Tag Archives: Sanctions

Exclusive: North Korea has no fear of U.S. sanctions move, will pursue nuclear arms – envoy

FILE PHOTO: North Korean leader Kim Jong Un watched the ground jet test of a Korean-style high-thrust engine newly developed by the Academy of the National Defence Science in this undated picture provided by KCNA in Pyongyang on March 19, 2017. KCNA/via Reuters/File Photo

By Stephanie Nebehay

GENEVA (Reuters) – North Korea has nothing to fear from any U.S. move to broaden sanctions aimed at cutting it off from the global financial system and will pursue “acceleration” of its nuclear and missile programs, a North Korean envoy told Reuters on Tuesday.

This includes developing a “pre-emptive first strike capability” and an inter-continental ballistic missile (ICBM), said Choe Myong Nam, deputy ambassador at the North Korean mission to the United Nations in Geneva.

Reuters, quoting a senior U.S. official in Washington, reported on Monday that the Trump administration is considering sweeping sanctions as part of a broad review of measures to counter North Korea’s nuclear and missile threat. (For Monday’s story, click http://reut.rs/2n9HZ5a)

“I think this is stemming from the visit by the Secretary of State (Rex Tillerson) to Japan, South Korea and China…We of course are not afraid of any act like that,” Choe told Reuters.

“Even prohibition of the international transactions system, the global financial system, this kind of thing is part of their system that will not frighten us or make any difference.”

He called existing sanctions “heinous and inhumane”.

North Korea has been under sanctions for “half a century” but the communist state survives by placing an emphasis on juche or “self-sufficiency”, he said. His country wants a forum set up to examine the “legality and legitimacy of the sanctions regime”.

He denounced joint annual military exercises currently being carried out by the United States and South Korea on the divided peninsula and criticized remarks by Tillerson during his talks with regional allies last week.

“All he was talking about is for the United States to take military actions on DPRK,” Choe said, using the acronym for the Democratic People’s Republic of Korea.

North Korea rejects claims by Washington and Seoul that the military drills are defensive. They involve strategic nuclear bombers and a nuclear submarine, Columbus, that recently entered South Korean ports, he said.

“In the light of such huge military forces involved in the joint military exercises, we have no other choice but to continue with our full acceleration of the nuclear programs and missile programs. It is because of these hostile activities on the part of the United States and South Korea.”

PRE-EMPTIVE STRIKE CAPABILITY

“We strengthen our national defense capability as well as pre-emptive strike capabilities with nuclear forces as a centerpiece,” Choe said.

Asked to comment on Choe’s remarks, a U.S. State Department spokeswoman, Anna Richey-Allen, called on North Korea “to refrain from provocative actions and inflammatory rhetoric…and to make the strategic choice to fulfill its international obligations and commitments and return to serious talks.”

Choe declined to give technical details of North Korea’s latest rocket engine test on Sunday – seen as a possible prelude to a partial ICBM flight – calling it a great historical event that would lead to “fruitful outcomes”.

“I can tell you for sure that the inter-continental ballistic rockets of the DPRK will be launched at any time and at any place as decided by our Supreme Leadership,” Choe said, recalling leader Kim Jong Un’s pledge in a New Year’s address.

Analysts say North Korea has likely mastered the technology to power the different stages of an ICBM and may show it off soon, but is likely still a long way from being able to hit the mainland United States.

“The United States has been talking about launching pre-emptive strikes at North Korea,” Choe said. “And we have been prepared to deter, to counter-attack such attacks on the part of the United States.

“We would utilize every possible means in our hands and the inter-continental ballistic rocket is one of them.”

(Reporting by Stephanie Nebehay; additional reporting by David Brunnstrom in Washington; editing by Ralph Boulton and Jonathan Oatis)

Exclusive: Trump administration weighing broad sanctions on North Korea – U.S. official

FILE PHOTO: North Korean leader Kim Jong Un provides field guidance at the construction site of Ryomyong Street in this undated picture provided by KCNA in Pyongyang on March 16, 2017. KCNA/via Reuters

By Matt Spetalnick and David Brunnstrom

WASHINGTON (Reuters) – The Trump administration is considering sweeping sanctions aimed at cutting North Korea off from the global financial system as part of a broad review of measures to counter Pyongyang’s nuclear and missile threat, a senior U.S. official said on Monday.

