Foreign Ministry spokesperson Hua Chunying speaks at a daily breifing. File photo: VCG

China said on Wednesday it opposes US "long-arm jurisdiction" against its companies and individuals following the indictment of a Chinese company by the US Department of Justice (DOJ) on charges related to sanctions against North Korea.

"China always opposes long-arm jurisdiction against Chinese entities and individuals by the US based on its domestic law," Foreign Ministry spokesperson said at a daily briefing.

Chinese judicial departments are handling the alleged economic crimes case involving Dandong Hongxiang Industrial Development Co and its employees, said Hua, following reports about US charges against the owner and three executives of the company for alleged evasion of sanctions on North Korea.

China has always seriously implemented UN Security Council resolutions related to North Korea and has played a responsible role in ensuring nuclear non-proliferation.

Dandong Hongxiang Industrial Co and its owner Ma Xiaohong and three managers were indicted on charges that they conspired to evade US sanctions intended to stop North Korean companies from helping Pyongyang develop nuclear weapons and ballistic missiles, according to the US DOJ.

Dandong Hongxiang, whose offices are located on the border between China and North Korea, used to handle more than 20 percent of all trade between the two countries, and used more than 20 "front" companies to hide its financial dealings, said prosecutors.

The US Department of the Treasury's Office of Foreign Assets Control imposed sanctions on Dandong Hongxiang when the charges were first announced in September 2016, and according to Reuters, it is the first time that Washington had taken such a step against a Chinese company.

According to the US indictment, the front companies were set up in offshore jurisdictions such as Anguilla, the British Virgin Islands, the Seychelles and Wales. 

Ma and the other individual defendants each face up to 20 years in prison on the most serious of the charges, according to the US DOJ.


Newspaper headline: Nation opposes US moves against firm over N.Korea sanctions