Russia’s trade with the DPRK has revived the Rason special economic zone – Kommersant

Russia's trade with the DPRK has revived the Rason special economic zone - Kommersant

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The Rason special economic zone (SEZ) created by the North Korean authorities has become the “epicenter of growing cooperation” with Russia, reports Reuters. The agency, citing satellite images, writes that for the first time since 2018, Russian ships moored in this economic zone. It is noted that Russia trades with the DPRK through the port of Rason, located on the border, as well as through the nearby railway.

The Rason SEZ was created in the 1990s on the border with China and Russia, and North Korean officials tried to attract investment there. According to experts, one of the first and largest markets in North Korea is located there, the first mobile network of the DPRK appeared there, and this is the only place where the purchase and sale of houses was legalized in 2018. However, trade and tourism in the republic ceased after the introduction of strict sanctions against the DPRK, as well as against the backdrop of the coronavirus pandemic.

As Reuters notes, “although China may seem like an obvious driver for the restoration of Rason,” experts are still convinced that deepening cooperation between the DPRK and Russia “could have a more direct impact” on the restoration of the Rason SEZ. In particular, it is believed that Russia can sell coal, oil and flour through this zone. If more North Korean workers are allowed to cross the border, they will be able to send Russian medicines and other goods to relatives and for resale, Jeong Eunli, an expert on North Korean economics at the Korean Institute of National Unification, told the agency.

In addition, the agency, citing US and South Korean officials and reports from Western researchers, writes that since August, the port of Rason has been visited by Russian ships “associated with the military logistics system.” It was alleged that these ships were transporting weapons from North Korea to Russia, but the Kremlin denied this. According to South Korean military officials, North Korea sent about 2 thousand containers with cargo supposedly for military purposes to the Russian Federation.

In September, North Korean leader Kim Jong-un visited Russia for a five-day visit. In particular, he held a meeting with Russian President Vladimir Putin; their negotiations lasted about four hours. Upon his return, Kim Jong-un instructed take measures to strengthen relations with Russia.

About the relations between the two countries – in the material “Kommersant” “Everything is going according to plan”.

Laura Keffer

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