A study has found that Chinese investment in North Korea is concentrated on underground resources with China taking much of the North’s underground stock.

A research fellow at the Hyundai Research Institute pointed out at a forum hosted by the Peace Foundation that as North Korea’s economy becomes increasingly dependent on China, China is taking advantage of its position. Chinese investment in the North has either become a monopoly or is occupying early the development of North Korean underground resources.

The research fellow said China had won 20 out of 25 North Korean resource development projects, with the confirmed investment amounts alone reaching 500-billion won. He said China has the rights to mine long-term under advantageous terms.

He also said that the more North Korea depends on China for its economy, South Korea’s economic cooperation and influence on the North will decline. He therefore proposed a review of the joint investment on North Korean underground resources with China when inter-Korean relations take a turn for the better.