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Japan–South Korea trade dispute

December 15, 2023

The Japan–South Korea trade dispute, also known as the Japan–South Korea economic war,[2][3] was an economic conflict between Japan and South Korea.

2019–2023 Japan–South Korea trade dispute
Part of Japan–South Korea relations and Japan–Korea disputes

"Boycott Japan" sticker on shop in Mokpo, South Korea
DateJuly 1, 2019 – March 23, 2023
Location
Japan and South Korea
Result

Resolved

  • Significant deterioration in Japan–South Korea relations in 2019
  • Japan and South Korea remove each other from the trade "whitelist" in 2019[1]
  • Japan and South Korea restore relations and add each other back to their trade "whitelist" in 2023
Parties involved in trade dispute
 South Korea  Japan
Japan–South Korea trade dispute,
Japan–South Korea economic war (in South Korea),
Japanese economic retaliation (in South Korea)
Japanese name
Kanji日韓貿易紛争 or 日韓対立
Hiraganaにっかんぼうえきふんそう or
にっかんたいりつ
Transcriptions
RomanizationNikkan bōeki funsō or Nikkan keizai sensō
Korean name
Hangul한일무역분쟁
한일경제전쟁
일본경제보복
Hanja韓日貿易紛爭
韓日經濟戰爭
日本經濟報復
Transcriptions
Revised RomanizationHanil Muyeog Bunjaeng,
Hanil Gyeongje jeonjaeng,
Ilbon Gyeongje bobog

There are different cited causes behind the conflict. The Japanese government removed South Korea from the "white list" for preferential trading in July 2019, as a response to alleged South Korean violations of United Nations prohibitions against exporting certain materials to North Korea.[4][5] It later officially argued that the conflict was caused by the South Korean government noncompliance with export controls and regulations to prevent resale of strategic goods, and ignoring the Japanese government's request to hold export control talks for three years.[6] However, the conflict was regarded as retaliation to the Supreme Court of South Korea's decisions regarding compensation by the South Korean government.[7][8][9][10] The South Korean government has also denied any claims of mismanagement by the Japanese government.[5]

Several external observers have stated that the current tensions are a reflection of or are responses to various historical grievances from Japan's occupation of the Korean peninsula[5][11][12][9][4][13] and from recent regional flash points, such as relations with North Korea and China.[11][14]

The trade dispute had caused a significant deterioration in Japan–South Korea relations to the lowest point since the two countries normalized their diplomatic relations in 1965.[15][16]

Background edit

Main article: Japan–Korea disputes
Further information: Japan–South Korea relations, Economy of Japan, Economy of South Korea, and Korea under Japanese rule

Japan and South Korea are some of the world's largest economies, ranking 3rd and 10th, respectively, in terms of GDP. South Korea, the largest memory chip producer in the world, and Japan, the largest supplier of crucial materials in chip production, have so far served as the cradle for technological products such as smartphones and personal computers.

South Korea is home to Samsung Electronics and SK Hynix, companies that together produce two-thirds of the world's memory chips.[17] In Japan, 3 companies (JSR Corporation, Showa Denko, and Shin-Etsu Chemical) as well as Kanto Denka Kogyo, produce 90% of the world's Fluorinated polyimide and Photoresist, both of which are used for LCD and OLED displays, and 70% of Hydrogen Fluoride, used to make LSI, DRAM and NAND flash memory.[18][19] South Korea imports 94% of Fluorinated polyimide, 92% of Photoresists, and 44% of Hydrogen Fluoride from Japan, according to data from Korea International Trade Association.[20][note 1] On the other hand, Japan had export dependency on South Korea for these three materials at 22.5%, 11.6%, and 85.9%, respectively.[22]

The two countries established diplomatic relations in December 1965, following the signing of the normalization treaty in June of the same year when Japan recognized South Korea as the only legitimate government of the whole Korean Peninsula. As the relations continued to develop over the next few decades, both countries became two of the strongest allies of the United States in Asia, to counter the influence of China, Russia, and North Korea.[23] However, their relations have been negatively impacted by many ongoing disputes, such as the Liancourt Rocks dispute (known as Dokdo in Korean and Takeshima in Japanese) and differing interpretations on Imperial Japan's treatment of the people in then-colonial Korea.

South Korean and Japanese membership of "Multilateral Export Control Regime" edit

There are different explanations behind Japanese and South Korean membership in the Multilateral export control regime, a US-led informal import and export control system of strategic goods created in the Cold War between the United States and its allies, of which its aim was originally to prevent the export of weapons or supplies to communist countries and helped to establish "white lists" for preferred trading nations.[24]

At the US's request, South Korea began to establish its export control system signed in September 1987 with the US and a Memorandum of Understanding on Technical Data Protection was concluded.[25][26] To further integrate itself, laws such as the COCOM (Coordinating Committee for Multilateral Export Controls) were passed, and a system to regulate the import of strategic materials through certificates of acceptance and customs was created in July 1990. In September 2004, South Korea's export and import control system was implemented mainly by the Foreign Trade Act (Article 21), the Enforcement Decree of the same Act (Article 39–45), and the Strategic Commodity Export-Import Notice (public notice by the Ministry of Industry and Resources).[27] In effect, South Korea had signed a treaty with the United States and made laws for it to take domestic effect. It is from this system that a mechanisms such as "white lists" resulted.[27]

However, Hosokawa Masahiko, a professor at Mesei University in Japan, claims that the Japanese Ministry of International Trade and Industry (MITI) made approaches to other member countries and visited South Korea to support their undertaking to implement an export control system in the 1990s, from which South Korea became a member of the multilateral export control regime in 1996 (which later included the trade of missiles in 2001). This relationship caused METI, after Japanese 2001 Central Government Reform, to grant the status of "white country" to give special preferential measures in 2004.[28][29] He also argues that export controls for national security has been considered as the security exception in Japan and US[30] based on an agreement on "security exceptions" in Article 21, as published by the World Trade Organization (WTO).[31]

Comfort women edit

Main article: Comfort women
 
A comfort women rally in front of the Japanese Embassy in Seoul demanding compensation from the Japanese government in August 2011

Although the Japanese Ministry of Economy, Trade and Industry (METI) officially cites "undermined trust in the field of export control" as its reason to remove South Korea from the white list,[6] many external observers argued that current tensions more broadly reflect historical grievances between Japan and South Korea, including comfort women.[11][9][12][4] During Japanese colonial rule in the Korean Peninsula, many Koreans, both North and South, were forced to work at dozens of Japanese companies, often in brutal conditions.[32] During World War II between 1939 and 1945, the Empire of Japan conscripted 5.4 million Koreans, 670,000 of them were sent to mainland Japan as forced labor and as "comfort women", or women and girls forced into sexual slavery in occupied countries and territories before and during World War II, or who participated in the earlier program of voluntary prostitution.[33][34][35] After the two countries normalized their relations in 1965, surviving comfort women have demanded for compensation and an apology from the Japanese government, as well as individual claims for compensation.[36] Opponents of the 1965 treaty argue it needs to be revisited because it was signed by then-President Park Chung-hee, who acted against public sentiment.[37]

In 1995, Japan said that compensation for former comfort women was settled in the 1965 agreement, and created the Asian Women's Fund. The fund was set up in 1994 and compensated former comfort women from formerly-occupied nations, including South Korea, through donations by private individuals.[38] This compensation was generally accepted outside of Korea, but in South Korea, many people refused to accept it, saying that it was not money contributed by the Japanese government.[39]

On December 28, 2015, after U.S. President Barack Obama pressured South Korean President Park Geun-hye and Japanese Prime Minister Shinzō Abe, the two countries signed an agreement regarding settling the issue of "comfort women" during World War II, which was deemed final and irreversible if Japan fulfilled its responsibilities.[40][41] Japan agreed to pay ¥1 billion (₩9.7 billion; $8.3 million) to a fund supporting surviving victims while South Korea agreed to refrain from criticizing Japan regarding the issue.[42]

On May 11, 2017, South Korean President Moon Jae-in announced the agreement would not be enacted in its current stage and that negotiations for a deal between Japan and South Korea over the comfort women dispute had to start over.[43] Part of the justification for this was the lack of consultation from former comfort women and their supporters.[44] Moon put forward a new proposal for a joint compensation fund that both South Korean and Japanese companies would contribute to, but Tokyo has rejected this.[45]

In, January 2018, Moon called the 2015 agreement "undeniable, but called on Japan to accept the truth and make a heartfelt apology to victims."[46] In March 2018, the Japanese government argued that the 2015 Japan–South Korea agreement confirmed that this issue was finally and irreversibly resolved and lodged a strong protest to South Korea through diplomatic channels, stating that "such a statement goes against the agreement and is therefore completely unacceptable and extremely regrettable."[47][48] In November 2018, Moon Jae-in's administration shut down the Japanese-funded comfort women foundation which was launched in July 2016 to finance the agreement's controversial settlement, calling it a "political agreement that excludes victims and the public" and essentially voiding the 2015 agreement; however, Moon has not formally abandoned the agreement, stating that it was inappropriate to consider the deal "null and void".[49][50][44] The decision sparked protest by Shinzō Abe's government, who warned of risking damaging ties between the two countries.[51]

Court decisions regarding compensation edit

The two countries' bilateral relations then declined in late 2018, after the Supreme Court of South Korea and other high courts made a decision that ordered several Japanese companies, including Mitsubishi Heavy Industries, Nachi-Fujikoshi and Nippon Steel, to make compensations to the families of South Koreans who were unfairly treated and illegally forced to supply labor for World War II war efforts, such as building ships and aircraft for Japan without pay at a Mitsubishi shipyard and machine tool factory in Nagoya in 1944. The Japanese government protested these decisions, claiming that the issue was settled under the 1965 treaty of Normalization of Diplomatic relations between the two countries and stating that it would be taking "necessary measures" against South Korea.[52]

 
Korean Wikisource has original text related to this article:
Supreme Court decision regarding compensation of World War II victims against the Japanese companies (October 30, 2018)

On October 30, the Supreme Court rejected appeals to overturn a 2013 order requiring Nippon Steel to pay compensation to four South Korean workers who underwent forced labor which occurred during the war and ordered to pay each of the workers an individual sum of 100 million won (US$87,700).[53] A month later, on November 30, 2018, Gwangju High Court rejected an appeal by Mitsubishi Heavy Industries regarding 2013 appeals of court decision that the company must pay 80 million won ($71,000) to compensate each of the 23 plaintiffs and ordered to compensate the remaining 5 South Korean elderly people who forced to work in a Japanese company where the company in a separated ruling by Supreme Court on November 28 ordered to pay 150 million won ($134,000) to each of 28 plaintiffs, elderly people which is still alive or their families.[54][55] On January 18, 2019, Seoul High Court dismissed Nachi-Fujikoshi appeal of October 2014 Seoul Central District Court decision against an order that it must pay each 17 South Korean women 80 million to 100 million won (US$69,000 to US$89,000)[56] because the victims were "tricked" into forced labor in harsh conditions.[57][58][59]

On January 8, 2019, Daegu District Court approved a request by plaintiff to seizure of 81,075 shares held by Nippon Steel in POSCO-Nippon Steel RHF Joint Venture (PNR), a South Korea-based joint venture with POSCO, which is part of 2.34 million shares worth about 11 billion won ($9.78 million) owned by the Japanese steelmaker.[60] These decision was followed in March 2019 by same decision for seizure of Mitsubishi Heavy Industries trademark and patent assets by Daejeon District Court.[61]

On June 19, South Korea proposed to join funds with Japan to give compensation to forced labor victims but Japan rejected the offer.[62] Instead, Japan called for the establishment of an arbitration panel in accordance with the rules of the 1965 Japan-Korea Normalization Agreement. The panel would consist of one member each from third-party countries.[62]

Chronology edit

 
From left to right: Kang Kyung-wha, Mike Pompeo, and Tarō Kōno in Bangkok, at a trilateral meeting in August 2019

2019 edit

July 2019 edit

On July 1, Japanese Ministry of Economy, Trade and Industry (METI) applied updated licensing policies and procedures on the export and transfer of controlled items and their relevant technologies to South Korea.[6] These decisions, effective on July 4, put updated licensing policies on the industry, including a licensing process, forcing exporters to seek approval for each shipment up to 90 days.[63] Deputy Chief Cabinet Secretary Yasutoshi Nishimura has said that the curbs were due to security concerns.[64] The South Korean government has replied that the Japanese government is showing "economic retaliation" towards a matter that was decided by Supreme Court of South Korea, whose decisions cannot be altered by the Government of South Korea.[65]

In the press release regarding the export control and regulation, Japanese METI begins the process for removing South Korea from "White Countries", and required exporters in Japan to have individual export licenses for certain items, fluorinated polyimide, resist, and Hydrogen Fluoride, and their relevant technologies.[6] As METI did not give specific examples,[66] some Japanese media doubted that South Korea may have passed on restricted chemicals to the United Arab Emirates, Iran, or North Korea.[67] For example, a Japanese broadcaster Fuji TV and a Japanese newspaper Sankei Shimbun on July 10 reported that over the past four years (from 2015 to March 2019), South Korea found 156 strategic goods with potential weapon being secretly exported.[68] The list included ingredients for the nerve agent VX, used in the assassination of Kim Jong-Nam, the half-brother of North Korean leader Kim Jong-un, and hydrofluoric acid that had been smuggled to the United Arab Emirates and elsewhere.[69]

The South Korean government denied Japanese media's allegations. South Korean Trade, Industry and Energy Minister Sung Yun-mo stated that an emergency inspection on companies importing chemicals from Japan came up with no evidence those chemicals were being exported to North Korea, and that Japan's claims were groundless and should be stopped.[70] A Bareunmirae Party lawmaker Ha Tae-kyung made a further claims that Japanese authorities uncovered suspected smuggling of strategic items by Japanese companies to North Korea, citing data from the Center for Information on Security Trade Controls (CISTEC), a nongovernmental organization that tracks data on export controls.[71] Others view Japan's trade restrictions as partially being an excuse to retaliate against suspected intellectual property infringement by South Korean companies.[72]

Then South Korea, on behalf of the Ministry of Foreign Affairs and Ministry of Trade, Industry and Energy announced a plan to withdraw Japan's export restrictions during the meeting of the WTO Council on Trade in Goods in Geneva on July 8–9.[73]

Samsung Electronics vice chairman Lee Jae-yong traveled to Japan on July 7 to seek support from Japanese suppliers.[74] He returned from Japan on the 12th and reportedly secured resources needed for its production for long term.[75][76]

On July 12, representatives from Japan and South Korea held a meeting in Tokyo to discuss the worsening diplomatic relations between the two countries, but failed to resolve the issue.[77] A week later, as the Ministry of Trade, Industry and Energy of South Korea held a press conference on the administrative briefing held on July 12 and following exchanges of e-mails, and the press conference included some misinformation, METI disclosed the facts as press release.[78]

On July 24, the two countries took the issue over high-tech exports to WTO in Geneva, where they sent senior officials. Japan sent the director-general of economic affairs of Foreign Ministry, Shingo Yamagami. South Korea also sent deputy trade minister Kim Seung-ho.[79][80] On the day, the minister of the Ministry of Trade, Industry and Energy (MOTIE) of South Korea (ROK) made claims about their catch-all control, the policy dialog between Japan and South Korea, the South Korea's export control system, and possible global impact on free trade caused by Japan's update. Responding to this, METI clarified Japan's position on the South Korea's catch-all system which South Korea claims as appropriate for both conventional weapons and weapons of mass destruction, and explained the background to the current lack of bilateral policy dialog.[78]

August 2019 edit

 
Poster invitation to buy Korean products in Seoul

On August 2, Japanese cabinet approved the removal of South Korea from the "whitelist":[81] the countries that have the most-favored status as trade partners, consisting of 27 countries. The loss of "most-favored trade status" will apply to dozens more products on a list of items that potentially could be converted to weapons.[82] The decision came after public comments from 40,000 people, which to more than 90% are in favor. The Trade Minister Hiroshige Sekō said that the trade measure was not intended to hurt bilateral ties of both countries.[83] Then, the government officially promulgates the revision bill that excluded the country from the list of preferential trade status and published in KANPO, Japan's official gazette on August 7.[84][85] However, the bill did not stipulate any additional items that Japan will apply restrictions on, aside from the three chip and display materials.[86] Japanese government decision to downgrade and remove South Korea from whitelist takes effect on August 28, 2019, 21 days after promulgation. With the new revision, South Korea falls to Group B under revised Japanese export control system.[87][note 2] That means the Japanese manufacturers must apply for approval for each technology-related contract for 1,120 strategic materials that will be exported to South Korea, rather than the simpler checks granted to preferential trade partners.[1]

South Korean foreign minister Kang Kyung-wha and her then Japanese counterpart Tarō Kōno clashed at the ASEAN Plus Three meeting in Bangkok, with Kang condemning the Japanese export control was "unilateral and arbitrary". But Kōno insist that the export control is fully compatible with WTO rules.[88][89]

On August 8, the Japanese government, at a news conference held by Seko, approved shipments of a key material used in making chip and displays to South Korea to ease tensions between the two countries.[90] The approval was granted on August 7, and according to South Korean Prime Minister Lee Nak-yeon, there was a material known as EUV photoresists, which is crucial for Samsung's advanced contact chipmaking production.[91] But Japan warned that if these three high-tech materials are found to be improperly used, the country will expand their strict checks of exports, including expanding application examination.[92] The same material were also approved by Japan on August 20.[93]

