EXPORT CURB AGENDA AT WTO

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The highest decision-making body of the World Trade Organization will look into Japan's export restrictions to South Korea, at the WTO General Council slated for July 23rd. Attention is now being drawn to how the issue will be addressed, and what claims will be made from both sides.

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"Statement by the Republic of Korea on export restrictive measures by Japan" This is the agenda presented by Korea to the World Trade Organization General Council slated for July 23rd and 24th in Geneva, Switzerland. The South Korean government presented this agenda on July 11th and confirmed its inclusion in the General Council's list of 14 agenda items for that day. The General Council is the highest decision-making body of the WTO, attended by the representatives from its 164 member nations.

[Soundbite] JEONG GYEONG-ROK(MINISTRY OF TRADE, INDUSTRY AND ENERGY) : "We brought up the irrationality of the restrictive measures at the WTO Council for Trade in Goods on July 9th and urged for their withdrawal. But this time we're taking the matter to the General Council to publicize it further."

As done previously at the WTO Council for Trade in Goods on July 9th, Korea is planning to underscore the export controls' negative impact on global trade and demand the withdrawal of the restrictions. However, Seoul officials said little about the details of their negotiation strategies, such as the rationale for their rebuttal or who will be the head representative. Initially, Japan had pointed at the possible diversion of strategic materials to North Korea as an excuse for imposing the export restrictions on Korea. Japan disavowed this claim during recent bilateral talks, which may prompt the Korean government to partially change its response measures.

[Soundbite] PROF. HEO YOON(SOGANG UNIV.) : "The Korean government needs to emphasize that production delays in Korea from a lack of parts materials could disrupt the global supply chain and bring global negative outcomes."

Decisions made at the WTO General Council are not legally binding, but imply that the international community has recognized it as a serious issue. Japan is taking steps to exclude Korea from its whitelist by July 24th. The WTO decision may come at a pivotal moment, as Korea has requested to hold another bilateral sit-down before the 24th.