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Understanding Korea Customs
The Korea Customs Service is responsible for enforcing customs and related laws, and for collecting customs duties and other taxes on imported goods. In principle, all commodities, subject to specific conditions, may be imported into Korea unless they are included on the negative list of prohibited or restricted items. Restricted items include firearms, illicit drugs, endangered species, etc.
The average duty rate in Korea is approximately 7.9% with most duties assessed on an ad valorem basis. Duties are still very high on a large number of high-value agricultural and fisheries products that range from 30 to 100 percent. Korea also maintains a tariff quota system designed to stabilize domestic commodity markets.
Korea has a flat 10 percent Value Added Tax on all imports and domestically manufactured goods. A special excise tax of 10-20 percent is also levied on the import of certain luxury items and durable consumer goods. Tariffs and taxes must be paid in Korean Won within 15 days after goods have cleared customs.
Services Offered
Our professional services focus on both savings and strategic opportunities as well as risk management. Among other things, we provide assistance in the following areas:
- Optimising customs duty savings under Free Trade Agreements
- Proactive Customs Planning (valuation strategies)
- Audit Management
- Customs "Health Checks"
- Warehouse & Foreign Trade Zone Strategies
- Tariff Classification
- Duty Refunds & Revenue Recovery
- Import Policy & Process Implementation
- Negotiation with Customs Authorities
- Supply Chain Security Validation
- Export Controls & Special Licensing Requirements
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