Seoul to minimize economic fallout from looming trade row with Japan
SEJONG-- South Korea said Friday it will take steps to try to minimize any possible fallout from the trade row with Japan, which may further escalate down the road after its decision to terminate a military information-sharing pact with the neighbor.
In a press meeting, Finance Minister Hong Nam-ki said that Seoul's latest move could further worsen bilateral ties with Japan, which have already been strained by Japan's export curbs against South Korea.
Japan has imposed tighter regulations on exports to South Korea of three materials -- resist, etching gas and fluorinated polyimide -- that are critical for the production of semiconductors and flexible displays.
Japan also removed South Korea from its "whitelist" of trusted trading partners in retaliation against last year's South Korean Supreme Court rulings ordering Japanese firms to compensate South Korean victims of forced labor during Japan's 1910-45 colonization of the Korean Peninsula.
On Thursday, South Korea announced that it will not extend the General Security of Military Information Agreement with Japan.
Source: Yonhap News Agency