South Korea to drop Japan from its fast-track trade 'white list'

Reuters - South Korea said on Monday (August 12) it plans to drop Japan from its "white list" of countries with fast-track trade status from September, a tit-for-tat move that deepens a diplomatic and trade rift between the two countries. The tighter trade regulations, including potential lengthy permit application processes, will apply to South Korean exports to Japan. Industry Minister Sung Yun-mo said that Japan would join a newly created trade category of countries that do not yet operate export control systems in line with "international export control principles." Relations between the two countries have soured since a ruling by South Korea's Supreme Court last year that Japanese companies should compensate South Koreans who were conscripted as forced laborers during World War II.