North Korea has been amassing large quantities of coal at Nampo Port since Kim Jong Un’s visit to China. This appears to be preparation for coal exports to China—a move that would violate U.N. sanctions—following the restoration of North Korea-China relations.
A source inside North Korea told Daily NK on Friday: “For over a week starting Sept. 1, coal has been transported intensively from major mines nationwide to Nampo Port. Since Sept. 2, coal has been piled up like mountains around the port area, and security at the docks has been strengthened.”
Round-the-clock coal transportation campaign
According to the source, dozens of Chinese-made 15-20 ton heavy dump trucks were recently mobilized for a 24-hour coal transport operation from major mining districts including Gaechon, Gangdong, Suncheon, Dokchon, and Gujang coal mining enterprises to Nampo Port.
“They’ve prepared everything so that coal can be loaded immediately onto ships and dispatched to China’s Dalian and Longkou ports as soon as orders are given,” the source said.
The source added: “This coal export preparation was carried out through cooperation between the Cabinet’s Ministry of Coal Industry and Ministry of Land and Maritime Transport. The export contracts were led by companies like Daeheung Trading Company. Coal export prices were agreed at $55 per ton for Dalian Port and $58 per ton for Longkou Port.”
North Korea’s decision to concentrate coal at Nampo Port coinciding with Kim’s visit to China may be a demonstration of its intent to neutralize international sanctions.
The U.N. Security Council adopted Resolution 2371 in 2017, implementing a comprehensive ban on North Korean coal exports. This means all U.N. member states are prohibited from importing coal from North Korea.
However, despite the U.N. Security Council’s strong sanctions resolutions, North Korea has continued to export coal in violation of sanctions by employing methods such as ship-to-ship transfers at sea and falsifying vessel nationality, ownership, and operational records.
Kim’s visit to China is widely viewed as a sign of mended North Korea-China relations. With China’s commitment to sanctions enforcement weakening amidst growing U.S.-China tensions and North Korea’s urgent need for foreign currency, it’s likely that unofficial and illegal exports of North Korean coal will see a significant rise.
Mixed reactions
Meanwhile, news of large-scale coal transport to Nampo Port has generated mixed reactions among local residents.
Residents of mining districts express optimism, saying “life will improve if coal exports expand,” while those not connected to the industry worry that “fuel prices might rise further ahead of winter.”
The source noted: “Some households are already moving to secure alternative winter fuels in advance. This shows that while coal exports benefit the state’s foreign currency acquisition, they can burden ordinary citizens.”
