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Japan approves first hi-tech exports to South Korea since start of ‘trade war’ - but with a warning

  • ‘We are stepping up our diplomatic efforts to make Japan retract its diplomatic attack’ - South Korean PM
  • The three hi-tech components are used by Samsung to make chips and displays

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Protesters in front of the Japanese embassy in Seoul. Photo: AP
Japan has approved the export of a hi-tech material to South Korea for the first time since imposing tighter curbs last month, but also doubled down on political pressure and warned it could broaden restrictions on shipments to its neighbour.
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The approval and subsequent warning illustrate how Tokyo is upping the ante in its diplomatic row with South Korea, while at the same time being unwilling to unilaterally stop exports to the country.

South Korea said the approval, which was granted on Wednesday, was for the material known as EUV photoresists, crucial for Samsung’s advanced contract chipmaking production.

“We are stepping up our diplomatic efforts to make Japan retract its economic attack,” South Korean Prime Minister Lee Nak-yonee told a meeting with government officials.

South Korean President Moon Jae-in said on Thursday that tighter curbs would undermine Japan’s international credibility and accused Tokyo of using its industrial advantage as a weapon against another country.

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“The measures so far undermine the trust of the free trade order and the international division of labour,” Moon said.

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