South Korea's Kospi (KOSPI) index was down about 1% in morning trading. South Korea is Japan's third-largest trading partner, buying about $54 billion worth of Japanese goods, including industrial machines, chemicals and cars, according to a trade data tracking tool affiliated with the Massachusetts Institute of Technology.
The standoff between the two countries started last month when Tokyo placed controls on exports of three chemical materials to South Korea. The materials・・・fluorinated polyamides, photoresists and hydrogen fluoride ・・・are used to make computer chips, among other things.