“As the Middle East situation enters a new phase due to the US airstrike on Iran’s nuclear facilities, there are concerns about the impact on our exports and imports,” first vice industry minister Moon Shin-hak said at a meeting to monitor monthly exports, according to the ministry.

South Korea is Asia’s fourth-largest economy and depends heavily on exports.

Yesterday, officials held an emergency security meeting to assess the potential economic impact of the US military action.

Seoul has deepened its reliance on crude oil imports from the Middle East, which accounted for 72% of total imports in 2023.

Oil prices jumped today to their highest since January and market participants are bracing for further price gains amid fears that an Iranian retaliation may include a closure of the Strait of Hormuz, through which roughly a fifth of global crude supply flows.

South Korean President Lee Jae Myung will not attend the Nato summit this week, citing uncertainties caused by the Middle East situation, his office said earlier.