Recent satellite imagery has revealed that North Korea has dispatched a bus across a bridge with China, marking a significant move since sealing its borders nearly four years ago due to the pandemic. This development, alongside the resumption of commercial flights to Beijing and Vladivostok, suggests that North Korea may be gradually easing its border lockdown protocols and looking to resume normal trade activities soon. As the country strives to recover its beleaguered economy, these signs offer a glimmer of hope, though uncertainties still loom.
The Resumption of Road-Based Passenger Traffic:
According to the Open Nuclear Network, a satellite image analyzed by their experts captured a bus making a return trip from North Korea crossing the Sino-Korean Friendship Bridge towards the Chinese border city of Dandong. This occurrence, observed on August 31, was an intriguing sight given the prolonged border closure. Furthermore, additional large vehicles were detected stopping at the customs area on the North Korean side, indicating heightened activity.
Implications for North Korea’s Economy:
Ever since North Korea sealed its borders, its heavily sanctioned state has endured the adverse consequences of limited legal trade. Diplomats, students, and numerous workers sent overseas were left stranded, exacerbating the country’s economic challenges. With signs of a potential resumption of trade with China, historically North Korea’s prominent trade partner, Fitch Solutions has estimated that the country’s economy may have returned to growth after two consecutive years of contraction. However, uncertainties persist, underscoring the fragility of this nascent recovery.
Gradual Reopening to Support Economic Recovery:
The decision to seal borders at the start of the pandemic was a comprehensive measure taken by North Korean leader Kim Jong Un, but it dealt a severe blow to the already struggling economy. Now, as Pyongyang seeks avenues for economic revitalization, there are indications of a gradual reopening. South Korea’s Unification Ministry has reported these developments, highlighting the easing of restrictions with the primary aim of facilitating economic recovery.
No Immediate Rebound in International Tourism:
While the resumption of trade activities between North Korea and China offers a glimmer of hope, it is important to note that there are no indications of an immediate revival in international tourism. This sector, which once contributed to North Korea’s foreign currency reserves through visitor inflow from countries such as China, remains largely stagnant. As the country focuses on recovering its economy, international tourism continues to face significant hurdles.
As North Korea tentatively reopens its border with China, the recent sighting of a bus crossing the Sino-Korean Friendship Bridge marks a notable development in the country’s efforts to resume normal trade activities. While the easing of border lockdown protocols raises hopes for economic recovery, uncertainties persist. The road to revitalizing North Korea’s economy remains challenging, especially in the absence of international tourism revenues. However, these recent moves indicate a step forward and a potential turning point for the isolated nation’s future.
Market Capital Research 