The Korea Federation of Mid-sized and Small Manufacturers said Tuesday that 60 percent of medium and small-sized firms(SME) in South Korea affected by Japan's export controls will not be able to endure the restrictions after six months.

The federation announced the results of a survey it held on 269 SMEs in the semiconductor sector following Tokyo's export control announcement last week.

Fifty-nine percent of surveyed firms said they will only be able to withstand the export restrictions for a maximum of six months. 

Twenty-one percent said they will develop alternative replacements while others cited plans to change suppliers or secure inventory. A full 47 percent said they had no plans to change their behavior in response to the regulatory actions.

The federation said the findings show that SMEs are completely unprepared to deal with the current situation.

It also expected that it will take considerable time for companies to reduce their reliance on Japanese imports whether through domestic production or other import channels.

Nearly 54 percent of those surveyed hoped for a diplomatic resolution between the two countries while 34 percent urged international dispute resolution through the World Trade Organization or other such entity.

The federation plans to send a delegation to Japan in early August.