On August 12, South Korean government is taking measures to remove Japan from the country's own so-called "whitelist", consisted of 29 preferred trade partners as retaliation of Japan's move, which was delayed on August 8.[94][95] The decision takes effect on September 18 after the government complete its public opinion gathering process through government websites and emails from August 14 to September 3 which 91% of the opinions were in favor of revision.[96][97][98] Upon the revision takes effect, Japan's status has changed. Japan falls into the newly established group A-2 under Korea's export control system. As a member of group A-2, Japan will be treated the same as countries in group B with some exceptions.[99][100]

On August 28 in Japan, partial amendment to the export trade control order was enforced.[81] There was an announcement by the government of South Korea on the day. In response to the announcement, METI provided their notes as press release to deny South Korean views.[101]

On August 29, Japan approved the first export materials since South Korea's removal from the most-favored trade status. There is a shipment of a Hydrogen fluoride, whose the materials exported for the first time since Japan tightened its exports. The main recipient of the material is Samsung Electronics.[102] But Japan refused to confirm the export.[103]

September 2019 edit

On September 3, METI submitted opinions and questions regarding the plans of South Korea to revise the public notice of the exportation and importation of strategic items.[104]

South Korean Trade, Industry, and Energy Ministry announce to file a complaint with the WTO over Japanese tighter export controls and restrictions of three materials. The trade minister Yoo Myung-hee, told media on September 11 that she described the restrictions as a "discriminatory act directly targeting South Korea, and it was politically motivated".[105][106] Japanese Trade Minister Isshu Sugawara agree to hold talks with South Korea under WTO dispute settlement in a press conference on September 20.[107][108]

On September 26, newly appointed Japanese Foreign Minister Toshimitsu Motegi meet with South Korean Foreign Minister Kang Kyung-wha in New York City. The two countries fail to make a progress to resolve the bilateral issue, says that are "big disagreements" between the two countries, but agree to continue the dialog.[109][110]

October 2019 edit

South Korean Trade, Industry, and Energy Ministry issued a statement on October 1 that the Japanese government has not approved shipment of Hydrogen fluoride to the country even though 90 days have passed since a Japanese exporter submitted an application to export the materials.[111]

On October 11, Japan held consultations under the WTO Agreement in Geneva with the government of South Korea regarding Japan's update of licensing policies and procedures on exports to South Korea.[112][113] This is part of the WTO Dispute Settlement procedure under which South Korea requested bilateral talks. If it does not resolve the issue on 60 days, South Korea will request the WTO Dispute Settlement Body to establish a panel to rule on the issue.[105]

November 2019 edit

On November 19, the second round of bilateral consultation under the WTO Agreement was held. Japan pointed out that the allegation of WTO-inconsistency is completely baseless. And, Japan explained once again that export licenses are granted once items in concern are confirmed to be for civil use and no risk of diversion for military use exists, that Japan's measure is not an export ban, and no impact to supply chains has been found.[114] These talks fail to resolve the trade dispute between two countries.[115]

On November 22, South Korea decided to suspend WTO petition against Japan's export control.[116]

December 2019 edit

On December 4, Japanese METI held a Director-General level preparatory meeting for the 7th Japan-Korea Export Control Policy Dialogue with the Korean Ministry of Trade, Industry and Energy (MOTIE). During the preparatory meeting, both sides discussed details of the forthcoming policy dialogue including dates and agendas.[117]

On December 16, Japanese METI held the 7th Japan-Korea Export Control Policy Dialogue with Korean MOTIE. During the Dialogue, experts from the two sides exchanged views on circumstances and challenges regarding critical technology control and their export control systems. Both sides agreed to continue the Dialogue and communications to contribute to resolving issues of concern.[118]

2020 edit

January 2020 edit

Moon Jae-in said in new year's address, "In the face of Japan's export restrictions, business, labor, the Government and the people all joined forces to localize production of key materials, components and equipment. The whole nation came together to realize the goal of building a country that cannot be shaken. This task had been left undone for several decades; however, we made significant achievements in just half a year."[119]

February 2020 edit

On February 21, Japanese METI held a Director-General level preparatory meeting with Korean MOTIE. As a result of the meeting, both sides agreed to hold the 8th Japan-Korea Export Control Policy Dialogue on March 10.[120]

March 2020 edit

On March 6, Japanese METI and Korean MOTIE have agreed to hold the 8th Japan-Korea Export Control Policy Dialogue on March 10 via video conference system.[121] On March 10, Japanese METI and Korean MOTIE held the 8th Japan-Korea Export Control Dialogue. At the Dialogue, both sides updated and exchanged views on improvements in system and implementation of trade and sensitive technology transfers controls, to contribute to exploring resolution of issues of concern.[122]

June 2020 edit

On June 19, responding to the resumption of WTO dispute settlement process which was announced by South Korea, Minister of Economy, Trade and Industry Hiroshi Kajiyama mentioned that such a unilateral action is deeply regrettable as it would undermine agreements at the previous Japan-Korea Export Control Policy Dialogues where both sides agreed to explore resolution of issues of concern through dialogues and communications.[123] On June 30, after blocking South Korea's initial request for the establishment of WTO panel, Minister of Economy, Trade and Industry Kajiyama stated that he wants "South Korea to come back to the table and suspend the WTO process so that we [Japan and South Korea] can relaunch the Export Control Policy Dialogues".[124]

August 2020 edit

On August 19, Korean MOTIE eliminated antidumping duties on pneumatic valves from Japan. Through its examination at the request of Japan, the WTO Dispute Settlement Body had ruled that the South Korea's imposition of the antidumping duties was inconsistent with the Antidumping Agreement and had recommended the South Korea to make corrections.[125][126]

November 2020 edit

South Korea and Japan had signed the Regional Comprehensive Economic Partnership, a free-trade agreement between 15 countries in the Asia-Pacific region. As a multinational trade deal, the RCEP represents the first free-trade agreement between the two countries, as 83% of tariffs are eliminated.[127]

South Korea has made several overtures to Japan following Joe Biden's election in the 2020 US presidential election. On November 9, the head of the South Korean National Intelligence Service traveled to Tokyo as a presidential envoy. In mid-November, a seven-member delegation from the Korea-Japan Parliamentarians' Union headed by Kim Jin-pyo met with Suga and parliamentarian counterparts in Tokyo, and agreed to establish cooperation committees on the Tokyo Olympics, COVID-19 pandemic response, and sports and cultural exchange.

On November 23, 2020, President Moon Jae-in appointed Kang Chang-il as the new ambassador to Japan. The appointment of Kang reflects Moon's willingness to improve bilateral relations following Yoshihide Suga's appointment as Prime Minister.[128] Kang has pledged to make every effort to improve and normalize relations between South Korea and Japan. He has relayed Moon's statement that the two governments should prepare solutions to the pending problems through dialog and that they should cooperate where possible, including on the Tokyo Olympic Games.[129][130][131]

On November 30, WTO largely backed Japan in several claims in a ruling against South Korea's 16-year-old antidumping duties on Japanese stainless steel bars, though some aspects were ruled in favor of South Korea. South Korea has stated it would appeal the ruling, however the WTO's appeals body is currently paralyzed and unable to hear cases.[132][133]

Following his victory in the 2020 US presidential election, US President-elect Joe Biden has pledged to rebuild alliances and partnerships, including the conflict between Japan and South Korea.[44]

December 2020 edit

In a phone call following his inauguration in November, Japanese Prime Minister Suga Yoshihide and South Korean President Moon Jae-in agreed to strive to improve bilateral ties in earnest. Secretary-General of the Japan-Korea Parliamentarian's Union Kawamura Takeo visited Seoul in October to discuss possible ways to move forward with South Korean politicians.[134]

Moon Jae-in also expressed an interest in joining the CPTPP (of which Japan is already a member), following South Korea's membership in the RCEP in November. This is the first time Moon has publicly expressed an interest in doing so.[135][136]

2021 edit

In his New Year's speech, Moon Jae in said he will continue efforts to build a "future-oriented" relationship with Japan.[137] The South Korean government is also set to review whether to join the CPTPP (which includes Japan as one of its members) putting the matter among its 10 strategic goals for international economic policies.[138]

2023 edit

In early March, in an effort to improve ties with Japan, South Korea announced plans to compensate victims of forced labor under Japanese colonial rule by using public donations funded by private sector companies rather than seeking reparations from Japanese companies that were involved with the forced labor. The Japanese and United States government welcomed the development, while the announcement sparked backlash and protests in South Korea. Nevertheless, the new compensation plan warmed relations enough that both countries agreed to resume talks into resolving the trade dispute.[143]

 
Yoon Suk-yeol and Fumio Kishida in Tokyo, at a summit in March 2023

On March 16, South Korean President Yoon Suk-yeol visited Japan, a first time in 12 years for a South Korean leader, to resolve the trade dispute. Both Yoon Suk-yeol and Japanese Prime Minister Fumio Kishida pledged to resume regular visits and end the trade dispute by restoring each other onto their countries' respective whitelist.[144][145]

On March 21, South Korea President Yoon Suk-yeol announced he would restore Japan into the country's trade whitelist. South Korea additionally normalized the General Security of Military Information Agreement (GSOMIA) pact with Japan.[146][147]

On March 23, Japan's Ministry of Economy, Trade and Industry restored South Korea back into the country's trade whitelist. Simultaneously, South Korea withdrew their complaint against Japan from the World Trade Organization; both countries effectively ending their trade dispute.[148][149][150] However, Yoon's diplomacy with Japan has faced opposition from South Korean liberals and progressives.[151][152]

Reactions edit

South Korea edit

Government edit

The South Korean government's stance on the dispute is that Japan's export control is groundless and unfair. It argues that it has a sufficient catch-all control system and the lack of communication was on Japan's end. They further stated that Japan's export control is in violation of international law and will be both disruptive and harmful to both countries economies and the global market. The South Korean government urged Japan to withdraw its export control as they claim would damage their relationship further.[153][154]

Before whitelist removal edit

The South Korean government, led by the First Vice Foreign Minister Cho Sei-Young, summoned the Japanese ambassador to lodged the protest against the export curbs by Japan on July 1. The Trade, Industry and Energy Minister Sung Yun-Mo called Japan's move "deeply regrettable".[155]

Then, on July 10, President Moon Jae-in in a meeting with executives from the country's 30 conglomerates, urged Japan to "return to the principle of free trade that Japan has been pushing for" and said he would "take responsive measures" if South Korean companies were harmed by the new restrictions aimed by Japanese government.[156]

After whitelist removal edit

In response to Japan's removal of the country from the list, the government held emergency cabinet meeting on the same day as Japan's announcement (August 2) and broadcast live on television across the country. Moon warned Japan against the decisions. He warned that the country will "resolutely take corresponding measures".[157] He also said that "we will never again lose to Japan."[158]

The government announced to tighten its import quota on fishery and agricultural products from Fukushima, which was introduced due to concerns of radioactive contamination.[159]

On August 15, 74th anniversary of Korea's liberation from Japanese rule, President Moon delivered a speech, urged Japan to return to dialogue to ease the tensions. Moon also saying South Korea has "not dwelt on the past" and expressed hope that Japan will play a leading role together in facilitating peace and prosperity in East Asia.[160]

To reduce its reliance on Japanese Industries, the government announced a comprehensive research and development strategy. This includes a plan to spend 7.8 trillion won ($6.48 billion) in research and development for local materials, parts, and equipment over the next seven years.[161] The government also pledged to spend 5 trillion won ($4.12 billion) to increase its own capabilities in the development of key industrial materials. The massive R&D investment will take place starting in 2020 until 2022.[162]

South Korea propose a record budget about 513.5 trillion won ($423.7 billion) for 2020 to boost its slowing economy, represents a 9.3 percent hike from 2019 budget. A key centerpiece of the spending proposals is 24.1 trillion won ($19.9 billion) set aside for research and development (R&D) in 2020, which is up 17.3 percent from 2019, the highest in a decade.[163]

Regional governments edit

In response to Japanese trade restrictions to South Korea, regional governments across the country launched a boycott of Japanese products and exchange programs. The action includes the suspension of various activities such as public procurement and leasing of Japanese products, official business trips to Japan and "sisterhood" relationships with Japanese cities.[164]

On September 6, two regional legislative bodies, Seoul Metropolitan Council and Busan Metropolitan Council passed nonbinding ordinance labelling 284 Japanese companies including Mitsubishi Heavy Industries as "war criminal companies" to denounce the alleged use of forced labor by these companies. Under the ordinances, these Japanese companies are to be given the designation, with the mayors and other officials of the cities being requested not to purchase products from the companies in the future.[165][166] In the case of Busan, there is also a provision that stickers saying "product of a war crime company" be attached to products that have already been purchased.[167]

Political parties edit

The Liberty Korea Party, while calling on Japan to remove the export restriction, have also criticized President Moon's handling of the issue. Rep. Na Kyung-won claimed that Moon's administration have exacerbated the issue so much so that it has damaged Korea's relationship with the US to the point where US will not intervene.[168][169] The LKP called for the government to focus on finding a diplomatic solution with Japan rather than a take hard-line stance.[170]

All political parties in South Korea have voiced the need to restrict Japanese imports. So far, they have announced plans to create a "Pan-national" emergency body in response to the situation.[171] South Korea's major political parties have agreed to establish a bipartisan body on July 31, 2019.[172]

Others edit

 
"Boycott Japan" banner in Mokpo
See also: 2019 boycott of Japanese products in South Korea

In response to Japan's move, on July 5, a group of a South Koreans took to the street to announce a boycott of Japanese products.[173] Since then, many South Koreans decided to boycott all Japanese products and imports, including food and beverages, cosmetics, vehicles, and clothes. Some also canceled scheduled trips to Japan.[174][175]

On Blue House presidential petition website in July 2019, nearly 27,000 people signed a petition calling for a boycott of Japanese products and an end to tourism to Japan. According to the petition website, if 200,000 people sign the petition within a month, the government is obligated to respond to the matter officially.[176]

A website called NoNoJapan.com, created by Kim Byung-kyu was launched on July 11 to provide information about Japanese products and services that Koreans boycotted and alternative Korean products to these Japanese one.[177] As more Koreans join the boycott, the website experienced a server crash due to a spike in traffic.[177]

About 5,000 people, including members of 596 civil groups, held a candlelight vigil on July 27, in Gwanghwamun Plaza and in front of the Japanese embassy to criticize Prime Minister Shinzo Abe for imposing trade restrictions.[178] They also held another candlelight vigil in front of the Japanese Embassy in Seoul, on August 3, with more than 15,000 people according to organizer, participating in the rally.[179] A similar protest was held on August 10, now with a declaration was signed by 1,000 students. The protesters also demand South Korea's removal from GSOMIA, which is a military information-sharing pact with Japan. The number of participants was similar to second rally.[180]

They also held large scale candlelight vigil rally at Gwanghwamun Plaza, Chosun Ilbo headquarters, and the Japanese Embassy on August 15, which is the 74th anniversary of the liberation of Korea from Japanese colonial rule. They estimate that 30,000 to 100,000 people participate in the rally.[181] In contrast, conservative groups also held simultaneous rally, called for pushback of anti-Japanese sentiment.[182][183]

There are two people that set himself in fire to protest Japanese government decision, which held in front of the Japanese Embassy in Seoul. The first incidents was occurred on July 19, at 3:24 am local time, which a men died after the incident,[184] and second incident occurred on August 1 by a 72-year-old man, which is in critical condition.[185][186]

The boycott of Japanese products spread into the cultural sector, with release of latest Doraemon film series Doraemon: Nobita's Chronicle of the Moon Exploration, which is originally scheduled on August 14, had been postponed indefinitely even after the film's Korean dubbing was finished. In July, further Japanese animation films, Butt Detective the Movie and Detective Conan: The Fist of Blue Sapphire, were subjected to unfavorable online reviews on internet and sold only 134,000 and 200,000 tickets respectively.[187][188]

A poll conducted by Realmeter involving 504 adults reveal that, as of July 24, 62.8% of respondents say they are boycotting Japanese goods.[189][190] Another poll conducted by Gallup Korea involving 1,005 adults found that only 12% held favorable views on Japan, while 77% have negative views. Likewise the poll found that 61% of respondents blame the Japanese government for the conflict, while 17% hold the South Korean government responsible.[191]

There were calls by many South Korean lawmakers to restraint or stopping their Investment in Japanese companies involved in their war crime against the many Korean slave labor. Korea Investing Corporation and National Pension Service faced pressure to do so.[192][193] The pension fund then started to reviewing 1.23 trillion won ($1.1 billion) worth of investment of Japanese companies whether the companies, as many as 75 companies should be dropped if proved to companies that linked to Japanese war efforts in World War II.[194]

Some South Korean media have expressed concerns about the trade dispute; such as the large dependency on Japanese materials, the dispute prolonging, doubts about US intervention, and the government having few options to tackle the dispute.[195][196][197][198] The Korea Times editorial have criticized the Blue House's response to the issue.[199]

Japan edit

Government edit

The Japanese government's stance is based on global export control regime to prevent resale of strategic goods,[200] and it is a case of updating implementation due to significantly undermined trust with South Korea.[6][201]

They argue that, while South Korea's catch-all control covers WMD-related goods, it has never clarified whether it covers conventional weapons as well. The Japanese government also claimed that South Korea has repeatedly postponed policy dialogs between the two nations. Japan also maintains that South Korea will simply be treated as a normal trade partner in same other Asian countries and will not get incentive measures as a "white country", the change does not break international law and that it is not an embargo.[78][202]

In response to South Korea's move to remove Japan from the list of most favored trade partners, the Trade Minister Hiroshige Seko said on Twitter on August 13 that South Korea failed to show how Japan had purportedly fallen short of international export control measures.[203] He also said Japan does not understand why it has been removed from neighboring country's list of trusted trade partners.[204]

