South Korea summoned Japan's ambassador to protest a decision to remove Seoul's fast-track export status, which took effect on Wednesday amid a deepening political and economic feud.
Japan dropped South Korea from a so-called white list of favored trade partners this month, which could mean more paperwork and on-site inspections for some Japanese exporters and potentially slow supplies of a range of goods.
The move, which came into force on Wednesday, prompted Seoul to drop Tokyo from its favored trading list and scrap an intelligence-sharing agreement. South Korean Deputy National Security Adviser Kim Hyun-chong said it was deeply regrettable that Japan's decision to scrap fast-track export status for South Korea has taken effect.
South Korea would be willing to reconsider its decision to end the intelligence-sharing pact if Tokyo corrected its "unjust measures," Kim told a news conference. "I want to stress the ball is in Japan's court."
Relations between the two countries worsened in 2018 after SouthKorea's Supreme Court ordered compensation for Koreans forced to work at Japanese firms during Japan's 1910-45 occupation.
South Korea's Vice Foreign Minister Cho Se-young called in Japan's Ambassador Yasumasa Nagamine to lodge a formal complaint and demand that the "white list" decision be reversed, Seoul's foreign ministry said.
"Cho pointed out that the measure was clear retaliation for the court ruling and posed a grave challenge that shook the foundation of the two countries' cooperative relations," the ministry said.
Nagamine declined to comment on the formal complaint lodged by Seoul.
But Japanese Chief Cabinet Secretary Yoshihide Suga on Wednesday repeated that Tokyo's stance was appropriate, and blamed South Korea for its actions on the issue of forced laborers for the strained ties.