As Asian markets slid Friday after U.S. President Donald Trump said he'll impose more tariffs on China, another trade spat between Japan and South Korea is escalating.

Japan confirmed Friday it will remove South Korea from a list of trusted export destinations, which would expand the number of materials used by South Korean makers of OLED screens, televisions and semiconductors that are subject to restrictions. The new list comes a month after Japan imposed export curbs on three key materials used in Korea's chip industry.

"Some of the products to be removed from the white list could become a problem, such as blank masks or shadow masks — products that Japanese makers monopolize," said Yoon Joon-won, a fund manager at HDC Asset Management. "Many people don't expect Samsung will shut down its plants because of this, but if the removal from the white list takes effect, there will be a Korea risk premium for investors."