Others edit

Soon after the METI's press release, a professor who had been in charge of export control at MITI started to provide corrections and commentaries on this issue in media, as there had been many misunderstandings in media provided by nonexpert editors and commentators.[28][205][206][30]

The Japanese government's decision to update implementation of export control prompted criticism from many people, a group of 75 people including writer Satoshi Kamata, economic analyst Katsuto Uchihashi and Akira Kawasaki, signed an online petition that called both countries to hold a dialog to resolve the conflict.[207]

According to a survey conducted by Asahi Shimbun on July 15, 56 percent of respondents support the government's export control while 21 percent did not. Among those who support Prime Minister Shinzō Abe, 74 percent of respondents support it. Among those who disapprove of Shinzō Abe, 43% say they support the export control while 36% say they're against it.[208]

Despite the majority of Japanese supporting the government's actions, on August 4 there was a group of 200 Japanese and Korean demonstrators who protested Abe's government in the streets of Shinjuku. They called Abe to stop the export curbs to South Korea.[209] The amount of protesters increased on August 8. There were calls by the protestors for Abe to resign as the Prime Minister.[210][211] The organizer of the protests enlisted new participants through many social media platforms.[211]

In the midst of the trade dispute between the two countries, Japanese author Hirokazu Kore-eda urged Japanese and Korean artists to show support for one another to overcome their countries' political situation.[212]

In July 2020, after the resumption of WTO dispute settlement process which was announced by South Korea, former diplomat Kunihiko Miyake provided diplomatic commentary on this dispute started in July 2019, summarizing that the disputes were tragedies aggravated by optimistic trade officials in Tokyo who did not anticipate that the rest of the world would misunderstand and consider the measures another example of a nation using trade measures to coerce other nations over unrelated issues.[213]

Other countries and viewpoints edit

Many countries showed concern to the actions of the two countries hurting the global tech industry. Tech companies in the United States issued a letter to both countries urging the two nations to negotiate a resolution to the dispute.[214]

Five of America's largest tech industry groups including the Semiconductor Industry Association, which Qualcomm and Intel Corporation as members, among its other companies, issued a joint letter to Japanese Economy Minister Hiroshige Sekō and South Korean Minister of Trade Yoo Myung-hee. They asked both sides to refrain from escalating their conflict.[215]

Chinese Foreign Minister Wang Yi urged Japan and South Korea to show goodwill and resolve their trade spat through negotiations and dialog.[216]

The German newspaper Süddeutsche Zeitung published an article criticizing the Japanese government for the trade dispute. SZ criticized the Japanese government's historical revisionism as the cause of the dispute between South Korea and Japan, pointing out that trade sanctions against South Korea are unfair.[217][opinion]

U.S. President Donald Trump voiced concern about the worsening ties between Japan and South Korea. He said on August 9 that trade and history dispute put the country (United States) in a "very difficult position". He urged the two countries to "get along".[218]

Some observers have pointed out that the dispute may have been exacerbated by both of the countries' leaders to drum up political support. During the beginning of the trade dispute Prime Minister Shinzō Abe's ruling Liberal Democratic Party were gearing up for Upper House election on July 21. At the same time, President Moon Jae-in faced criticism for his economic policy and lack of progress in relationship with North Korea. Observers noted that both leaders are unlikely to back down from the dispute due to political pressure.[219][220][221][199][222]

Many analysts and experts have viewpoints about the trade dispute as well. Political analyst Paul Triolo, who also practice head of geo-technology at Eurasia Group, told CNBC that since Japan and South Korea are U.S. allies, the United States will likely be involved in mediating the two countries in addition to China because from U.S. perspective, this is a "lose–lose confrontation", which could also inadvertently benefit China. On the other hand, Waqas Adenwala, Asia analyst at the Economist Intelligence Unit said it may be "awkward" for China to mediate in this dispute, as both South Korea and China were victims of Japan's invasion and brutal killings during World War II.[223]

Other analyst and experts, such as Kim Hyun-Chul, an expert on Japanese enterprise at Seoul National University, told ABC News unlike trade of finished goods, high-tech industry goods that are sourced globally are interdependent. Countries that rely on South Korea's semiconductors such as the United States, China and even Japan will all be adversely affected, causing a domino effect on the global supply chain in computer and smartphone industries. Meanwhile, Rajiv Biswas, Asia-Pacific chief economist at IHS Markit, said U.S. electronics companies, many of which have large production hubs in both the U.S. and China, are vulnerable to supply shortages of South Korean memory chips, given the importance of South Korea as a supplier of chips not only hardware such as mobile phones and electronic products but also data processing programs.[224]

Business leaders edit

On the annual conference of the Korea-Japan Economic Association in Seoul, 300 business leaders from the two countries have urged both governments to find a diplomatic solution for the trade disputes.[225]

International organization edit

 
The WTO headquarters in Geneva, Switzerland, where South Korea filed a complaint

On July 14, 2019, at the request of South Korea, the World Trade Organization (WTO) agreed to formally discuss at its General Council meeting about Japan's semiconductors export curbs to South Korea.[226] On July 24, South Korea's delegation brought the dispute to the General Council meeting, and Japanese delegation told that the South Korea's complaints are not acceptable,[227] and other WTO members preferred not to get involved in the dispute.[228]

In June 2020, the U.S. backed Japan's invocation of the WTO national security exception in a dispute with South Korea over semiconductor materials.[229][230]

Efforts to resolve the dispute edit

China–Japan–South Korea meeting in Beijing edit

On August 21, the two countries involved in the trade war, and China, involved in a different trade war with the United States, held a trilateral meeting in Beijing. In that meeting, Japan and South Korea agreed to discuss efforts to resolve the conflict over compensating Korean forced laborers that has escalated into a trade war. The then Foreign Minister, now Minister of Defense, Tarō Kōno said that the two countries shared the view on the need to resolve the dispute.[231] But South Korea's Foreign Minister said that South Korea hopes that the country will stick to "free and fair" trade for prosperity in the region.[232]

Prime Ministers and presidents meeting edit

Aside from bilateral negotiations in WTO, the two countries hold a bilateral talks to resolve the problem. The first was on October 24, when the Prime Minister Lee Nak-yeon met with his counterpart Shinzō Abe in Tokyo.[233] The second was on November 4 in ASEAN summit in Bangkok where Moon Jae-in held an 11-minute conversation with the Japanese Prime Minister.[234] Photos of the meeting were taken by Chung Eui-yong, director of the South Korean National Security office, and published without the approval of the Japanese side.[235]

Effects edit

Financial markets edit

The Japanese government decision to revoke preferred trade partner status for South Korea rattle global stock markets, aside from Trump tweet about tariffs on Chinese products, especially in Japan and South Korea.

On August 2, days which occur the removal of South Korea from the list, Nikkei 225, Japanese main stock indices, fell 2.11% and South Korea's KOSPI down 0.95%, a 7-month low.[236] Two index then down sharply on August 5, with Nikkei 225 down 1.74% to 20,720 and Kospi down 2.56% to close at lowest level since 2016 at 1,946.98. KOSDAQ, which consisted tech-heavy and small and middle-cap stocks, plunged more than 7 percent to trigger trading halt. For the first time this occurred since June 24, 2016.[237]

In the currency markets, South Korean won fell 9.50 won against US Dollar to closed at 1,198.00, lowest level since January 9, 2017.[238] Then the currency plunged to more than 3-year low against the Dollar at 1,215.35 won on August 5, lowest level since June 24, 2016, and sharpest daily loss since August 2016.[239][240]

Meanwhile, many global financial markets plunge amid the decision and many stock markets take the selloff, with Nasdaq fell 1.32%, Dow Jones fell 0.37%, and S&P 500 down 0.73%. Also in other stock markets, for example, FTSE 100, DAX, and CAC 40 plunged 2.34%, 3.11%, and 3.57% respectively.[citation needed] On August 5, the index took the one of largest daily loss in 2019, with Dow Jones down 767 points (2.98%), S&P 500 down nearly 3% and Nasdaq down 3.5%.[citation needed] Dow Jones in particular, down as much as 961.63 points.

Economy edit

The trade dispute (along with the China–United States trade war) is predicted to have a negative impact on both Japan and South Korea's economy. Japan's growth percentage was lowered for the second quarter of 2019 and the trade dispute with South Korea is expected to exacerbate the slowdown.[241] Several financial services companies have lowered their forecast on South Korea's 2019 economic growth to around two percent or lower.[242][243][244] The Bank of Korea has lowered South Korea's economic growth from 2.5% to 2.2%. In response to the economic forecast, they have also lowered interest rate from 1.75% to 1.5% on July 18, 2019.[245] It further cut its rates to 1.25% on October 15.[246]

Moody's Investors Service, in a "Global Macro Outlook 2019–20" report released on August 26, revised down forecast economic growth for both South Korea and Japan. For South Korea, the global ratings agency lowered economic growth forecast from 2.1% to 2.0% in 2019 and 2.1% in 2020 to reflect the fallout from trade dispute with Japan. the agency said the trade dispute "undermines Korea's near-term growth prospects".[247] For Japan, the agency revised down economic growth forecast to 0.7% in 2019 and 0.4% in 2020. Moody's cites that Korea's boycott movement against Japanese goods and services may dent sales. But it saw trade in intermediate goods – including those covered by the export curbs and also more correlated to the global economic downturn – as "posing a larger threat to the Japanese economy."[248]

Amid the trade dispute with Japan, South Korean consumer sentiment fall to 31-month low in August. According to data from Bank of Korea, the composite consumer sentiment index down 3.4 points to 92.5 from 95.9 in July.[249] It is the lowest level since January 2017, a month after then-president Park Geun-hye was impeached.[250] The July consumer sentiment index also down to 95.9, 1.6 points lower than in June, where it stood at 97.5.[251]

The World Trade Organization (WTO) in October 2019, cuts the forecast of volume of merchandise trade growth to 1.2% in 2019 and 2.7% in 2020, down from previous forecasted of 2.6% and 3% respectively. WTO cites this trade dispute, along with the China–U.S trade war, Brexit, and others, pose "the biggest downside risk to the forecast".[252]

The International Monetary Fund (IMF) downgraded the economic forecast for many Asian economies because deterioration of relationship between South Korea and Japan. Asian economy could grow 5% in 2019 and 5.1% in 2020. South Korean economic growth could fall to 2% in 2019 and 2.2% in 2020.[253]

Boycott on Japan edit

 
Logo of "NO, BOYCOTT JAPAN", which calls on South Korean citizens to boycott Japanese goods and services. The red circle represents the flag of Japan, commonly known as the Hinomaru. The phrase translates to "Will not go, will not buy!".

In South Korea, boycott movement on Japanese products and services was agitated and affected Japanese brands and tourism to Japan.

Japanese brands edit

 
A Uniqlo store in South Korea, 2015. Uniqlo is one of many Japanese brands affected by the South Korean boycott.

On July 29, 2019, a Korean credit card company reported that credit card sales from Muji fell by 33.4%, ABC Mart sales fell by 11.4% and DHC Corporation fell by 55.3%.[254] Similarly, credit card spending from South Koreans in Japan have also declined.[citation needed]

One of the companies hardest-hit by boycott was Fast Retailing, the company that own Uniqlo. Uniqlo sales dropped by 40% and the company announced it close its Jongno 3-ga store in central Seoul.[255] Analysts such as Peter Boardman warns that despite Fast Retailing post record profits, but the company could see many uncertainty because sales in South Korea account for 8% of Uniqlo sales worldwide.[256]

Many Japanese automakers suffering steep fall in July and August. On September 4, according to data from Korea Automobile Importers & Distributors Association (KAIDA), the combined sales of Japanese cars stood at 1,398 units in August, more than halving from a year earlier. By brand, Toyota saw its August sales plunging 59.1 percent on-year to 542 units, while Honda suffered an 80.9 percent on-year sales drop to 138 units and Nissan's car sales down 87.4 percent on-year to 57 units.[257] The Japanese-brand automakers also suffering slump in July, with Toyota sales down 32% from the year earlier and Honda car sales tumbled 33.5% year-on-year. Lexus, South Korea's third-most imported car brand after Mercedes-Benz and BMW, saw sales down 24.6% from the previous month, although that was still up 33% from the previous year, according to data from KAIDA on August 5.[258][259]

Preliminary data from Korea Customs Service in September said imports of Japanese beer for the month of August 2019 stood at US$223,000, down 97% from $7.57 million a year earlier.[260][261]

In May 2020, Nissan announced that it will withdraw from South Korea by the end of 2020.[262]

Tourism edit

 
South Korean tourists to Japan

The number of South Korean tourists visiting Japan fell 48% in August to 308,700, the lowest number since May 2016, according to Japan National Tourism Organization (JNTO). However a total number of inbound visitors decreased slightly by 2.2% to 2,520,100 because visitors from other countries increased significantly.[263] Moreover, a surplus in the travel balance was an August record because the average spending increased as a result of the decrease of Korean visitors whose average spending per visitor is less than a half of other countries.[264][265][266] On October 16, JNTO reported that the number of South Korean tourists visiting Japan fell 58% in September to 201,200. However a total number of inbound visitors increased 5.2% to 2,272,900.[263] The total spending of inbound visitors from July to September increased 9.0% despite the decrease of Korean visitors.[267]

Some South Korean airlines announced they will reduce flights or suspend direct routes between major Japanese and South Korean cities.[268] For example, Korean Air, the South Korea's largest airline, suspended its Busan-Osaka route on September 16, and routes between Jeju and Narita and between Jeju and Osaka-Kansai from November 1. The airline also temporarily suspended some of its other routes: Incheon-Komatsu and Incheon-Kagoshima both were suspended from September 29 to November 16, and Incheon-Asahikawa suspended from September 26 to October 26.[269] Air Seoul, an Asiana Airlines subsidiary, suspended flights from Incheon to Toyama on September 16 and from Incheon to Kumamoto and Ube from October 27.[270]

As the number of passengers traveling between the two countries is plummeting, Airfares from Japan to South Korea and elsewhere in many airlines dropped to less than $10. CNN reported that it costs as little as 10,000 won ($8.38) to fly one-way from Seoul to Fukuoka on Eastar Jet, and only 1,000 Japanese yen ($9.35) the other way.[271] If it include tax and fuel surcharges, the same route costs 7,590 yen ($71).[272]

GSOMIA termination intention and renewal announcement edit

As retaliation against Japan's decision to restrict export of high-tech materials and remove of South Korea from its export "white list," South Korea decided on the termination of the General Security of Military Information Agreement (GSOMIA). The General Security of Military Information Agreement (GSOMIA) is an agreement signed in November 2016 by South Korea and Japan to share sensitive information about threats from North Korea.[273][better source needed] According to Article 21 of the agreement, the GSOMIA will automatically be renewed for a year unless one of two countries announce a termination notice 90 days prior to the extension of the agreement.

Deputy of Blue House national security office, Kim You-geun, announced on August 22 that South Korea decided to give Japan the required 90-day notice to terminate the military intelligence sharing pact.[274][275] According to South Korea, Japan did not meet Seoul's "national interests" to maintain the deal. They also stated that Tokyo has failed to communicate a clear explanation for placing controls on certain exports to South Korea.[276] The decisions were announced after hours-long debate in National Security Command (NSC).[277] On the other hand, South Korean Foreign Ministry added that the decision to terminate the military-sharing pact was due to trust issue between the two countries.[278] GSOMIA initially set to expire on November 23, 2019, but South Korea decide to reverse decision to continue the agreement on November 22.[279]

Concerns and controversies edit

Anti-Japanese banner in Jung-gu edit

Main article: 2019 boycott of Japanese products in South Korea

On August 6, 2019, 1,000 anti-Japan banners were put up in downtown Seoul as local workers began hanging the banners from the streets of Jung-gu. Days before, on August 5 the district office, which headed by Seo Yang-ho, announced the plan to set the banner ahead of National Liberation day on August 15. But the banner was sparked widespread anger by South Koreans who felt uncomfortable with the banners, as there was a widespread consensus that the anti-Japan movement is to be done by the civilians, not by the government authorities as this action might harm the motivation of anti-Japan movements and undermine the negotiation capability of the government. Then, the district head apologized for the situations and reversed his decision.[280] A Cheong Wa Dae online petition website requesting to bring down the "No Japan" banners, had collected more than 20,000 signatures.[281]

Pro-Japanese praising video edit

On August 7, 2019, Chairman of Kolmar Korea Yoon Dong-han played a video by a YouTuber named Leeseob TV praising Shinzo Abe and criticizing the Moon Jae-In administration. The video included vulgar language and comments such as "Abe is definitely a great leader and President Moon Jae-in should be thankful for not getting punched by Abe in the face". This video sparked criticism against the chairman and prompt the company to issue the official statement regarding the video on August 9.[282] But the online communities still anger and started to boycott the company's products. The backlash prompt the chairman to issue public apology on August 11 and the chairman was resign after he apologized to 700 employees of the company.[283] Shares of Kolmar Korea fell 6.2% after the official statement from the company.[284]

DHC TV anti-Korean broadcast edit

Starting on August 10, DHC Television, a subsidiary of the Japanese cosmetic manufacturer DHC Corporation, made inflammatory comments about Korea and its history. This sparked anger among South Koreans and prompted DHC Korea to issue an apology on August 13. Korean consumers were urged to stop purchasing DHC's products.[285]

See also edit

Notes edit

  1. ^ According to data from January to May 2019, South Korea imports 93.7% of Fluorinated polyimide, 91.9% of Photoresist and 43.9% of Hydrogen Fluoride from Japan. There was a significant decline in Hydrogen fluoride imports since 2010, at which point South Korea imported 72.2% from Japan. Despite Fluorinated polyimide and Photoresist also having a noticeable decline since 2010 at 97.7% and 95.5%, respectively, the dependency on Japanese industries for these materials are still high,[21] making South Korea still vulnerable to export restrictions from Japan.[failed verification]
  2. ^ From August 2019, the Japanese Ministry of Economy, Trade and Industry renamed the "Preferred Trade Partner List Countries" or "Whitelist Countries" to Group A and nonwhitelist countries divided into Group B, C, and D and recategorized these countries to reflect their actual statuses against the Japanese export control system. Newly-renamed Group A includes 21 European Union member states, Australia and New Zealand, as well as Argentina, Canada and the United States.

