Normalization of Hydrofluoric Acid and Photoresist Exports to Korea... Lee Chang-yang: "First Step in Building Trust Between Korea and Japan (Comprehensive)"

Minister Lee: "First Step Toward Global Supply Chain Stabilization Cooperation"
South Korea and Japan to Expedite Talks on Resuming Whitelist

Lee Chang-yang, Minister of Trade, Industry and Energy, who accompanied President Yoon Suk-yeol on his visit to Japan, stated on the 16th that "Japan's export restrictions on three semiconductor items to Korea will be lifted," calling it "the first step in building trust between Korea and Japan."

Minister Lee made these remarks during a briefing held at a press center set up in a hotel in Tokyo, Japan, in the afternoon, adding, "It will serve as a cornerstone for cooperation to stabilize the global supply chain."

He explained that once trade between the two countries normalizes, it will not only strengthen the competitiveness of Korea's materials, parts, and equipment (SoBuJang) industry but also enable Korea, the United States, Japan, and Taiwan?leaders in the semiconductor industry?to contribute to global supply chain stability through practical cooperation.

Accordingly, Japan will normalize exports to Korea of three key semiconductor materials: hydrogen fluoride, fluorinated polyimide, and photoresist. This marks about four years since the export restrictions imposed by Japan on Korea in July 2019, which had effectively locked the relationship between the two countries.

The Ministry of Trade, Industry and Energy held the 9th Korea-Japan Export Control Policy Dialogue (at the director-general level) with Japan's Ministry of Economy, Trade and Industry over three days from the 14th to the morning of the 16th, following the announcement on the 6th of this month of a bilateral consultation policy to restore the status quo of export restrictions between Korea and Japan. During the policy dialogue, close exchanges of opinions were conducted regarding the effectiveness of export control, including the systems, institutional operations, and post-management of export control authorities in both countries.

The Korean government also agreed to withdraw its World Trade Organization (WTO) complaint against Japan's measures on the three items simultaneously with the changes in Japan's export control operation regulations for these items.

Minister Lee Chang-yang of the Ministry of Trade, Industry and Energy is delivering opening remarks at the 'Korea-Middle East Economic Cooperation Public-Private Promotion Committee' held on the 16th at Lotte Hotel in Jung-gu, Seoul. Photo by Yoon Dong-joo doso7@

However, the removal of the country category (white list) exclusion measure was not agreed upon. Minister Lee explained, "Changes to the white list are measures taken separately by each country, requiring legal procedures and time for institutional changes," adding, "Japan must have the relevant ordinance, equivalent to our presidential decree, approved by the Cabinet, and Korea must go through the Ministry of Trade, Industry and Energy ministerial notification process," and "both cases require legal consultation procedures."

Minister Lee further added, "Both sides agreed to closely discuss the white list measures to ensure their prompt restoration."

Kang Gam-chan, Director-General for Trade Security Policy at the Ministry of Trade, Industry and Energy, who was in charge of practical negotiations with Japan, said, "It is difficult to predict the timing of the restoration," but added, "We will discuss closely to restore it as quickly as possible."

When asked by reporters about the economic effects related to the lifting of restrictions on the three items, Director-General Kang replied, "The direct impact of lifting restrictions on these items includes shortening the permit period, simplifying required documents, and making applications to local industry offices instead of the Ministry of Economy, Trade and Industry headquarters, which improves convenience," adding, "It reduces corporate uncertainty and costs."

Regarding the driving force behind resolving a problem that had been dormant for over four years in a short time, he mentioned, "Although short, we held official and unofficial meetings almost daily, including weekends, and proceeded very closely," adding, "There was a mutual need to resolve the Korea-Japan export control issue."

This content was produced with the assistance of AI translation services.