Ukraine crisis feared to have extensive impact on Korean economy: finance chief
Finance Minister Hong Nam-ki / Yonhap
Finance Minister Hong Nam-ki said Thursday the ongoing crisis surrounding Ukraine is forecast to have significant impacts on the South Korean economy, vowing to seeking every policy means to overcome the difficulties.
The government has been closely monitoring Russia's invasion of Ukraine, as it has joined the U.S.-led global efforts to impose sanctions on Moscow.
"Russia's invasion of Ukraine has had negative fallout on global supply chains and the financial and real economy sectors, and chances are that such impacts will deepen," Hong said during a committee meeting meant to boost competitiveness of the country's parts, materials and equipment segments.
South Korea has made all-out efforts to minimize the impacts by taking measures including securing additional stocks of such raw materials as neon and krypton, Hong said, as the country depends heavily on Russia and Ukraine for imports of those items.
South Korea relies on overseas supplies for most of its energy needs.
The minister also vowed to continue to seek comprehensive measures to better support the key sectors on their production and trade based upon experiences of overcoming Japan's export curbs and the urea supply crisis.
South Korea suffered a shortage of urea solution, a key fluid used in diesel vehicles to cut emissions, late last year following export curbs by China.
In July 2019, Japan imposed export controls on chemicals vital to the South Korean chip industry in apparent retaliation against 2018 South Korean Supreme Court rulings ordering Japanese firms to compensate South Korean victims of forced labor during Japan's 1910-45 colonial rule of the Korean Peninsula. (Yonhap)