References edit

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  3. ^ "South Korea accuses Japan of waging 'economic war'". CNN. August 9, 2019.
  4. ^ a b c Ezell, Stephen (January 16, 2020). "Understanding the South Korea-Japan Trade Dispute and Its Impacts on U.S. Foreign Policy". {{cite journal}}: Cite journal requires |journal= (help)
  5. ^ a b c Kim, Catherine (August 9, 2019). "The escalating trade war between South Korea and Japan, explained". Vox. Retrieved January 11, 2021.
  6. ^ a b c d e "Update of METI's licensing policies and procedures on exports of controlled items to the Republic of Korea" (Press release). METI. July 1, 2019. Retrieved July 1, 2019. ... Through careful consideration among the relevant ministries in Japan, the Government of Japan cannot help but state that the Japan-ROK relationship of trust including in the field of export control and regulation has been significantly undermined. Considering that certain issues in ROK's export control and regulation can only be addressed under a relationship of utmost trust, METI has concluded that it must change the current implementation practices such as licensing policies and procedures for export or transfer of controlled items and their relevant technologies to the ROK in order to ensure appropriate implementation of Japan's own export control and regulation. In addition, as METI has recently found that certain sensitive items have been exported to the ROK with inadequate management by companies, METI will apply more stringent procedures over certain controlled items and their relevant technologies. ...
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  21. ^ 일본이 보복하는 반도체 소재의 대일수입 의존도는 얼마나 되나리지스트.에칭가스.플루오린폴리이미드 각각 91.9%, 43.9%, 93.7%. Korea International Trade Association (in Korean). July 4, 2019. Retrieved September 1, 2019.
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  28. ^ a b Hosokawa, Masahiko (July 3, 2019). "誤解だらけの「韓国に対する輸出規制発動」" [So many misunderstandings about the implementation of export control]. Nikkei Business. Nikei BP. Retrieved July 12, 2020.
  29. ^ "国際経済への影響小さい 指定当時の経産省幹部・細川昌彦氏" [The effect for international economy will be small: Masahiko Hosokawa, the person who had been in charge of designating South Korea into the white list told]. Tokyo Shinbun (in Japanese). July 27, 2019. Retrieved August 12, 2020.
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Further reading edit

External links edit

  •   Quotations related to Japan–South Korea trade dispute at Wikiquote
  •   Media related to Japan–South Korea trade dispute at Wikimedia Commons
  • Update of METI's licensing policies and procedures in relation to the Republic of Korea (METI)
  • BBC News explanation about spat between Japan and South Korea (BBC)