The sanctions would be part of a multi-pronged approach of increased economic and diplomatic pressure – especially on Chinese banks and firms that do the most business with North Korea – plus beefed-up defenses by the United States and its South Korean and Japanese allies, according to the administration official familiar with the deliberations.

While the long-standing option of pre-emptive military strikes against North Korea is not off the table – as reflected by U.S. Secretary of State Rex Tillerson’s warning to Pyongyang during his Asia tour last week – the new administration is giving priority for now to less-risky options.

The policy recommendations being assembled by President Donald Trump’s national security adviser, H.R. McMaster, are expected to reach the president’s desk within weeks, possibly before a summit with Chinese President Xi Jinping in early April, the official said, speaking on condition of anonymity. North Korea is expected to top the agenda at that meeting.

It is not clear how quickly Trump will decide on a course of action, which could be delayed by the slow pace at which the administration is filling key national security jobs.

The White House declined comment.

Trump met McMaster on Saturday to discuss North Korea and said afterward that the country’s leader, Kim Jong Un, was “acting very, very badly.”

The president spoke hours after North Korea boasted of a successful rocket-engine test, which officials and experts think is part of a program aimed at building an intercontinental ballistic missile capable of hitting the United States.

‘SECONDARY SANCTIONS’

The administration source said U.S. officials, including Tillerson, had privately warned China about broader “secondary sanctions” that would target banks and other companies that do business with North Korea, most of which are Chinese.

The move under consideration would mark an escalation of Trump’s pressure on China to do more to contain North Korea. It was not clear how Chinese officials responded to those warnings but Beijing has made clear its strong opposition to such moves.

In Beijing, Chinese Foreign Ministry spokeswoman Hua Chunying said the situation on the Korean peninsula was at a crossroads and there were two prospects.

One, she said, was that the relevant parties could continue to “escalate toward conflict and potential war”.

“The other choice is that all sides can cool down and jointly pull the Korean nuclear issue back to a path of political and diplomatic resolution,” Hua told a daily news briefing on Tuesday.

China would strictly and comprehensively implement its duties under the U.N. Security Council resolutions, which meant implementing sanctions but also making efforts to get back to talks, she added.

The objective of the U.S. move being considered would be to tighten the screws in the same way that the widening of sanctions – to encompass foreign firms dealing with Iran – was used to pressure Tehran to open negotiations with the West on its suspected nuclear weapons program. That effort ultimately led to a 2015 deal to restrict Iran’s nuclear program in return for sanctions relief.

For such measures to have any chance to influence the behavior of North Korea, which is already under heavy sanctions, Washington must secure full international cooperation – especially from China, which has shown little appetite for putting such a squeeze on its neighbor.

Analysts also have questioned whether such sanctions would be as effective on North Korea as they were on a major oil producer such as Iran, given the isolated nation’s limited links to the world financial system.

North Korea has relied heavily on illicit trade done via small Chinese banks. So, to be applied successfully, the new measures would have to threaten to bar those banks from the international financial system.

Also under consideration are expanded efforts to seize assets of Kim and his family outside North Korea, the official said.

MILITARY OPTIONS

The military dimension of the review includes a strengthened U.S. presence in the region and deployment of advanced missile defenses, initially in South Korea and possibly in Japan. The U.S. military has begun to install a Terminal High Altitude Area Defense, or THAAD, system in South Korea, despite Chinese opposition.

Washington is increasingly concerned, however, that the winner of South Korea’s May 9 presidential election might backtrack on the deployment and be less supportive of tougher sanctions.

Tillerson warned on Friday that Washington had not ruled out military action if the threat from North Korea becomes unacceptable.

For now, U.S. officials consider pre-emptive strikes too risky, given the danger of igniting a regional war and causing massive casualties in Japan and South Korea and among tens of thousands of U.S. troops based in both allied countries.

Another U.S. government source said Trump could also opt to escalate cyber attacks and other covert action aimed at undermining North Korea’s leadership.

“These options are not done as stand-alones,” the first U.S. official said. “It’s going to be some form of ‘all of the above,’ probably excluding military action.”

Trump is known to have little patience for foreign policy details, but officials say he seems to have heeded a warning from his predecessor, Barack Obama, that North Korea would be the most urgent international issue he would face.

In his North Korea briefings, Trump has asked repeatedly how many nuclear warheads and missiles Pyongyang has, at the same time as demanding to know how much South Korea and Japan are paying for their own defense, one U.S. official said.

