CTH holds a fundamentally different view of China and North Korea than most.  Our position is based on independent research and a lengthy following of patterns between the two which show predictable cause and effect outcomes.
It is our position that while the DPRK is technically an independent nation; in reality, and in quintessential economic terms, North-Korea is more accurately defined as a province of China, and not an independent nation.  What China authorizes Kim Jong-un (North Korea) to do, Kim Jong-un does.  “Dear Leader” Kim Jong-un is better described as a provincial governor, who serves a specific function as a tool against the West.

History will observe the key date for President Trump’s strategic victory over North Korea was achieved on August 5th, 2017.  That’s the original date when Russia and China agreed to the U.N. Security Council’s economic sanctions against North Korea.  That first, historic, Russia and China U.N. Security Council vote against North Korea came as a result of eight months of assembled economic leverage created by President Donald Trump.
As a result of President Trump’s strategy, every time North Korea’s Kim Jong-un takes an action, President Trump hits China’s Xi Jinping with an additional economic action. As Beijing feels the squeeze, they tell Kim Jong-un to act. Every time Kim Jong-un acts, President Trump squeezes Beijing with more economic pressure.  Wash-Rinse-Repeat.
Communist Beijing has boxed themselves into this inescapable cycle.  The reason they keep authorizing Kim Jong-un to take action is simply because China has no alternative leverage to use against President Trump.  China has nothing in their economic arsenal they can use to hit back against President Trump, so Beijing keeps using North Korea in an attempt to create leverage.
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Two seismic events happening in North Korea are suspected to be a nuclear test.  The first event was reportedly measured at a 5.6 Richter Scale magnitude. The second event is being reported at 6.3.  Both seismic events are potentially related to a nuclear detonation:

SEOUL (Reuters) – An earthquake 5.6 was recorded on Sunday in North Korea near the country’s known nuclear test site Punggye-ri, Yonhap news agency reported, citing South Korea’s meteorological agency.
The quake appeared to have been man-made, Yonhap quoted the agency as saying, suggesting the isolated country had conducted a sixth nuclear test. (read more)

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Things are going swimmingly, strategically, seemingly according to plan.  When the full measure of history allows time to review, observers will note the strategic victory was achieved on August 5th, 2017; that’s the original date when Russia and China agreed to the U.N. Security Council sanctions against North Korea.  That first, historic, Russia and China U.N. Security Council vote against North Korea came as a result of eight months of assembled economic leverage created by President Donald Trump.
As a result of this ongoing strategy, every time North Korea’s Kim Jong-un takes an action, President Trump hits China’s Xi Jinping with an additional economic squeeze.  As Beijing feels the squeeze, they tell Kim Jong-un to act. Every time Kim Jong-un acts, President Trump squeezes Beijing with more economic pressure.  Wash-Rinse-Repeat.
Communist Beijing has boxed themselves into this inescapable cycle. The only way out of the box is to concede and lay the DPRK defeat at the feet of Kim Jong-un.  The conceding will evidence itself when Beijing inevitably calls for ‘Six Party Talks‘.  Today:

(Via Associated Press) Chinese Foreign Minister Wang Yi says his country will “fully and completely” abide by U.N. Security Council sanctions resolutions on North Korea.
Wang told reporters Wednesday China would work with other members of the council on how best to react to North Korea’s launch of a ballistic missile over Japan on Tuesday.
He says, “We will make a necessary response.”

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China, via Beijing’s communist old guard, has played right into the hands of the Trump administration by overreacting to the economic pressure of President Trump.  Beijing authorized an atomic elbow via another provocative North Korean missile test. However, their response now empowers the Trump administration to point out the terrible DPRK behavior and simultaneously take a higher diplomatic road.
President Trump, Secretary Tillerson and Secretary Mattis’s “Fire and Fury” approach was essentially a dynamic Win/Win.  By utilizing diplomacy (Tillerson/Haley) while constructing the appearance of military possibility (Mattis/McMaster), while simultaneously President Trump put the BIG geopolitical economic squeeze on China, team U.S.A. created a multidimensional box – and Beijing walked directly into the trap.

Unintentionally, China has now created a diplomatic ‘high-road’ path in response to the DPRK for the Trump administration.  China, seeking to retain position behind the curtain of the DPRK, will not be able to oppose, publicly or in the U.N., any U.S. and allied position now or they run the risk of the entire world seeing their controls over Kim Jong-un.  Notice the strategy in the well coordinated approach today:

President Trump Speaks To PM Shinzo Abe – President Donald J. Trump spoke yesterday with Prime Minister Shinzo Abe of Japan to address North Korea’s launch of a missile that overflew Japanese territory. The two leaders agreed that North Korea poses a grave and growing direct threat to the United States, Japan, and the Republic of Korea, as well as to countries around the world. President Trump and Prime Minister Abe committed to increasing pressure on North Korea, and doing their utmost to convince the international community to do the same. (LINK)

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There is an saying people use to criticize President Trump based on the people around him:

