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STRATFOR.COM
Global Intelligence Update
November 5, 1999

Chinese Influence on the Rise in Pyongyang


Summary

North Korean special units were called in to quell riots in North
Hamgyong province in mid-October, according to reports in South
Korean and Chinese media this week.  The riots came as border
security in North Korea and China was being tightened, and more
attention paid to the status of North Koreans crossing the border
illegally. With Chinese-North Korean ties generally on the mend,
the threat of increased internal instability in North Korea may
lead Beijing to accelerate its assistance to - and influence in -
Pyongyang.


Analysis

A riot broke out Oct. 11 in North Korea's North Hamgyong Province,
which borders both China and Russia, according to Chinese and South
Korean media reports published this week.  North Korea mobilized an
elite border guard unit to quash the riots, which took place near
the northwestern border city of Onsong.  The special unit responded
with helicopters and ground forces, and followed up with a search
operation to find the leaders of the riot and "outside impure
elements."

North Korea has long harnessed the fear of social instability to
gain leverage in dealings with other nations. By playing up
outsiders' paranoia that a collapsing regime may resort to any
measure - including launching a suicide attack on South Korea - it
wins economic humanitarian assistance while maintaining its
isolation. [ http://www.stratfor.com/asia/aiuarchive/a981222.htm ]

But the riot near Onsong suggests that unrest in some outlying
regions of the country may be near the breaking point.  This does
not mean that a general uprising against Kim Jong Il's government
is near, but that localized dissatisfaction with the current
economic and political situation could lead to eruptions of
violence, requiring military intervention. Signs of instability -
especially real, not engineered, instability - could win Korea
support from a wary China.

The riots came amid tightened border security by both North Korea
and China, designed to stem the flow of illegal North Korean
citizens seeking food and medicine across the Tumen River in China.
While many of the North Koreans crossing into China are reportedly
seeking refugee status, both sides oppose calling them refugees out
of fear that granting such status would trigger a massive increase
in the number of North Koreans crossing into China.

The incident in Onsong seems to be isolated, at least for now.
Potential unrest appears confined to the border areas, where
political and ideological exiles are often sent, and news of the
outside is easier to obtain. With North Korea increasing economic
and social exchanges with other nations to bolster its shrinking
economy, such internal dissatisfaction could spread.

As North Korea balances its financial distress with the need to
remain insulated from the rest of the world, there are other signs
that the regime's security may be threatened.  Kim Jong Il's eldest
son, Kim Jong Nam, has taken a post in the Ministry of Public
Security, an early step toward succeeding his father. The elder
Kim's rise to power following his father Kim Il Sung's death was a
slow process, marked by purges in the government ranks.

Firmly establishing Kim Yong Nam as his successor could be an
attempt to counter a threat against Kim Jong Il's authority.
Placing his son in a position of public security, tasked with
information gathering and finding dissidents, signals to both the
citizens of North Korea and to potential opponents that the Kim
Dynasty will continue. By emphasizing the dynastic succession
implemented by his father, Kim Jong Il hopes to rekindle public
affection for North Korea's leadership, which has dwindled without
Kim Il Sung's charismatic presence.

While the signals out of North Korea may be simply more false signs
of imminent collapse, the unrest in the north and potential splits
in Pyongyang suggest the precarious situation may be more than a
carefully crafted diplomatic bargaining tool.  A truly destabilized
North Korea poses a threat not only to South Korea and the U.S.
forces there, but also to China, Russia and possibly Japan.  While
South Korea, the United States and even to some extent Japan have
accelerated contact with North Korea, it is China that has recently
forged the closest ties.

China has already been moving to strengthen relations with North
Korea in order to regain leverage against U.S. allies in the
region. While Beijing would benefit strategically from holding the
leash on North Korea's belligerency, it would be threatened by an
out-of-control North Korea. Real signs of North Korean
disintegration could speed up moves to bring Sino-North Korean
cooperation back to a level not seen in decades. China may even
seek to influence or manipulate North Korea's internal politics to
maintain the momentum of strengthening relations and guarantee
North Korean cohesion.


(c) 1999, Stratfor, Inc.
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