(Reporting by Matt Spetalnick and David Brunnstrom; Additional reporting by John Walcott, and Michael Martina in Beijing; Editing by Kieran Murray, Peter Cooney and Nick Macfie)

China to build on disputed shoal in South China Sea

Boats at Scarborough Shoal in the South China Sea are shown in this handout photo provided by Planet Labs, and captured on March 12, 2016. REUTERS/Planet Labs/Handout via Reuters

BEIJING (Reuters) – China will begin preparatory work this year for an environmental monitoring station on Scarborough Shoal in the South China Sea, an official said, as two U.S. senators introduced a bill to impose sanctions on its activities in the disputed waterway.

Last month, a Philippine minister said Chinese President Xi Jinping had promised his Philippine counterpart China would not build structures on the rocky outcrop both countries claim, but China called the comments “baffling and regrettable”.

China seized the shoal, which is northeast of the Spratly islands, in 2012 and denied access to Philippine fishermen. But after President Rodrigo Duterte visited China last year, it allowed them to return to the traditional fishing area.

This week, Xiao Jie, the mayor of what China calls Sansha City, said China planned to begin preparatory work this year to build environmental monitoring stations on a number of islands, including Scarborough Shoal.

Sansha City is the name China has given to an administrative base for the South China Sea islands and reefs it controls.

The monitoring stations, along with docks and other infrastructure, form part of island restoration and erosion prevention efforts planned for 2017, Xiao told the official Hainan Daily in an interview.

A spokesman for the Philippine foreign ministry, Charles Jose, declined to comment, saying it was trying to verify the reports.

U.S. Secretary of State Rex Tillerson arrives in Beijing on Saturday for a two-day visit, where the South China Sea, almost all of which is claimed by China, is likely to figure.

Brunei, Malaysia, the Philippines, Taiwan and Vietnam also claim parts of the waters, which have rich fishing grounds, along with oil and gas deposits. About $5 trillion worth of trade passes through the waterway each year.

The United States has criticized China’s construction of manmade islands and its build-up of military facilities there, expressing concern they could be used to restrict free movement.

This week, U.S. Senators Marco Rubio and Ben Cardin introduced the South China Sea and East China Sea Sanctions Act that would ban visas for Chinese people contributing to building development projects in the South and East China Seas.

It would also put sanctions on foreign financial bodies that “knowingly conduct or facilitate a significant financial transaction for sanctioned individuals and entities” if China steps up activity at Scarborough Shoal, among other actions.

The senators’ proposal was “extremely grating,” Chinese Foreign Ministry spokeswoman Hua Chunying said on Friday.

“I think the proposal put forward by individual senators shows their arrogance and ignorance,” Hua told a daily news briefing in Beijing.

China resolutely opposes the proposal, which infringes international law and international relations norms, she added.

Tension over the South China Sea reached a flashpoint after the Philippines filed an arbitration case against China in the Hague and as China started militarizing artificial islands it built up on reefs in the region.

China is also involved in a separate dispute with Japan over a group of uninhabited islands in the East China Sea.

(Reporting by Ben Blanchard and Christian Shepherd; Additional reporting by Manuel Mogato in MANILA; Editing by Clarence Fernandez)

North Korea evades sanctions with network of overseas companies: U.N. report

FILE PHOTO - A North Korean flag flies on a mast at the Permanent Mission of North Korea in Geneva October 2, 2014. REUTERS/Denis Balibouse/File Photo

By James Pearson

(Reuters) – North Korea is evading international sanctions with a sophisticated network of overseas companies, enabled partly by its continued access to the international banking system, says a forthcoming United Nations report seen by Reuters.

North Korea is under heavy U.N. sanctions and a strict arms embargo designed to impede the development of its banned nuclear and missile programs. The U.N. panel of experts, which produced the 100-page draft report, was created to investigate reported infringements of those sanctions.

“Designated entities and banks have continued to operate in the sanctioned environment by using agents who are highly experienced and well trained in moving money, people and goods, including arms and related materiel, across borders,” the report says.

U.N. member states should “exercise heightened vigilance” over North Korean diplomats engaged in commercial activities, it says, because some may be providing financial support to illegal networks.

North Korea “is flouting sanctions through trade in prohibited goods, with evasion techniques that are increasing in scale, scope and sophistication,” the report says.

It details a previously unknown interdiction of North Korean-made military communications equipment destined for Eritrea in July last year.

