South Korea to Lodge Complaint to WTO on Japanese Economic Retaliation; Does Not Complain About Chinese Economic Retaliation
It appears that the Abe administration has lost patience with the Moon administration over the forced labor ruling and decided to do what the Chinese did and economically retaliate against South Korea:
South Korea’s trade minister said Monday the government plans to file a complaint with the World Trade Organization (WTO) over Japan’s decision to tighten the rules for exports of semiconductor and display materials to Seoul, amid a simmering diplomatic row over wartime force labor.
“South Korea has been making efforts to maintain a mutually beneficial relationship with Japan,” Industry Minister Sung Yun-mo told reporters, describing the Japanese measure as an “economic retaliation” against South Korea’s Supreme Court ruling on compensation for wartime forced labor.
Sung added the action contradicts not only WTO rules but also global efforts to seek a free, fair and predictable free-trade environment as proposed at the Group of 20 summit held in Japan last week.
“(The government) will continue to communicate closely with local firms to minimize the impact, and will take this event as an opportunity to beef up the competitiveness of the country’s parts, materials, and equipment (sectors),” Sung said, adding that Seoul will take all necessary measures including diversifying import sources.
Earlier in the day, the Japanese government said it will strengthen regulations on the export to South Korea of high-tech chemicals used in semiconductor and smartphone production starting Thursday, apparently in response to South Korea’s ruling on compensation for wartime forced labor.
Yonhap
You can read more at the link, but for those that have not been following this issue, the Japanese side does not dispute the forced labor claim, what they dispute is that they already paid compensation with the 1965 treaty. Instead of handing out money for individual compensation, the ROK government used the money to develop the economy instead.
As I have always said about this issue is the ROK government going to support compensation claims against China for their role in the destruction of South Korea during the Korean War that killed tens of thousands of South Koreans?
Speaking of China they have just launched their latest economic retaliation against South Korea for hosting the THAAD battery:
China removed ~120 billboard/bus station ads of #SouthKorean companies #Samsung, #Hyundai & #Kia overnight on 6/29 with no compensation nor notice. It recruited ~400 people using cranes & solder equipment. China’s pressure tactic.https://t.co/1V7PrA1Kft
— Tara O (@DrTaraO) July 1, 2019
Despite all the economic retaliation against South Korea from China over the THAAD dispute, the Moon administration has not lodged complaints to the WTO. This is just the latest example of hypocrisy between how the ROK government responds to the Japanese government compared to China.
