North Korean Economy Watch

Institute for Far Eastern Studies (IFES)
2014-2-6

A pilot operation of the new electronic entry system, or radio frequency identification system (RFID), to facilitate the travel to and from the Kaesong Industrial Complex (KIC) was completed on January 15 and pilot operation began from January 28, 2014.

According to a Ministry of Unification (MOU) official, “The construction of the system began from December 11 last year and it was completed this month on the 15th. The trial operation period will begin from the 28th.”

The RFID system was agreed upon last September at the second meeting of the South-North Joint Committee for the Kaesong Industrial Complex in order to improve the South Korean companies’ access to the KIC.

The new RFID system will replace the paper document inspection with an electronic card system and personnel screening will be reduced to 5 seconds from 13 seconds while vehicle screening time will be reduced to 7 seconds from 15 seconds.

In particular, the reduced inspection time will facilitate the travel and ease the heavy traffic during Monday mornings and Friday afternoons: for personnel screenings, from 17 minutes to 5 minutes; for vehicle inspections, from 19 minutes to 8 minutes.

However, the existing personnel and vehicle access to the KIC which requires a 3-day advance notice still remains in effect, and the mobility of personnel and vehicles will still be strictly monitored and chaperoned by the North Korean military.

On the other hand, the fourth round of the sub-panel meeting was held on January 24 to discuss the operation of the RFID system, Internet connectivity, and simplification of customs process at the KIC.

In regards to the streamlining of the customs process, the two countries agreed to change it from ‘complete’ to ‘selective’ examination, but differences still remain over the ratio to be applied to the selective probe.

As for the issue of Internet connection, it is still in the infant stage and the two sides agreed to resume the negotiation on February 7.

The innovative team at Choson Exchange have published their 2013 annual report. It is full of interesting information on the DPRK’s business sector as well as interesting information on their “Women in Business Program”.

You can read the report and a summary here.

Geoffrey See also wrote an article about the project for 38 North.

UPDATE 18 (2014-3-20):KCNA has made the following announcement:

1st Session of 13th SPA to Be Convened
Pyongyang, March 20 (KCNA) — The 1st Session of the 13th Supreme People’s Assembly of the DPRK will be convened in Pyongyang on April 9, Juche 103 (2014), according to a decree of the Presidium of the SPA on Wednesday.

What can we expect at the first session?  According to the Hankyoreh:

North Korea is likely to shuffle the members of the NDC during this session of the SPA. The position of vice chairman is vacant following the execution of the previous vice chairman – Jang Song-thaek – at the end of 2013. In addition, Ri Myong-su, former Minister of People’s Security, and Paek Se-bong, former chairman of the Second Economy Commission, were not elected as deputies.

It is expected that these empty seats will be taken by up-and-coming figures including Jang Jong-nam, minister of the People’s Armed Forces.

In the case of the heads of various government ministries, there are not expected to be any major changes since a number of officials were replaced after Jang Song-thaek’s ouster.

One noteworthy question is whether the North Korean constitution will be revised and whether national agencies will be reorganized. During the fifth session of the SPA in Dec. 1972, North Korea adopted a presidency system. At the 10th session in 1998, it revised the constitution to abolish the State Administration Council (SAC) and set up a cabinet. This reform also turned the NDC into the country’s most powerful body.

UPDATE 17 (2014-3-14): Ruediger Frank and Michael Madden each write about the election in 38 North.

UPDATE 16 (2014-3-14): Here is comprehensive Yonhap coverage of the election.

UPDATE 15 (2014-3-11): The results are in! KCNA has announced the following:

Report of Central Election Committee on Results on Election of Deputies to 13th SPA

Pyongyang, March 11 (KCNA) — The election of the deputies to the 13th Supreme People’s Assembly took place successfully in the DPRK

The Central Election Committee Tuesday reported the results on the election held on Sunday.

According to the report, the election was held according to the Rules on the Elections of Deputies to the People’s Assemblies at All Levels.

According to the election returns available, 99.97 percent of all the voters registered on the lists of voters across the country took part in the election and 100 percent of them voted for the candidates for deputies to the SPA registered in the relevant constituencies.

This is an expression of the absolute support and trust of all voters in the DPRK government, the genuine people’s power which serves the people and relies on them, and a manifestation of the steadfast will of the service personnel and people to consolidate the people’s power as firm as a rock and accomplish the revolutionary cause of Juche.

Electors on foreign tours or working in oceans could not take part in the election.

The Central Election Committee deliberated the reports on the election returns submitted by constituency election committees across the country and reported the names of 686 elected deputies to the SPA.

They published the names of the winners in Korean, but not in English. You can see them here. No 2009 SPA delegates returned from the same district.

UPDATE 14 (2014-3-10):  Surprise!  Kim Jong-un has been elected by his constituency to the SPA. 100% voter turn out as well!

Central Election Committee Reports on Kim Jong Un’s Election as Deputy to SPA

Pyongyang, March 10 (KCNA) — The election of deputies to the 13th Supreme People’s Assembly of the DPRK was successfully held in the DPRK.

The Central Election Committee on Monday released a report on the results of the election of the deputies to the SPA held at Paektusan Constituency No. 111 on Sunday.

According to the report, all the voters of the constituency took part in voting and 100 percent of them voted for Kim Jong Un, first secretary of the Workers’ Party of Korea, first chairman of the DPRK National Defence Commission and supreme commander of the Korean People’s Army, reflecting the unanimous will and desire of the service personnel and people across the country.