The interdiction was the second time North Korean military equipment bound for Eritrea had been intercepted, indicating an ongoing arms trade between the two countries, the report said.

The seized equipment, part of an air shipment, included 45 boxes of battlefield radios and accessories, the report says.

The radios were manufactured by a Malaysia-based front company called “Glocom”, which is controlled by the Reconnaissance General Bureau, the sanctioned North Korean intelligence agency tasked with overseas operations and weapons procurement, the report says.

INTELLIGENCE AGENCY

The report identifies two North Korean trading companies which, according to an unidentified U.N. member state, are linked to sanctioned entities, including the Reconnaissance General Bureau.

The report also outlines North Korea’s use of the financial system to pay for its sanctioned operations.

“Behind these illicit activities is the continued access of the Democratic People’s Republic of Korea to the international banking system,” the report says, using North Korea’s official title.

“Despite strengthened financial sanctions in 2016, the country’s networks are adapting by using greater ingenuity in accessing formal banking channels,” the report said.

In cases where financial access is more restricted, North Korean agents use bulk cash and gold to circumvent the financial system entirely, and at times use foreign citizens as middlemen and facilitators.

The report says North Korea continues to export banned minerals despite last year’s sanctions putting a cap on coal exports, a key source of hard currency for the state’s nuclear and missile programs.

China has said it would ban coal imports from North Korea until the end of the year. On Thursday, North Korea issued a rare reproach of China, its main diplomatic backer, over the ban.

The U.N. report says enforcement of sanctions against North Korea “remains insufficient and highly inconsistent” and calls for additional measures to address shortcomings.

(Reporting By James Pearson; Editing by Bill Tarrant)

China say North Korea’s nuclear plan is a problem between U.S. and North Korea

North Korean leader Kim Jong Un watches a performance given with splendor at the People's Theatre on Wednesday to mark the 70th anniversary of the founding of the State Merited Chorus in this photo released by North Korea's Korean Central News Agency (KCNA) in Pyongyang on February 23, 2017. KCNA/via REUTERS

BEIJING (Reuters) – China on Friday dismissed renewed pressure from U.S. President Donald Trump over its role in North Korea, saying the crux of the matter was a dispute between Washington and Pyongyang.

Trump told Reuters in an interview on Thursday that China could solve the national security challenge posed by North Korea “very easily if they want to”, turning up pressure on Beijing to exert more influence to rein in Pyongyang’s increasingly bellicose actions.

China has made clear that it opposes North Korea’s nuclear and missile programs and has repeatedly called for denuclearization of the Korean peninsula and a return to negotiations between Pyongyang and world powers.

It has also insisted it is dedicated to enforcing U.N. sanctions against North Korea.

“We have said many times already that the crux of the North Korean nuclear issue is the problem between the United States and North Korea,” Chinese Foreign Ministry spokesman Geng Shuang told a daily news briefing, responding to Trump’s remarks.

“We hope the relevant parties can shoulder their responsibilities, play the role the should, and together with China play a constructive role for peace and stability on the Korean peninsula and for its denuclearization,” he added.

The official Xinhua news agency said China’s influence on North Korea had been exaggerated.

“The Trump White House needs to make the first move and talk to Pyongyang. The United States stands to lose nothing for trying this,” it said in an English-language commentary.

China announced on Saturday last week it was banning imports of coal from North Korea, after it tested an intermediate-range ballistic missile.

North Korean state media issued a rare reproach of China on Thursday saying its main diplomatic backer was “dancing to the tune” of the United States for halting its coal imports because of its nuclear and missile programs.

The North’s state-run KCNA news agency did not refer directly to China by name but in an unmistakable censure it accused a “neighboring country” of going along with North Korea’s enemies to “bring down its social system”.

Asked about the report, Geng said the U.N. sanctions were a clear signal of opposition from the international community about North Korea’s nuclear and missile programs and that China would enforce them.

However, he also described China and North Korea as being friendly neighbors.

“We are willing to work with North Korea to promote the stable and healthy development of relations,” Geng said, adding North Korea was well aware of China’s position on its nuclear program.

(Reporting by Ben Blanchard; Editing by Robert Birsel)

Sanctioned for drugs, Venezuela vice-president slams U.S. ‘aggression’

Venezuela Vice President

By Andrew Cawthorne and Alexandra Ulmer

CARACAS (Reuters) – Venezuela’s powerful Vice President Tareck El Aissami on Tuesday called his blacklisting by the United States on drug charges an “imperialist aggression” in the first bilateral flare-up under the administration of U.S. President Donald Trump.

