How Russia and China are dodging North Korea's sanctions

China, Russia, Malaysia, and other nations are failing to curb sanctioned financial dealings and trade conducted by North Korea in their countries, according to a U.N. report.

A U.N. panel of experts on North Korea said these nations and others are failing to stop the Kim Jong Un regime’s efforts to fund its nuclear and missile programs, according to a report reviewed by The Wall Street Journal. CNN received key sections of the report.

Their draft report was distributed to a U.N. committee overseeing North Korea sanctions compliance. It then goes to the Security Council.

Kim Jong Un nuclear facility North Korea

Kim Jong Un in a nuclear facility in North Korea. (KCNA)

In violation of U.N. sanctions, North Korean exported roughly $200 million in coal and other commodities in 2017, the panel said. Much of the regime’s coal and fuel shipments passed through Chinese, Malaysian, Vietnamese, or Russian ports.

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More than 30 representatives of North Korean financial institutions are operating in foreign nations, including Russia and China, the investigators said.

North Korea “is already flouting the most recent resolutions by exploiting global oil supply chains, complicit foreign nationals, offshore company registries and the international banking system,” the document stated.

Several dozen times over the past decade, the report said, North Korean weapons have been shipped to Syria to develop a chemical-weapons program.

Syria told the panel no North Korea technical companies are operating in the country, and the only North Koreans there are involved in sports.

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A member country also reported that Myanmar is buying a ballistic-missile system and conventional weapons from North Korea, including rocket launchers and surface-to-air missiles, according to the report.

Chinese, Russian, Malaysian, and Burmese embassies in Washington didn’t respond to a request for comment by The Wall Street Journal.

Last year, the U.N. Security Council passed stronger sanctions against North Korea after several weapons tests, including nuclear ones.

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U.S. Secretary of State Rex Tillerson said violations of maritime operations involving North Korea are a problem.

“We must put an end to illicit ship-to-ship transfers that undermine UN sanctions,” he said.