official was quoted by the Itar-Tass news agency as saying the six-party negotiations -- involving the two Koreas, the United States, Russia, China and Japan -- are likely to meet in the period from February. 5 to 8.

Some US officials and Republican sources described a vigorous Bush administration debate, with Hill strongly resisting formal publication of the rule, fearing it would give Pyongyang another excuse to jettison the talks.

Responding to North Korea's nuclear test on October. 9, the U.N. 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 cognac wine, beer and snowmobiles.

The measures are targeted to hurt North Korean leader Kim Jong-il and the elite families he favors with luxury goods in effort to maintain their loyalty, in a country where most of the population lives in poverty and outside help is needed to stave off starvation.

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

REUTERS SI RK2245

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