In cases where a sharp increase in the import of products eligible for preferential tariffs causes or threatens to cause serious injury to domestic industries which produce similar products, or directly competitive or substitutable products, for the purpose of protecting domestic industries the relevant ministry or interested person may request the Minister of Strategy and Finance to suspend the application of preferential tariffs to the product in question.
When it is determined as a result of examination that there are reasons to suspend the application of preferential tariffs, the Ministry of Strategy and Finance shall decide the suspension of the application of preferential tariffs immediately and announce the decision in a ministerial ordinance.
1 Quota amount: HS 0802.90.10(52.9 Tons); HS1007.10.0000 (13.7 tons); HS1008.21.1000 (0.4 tons).
following products shall be considered as wholly produced or obtained in the exporting country:
(a) Raw materials or mineral products extracted from the soil, waters or seabed of the exporting country;
(b) Agricultural and forestry products harvested in the exporting country;
(c) Animals born and raised in the exporting country and products obtained from such animals;
(d) Products obtained by hunting or fishing conducted in the exporting country;
(e) Marine products caught on the high seas by vessels of the exporting country and products manufactured or processed, using such products as a material. In this case, “vessels of the exporting country” refers to vessels registered in the exporting country, at least 60 per cent of the equity of which is owned by a citizen(s) or the Government of the exporting country, or corporation or association legitimately registered in the exporting country;
(f) Used articles collected in the exporting country, fit only for the recovery of raw materials;
(g) Waste and scrap resulting from manufacturing operations conducted in the exporting country;
(h) Goods produced in the exporting country exclusively from the products referred to in subparagraphs (a) to (g) above.
(2) Products which are finally manufactured or processed in the exporting country by using products, as input, which originate from countries other than the exporting country, or the origin of which is not determined, shall be eligible for preferential tariffs if the value of the inputs does not exceed 60 per cent of the FOB price of the final products. In this case, if the final products include products originating from the Republic of Korea as input, the value of these products shall be excluded from the calculation of the total value of inputs.
(3) The value of inputs referred to in paragraph (2) above shall be calculated in the following order:
(a) The value including freight and insurance cost at the time of importation to the exporting country (cost, insurance and freight (CIF) price);
(b) The ascertainable price paid first for the inputs in the exporting country.
(4) Those who wish to receive preferential tariffs shall submit a certificate of origin (see annex 3) issued by the Government of the exporting country or an authority designated by the Government of the exporting country.
Annex 1
Least developed countries eligible for preferential tariffs
Asia (14)
Afghanistan, Bangladesh, Bhutan, Cambodia, Kiribati, Lao People’s Democratic Republic, Myanmar, Nepal, Samoa, Solomon Islands, Timor-Leste, Tuvalu, Vanuatu and Yemen.
Africa (33)
Angola, Benin, Burkina Faso, Burundi, Central African Republic, Chad, Comoros, Democratic Republic of the Congo, Djibouti, Equatorial Guinea, Eritrea, Ethiopia, Gambia, Guinea, Guinea Bissau, Lesotho, Liberia, Madagascar, Malawi, Mali, Mauritania, Mozambique, Niger, Rwanda, Sao Tome and Principe, Senegal, Sierra Leone, Somalia, Sudan, Togo, Uganda, United Republic of Tanzania and Zambia.
America (1) Haiti.
Annex 2
Eligible products and tariff rates
0101211000 0 0
0302740000 20 0
0307193000 20 0
0603150000 25 0
0802902010
1211300000 8 0
1515909010 5 0
1904201000 45 0
2106909022 8 0
2507002010 3 0
2604000000 0 0
2803009019 5.5 0
2825101000 5.5 0
2834299000 5.5 0
2852904000 8 0
2905199090 5 0
2914310000 5.5 0
2918161000 6.5 0
2922193090 6.5 0
2930905030 6.5 0
2933710000 3 0
2941201000 2 0
3004502090 8 0
3204901090 6.5 0
3304209000 6.5 0
3601002000 6.5 0
3702562000 6.5 0
3802901090 6.5 0
3822002091 6.5 0
3824730000 6.5 0
3824780000 6.5 0
3824906500 6.5 0
3915904000 6.5 0
3926901000 6.5 0
4014100000 8 0
4202311050 8 0
4303102800 16 0
4408399032 3 0
4421905000 8 0
4804399000 0 0
4820400000 0 0
5109109000 8 0
5208130000 10 0
5402191019 8 0
5407831000 8 0
5510301000 8 0
5516412000 10 0
5806200000 8 0
6104320000 13 0
6201931000 13 0
6211399000 13 0
6405900000 13 0
6812930000 8 0
7003300000 8 0
7019310000 8 0
7118100000 0 0
7212301010 0 0
7225309010 0 0
7307221000 0 0
7325993000 8 0
7604101000 8 0
8103900000 8 0
8207130000 8 0
8311201000 8 0
8412901090 5 0
8419899020 8 0
8427101000 8 0
8438809000 8 0
8446302010 8 0
8456301090 8 0
8467891010 0 0
8477201000 8 0
8486105030 0 0
8502131010 0 0
8511309000 8 0
8517691900 8 0
8523521000 0 0
8531901000 8 0
8541302000 0 0
8604004000 5 0
8705909060 8 0
8803902000 0 0
9006699000 8 0
9018509000 8 0
9027909910 0 0
9102121000 8 0
9209940000 8 0
9403601010 0 0
9506910000 8 0
9619004000 10 0
9619009000 6.5 0
9701101000 0 0
9701102000 0 0
9701103000 0 0
9701900000 0 0
9702001000 0 0
9702002000 0 0
9702003000 0 0
9703001000 0 0
9703002000 0 0
9704001000 0 0
9704009000 0 0
9705000000 0 0
9706001000 0 0
9706002000 0 0
9706009000 0 0
XXX 95
Annex 3
Certificate of origin
1.Exporter (business name, address, country)
2.Importer(business name, address, country)
Reference No.
