North Korean labor exodus continues to shake the Chinese city of Dandong, which once relied heavily on workers from across the border. At its peak, the city hosted as many as 80,000 North Korean laborers. Now, fewer than 10,000 remain, forcing business owners to confront rising uncertainty. According to a source in China, the absence of these workers is beginning to cripple small factories. The labor exodus signals a major disruption to longstanding economic arrangements.
Factories employing fewer than 100 North Korean workers have started shutting down permanently. Meanwhile, larger companies struggle to plan operations as more workers prepare to leave by year-end. Local Chinese business owners have voiced frustration over lost productivity and disrupted supply chains. Many relied on a dependable workforce that rarely protested harsh schedules or low wages. The North Korean labor exodus has thrown these operations into turmoil.
Employers favored North Korean workers for cost reasons and exploitable labor conditions unavailable under Chinese law. Chinese workers often demand 4,000 to 5,000 yuan monthly, while North Korean laborers work for 2,300 yuan. This wage gap makes North Korean labor significantly more profitable for manufacturers. Additionally, they work up to 14 hours a day without benefits or social insurance. As the North Korean labor exodus deepens, these financial advantages vanish.
Chinese employers must also cover healthcare and social security for domestic workers. However, they owe no such support to North Korean laborers, making foreign workers far cheaper. These practices have sparked mixed reactions among Chinese citizens, especially low-income groups. Many view foreign workers as threats to job security and wage standards. Yet, some middle-class residents support hiring them for undesirable tasks. The North Korean labor exodus will likely stir further debate.
This decline also cuts deeply into Pyongyang’s foreign currency pipeline. Reports say the regime seizes up to 90% of wages earned abroad. Losing this revenue stream may prompt the government to rethink its strategy. According to sources, North Korea now prioritizes higher-earning male workers in Russia. As the North Korean labor exodus accelerates, Pyongyang must adjust its economic tactics swiftly.