In response to the September 3 nuclear test, the United States and its allies are pushing to have the UN Security Council impose an oil embargo and a freeze on North Korean leader Kim Jong-un's assets in a set of new sanctions.
At a dinner to celebrate Pyongyang's nuclear programme, North Korean leader Kim praised the test and urged the country's scientists to develop more weapons, KCNA reported Sunday.
On Sunday, in a bid to win support from China and Russian Federation, the USA had diluted its initial draft of the resolution that recommended a complete oil embargo and partial naval blockade.
Back in March, McCain counseled prudence in an interview with the Chosun Ilbo, which suggests that the atmosphere in Congress is gradually changing since the White House put the issue on the table in the wake of North Korea's latest nuclear test.
Washington told the UN Security Council last Friday to call a meeting today to vote on a draft resolution establishing additional sanctions on North Korea for its missile and nuclear programme.
North Korea regularly threatens to destroy South Korea and its main ally, the US, which it accuses of continual preparation for invasion.
US Treasury Secretary Steven Mnuchin told a conference earlier on Tuesday that if China did not follow through on the new sanctions, "we will put additional sanctions on them and prevent them from accessing the US and worldwide dollar system".
The North Korean ambassador to the United Nations in Geneva, Han Tae Song, rejected the UN resolution as "illegal and unlawful" and said Washington was "fired up for political, economic, and military confrontation".
The new sanctions also authorized United Nations member countries to inspect ships if they have reasonable grounds to believe that the ships are carrying North Korean goods that are subject to the sanctions. Exports of North Korean textiles are prohibited, and other nations are barred from authorizing new work permits for North Korean workers, putting a squeeze on two key sources of hard currency.
The resolution does ban North Korea from importing all natural gas liquids and condensates.
USA officials have rejected China and Russia's proposal for the suspension of its large-scale military drills on the Korean peninsula in exchange for North Korea to end its nuclear weapons program.
Accusing the United States of trying to sabotage its development, North Korea warned it will redouble efforts to safeguard the country's sovereignty and right to existence. Just a week ago the North tested its most powerful nuclear device.
"The one factor working in favor of these sanctions being implemented is that the Chinese and Russians have to be fearful that the US will impose its own sanctions on Chinese and Russian companies", he said.
Chinese banks have come under spotlight as a means for North Korea to receive and send funds.
Chinese state banks have started suspending transactions through accounts held by North Koreans, making it almost impossible to do business between the two countries, according to sources familiar with the situation.
The tensions have weighed on global markets, but there was some relief on Monday among investors that North Korea refrained from conducting another missile test this past weekend to celebrate 69 years since its founding.