Hangzhou Liangtang Electronics Co., Ltd.

Hangzhou Liangtang Electronics Co., Ltd.

The next one will be a silicon wafer? Korean companies are increasingly worried about Japan’s expansion of export control

According to the Korea Times, on Wednesday, officials in the Korean industry, which relied on imports from Japan, were wary of Japan’s growing possibility of expanding export restrictions.

Although the Japanese government's apparent economic retaliation against the Korean government began with three high-tech materials used in the semiconductor and display industries, the chemical and steel industries are also preparing for the future impact of their business.

Japanese media reported that unless the conflict between the two countries is resolved, the Japanese government is expected to expand the export control target to other raw materials and electronic components.

KyodoNews said the Japanese government is pushing for tougher measures, apparently to pressure South Korea to act quickly to resolve forced labor. An official of a chemical company, who asked not to be named, said: "As we import some raw materials from Japan to produce chemical products, we are paying close attention to the development of the situation." The

Ministry of Economy, Trade and Industry announced on Monday that it decided to strengthen export restrictions on three products. . These three products are fluorinated polyimides, photoresists and hydrogen fluoride. Fluorinated polyimides are used in flexible organic light emitting diode displays for televisions and smart phones, and photoresists and etching gases are required in semiconductor manufacturing processes.

A semiconductor company official pointed out that silicon wafers may also be the next limited product. "Japanese companies account for about 50% of the global wafer market," the official said. “If the project is added to the restricted list, it will undermine the smooth operation of the semiconductor production line.”

Japan has been protesting a ruling made by the Supreme Court of Korea last year that Japanese companies including Mitsubishi must be individually victimized by South Korea. The person pays compensation. NHK, the Japanese national broadcaster, reported that Japan hopes South Korea will accept its request and set up a third-party arbitration committee to deal with Korean compensation claims.

Japan made this request on June 19. According to the treaty on bilateral relations signed in 1965, South Korea must respond to this request within 30 days.

At the same time, South Korea’s senior policy secretary Kim Sang-jo said at the National Assembly on Wednesday that he had met with executives at major companies such as Samsung Electronics to discuss countermeasures.

He said: "My opinion is that the government and the business community need to communicate and cooperate to defend national interests."
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