“People are policy, and policy is people”…

The basic argument is that Mr. Trump can be swayed or distracted from his mission by his staff and those he hires.
This is a common catch-phrase brought about by historic and conventional wisdom.  However, when applied to President Trump, it’s also just plain wrong.
No similar cliche is appropriate for Donald Trump, nothing deters or influences him from his larger decades-long ‘America-First’ economic strategy. Nothing.
Donald Trump is the policy. There’s no assembly of advisers on economic issues that can ever sway his instinct.
Example:

(Reuters) – U.S. President Donald Trump last month rejected a Chinese proposal to cut steel overcapacity, despite the endorsement of some of his top advisers, the Financial Times said, citing people familiar with the matter.
Beijing proposed cutting steel overcapacity by 150 million tonnes by 2022 in a deal twice rejected by Trump, who instead urged advisers to find ways to impose tariffs on imports from China, the paper said, citing the sources.

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Secretary of State Rex Tillerson appears on Fox News Sunday with guardian and gate-keeper of the swamp Chris Wallace.

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[Transcript] QUESTION: Mr. Secretary, welcome back to Fox News Sunday.
SECRETARY TILLERSON: Pleased to be here, Chris.
QUESTION: Before we get to foreign affairs, I want to ask you as a native son of Texas and as the former chairman of and CEO of ExxonMobil your thoughts about Hurricane Harvey and especially the impact it’s having in the oil and gas sector there on the Gulf coast.
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United States Ambassador to the United Nations, Nikki Haley, recently visited the IAEA (International Atomic Energy Agency) to review the ongoing JCPOA (Joint Comprehensive Plan of Action) as they continue to monitor Iran’s nuclear program.
Ambassador Haley outlined a summary of the IAEA meeting and fielded additional questions about North Korea and Venezuela.  She will be traveling to Washington DC on Monday to brief President Trump and Secretary Tillerson.

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As you might note from her remarks (see below), Ambassador Haley is keenly aware of the uniqueness, and effectiveness, of President Trump’s economic approach toward regional national security issues – specifically as it pertains to the recently announced Venezuela sanctions. Strong concise statements. Strong, short, effective and deliberate answers.
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Communist Beijing China controls North Korea.  The DPRK is used by China, specifically the Old Communist Guard in Beijing, as a sword and shield against U.S. economic allies, interests and relationships in SE Asia.
The U.S. launches Section 301 trade investigations into China. The U.S. gives ownership of Afghanistan extremism to Pakistan, a Chinese strategic partner. The U.S. sanctions Venezuela, another strategic partner for China. Outcome = China is under pressure.

North Korea’s Kim Jong-Un does what Beijing tells him to do; that truth is how we can predict events like this missile launch.

SEOUL, Aug. 26 (Yonhap) — North Korea launched what seems to be short-range missiles into the East Sea on Saturday morning, according to South Korea’s military.
The North fired several “unidentified projectiles” from the vicinity Gitdaeryong in Gangwon Province at around 6:49 a.m., said the Joint Chiefs of Staff (JCS). (link)

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Being on the leading edge of history as it unfolds is a great deal of fun.  Everything is proceeding according to plan.  This is The Trump Doctrine playing out on the geopolitical stage and we all have references to smile about. Swimmingly.
Remember, when President Trump gave truthful, and rightful, ownership of the Muslim Brotherhood’s extremism to the Arab Gulf States? Their first response was to refute the position. Quickly they accepted reality; and now the GCC, led by Saudi Arabia, is confronting MB’s enabler, Qatar.
Remember, when President Trump gave truthful, and rightful, ownership of North Korea’s nuclear ambitions to China? The first response was Beijing refuting the position. Eventually they accepted reality; that process is ongoing.

On Monday President Trump gave truthful ownership of the Taliban to Pakistan. Well:

KARACHI, Pakistan (Reuters) – Pakistan has rejected U.S. criticism of its efforts to fight terrorism, saying it should not be made a scapegoat for the failure of the U.S. military to win the war in Afghanistan.
U.S. President Donald Trump unveiled his policy for Afghanistan on Monday, stepping up the military campaign against Taliban insurgents and singling out Pakistan for harboring them.

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In the multidimensional economic security approach of President Trump, Treasury Secretary Steve Mnuchin plays a critical role.  Today the U.S. Treasury announces new sanctions on Chinese and Russian entities for enabling North Korea.
The Office of Foreign Asset Control (OFAC) announced additional people, businesses and entities added to the “Specially Designed Nationals” sanctions list. [Full List Here]

One note that must be underlined – SEVERAL of these sanctioned entities/organizations MAY also be part of the Washington DC lobbying apparatus, directly or indirectly.  As such, Secretary Mnuchin becomes a target of those financial interests.

WASHINGTON (Reuters) – The United States is imposing new North Korea-related sanctions, targeting Chinese and Russian firms and individuals for supporting Pyongyang’s weapons programs, U.S. officials announced on Tuesday, but stopped short of an anticipated focus on Chinese banks.
The Office of Foreign Assets Control designated six Chinese-owned entities, one Russian, one North Korean and two based in Singapore. They included a Namibia-based subsidiary of a Chinese company and a North Korean entity operating in Namibia.

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