By Matija Šerić
Widespread illegal arms trade
Illegal arms trade is highly prevalent. Moreover, the Kim dynasty regime is widely known not only for smuggling conventional weapons but also for spreading nuclear and ballistic technology worldwide. In 2001, the sale of ballistic missiles reached $560 million. Typically, this involves cooperation with regimes in conflict with the U.S. and the collective West.
Proliferation of nuclear and ballistic technology
Iran is one of the longest-standing partners. North Koreans assisted Iran in developing the Shahab ballistic missiles, which are based on North Korean Nodong missiles. The two sides exchanged knowledge on rocket engines, ranges, and guidance systems. Similarly, Pyongyang cooperated intensively with Islamabad. Knowledge of the Nodong missile became a prerequisite for creating Pakistan’s Ghauri missiles. In return, Pakistan transferred uranium enrichment technology to North Korea, which was crucial for Pyongyang’s nuclear program. Cooperation also took place with Egypt, Syria, Libya, Myanmar, and other countries.
The UN’s unsuccessful attempts to curb illegal arms trade
After North Korea’s first nuclear test in 2006, international sanctions attempted to limit or prevent the country from exporting various types of weapons, materials, and technology. UN sanctions prohibit the trade of all weapons, including heavy and light arms. However, results have been lacking. Pyongyang has developed an extensive and complex arms-trading network to bypass sanctions, using fake companies and embassies for these purposes. A 2014 UN report indicated that Syria, Myanmar, Eritrea, Tanzania, Ethiopia, Somalia, and Iran were suspected of purchasing weapons from North Korea.
Cybercrime
The Democratic People’s Republic of Korea (DPRK) extensively uses cybercrime tools to advance its strategic interests. Admittedly, it is not alone in this. Many states employ cyberattacks to damage another country’s internet infrastructure. That is, one state attacks another to infiltrate public and commercial networks for military, industrial, political, and economic espionage. DPRK is involved in such operations but also uses cybercrime for more traditional criminal purposes: making profit.
The cyberheist in which $100 million was stolen from a targeted $1 billion in the Bangladesh Bank via the Federal Reserve Bank of New York was linked to the DPRK. A UN report shows that North Korean hackers directly stole $50 million in cryptocurrency in 2020, likely aimed at funding the DPRK’s nuclear program. Other reports from April 2022 link the DPRK to cryptocurrency thefts worth $615 million. All reports suggest that North Korea has stolen billions of dollars in cryptocurrency.
“Creative” smuggling activities
In addition to the above activities, there are indications that North Koreans are involved in other, “very creative,” or bizarre illegal activities to enrich the political elite. Notable examples include smuggling protected animal and plant species. North Korean diplomats (18 in the last 30 years) were caught with hundreds of kilograms of elephant tusks and rhinoceros horns. North Korean defectors also reported smuggling rhino horns and ivory from countries such as Angola, Ethiopia, the Democratic Republic of Congo, South Africa, and Mozambique.
Such illegal activity is considered low-risk but highly profitable for the Kim regime. Precious stones like gold are also sold on black markets by members of the Kim regime. Insurance fraud is another area in which the regime is well-practiced. It is believed that falsely reported accidents, such as the 2005 helicopter crash and the 2006 ferry incident in the DPRK, brought in $150 million in revenue in 2006 alone.
Human trafficking
Perhaps the most tragic fact is that human beings are also treated as mere commodities in Pyongyang’s illegal network. As early as 2007, the U.S. State Department classified North Korea, along with 11 other countries, as a Tier 3 human trafficker, and it retained this classification in 2025. Tier 3 countries are the worst-ranked, failing to meet even the minimum standards for preventing human trafficking. These include countries like Afghanistan, Myanmar, and Eritrea.
Through its network of prison labor camps, illegal deployment of North Korean workers abroad (in Mongolian mines, logging in Russia, and similar work in Poland, Central Asia, Africa, etc.), and the sale of North Korean brides to China (also men and women to other countries as sexual slaves), the regime trades in or profits from its own people.
Hard labor in camps
In domestic labor camps, all prisoners, including children, are subjected to long hours of forced labor in harsh conditions, including logging, mining, and agricultural work. Authorities, of course, profit from this, and the goods produced are often sold on black markets. Reports show that political prisoners endure harsh conditions, including poor nutrition and inadequate medical care, as well as brutal punishments. Many prisoners became ill or died due to harsh working conditions, insufficient food, beatings, lack of medical care, and unhygienic conditions.
