2024년 1월 15일 NEWSLETTERKorea Customs and Trade Update (January 2024) UPDATES
•
Amendment Proposal: 『Ordinance on Operation of Customs Investigation』 - Amendments: § Clarification on the definitions of ‘customs
investigations’ (formerly called as ‘customs audit’). § Specification of roles of customs officials involved
in customs investigations. § Stipulating guidelines on customs
investigations under the Ordinance. § Extension of the customs investigation period
for multinational companies experiencing prolonged document submission time.
• Amendment Proposal: 『Enforcement
Decree Of The Individual Consumption Tax Act』 - Amendments: § Extension of temporary tariff reduction
(elastic tariff rate) on butane gas from December 12, 2023 to February 29, 2024,
natural gas for power generation to June 30, 2024, and bituminous coal from to June
30, 2024.
• Amendment Notice: 『Import and
Export of Strategic Materials』 - Amendments: § Expansion of items subject to conditional
permission from 798 to 1,159 in order to control exports to Russia and Belarus
through cooperation with the international society. § Warship design technology exportation added to
the items subject to export permission, in addition to individual exportations,
comprehensive exportation, and nuclear plant technology exportation. § Strengthened post management obligation for
items exported with comprehensive industrial permission. § Application of permission exemption to overseas
emergency relief products for humanitarian purposes.
• Amendment Notice: Protocol concerning the Definition of ‘Originating
Products’ and Methods of Administrative Cooperation under the Korea-UK FTA - Cumulation of Origin: products
shall be considered as originating in a Party if such products are obtained there,
incorporating materials originating in the other Party or in the EU. Working or
processing carried out in the EU shall be considered as having been carried out
in a Party. - Product Specific Rule (PSR): If
EU materials are used in the production of goods imported from the UK to Korea
or exported from Korea to the UK, the materials must meet the product specific
rule of origin under the Korea-UK FTA to be recognized as originating products. - Direct Transport: The
preferential treatment provided for under this Agreement applies only to
products transported directly between the Parties or through the EU. - Customs Approved Registered
Exporter Number System of the UK: Country code (2)/ Approved number (5)/
Approved year(2) (e.g. GB 12345/21)
• Amendment Notice: 『Enforcement
Rule Of The Value-added Tax Act』 - Amendments: § Extension of value-added tax exemption for imported
unprocessed food products to December 31, 2025:
• Amendment Proposal: 『Enforcement
Decree Of The Electrical Appliances And Consumer Products Safety Control Act』 and 『Enforcement
Rules Of The Electrical Appliances And Consumer Products Safety Control Act』 - Amendments: § Eased requirements to be designated as a safety
certification testing agency; profit making entities can be designated as
testing agencies. Accordingly, public services of testing agencies, such as
administrative dispositions and safety confirmation reports, will be
transferred to Korean Institute of Product Safety. § The task of safety confirmation reports,
supplier compliance assessment, and administrative dispositions operated by
safety certification agencies will be transferred to the Korea Institute of
Product Safety, and additional technical review procedures will be omitted during
safety confirmation declaration.
• Settlement of Free Trade Agreement between the Republic of Korea and
GCC - GCC (Gulf Cooperation Council)
is an economic cooperation body in the form of a customs union consisting of
six countries: Saudi Arabia, the United Arab Emirates, Kuwait, Qatar, Bahrain,
and Oman. On December 28, the Korea-GCC Free Trade Agreement (FTA) has been
agreed and signed with below agenda: (i) Market opening: tariff concession on items such
as automobiles parts, machinery, and natural gas etc., services such as film
distribution and medical services, and government procurement projects. (ii) Content of the Agreement: eased rule of origin,
invigoration of digital economy, and strict standards on intellectual property
rights. (iii) Economic cooperation: 6 Protocols concerning energy,
resources, and bioeconomy.
• Amendment Notice: 『Customs Act』, 『Enforcement
Decree of the Customs Act』 and 『Enforcement Rules of the Customs Act』 - Amendments: § Expansion of reasons for extending effective period
for taxation § Increased tax penalty reduction rate for
amended declarations § Imposition of anti-dumping duties on bypass dumping
goods § Expansion of the scope of high-amount and
habitual delinquents subject to public disclosure § Expanded compensation for losses due to physical
inspection and abolishment of import and export inspection fees § Establishment of new provisions to block
narcotics being imported into Korea § Expansion of eligible items and extension of
deadlines for duty reduction/exemption program for environmental pollution
prevention items § Establishment of new provisions to exempt
customs duties on certain equipment for semiconductor manufacturing that are
temporarily imported (i.e. duty exemption for re-exportation)
• Korea Customs Service Abolishes Product Inspection Fees - Until now, when customs officers
directly visited a bonded warehouse owned by an import or export company to
inspect goods, the declarant had to pay a basic fee of KRW 2,000 per hour as
well as actual expenses as an inspection fee. However, the inspection fees for
import and export goods at locations other than customs inspection sites is
abolished effective from January 1, 2024.
AMENDMENTS •
Notice on the Operation of Monthly Payment
System (partial amendment proposed) •
Enforcement Decree of the Liquor Tax Act (partial amendment proposed) •
Notice on the Management of Bonded Construction
Sites (partial amendment proposed) •
Notice on Changed Classification of
Import/Export Goods (partial
amendment) •
Notice on Customs Clearance of Personal Effects
for Travelers and Crew Members (partial
amendment) •
Ordinance on Operation of Customs Investigation
(partial amendment proposed) •
Enforcement Decree Of The Individual
Consumption Tax Act (partial
amendment proposed) •
Enforcement Decree Of The Act On Designation
And Management of Free Trade Zones (partial amendment) •
Notice on Customs Clearance Procedures for
International Postal Imports (partial
amendment) •
Enforcement Decree Of The Traffic, Energy And
Environment Tax Act (partial
amendment) •
Enforcement Decree Of The Foreign Investment
Promotion Act (partial amendment) •
Enforcement Decree Of The Electrical Appliances
And Consumer Products Safety Control Act (partial amendment proposed) •
Enforcement Rules Of The Electrical Appliances
And Consumer Products Safety Control Act (partial amendment proposed) •
Notice on the Import and Export of Strategic Material
(partial amendment) •
Enforcement Decree Of The Foreign Trade Act (partial amendment) •
Enforcement Decree Of The Value-added Tax Act (partial amendment)
OPINION
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