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China has taken steps to limit games made in South Korea from being published in China.

China has stopped issuing licenses for South Korean developers in a move that prevents games made in the country from being published in China.

It’s thought that this move could be a response to a new THAAD missile defence system being built in South Korea, in partnership with the United States that is being put together in response to threats perceived in the region. China has recently claimed that the deployment of the devices is a threat to its own security.

It seems that as a result of this, China has frozen all licenses for South Korean titles to be published in the country. Existing games published in the region will not be affected.

Nikkei reports suggest that shares in Nexon, a Korean games outfit, has dropped by up to 7% after the news broke yesterday.

PocketGamer.Biz broke the news, and have also talked to Niko Partners Analyst Daniel Ahmad about the current ban and what effects this could have