Starting next month, the government will cut tariffs imposed on key material gas imports used in chipmaking to zero, in a bid to ease the impact of a potential supply shortage stemming from the Ukraine crisis.

Finance minister Hong Nam-ki announced on Thursday its plans to scrap the current five-point-five percent duties on neon, xenon and krypton. South Korean companies, which produce the lion's share of the world's memory chips, relies heavily on imports from Russia and Ukraine for the gas products.

The government plans to review lowering tariffs for ferrotitanium, aluminum strips, and automobile-related items such as lead and copper.

As for concerns on energy supply disruptions, the minister said Seoul will seek to secure crude oil from overseas through the state-run Korea National Oil Corporation.

Citing declines in exports to Russia and Ukraine and expanded inflationary pressures amid surging energy costs, the minister raised concerns over the impact of the prolonged crisis on the domestic economy.