South Korea Weighs Driving Restrictions as Brent Crude Nears $120

Key Facts

1South Korea is considering extending driving restrictions to the general public if oil prices hit $120 per barrel.

2Brent Crude topped $115 per barrel amid escalating conflicts involving the Houthis in Yemen.

3These measures would be the first of their kind in South Korea since the 1991 Gulf War.

South Korea is preparing contingency plans to implement public driving restrictions if Brent crude oil prices reach the $120 per barrel threshold. The potential measures follow a surge in Brent prices above $115, driven by escalating geopolitical conflicts in the Middle East involving Houthi rebels. If enacted, these restrictions would represent the first such intervention in the country's energy consumption since the 1991 Gulf War. The Finance Ministry indicated that the move aims to safeguard energy security and manage domestic demand amid global supply risks. Market analysts suggest that while the news is bullish for oil prices, it poses significant risks to the South Korean Won and the KOSPI index. The situation highlights the growing economic pressure on major energy importers as global supply chains face persistent security threats.