TAIWAN DPRK NON-PAPER: ADDRESSING U.S. CONCERNS

S E C R E T AIT TAIPEI 002800

SIPDIS





SIPDIS

E.O. 12958: DECL: 08/16/2016
TAGS: PGOV PREL TW
SUBJECT: TAIWAN DPRK NON-PAPER: ADDRESSING U.S. CONCERNS
OVER DPRK MISSILE TESTS

REF: TAIPEI 2701

CLASSIFIED BY: AIT DEPUTY DIRECTOR ROBERT S. WANG. REASON(S):
1.4 (B/D)


1. (S) MOFA NORTH AMERICAN AFFAIRS DIRECTOR-GENERAL LEO LEE
(CHEN-JAN) CONVEYED A TAIWAN INTERAGENCY DECISION ON NORTH
KOREA-RELATED PROLIFERATION ISSUES TO AIT ON AUGUST 15. LEE
EXPLAINED THAT THE "NON-PAPER" (TEXT IN PARA 2) WAS DRAFTED
IN RESPONSE TO AIT'S REPEATED URGING THAT TAIWAN RESTRICT ITS
TRADE WITH NORTH KOREA AND, IN PARTICULAR, TO AITS JULY 10
EXPRESSION OF CONCERN OVER NORTH KOREAS JULY 4 MISSILE TESTS
(SEE REFTEL). KEY MEASURES INCLUDE ADDING 340 ITEMS TO THE
SENSITIVE COMMODITY LIST (SCL) AND INCREASING REQUIREMENTS
FOR DPRK VISA APPLICATIONS. LEE ALSO STRESSED THAT THIS
INTERAGENCY DRAFT WAS INTENDED TO DEAL ONLY WITH NORTH KOREA,
AND THAT THE MINISTRY OF ECONOMIC AFFAIRS (MOEA) IS IN THE
PROCESS OF DRAFTING A BROADER TAIWAN POLICY ON PROLIFERATION
AND EXPORT CONTROL. (COMMENT: THE NON-PAPER ACTUALLY
MENTIONS IRAN IN ONE INSTANCE. END COMMENT.)


2. (S) BEGIN TAIWAN NORTH KOREA NON-PAPER (GRAMMAR AS IN
ORIGINAL ENGLISH VERSION PRESENTED TO AIT):

ON JULY 10, YOUR SIDE RAISED CERTAIN ISSUES REGARDING NORTH
KOREA'S RECENT MISSILE TEST. IN RESPONSE, WE CONVENED AN
INTRA-AGENCY MEETING ON JULY 26 TO DISCUSS THIS IMPORTANT
MATTER.

THE MEETING REVIEWED THE EXISTING MEASURES THAT WE HAVE TAKEN
REGARDING NORTH KOREA IN THE FOLLOWING AREAS: EXPORT
CONTROLS; MOVEMENT OF PEOPLE, COMMERCIAL SHIPS AND CHARTERED
FLIGHTS TO AND FROM NORTH KOREA; FINANCE CONTROLS; AND
TRANSNATIONAL CRIMES.

WE HAVE DECIDED TO TAKE THE FOLLOWING MEASURES IN THE
AFOREMENTIONED AREAS:

(1) EXPORT CONTROLS

SOME 340 ITEMS WILL BE ADDED TO THE SENSITIVE COMMODITY LIST
(SCL) FOR EXPORTS TO NORTH KOREA AND IRAN.

OUR LAW ENFORCEMENT AGENCIES HAVE INVESTIGATED THE COMPANIES
INVOLVED IN THE 10 CASES SUSPECTED OF VIOLATING THE STRATEGIC
HIGH TECHNOLOGY COMMODITY (SHTC) LIST. WE HAVE PUT THE SAID
COMPANIES ON THE LIST OF HIGH-RISK COMPANIES THAT ARE TO BE
CLOSELY MONITORED TO PREVENT THEM FROM IGNORING EXPORT
CONTROL MEASURES ON SHTC.

OUR CUSTOMS OFFICIALS WILL REINFORCE INVESTIGATION PROCEDURES
IN ACCORDANCE WITH THE NEWLY REVISED OPERATIONAL DIRECTIONS
FOR THE CLEARANCE AND MANAGEMENT OF TRANSSHIPMENT GOODS
CONCERNING TRANSSHIPMENT TO NORTH KOREA.

