Aju Business Daily

South Korea's industry minister acknowledged practical challenges in bringing China to an international arbitration panel for unfair trade retaliation over a US missile shield, saying it requires a "cautious" approach.

China's informal trade and economic retaliation intensified after US troops brought in a Terminal High Altitude Area Defense (THAAD) system to intercept North Korean ballistic missiles in April. Chinese consumers have also shunned South Korean products.

China's concerted and prolonged campaign against South Korea fueled public calls for strong government action like a complaint with the World Trade Organization. However, Seoul has been cautious.

"It requires a cautious approach in consideration of the possibility of winning and other factors," Minister of Trade, Industry and Energy Paik Un-gyu told reporters on Tuesday. "Lodging a complaint with the WTO is a matter that needs to be decided in consideration of various factors such as the possibility of winning, the time required, the ripple effect, and bilateral relations."

To protect business and national interests, the government will not avoid taking China to the WTO, he said. "However, THAAD is a very difficult problem. Above all, it needs to be solved between the two countries in a political and diplomatic way for future-oriented relations. We face difficult realities."

On September 7, South Korea allowed US troops to complete the deployment of four more THAAD launchers at their base in some 200 kilometers (124 miles) southeast of Seoul.

Moon has launched a flurry of diplomacy to secure concessions from China, trying to use the THAAD battery as a "diplomatic card" in negotiations with Beijing and Washington, but the mood changed dramatically due to North Korea's intercontinental ballistic missile launches and nuclear test.

The THAAD battery has been a sensitive diplomatic issue among China and other nations around the Korean peninsula. Beijing argues that the missile shield's powerful X-band radar capable of monitoring Chinese troop movements.