US sanctions Chinese bank for transferring money to North Korea

This is a notable move, because just before that there was news that President Donald Trump was considering "taking action" with China in the fields of trade and the North Korea issue.

The Chinese flag next to the North Korean flag at the China-North Korea Friendship Bridge in Dandong city - Photo: AFP

AFP news agency commented that the US has taken unprecedented sanctions against a Chinese bank. On June 29, the US accused the bank of illegally transferring money to North Korea.

The US Treasury Department announced that China’s Bank of Dandong has been cut off from the US financial system for acting “as a conduit for North Korea’s illicit financial activity.” This means the bank will be banned from opening accounts and conducting transactions with US institutions.

Also on June 29, Reuters news agency reported that three officials in the Trump administration revealed that the US President is losing patience and is considering action against China, due to Beijing's attitude on trade issues between the two countries as well as the demand for strong action against North Korea.

China is North Korea's closest ally, and US President Trump has repeatedly urged Beijing to act more assertively to influence Pyongyang's nuclear program.

US Treasury Secretary Steven Mnuchin said the move was not aimed at the Chinese government. However, the move is likely to anger Beijing, which says it has done its best to ease escalating tensions on the Korean peninsula, according to AFP.

The US Treasury Department also recently said that the Bank of Dandong has been designated a foreign bank of major concern for illicit money transfers, and has “facilitated millions of dollars in transfers for companies involved in North Korea’s ballistic missile and weapons of mass destruction programs.”

According to TTO