U.S. economic sanctions imposed on North Korea are instigated by that country's activities related to weapons proliferation, especially its tests since 2006 of nuclear weapons and missile technology; regional disruptions; terrorism; narcotics trafficking; undemocratic governance; and illicit activities in international markets, including money laundering, counterfeiting of goods and currency, and bulk cash smuggling. Trade is limited to humanitarian-related goods. Imports from North Korea and exports to North Korea of most U.S.-origin goods, services, or technology are prohibited. The Department of Commerce denies export licenses for reasons of nuclear proliferation, missile technology, U.N. Security Council requirements, and international terrorism. Financial transactions are prohibited. U.S. persons are prohibited from providing financial services for the purpose of evading sanctions, or from providing financial services to a person or entity designated for sanctions. The President, in September 2017, authorized the Secretary of the Treasury to designate for sanctions any foreign financial institution that conducts or facilitates "any significant transaction on behalf of any [designated] person," or "in connection with trade with North Korea." North Korea is designated as a jurisdiction of primary money laundering concern by the Department of the Treasury's Financial Crimes Enforcement Network (FinCEN. U.S. new investment is prohibited, and investment in North Korea's transportation, mining, energy, or financial sectors is prohibited. North Korea is also ineligible to participate in any U.S. government program that makes credit, credit guarantees, or investment guarantees available. Kim Jong-un, the Korean Workers' Party, and others-banks, shipping companies, seagoing vessels, state agencies, and other individuals affiliated with the state's security regime-are identified as being among those engaged in illicit and punishable activities, possibly including nuclear or ballistic missile programs, undermining cybersecurity, censorship, and sanctions evasion. As a result, effective March 15, 2016, any of their assets under U.S. jurisdiction are frozen, and U.S. persons and entities are prohibited from entering into trade and transactions with the designees. From the outbreak of the Korean War in 1950, the United States had imposed fairly comprehensive economic, diplomatic, and political restrictions on North Korea. In 1999, however, President Clinton announced the United States would lift many restrictions on U.S. exports to and imports from North Korea in areas other than those controlled for national security concerns; the Departments of Commerce, Treasury, and Transportation issued new regulations a year later that implemented the new policy. On June 26, 2008, President George W. Bush delisted North Korea as a state sponsor of international terrorism, and removed restrictions based on authorities in the Trading With the Enemy Act and the terrorism designation, replacing them with more circumscribed economic restrictions related to proliferation concerns. The U.S. sanctions are a result of requirements incorporated into U.S. law by Congress, decisions made in the executive branch to exercise discretionary authorities, and obligations placed on member states of the United Nations by the U.N. Security Council. Though the President, in accordance with the Constitution, leads the way in conducting foreign policy, Congress holds substantial power to shape foreign policy by authorizing and funding programs, advising on appointments, and specifically defining the terms of engagement in accordance with U.S. political and strategic interests. This report presents the legislative basis for U.S. sanctions policy toward North Korea. These sanctions are a critical tenet of the larger bilateral relationship, and this report highlights Congress's role and responsibility in determining the nature of U.S.-North Korea relations.