North Korean officials walked out of a high-profile inter-Korean liaison office on Friday in the latest sign of Pyongyang anger in the aftermath of the failed North Korea-United States summit in Hanoi last month.
The North said it "is pulling out with instructions from the superior authority", according to the ministry.
Such transactions violate the worldwide sanctions imposed on North Korea over its nuclear and missiles program, which include a United Nations ban on almost 90 percent of refined petroleum exports to Pyongyang.
"It was announced today by the U.S. Treasury that additional large scale Sanctions would be added to those already existing Sanctions on North Korea", Trump wrote from his private club in Palm Beach.
The North's withdrawal from the office was another blow to Moon, who has seen his standing as a mediator between Pyongyang and Washington deteriorate and divisions grow within his government over how to break the impasse.
The United States charged that the company previous year shipped cargo from the Chinese port of Dalian to North Korea on behalf of the Paeksol Trading Corporation, which in the past has sold metal and coal to earn money for Pyongyang. Chun mentioned the departing North Korean diplomatic officials took documents with them but left most of their equipment behind.
"The United States and our like-minded partners remain committed to achieving the final, fully verified denuclearisation of North Korea and believe that the full implementation of North Korea-related UN Security Council resolutions is crucial to a successful outcome", Treasury Secretary Steven Mnuchin said in a statement.
WATCH | North Korea vs.
Friday's North Korean action follows reports Wednesday that the US State Department was offering US$6 million for projects aimed at upgrading human rights in North Korea.
Both Koreas want the U.S.to allow exemptions from sanctions to permit the reopening of the factory park, which provided North Korea with much-needed foreign currency. But Ms Choe said that the North had only asked for five key economic sanctions to be lifted.
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