Japan's move to lower South Korea trade status takes effect

In this Tuesday, Aug. 27, 2019, photo, Japan's Trade Minister Hiroshige Seko speaks during a press conference in Tokyo. Japan removed South Korea from a list of nations given preferential trade status, a decision when announced earlier has set off a series of actions from both sides that have hurt bilateral relations. (Takuya Hatayama/Kyodo News via AP)

TOKYO — Japan's downgrading of South Korea's trade status has taken effect, a decision that already set off reaction and hurt bilateral relations.

As of 12:01 a.m. Wednesday, Japanese manufacturers must apply for approval for each technology-related contract for South Korean export, such as fluorinated polyimides used for displays. South Korea's previous status as a preferential trade partner meant simpler checks on exports.

Since Japan announced the decision, South Korea decided to similarly downgrade Tokyo's trade status, which will take effect next month. Seoul has also canceled a deal to share military intelligence with Japan.

South Korea has accused Japan of weaponizing trade because of a separate dispute linked to Japan's colonial rule of the Korean Peninsula from 1910 to 1945.

Japan denies retaliating and says wartime compensation issues were already settled.

People also read these

Foreign doctors deem ill Chinese Nobel laureate OK to travel

Jul 9, 2017

Two foreign specialists who visited Liu Xiaobo say the cancer-stricken Nobel Peace Prize laureate...

The Latest: Death toll in China's Sichuan quake rises to 13

Aug 9, 2017

A local government in southwest China says the death toll from a strong earthquake has risen to 13...

Chinese bitcoin exchange announces it is ending trading

Sep 15, 2017

One of China's biggest bitcoin exchanges says it will stop trading following reports regulators...

China's Xi calls for more technology development

Oct 18, 2017

President Xi Jinping has called for China's ruling Communist Party to step up technology...

Survey: US firms losing confidence in China business climate

Dec 6, 2017

Survey finds U.S. companies' China sales improving but outlook clouded by policies and regulatory...

AseanCoverage is a next-gen news site focusing exclusively on online news from South East Asia.

Contact us: sales[at]aseancoverage.com