The South Korean government has assessed that the US-Israeli air strikes on Iran will lead to increased volatility in international financial and energy markets in the near term. A meeting was convened on the 1st at the Government Complex in Seoul, chaired by Deputy Prime Minister and Minister of Economy and Finance, Ku Yun-cheol, where representatives from various ministries discussed the potential impacts on both domestic and international economies and outlined future response measures. The government is observing the situation 24/7, prepared to implement contingency plans should any significant risks arise.

Notably, South Korea currently maintains several months’ worth of strategic oil reserves, which officials believe ensures the country’s capability to respond to supply crises. However, with continued military tension in the Middle East, volatility in energy prices is projected to remain high. The Deputy Prime Minister indicated that given South Korea's significant energy dependence on the region, particularly concerning the stability of the Strait of Hormuz, vigilance in response to international energy price fluctuations is critical. Plans to manage situations include adjusting tanker schedules and securing alternate shipping routes.

In the event that the crisis persists and domestic oil stocks fall beyond a certain threshold, the Ministry of Trade, Industry, and Energy has indicated it would decide to release oil from the strategic reserves stored in nine locations, including Yeosu and Geoje, to supply the domestic market. While impacts on maritime logistics are currently limited, as many shipping companies are rerouting via Africa rather than the Suez Canal, the government is considering support measures for businesses affected by rising oil prices and logistics costs stemming from this situation. An Emergency Response Task Force is being activated under Deputy Prime Minister Ku to facilitate continuous monitoring of the situation and respond effectively as necessary.