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Ref. : TRA CR 1006/12
22 June 2018
Dear Sirs,
TRADE AND INDUSTRY DEPARTMENT CIRCULAR
UNITED NATIONS SANCTIONS (DEMOCRATIC PEOPLE'S REPUBLIC OF KOREA) (AMENDMENT) REGULATION 2018
This is to announce for general information that on 22 June 2018 the Government gazetted the United Nations Sanctions (Democratic People's Republic of Korea) (Amendment) Regulation 2018 (the Amendment Regulation) (L.N. 122 of 2018).
2.The Amendment Regulation, made under section 3 of the United Nations Sanctions Ordinance (Cap. 537), implements sanctions against the Democratic People's Republic of Korea (DPRK) as imposed or expanded by the United Nations Security Council (UNSC) under Resolutions 2270, 2321, 2371, 2375 and 2397.
3.The sanctions imposed under the Amendment Regulation include:
- prohibition against the supply, sale, transfer and carriage of additional items, including aviation fuel, new helicopters, new or used ships, condensate oil, natural gas liquid, refined petroleum products, crude oil, iron, steel and other metals, industrial machinery, and transportation vehicles, to the DPRK or persons connected with the DPRK without licence;
- prohibition against the supply, sale, transfer and carriage of additional luxury goods, including aquatic recreational vehicles, snowmobiles, luxury watches, lead crystal items, luxury rugs or tapestries, and porcelain or bone china tableware to the DPRK without licence;
- prohibition against the supply, sale, transfer, and carriage to the DPRK or persons connected with the DPRK, and the procurement from the DPRK or persons connected with the DPRK, of additional items identified and designated by the UNSC, including certain items, materials, equipment, goods and technology related to weapons of mass destruction and conventional arms without licence;
- prohibition against the procurement of additional items, including coal, iron or iron ore, gold, titanium ore, vanadium ore, rare earth minerals, copper, nickel, silver, zinc, lead or lead ore, textiles, statues, seafood, food and agricultural products, machinery, electrical equipment, earth and stone, wood and ships, from the DPRK or persons connected with the DPRK without licence;
- prohibition against the carrying on of banking businesses by persons connected with the DPRK and the establishment and maintenance of offices by DPRK banks in the Hong Kong Special Administrative Region (HKSAR) without licence;
- prohibition against certain business activities of financial institutions in the DPRK or in connection with DPRK banks without licence;
- prohibition against the opening and maintenance of bank accounts for consular posts and accredited consular officers of the DPRK without licence, subject to a transitional arrangement;
- prohibition against the provision of financial support for trade with persons connected with the DPRK without licence;
- prohibition against the provision of specialised teaching or training that could contribute to the DPRK's proliferation of sensitive nuclear activities or the DPRK's development of nuclear weapon delivery systems, to nationals of the DPRK without licence;
- prohibition against the engagement in any scientific or technical co-operation involving persons officially sponsored by the DPRK or persons representing the DPRK, without licence, except for medical exchanges;
- prohibition against certain activities in connection with ships and aircraft without licence, including –
- procuring ship or aircraft crewing services from the DPRK or persons connected with the DPRK;
- leasing or chartering ships or aircraft registered in the HKSAR to certain persons and entities;
- providing ship or aircraft crewing services to certain persons and entities;
- registering ships in the DPRK;
- obtaining authorisation for ships to use the flag of the DPRK;
- owning, leasing, chartering or operating ships registered in the DPRK;
- providing ship classification, certification or associated services to certain ships;
- insuring ships registered in the DPRK;
- dealing with ships designated by the UNSC; and
- facilitating or engaging in ship-to-ship transfers to or from a DPRK-registered ship.
- prohibition against certain activities in connection with immovable property without licence, including leasing or making available immovable property to the DPRK Government for any purpose other than diplomatic or consular activities, and leasing immovable property from the DPRK Government; and engaging in certain activities linked to the use of immovable property that the DPRK Government owns or leases; and
- Prohibition against the establishment, maintenance or operation of joint ventures or co-operative entities with persons connected with the DPRK and the investment in such joint ventures or co-operative entities without licence.
4.An English version and a Chinese version of the UNSC documents related to the Amendment Regulation are available at the Information Counter on 1/F, Trade and Industry Department Tower for public inspection. These documents can also be found at UN website http://www.un.org.
WARNING
5.Contravention to the prohibitions imposed by the Amendment Regulation attracts substantial penalties which may amount in some cases to imprisonment for 7 years and/or a fine.
IMPORTANT NOTE
6.This circular is NOT a statement of the Laws of Hong Kong and has NO legal status. Anyone interested in the Amendment Regulation should refer to the Government Gazette for details. The prohibitions in the Regulation will apply to any person and company/registered business irrespective of and notwithstanding the possession of valid licences issued by the Director-General of Trade and Industry under the Import and Export Ordinance (Cap. 60) and its subsidiary legislation and other Enactments.
ENQUIRIES
7.Enquiries concerning this circular can be directed to the undersigned at tel. no. 2398 5490.
Yours faithfully,
(Miss Samantha CHENG)
for Director-General of Trade and Industry
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