North Korea also exports to China, mainly timber, minerals, seafood and other raw materials, with low prices. "Take seafood as an example. The price in North Korea is at least 2 times lower than that in China, and it is more than 4 times worse than that in Japan." It is understood that the price of seafood sold by North Korean cooperatives to China businessmen in 5 yuan RMB per kilogram can rise above 40 yuan if China people sell it to Japanese people.

So far, North Korea's entire circulation system is completely state-owned. In Pyongyang, no private shop is run by local people. Therefore, people who have border trade relations with China people, like Mr. Cui, are representatives of various cooperatives in North Korea. A person in charge of Dandong Import & Export Company estimated that there were more than 1000 representatives of North Korean cooperatives in China in Dandong alone.

Doing border trade with North Korea will definitely make a lot of money on the books, but the risks are too great and the off-balance-sheet expenses are too high. The boss of this border trade company explained the reason. It is understood that at present, the price difference of all kinds of goods exported from China to North Korea exceeds 1 times, and the customs declaration and border inspection procedures for goods exported to North Korea are relatively simple, with less than 20% of customs duties and transportation expenses deducted and at least 20% of gross profit. "If it is a commodity with slightly higher technical content such as home appliances and machinery, the profit will be higher, even reaching 4-5 times.

Economically:

In recent years, North Korea has actively developed foreign economic and trade relations, introduced foreign capital to establish joint ventures and cooperative enterprises, and carried out foreign economic and trade cooperation to serve the revitalization of the national economy.

Since 1980s, North Korea has been expanding its foreign trade and economic cooperation to attract foreign investment. From 65438 to 0984, the Supreme People's Assembly of the DPRK passed the Law on Joint Ventures, allowing foreign investors to invest and set up factories in the DPRK in the form of joint ventures and cooperation. Since then, North Korea has successively enacted a series of laws, such as the Foreign Investment Law, the Wholly Foreign-Owned Enterprise Law, the Cooperation Law, the Foreign Income Tax Law and the Foreign Exchange Management Law, and promulgated dozens of laws and regulations related to foreign investment and their implementation details. Gradually sound policies and regulations have created conditions for foreign investors to invest in North Korea.

Due to the relaxation of investment policy and the improvement of investment environment, foreign businessmen have set foot in the investment field of North Korea and carried out processing cooperation with North Korea, and some foreign joint ventures and cooperative enterprises have successively settled in North Korea. By the early 1990s, there were more than 65,438,000 Sino-foreign joint ventures and cooperative enterprises, with foreign capital exceeding 6,543,800 billion US dollars. In recent years, North Korea has stepped up its efforts to attract foreign investment and signed and implemented some new foreign investment projects. North Korea has established many new joint ventures and cooperative enterprises with foreign investors, such as Pyongyang Piano Joint Venture, Mount Kumgang Engine Joint Venture, Shengli Joint Venture, Paradise Cooperative Company and Guangming Cooperative Company. Their products are sold not only in North Korea's domestic market, but also in the international market. 199 1 year, North Korea announced the establishment of Luo Jin Pioneer Free Trade Zone in the northeast. Since 10, the investment environment in Luo Jin Pilot Free Trade Zone has been continuously improved, and foreign investors have established joint ventures or wholly-owned enterprises in the fields of finance, communication, computers, machinery, daily necessities, catering and so on.

The DPRK government trades with other countries on the principle of equality, mutual benefit and exchange of needed goods. With the development of foreign relations in recent years, the objects and fields of North Korea's foreign trade are constantly expanding, and the total import and export volume is on the rise. It is reported that North Korea has established trade relations with more than 100 countries and regions, and the total foreign trade last year reached 2 billion US dollars. In May this year, North Korea held an international trade fair in Pyongyang to promote products and attract investment. More than 220 enterprises from China, Russian, German, Italian and other countries and regions participated in the exhibition. North Korean enterprises also displayed products such as machinery, clothing, daily industrial products and medicines. At this commodity exhibition, foreign enterprises not only expanded their trade relations, but also reached many intention agreements for joint ventures and cooperation.

The DPRK government has repeatedly announced that it is willing to establish friendly relations and carry out economic and trade cooperation with all capitalist countries that respect sovereignty. In recent years, North Korea has successively established economic and trade ties with Western European countries. Last year, North Korea signed agreements with Italy, Australia and other western countries to encourage investment, economic cooperation and trade settlement. The establishment of diplomatic relations between the DPRK and the EU this year has created conditions for economic and trade cooperation between the two sides. Swiss ABB Group signed an agreement with North Korea on cooperation in the fields of electricity and machinery, and opened the first office of a large western enterprise in Pyongyang. At present, Germany, Britain, France and other western countries have expressed their willingness to develop economic cooperation and exchanges with North Korea. In addition, North Korea has also signed trade, double taxation avoidance and investment insurance agreements with ASEAN countries such as Indonesia, Malaysia and Singapore, and further expanded trade and investment cooperation.

In recent years, in order to adapt to overseas markets, North Korea has set up a number of new enterprises and adopted the "going out" approach to carry out foreign economic and trade cooperation. Construction companies such as North Korea Foreign Construction Corporation sent thousands of experts and technicians to carry out engineering and labor contracts in dozens of countries and regions such as Russia, Bangladesh, Kuwait and Libya. Wanshoutai Overseas Development Club Group has built bronze statues, monuments and other works of art in more than 70 countries and regions, decorated houses and gardens, and earned foreign exchange for the country. The bronze statues of presidents of seven African countries, including Equatorial Guinea, Togo and Gabon, the Monument to the People's Heroes in Ethiopia and the Grain Museum in Malaysia are all works of the company. The North Korean Institute of Industrial Technology has set up branches in China and other countries, relying on the research institutions and production bases under the North Korean Academy of Sciences to carry out technology trade such as new technologies, new inventions and patents.