December 15, 2023
japan, south, korea, trade, dispute, also, known, japan, south, korea, economic, economic, conflict, between, japan, south, korea, 2019, 2023, part, japan, south, korea, relations, japan, korea, disputes, boycott, japan, sticker, shop, mokpo, south, koreadatej. The Japan South Korea trade dispute also known as the Japan South Korea economic war 2 3 was an economic conflict between Japan and South Korea 2019 2023 Japan South Korea trade disputePart of Japan South Korea relations and Japan Korea disputes Boycott Japan sticker on shop in Mokpo South KoreaDateJuly 1 2019 March 23 2023LocationJapan and South KoreaResultResolved Significant deterioration in Japan South Korea relations in 2019 Japan and South Korea remove each other from the trade whitelist in 2019 1 Japan and South Korea restore relations and add each other back to their trade whitelist in 2023Parties involved in trade dispute South Korea JapanJapan South Korea trade dispute Japan South Korea economic war in South Korea Japanese economic retaliation in South Korea Japanese nameKanji日韓貿易紛争 or 日韓対立Hiraganaにっかんぼうえきふんそう or にっかんたいりつTranscriptionsRomanizationNikkan bōeki funsō or Nikkan keizai sensōKorean nameHangul한일무역분쟁한일경제전쟁일본경제보복Hanja韓日貿易紛爭 韓日 經濟戰爭 日本 經濟 報復TranscriptionsRevised RomanizationHanil Muyeog Bunjaeng Hanil Gyeongje jeonjaeng Ilbon Gyeongje bobogThere are different cited causes behind the conflict The Japanese government removed South Korea from the white list for preferential trading in July 2019 as a response to alleged South Korean violations of United Nations prohibitions against exporting certain materials to North Korea 4 5 It later officially argued that the conflict was caused by the South Korean government noncompliance with export controls and regulations to prevent resale of strategic goods and ignoring the Japanese government s request to hold export control talks for three years 6 However the conflict was regarded as retaliation to the Supreme Court of South Korea s decisions regarding compensation by the South Korean government 7 8 9 10 The South Korean government has also denied any claims of mismanagement by the Japanese government 5 Several external observers have stated that the current tensions are a reflection of or are responses to various historical grievances from Japan s occupation of the Korean peninsula 5 11 12 9 4 13 and from recent regional flash points such as relations with North Korea and China 11 14 The trade dispute had caused a significant deterioration in Japan South Korea relations to the lowest point since the two countries normalized their diplomatic relations in 1965 15 16 Contents 1 Background 1 1 South Korean and Japanese membership of Multilateral Export Control Regime 1 2 Comfort women 1 3 Court decisions regarding compensation 2 Chronology 2 1 2019 2 1 1 July 2019 2 1 2 August 2019 2 1 3 September 2019 2 1 4 October 2019 2 1 5 November 2019 2 1 6 December 2019 2 2 2020 2 2 1 January 2020 2 2 2 February 2020 2 2 3 March 2020 2 2 4 June 2020 2 2 5 August 2020 2 2 6 November 2020 2 2 7 December 2020 2 3 2021 2 4 2023 3 Reactions 3 1 South Korea 3 1 1 Government 3 1 1 1 Before whitelist removal 3 1 1 2 After whitelist removal 3 1 2 Regional governments 3 1 3 Political parties 3 1 4 Others 3 2 Japan 3 2 1 Government 3 2 2 Others 3 3 Other countries and viewpoints 3 4 Business leaders 3 5 International organization 3 6 Efforts to resolve the dispute 3 6 1 China Japan South Korea meeting in Beijing 3 6 2 Prime Ministers and presidents meeting 4 Effects 4 1 Financial markets 4 2 Economy 4 3 Boycott on Japan 4 3 1 Japanese brands 4 3 2 Tourism 4 4 GSOMIA termination intention and renewal announcement 5 Concerns and controversies 5 1 Anti Japanese banner in Jung gu 5 2 Pro Japanese praising video 5 3 DHC TV anti Korean broadcast 6 See also 7 Notes 8 References 9 Further reading 10 External linksBackground editMain article Japan Korea disputes Further information Japan South Korea relations Economy of Japan Economy of South Korea and Korea under Japanese rule Japan and South Korea are some of the world s largest economies ranking 3rd and 10th respectively in terms of GDP South Korea the largest memory chip producer in the world and Japan the largest supplier of crucial materials in chip production have so far served as the cradle for technological products such as smartphones and personal computers South Korea is home to Samsung Electronics and SK Hynix companies that together produce two thirds of the world s memory chips 17 In Japan 3 companies JSR Corporation Showa Denko and Shin Etsu Chemical as well as Kanto Denka Kogyo produce 90 of the world s Fluorinated polyimide and Photoresist both of which are used for LCD and OLED displays and 70 of Hydrogen Fluoride used to make LSI DRAM and NAND flash memory 18 19 South Korea imports 94 of Fluorinated polyimide 92 of Photoresists and 44 of Hydrogen Fluoride from Japan according to data from Korea International Trade Association 20 note 1 On the other hand Japan had export dependency on South Korea for these three materials at 22 5 11 6 and 85 9 respectively 22 The two countries established diplomatic relations in December 1965 following the signing of the normalization treaty in June of the same year when Japan recognized South Korea as the only legitimate government of the whole Korean Peninsula As the relations continued to develop over the next few decades both countries became two of the strongest allies of the United States in Asia to counter the influence of China Russia and North Korea 23 However their relations have been negatively impacted by many ongoing disputes such as the Liancourt Rocks dispute known as Dokdo in Korean and Takeshima in Japanese and differing interpretations on Imperial Japan s treatment of the people in then colonial Korea South Korean and Japanese membership of Multilateral Export Control Regime edit There are different explanations behind Japanese and South Korean membership in the Multilateral export control regime a US led informal import and export control system of strategic goods created in the Cold War between the United States and its allies of which its aim was originally to prevent the export of weapons or supplies to communist countries and helped to establish white lists for preferred trading nations 24 At the US s request South Korea began to establish its export control system signed in September 1987 with the US and a Memorandum of Understanding on Technical Data Protection was concluded 25 26 To further integrate itself laws such as the COCOM Coordinating Committee for Multilateral Export Controls were passed and a system to regulate the import of strategic materials through certificates of acceptance and customs was created in July 1990 In September 2004 South Korea s export and import control system was implemented mainly by the Foreign Trade Act Article 21 the Enforcement Decree of the same Act Article 39 45 and the Strategic Commodity Export Import Notice public notice by the Ministry of Industry and Resources 27 In effect South Korea had signed a treaty with the United States and made laws for it to take domestic effect It is from this system that a mechanisms such as white lists resulted 27 However Hosokawa Masahiko a professor at Mesei University in Japan claims that the Japanese Ministry of International Trade and Industry MITI made approaches to other member countries and visited South Korea to support their undertaking to implement an export control system in the 1990s from which South Korea became a member of the multilateral export control regime in 1996 which later included the trade of missiles in 2001 This relationship caused METI after Japanese 2001 Central Government Reform to grant the status of white country to give special preferential measures in 2004 28 29 He also argues that export controls for national security has been considered as the security exception in Japan and US 30 based on an agreement on security exceptions in Article 21 as published by the World Trade Organization WTO 31 Comfort women edit Main article Comfort women nbsp A comfort women rally in front of the Japanese Embassy in Seoul demanding compensation from the Japanese government in August 2011Although the Japanese Ministry of Economy Trade and Industry METI officially cites undermined trust in the field of export control as its reason to remove South Korea from the white list 6 many external observers argued that current tensions more broadly reflect historical grievances between Japan and South Korea including comfort women 11 9 12 4 During Japanese colonial rule in the Korean Peninsula many Koreans both North and South were forced to work at dozens of Japanese companies often in brutal conditions 32 During World War II between 1939 and 1945 the Empire of Japan conscripted 5 4 million Koreans 670 000 of them were sent to mainland Japan as forced labor and as comfort women or women and girls forced into sexual slavery in occupied countries and territories before and during World War II or who participated in the earlier program of voluntary prostitution 33 34 35 After the two countries normalized their relations in 1965 surviving comfort women have demanded for compensation and an apology from the Japanese government as well as individual claims for compensation 36 Opponents of the 1965 treaty argue it needs to be revisited because it was signed by then President Park Chung hee who acted against public sentiment 37 In 1995 Japan said that compensation for former comfort women was settled in the 1965 agreement and created the Asian Women s Fund The fund was set up in 1994 and compensated former comfort women from formerly occupied nations including South Korea through donations by private individuals 38 This compensation was generally accepted outside of Korea but in South Korea many people refused to accept it saying that it was not money contributed by the Japanese government 39 On December 28 2015 after U S President Barack Obama pressured South Korean President Park Geun hye and Japanese Prime Minister Shinzō Abe the two countries signed an agreement regarding settling the issue of comfort women during World War II which was deemed final and irreversible if Japan fulfilled its responsibilities 40 41 Japan agreed to pay 1 billion 9 7 billion 8 3 million to a fund supporting surviving victims while South Korea agreed to refrain from criticizing Japan regarding the issue 42 On May 11 2017 South Korean President Moon Jae in announced the agreement would not be enacted in its current stage and that negotiations for a deal between Japan and South Korea over the comfort women dispute had to start over 43 Part of the justification for this was the lack of consultation from former comfort women and their supporters 44 Moon put forward a new proposal for a joint compensation fund that both South Korean and Japanese companies would contribute to but Tokyo has rejected this 45 In January 2018 Moon called the 2015 agreement undeniable but called on Japan to accept the truth and make a heartfelt apology to victims 46 In March 2018 the Japanese government argued that the 2015 Japan South Korea agreement confirmed that this issue was finally and irreversibly resolved and lodged a strong protest to South Korea through diplomatic channels stating that such a statement goes against the agreement and is therefore completely unacceptable and extremely regrettable 47 48 In November 2018 Moon Jae in s administration shut down the Japanese funded comfort women foundation which was launched in July 2016 to finance the agreement s controversial settlement calling it a political agreement that excludes victims and the public and essentially voiding the 2015 agreement however Moon has not formally abandoned the agreement stating that it was inappropriate to consider the deal null and void 49 50 44 The decision sparked protest by Shinzō Abe s government who warned of risking damaging ties between the two countries 51 Court decisions regarding compensation edit The two countries bilateral relations then declined in late 2018 after the Supreme Court of South Korea and other high courts made a decision that ordered several Japanese companies including Mitsubishi Heavy Industries Nachi Fujikoshi and Nippon Steel to make compensations to the families of South Koreans who were unfairly treated and illegally forced to supply labor for World War II war efforts such as building ships and aircraft for Japan without pay at a Mitsubishi shipyard and machine tool factory in Nagoya in 1944 The Japanese government protested these decisions claiming that the issue was settled under the 1965 treaty of Normalization of Diplomatic relations between the two countries and stating that it would be taking necessary measures against South Korea 52 nbsp Korean Wikisource has original text related to this article Supreme Court decision regarding compensation of World War II victims against the Japanese companies October 30 2018 On October 30 the Supreme Court rejected appeals to overturn a 2013 order requiring Nippon Steel to pay compensation to four South Korean workers who underwent forced labor which occurred during the war and ordered to pay each of the workers an individual sum of 100 million won US 87 700 53 A month later on November 30 2018 Gwangju High Court rejected an appeal by Mitsubishi Heavy Industries regarding 2013 appeals of court decision that the company must pay 80 million won 71 000 to compensate each of the 23 plaintiffs and ordered to compensate the remaining 5 South Korean elderly people who forced to work in a Japanese company where the company in a separated ruling by Supreme Court on November 28 ordered to pay 150 million won 134 000 to each of 28 plaintiffs elderly people which is still alive or their families 54 55 On January 18 2019 Seoul High Court dismissed Nachi Fujikoshi appeal of October 2014 Seoul Central District Court decision against an order that it must pay each 17 South Korean women 80 million to 100 million won US 69 000 to US 89 000 56 because the victims were tricked into forced labor in harsh conditions 57 58 59 On January 8 2019 Daegu District Court approved a request by plaintiff to seizure of 81 075 shares held by Nippon Steel in POSCO Nippon Steel RHF Joint Venture PNR a South Korea based joint venture with POSCO which is part of 2 34 million shares worth about 11 billion won 9 78 million owned by the Japanese steelmaker 60 These decision was followed in March 2019 by same decision for seizure of Mitsubishi Heavy Industries trademark and patent assets by Daejeon District Court 61 On June 19 South Korea proposed to join funds with Japan to give compensation to forced labor victims but Japan rejected the offer 62 Instead Japan called for the establishment of an arbitration panel in accordance with the rules of the 1965 Japan Korea Normalization Agreement The panel would consist of one member each from third party countries 62 Chronology edit nbsp From left to right Kang Kyung wha Mike Pompeo and Tarō Kōno in Bangkok at a trilateral meeting in August 20192019 edit July 2019 edit On July 1 Japanese Ministry of Economy Trade and Industry METI applied updated licensing policies and procedures on the export and transfer of controlled items and their relevant technologies to South Korea 6 These decisions effective on July 4 put updated licensing policies on the industry including a licensing process forcing exporters to seek approval for each shipment up to 90 days 63 Deputy Chief Cabinet Secretary Yasutoshi Nishimura has said that the curbs were due to security concerns 64 The South Korean government has replied that the Japanese government is showing economic retaliation towards a matter that was decided by Supreme Court of South Korea whose decisions cannot be altered by the Government of South Korea 65 In the press release regarding the export control and regulation Japanese METI begins the process for removing South Korea from White Countries and required exporters in Japan to have individual export licenses for certain items fluorinated polyimide resist and Hydrogen Fluoride and their relevant technologies 6 As METI did not give specific examples 66 some Japanese media doubted that South Korea may have passed on restricted chemicals to the United Arab Emirates Iran or North Korea 67 For example a Japanese broadcaster Fuji TV and a Japanese newspaper Sankei Shimbun on July 10 reported that over the past four years from 2015 to March 2019 South Korea found 156 strategic goods with potential weapon being secretly exported 68 The list included ingredients for the nerve agent VX used in the assassination of Kim Jong Nam the half brother of North Korean leader Kim Jong un and hydrofluoric acid that had been smuggled to the United Arab Emirates and elsewhere 69 The South Korean government denied Japanese media s allegations South Korean Trade Industry and Energy Minister Sung Yun mo stated that an emergency inspection on companies importing chemicals from Japan came up with no evidence those chemicals were being exported to North Korea and that Japan s claims were groundless and should be stopped 70 A Bareunmirae Party lawmaker Ha Tae kyung made a further claims that Japanese authorities uncovered suspected smuggling of strategic items by Japanese companies to North Korea citing data from the Center for Information on Security Trade Controls CISTEC a nongovernmental organization that tracks data on export controls 71 Others view Japan s trade restrictions as partially being an excuse to retaliate against suspected intellectual property infringement by South Korean companies 72 Then South Korea on behalf of the Ministry of Foreign Affairs and Ministry of Trade Industry and Energy announced a plan to withdraw Japan s export restrictions during the meeting of the WTO Council on Trade in Goods in Geneva on July 8 9 73 Samsung Electronics vice chairman Lee Jae yong traveled to Japan on July 7 to seek support from Japanese suppliers 74 He returned from Japan on the 12th and reportedly secured resources needed for its production for long term 75 76 On July 12 representatives from Japan and South Korea held a meeting in Tokyo to discuss the worsening diplomatic relations between the two countries but failed to resolve the issue 77 A week later as the Ministry of Trade Industry and Energy of South Korea held a press conference on the administrative briefing held on July 12 and following exchanges of e mails and the press conference included some misinformation METI disclosed the facts as press release 78 On July 24 the two countries took the issue over high tech exports to WTO in Geneva where they sent senior officials Japan sent the director general of economic affairs of Foreign Ministry Shingo Yamagami South Korea also sent deputy trade minister Kim Seung ho 79 80 On the day the minister of the Ministry of Trade Industry and Energy MOTIE of South Korea ROK made claims about their catch all control the policy dialog between Japan and South Korea the South Korea s export control system and possible global impact on free trade caused by Japan s update Responding to this METI clarified Japan s position on the South Korea s catch all system which South Korea claims as appropriate for both conventional weapons and weapons of mass destruction and explained the background to the current lack of bilateral policy dialog 78 August 2019 edit nbsp Poster invitation to buy Korean products in SeoulOn August 2 Japanese cabinet approved the removal of South Korea from the whitelist 81 the countries that have the most favored status as trade partners consisting of 27 countries The loss of most favored trade status will apply to dozens more products on a list of items that potentially could be converted to weapons 82 The decision came after public comments from 40 000 people which to more than 90 are in favor The Trade Minister Hiroshige Sekō said that the trade measure was not intended to hurt bilateral ties of both countries 83 Then the government officially promulgates the revision bill that excluded the country from the list of preferential trade status and published in KANPO Japan s official gazette on August 7 84 85 However the bill did not stipulate any additional items that Japan will apply restrictions on aside from the three chip and display materials 86 Japanese government decision to downgrade and remove South Korea from whitelist takes effect on August 28 2019 21 days after promulgation With the new revision South Korea falls to Group B under revised Japanese export control system 87 note 2 That means the Japanese manufacturers must apply for approval for each technology related contract for 1 120 strategic materials that will be exported to South Korea rather than the simpler checks granted to preferential trade partners 1 South Korean foreign minister Kang Kyung wha and her then Japanese counterpart Tarō Kōno clashed at the ASEAN Plus Three meeting in Bangkok with Kang condemning the Japanese export control was unilateral and arbitrary But Kōno insist that the export control is fully compatible with WTO rules 88 89 On August 8 the Japanese government at a news conference held by Seko approved shipments of a key material used in making chip and displays to South Korea to ease tensions between the two countries 90 The approval was granted on August 7 and according to South Korean Prime Minister Lee Nak yeon there was a material known as EUV photoresists which is crucial for Samsung s advanced contact chipmaking production 91 But Japan warned that if these three high tech materials are found to be improperly used the country will expand their strict checks of exports including expanding application examination 92 The same material were also approved by Japan on August 20 93 On August 12 South Korean government is taking measures to remove Japan from the country s own so called whitelist consisted of 29 preferred trade partners as retaliation of Japan s move which was delayed on August 8 94 95 The decision takes effect on September 18 after the government complete its public opinion gathering process through government websites and emails from August 14 to September 3 which 91 of the opinions were in favor of revision 96 97 98 Upon the revision takes effect Japan s status has changed Japan falls into the newly established group A 2 under Korea s export control system As a member of group A 2 Japan will be treated the same as countries in group B with some exceptions 99 100 On August 28 in Japan partial amendment to the export trade control order was enforced 81 There was an announcement by the government of South Korea on the day In response to the announcement METI provided their notes as press release to deny South Korean views 101 On August 29 Japan approved the first export materials since South Korea s removal from the most favored trade status There is a shipment of a Hydrogen fluoride whose the materials exported for the first time since Japan tightened its exports The main recipient of the material is Samsung Electronics 102 But Japan refused to confirm the export 103 September 2019 edit On September 3 METI submitted opinions and questions regarding the plans of South Korea to revise the public notice of the exportation and importation of strategic items 104 South Korean Trade Industry and Energy Ministry announce to file a complaint with the WTO over Japanese tighter export controls and restrictions of three materials The trade minister Yoo Myung hee told media on September 11 that she described the restrictions as a discriminatory act directly targeting South Korea and it was politically motivated 105 106 Japanese Trade Minister Isshu Sugawara agree to hold talks with South Korea under WTO dispute settlement in a press conference on September 20 107 108 On September 26 newly appointed Japanese Foreign Minister Toshimitsu Motegi meet with South Korean Foreign Minister Kang Kyung