“We shall not be distracted by these miserable provocations,” he added in a series of tweets. “Truth is invincible and we will see this vile aggression dispelled.”

The U.S. Department of Treasury on Monday sanctioned El Aissami and Samark Lopez, whom it identified as his associate, on accusations of masterminding an international network shipping drugs to Mexico and the United States.

Lopez also said the listings appeared politically motivated.

“Mr. Lopez is not a government official and has not engaged in drug trafficking,” he said in a statement on his website describing himself as a “legitimate businessman.”

President Nicolas Maduro’s government has frequently cast U.S. and opposition accusations of drug-trafficking, corruption and human rights abuses as a false pretext to justify meddling in Venezuela and a push to topple him.

Maduro, 54, narrowly won election in 2013 to replace the late Hugo Chavez, but his popularity has plummeted amid an economic crisis in the nation of 30 million people.

Though he frequently lashed out at former U.S. leader Barack Obama, the Venezuelan president has so far refrained from criticizing Trump.

The sanction on El Aissami will dent Maduro’s hopes Trump might avoid confrontation with Venezuela but could also help him by providing a nationalist card to play, said Tulane University academic and Venezuela expert David Smilde.

“This is a tremendous gift to Maduro as it ensures El Aissami’s loyalty. It essentially increases El Aissami’s exit costs and gives him a personal stake in the continuation of ‘Chavismo’,” he said.

“To be clear, El Aissami and others should be held responsible for their actions. However it should be understood this process has pernicious unintended consequences. I think we are effectively witnessing the creation of a rogue state.”

“CRIMINAL” STATE?

El Aissami, 42, whom local media report is of Syrian and Lebanese extraction, grew up poor in the Andean state of Merida and went on to study law and criminology, according to the ruling Socialist Party. He had been both a lawmaker and a state governor before being named vice president last month.

Venezuelan opposition groups have long accused El Aissami of repressing dissent, participating in drug trafficking rings, and supporting Middle Eastern groups such as Hezbollah.

The head of Venezuela’s Democratic Unity opposition coalition, Jesus Torrealba, said on Tuesday that the El Aissami case demonstrated the rotten and “criminal” nature of the state.

Another opposition leader, Henry Ramos, scoffed that Venezuela would no doubt claim drugs had been planted on officials “just like they plant evidence on Venezuelan opponents to make them rot in the regime’s jails.”

Venezuela is holding more than 100 activists in prison, according to local rights groups. The government denies the existence of political prisoners, saying all politicians in jail are there on legitimate charges.

A senior U.S. official said on Monday that El Aissami controlled drug routes by air and sea. The Treasury Department said he oversaw or partially owned narcotics shipments of more than 1,000 kilograms (2,200 pounds)from Venezuela on multiple occasions.

Another U.S. administration official estimated the value of property in Miami linked to El Aissami but now blocked was worth tens of millions of dollars.

The move was a departure from the so-called “soft landing” approach taken by Obama’s White House. At times it had clashed with efforts by the U.S. Justice Department and Drug Enforcement Administration, which worked with informants in Venezuela to nab influential officials for money laundering and drug trafficking.

Since 2015, the Obama administration had sought to use behind-the-scenes diplomacy to ease acrimony with Caracas and the fallout of a string of U.S. drug indictments against Venezuelan officials, such as Interior Minister Nestor Reverol.

“When the right wing attacks us, it shows we are advancing. Nothing and nobody will stop our victorious march to peace,” Reverol tweeted in defense of El Aissami.

(Additional reporting by Diego Ore in Caracas, Lesley Wroughton in Washington; Writing by Andrew Cawthorne; Editing by W Simon; Editing by Lisa Von Ahn)

North Korea says missile launch ‘self-defense’, U.S. demands action

A test-fire of strategic submarine-launched ballistic missile is seen in this undated photo released by North Korea's Korean Central News Agency

By Stephanie Nebehay

GENEVA (Reuters) – North Korea said on Tuesday its missile launches were “self-defense measures”, rejecting U.N. Security Council criticism of its weekend test, but the United States demanded international action against Pyongyang’s weapons programs.

North Korea’s ballistic missile firing on Sunday was its first direct challenge to the international community since U.S. President Donald Trump took office on Jan. 20.

