U.S., China to cooperate on North Korea read more at here www.spinonews.com/index.php/item/913-u-s-china-to-cooperate-on-north-korea

U.N. diplomats say the two countries have started discussions on a possible U.N. sanctions resolution in response to the nuclear test earlier this month, but Beijing has not said directly whether it will support tougher steps against North Korea.

U.S. President Barack Obama and Chinese Premier Li Keqiang agreed on Monday to step up cooperation in the United Nations Security Council and in law-enforcement channels after North Korea's fifth nuclear test, the White House said.

China and the United States are also targeting the finances of Liaoning Hongxiang Industrial, a Chinese conglomerate headed by a Communist Party cadre, that the Obama administration thinks has a role in assisting North Korea's nuclear program, the Wall Street Journal reported on Monday.

Obama met Li on the sidelines of the annual United Nations General Assembly session in New York.

Both leaders condemned North Korea’s September 9 nuclear test and resolved to strengthen coordination in achieving the denuclearization of the Korean Peninsula, including by invigorating cooperation in the United Nations Security Council and in law enforcement channels on North Korea, a White House statement said.

China is isolated North Korea's most important diplomatic backer and its biggest trading partner.

 The figure includes more than $360 million in imports from North Korea by one group company, Dandong Hongxiang Industrial Development Co., an industrial machinery and equipment wholesaler.

The U.S. Department of Justice is preparing as early as this week to announce legal action against Chinese firms suspected of providing financial assistance to Pyongyang, the Journal reported citing officials familiar with the matter.

Chinese Foreign Minister Wang Yi told his Japanese counterpart last week China opposes unhelpful unilateral sanctions on North Korea but will work within the United Nations to formulate a response.

China's Foreign Ministry said relevant departments were investigating Liaoning Hongxiang Group and were following the provisions of U.N. resolution 2270.

In which imposed tighter sanctions on North Korea in March in response to its fourth nuclear test in January and the launch of a long-range missile a month later.