wha in New York City The two countries fail to make a progress to resolve the bilateral issue says that are big disagreements between the two countries but agree to continue the dialog 109 110 October 2019 edit South Korean Trade Industry and Energy Ministry issued a statement on October 1 that the Japanese government has not approved shipment of Hydrogen fluoride to the country even though 90 days have passed since a Japanese exporter submitted an application to export the materials 111 On October 11 Japan held consultations under the WTO Agreement in Geneva with the government of South Korea regarding Japan s update of licensing policies and procedures on exports to South Korea 112 113 This is part of the WTO Dispute Settlement procedure under which South Korea requested bilateral talks If it does not resolve the issue on 60 days South Korea will request the WTO Dispute Settlement Body to establish a panel to rule on the issue 105 November 2019 edit On November 19 the second round of bilateral consultation under the WTO Agreement was held Japan pointed out that the allegation of WTO inconsistency is completely baseless And Japan explained once again that export licenses are granted once items in concern are confirmed to be for civil use and no risk of diversion for military use exists that Japan s measure is not an export ban and no impact to supply chains has been found 114 These talks fail to resolve the trade dispute between two countries 115 On November 22 South Korea decided to suspend WTO petition against Japan s export control 116 December 2019 edit On December 4 Japanese METI held a Director General level preparatory meeting for the 7th Japan Korea Export Control Policy Dialogue with the Korean Ministry of Trade Industry and Energy MOTIE During the preparatory meeting both sides discussed details of the forthcoming policy dialogue including dates and agendas 117 On December 16 Japanese METI held the 7th Japan Korea Export Control Policy Dialogue with Korean MOTIE During the Dialogue experts from the two sides exchanged views on circumstances and challenges regarding critical technology control and their export control systems Both sides agreed to continue the Dialogue and communications to contribute to resolving issues of concern 118 2020 edit January 2020 edit Moon Jae in said in new year s address In the face of Japan s export restrictions business labor the Government and the people all joined forces to localize production of key materials components and equipment The whole nation came together to realize the goal of building a country that cannot be shaken This task had been left undone for several decades however we made significant achievements in just half a year 119 February 2020 edit On February 21 Japanese METI held a Director General level preparatory meeting with Korean MOTIE As a result of the meeting both sides agreed to hold the 8th Japan Korea Export Control Policy Dialogue on March 10 120 March 2020 edit On March 6 Japanese METI and Korean MOTIE have agreed to hold the 8th Japan Korea Export Control Policy Dialogue on March 10 via video conference system 121 On March 10 Japanese METI and Korean MOTIE held the 8th Japan Korea Export Control Dialogue At the Dialogue both sides updated and exchanged views on improvements in system and implementation of trade and sensitive technology transfers controls to contribute to exploring resolution of issues of concern 122 June 2020 edit On June 19 responding to the resumption of WTO dispute settlement process which was announced by South Korea Minister of Economy Trade and Industry Hiroshi Kajiyama mentioned that such a unilateral action is deeply regrettable as it would undermine agreements at the previous Japan Korea Export Control Policy Dialogues where both sides agreed to explore resolution of issues of concern through dialogues and communications 123 On June 30 after blocking South Korea s initial request for the establishment of WTO panel Minister of Economy Trade and Industry Kajiyama stated that he wants South Korea to come back to the table and suspend the WTO process so that we Japan and South Korea can relaunch the Export Control Policy Dialogues 124 August 2020 edit On August 19 Korean MOTIE eliminated antidumping duties on pneumatic valves from Japan Through its examination at the request of Japan the WTO Dispute Settlement Body had ruled that the South Korea s imposition of the antidumping duties was inconsistent with the Antidumping Agreement and had recommended the South Korea to make corrections 125 126 November 2020 edit South Korea and Japan had signed the Regional Comprehensive Economic Partnership a free trade agreement between 15 countries in the Asia Pacific region As a multinational trade deal the RCEP represents the first free trade agreement between the two countries as 83 of tariffs are eliminated 127 South Korea has made several overtures to Japan following Joe Biden s election in the 2020 US presidential election On November 9 the head of the South Korean National Intelligence Service traveled to Tokyo as a presidential envoy In mid November a seven member delegation from the Korea Japan Parliamentarians Union headed by Kim Jin pyo met with Suga and parliamentarian counterparts in Tokyo and agreed to establish cooperation committees on the Tokyo Olympics COVID 19 pandemic response and sports and cultural exchange On November 23 2020 President Moon Jae in appointed Kang Chang il as the new ambassador to Japan The appointment of Kang reflects Moon s willingness to improve bilateral relations following Yoshihide Suga s appointment as Prime Minister 128 Kang has pledged to make every effort to improve and normalize relations between South Korea and Japan He has relayed Moon s statement that the two governments should prepare solutions to the pending problems through dialog and that they should cooperate where possible including on the Tokyo Olympic Games 129 130 131 On November 30 WTO largely backed Japan in several claims in a ruling against South Korea s 16 year old antidumping duties on Japanese stainless steel bars though some aspects were ruled in favor of South Korea South Korea has stated it would appeal the ruling however the WTO s appeals body is currently paralyzed and unable to hear cases 132 133 Following his victory in the 2020 US presidential election US President elect Joe Biden has pledged to rebuild alliances and partnerships including the conflict between Japan and South Korea 44 December 2020 edit In a phone call following his inauguration in November Japanese Prime Minister Suga Yoshihide and South Korean President Moon Jae in agreed to strive to improve bilateral ties in earnest Secretary General of the Japan Korea Parliamentarian s Union Kawamura Takeo visited Seoul in October to discuss possible ways to move forward with South Korean politicians 134 Moon Jae in also expressed an interest in joining the CPTPP of which Japan is already a member following South Korea s membership in the RCEP in November This is the first time Moon has publicly expressed an interest in doing so 135 136 2021 edit In his New Year s speech Moon Jae in said he will continue efforts to build a future oriented relationship with Japan 137 The South Korean government is also set to review whether to join the CPTPP which includes Japan as one of its members putting the matter among its 10 strategic goals for international economic policies 138 2023 edit In early March in an effort to improve ties with Japan South Korea announced plans to compensate victims of forced labor under Japanese colonial rule by using public donations funded by private sector companies rather than seeking reparations from Japanese companies that were involved with the forced labor The Japanese and United States government welcomed the development while the announcement sparked backlash and protests in South Korea Nevertheless the new compensation plan warmed relations enough that both countries agreed to resume talks into resolving the trade dispute 143 nbsp Yoon Suk yeol and Fumio Kishida in Tokyo at a summit in March 2023On March 16 South Korean President Yoon Suk yeol visited Japan a first time in 12 years for a South Korean leader to resolve the trade dispute Both Yoon Suk yeol and Japanese Prime Minister Fumio Kishida pledged to resume regular visits and end the trade dispute by restoring each other onto their countries respective whitelist 144 145 On March 21 South Korea President Yoon Suk yeol announced he would restore Japan into the country s trade whitelist South Korea additionally normalized the General Security of Military Information Agreement GSOMIA pact with Japan 146 147 On March 23 Japan s Ministry of Economy Trade and Industry restored South Korea back into the country s trade whitelist Simultaneously South Korea withdrew their complaint against Japan from the World Trade Organization both countries effectively ending their trade dispute 148 149 150 However Yoon s diplomacy with Japan has faced opposition from South Korean liberals and progressives 151 152 Reactions editSouth Korea edit Government edit The South Korean government s stance on the dispute is that Japan s export control is groundless and unfair It argues that it has a sufficient catch all control system and the lack of communication was on Japan s end They further stated that Japan s export control is in violation of international law and will be both disruptive and harmful to both countries economies and the global market The South Korean government urged Japan to withdraw its export control as they claim would damage their relationship further 153 154 Before whitelist removal edit The South Korean government led by the First Vice Foreign Minister Cho Sei Young summoned the Japanese ambassador to lodged the protest against the export curbs by Japan on July 1 The Trade Industry and Energy Minister Sung Yun Mo called Japan s move deeply regrettable 155 Then on July 10 President Moon Jae in in a meeting with executives from the country s 30 conglomerates urged Japan to return to the principle of free trade that Japan has been pushing for and said he would take responsive measures if South Korean companies were harmed by the new restrictions aimed by Japanese government 156 After whitelist removal edit In response to Japan s removal of the country from the list the government held emergency cabinet meeting on the same day as Japan s announcement August 2 and broadcast live on television across the country Moon warned Japan against the decisions He warned that the country will resolutely take corresponding measures 157 He also said that we will never again lose to Japan 158 The government announced to tighten its import quota on fishery and agricultural products from Fukushima which was introduced due to concerns of radioactive contamination 159 On August 15 74th anniversary of Korea s liberation from Japanese rule President Moon delivered a speech urged Japan to return to dialogue to ease the tensions Moon also saying South Korea has not dwelt on the past and expressed hope that Japan will play a leading role together in facilitating peace and prosperity in East Asia 160 To reduce its reliance on Japanese Industries the government announced a comprehensive research and development strategy This includes a plan to spend 7 8 trillion won 6 48 billion in research and development for local materials parts and equipment over the next seven years 161 The government also pledged to spend 5 trillion won 4 12 billion to increase its own capabilities in the development of key industrial materials The massive R amp D investment will take place starting in 2020 until 2022 162 South Korea propose a record budget about 513 5 trillion won 423 7 billion for 2020 to boost its slowing economy represents a 9 3 percent hike from 2019 budget A key centerpiece of the spending proposals is 24 1 trillion won 19 9 billion set aside for research and development R amp D in 2020 which is up 17 3 percent from 2019 the highest in a decade 163 Regional governments edit In response to Japanese trade restrictions to South Korea regional governments across the country launched a boycott of Japanese products and exchange programs The action includes the suspension of various activities such as public procurement and leasing of Japanese products official business trips to Japan and sisterhood relationships with Japanese cities 164 On September 6 two regional legislative bodies Seoul Metropolitan Council and Busan Metropolitan Council passed nonbinding ordinance labelling 284 Japanese companies including Mitsubishi Heavy Industries as war criminal companies to denounce the alleged use of forced labor by these companies Under the ordinances these Japanese companies are to be given the designation with the mayors and other officials of the cities being requested not to purchase products from the companies in the future 165 166 In the case of Busan there is also a provision that stickers saying product of a war crime company be attached to products that have already been purchased 167 Political parties edit The Liberty Korea Party while calling on Japan to remove the export restriction have also criticized President Moon s handling of the issue Rep Na Kyung won claimed that Moon s administration have exacerbated the issue so much so that it has damaged Korea s relationship with the US to the point where US will not intervene 168 169 The LKP called for the government to focus on finding a diplomatic solution with Japan rather than a take hard line stance 170 All political parties in South Korea have voiced the need to restrict Japanese imports So far they have announced plans to create a Pan national emergency body in response to the situation 171 South Korea s major political parties have agreed to establish a bipartisan body on July 31 2019 172 Others edit nbsp Boycott Japan banner in MokpoSee also 2019 boycott of Japanese products in South Korea In response to Japan s move on July 5 a group of a South Koreans took to the street to announce a boycott of Japanese products 173 Since then many South Koreans decided to boycott all Japanese products and imports including food and beverages cosmetics vehicles and clothes Some also canceled scheduled trips to Japan 174 175 On Blue House presidential petition website in July 2019 nearly 27 000 people signed a petition calling for a boycott of Japanese products and an end to tourism to Japan According to the petition website if 200 000 people sign the petition within a month the government is obligated to respond to the matter officially 176 A website called NoNoJapan com created by Kim Byung kyu was launched on July 11 to provide information about Japanese products and services that Koreans boycotted and alternative Korean products to these Japanese one 177 As more Koreans join the boycott the website experienced a server crash due to a spike in traffic 177 About 5 000 people including members of 596 civil groups held a candlelight vigil on July 27 in Gwanghwamun Plaza and in front of the Japanese embassy to criticize Prime Minister Shinzo Abe for imposing trade restrictions 178 They also held another candlelight vigil in front of the Japanese Embassy in Seoul on August 3 with more than 15 000 people according to organizer participating in the rally 179 A similar protest was held on August 10 now with a declaration was signed by 1 000 students The protesters also demand South Korea s removal from GSOMIA which is a military information sharing pact with Japan The number of participants was similar to second rally 180 They also held large scale candlelight vigil rally at Gwanghwamun Plaza Chosun Ilbo headquarters and the Japanese Embassy on August 15 which is the 74th anniversary of the liberation of Korea from Japanese colonial rule They estimate that 30 000 to 100 000 people participate in the rally 181 In contrast conservative groups also held simultaneous rally called for pushback of anti Japanese sentiment 182 183 There are two people that set himself in fire to protest Japanese government decision which held in front of the Japanese Embassy in Seoul The first incidents was occurred on July 19 at 3 24 am local time which a men died after the incident 184 and second incident occurred on August 1 by a 72 year old man which is in critical condition 185 186 The boycott of Japanese products spread into the cultural sector with release of latest Doraemon film series Doraemon Nobita s Chronicle of the Moon Exploration which is originally scheduled on August 14 had been postponed indefinitely even after the film s Korean dubbing was finished In July further Japanese animation films Butt Detective the Movie and Detective Conan The Fist of Blue Sapphire were subjected to unfavorable online reviews on internet and sold only 134 000 and 200 000 tickets respectively 187 188 A poll conducted by Realmeter involving 504 adults reveal that as of July 24 62 8 of respondents say they are boycotting Japanese goods 189 190 Another poll conducted by Gallup Korea involving 1 005 adults found that only 12 held favorable views on Japan while 77 have negative views Likewise the poll found that 61 of respondents blame the Japanese government for the conflict while 17 hold the South Korean government responsible 191 There were calls by many South Korean lawmakers to restraint or stopping their Investment in Japanese companies involved in their war crime against the many Korean slave labor Korea Investing Corporation and National Pension Service faced pressure to do so 192 193 The pension fund then started to reviewing 1 23 trillion won 1 1 billion worth of investment of Japanese companies whether the companies as many as 75 companies should be dropped if proved to companies that linked to Japanese war efforts in World War II 194 Some South Korean media have expressed concerns about the trade dispute such as the large dependency on Japanese materials the dispute prolonging doubts about US intervention and the government having few options to tackle the dispute 195 196 197 198 The Korea Times editorial have criticized the Blue House s response to the issue 199 Japan edit Government edit The Japanese government s stance is based on global export control regime to prevent resale of strategic goods 200 and it is a case of updating implementation due to significantly undermined trust with South Korea 6 201 They argue that while South Korea s catch all control covers WMD related goods it has never clarified whether it covers conventional weapons as well The Japanese government also claimed that South Korea has repeatedly postponed policy dialogs between the two nations Japan also maintains that South Korea will simply be treated as a normal trade partner in same other Asian countries and will not get incentive measures as a white country the change does not break international law and that it is not an embargo 78 202 In response to South Korea s move to remove Japan from the list of most favored trade partners the Trade Minister Hiroshige Seko said on Twitter on August 13 that South Korea failed to show how Japan had purportedly fallen short of international export control measures 203 He also said Japan does not understand why it has been removed from neighboring country s list of trusted trade partners 204 Others edit Soon after the METI s press release a professor who had been in charge of export control at MITI started to provide corrections and commentaries on this issue in media as there had been many misunderstandings in media provided by nonexpert editors and commentators 28 205 206 30 The Japanese government s decision to update implementation of export control prompted criticism from many people a group of 75 people including writer Satoshi Kamata economic analyst Katsuto Uchihashi and Akira Kawasaki signed an online petition that called both countries to hold a dialog to resolve the conflict 207 According to a survey conducted by Asahi Shimbun on July 15 56 percent of respondents support the government s export control while 21 percent did not Among those who support Prime Minister Shinzō Abe 74 percent of respondents support it Among those who disapprove of Shinzō Abe 43 say they support the export control while 36 say they re against it 208 Despite the majority of Japanese supporting the government s actions on August 4 there was a group of 200 Japanese and Korean demonstrators who protested Abe s government in the streets of Shinjuku They called Abe to stop the export curbs to South Korea 209 The amount of protesters increased on August 8 There were calls by the protestors for Abe to resign as the Prime Minister 210 211 The organizer of the protests enlisted new participants through many social media platforms 211 In the midst of the trade dispute between the two countries Japanese author Hirokazu Kore eda urged Japanese and Korean artists to show support for one another to overcome their countries political situation 212 In July 2020 after the resumption of WTO dispute settlement process which was announced by South Korea former diplomat Kunihiko Miyake provided diplomatic commentary on this dispute started in July 2019 summarizing that the disputes were tragedies aggravated by optimistic trade officials in Tokyo who did not anticipate that the rest of the world would misunderstand and consider the measures another example of a nation using trade measures to coerce other nations over unrelated issues 213 Other countries and viewpoints edit Many countries showed concern to the actions of the two countries hurting the global tech industry Tech companies in the United States issued a letter to both countries urging the two nations to negotiate a resolution to the dispute 214 Five of America s largest tech industry groups including the Semiconductor Industry Association which Qualcomm and Intel Corporation as members among its other companies issued a joint letter to Japanese Economy Minister Hiroshige Sekō and South Korean Minister of Trade Yoo Myung hee They asked both sides to refrain from escalating their conflict 215 Chinese Foreign Minister Wang Yi urged Japan and South Korea to show goodwill and resolve their trade spat through negotiations and dialog 216 The German newspaper Suddeutsche Zeitung published an article criticizing the Japanese government for the trade dispute SZ criticized the Japanese government s historical revisionism as the cause of the dispute between South Korea and Japan pointing out that trade sanctions against South Korea are unfair 217 opinion U S President Donald Trump voiced concern about the worsening ties between Japan and South Korea He said on August 9 that trade and history dispute put the country United States in a very difficult position He urged the two countries to get along 218 Some observers have pointed out that the dispute may have been exacerbated by both of the countries leaders to drum up political support During the beginning of the trade dispute Prime Minister Shinzō Abe s ruling Liberal Democratic Party were gearing up for Upper House election on July 21 At the same time President Moon Jae in faced criticism for his economic policy and lack of progress in relationship with North Korea Observers noted that both leaders are unlikely to back down from the dispute due to political pressure 219 220 221 199 222 Many analysts and experts have viewpoints about the trade dispute as well Political analyst Paul Triolo who also practice head of geo technology at Eurasia Group told CNBC that since Japan and South Korea are U S allies the United States will likely be involved in mediating the two countries in addition to China because from U S perspective this is a lose lose confrontation which could also inadvertently benefit China On the other hand Waqas Adenwala Asia analyst at the Economist Intelligence Unit said it may be awkward for China to mediate in this dispute as both South Korea and China were