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On the surface it’s a trade dispute, but it’s not all about won and yen.

The Japan-South Korea trade dispute adds to already heightened geopolitical risk due to the US-China trade war.

“The main concern for us, with the Japan-South Korea dispute, is that it adds to already heightened geopolitical risk,” she said.

She said in light of the China–US trade war, all the global uncertainty could affect economies like Australia and New Zealand.

The ABC has approached the ministries of foreign affairs and of economy and trade in South Korea and Japan for comment.

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