South Korea-Japan Trade Conflict Escalates. Will the US Step in?

South Korea is all set to reduce its dependence on Japan as the trade conflict escalates between the two countries.

Trade in Focus

South Korea is all set to reduce its dependence on Japan as the trade conflict escalates between the two countries. Since July 1, Japan restricted exports of raw materials vital for manufacture of memory chips and smartphone displays to South Korea.

In retaliation, South Korean Finance Minister Hong Nam-Ki has confirmed that the government is planning to reduce economic dependence on Japan’s exports and equipment industries. On Wednesday, a senior US diplomat also met with South Korean officials in order to help resolve the tensions building up.

So far, the US has not officially stepped in or commented on the issue. However, at risk is the global supply of memory chips and smartphone displays – key components used in tech industries, which would affect the US significantly if this issue escalates.

ABOUT THE AUTHOR See More
Arslan Butt
Index & Commodity Analyst
Arslan Butt serves as the Lead Commodities and Indices Analyst, bringing a wealth of expertise to the field. With an MBA in Behavioral Finance and active progress towards a Ph.D., Arslan possesses a deep understanding of market dynamics.His professional journey includes a significant role as a senior analyst at a leading brokerage firm, complementing his extensive experience as a market analyst and day trader. Adept in educating others, Arslan has a commendable track record as an instructor and public speaker.His incisive analyses, particularly within the realms of cryptocurrency and forex markets, are showcased across esteemed financial publications such as ForexCrunch, InsideBitcoins, and EconomyWatch, solidifying his reputation in the financial community.

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