victims of Japan s invasion and brutal killings during World War II 223 Other analyst and experts such as Kim Hyun Chul an expert on Japanese enterprise at Seoul National University told ABC News unlike trade of finished goods high tech industry goods that are sourced globally are interdependent Countries that rely on South Korea s semiconductors such as the United States China and even Japan will all be adversely affected causing a domino effect on the global supply chain in computer and smartphone industries Meanwhile Rajiv Biswas Asia Pacific chief economist at IHS Markit said U S electronics companies many of which have large production hubs in both the U S and China are vulnerable to supply shortages of South Korean memory chips given the importance of South Korea as a supplier of chips not only hardware such as mobile phones and electronic products but also data processing programs 224 Business leaders edit On the annual conference of the Korea Japan Economic Association in Seoul 300 business leaders from the two countries have urged both governments to find a diplomatic solution for the trade disputes 225 International organization edit nbsp The WTO headquarters in Geneva Switzerland where South Korea filed a complaintOn July 14 2019 at the request of South Korea the World Trade Organization WTO agreed to formally discuss at its General Council meeting about Japan s semiconductors export curbs to South Korea 226 On July 24 South Korea s delegation brought the dispute to the General Council meeting and Japanese delegation told that the South Korea s complaints are not acceptable 227 and other WTO members preferred not to get involved in the dispute 228 In June 2020 the U S backed Japan s invocation of the WTO national security exception in a dispute with South Korea over semiconductor materials 229 230 Efforts to resolve the dispute edit China Japan South Korea meeting in Beijing edit On August 21 the two countries involved in the trade war and China involved in a different trade war with the United States held a trilateral meeting in Beijing In that meeting Japan and South Korea agreed to discuss efforts to resolve the conflict over compensating Korean forced laborers that has escalated into a trade war The then Foreign Minister now Minister of Defense Tarō Kōno said that the two countries shared the view on the need to resolve the dispute 231 But South Korea s Foreign Minister said that South Korea hopes that the country will stick to free and fair trade for prosperity in the region 232 Prime Ministers and presidents meeting edit Aside from bilateral negotiations in WTO the two countries hold a bilateral talks to resolve the problem The first was on October 24 when the Prime Minister Lee Nak yeon met with his counterpart Shinzō Abe in Tokyo 233 The second was on November 4 in ASEAN summit in Bangkok where Moon Jae in held an 11 minute conversation with the Japanese Prime Minister 234 Photos of the meeting were taken by Chung Eui yong director of the South Korean National Security office and published without the approval of the Japanese side 235 Effects editFinancial markets edit The Japanese government decision to revoke preferred trade partner status for South Korea rattle global stock markets aside from Trump tweet about tariffs on Chinese products especially in Japan and South Korea On August 2 days which occur the removal of South Korea from the list Nikkei 225 Japanese main stock indices fell 2 11 and South Korea s KOSPI down 0 95 a 7 month low 236 Two index then down sharply on August 5 with Nikkei 225 down 1 74 to 20 720 and Kospi down 2 56 to close at lowest level since 2016 at 1 946 98 KOSDAQ which consisted tech heavy and small and middle cap stocks plunged more than 7 percent to trigger trading halt For the first time this occurred since June 24 2016 237 In the currency markets South Korean won fell 9 50 won against US Dollar to closed at 1 198 00 lowest level since January 9 2017 238 Then the currency plunged to more than 3 year low against the Dollar at 1 215 35 won on August 5 lowest level since June 24 2016 and sharpest daily loss since August 2016 239 240 Meanwhile many global financial markets plunge amid the decision and many stock markets take the selloff with Nasdaq fell 1 32 Dow Jones fell 0 37 and S amp P 500 down 0 73 Also in other stock markets for example FTSE 100 DAX and CAC 40 plunged 2 34 3 11 and 3 57 respectively citation needed On August 5 the index took the one of largest daily loss in 2019 with Dow Jones down 767 points 2 98 S amp P 500 down nearly 3 and Nasdaq down 3 5 citation needed Dow Jones in particular down as much as 961 63 points Economy edit The trade dispute along with the China United States trade war is predicted to have a negative impact on both Japan and South Korea s economy Japan s growth percentage was lowered for the second quarter of 2019 and the trade dispute with South Korea is expected to exacerbate the slowdown 241 Several financial services companies have lowered their forecast on South Korea s 2019 economic growth to around two percent or lower 242 243 244 The Bank of Korea has lowered South Korea s economic growth from 2 5 to 2 2 In response to the economic forecast they have also lowered interest rate from 1 75 to 1 5 on July 18 2019 245 It further cut its rates to 1 25 on October 15 246 Moody s Investors Service in a Global Macro Outlook 2019 20 report released on August 26 revised down forecast economic growth for both South Korea and Japan For South Korea the global ratings agency lowered economic growth forecast from 2 1 to 2 0 in 2019 and 2 1 in 2020 to reflect the fallout from trade dispute with Japan the agency said the trade dispute undermines Korea s near term growth prospects 247 For Japan the agency revised down economic growth forecast to 0 7 in 2019 and 0 4 in 2020 Moody s cites that Korea s boycott movement against Japanese goods and services may dent sales But it saw trade in intermediate goods including those covered by the export curbs and also more correlated to the global economic downturn as posing a larger threat to the Japanese economy 248 Amid the trade dispute with Japan South Korean consumer sentiment fall to 31 month low in August According to data from Bank of Korea the composite consumer sentiment index down 3 4 points to 92 5 from 95 9 in July 249 It is the lowest level since January 2017 a month after then president Park Geun hye was impeached 250 The July consumer sentiment index also down to 95 9 1 6 points lower than in June where it stood at 97 5 251 The World Trade Organization WTO in October 2019 cuts the forecast of volume of merchandise trade growth to 1 2 in 2019 and 2 7 in 2020 down from previous forecasted of 2 6 and 3 respectively WTO cites this trade dispute along with the China U S trade war Brexit and others pose the biggest downside risk to the forecast 252 The International Monetary Fund IMF downgraded the economic forecast for many Asian economies because deterioration of relationship between South Korea and Japan Asian economy could grow 5 in 2019 and 5 1 in 2020 South Korean economic growth could fall to 2 in 2019 and 2 2 in 2020 253 Boycott on Japan edit nbsp Logo of NO BOYCOTT JAPAN which calls on South Korean citizens to boycott Japanese goods and services The red circle represents the flag of Japan commonly known as the Hinomaru The phrase translates to Will not go will not buy In South Korea boycott movement on Japanese products and services was agitated and affected Japanese brands and tourism to Japan Japanese brands edit nbsp A Uniqlo store in South Korea 2015 Uniqlo is one of many Japanese brands affected by the South Korean boycott On July 29 2019 a Korean credit card company reported that credit card sales from Muji fell by 33 4 ABC Mart sales fell by 11 4 and DHC Corporation fell by 55 3 254 Similarly credit card spending from South Koreans in Japan have also declined citation needed One of the companies hardest hit by boycott was Fast Retailing the company that own Uniqlo Uniqlo sales dropped by 40 and the company announced it close its Jongno 3 ga store in central Seoul 255 Analysts such as Peter Boardman warns that despite Fast Retailing post record profits but the company could see many uncertainty because sales in South Korea account for 8 of Uniqlo sales worldwide 256 Many Japanese automakers suffering steep fall in July and August On September 4 according to data from Korea Automobile Importers amp Distributors Association KAIDA the combined sales of Japanese cars stood at 1 398 units in August more than halving from a year earlier By brand Toyota saw its August sales plunging 59 1 percent on year to 542 units while Honda suffered an 80 9 percent on year sales drop to 138 units and Nissan s car sales down 87 4 percent on year to 57 units 257 The Japanese brand automakers also suffering slump in July with Toyota sales down 32 from the year earlier and Honda car sales tumbled 33 5 year on year Lexus South Korea s third most imported car brand after Mercedes Benz and BMW saw sales down 24 6 from the previous month although that was still up 33 from the previous year according to data from KAIDA on August 5 258 259 Preliminary data from Korea Customs Service in September said imports of Japanese beer for the month of August 2019 stood at US 223 000 down 97 from 7 57 million a year earlier 260 261 In May 2020 Nissan announced that it will withdraw from South Korea by the end of 2020 262 Tourism edit nbsp South Korean tourists to JapanThe number of South Korean tourists visiting Japan fell 48 in August to 308 700 the lowest number since May 2016 according to Japan National Tourism Organization JNTO However a total number of inbound visitors decreased slightly by 2 2 to 2 520 100 because visitors from other countries increased significantly 263 Moreover a surplus in the travel balance was an August record because the average spending increased as a result of the decrease of Korean visitors whose average spending per visitor is less than a half of other countries 264 265 266 On October 16 JNTO reported that the number of South Korean tourists visiting Japan fell 58 in September to 201 200 However a total number of inbound visitors increased 5 2 to 2 272 900 263 The total spending of inbound visitors from July to September increased 9 0 despite the decrease of Korean visitors 267 Some South Korean airlines announced they will reduce flights or suspend direct routes between major Japanese and South Korean cities 268 For example Korean Air the South Korea s largest airline suspended its Busan Osaka route on September 16 and routes between Jeju and Narita and between Jeju and Osaka Kansai from November 1 The airline also temporarily suspended some of its other routes Incheon Komatsu and Incheon Kagoshima both were suspended from September 29 to November 16 and Incheon Asahikawa suspended from September 26 to October 26 269 Air Seoul an Asiana Airlines subsidiary suspended flights from Incheon to Toyama on September 16 and from Incheon to Kumamoto and Ube from October 27 270 As the number of passengers traveling between the two countries is plummeting Airfares from Japan to South Korea and elsewhere in many airlines dropped to less than 10 CNN reported that it costs as little as 10 000 won 8 38 to fly one way from Seoul to Fukuoka on Eastar Jet and only 1 000 Japanese yen 9 35 the other way 271 If it include tax and fuel surcharges the same route costs 7 590 yen 71 272 GSOMIA termination intention and renewal announcement edit As retaliation against Japan s decision to restrict export of high tech materials and remove of South Korea from its export white list South Korea decided on the termination of the General Security of Military Information Agreement GSOMIA The General Security of Military Information Agreement GSOMIA is an agreement signed in November 2016 by South Korea and Japan to share sensitive information about threats from North Korea 273 better source needed According to Article 21 of the agreement the GSOMIA will automatically be renewed for a year unless one of two countries announce a termination notice 90 days prior to the extension of the agreement Deputy of Blue House national security office Kim You geun announced on August 22 that South Korea decided to give Japan the required 90 day notice to terminate the military intelligence sharing pact 274 275 According to South Korea Japan did not meet Seoul s national interests to maintain the deal They also stated that Tokyo has failed to communicate a clear explanation for placing controls on certain exports to South Korea 276 The decisions were announced after hours long debate in National Security Command NSC 277 On the other hand South Korean Foreign Ministry added that the decision to terminate the military sharing pact was due to trust issue between the two countries 278 GSOMIA initially set to expire on November 23 2019 but South Korea decide to reverse decision to continue the agreement on November 22 279 Concerns and controversies editAnti Japanese banner in Jung gu edit Main article 2019 boycott of Japanese products in South Korea On August 6 2019 1 000 anti Japan banners were put up in downtown Seoul as local workers began hanging the banners from the streets of Jung gu Days before on August 5 the district office which headed by Seo Yang ho announced the plan to set the banner ahead of National Liberation day on August 15 But the banner was sparked widespread anger by South Koreans who felt uncomfortable with the banners as there was a widespread consensus that the anti Japan movement is to be done by the civilians not by the government authorities as this action might harm the motivation of anti Japan movements and undermine the negotiation capability of the government Then the district head apologized for the situations and reversed his decision 280 A Cheong Wa Dae online petition website requesting to bring down the No Japan banners had collected more than 20 000 signatures 281 Pro Japanese praising video edit On August 7 2019 Chairman of Kolmar Korea Yoon Dong han played a video by a YouTuber named Leeseob TV praising Shinzo Abe and criticizing the Moon Jae In administration The video included vulgar language and comments such as Abe is definitely a great leader and President Moon Jae in should be thankful for not getting punched by Abe in the face This video sparked criticism against the chairman and prompt the company to issue the official statement regarding the video on August 9 282 But the online communities still anger and started to boycott the company s products The backlash prompt the chairman to issue public apology on August 11 and the chairman was resign after he apologized to 700 employees of the company 283 Shares of Kolmar Korea fell 6 2 after the official statement from the company 284 DHC TV anti Korean broadcast edit Starting on August 10 DHC Television a subsidiary of the Japanese cosmetic manufacturer DHC Corporation made inflammatory comments about Korea and its history This sparked anger among South Koreans and prompted DHC Korea to issue an apology on August 13 Korean consumers were urged to stop purchasing DHC s products 285 See also edit nbsp Business portal nbsp Japan portal nbsp Politics portal nbsp South Korea portalAnti Japanese sentiment in Korea Anti Korean sentiment in Japan China United States trade warNotes edit According to data from January to May 2019 South Korea imports 93 7 of Fluorinated polyimide 91 9 of Photoresist and 43 9 of Hydrogen Fluoride from Japan There was a significant decline in Hydrogen fluoride imports since 2010 at which point South Korea imported 72 2 from Japan Despite Fluorinated polyimide and Photoresist also having a noticeable decline since 2010 at 97 7 and 95 5 respectively the dependency on Japanese industries for these materials are still high 21 making South Korea still vulnerable to export restrictions from Japan failed verification From August 2019 the Japanese Ministry of Economy Trade and Industry renamed the Preferred Trade Partner List Countries or Whitelist Countries to Group A and nonwhitelist countries divided into Group B C and D and recategorized these countries to reflect their actual statuses against the Japanese export control system Newly renamed Group A includes 21 European Union member states Australia and New Zealand as well as Argentina Canada and the United States References edit a b Japan s move to lower South Korea trade status takes effect ABC News August 28 2019 일본 도대체 왜 지속되는 한일 경제 전쟁 그 해법은 Kyunghyang Shinmun in Korean August 9 2019 South Korea accuses Japan of waging economic war CNN August 9 2019 a b c Ezell Stephen January 16 2020 Understanding the South Korea Japan Trade Dispute and Its Impacts on U S Foreign Policy a href Template Cite journal html title Template Cite journal cite journal a Cite journal requires journal help a b c Kim Catherine August 9 2019 The escalating trade war between South Korea and Japan explained Vox Retrieved January 11 2021 a b c d e Update of METI s licensing policies and procedures on exports of controlled items to the Republic of Korea Press release METI July 1 2019 Retrieved July 1 2019 Through careful consideration among the relevant ministries in Japan the Government of Japan cannot help but state that the Japan ROK relationship of trust including in the field of export control and regulation has been significantly undermined Considering that certain issues in ROK s export control and regulation can only be addressed under a relationship of utmost trust METI has concluded that it must change the current implementation practices such as licensing policies and procedures for export or transfer of controlled items and their relevant technologies to the ROK in order to ensure appropriate implementation of Japan s own export control and regulation In addition as METI has recently found that certain sensitive items have been exported to the ROK with inadequate management by companies METI will apply more stringent procedures over certain controlled items and their relevant technologies Trade War Between Japan And South Korea The Organization of World Peace July 18 2019 Archived from the original on August 27 2019 Retrieved August 27 2019 2nd LD Moon warns Japan of grim consequences of export curbs against S Korea Yonhap News August 2 2019 Retrieved September 4 2020 a b c Why the Japan South Korea Trade War Is Worrying for the World Time Retrieved January 11 2021 Song Jung a Kana Inagaki August 28 2019 Why Japan South Korea relations have soured The Financial Times Retrieved January 11 2021 a b c The Japan South Korea Trade Dispute What to Know Council on Foreign Relations Retrieved January 11 2021 a b South Korea and Japan s feud explained BBC News December 2 2019 Retrieved January 11 2021 Deacon Chris March 10 2021 Re producing the history problem memory identity and the Japan South Korea trade dispute The Pacific Review 35 5 789 820 doi 10 1080 09512748 2021 1897652 ISSN 0951 2748 Lind Jennifer August 30 2019 The Japan South Korea dispute isn t just about the past The Washington Post Retrieved January 11 2021 Tachikawa Tomoyuki August 15 2019 Japan S Korea rift may change regional economic security structures Kyodo News Retrieved September 3 2019 Japan South Korea Tensions Escalate into Tit for Tat Trade Conflict Jiji Press August 14 2019 Retrieved September 3 2019 Pham Sherisse July 26 2019 The Japan South Korea trade spat is getting worse That s bad news for the tech industry CNN Retrieved July 26 2019 Japan South Korea dispute impact on semiconductor supply CNBC Retrieved July 26 2019 Supply of DRAM NAND and displays could be disrupted by Japan and South Korea dispute Anandtech Retrieved August 4 2019 Semiconductor Raw Material Import Critical For South Korean Industry WCCftech Retrieved July 4 2019 일본이 보복하는 반도체 소재의 대일수입 의존도는 얼마나 되나리지스트 에칭가스 플루오린폴리이미드 각각 91 9 43 9 93 7 Korea International Trade Association in Korean July 4 2019 Retrieved September 1 2019 Japan strengthening export controls against South Korea may leave China as sole winner in 5G competition Grici or jp Retrieved August 23 2019 Japan and South Korea Can t Get Along Foreign Affairs July 31 2019 Retrieved August 9 2019 NNSA Overview of the Multilateral Export Control Supplier Arrangements NSG MTCR AG and Wassenaar PDF CSIS Retrieved September 8 2020 Lee Jaewon November 2013 South Korea s Export Control System PDF SIPRI Background Paper Stockholm International Peace Research Institute Retrieved July 15 2020 한미전략물자보호 양해각서 발효 hankyung com in Korean April 11 1989 Retrieved January 15 2021 a b Multilateral Export Control System and Inter Korean Economic Cooperation Page 17 http www kiep go kr cmm fms FileDown do jsessionid JvGw0Il8O6Jk17Vsi7P3zWoS4NYQcjvxACwFc2MRKuMOaeMxgpf2YdJAgyhe9ydiKIEPWEB NEW servlet Engine4 atchFileId 00000000000000004630 amp fileSn 2 amp bbsId expertMeeRslt a b Hosokawa Masahiko July 3 2019 誤解だらけの 韓国に対する輸出規制発動 So many misunderstandings about the implementation of export control Nikkei Business Nikei BP Retrieved July 12 2020 国際経済への影響小さい 指定当時の経産省幹部 細川昌彦氏 The effect for international economy will be small Masahiko Hosokawa the person who had been in charge of designating South Korea into the white list told Tokyo Shinbun in Japanese July 27 2019 Retrieved August 12 2020 a b Hosokawa Masahiko July 23 2019 補足解説3 誤解だらけの 韓国に対する輸出規制発動 Appendix 3 So many misunderstandings about the implementation of export control Nikkei Business Nikei BP Retrieved July 19 2020 Article XXI Security Exceptions PDF WTO Retrieved July 19 2020 Why Japan and South Korea Have Their Own Trade War Bloomberg July 1 2019 Retrieved August 28 2019 Korean Japanese history in modern times Bloomberg August 22 2010 Retrieved September 27 2019 The World Conference on Japanese Military Sexual Slavery Archived November 20 2008 at the Wayback Machine Who were the Comfort Women The Establishment of Comfort Stations www awf or jp Retrieved January 11 2021 A trade war over 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Jazeera July 9 2019 Retrieved August 5 2019 Japan moves to curb exports to South Korean tech firms in escalation of forced labour row South China Morning Post July 1 2019 Retrieved July 30 2019 Japan to restrict semiconductor related exports to S Korea The Mainichi Archived from the original on July 29 2019 Retrieved August 5 2019 The Latest Japan blames S Korea export control weaknesses Associated Press July 12 2019 Retrieved July 30 2019 Sugiyama Satoshi July 10 2019 Japan surprised by South Korean response to export control accuses Seoul of trying to make the issue about free trade The Japan Times Online The Japan Times Furukawa Katsuhisa Sneider Daniel September 24 2019 RESOLVED Japan Has More to Gain Than to Lose from Its Export Controls on South Korea Debating Japan Center for Strategic and International Studies 2 8 Retrieved July 14 2020 Tensions over history North keep Japan South Korea at odds Federal News Network July 11 2019 Japan Korea trade row to grow with new Tokyo export limits The Mainichi July 29 2019 Retrieved July 30 2019 Data shows Japanese firms illegally shipped strategic items to N Korea lawmaker Yonhap July 11 2019 Farley Robert July 2 2019 Japanese Tech Export Controls on South Korea The Diplomat Retrieved July 30 2019 S Korea requests withdrawal of Japan s export controls to WTO Hankyoreh July 10 2019 Samsung heir Lee Jae yong flies to Tokyo to seek support from Japanese suppliers The Korea Herald July 8 2019 Samsung Secures Japan Parts Resources To Prevent Production Lag International Business Times July 16 2019 Samsung heir returns from Japan amid trade row Yonhap July 12 2019 Japan South Korea fail to mend dispute with frosty meeting Reuters July 12 2019 a b c Today s Press Conference by the Ministry of Trade Industry and Energy of the Republic of Korea Press release METI July 19 2019 Retrieved July 12 2019 Japan and South Korea clash at WTO over trade row