President arrested

Concerns grow over impact on economy, foreign policy

The Seoul Western District Court issued an arrest warrant for President Yoon Suk Yeol, who has been suspended from his duties since December following the passage of an impeachment motion by the National Assembly. With the arrest, Yoon became the first sitting president in Korea’s history to be arrested for insurrection.

Ultimately, Yoon is responsible for his unfortunate fate. However, his responsibilities go far beyond his uncertain future. His declaration of martial law set off an irreversible shockwave that affected key policy areas, leaving the nation to cope with the consequences of an ongoing crisis.

After an hours-long review of the Corruption Investigation Office for High-ranking Officials' (CIO) request, the court approved the arrest warrant early Sunday morning, citing concerns over the potential destruction of evidence. The central issue in the case is whether Yoon’s brief declaration of martial law on Dec. 3, along with his subsequent actions, can be classified as insurrection. The court determined that these actions, supported by testimonies from several military commanders, were enough to substantiate the charge that Yoon had instigated insurrection.

Yoon’s legal team responded vehemently to the court's decision, condemning the approval of the arrest warrant as "nonsensical" and asserting it proves that "justice is dead."

Yoon was arrested 47 days after his martial law decree, an abrupt decision that sent shockwaves through the nation and triggered months of political turmoil. The decree split the country into two opposing camps — those who support Yoon and those who oppose him. This division has deepened a political rift, making national unity seem increasingly unattainable at a time when it is needed more than ever.

Every weekend, Yoon’s supporters gather in central Seoul to rally for his reinstatement. These demonstrations have caused significant disruptions, including noise and traffic control issues. At the same time, anti-Yoon protests continue across the city, urging the Constitutional Court to proceed with his impeachment. The fear of clashes between the opposing sides has heightened, prompting police to deploy in larger numbers to maintain order.

The ongoing political crisis is also taking a toll on Korea's economy.

The Korean won’s depreciation against the U.S. dollar has put pressure on businesses and families with children studying abroad. Stock market volatility has intensified as investors worry about the protracted political instability, which shows few signs of being resolved in the near future.

This crisis is also bound to affect Korea’s foreign policies, especially at this pivotal moment in history.

On Monday, Donald Trump will be sworn in as the new U.S. president, signaling a likely shift in U.S. trade and foreign policy. However, Korea is ill-prepared to navigate its relationship with the incoming Trump administration, having been consumed by the political fallout of Yoon’s martial law decree.

The rise of Rep. Lee Jae-myung, leader of the main opposition Democratic Party of Korea (DPK), as the leading presidential contender adds another layer of complexity to Korea’s future. Lee’s pro-China stance has raised concerns about the potential weakening of the trilateral relationship between Korea, the U.S., and Japan.

In a document titled “South Korea Political Crisis: Martial Law and Impeachment,” last updated on Dec. 31, 2024, the U.S. Congressional Research Service expressed concerns about the impact of South Korea’s internal turmoil on its foreign policy. “Yoon’s suspension and possible removal from office raise questions about the continuation of several foreign policies,” the report stated.

Recognizing these concerns, Rep. Lee has attempted to reassure both the U.S. and Japan by moderating his rhetoric during meetings with officials from both countries.

Yoon’s martial law declaration and the political crisis it triggered have had far-reaching consequences not only in domestic politics, but also on the economy, foreign policy, and broader governance. The situation remains fluid and its full impact will unfold in the coming months.