This is an expression of all the service personnel and people’s absolute support and profound trust in supreme leader Kim Jong Un as they single-mindedly remain loyal to him, holding him in high esteem as the monolithic center of unity and leadership and a striking demonstration of their revolutionary spirit and indomitable will to make a fresh shining history of Kim Il Sung’s and Kim Jong Il’s Korea under the leadership of Kim Jong Un.

The DPRK is ushering in the era of great surge in building a thriving socialist nation under the outstanding and tested leadership of Kim Jong Un.

He set it as the supreme programme of the party to model the whole society on Kimilsungism-Kimjongilism, providing a firm organizational and ideological guarantee for developing the WPK into the glorious party of Kim Il Sung and Kim Jong Il.

He, at the same time, opened a new chapter of the cause of immortalizing the leaders with loyalty and sense of moral obligation, developing the DPRK into the socialist country of Juche which is shining with the idea and the august names of Kim Il Sung and Kim Jong Il.

He set forth a clear-cut strategy for the Korean revolution to be held fast to for all ages so that the country may advance straight along the road to independence, Songun and socialism under the uplifted banner of Kimilsungism-Kimjongilism, providing an ever-victorious treasured sword for the prosperity and development of the DPRK.

He put forward the Korean People’s Army as a reliable scout party and a strong mainstay for the Songun revolution by developing and enriching Kim Il Sung’s and Kim Jong Il’s strategy and tactics and further bolstered it up as elite revolutionary armed forces. He thus remarkably increased the defense power of the country, firmly protecting the destiny of the socialist country and its people.

He made a new legendary history of love for the people and love for the rising generations with his noble patriotic politics and all-embracing politics, bringing into full bloom the happiness of the great socialist family in which all its members have blood relations with their leader.

He has energetically led the servicepersons and the people to bring about a turning phase in building the economy and improving the people’s living standard through a strong wind of Kim Jong Il’s patriotism across the country and their patriotic enthusiasm. As a result, the country witnessed steady great successes showing the appearance of a thriving nation.

Thanks to Kim Jong Un’s leadership, the DPRK will as ever prosper as the glorious state of Kim Il Sung and Kim Jong Il and the revolutionary cause of Juche, the revolutionary cause of Songun, is sure to win a final victory.

The Central Election Committee reports that Kim Jong Un, first secretary of the Workers’ Party of Korea, first chairman of the DPRK National Defence Commission and supreme commander of the Korean People’s Army, was elected deputy to SPA according to the results of the voting confirmed and submitted by the above-mentioned constituency.

UPDATE 13 (2014-3-9): Election day! Kim Jong-un Votes at the Kim Il Sung University of Politics (just like his dad!). According to KCNA:

Kim Jong Un Visits Kim Il Sung University of Politics and Takes Part in Election of Deputy to SPA

Pyongyang, March 9 (KCNA) — Supreme Commander of the Korean People’s Army Kim Jong Un, first secretary of the Workers’ Party of Korea and first chairman of the National Defence Commission of the DPRK, visited the Kim Il Sung University of Politics and took part in the election of a deputy to the Supreme People’s Assembly at sub-constituency No. 43 of Constituency No. 105 together with service personnel of the KPA on Sunday.

Kim Jong Un received a ballot from the chairman of the election committee of the KPA for the election of deputies to the SPA and voted for Kim Kwang Hyok, commander of the KPA Unit 855, who is a candidate for SPA deputy.

He met the candidate and warmly shook hands with him, encouraging him to display a high sense of responsibility in the struggle for stepping up the combat preparations and bolstering up the combat capabilities, not forgetting even a moment the last instructions given by leader Kim Jong Il while visiting the unit in the last period of his life.

After voting for him, Kim Jong Un inspected the university.

He looked round the room for the education in the revolutionary history and the room devoted to the history of the university.

He said that the university has creditably fulfilled its honorable mission and duty as the nation’s highest seat for training political officers of the KPA, adding that it is great honor and pride of the WPK and the people to have the Kim Il Sung University of Politics and its history will always remain shining along with the history of the WPK.

He went round the e-library and the hall of service personnel and other places of the university.

He was greatly satisfied to learn that the university has created an excellent educational environment for training its cadets as versatile political officers and it is effectively using it. He appreciated the efforts made by the teaching staff while devoting all their wisdom and energies to training political officers.

Saying that the university has a very important position and role in developing the party political work in the People’s Army as required by the modeling of the whole army on Kimilsungism-Kimjongilism, he set tasks which would serve as guidelines for steadily improving the instruction and education, educational environment and the living conditions of the cadets.

Kim Jong Un expressed his expectation and conviction that teachers of the university would train more able all-round political officers strong in the party spirit, keenly aware of the sense of responsibility for training the backbones for carrying out the revolutionary cause of Songun.

He was accompanied by KPA Vice-Marshal Choe Ryong Hae, member of the Presidium of the Political Bureau of the Central Committee of the WPK and director of the General Political Bureau of the KPA, and Kim Kyong Ok, Hwang Pyong So and Kim Yo Jong, senior officials of the C.C., the WPK.

