South Korea’s President Moon Jae-in (L) is welcomed by Japan’s Prime Minister Shinzo Abe to the G-20 Summit in June 2019.
Ludovic Marin | AFP | Getty Photos
South Korea’s president mentioned on Wednesday Japan’s export curbs on key supplies utilized by South Korean know-how companies might be extended, and Seoul will assist corporations scale back their reliance on Japanese suppliers.
Japan mentioned final week it could tighten restrictions on exports of three supplies utilized in smartphone shows and chips, citing a dispute with Seoul over South Koreans compelled to work for Japanese companies throughout World Battle Two.
“We can’t rule out the possibility that the situation would be prolonged, despite our diplomatic efforts to resolve the issue,” President Moon Jae-in mentioned at a gathering with executives from South Korea’s high 30 conglomerates.
The motion hit South Korea’s chip business — the spine of Asia’s fourth-biggest economic system — and doubtlessly threatens to disrupt international provides of reminiscence chips made by Samsung Electronics and SK Hynix.
“It is a very regrettable situation, but we have no choice but to prepare for all possibilities,” mentioned Moon, including that the federal government will sharply enhance spending to assist Korean companies supply components, supplies and tools domestically.