(C) The Star

SEOUL – The Ministry of Trade, Industry and Energy (MOTIE) has launched an emergency response to curb soaring domestic oil prices triggered by the escalating conflict in the Middle East, particularly the recent crisis in Iran.

On the morning of March 9, 2026, Minister of Trade, Industry and Energy Kim Jung-kwan presided over the "Middle East Situation Response Headquarters Meeting" at the Korea Chamber of Commerce and Industry. The meeting brought together executives from the nation’s top four refiners—SK Energy, GS Caltex, S-OIL, and HD Hyundai Oilbank—along with industry associations and public enterprises including the Korea National Oil Corporation.

Minister Kim sharply criticized the industry's historical tendency of "fast to rise, slow to fall," where domestic pump prices react instantly to international surges but lag significantly during declines. "The burden of rising international oil prices must not be unilaterally and excessively transferred to consumers," Kim stated. He urged the industry to implement transparent and fair pricing strategies to protect the public's livelihood.

The government also declared a "zero-tolerance" policy against illegal activities that exploit market volatility. This includes price-fixing (collusion), the distribution of counterfeit oil, and under-delivery scams. To enforce this, a pan-government joint task force will conduct special inspections across the country.

In terms of supply management, the Ministry has raised the resource security crisis alert to the "Attention" level. Authorities are currently prioritizing the diversification of import sources and the procurement of overseas production volumes. Furthermore, a multi-stage plan for releasing strategic petroleum reserves has been finalized, ensuring an immediate response should supply conditions deteriorate.

"We will monitor global and domestic oil price trends around the clock," a Ministry official said. "Our policy capacity will be fully concentrated on minimizing the economic burden on the people through close cooperation with the refining industry."