Japanese companies weigh impact of South Korea’s martial law chaos

South Korean President Yoon Suk Yeol’s temporary declaration of martial law has raised concerns about the impact on Japanese businesses operating in the country and on Japanese tourists.

While there have been no significant disruptions, such as widespread tour cancellations, some companies are restricting business trips to South Korea.

“Even though martial law has been lifted, I still feel uneasy. But canceling the trip now isn’t an option,” said a 27-year-old company employee from Tochigi Prefecture before departing from Narita Airport for a four-day trip to Seoul.

The immediate effects on travelers appear to be limited. Travel giant H.I.S. reported that its local staff assessed the situation in tourist areas following the martial law declaration and found “crowds of tourists, with no noticeable changes.” The company has continued operating tours as planned.

Tokyo-based Nippon Travel Agency has advised tourists in South Korea to avoid areas where protests are taking place.

Japanese airlines have also reported minimal disruptions. According to Japan Airlines, the reservation rate for its Wednesday morning flight from Tokyo’s Haneda Airport to Seoul was 80% to 90%, with no significant cancellations. ANA also confirmed it was operating normally without flight suspensions or notable cancellations.

The Ministry of Foreign Affairs estimates that over 40,000 Japanese nationals reside in South Korea, with around 3,000 Japanese companies maintaining local offices.

Some companies have already begun taking precautionary measures. Trading giant Itochu announced plans to restrict business trips to South Korea for the rest of the week. Mitsui Sumitomo Insurance instructed all 49 employees at its Seoul branch — including Japanese expatriates — to work remotely.

Concerns over protests potentially escalating remain, and companies are closely monitoring the situation while preparing contingency plans.

Translated by The Japan Times

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