The Japanese government is reportedly moving to file a complaint with the World Trade Organization(WTO) against South Korea, alleging it unfairly subsidized shipbuilders.

According to Japan's Kyodo News and NHK on Tuesday, Tokyo decided to request the international trade body to begin bilateral consultations with South Korea over the issue. If the talks break down, the case will be brought to the WTO’s dispute settlement panel.

The Japanese government claims that South Korea provided financial assistance totaling about 12 trillion won to Daewoo Shipbuilding and Marine Engineering, thus enabling the firm to sharply cut prices and win orders, causing excessive competition in the global shipbuilding industry. 

The two nations held related discussions last month, but Seoul was reportedly lukewarm to Japan's calls for proper measures. 

Japan's latest move comes after South Korea's Supreme Court ordered a Japanese firm to pay compensation to four Korean victims of forced labor during Japan's colonial rule.