Voice of America (VOA) reported on the 19th that additional Chinese companies registered as proxy operators of North Korean ships have been identified.
According to the International Maritime Organization’s (IMO) Global Integrated Shipping Information System (GISIS), a company named “Shandong Zaizhou International” was registered as the owner of the North Korean cargo “Geumunsan No. 8” on February 1st.
Although the company is registered as “Chinese” nationality, the company’s address states that “It represents the Korean Sungjin Shipping located in Sosang-dong, Botong River area, Pyongyang, North Korea.
This means that the ownership of the North Korean ship Geumunsan No. 8, owned by the North Korean company Korean Sungjin Shipping, has been managed by a Chinese company called Shandong Zaizhou International since February.
North Korea purchased a Chinese second-hand ship “Mingseong” in June last year and newly registered it as “Geumunsan No. 8.” The Geumunsan No. 8, a medium-sized cargo ship with a gross tonnage of 2989 tons, was registered as an owner of the “Korean Geumunsan Trading Company” located in Pyongcheon District, Pyongyang, but changed to a Chinese company after about 8 months.
This is a measure for a Chinese company to handle various paperwork, fuel supply, and supply of goods on board that occur when a North Korean ship enters and leaves foreign ports. It is also a standard industry practice for a third-party company to manage the vessel on behalf of the actual shipowner as a “proxy.”
However, this is not allowed for North Korean ships subject to UN sanctions. UN Security Council Resolution 2270, adopted in 2016, prohibits not only the ownership, leasing, and operation of North Korean ships but also the provision of classification or related services.
VOA reported that despite the sanctions against North Korea, the proxy operation of North Korean ships by Chinese companies has been increasing significantly since last year, and the number of North Korean vessels operated by Chinese companies is estimated to be 19, including this Geumunsan No. 8 case.