China says war on Korean peninsula will have no victor

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Meanwhile, recent reports suggest that North Korean is sending its military jets to the east of the country in the wake of a flyover by United States bombers of the area last week.

Secretary of State Rex Tillerson answers a question from the media on North Korea, while meeting with the Holy See Secretary for Relations with States Paul Gallagher, Tuesday, Sept. 26, 2017, at the State Department in Washington.

Trump has been pushing China to use its deep economic ties with North Korea to pressure the country's young leader to back down from developing nuclear weapons.

The North Korean redeployment follows tense exchanges between the USA and North Korean delegations from the U.N. General Assembly floor this month, during which President Donald Trump called North Korea's leader "rocket man" and warned him he is "on a suicide mission".

He added that North Korea seems to be doing all it can to avoid provoking a war along the inter-Korean border - the NIS understands that Pyongyang has directed its armed forces to "report first before taking any military measures".

North Korean foreign minister Ri Yong Ho on Monday accused Trump of declaring war on the North and threatened that Pyongyang would shoot down U.S. warplanes flying near the Korean Peninsula after American bombers flew close to it last Saturday.

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Trump repeated praise he offered last week for China's reported breaking off of banking relations with North Korea. With Donald Trump threatening North Korea with awful destruction, it is easy to see why the situation is worrying investors.

Earlier this month, China ordered its financial institutions to take a number of steps to comply with United Nations resolutions, including halting business with sanctioned individuals and companies.

North Korean businesses and ventures with Chinese partners must close within 120 days of the U.N. Security Council's September 11 approval of the latest sanctions, according to the Ministry of Commerce.

Beijing reiterated its plea for peace talks after the bellicose rhetoric between the United States and North Korea reached new heights in recent days, following Pyongyang's sixth nuclear test early this month.

North Korea has conducted almost two dozen missile tests this year, testing a variety of new systems, including an intercontinental ballistic missile able to deliver a nuclear payload to a US city.