(2) MOVEMENT OF PEOPLE, COMMERCIAL SHIPS AND CHARTER FLIGHTS

WE ARE RAISING THE CLASS OF VISA APPLICATIONS BY NORTH KOREA
VISITORS FOR THE NEXT 6 MONTHS FROM THE EXISTING LEVEL THREE
(COUNTRIES UNDER OBSERVATION) TO THE STRICTEST LEVELS FOUR
AND FIVE (COUNTRIES OF HIGH RISK.) VISA APPLICATIONS BY
NORTH KOREA NATIONALITIES MUST NOW BE APPROVED BY MOFA.

IRREGULAR NORTH KOREAN SHIPS AND THOSE SUSPECTED OF CARRYING
SHTC ARE LIKELY TO BE GRANTED PERMISSION TO ENTER OUR
HARBORS. (NOTE: MOFA SUBSEQUENTLY ADVISED AIT THAT
"IRREGULAR" MEANS OCCASIONAL OR UNSCHEDULED. END NOTE.)
HOWEVER, IN SUCH INSTANCES, WE WILL PROHIBIT THEIR CREWS FROM
DISEMBARKING THE SHIP AND ENTERING THE COUNTRY. OUR LAW
ENFORCEMENT AGENCIES WILL ALSO MAKE THEIR BEST ENDEAVORS TO
INVESTIGATE ALL POSSIBLE ILLEGAL ACTIVITIES, INCLUDING
VIOLATIONS OF SHTC REGULATIONS, AND MONITOR NORTH KOREAN
SHIPS TO KEEP UNAUTHORIZED PERSONNEL FROM LEAVING OR
APPROACHING THE SHIP.

ANY CHARTERED FLIGHT TO AND FROM NORTH KOREA REQUIRES
APPROVAL IN ADVANCE BY OUR AUTHORITY. THERE HAS BEEN NO SUCH
APPLICATION OVER THE PAST 4 YEARS. SHOULD THERE BE ONE IN
THE FUTURE, WE WILL REVIEW IT WITH STRICTEST CARE.

(3) FINANCE CONTROLS

BASED ON LISTS OF TERRORISTS AND TERRORIST-CONNECTED
FINANCIAL ORGANIZATIONS PROVIDED BY YOUR SIDE, WE HAVE


REQUIRED OUR MONETARY ORGANIZATION TO STRENGTHEN THEIR
MONITORING OF FINANCIAL TRADES WITH NORTH KOREA. ALL
SUSPICIOUS TRANSACTIONS ARE TO BE IMMEDIATELY REPORTED TO OUR
BUREAU OF INVESTIGATION.

OUR LAW ENFORCEMENT AGENCIES WILL FORCEFULLY INVESTIGATE AND
PROSECUTE CASES OF SUSPICIOUS FINANCIAL ACTIVITIES RELATION
TO NORTH KOREA IN ACCORDANCE WITH THE MONEY LAUNDRY CONTROL
ACT. VIOLATORS OF THE ACT CAN BE INCARCERATED FOR UP TO 10
YEARS.

(4) TRANSNATIONAL CRIMES

A COMPREHENSIVE MONITORING NETWORK HAS BEEN BUILT BY OUR
COAST GUARD TO PREVENT POSSIBLE CRIMINAL OR ILLEGAL
ACTIVITIES IN OUR TERRITORIAL WATERS. IT INTEGRATES RADAR
MONITORING WITH AIR AND SHIP PATROLS ALONG THE COASTLINE. WE
WILL CONTINUE TO REINFORCE THE NETWORK. SHOULD ANY ILLICIT
ACTIVITY BY A NORTH KOREA SHIP BE DETECTED, WE WILL
IMMEDIATELY STOP THEM.

WE WILL CONTINUE TO IMPROVE OUR EFFICIENCY IN COUNTERING
TRANSNATIONAL CRIMES (SUPER NOTES, COUNTERFEIT CIGARETTES,
ETC.) (NOTE: MOFA SUBSEQUENTLY ADVISED AIT THAT "SUPER
NOTES" MEANS DPRK COUNTERFEIT LARGE-DENOMINATION U.S.
CURRENCY. END NOTE.) THIS HAS BEEN ACCOMPLISHED IN THE PAST
THROUGH THE ENHANCEMENT OF EXISTING COOPERATION WITH YOUR
SIDE AND THE DESIGNATION OF A SPECIFIC PROSECUTOR TO HANDLE
SUCH CASES.

END NON-PAPER.

YOUNG