Below is a picture of the Kim Il-sung University of Politics that I identified in 2009:

Here are other stories from KCNA on election day:

1. All Voters Go to Polls

2. Senior Party, State Officials Go to Polls

3. Voting Takes Place at Paektusan Constituency No. 111

4. Paektusan Constituency No. 111 Replete with Loyalty to Kim Jong Un

UPDATE 12 (2014-3-6): Candidates for SPA Deputies Nominated, Registered at All Constituencies

UPDATE 11 (2014-2-24): Voters meetings held nationwide. KCNA:

Voters’ Meetings Held at All Constituencies

Pyongyang, February 24 (KCNA) — There took place oath-taking meetings of voters for the election of deputies to the 13th Supreme People’s Assembly (SPA) of the DPRK at all constituencies from Feb. 21 to 24 to repay with loyalty the deep trust of supreme leader Kim Jong Un who sent his open letter to all voters across the country.

The open letter was read out at the meetings.

Speeches were made there.

Speakers said that the open letter carries the noble intention of Kim Jong Un wishing all service personnel and people across the country to take part in the election as one, consolidate the people’s power as firm as a rock and further consolidate the state and social system.

The nomination of Kim Jong Un as a candidate for deputy to the 13th SPA was a unanimous will and desire of all service personnel and people of the DPRK and a clear manifestation of their faith and will to achieve a final victory in building a thriving nation under the guidance of the great party, they noted.

They called for making positive contributions to the drive to greet the election with high political enthusiasm and shining labor success, further consolidate the people’s power and build the socialist country into the most powerful one in the world and the people’s paradise.

They also called on all service personnel and people to take part in the election as one and vote for the candidates with patriotism, cherishing the happiness and honor of having nominated Kim Jong Un as a candidate for deputy to the 13th SPA.

UPDATE 10 (2014-2-22): North Koreans have reportedly been notified whom to vote for in the upcoming SPA elections. According to KCNA:

Lists of Voters Displayed at Constituencies, Sub-constituencies

Pyongyang, February 22 (KCNA) — Lists of voters were displayed at the constituencies and sub-constituencies for the election of deputies to the 13th Supreme People’s Assembly across the country.

All citizens with suffrage residing in the relevant areas are registered in the lists of voters worked out according to the Rules on the Elections of Deputies to People’s Assemblies at All Levels of the DPRK.

Voters are confirming the accuracy of their names registered.

UPDATE 9 (2014-2-20): Rodong Sinmun calls for greeting election of deputies to SPA with high political enthusiasm and labor achievements (KCNA)

UPDATE 8 (2014-2-19): Although all constituencies nominated Kim Jong-un, he could only pick one in which he would “run”:  Paektusan Constituency No. 111. Here is more in KCNA:

Kim Jong Un Sends Open Letter to Voters throughout Country

Pyongyang, February 19 (KCNA) — Supreme leader Kim Jong Un sent an open letter to all voters throughout the country on Tuesday.

The following is the full text of the open letter:

The election of deputies to the 13th Supreme People’s Assembly, which is going to be held at a time when the service personnel and people across the country are vigorously stepping up a general onward march for ushering in a golden age of Songun Korea as they are filled with confidence in victory, will prove an important occasion in demonstrating the true features of our style of socialism centered on the masses and further consolidating the government of the Democratic People’s Republic of Korea.

The voters’ meetings held in all constituencies of the country for the nomination of candidates for the posts of deputies to the 13th Supreme People’s Assembly nominated me, in reflection of their determination and will to entrust their destiny and future entirely to the Workers’ Party of Korea and support its leadership with loyalty, as candidate for the post of deputy to the 13th Supreme People’s Assembly. I keenly felt the steel-strong faith and will of our service personnel and people to place their absolute trust in the Party and follow it to the last, and was greatly encouraged by it.

I feel very grateful for their expression of deep trust in me and extend warm thanks to them from the bottom of my heart.

The integral whole of the Party and the masses, in which the Party believes in the people and the people absolutely trust and follow the Party, is the fundamental source of the unquenchable strength of our Republic and by dint of this great single-hearted unity, the government of our Republic is writing an ever-victorious history, overcoming all manner of challenges and difficulties. No force in this world can match the strength of our single-hearted unity, in which the Party and the masses, the leader and all the service personnel and people are united in one ideology and will and linked with one another in blood-sealed ties.

Remembering the deep trust and expectations of the entire electorate, I will remain faithful to the last to the ideology and cause of the great Comrades Kim Il Sung and Kim Jong Il and devote my all to working for my fellow countrymen and expediting the day of prosperity when they would live without envying others, enjoying all the benefits of the world.

According to the Rules on the Elections of Deputies to the People’s Assemblies at All Levels of the Democratic People’s Republic of Korea, a candidate shall be registered at only one constituency. So I decided to register as a candidate at Paektusan Constituency No. 111 for the election of deputies to the 13th Supreme People’s Assembly.

Before our people who are advancing, full of confidence, for the final victory of the building of a prosperous socialist nation is the wide, victorious road President Kim Il Sung and General Kim Jong Il opened for them, and the people’s government is a powerful political weapon for building a thriving nation. We should strengthen the people’s government in every way and constantly improve its functions and role as required by the times and developing revolution.

All voters should take part in the election of the deputies to the Supreme People’s Assembly as one and elect genuine representatives of the people, thus consolidating our most advantageous people’s power to be rock-solid and further developing the state and social system.

I firmly believe that all the service personnel and people will work devotedly with ennobling self-consciousness as befitting the citizens of the Republic and high patriotic zeal and build our socialist country into the most powerful country in the world, a people’s paradise.

