(VOVworld)- Following a rare move to ease tensions on the Korean peninsula by moving its mid-range missiles from the East Coast, Pyongyang on Wednesday continued deploying Scud and Rodong missiles on mobile launch pads along the East Coast heightening international concern. China said it will suspend all financial transactions between the Bank of China and the Trade Bank of North Korea.

On May 7, most of the world’s media reported that the Bank of China will suspend all dealings with the Trade Bank of North Korea. Washington immediately applauded this significant decision by Beijing. Speaking to reporters on May 8, spokesperson for the US State Department Patrick Ventrel said the US welcomes recent steps by the international community including China to apply sanctions against North Korea. The Los Angeles Times called this move a clear sign of Beijing’s growing disappointment with Pyongyang. According to a North Korea expert at China’s Central Party School, it was indeed a very noteworthy action taken after political consideration and consideration of Beijing’s own interests.

Beijing’s gesture of disappointment with its ally paves the way for other banks in the region to reconsider their relations with North Korea. If so, Pyongyang could face numerous new difficulties. According to the World Food Program, North Korea is facing a food shortage. One third of its children suffer from chronic malnutrition or are too small for their age.  North Korea’s industrial production is only 30% of what it was in 1992. Pyongyang’s possession of weapons has been strongly criticized by the West. At a meeting on May 7 in Washington, US President Barak Obama and South Korean President Park Gyun Hye vowed to make no concessions to North Korea after months of high tension, saying the burden is on the communist state to end the crisis. Though Seoul has proposed a friendship park on the border between the two Koreas and remains open to the prospect of North Korea taking a peaceful path to resolving the Korean conflict, President Park Gyun Hye stressed that Seoul’s stance  is not to reward North Korea for attacking South Korea. This statement was made hours after North Korea’s military issued its latest threat, vowing to turn border islands into a “sea of flames” if a shell fell on its side during joint US-South Korea drills. Earlier, North Korea declared that the regular 5-day joint drill conducted by the US and South Korea involving a nuclear-powered Los Angeles-class submarine, Aegis destroyers and P-3C maritime surveillance aircraft constitutes a hostile and provocative act.

The situation on the Korean peninsula remains extremely tense. On May 8, UN Secretary General Ban Ki Moon said that inter-Korean disputes can only be resolved through trust building and dialogue. The UN Chief said he was ready to join efforts to ease tensions, establish peace and stabilize the Korean peninsula.

Experts called it unlikely that conflict will occur on the Korean peninsula now that Pyongyang has mentioned conditions for resuming talks. Two of the conditions were not new- that the UN lift its sanctions and that the US withdraw its strategic attack weapons deployed near the Korean peninsula. The US demands that North Korea give up its nuclear program to resume talks.

Anh Huyen