Korea to establish emergency economic task force amid Middle East conflict
Published: 25 Mar. 2026, 11:46
Updated: 25 Mar. 2026, 15:41
![Prime Minister Kim Min-seok, center, gives a briefing on the government's response to economic fallout from the ongoing conflict in the Middle East at the government complex in Jongno District, central Seoul, on March 25. Next to him are Foreign Minister Cho Hyun, left, and Trade Minister Kim Jung-kwan. [YONHAP]](https://koreaseafood.online/data/photo/2026/03/25/8bb1089f-eee6-4a65-b053-70f23a08bff8.jpg)
Prime Minister Kim Min-seok, center, gives a briefing on the government's response to economic fallout from the ongoing conflict in the Middle East at the government complex in Jongno District, central Seoul, on March 25. Next to him are Foreign Minister Cho Hyun, left, and Trade Minister Kim Jung-kwan. [YONHAP]
Korea will launch a pan-government emergency economic task force led by Prime Minister Kim Min-seok, while operating a parallel presidential situation room, to respond to the economic fallout from the prolonged war in the Middle East.
Kim announced the move at a briefing at the government complex in central Seoul, warning that "disruptions to energy and raw material supplies are widening" as the war enters its fourth week.
The war — sparked by a U.S.-Israeli attack on Iran, triggering retaliatory strikes across the Middle East — has rattled global markets, sending oil and gas prices surging amid attacks on energy infrastructure and the near shutdown of the Strait of Hormuz, a key shipping route.
“We now need to further strengthen a pre-emptive, governmentwide response system, preparing even for worst-case scenarios as the situation becomes prolonged," Kim said.
The new body led by the prime minister will replace the current emergency economic ministers’ meeting overseen by Finance Minister Koo Yun-cheol, expanding it into a broader interagency body.
An emergency economic inspection meeting chaired by President Lee Jae Myung will remain the top command center while the new task force and a presidential emergency economic situation room will operate in parallel, officials said.
Koo, who also serves as deputy prime minister, will act as deputy head of the task force. Meetings are expected to take place twice a week starting next week, with Kim and Koo each chairing one session.
“If the president-chaired meeting outlines the overall direction, the prime minister-led headquarters will coordinate policies by sector for implementation,” Koo said. “Decisions made there will be carried out at the working level by the deputy prime minister. We designed the system very tightly so that there are no gaps anywhere.”
![Gasoline prices are shown at a gas station in Seoul on March 23. [YONHAP]](https://koreaseafood.online/data/photo/2026/03/25/26a4613e-218e-4613-ae08-6d88498642e6.jpg)
Gasoline prices are shown at a gas station in Seoul on March 23. [YONHAP]
The body will oversee five task forces covering macroeconomic and inflation response, energy supply, financial stability, public welfare and overseas situation management, each led by relevant ministries.
Kim said the government would also use the crisis to push structural reforms, including accelerating a shift in the country’s energy mix.
“We will respond swiftly to rapidly changing conditions and strengthen coordination across ministries and sectors to ensure there are no gaps in our response,” he said. “Using this crisis as an opportunity, we will push forward mid- to long-term tasks at speed, including strengthening supply chain competitiveness, improving the fundamentals of the capital market and transitioning the energy structure.”
He urged the National Assembly to approve a supplementary budget, calling it essential to stabilize the economy and protect livelihoods.
“[It] is not a choice but a necessity,” Kim said. “I ask for bipartisan cooperation for its swift passage and execution.”
![A cargo ship in the Gulf, near the Strait of Hormuz, as seen from northern Ras al-Khaimah, near the border with Oman’s Musandam governance, amid the U.S.-Israeli conflict with Iran, in United Arab Emirates on March 11. [REUTERS/YONHAP]](https://koreaseafood.online/data/photo/2026/03/25/d51ef070-808b-41e4-8c51-4994bc4a40dd.jpg)
A cargo ship in the Gulf, near the Strait of Hormuz, as seen from northern Ras al-Khaimah, near the border with Oman’s Musandam governance, amid the U.S.-Israeli conflict with Iran, in United Arab Emirates on March 11. [REUTERS/YONHAP]
Government officials declined to comment on the outlook of the conflict in the Middle East, including reports of behind-the-scenes cease-fire talks between the United States and Iran.
“We will comprehensively consider both positive and negative scenarios to ensure there are no gaps even for a single day,” Koo said.
Foreign Minister Cho Hyun said Seoul is reviewing reports that Iran may allow passage through the Strait of Hormuz for nonhostile vessels coordinated in advance with the International Maritime Organization.
“During a phone call with Iran’s foreign minister on [Monday], we received Iran’s position,” Cho said. “However, whether those assurances can apply to all parties requires complex review, so it is too early to make a judgment at this stage.”
This article was originally written in Korean and translated by a bilingual reporter with the help of generative AI tools. It was then edited by a native English-speaking editor. All AI-assisted translations are reviewed and refined by our newsroom.
BY HA JUN-HO [[email protected]]
with the Korea JoongAng Daily
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