UPDATE 7 (2014-2-15): Posters have been produced and KCNA reminisces on the DPRK’s first election.

UPDATE 6 (2014-2-10): KCNA publishes a laughable description of the election process:

Popular, Democratic Election System in DPRK

Pyongyang, February 10 (KCNA) — The polling day for election of deputies to the 13th Supreme People’s Assembly (SPA) of the DPRK is coming nearer.

The DPRK has the advantageous election system for the working masses to take part in forming state power organs.

Its advantages are evidenced by free and fair election based on a secret ballot in the universal, equal and direct principles.

The universal election principle allows each citizen to elect or to be elected without any restriction and reserve. Accordingly, a citizen over 17 years old is entitled to participate in the elections of deputies to people’s assemblies at all levels, regardless of sex, nationality, occupation, property, standards of learning, party affiliation, political view and religious faith. And he or she can be elected a deputy.

The equal election principle makes every voter elect or be elected with equal qualification and right, not allowing any distinction and privilege among voters in the exercise of rights.

The direct election principle makes a constituent directly cast a ballot. It does not allow voting by proxy and makes it possible to set up special sub-constituencies at hospitals, sanatoriums and other places or organize mobile ballots for citizens hard to move.

The secret ballot guarantees fair election.

The election system in the DPRK fully conforms with the essential character of the revolutionary power, which was established by the popular masses and serves for their interests, freedom and happiness.

UPDATE 5 (2013-2-7): Kim Jong-un  nominated as a candidate for deputy to the 13th SPA by full support of all electors and other people. According to KCNA:

Meetings of Electorate Nominate Kim Jong Un as Candidate for Deputy to SPA

Pyongyang, February 7 (KCNA) — Meetings of electorate took place at all constituencies across the country to nominate supreme leader Kim Jong Un as a candidate for deputy to the 13th Supreme People’s Assembly (SPA) of the DPRK.

Reporters and speakers at the meetings said the election of deputies to the 13th SPA of the DPRK will offer a historic occasion of glorifying forever the Juche-oriented idea of nation-building of President Kim Il Sung and General Secretary Kim Jong Il and their immortal exploits, and bringing about a turning-point in the efforts for realizing all dreams and ideal of the people by enhancing the function and role of the people’s government.

They went on:

Kim Jong Un, possessed of outstanding wisdom, versatile leadership ability and noble traits, performed immortal exploits for the Party, revolution, country and people by leading the struggle for accomplishing the revolutionary cause of Juche at a historic time when the new century of Juche era started.

During the days of advancing the revolution and construction by having Kim Jong Un at the supreme posts of the party, state and army, the DPRK army and people keenly realized the great personality of the peerless Songun commander who is possessed of traits and qualifications as a contemporary statesman.

The service personnel and people of the country are full of conviction that the rosy future of Songun Korea and the victory of the cause of building a thriving socialist nation, in which the noble ideal and desire of the great Generalissimos are brought into full bloom, lie in following Kim Jong Un.

At the meetings they courteously proposed nominating Kim Jong Un as a candidate for deputy to the 13th SPA, reflecting the unanimous desire of all electors and other people.

The participants expressed full support for the proposal reflecting the unanimous will of the service personnel and other people.

The meetings solemnly declared that Kim Jong Un, first secretary of the Workers’ Party of Korea, first chairman of the National Defence Commission of the DPRK and supreme commander of the Korean People’s Army, was nominated as a candidate for deputy to the 13th SPA by full support and approval of all electors and other people.

Letters to Kim Jong Un were adopted at the meetings.

UPDATE 4 (2014-2-4): Surprise! Kim Jong-un has been nominated as a candidate to the SPA. According to KCNA:

Kim Jong Un Nominated as Candidate for Deputy to SPA

Pyongyang, February 4 (KCNA) — Kim Jong Un, first secretary of the Workers’ Party of Korea, first chairman of the National Defence Commission of the DPRK, supreme commander of the Korean People’s Army and supreme leader of the Workers’ Party of Korea and the people of the DPRK, was nominated as a candidate for deputy to the 13th Supreme People’s Assembly in reflection of the unanimous desire and absolute trust of all the service personnel in him.

A meeting of electorate took place with splendor at Paektusan Constituency No. 111 Monday to nominate Kim Jong Un as a candidate for deputy to the 13th SPA.

Present there were Choe Ryong Hae, Ri Yong Gil, Jang Jong Nam and officials of the Ministry of the People’s Armed Forces and KPA service personnel.

Vice Marshal of the KPA Choe Ryong Hae, member of the Presidium of the Political Bureau of the Central Committee of the WPK and director of the KPA General Political Bureau, made a report.

He said the path covered by the DPRK under the leadership of the Songun commander of Mt. Paektu is a sacred path in which it emerged victorious by dint of the spirit, pluck and gut of the supreme commander, and a gigantic path in which it created world-startling miracles and innovations.

Through their life experience the KPA service personnel keenly felt that the bright future of Songun Korea and the victory of building a thriving socialist nation, the lifelong desire and wish of the great Generalissimos, are guaranteed only when they follow the supreme commander.

He courteously proposed nominating Kim Jong Un as a candidate for deputy to the SPA of Paektusan Constituency No. 111 for the election of deputies to the 13th SPA carrying the unanimous desire and warm wishes of all the service personnel.

