South Korea's MSIT Launches ICT Supply Chain Monitoring as Middle East Conflict Disrupts Logistics

Gate News message, April 16 — South Korea’s Ministry of Science and ICT (MSIT) convened an emergency meeting on April 16 to discuss the impact of the Middle East conflict on the ICT industry and formulate response strategies. Approximately 15 participants from relevant government agencies, including the National IT Industry Promotion Agency (NIPA) and the Korea IT Industry Promotion Association, attended the session.

The meeting addressed escalating supply chain risks stemming from restricted transit through the Strait of Hormuz, disrupted maritime logistics, surging international oil prices, and unstable crude oil and naphtha supplies. Participants highlighted that the conflict’s impact extends beyond logistics delays to create structural burdens across manufacturing processes. Key challenges include production delays and reduced yields in IoT and manufacturing sectors due to disrupted naphtha-based materials and critical components, coupled with rising raw material costs, freight charges, and exchange rates eroding corporate profitability. Additionally, deteriorating financial conditions, including high interest rates and expanded order uncertainty, are intensifying management pressures for small and medium-sized enterprises (SMEs) and expanding credit risks.

In response, MSIT announced plans to establish an “ICT Supply Chain Virtual Situation Room” to continuously monitor corporate conditions and expand individual enterprise surveys, enabling precise, field-based support systems. The ministry will also strengthen non-contact export consultation services through a global ICT portal to ensure uninterrupted export activities during the crisis.