Why Russia’s invasion of Ukraine has a limited impact on North Korea’s economy



Analysis Why Russia’s invasion of Ukraine has a limited impact on North Korea’s economy Subsidized trade and depressed demand likely insulate the DPRK economy from food and oil price shocks — but not forever Peter Ward March 29, 2022 SHARE COPY LINK FACEBOOK X LINKEDIN MASTODON Farmers dry corn in North Korea's Kangwon province on Oct. 4, 2016 \| Image: NK Pro The rise in food and oil prices resulting from Russia’s invasion of Ukraine is and will be felt most acutely in food insecure and heavily reliant countries. But North Korea, despite fitting this profile, may be the exception to this global volatility. As the COVID-19 pandemic has demonstrated, crises abroad may not have the dramatic, visible impacts in the DPRK that some may assume. The disruption to grain, crude oil and other economic inputs resulting from Russia’s invasion of Ukraine means the following for North Korea: The country has largely been deprived Read More © Korea Risk Group. All rights reserved. No part of this content may be reproduced, distributed, or used for commercial purposes without prior written permission from Korea Risk Group. LATEST ANALYSIS 01Trump return rekindles prospects of North Korea talks, but Russia stands in way 02How China could benefit from North Korea’s troop deployment to Ukraine 03New North Korean ICBM delivers big political message, and likely bigger payloads 04How North Korea-Russia ties will challenge next US president, no matter who wins 05What to make of the stunning collapse in value of North Korean won 06What to know about Kim Yong Bok, the man leading North Korean troops in Russia 07If Trump: How erratic leader’s reelection could scramble North Korea policy 08North Korea’s admission of drone incursion exposes glaring gaps in air defenses

Analysis

Why Russia’s invasion of Ukraine has a limited impact on North Korea’s economy

Subsidized trade and depressed demand likely insulate the DPRK economy from food and oil price shocks — but not forever

Peter Ward March 29, 2022

Why Russia’s invasion of Ukraine has a limited impact on North Korea’s economy

Farmers dry corn in North Korea's Kangwon province on Oct. 4, 2016 | Image: NK Pro

The rise in food and oil prices resulting from Russia’s invasion of Ukraine is and will be felt most acutely in food insecure and heavily reliant countries.

But North Korea, despite fitting this profile, may be the exception to this global volatility. As the COVID-19 pandemic has demonstrated, crises abroad may not have the dramatic, visible impacts in the DPRK that some may assume.

The disruption to grain, crude oil and other economic inputs resulting from Russia’s invasion of Ukraine means the following for North Korea:

The country has largely been deprived

01Trump return rekindles prospects of North Korea talks, but Russia stands in way
02How China could benefit from North Korea’s troop deployment to Ukraine
03New North Korean ICBM delivers big political message, and likely bigger payloads
04How North Korea-Russia ties will challenge next US president, no matter who wins
05What to make of the stunning collapse in value of North Korean won
06What to know about Kim Yong Bok, the man leading North Korean troops in Russia
07If Trump: How erratic leader’s reelection could scramble North Korea policy
08North Korea’s admission of drone incursion exposes glaring gaps in air defenses

Why Russia’s invasion of Ukraine has a limited impact on North Korea’s economy

LATEST ANALYSIS

Similar Articles

About the Author

Peter Ward