China has halted customs procedures for exports of urea to Korea, but the Energy Ministry expects the move to have a limited impact this time.
Lotte Fine Chemical said Saturday it has imported 5,500 tons of urea for vehicles from Vietnam, a move expected to help ease concerns over urea supplies following China's export suspension.
Korea has selected 185 materials, including graphite and urea, to stabilize its supply chain by reducing reliance on specific countries such as China.
Korea must continue to champion the free trade principle.
Korea is too complacent. As a result, Korea is once again hit by belligerent China.
The government said Monday that the current prices and reserves of urea sold at gas stations are similar to the usual rate and more stable than they were during the 2021 urea crisis.
Chinese companies will fully restrict urea exports to Korea until Q1 of 2024 and will limit next year's total exports to one fifth of their usual amount. More than 90 percent of Korea's industrial-grade urea supply currently comes from China.
China's recent export curbs have led to public concerns over a potential recurrence of the urea shortage crisis that hit the domestic auto market two years ago, resulting in some cases of hoarding as reports of the situation emerged.
The Korean government has vowed to double its stockpile of urea in response to China's recent export curbs. Critics remain unconvinced, citing its previous failures to secure a sufficient supply of the chemical compound.
Korea JoongAng Daily Sitemap
