U.S. REPORT ON EFFORTS TOWARD IMPLEMENTATION OF

UNCLAS WELLINGTON 000918 SIPDIS SENSITIVE SIPDIS EAP/FO, EAP/RSP, AND EAP/ANP NSC FOR VICTOR CHA OSD FOR ISD/JESSICA POWERS PACOM FOR J01E/J2/J233/J5/SJFHQ E.O. 12958: N/A TAGS: KNNP PARM PREL NZ SUBJECT: U.S. REPORT ON EFFORTS TOWARD IMPLEMENTATION OF UNSCR 1718 REF: SECSTATE 188039 ¶1. (SBU) Summary: On November 21 New Zealand's Ministry of Foreign Affairs and Trade (MFAT) shared a draft copy of New Zealand's report to the UN Security Council detailing their implementation plan for UNSCR 1718 (repeated at para 2 below). GNZ lawyers continue to work on sanction regulations and MFAT will provide post with a copy of the draft legislation once it has been approved by NZ Ministries. End summary. ¶2. (SBU) Post delivered reftel demarche to Carolyn Schwalger, MFAT Senior Advisor for North Asia on November 17, 2006. MFAT on November 21 provided Post the following summary of New Zealand's proposed regulations per the provisions of paragraph 8 of UNSC 1718, as provided to the UNSCR: Under para 8(a) - New Zealand's Regulation will prevent the direct or indirect supply, sale or transfer to the DPRK, through New Zealand's territory, or using New Zealand's flag vessels or aircraft (whether or not originating in their territories) of military equipment and items with a nuclear, ballistic or WMD end use and luxury goods. New Zealand will work with others to apply a consistent approach to the definition of "luxury goods." All sanctioned military, WMD and ballistic missile related items are already listed on the New Zealand Strategic Goods Lists. Items on this list require a permit for export, regardless of the destination. Application for export of all sanctioned military, WMD and ballistic missile related items to DPNK will be denied pending the implementation by regulation of provisions of paragraph 8(a)(i) and 8(a)(ii) of UNSCR 1718. Control over the import of sanctioned items from DPRK will be covered by the Regulations. Under para 8(b) - The DPRK is prohibited from exporting goods in 8(a)(i) and (ii) and New Zealand's Regulation will prohibit New Zealanders from buying these goods from the DPRK or transporting such goods on their flagged vessels or aircraft. Under para 8(c) - New Zealand's Regulations will ban the export of services (technical training, advice, services or assistance) related to these goods to the DPRK. For example, a New Zealander would be banned from providing technical training or emailing a manual related to military or WMD items. Under para 8(d) - New Zealand's Regulation will freeze assets (funds, economic resources) on New Zealand's territory owned or controlled by persons/entities to be designated by the DPRK Sanctions Committee. It will also prevent New Zealanders from making funds, assets or resources available to these persons or entities. There are some exemptions to this sanction (including payments for legal fees and necessary expenses) and the Regulation will provide for these to be considered by New Zealand on a case by case basis and to be subject to the approval of the Sanctions Committee. Under para 8(e) - New Zealand's Regulation will put in place a travel ban against persons from the DPRK ( and their family members) who will be designated by the DPRK Sanctions Committee. The Committee may make exceptions on humanitarian grounds. The New Zealand Department of Labor has already placed North Korea on the list of countries whose nationals' application to travel to New Zealand must be scrutinized by the New Zealand Immigration Profiling Group, to ensure that those nationals do not pose a risk to New Zealand's security or international reputation. ¶3. (SBU) MFAT will provide Post with a copy of the draft legislation once it has been approved by NZ Ministries. MFAT Deputy Legal Advisor Caroline Bilkey has also thanked us for providing her with a copy of the U.S. luxury goods list, which she said will help guide NZ's own sanctions in that area. McCormick