Ri Yong Gil, chief of the KPA General Staff, Jang Jong Nam, minister of the People’s Armed Forces, and other speakers expressed full support and approval for the proposal for nominating Kim Jong Un as a candidate for deputy to the SPA.

The meeting solemnly declared that Kim Jong Un was nominated as a candidate for deputy to the SPA of Paektusan Constituency No. 111 for the election of deputies to the 13th SPA according to the unanimous desire and warm support and approval of all the electorate.

A letter to Kim Jong Un was adopted at the meeting.

And this article in KCNA:

Letter from Meeting of Electorate of Paektusan Constituency No. 111
Pyongyang, February 4 (KCNA) — Supreme Commander of the Korean People’s Army Kim Jong Un Monday received a letter from the participants in a meeting of electorate of Paektusan Constituency No. 111 to nominate him as a candidate for deputy to the 13th Supreme People’s Assembly of the DPRK.

The letter said:

The period in which Kim Jong Un has led the army and the people of the DPRK true to the intention of leader Kim Jong Il was a short time in the nation’s history spanning five thousand years, but the feats he performed during the period are, indeed, the great feats that politicians can not do for a century and more.

The DPRK is giving full play to its dignity and might as an invincible power, while confidently advancing along the road of independence, Songun and socialism despite the world political upheaval. This is the proud fruition of Kim Jong Un’s extraordinary wisdom, distinguished political caliber, matchless courage and pluck.

Therefore, the grand meeting of electorate decided with a unanimous approval to nominate Kim Jong Un as a candidate for deputy to the 13th SPA of the DPRK amid the full support and enthusiastic cheers of all the participants.
The letter expressed the determination to successfully fulfill the honorable mission and duty as the defender of the DPRK government, rallied close around the supreme commander.

According to coverage in Yonhap:

Although the SPA is a rubber-stamp organization, it comprises almost all key members of the North’s elite. Late leader Kim Jong-il, the father of current leader Kim Jong-un, was elected uncontested in past elections.

The outgoing SPA with a membership of 687 deputies was elected in 2009. Only those endorsed by the party can run in the elections, according to South Korean officials and analysts.

Analysts said North Korea will likely use the upcoming elections as an opportunity to eliminate or sideline supporters of Jang Song-thaek, leader Kim Jong-un’s once-powerful uncle, who was executed in December for treason.

UPDATE 3 (2014-2-2): According to KCNA:

Election Committees for Deputies to SPA Start Their Work

Pyongyang, February 2 (KCNA) — Election committees were organized in constituencies and sub-constituencies for the election of deputies to the 13th Supreme People’s Assembly (SPA) of the DPRK formed in provinces (municipality), cities (district) and counties and in the field of armed forces according to the law of election of deputies to the people’s assemblies at all levels of the DPRK and started their work.

Preparations are making headway across the country on the threshold of the election of deputies to the 13th SPA.

Here is the Korean version of the article.

UPDATE 2 (2014-1-15): Preparations for the elections continue. According to KCNA:

Brisk Preparations for Election of Deputies to SPA

Pyongyang, January 15 (KCNA) — Preparations are making brisk headway across the DPRK for the election of deputies to the 13th Supreme People’s Assembly (SPA).

Provincial (municipal), city (district) and county committees for the election of deputies to the 13th SPA were organized according to the regulations for the enforcement of the law on electing deputies to the people’s assemblies at all levels of the DPRK and started their work.

Election committees were also organized in the field of armed forces.

UPDATE 1 (2014-1-12): KCNA reports on creation of Central Election Committee:

SPA Presidium Decides to Form Central Election Committee

Pyongyang, January 12 (KCNA) — The Presidium of the Supreme People’s Assembly (SPA) of the DPRK decided to organize the central election committee for the election of deputies to the 13th SPA. The decision was released on Jan. 7.

The chairman of the committee is Yang Hyong Sop, vice-chairman Kim Phyong Hae, secretary general Hong Son Ok and its members Choe Pu Il, Kim Yong Dae, Kim Yong Ho, Jon Yong Nam, Hyon Sang Ju, Ri Myong Gil, Ro Song Sil, Ryom Chol Song, Kim Wan Su and Yun Jong Ho.

ORIGINAL POST (2014-1-8): According to KCNA:

Election of Deputies to SPA to Be Held

Pyongyang, January 8 (KCNA) — The Presidium of the DPRK Supreme People’s Assembly (SPA) decided to hold an election of deputies to the 13th SPA on March 9, Juche 103 (2014), according to Article 90 of the Socialist Constitution of the DPRK.

The Daily NK offers additional information:

Deputies of the Supreme People’s Assembly represent 687 constituencies and serve for five years, with the last election held in March 2009.

…

The decision to hold elections was made by the Presidium of the Supreme People’s Assembly, North Korea’s most powerful supervisory body.  Established in 1948, the Presidium implements the orders of Kim Il Sung and Kim Jong Il, and sets guidelines for both domestic and international policy.  It has the authority to promote and recall core members of central state organs, including the National Defense Commission, the Cabinet and the Supreme Court.

Naturally, the new power shakeup is set to generate intense speculation over the future direction of national and economic policy.

Ahn Chan Il of the World Institute for North Korea Studies told Daily NK, “It seems that the all-powerful regime of Kim Jong Eun will be formalized through the Supreme People’s Assembly for the world to see.  This (election) could present an opportunity to revise the law, including amendments to the constitution, the ironing out issues related to land and the selection of special economic zones.”

