Charter of the United Nations (Sanctions – Democratic People’s Republic of Korea) (Luxury Goods) Instrument 2017

Overview

The Charter of the United Nations Act 1945, enacted by the Parliament of Australia, was introduced to formalise Australia's commitment to the United Nations Charter and to facilitate the implementation of United Nations Security Council resolutions under Chapter VII. This Act empowers the Governor-General to make regulations that enforce UNSC decisions, ensuring compliance with international obligations without involving the use of armed force. The Charter of the United Nations (Sanctions – Democratic People’s Republic of Korea) (Luxury Goods) Instrument 2017, made under the authority of the Minister for Foreign Affairs, is an example of such regulations. It updates the list of luxury goods prohibited from being exported to the Democratic People’s Republic of Korea (DPRK) in line with UNSC Resolution 1718 (2006), reinforcing Australia’s adherence to its international legal obligations. The instrument does not require public consultation as it directly implements Australia's obligations arising from UNSC decisions, while the Department of Foreign Affairs and Trade regularly engages with the business community to explain related sanctions laws.

Scope and Application

The Charter of the United Nations Act 1945 and its associated regulations, particularly the Charter of the United Nations (Sanctions – Democratic People’s Republic of Korea) Regulations 2008, apply to all individuals and entities within Australia. These laws mandate compliance with United Nations Security Council resolutions, specifically those concerning the Democratic People’s Republic of Korea (DPRK). The scope of these regulations extends to prohibiting the export of specified luxury goods to the DPRK, as determined by the Minister for Foreign Affairs under legislative instruments. The Charter of the United Nations (Sanctions – Democratic People’s Republic of Korea) (Luxury Goods) Instrument 2017 updates and maintains a list of such goods, ensuring alignment with current UNSC directives. The geographic reach of these regulations is national, as they apply uniformly across Australia, and their enforcement is overseen by the relevant federal authorities. Notably, the regulations do not specify exclusions or exemptions, applying broadly to all luxury goods as defined. The Act allows for the creation of subordinate instruments to refine or expand the scope of the sanctions, ensuring flexibility in meeting international obligations.

Key Provisions

The Charter of the United Nations (Sanctions – Democratic People’s Republic of Korea) (Luxury Goods) Instrument 2017 (DPRK Instrument) is made under section 6(2)(g) of the Charter of the United Nations Act 1945, which empowers the Governor-General to make regulations to give effect to decisions of the United Nations Security Council (UNSC) under Chapter VII of the Charter of the United Nations (the Charter) that Australia is required to carry out under Article 25 of the Charter. The instrument specifies goods that are prohibited from being exported to the Democratic People's Republic of Korea (DPRK). Section 5(1)(b) of the Charter of the United Nations (Sanctions – Democratic People’s Republic of Korea) Regulations 2008 defines "export sanctioned goods" to include goods mentioned in the luxury goods list determined by the Minister for Foreign Affairs under subregulation 5(2) of the Charter of the United Nations (Sanctions – Democratic People’s Republic of Korea) Regulations 2008. The DPRK Instrument updates the list of luxury goods that are prohibited from being exported to the DPRK, incorporating new items such as aquatic recreational vehicles, sapphires, rubies and emeralds, items of lead crystal, gems, racing cars, snowmobiles valued over US$2000, tableware of porcelain or bone china valued over US$100, and rugs and tapestries valued over US$500. Under the Charter of the United Nations Act 1945, Australia is obligated to implement decisions of the UNSC under Chapter VII, including those that require the application of measures not involving the use of armed force. The DPRK Instrument facilitates this obligation by specifying the luxury goods that are subject to the export ban. The Minister for Foreign Affairs, in making this instrument, exercises the power granted under subregulation 5(2) of the Charter of the United Nations (Sanctions – Democratic People’s Republic of Korea) Regulations 2008 to determine a list of luxury goods. The instrument aims to align Australia’s domestic regulations with the UNSC Resolution 1718 (2006), which mandates the prevention of the export of luxury goods to the DPRK. Entities and individuals governed by the Act must comply with the export restrictions outlined in the DPRK Instrument. This includes ensuring that none of the specified luxury goods are exported to the DPRK. Failure to comply with these regulations can result in civil or criminal penalties. The maximum penalties for breaches of the regulations may include substantial fines and, in severe cases, imprisonment. The precise penalties are outlined in the Charter of the United Nations (Sanctions – Democratic People’s Republic of Korea) Regulations 2008 and may vary based on the nature and severity of the breach. The Department of Foreign Affairs and Trade conducts regular outreach to the Australian business community to ensure compliance with these sanctions laws.