Japan to tighten export regulations for high technology materials at the South Korea-media

TOKYO (Reuters) – Japan plans to tighten restrictions on the export of high-tech materials used in smartphones and chips to South Korea on July 4 in connection with a dispute over South Korean statements about the war, the forced labor, the Sankei newspaper on Sunday.

FILE PHOTO – A police officer stands guard in the in the vicinity of the Japan and South Korea’s national flags at a hotel in Tokyo from the 22nd of June, 2015. REUTERS/Toru Hanai

The row between Japan and South Korea flared in October, when South Korea’s Supreme Court has ruled that the japanese Nippon Steel is to compensate the South Koreans for forced labour during the second world War.

Japan argues that the issue of forced labour was established in the year 1965, when the two countries ‘ diplomatic ties have been restored, and it has denounced the decision as “unthinkable.”

The materials used to be limited to fluorinated polyimide, which is used in smartphone displays, and the temptation to resist, and with a high degree of purity of the hydrogen fluoride (HF), which is used as an etching gas in the manufacture of semiconductor devices, the paper said.

Resist is a thin layer used to transfer a circuit pattern on the semiconductor substrate. High-purity HF is used in etching of the silicon material.

Japan to stop the preferential treatment of the three materials in South Korea, which means Japan’s exporters will have to apply for the export permission for each and every time they want to ship it to South Korea, which will take approximately 90 days, the paper said.

A government announcement on the disability is expected to arrive on Monday, it said.

Japan produces about 90% of a fluorinated polyimide, and resist the global, and for about 70% of the etching gas, which makes it difficult for chipmakers to find alternative supplies, the paper said, pointing to the potential impact on South korea’s Samsung Electronics and LG Electronics, inc.

The japanese ministry of commerce and ministry of finance were not available for comment on Sunday.

In January, Japan demanded talks with South Korea about the number of forced labour at the order, but South Korea has not responded, the paper said.

Reporting by Yuka Obayashi

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