The missile had a range of more than 2,000 kms (1,240 miles), according to South Korea’s intelligence agency. It reached an altitude of about 550 km and flew about 500 km towards Japan before splashing into the sea east of the Korean peninsula.

The U.N. Security Council on Monday denounced the launch, urging members to “redouble efforts” to enforce sanctions against the reclusive state, but gave no indications of any action it might take.

Han Tae Song, the new Ambassador of the Democratic People’s Republic of Korea (DPRK) to the United Nations in Geneva, addressed the U.N.-backed Conference on Disarmament a day after taking up his post.

“The various test fires conducted by DPRK for building up self-defense capabilities are, with no exception, self-defense measures to protect national sovereignty and the safety of the people against direct threats by hostile forces,” Han told the 61-member-state forum.

“My delegation strongly rejects the latest statement of the U.N. Security Council and all U.N. resolutions against my country.”

U.S. Ambassador Robert Wood said: “All efforts to advance North Korea’s nuclear weapons and ballistic missile capabilities must cease,” adding: “If ever there were a situation that called for international collective action to ensure our mutual security, it is this.”

RESTRAINT

China, North Korea’s main ally, said the missile launch violated Security Council resolutions but called on all parties to “exercise restraint”. The way to defuse the situation was through dialogue, China said, calling for a return to talks.

U.S., Japanese and South Korean military officials held a teleconference on Monday in which they condemned the launch as “a clear violation” of multiple Security Council resolutions. The United States “reaffirmed its iron-clad security commitments” to South Korea and Japan, the Pentagon said.

Han said the divided Korean peninsula “remains the world’s biggest hotspot with a constant danger of war”. He condemned joint military exercises carried out annually by South Korea and the United States, as well as what he called “nuclear threats” and blackmail towards his country.

“It is the legitimate self-defense right of the sovereign state to possess strong deterrence to cope with such threat by hostile forces aimed at overthrowing the state and the socialist system,” he said.

South Korea’s Ambassador Choi Kyong-lim said the test showed “the unreasonable nature of the DPRK and their fanatical obsession with the pursuit of nuclear weapons and ballistic missiles”. Japan’s disarmament Ambassador Nobushige Takamizawa urged Pyongyang not to take further “provocative actions” that undermine peace and security in the region.

(Reporting by Stephanie Nebehay; Editing by Janet Lawrence)

Israel’s Netanyahu urges Britain to join Iran sanctions

Britain and Israel leaders

By Michael Holden and William James

LONDON (Reuters) – Israeli Prime Minister Benjamin Netanyahu urged “responsible nations” to join new sanctions against Iran on Monday during a visit to London, but Britain defended a nuclear deal sealed between major powers and Tehran.

Ahead of his talks with British Prime Minister Theresa May, Netanyahu said other nations should follow new U.S. President Donald Trump’s imposition of sanctions against Iran following a ballistic missile test.

“Iran seeks to annihilate Israel. It seeks to conquer the Middle East, it threatens Europe, it threatens the West, it threatens the world. And it offers provocation after provocation,” Netanyahu told May ahead of their meeting.

“That’s why I welcome President Trump’s assistance of new sanctions against Iran. I think other nations should follow suit, certainly responsible nations. I’d like to talk to you about how we can ensure that Iran’s aggression does not go unanswered.”

May’s spokeswoman said the British leader had repeated her backing for the nuclear deal with Tehran – which is strongly opposed by both Netanyahu and Trump – but said there was a need to “rigorously monitor” Iran’s behavior.

“The prime minister made clear that we support the deal on nuclear that was agreed,” the spokeswoman told reporters, when asked whether Britain was considering joining new sanctions.

“What happens now is that (the nuclear deal) needs to be properly enforced, and we also need to be alert to Iran’s pattern of destabilizing activity in the region.”

Earlier the spokeswoman said May would also tell Netanyahu that continued Israeli settlement activity in occupied lands captured in the 1967 Middle East War on which the Palestinians hope to create independent state undermined trust in the region.

“STRONG AND CLOSE ALLY OF ISRAEL”

Despite their differences, London has adopted a more positive approach to Israel since May became leader after last year’s vote to leave the European Union, echoing the more sympathetic tone set by Trump, with whom Britain wishes to secure a post-Brexit trade deal.

May told Netanyahu that Britain was a “strong and close friend of Israel”, and highlighted their co-operation in science, trade and security.

They agreed to set up a working group to develop trade ties both before and after Brexit, the spokeswoman said.

