Japan, Australia Impose New Sanctions on North Korea

Japan and Australia on Tuesday slapped fresh economic sanctions on North Korea, triggering protests from China that the move would worsen the standoff over Pyongyang’s weapons programs.

The sanctions, imposed in compliance with a U.N. Security Council resolution denouncing North Korea’s long-range missile tests in July, ban fund transfers to 11 Pyongyang-based trading companies accused of bankrolling the country’s arsenal.

A North Korean bank and hospital, as well as the Swiss company Kohas, were also affected by the restrictions, which take effect immediately.

“We have repeatedly used dialogue and pressure ... to achieve a peaceful resolution, but North Korea has not responded,” Japanese Prime Minister Junichiro Koizumi said late Tuesday.

Australian Foreign Minister Alexander Downer said the sanctions were consistent with his country’s “stand against the proliferation of weapons of mass destruction.”

Russia’s Itar-Tass news agency quoted an unidentified North Korean diplomat as saying the Pyongyang government was “indignant about the new sanctions.... All these moves by Tokyo, as well as by Washington, are absolutely unjust.”

The coordinated effort is meant to pressure North Korea to return to six-nation talks on its nuclear arms program, which have been stalled since November. The U.S., China, Japan, Russia and South Korea have tried to persuade the North to abandon its nuclear program.

But China said the new sanctions would escalate, rather than defuse, the standoff.

“The six-party talks are facing a stalemate because of the financial sanctions issue,” Chinese Foreign Ministry spokesman Qin Gang said.

Washington had already imposed sanctions on North Korean companies accused of money laundering.