Reuters July 24 2019 Japan S Korea trade barbs over export curbs at WTO 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cut each other from export whitelists as their trade war reignites World War II tensions Business Insider Retrieved August 4 2019 S Korea removes Japan from whitelist of trusted export partners Xinhua August 12 2019 Archived from the original on August 12 2019 Ji hye Shin September 17 2019 Japan officially removed from South Korea s whitelist The Korea Herald South Korea drops Japan from white list in trade row The Straits Times September 17 2019 Ji hye Shin September 1 2019 Removal of Japan from whitelist to take effect this month The Investor Heekyong Yang September 17 2019 South Korea removes Japan from fast track trade white list Reuters Regarding Today s Announcement by the ROK Government Press release METI July 28 2019 Retrieved July 24 2020 Japan approves first export of hydrogen fluoride to South Korea since controls tightened The Japan Times August 30 2019 Retrieved August 31 2019 Japan OKs 1st shipment of hydrogen fluoride to S Korea since export curbs The Korea Herald August 29 2019 Retrieved August 31 2019 METI submitted opinions and questions regarding the plans of the ROK to revise the Public Notice of the Exportation and Importation of Strategic Items Press release METI September 3 2019 Retrieved July 27 2020 a b White Edward Harding Robin Buseong Kang September 11 2019 South Korea files WTO complaint over Japan trade restrictions Financial Times Retrieved September 12 2019 South Korea will lodge WTO complaint over Japan s export curbs Al Jazeera September 11 2019 Retrieved September 12 2019 Sugiyama Satoshi September 20 2019 Japan agrees to WTO consultation with South Korea amid trade dispute The Japan Times Retrieved September 20 2019 Kaneko Kaori Shimizu Ritsuko September 20 2019 Japan agrees to hold bilateral talks with S Korea in WTO dispute Reuters Retrieved September 20 2019 Narazaki Takashi Hajimu Takeda September 27 2019 Japan S Korea foreign ministers meet but fail to thaw relations The Asahi Shimbun Retrieved September 27 2019 Ahn Shery Wainer David September 27 2019 South Korea s Foreign Minister Says Big Disagreements With Japan Persist Bloomberg Retrieved September 27 2019 Sohee Kim October 1 2019 Japan Curbing Export of a Key Chipmaking Material South Korea Says Bloomberg Retrieved October 7 2019 Japan Held Consultations with the Government of the Republic of Korea under the WTO Agreement Regarding Japan s Update of Licensing Policies and Procedures on Exports to the ROK Press release METI October 12 2019 Retrieved July 28 2020 Sohee Kim October 11 2019 S Korea Japan end 1st round of talks on trade row agree to meet again Yonhap Retrieved October 12 2019 Japan Held Consultations under the WTO Agreement with the Government of the Republic of Korea Regarding Japan s Update of Licensing Policies and Procedures on Exports to the ROK METI November 20 2019 Retrieved July 28 2020 Nam Sang ho November 20 2019 한일 2차 협의 평행선 WTO 법적공방 가능성 커져 MBC News in Korean Retrieved November 20 2019 S Korea decides to suspend WTO petition against Japan s export control Yonhap News Agency November 22 2019 Retrieved September 7 2020 Director General Level Preparatory Meeting for the Seventh Japan Korea Export Control Policy Dialogue Press release METI December 5 2019 Retrieved August 8 2020 The Seventh Japan Korea Export Control Policy Dialogue Held Press release METI December 16 2019 Retrieved August 9 2020 2020 New Year s Address by President Moon Jae in Cheongwadae August 2 2019 Retrieved September 6 2020 Announcement on the Eighth Japan Korea Export Control Policy Dialogue Press release METI February 21 2020 Retrieved August 9 2020 Announcement on the Eighth Japan Korea Export Control Policy Dialogue Press release METI March 6 2020 Retrieved August 9 2020 The Eighth Japan Korea Export Control Policy Dialogue Press release METI March 11 2020 Retrieved August 10 2020 Press Conference by Minister of Economy Trade and Industry Kajiyama provisional translation excerpted version PDF Press release METI June 19 2020 Retrieved August 10 2020 Press Conference by Minister of Economy Trade and Industry Kajiyama provisional translation excerpted version PDF Press release METI June 30 2020 Retrieved August 10 2020 Korea s Anti Dumping Duties on Pneumatic Valves from Japan were Eliminated Press release METI August 18 2020 Retrieved January 10 2021 Buzard Kristy Claussen Kathleen October 2021 Under Pressure Intractable Trade Conflicts and Korea Pneumatic Valves World Trade Review 20 4 509 523 doi 10 1017 S1474745621000124 hdl 1814 69021 ISSN 1474 7456 S2CID 236547358 Ferrier Kyle November 24 2020 Could RCEP Help Improve South Korea Japan Relations The Diplomat Retrieved December 18 2020 Ex lawmaker Kang Chang il named new South Korean envoy to Japan The Japan Times November 23 2020 Retrieved January 22 2021 New South Korean ambassador to Japan Kang Chang il arrives in Tokyo koreatimes January 22 2021 Retrieved January 22 2021 New South Korea envoy vows to improve ties with Japan The Japan Times January 17 2021 Retrieved January 22 2021 Japan South Korea Relations and the Biden Factor Council on Foreign Relations Retrieved January 12 2021 WT DS553 R KOREA SUNSET REVIEW OF ANTI DUMPING DUTIESON STAINLESS STEEL BARS pdf WTO November 30 2020 Retrieved January 10 2021 WTO largely backs Japan over South Korean steel duties Reuters December 1 2020 Retrieved January 10 2021 Returning Seoul Tokyo Relations to Normalcy Council on Foreign Relations Retrieved December 18 2020 이치동 December 8 2020 LEAD Moon S Korea to consider joining CPTPP to expand its free trade network Yonhap News Agency Retrieved December 18 2020 South Korea to consider joining TPP trade pact Moon says The Japan Times December 8 2020 Retrieved December 18 2020 South Korea to continue efforts to improve ties with Japan Moon The Jakarta Post Retrieved January 12 2021 S Korea to actively consider joining CPTPP The Dong a Ilbo January 12 2021 Retrieved January 12 2021 Japan and South Korea eye package to resolve wartime labor row and other issues The Japan Times March 5 2023 Retrieved March 25 2023 S Korea announces plan to resolve row over Japan forced labour Al Jazeera March 6 2023 Retrieved March 25 2023 Mackenzie Jean Yong Nicholas March 6 2023 South Korea to compensate victims of Japan s wartime forced labour BBC Retrieved March 25 2023 Siripala Thisanka March 7 2023 Japan Welcomes South Korean Deal to End Colonial Era Forced Labor Dispute The Diplomat Retrieved March 25 2023 139 140 141 142 South Korea and Japan A milestone meeting of frenemies BBC March 16 2023 Retrieved March 25 2023 Yamaguchi Mari March 17 2023 Japan South Korea renew ties at Tokyo summit AP News Retrieved March 25 2023 Yoon Suk Yeol to return Japan to South Korea s trade whitelist Nikkei Asia March 21 2023 Retrieved March 25 2023 South Korea restores intelligence sharing pact with Japan The Japan Times March 21 2023 Retrieved March 25 2023 Japan officially lifts South Korea trade curbs as ties warm Nikkei Asia March 23 2023 Retrieved March 25 2023 S Korea drops WTO trade complaint against Japan begins process for white list reinstatement Yonhap News Agency March 23 2023 Retrieved March 25 2023 Yamaguchi Mari Kim Tong Hyung March 23 2023 Japan South Korea drop export claims against each other AP News Retrieved March 25 2023 민주당 강제동원 정부안에 피해자 짓밟고 일본 기업 이익 대변하나 경향신문 January 12 2023 Archived from the original on January 12 2023 Retrieved March 8 2023 이재명 日 퍼주기 외교에 야스쿠니 집단 참배 같은 도발뿐 뉴스프리존 April 24 2023 Retrieved April 25 2023 Statement to media by Minister Sung on MOTIE s letter sent to Japan s METI Ministry of Trade Industry and Energy South Korea July 24 2019 Retrieved August 24 2019 Letter by the ROK government regarding Japan s plan to revise its export controls Summary Ministry of Trade Industry and Energy South Korea July 30 2019 Retrieved August 24 2019 South Korea eyes taking Japan to WTO over export curbs Kyodo News July 1 2019 Retrieved July 28 2019 Japan export curbs could be prolonged says South Korea s Moon Al Jazeera Retrieved July 28 2019 President Moon warns of retaliation urges Japan to negotiate The Korea Herald August 2 2019 Retrieved August 2 2019 Opening Remarks by President Moon Jae in at Emergency Cabinet Meeting Office of the President Republic of Korea August 2 2019 Retrieved September 5 2020 Korea to restrict imports from Japan s Fukushima The Korea Times August 4 2019 Retrieved August 7 2019 S Korea s Moon offers to join hands if Japan seeks dialogue Kyodo News Retrieved August 16 2019 South Korea to spend 6 5 billion on R amp D to cut reliance on Japanese imports Reuters August 5 2019 Jun suk Yeo August 29 2019 As Japan lowers Korea s trade status Seoul announces W5tr plan to boost materials capacity The Korea Herald Kwang tae Kim August 29 2019 S Korea unveils record high budget for 2020 Yonhap S Korean Regional Gov ts Boycott Japanese Products Bilateral Exchanges KBS World Radio Retrieved August 6 2019 Sim Walter September 7 2019 Seoul Busan pass laws to boycott Japan war crime firms The Straits Times Retrieved September 8 2019 South Korea s 2 major cities pass bill to boycott war crime firms Nikkei Asian Review September 6 2019 Retrieved September 8 2019 S Korea s 2 major cities pass bill to boycott war crime firms Mainichi Daily News September 6 2019 Retrieved September 8 2019 Ji won Park July 4 2019 Opposition party floor leader raps Abe for trade retaliation The Korea Times Retrieved August 7 2019 He suk Choi July 10 2019 News focus Japan s export curbs fuel political feud in S Korea The Korea Herald Retrieved August 7 2019 Suk yee Jung July 18 2019 Ruling and Opposition Parties Seeking Different Solutions to Japan s Economic Retaliation Business Korea Retrieved August 7 2019 President Moon 5 party chiefs discuss Japan s export curbs Korea net July 18 2019 Ji won Park July 29 2019 Parties to establish body to tackle disputes with Japan The Korea Times Retrieved August 7 2019 South Koreans call for boycott of Japanese products amid wartime labor dispute Channel NewsAsia July 5 2019 Archived from the original on July 28 2019 Retrieved July 28 2019 South Koreans call for boycott of Japanese cars beer and cosmetics as trade war intensifies South China Morning Post July 4 2019 Retrieved July 28 2019 South Koreans are cancelling their Japan trip amid trade war Travel Daily Media July 23 2019 Calls for boycott of Japan grow in South Korea as diplomatic row simmers Reuters July 23 2019 a b Feature Boycott of Japanese goods services spreads rapidly The Korea Herald July 22 2019 Retrieved October 8 2019 Anti Abe protest in Seoul The Korea Times July 27 2019 Thousands of South Koreans Protest Japanese Trade Curbs The Korea Times August 3 2019 Students hold anti Abe protest demand Seoul s withdrawal from intel sharing pact with Tokyo Yonhap August 10 2019 74주년 광복절 NO 아베 물결 계속된다 광화문서 10만명 촛불문화제 Korea Economic Daily in Korean August 15 2019 Anti Japan demonstrations mark Korean independence day celebration UPI August 15 2019 Thunder of protest echoes across Seoul but voices mixed Asia Times August 15 2019 South Korean man dies after setting himself on fire outside Japanese embassy in Seoul CNN July 19 2019 S Korean man sets himself ablaze in protest against Japan Japan Today August 1 2019 Second S Korean man sets himself ablaze in apparent Japan protest Al Jazeera August 1 2019 Anime Doraemon Latest Victim of Japan South Korea Trade War The Hollywood Reporter August 4 2019 Widening boycott of Japanese goods seeps into culture sector Yonhap August 5 2019 Over 6 in 10 Koreans taking part in boycott of Japanese goods poll The Korea Herald July 25 2019 Retrieved August 7 2019 일제 불매운동 현재 참여자 48 55 63 Realmeter in Korean July 25 2019 Retrieved August 7 2019 Koreans view of Japan falls to record low poll The Korea Times July 12 2019 Retrieved August 7 2019 Jae hyuk Park August 12 2019 KIC also urged to stop investing in Japan The Korea Times Retrieved August 14 2019 Jae hyuk Park August 12 2019 NPS urged to stop investments in Japan The Korea Times Retrieved August 14 2019 White Edward Jung a Song Inagaki Kana August 12 2019 Korean pension fund reviews Japan investments over war crimes Financial Times Retrieved August 14 2019 Suk yee Jung July 25 2019 Chemical Industry Most Dependent on Japanese Materials and Components Business Korea Retrieved August 24 2019 Ji hye Shin July 11 2019 News Analysis Why is Korea so dependent on Japanese materials The Korea Herald Retrieved August 24 2019 He suk Choi July 30 2019 News focus No easy way out for Seoul Tokyo deadlock The Korea Herald Retrieved August 24 2019 Hyun mook Choi July 5 2019 Korea Has Few Options Over Japan s Export Restrictions The Chosunilbo Retrieved August 24 2019 a b Je hae Do July 26 2019 Moon needs strategic response to deal with Japan row The Korea Times Retrieved August 24 2019 Security Export Control PDF METI Retrieved July 18 2020 Outline of Export Control and Update PDF METI Retrieved July 18 2020 Japan s Position on the Press Conference by MOTIE of the ROK on July 24th METI July 24 2019 Retrieved August 24 2019 Leussink Daniel August 13 2019 Japan says South Korea failed to justify trade restriction Reuters Japan Says S Korea Failed to Explain Reason for New Trade Restrictions VOA News August 13 2019 Retrieved August 14 2019 Hosokawa Masahiko July 3 2019 補足解説 誤解だらけの 韓国に対する輸出規制発動 Appendix So many misunderstandings about the implementation of export control Nikkei Business Nikei BP Retrieved July 12 2020 Hosokawa Masahiko July 5 2019 補足解説2 誤解だらけの 韓国に対する輸出規制発動 Appendix 2 So many misunderstandings about the implementation of export control Nikkei Business Nikei BP Retrieved July 12 2020 Concerned citizens slam Tokyo over downward spiral in ties with South Korea Japan Times July 26 2019 Survey 35 of voters picking LDP in election 12 for CDP The Asahi Shimbun July 15 2019 Retrieved August 7 2019 Japanese protesters march against Abe in Tokyo Arirang August 5 2019 Protesters in Japan call on Shinzo Abe to resign amid South Korea row UPI com August 8 2019 a b 아베 관저 앞 아베 퇴진 한국은 적 아니다 MBC News in Korean August 8 2019 Busan Hirokazu Kore eda Calls for Artistic Solidarity Across Borders Amid Japan Korea Trade War The Hollywood Reporter October 5 2019 Tragedies over the trade spat with Seoul Japan Times July 16 2020 Retrieved January 15 2021 U S tech industry voices concerns over Japan s export restrictions against S Korea Dong A Ilbo July 25 2019 Retrieved July 29 2019 U S Tech Warns Japan South Korea Spat Could Cause Global Harm Bloomberg July 24 2019 Retrieved July 29 2019 The Latest SKorea to drop Japan from own trade whitelist ABC News Retrieved August 1 2019 Schatten der Historie Suddeutsche Zeitung in German August 29 2019 Retrieved March 2 2023 3rd LD Trump says S Korea Japan row puts U S in very bad position Yonhap August 10 2019 South Korea vs Japan The Trade War the World Needs to Watch The National Interest July 28 2019 Retrieved August 24 2019 Arrington Celeste July 18 2019 Japan claims it s restricting exports to South Korea because of national security Here s the real reason why The Washington Post Retrieved August 24 2019 Reynolds Isabel Lee Jihye July 11 2019 No exit in sight from worst Japan South Korea dispute in decades The Japan Times Retrieved August 24 2019 Shao Grace August 24 2019 Tension between Japan and South Korea is rising and it looks set to drag down trade CNBC Retrieved August 24 2019 Shao Grace August 22 2019 China treads a fine line as it seeks to mediate in Japan South Korea trade dispute CNBC Retrieved August 24 2019 Joohee Cho July 17 2019 South Korea and Japan trade dispute could lead to dire consequences official warns ABC News Retrieved August 24 2019 Jung a Song September 25 2019 South Korea and Japan business leaders call for end to dispute Financial Times Retrieved October 2 2019 Hosokawa Rontaro July 14 2019 WTO agrees to discuss Japan s export curbs on South Korea Nikkei Asian Review Retrieved August 4 2019 Agence France Presse July 24 2019 S Korea Trade Complaints Not Acceptable Japan Tells WTO VOA Retrieved July 22 2020 Miles Tom July 24 2019 Japan and South Korea clash at WTO over trade row Reuters Retrieved August 7 2019 U S says WTO cannot review Japan s use of national security exception Inside U S Trade June 30 2020 Retrieved August 24 2020 U S Supports Japan s View over Export Controls on S Korea Jiji Press June 30 2020 Retrieved August 24 2020 Japan South Korea agree on need for dialogue to repair frayed ties Channel NewsAsia August 21 2019 China urges Japan South Korea to resolve dispute through dialogue Kyodo News August 21 2019 Abe Lee still far apart over WWII compensation at Tokyo meeting The Asahi Shimbun October 25 2019 Retrieved November 8 2019 News analysis Moon and Abe take surprise 11 minute meeting in Bangkok Hankyoreh November 5 2019 Retrieved November 8 2019 Takao Harakawa November 11 2019 Japanese Officials Irked by South Korea s Photo Ambush of Prime Minister Abe at ASEAN Meeting Japan Forward Retrieved August 9 2020 Asia falls after Trump announces more tariffs on China Hong Kong Japan drop more than 2 CNBC com August 2 2019 Trading on South Korea s tech heavy Kosdaq suspended after stocks slide The Straits Times August 5 2019 Seoul stocks dip to 7 month low Korean won sinks amid escalating trade tensions Yonhap August 2 2019 Korean won sinks to over 3 yr low amid escalating trade tensions Yonhap August 5 2019 S Korea stocks slump over 2 on escalating tension with Japan trade worries Reuters August 5 2019 Fujikawa Megumi September 2 2019 US China Trade War Takes Tool on South Korea and Japan Retrieved September 17 2019 Suk yee Jung July 11 2019 S amp P Lowers S Korea s economic growth outlook for 2019 from 2 4 to 2 0 Business Korea Retrieved August 7 2019 Jae hyuk Park July 16 2019 Fitch may cut Korea s growth outlook to below 2 The Korea Times Retrieved August 7 2019 Jae hyuk Park July 17 2019 Skepticism growing over Korean economy The Korea Times Retrieved August 7 2019 Nam ku Jeong July 19 2019 Bank of Korea to lower benchmark interest rate Hankyoreh Retrieved August 7 2019 Kim Sam October 15 2019 Bank of Korea Warns of Weaker Growth After Cutting Rates Again Bloomberg Retrieved October 23 2019 Moody s revises down 2019 2020 economic growth outlooks for S Korea Yonhap August 26 2019 Seok hwan Chung Hyo jin Kim August 26 2019 Moody s revises down Korea s growth outlook amid trade spat with Japan Pulse Consumer sentiment plunges to over 2 year low in August Yonhap August 27 2019 Jiyeun Lee August 27 2019 Korean Consumers Slide Into Gloomiest Mood Since January 2017 Bloomberg Yeon joo Kim Jee hyun Cho July 26 2019 Moody s revises down Korea s growth outlook amid trade spat with Japan Pulse News WTO lowers trade forecast as tensions unsettle global economy PDF Press release World Trade Organization October 1 2019 Retrieved October 3 2019 The darkening outlook for trade is discouraging but not unexpected Beyond their direct effects trade conflicts heighten uncertainty which is leading some businesses to delay the productivity enhancing investments that are essential to raising living standards Tan Weizhen October 23 2019 Growth in major Asian economies set to slow more than expected IMF says CNBC Retrieved October 23 2019 Moon hee Choi July 30 2019 Credit card sales of Japanese Retailers Falling due to Koreans Boycott of Japanese Goods Business Korea Retrieved August 7 2019 Da sol Kim August 2 2019 Uniqlo records 40 percent drop in sales closes its Jongno 3 ga store The Korea Herald Retrieved August 7 2019 Uniqlo owner Fast Retailing keeps posting record profits but one analyst warns of uncertainty CNBC com October 11 2019 Retrieved October 26 2019 Aug foreign car sales dip 5 6 pct on weak Japanese car demand Yonhap September 4 2019 Sales of Japanese cars in South Korea slump amid growing diplomatic tensions CNBC August 5 2019 Retrieved September 4 2019 Japanese car sales plunge in S Korea as trade row rages France 24 September 4 2019 Shinhye Kang September 3 2019 South Koreans Appear to Have Lost Their Taste for Japanese Beer Bloomberg Retrieved September 17 2019 Garikipati Ram September 16 2019 Imports of Japanese beer fall sharply on boycott The Investor Retrieved September 17 2019 Nissan to withdraw from South Korea by end of 2020 just auto May 29 2020 Retrieved September 28 2020 a b 国籍 月別 訪日外客数 2003年 2019年 Number of inbound visitors to Japan by country by month 2003 2019 PDF in Japanese Japan National Tourism Organization 訪日外国人消費動向調査 Inbound visitors spending survey PDF in Japanese Japan Tourism Agency July 17 2019 Japan s August current account surplus up 18 The Japan Times Online The Japan Times October 8 2019 韓国人客半減でも旅行収支黒字は過去最高 ８月国際収支 Travel balance record high despite Korean visitors down by half August balance of payments in Japanese Sankei Shimbun October 8 2019 韓国からの旅行者 ９月は５８ 減 関係悪化で手控える動き South Korean travelers 58 decrease in September refrain from traveling as worsening relationships in Japanese Sankei Shimbun October 16 2019 Archived from the original on October 16 2019 Retrieved October 16 2019 Shao Grace July 31 2019 The escalating dispute between Tokyo and Seoul is already affecting businesses CNBC Retrieved August 7 2019 Allen Michael August 21 2019 Korean Air suspends more Japan routes amid Korea Japan tensions Business Traveller Retrieved September 14 2019 Hyun Noh Eun joo Lee August 14 2019 Air Seoul becomes last S Korean airline to roll back Japan services Pulse Retrieved September 14 2019 Yeung Jessie August 10 2019 Airfares from Japan to South Korea drop to under 10 CNN Retrieved September 14 2019 Eguchi Go September 8 2019 9 to Seoul Airfares from Japan to South Korea dive as ties fray Nikkei Asian Review Retrieved September 14 2019 S Korea reviewing military intel sharing pact with Japan China Daily Retrieved August 22 2019 Choe Sang Hun Motoko Rich Wong Edward August 22 2019 South Korea Says It Will End Intelligence Sharing Deal With Japan Adding to Tensions New York Times South Korea Ends Pact to Share Military Information With Japan Wall Street Journal August 22 2019 Editorial Tokyo Seoul both to blame for failing ties both must seek solution Mainichi Daily News August 23 2019 Retrieved September 25 2019 S Korea to scrap military info sharing pact with Japan Cheong Wa Dae Yonhap August 22 2019 Kang says decision to end military pact with Japan separate from S Korea U S alliance Yonhap August 22 2019 South Korea reverses decision to suspend intelligence deal with Japan Reuters November 22 2019 No Japan flags in Seoul streets taken down in face of public outrage Korea Herald August 6 2019 Anti Japan banners hung by Seoul district taken down after outcry The Japan Times Online August 6 2019 Kolmar Korea chairman quits over controversial video Korea Times August 11 2019 Boss of South Korean cosmetics firm Kolmar quits after backlash over YouTube clip praising Japan s conduct in trade war South China Morning Post August 11 2019 Korean cosmetics firm in hot water over video praising Japan in trade row Reuters August 9 2019 Japan s DHC TV revives hate speech controversy The Korea Times August 15 2019 Further reading editToropchin Gleb and Anastasia Tolstukhina Semiconductor War between Japan and South Korea Russian Council 2019 Deacon Chris Re producing the history problem memory identity and the Japan South Korea trade dispute The Pacific Review 2022 External links edit nbsp Quotations related to Japan South Korea trade dispute at Wikiquote nbsp Media related to Japan South Korea trade dispute at Wikimedia Commons Update of METI s licensing policies and procedures in relation to the Republic of Korea METI BBC News explanation about spat between Japan and South Korea BBC Retrieved from https en wikipedia org w index php title Japan South Korea trade dispute amp oldid 1178772136, wikipedia, wiki, book, books, library,

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