Last month Britain said it had reservations about a French-organized Middle East peace conference in Paris and did not back the final communique by 70 countries which reaffirmed that only a two-state solution could resolve the Israeli-Palestinian conflict. Its stance angered many EU members.

In December, Britain also scolded then U.S. Secretary of State John Kerry for a speech criticizing Israeli policy.

Netanyahu’s talks on Monday got off to an awkward start as he arrived before May was at her official Downing Street residence to greet him. Having entered her office alone, he came back outside minutes later for the customary handshake.

Small groups of pro-Palestinian and pro-Israeli protesters gathered outside Downing Street and Jeremy Corbyn, leader of Britain’s opposition Labour Party, said May’s stance on settlements was not good enough.

“Theresa May must make clear to the Israeli prime minister that the British government will stand unequivocally behind the rights of the Palestinian people,” said Corbyn, who once described members of Palestinian group Hamas and Lebanon’s Hezbollah as friends in comments he later said he regretted.

(Editing by Gareth Jones)

Iran’s missile test ‘not a message’ to Trump

Iran's president

DUBAI (Reuters) – Iran said on Monday a recent missile trial launch was not intended to send a message to new U.S. President Donald Trump and to test him, since after a series of policy statements Iranian officials already “know him quite well”.

Iran test-fired a new ballistic missile last week, prompting Washington to impose some new sanctions on Tehran. Trump tweeted that Tehran, which has cut back its nuclear program under a 2015 deal with world powers easing economic sanctions, was “playing with fire”.

Iranian Foreign Ministry spokesman Bahram Qasemi was quoted by Tasnim news agency as saying: “Iran’s missile test was not a message to the new U.S. government.

“There is no need to test Mr Trump as we have heard his views on different issues in recent days… We know him quite well.”

Iran has test-fired several ballistic missiles since the 2015 deal, but the latest test on January 29 was the first since Trump entered the White House. Trump said during his election campaign that he would stop Iran’s missile program.

Qasemi said The U.S. government was “still in an unstable stage” and Trump’s comments were “contradictory”.

“We are waiting to see how the U.S. government will act in different international issues to evaluate their approach.”

Despite heated words between Tehran and Washington, U.S. Defense Secretary Jim Mattis said on Saturday he was not considering strengthening U.S. forces in the Middle East to address Iran’s “misbehavior”.

Hamid Aboutalebi, deputy chief of staff of Iran’s President Hassan Rouhani, tweeted on Monday that the U.S. government “should de-escalate regional tension not adding to it”, and Washington should “interact with Iran” rather than challenging it.

Iran announced on Saturday that it will issue visas for a U.S. wrestling team to attend the Freestyle World Cup competition, reversing a decision to ban visas for the team in retaliation for an executive order by Trump banning visas for Iranians.

(Reporting by Bozorgmehr Sharafedin; editing by Ralph Boulton)

China protests U.S. sanction list on Iran that hits Chinese firms

china and u.s. flags wave

BEIJING (Reuters) – China on Monday said it had “lodged representations” with the United States over Washington’s new sanctions list targeting Iran, which includes Chinese companies and individuals.

The sanctions on 25 people and entities imposed on Friday by President Donald Trump’s administration, and came two days it had put Iran ‘on notice’ following a ballistic missile test.

Those affected by the sanctions cannot access the U.S. financial system or deal with U.S. companies, and are subject to secondary sanctions, meaning foreign companies and individuals are prohibited from dealing with them or risk being blacklisted by the United States.

The list includes two Chinese companies and three Chinese people, only one of whom the U.S. Treasury Department explicitly said was a Chinese citizen, a person called Qin Xianhua.

Chinese Foreign Ministry spokesman Lu Kang said that Beijing had lodged a protest with Washington, and that such sanctions, particularly when they harmed the interests of a third party, were “not helpful” in promoting mutual trust.

“We have consistently opposed any unilateral sanctions,” Lu told a regular press briefing.

Executives of two Chinese companies included on the list said on Sunday they had only exported “normal” goods to the Middle Eastern country and didn’t consider they had done anything wrong.

China has in the past been angered by what it calls unilateral sanctions placed on Chinese firms by the United States and others in relation to Iran or North Korea’s nuclear ambitions.

China has close economic and diplomatic ties with Tehran, but was also instrumental in pushing through a landmark 2015 deal to curb Iran’s nuclear program.

(Reporting by Michael Martina; Editing by Simon Cameron-Moore)