There are further development in?WW3 news?rumors. Chinese firms are being investigated as they are allegedly helping North Korea in their nuclear program. One of the companies is said to be Hongxiang Industrial Development Co. So now, Hongxiang is?being investigated by an independent United States probe. This crackdown on Chinese firms and business executives is said by the Wall Street Journal to be the most serious effort yet.
The U.S. Congress has passed legislation this year that requires the White House to sanction Chinese firms that conduct business with North Korea. North Korea?s main ally and trading partner which North Korea conducts 90% of its trade. This is according to Sen. Cory Gardner (R., Colo.). Congress has further increased its pressure on the Obama administration to deal with the North Korean after?the September 9th nuclear test.?
Hongxiang: The Profiteer of the WW3 News of Doom?
Hongxiang Industrial is the flagship group of Liaoning Hongxiang Industrial Group. It has a bankside office tower with the view of the Yalu River and even to stretches of North Korean territory (coincidentally or not). It officially trades coal, metals, chemicals and machine equipment. These are not the only trades they are involved in. Nonprofit groups have reported that Hongxiang?s trade with North Korea involves goods with both civilian and military purposes. This includes goods with applications in nuclear weapons development. These nonprofit groups were?Washington-based C4ADS and Seoul?s Asan Institute for Policy Studies.?
The record shows that Hongxiang Industrial?sold?aluminum oxide to North Korea. This is something one can used to?make?explosives. The sale amounted to $253,219. This is said by Wall Street Journal to have come from customs data.
Hongxiang?s link to North Korea goes even further. Hongxiang had set up a venture with Pyongyang-based and state-ran Korea National Insurance Corp. (KNIC) called Liaoning Hongbao Industrial Development Co. Hongxiang Industrial owns 51% while KNIC holds the remaining 49%.?This was done back in?May 2009.?
These activities are now being investigated by an independent U.S. probe and the Chinese government. They are now targeting the finances of Hongxiang Industrial and allied entities. Many believe that this effort would restrain Pyongyang.
Read more about WW3 news in this feature.