The Associated Press offers additional information:

North Korea usually holds parliamentary elections every five years and the polls are largely a formality because candidates are believed to be hand-picked by the ruling Workers’ Party. But since members of the Supreme People’s Assembly typically hold other top official posts, the elections are closely watched by outside analyst for any hints for a shift in power in the tightly controlled country.

This year’s election will be the first since Kim took power after the death of his father Kim Jong Il in late 2011.

It also will take place after Kim Jong Un had his uncle and top official Jang Song Thaek executed on treason charges last month. Observers said the execution was aimed at bolstering Kim’s power but also showed his grip on power wasn’t as tight as his father’s.

Kim is expected to use the elections to replace aging legislators with younger ones loyal to him, said analyst Cheong Seong-jang at the private Sejong Institute in South Korea.

Here are previous posts on the 12th Supreme People’s Assembly:
1. Elections for the 12th Supreme Peoples’ Assembly were held in March 2009. See here, here, here.

2. 1st Session of the 12th Supreme Peoples’ Assembly (regular session: 2009-4):  KCNA and here.

3. 2nd Session of the 12th Supreme Peoples’ Assembly (regular session: 2010-4): KCNA 1,KCNA 2,  here, and here.

4. 3rd Session  of the 12th Supreme Peoples’ Assembly (extra session: 2010-6): KCNA 1, KCNA 2, KCNA 3, KCNA 4, KCNA 5, KCNA 6, KCNA 7, KCNA 8, here, here, and here.

5. 4th Session of the 12th Supreme Peoples’ Assembly (regular session: 2011-4)

6. 5th Session of the 12th Supreme Peoples’ Assembly (regular session: 2012-4)

7. 6th Session of the 12th Supreme Peoples’ Assembly (extra session: 2012-9)

8. 7th Session of the 12th Supreme Peoples’ Assembly (regular session: 2013-4)

According to Yonhap (via Korea Herald):

The United Nations humanitarian fund created to speed up relief efforts around the world said it allocated $15.1 million for aid to North Korea in 2013.

The Central Emergency Response Fund said on its website that it provided emergency food assistance, as well as vaccines and essential medicines, to people in the flood-affected regions especially children and women in the communist North through the World Food Program and other U.N. organizations.

In 2012, the U.N. humanitarian fund allocated $12.9 million to North Korea.

The CERF provided a total of $482 million to 45 countries across the globe last year, with North Korea being the 11th-largest recipient.

The North has relied on international handouts since the late 1990s when it suffered a widespread famine that was estimated to have killed 2 million people.

Read the full story here:
U.N. fund gives $15.1 mln to N. Korea in 2013
Yonhap (via Korea Herald)
2014-2-4

According to Yonhap (via the Korea Herald):

A fuel ration system in North Korea seems to have been dismantled due to a chronic fuel shortage, a report said Monday.

The report by the state-run Korea Energy Economics Institute (KEEI) said a majority of households in North Korea secure their fuel for heating and cooking on the black market or by themselves, hinting that the country’s fuel ration system might have been scrapped.

The report was made on the basis of data compiled from a poll of 350 North Korean defectors who fled the country after 2011.

According to the report, 51.1 percent of the North’s households bought their heating and cooking fuel on the market, with 42 percent gathering their fuel, such as firewood, by themselves.

Only 6.8 percent of them were provided with fuel for heating and cooking through the country’s fuel ration channel.

The energy consumption of a North Korean household was estimated at 0.291 tons of oil equivalent (TOE) as of 2011. The TOE is a unit of energy which is equivalent to the amount of energy released by burning one ton of crude oil.

The consumption of energy gaining from coal briquettes accounted for 36.8 percent of the total, reaching 0.107 TOE, followed by wood with 0.069 TOE, electricity with 0.038 TOE, oil products with 0.025 TOE and propane gas with 0.023 TOE.

The energy consumption for heating took up 50.9 percent of the total, amounting to 0.148 TOE.

The KEEI said a program for fuel aid to North Korea should be mapped out on the basis of exact data on the energy consumption in the North’s private sector.

You can download the full report here in Korean (PDF). Here is the web page for the Korea Energy Economics Institute.

Read the full story here:
Fuel ration seems to have been dismantled in N. Korea: report
Yonhap
2014-2-3

Kim Chol-jin, the deputy chief of North Korea’s National Committee for Economic Development, is seen with North Korea head-of-state Kim Jong-un in Pyonyang’s water park (top left) and at the Masik Pass ski resort (top right). A Shanghai businessman uploaded the two lower pictures showing Kim meeting Chinese businessmen onto his blog in January 2012. (Yonhap)

According to the Korea Herald:

Kim Chol-jin is the newest influential economic policymaker in North Korea said analysts, after television images recently showed the bureaucrat accompanying head of state Kim Jong-un on multiple inspection rounds.

The North Korean Central News Agency broadcast images of Kim Chol-jin, the deputy chief of the National Committee for Economic Development, shadowing the North Korean leader to economically symbolic sites such as the Masik Pass ski resort last December. The ski resort opened last year as part of efforts to boost foreign tourism in the reclusive country.

“That deputy seat is actually closer to that of a minister here in the South,” said Ahn Chan-il, the head of the World North Korea Research Center. “He will likely have clout on North Korea’s economic policies.”

