PHL trade with North Korea for ‘humanitarian reasons’

THE Department of Trade and Industry (DTI) said the Philippines will not be subject to United Nations (UN) sanctions because private Philippine companies trade with North Korea, noting that the trade is humanitarian in nature.

Trade Secretary Ramon M. Lopez told reporters that the government is compliant with UN policy, which allows trading for humanitarian reasons with North Korea, allaying fears of US cutting trade ties with the Philippines.

The Philippines, North Korea’s fifthlargest trade partner, exports bananas, women’s undergarments and integrated circuit boards, according to a 2015 DTI data. Philippine imports totaled $53.2 million in that same year, according to the Massachusetts Institute of Technology’s Observatory of Economic Complexity.

“We reviewed the (US) executive order on North Korea. If you read the executive order, it was talking about the individuals and the institution and companies. In fact, most financial constitutions. So, for us, as long as we followed the UN policy of trading only allowed products so those are the things we will have monitored for the trade accreditation and approval system before any company can trade with North Korea. But we were told it’s not a total ban yet since UN allows [trade] for humanitarian reasons. I think we can continue,” Mr. Lopez added.

In August, the UN Security Council unanimously adopted Resolution 2371, which lays out the sanctions on North Korean exports of coal, iron and iron ore, seafood, lead and lead ore.

The resolution also prohibits joint ventures with North Korea, and denies its vessels access to international ports.

In an interview with Al Jazeera, Foreign Secretary Alan Peter S. Cayetano said that he has spoken with Mr. Lopez about halting Philippine trade with North Korea.

US President Donald J. Trump signed last month an executive order which will sanction “individuals and companies” that continue to trade with North Korea in an effort to cut off the country’s sources of funding for its missile program.

Mr. Trump tweeted earlier that month that “the United States is considering, in addition to other options, stopping all trade with any country doing business with North Korea.” —