North Korean trade officials are streaming into Chinese border cities to meet businesspeople and negotiate import deals, marking a sharp rise in North Korea-China trade contacts. The surge follows a recent Chinese proposal to expand official trade through customs channels.
Chinese trading companies in Dandong, in Liaoning province, and in the Yanbian region have rarely been busier, a Daily NK source in China said on Thursday. North Korean trade officials now visit the companies every few days to discuss imports and request order contracts.
Companies with prior experience trading with North Korea, including Hangon Trading in Dandong and Songho Trading in Yanbian, have seen a steady stream of North Korean visitors. The officials want to import more than 100 kinds of goods. Construction-related items make up a large share of the requests. These appear connected to North Korea’s “regional development 20×10 policy,” a state campaign launched in 2024 to build factories and modernize facilities in 20 rural counties each year over a decade.
“We received many inquiries in the past about construction materials like aluminum windows, plywood, wallpaper and silicone sealants,” the source said. “But the quantities they are asking for now have grown noticeably. This clearly reflects high demand for construction and facility renovation.”
Payment disputes slow North Korea-China trade deals
Despite the frequent contacts, actual contracts are taking time to materialize. Many North Korean trade officials insist that Chinese partners ship goods first and accept payment later. Chinese companies balk at this condition, citing unpaid bills from past transactions.
Chinese businesspeople remain wary of dealing with North Korea after contract breaches and unsettled payments piled up during the COVID-19 border closures. As a result, negotiating payment terms now consumes considerable time.
“Chinese businesspeople worry most about shipping goods and never getting paid,” the source said. “So when the North Korean side keeps insisting on advance supply, Chinese firms often counter with demands for collateral. These include business entry rights in North Korea, rights to operate facilities there, or guarantees for staying and working in the country.”
The source added: “North Korean representatives often cannot finalize contracts on the spot. They keep saying they need to consult with their superiors. Visits have certainly increased recently, but consultations and inquiries still outnumber signed contracts.”
Expectations are growing in China that trade contacts and exchanges along the border will accelerate further. Chinese President Xi Jinping recently traveled to Pyongyang for a summit at which the two countries’ leaders agreed to expand economic cooperation.
However, deep-seated distrust built up through years of troubled transactions remains an obstacle. It remains to be seen whether the flurry of contacts will translate into signed contracts and expanded trade.
Reporting from inside North Korea
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June 12, 2026 at 02:42AM
by DailyNK(North Korean Media)