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The DPRK’s economic exchanges with Russia and the EU since 2000: an analysis of institutional effects and the case of the Russian Far East

Author

Listed:
  • Sabine Burghart

    (University of Turku)

  • Denis Park

    (Khabarovsk city administration)

  • Liudmila Zakharova

    (Institute of Far Eastern Studies, Russian Academy of Sciences)

Abstract

This study analyzes the Democratic People’s Republic of Korea’s (DPRK—or North Korea) economic exchanges with Russia and the European Union (EU) from an institutional perspective. Trade statistics show that between 2000 and 2012, the DPRK conducted more trade with the EU than with Russia, its neighbor and former socialist ally. This observation provokes the following questions: In what way does the institutional environment in Russia and the EU impact on economic exchanges with the DPRK? Why have Russia’s economic exchanges with the DPRK remained limited despite a common land border? Of particular interest is the cooperation between the Russian Far East (RFE) and North Korea. What does the institutional set-up in the RFE imply for business opportunities in North Korea? To examine the so far little researched role of the RFE, this study uses quantitative and qualitative data provided by the Russian Federal Customs Service and the district governments of Khabarovsk and Primorye. The findings show that political, legal, and normative factors as well as different business practices impact on economic exchanges with the DPRK in various ways.

Suggested Citation

  • Sabine Burghart & Denis Park & Liudmila Zakharova, 2020. "The DPRK’s economic exchanges with Russia and the EU since 2000: an analysis of institutional effects and the case of the Russian Far East," Asia Europe Journal, Springer, vol. 18(3), pages 281-303, September.
    • Handle: RePEc:kap:asiaeu:v:18:y:2020:i:3:d:10.1007_s10308-019-00544-4
    DOI: 10.1007/s10308-019-00544-4
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    References listed on IDEAS

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    1. Greif,Avner, 2006. "Institutions and the Path to the Modern Economy," Cambridge Books, Cambridge University Press, number 9780521480444, November.
    2. Haggard, Stephan & Noland, Marcus, 2016. "Hard Target: Sanctions, Inducements, and the Case of North Korea," MPRA Paper 105812, University Library of Munich, Germany.
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