North Korea analysts expect Kim Chol-jin to spearhead much of the North’s recent economic plans to earn cash through foreign investment.

But the latest television images showing Kim Chol-jin do not include his immediate boss, the chief of the National Committee for Economic Development, implying that he is the de facto executive and his boss a mere figurehead, according to sources.

The deputy committee chief is an experienced trade official. He served at the North’s Ministry of Foreign Trade and at government agencies facilitating Chinese investment. Sources say he has extensive business connections in China and experience trading with South Korea in the mid-2000s.

Kim, along with Park Bong-ju [Pak Pong-ju], the Premier of North Korea and Roh Du-chol [Ro Tu-chol], head of the National Planning Commission, are expected to be the key members of North Korea’s economic policy team. North Korea experts consider Park and Roh to be market-orient reformists although one analyst voiced caution.

“Yes, (there) are changes on the margins, but they’re more for maintaining the current (political) system,” said Daniel Pinkston, the Deputy Project Director of the International Crisis Group’s North East Asia office.

The North’s economic development committee is the communist country’s key macroeconomic decision-making body. The committee oversees special economic zones, which lower taxes for foreign companies willing to invest there. Russia and China have been the main bidders.

Read the full story here:
New economic czar emerges in N. Korea
Korea Herald
Jeong Hunny
2014-2-3

Yonhap reports that China – DPRK trade appears unaffected by the purge of Jang Song-thaek. According to the article:

Despite North Korea’s stunning execution of the leader’s uncle in December, its trade with China remained solid in January, up 16 percent from a year earlier, data showed Friday.

Jang Song-thaek, the country’s No. 2 man and leader Kim Jong-un’s uncle, had played an important role in dealing with Beijing before being executed late last year on treason charges. The political upheaval raised concerns over a possible instability that could spill over into other areas of the reclusive country’s moribund economy and society.

Still, trade volume between North Korea and its major trading partner China came to US$546 million in January, compared with $471 million from a year earlier, according to the data compiled by the Korea International Trade Association (KITA).

North Korean exports to China jumped 18 percent on-year to $223 million, with imports rising 14.5 percent to $323 million, the data showed.

Anthracite was the No. 1 export item for the impoverished country to its communist neighbor, selling some $101 million worth of the natural resource last month, up 21.3 percent from a year ago.

North Korea’s anthracite exports are a major source of income, and China is virtually the only destination for the shipments.

Inbound shipments of China-made cell phones soared 28 percent on-year to $14.4 million in January, the data showed.

“Trade volume between the two countries is expected to rise further given China’s growing demand for minerals for its project to develop its three northeastern provinces of Heilongjiang, Jilin and Liaoning,” said Lim Eul-chul, a research professor at Kyungnam University.

“Such political variables as Jang’s execution would not likely affect the trend,” he added.

The heavily sanctioned North Korea has been increasingly reliant on China, though the Asian giant has become frustrated with its wayward neighbor, particularly after Pyongyang’s third nuclear test early last year.

In 2013, trade volume between the two reached a record $6.45 billion last year, up 10.4 percent from the previous year, according to KITA data.

The Wall Street Journal notes:

“Bilateral trade has probably yet to feel the impact of Mr. Jang’s execution,” said Cho Bong-hyun, research fellow at Seoul-based IBK Economic Research Institute.

“Both sides are still acting on trade contracts that have already been signed and usually take effect for six months,” Mr. Cho said.

Mr. Cho said he expects the impact from Mr. Jang’s purge will begin to appear in the data from the second quarter of this year. North Korea may also increasingly turn to trade with South Korea following a thawing of ties and the reopening of a jointly run Kaesong industrial park, he said.

The KITA data show inter-Korean trade volume shrank 42% to an eight-year low of $1.15 billion last year, when the Kaesong complex was closed for several months after North Korea pulled out its workers.

North Korean-Chinese trade volume hit a record high of $6.54 billion last year, according to KITA, as North Korea exported natural resources such as coal and iron ore, while importing fuel and electronics goods.

The Korea Trade-Investment Promotion Agency, Seoul’s state-funded trade agency, said in a report last year that North Korea’s bilateral trade with China accounted for 88% of Pyongyang’s entire external trade in 2012, up from 53% in 2005.

Read the full stories here:
N. Korea, China trade unaffected by stunning execution: data
Yonhap
2014-2-28

Jang Purge Yet to Hurt North Korea-China Trade
Wall Street Journal
Kwanwoo Jun
2014-2-28

According to Yonhap:

Trade volume between North Korea and its major trading partner China reached a record US$6.45 billion last year, up 10.4 percent from a year earlier, data showed Saturday.

North Korean exports to China jumped 17.2 percent on-year, while imports from China increased 5.4 percent, according to the data from the Korea International Trade Association.

Pyongyang’s trade deficit recorded $721 million, a 25 percent decrease compared with the previous year, the data showed.

North Korea’s major export items were minerals, with $1.37 billion worth of anthracite and $294.1 million of iron ore shipped to China last year.

North Korea’s anthracite exports are a major source of income, and China is virtually the only destination for the shipments.

The isolated socialist state heavily relied on China for crude oil, buying $598.1 million from its sole financial and diplomatic backer.

Inbound shipments of China-made cell phones fell to $44 million last year, shrinking by 26.6 percent from a year ago.

