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>> The stakes on North Korea never higher after this week's launch of a long range missile.>> Well, I have some pretty severe things that we're thinking about. That doesn't mean we're going to do them.>> But the US is upping the ante with China, as it pushes Beijing to crack down on Pyongyang, putting some $580 billion in annual trade on the table.
David Brunnstrom is on the story.>> President Trump is showing that he is become increasingly frustrated with China and China's errant unwillingness to do as much as he feels it can to put pressure on the North Koreans. It seems now that Trump may be willing to use the massive US-China trade relationship as leverage in this equation.
After a friendly first meeting at his Mar-a-Lago estate, President Trump saw trade as the carrot that can win President Xi Jinping's help against North Korea. But after this week's missile test, trade has gone for Trump from a carrot to a stick.>> Our attitude on trade changes when countries do not take international security threats seriously.
>> During the campaign, Donald Trump talked about imposing very substantial tariffs on Chinese goods, and he could follow through on that. China has announced a cutoff in imports of coal from North Korea. But the United States would like to see China going further to see an embargo on oil deliveries to North Korea.
>> We will work with China, but we will not repeat the inadequate approaches of the past.>> But using trade as a hammer carries risks, not the least if Beijing retaliates. North Korea's sure to be high on the list as Trump and Xi meet on the sidelines of the G20 summit in Hamburg, Germany.