Press Release

Statement by U.S. Commerce Secretary Gutierrez on Luxury Goods to North Korea

U.S. Commerce Secretary Carlos M. Gutierrez released the following statement on actions being taken to implement UN Security Council Resolution 1718, imposing certain sanctions on North Korea in response to its testing of a nuclear device on October 9, 2006. Among the measures the United States will take is a ban on the export of luxury goods to North Korea. This ban will be implemented by the Commerce Department's Bureau of Industry and Security. Regulations to implement the luxury goods ban and other steps required by UNSCR 1718 will be published in the Federal Register.

"While North Korea's people starve and suffer, there is simply no excuse for the regime to be splurging on cognac and cigars," said Gutierrez. "We will ban the export of these and other luxury goods that are purchased for no other reason than to benefit North Korea's governing elite. The United States is taking quick action to implement the sanctions called for by the United Nations in response to North Korea's nuclear test."

"We are not imposing a full trade embargo, or restricting essential items like food and medicine that benefit the people of North Korea. These measures are carefully considered and carefully targeted."

The Commerce Department already restricts exports to North Korea of dual-use items controlled for nonproliferation, national security, and other reasons.

The Department of Commerce, through its Bureau of Industry and Security, regulates the export of sensitive goods and technologies, enforces export control laws, assists U.S. industry in complying with international arms control agreements, and monitors the viability of the U.S. defense industrial base.