The latest data showed the heavily sanctioned North Korea is increasingly reliant on China, even though the Asian giant has become frustrated with its wayward neighbor, particularly after Pyongyang’s third nuclear test early last year.

Since these numbers are aggregated, we cannot observe if the purge of Jang song-thaek and his patronage network had any effect on DPRK/China trade at the end of the year.

The DPRK also increased oil imports from China in 2013. According to Yonhap (2014-2-10):

Shipments of crude oil to North Korea from China increased 11.2 percent on-year in 2013, a South Korean government report showed Monday, the latest sign that Beijing still gives Pyongyang access to the vital commodity despite its defiant pursuit of nuclear weapons.

North Korea imported a total of 578,000 tons of crude oil from China last year, compared with 520,000 tons in 2012, according to the report based on China’s customs data.

Monthly shipments of crude oil from China to North Korea were absent in February, June and July last year, but Beijing exported “a large amount of crude oil” to Pyongyang in the second-half of last year, the report said.

In 2013, trade between North Korea and China rose 8.9 percent on-year to reach US$6.54 billion, with the North’s exports to China jumping 18 percent to $2.91 billion, the report showed.

“Our overall analysis is that international sanctions against North Korea’s nuclear and missile programs have not reduced or shrunk the North’s trade with China,” a South Korean diplomat said on the condition of anonymity.

Here is coverage in the Daily NK.

Additional information:
1. Imports of grain were up. Food aid imports from UN were down.

2. Coal exports to China up.

3. DPRK visitors to China up.

Read the full stories here:
Trade between N. Korea, China hits record $6.45 bln in 2013
Yonhap
2014-1-31

N. Korea’s crude oil imports from China rise 11.2 pct in 2013
Yonhap
2014-2-10

NASA has released another iconic photo of the Korean peninsula taken at night:

Image date: 2014-1-30

Here is the source. Here is video.

Here is a NASA photo from 2012-9-24.

UPDATE 2 (2014-1-27): The North Korean restaurant has re-opened in Amsterdam. According to NK News:

While the Pyongyang Restaurant [See Below] shut down the same year as it opened – allegedly due to a dispute between the Dutch owner Remco Van Daal and its North Korean staff – the Haedongwha staff will now be managed in cooperation with an ethnic Korean manager named John Kim.

…

Kim, who has lived in the Netherlands for most of his life, also runs a business in Pyongyang exporting sand to Singapore, a source familiar with his background told NK News.

Unlike Haedangwha restaurants in China, which are run directly by the North Korean government, the Netherlands branch is unique in having non-North Korean ownership but a North Korean staff.

You can read more about the restaurant in Het Parool.

Michael Madden tracked down the location.

Here is the official web page of the restaurant.

Learn more about the “other” Haedanghwa here.

UPDATE 1 (2012-9-6): The restaurant has closed. According to the Associated Press:

A North Korean restaurant in Amsterdam staffed by cooks and waitresses from the isolated country has closed its doors.

Dutch newspaper De Telegraaf reported Thursday that Pyongyang Restaurant’s closure was permanent and stemmed from a disagreement between its Dutch owners and North Korean staff.

The restaurant was an oddity, believed to be the only of its kind in Western Europe, though there are similar restaurants in Asia. Dutch labor authorities say North Koreans can get work visas for Europe under standard rules, but few do.

A woman who answered the phone at the restaurant said the establishment was closed. She couldn’t say for how long because she was not authorized to do so. Its website says it is closed “due to holidays.” Phone calls to the owner Thursday went unanswered.

See more here at North Korea Leadership Watch.

ORIGINAL POST (2012-2-5): According to Yonhap:

A North Korean restaurant has opened in the Dutch capital of Amsterdam in what could be the communist nation’s latest attempt to earn hard currency and foster closer ties with Europe.

The “Pyongyang Restaurant” was launched late last month under a joint venture between North Korea and two Dutch businessmen. While North Korea is known to operate dozens of restaurants across Asia, it is the first time a North Korean restaurant has opened in Europe, with the exception of a canteen that briefly operated near the North Korean Embassy in Vienna in the mid-1990’s, according to a local source, who spoke on the condition of anonymity.

The restaurant is staffed by nine North Koreans, including the director and manager, Han Myong-hee, who worked for 15 years at a North Korean restaurant in Beijing operated by the North’s ruling Workers’ Party.

Pyongyang Restaurant, which seats 24 people, has its walls covered with pictures of Pyongyang and North Korean nature, while its menu consists solely of a nine-course meal priced at 79 euros (US$104).

Han said there are plans to offer more affordable dishes such as Korean noodles and dumplings after the restaurant’s official opening on Feb. 17.

“After our official launch, we plan to gradually serve a variety of dishes and during lunch hours as well,” she said. The restaurant currently serves only dinner.

The opening ceremony is expected to be attended by the North Korean ambassador to Switzerland, other North Koreans, and key figures from the Netherlands and different European nations, Han said.

Analysts said the restaurant is likely to serve not only as a source of much-needed cash but also as a bridge to Europe for the isolated North.

“North Korea has been putting a lot of effort into normalizing relations with European nations since 2000,” said Yang Moo-jin, a professor at the University of North Korean Studies in Seoul. “The opening of North Korea’s first restaurant in Europe can be seen as the North’s attempt to improve ties with the West through exchanges at the civilian level.”

Read the full story here:
N. Korean restaurant opens in Netherlands
Yonhap
2012-2-5