Certificate of Origin for Preferential Tariff for Least-Developed Countries
(Combined declaration and certificate)
Issued in ...(country) See notes overleaf
3. Means of transport and route 4. For official use
5. HS code 6. Marks and numbers of packages
7. Number and kind of packages: description of goods
11. Declaration by the exporter
The undersigned hereby declares that the above details and statements are correct; that all the goods were produced in
...
(country)
and that they comply with the origin requirements specified in the Presidential Decree on Preferential Tariff for Least-Developed Countries.
...
...
Place and date, signature of authorized signatory
12. Certificate
It is hereby certified, on the basis of control carried out, that the declaration by the exporter is correct
...
Place and date, signature and stamp of certifying authority
(210mm 297mm)
1. General Conditions
To qualify for preference, products must:
(a) fall within a description of products eligible for preference according to the Presidential Decree on Preferential Tariff for Least-Developed Countries of the Republic of Korea; and (b) comply with the rules of origin set out in Article 5 of the Presidential Decree on Preferential
Tariff for Least-Developed Countries. Each article in a consignment must qualify separately in its own right; and
(c) be consigned directly from the country of exportation to the Republic of Korea. However, the followings are considered as consigned from the country of exportation to the Republic of Korea:
(i) If it is proved that the product just passes through a non-originating territory for geographical reasons or is trans-shipped or temporarily stored in a bonded area of a non-originating territory; or
(ii) The products re-exported into the Republic of Korea after exported to a non-originating territory for display at exhibitions or fairs.
2. Entries to be made in box 8
Preferential products must be wholly or partly produced or obtained in the exporting country in accordance with the origin requirements set out in paragraph 1 and 2 of Article 5 of the Presidential Decree on Preferential Tariff for Least-Developed Countries.
(a) wholly produced or obtained products: enter the letter "A" in box 8.
(b) products not wholly produced or obtained: enter the letter "B" in box 8. Entry of letter "B" should be followed by the sum of the value of inputs originating from other countries than the exporting country or of undetermined origin, expressed as a percentage of the F.O.B. price of the exported products; (example "B" 40 per cent)
__________
Annex 4
Presidential Decree No. 24291 on preferential tariffs for Least Developed Countries
22 This is the unofficial English translation from the Korean text. In the case of doubt or discrepancy in translation, the Korean text shall prevail.
Article 1 Purpose
The purpose of this Decree is to govern the granting of preferential tariff to least-developed countries in accordance with Paragraph 3 of Article 76 of the Customs Law.
Article 2 Definition
"Least-developed countries" in this Decree refer to the countries specified in Annex I.
Article 3
Products and Tariff Rates
A product eligible for preferential tariff and the rates are specified in Annex II. In case of a product eligible for minimum market access (MMA) under the Presidential Decree on Tariff Concessions Granted Pursuant to the World Trade Organization Agreement and Other Agreements, preferential tariffs apply only to in-quota amount.
Article 4
Remedy for Injury to Domestic Industries
1. In cases where an increase in the import of a product eligible for preferential tariff causes or threatens to cause serious injury to domestic industries which produce like products, or directly competitive products, and it is necessary to prevent them from happening, the head of a relevant central administrative agency or an interested person may request the Minister of Strategy and Finance to suspend the application of preferential tariffs to the product in question.
2. When the head of a central administrative agency or an interested person wishes to request suspension of the application of preferential tariff pursuant to paragraph 1, the following documents should be submitted to the Minister of Strategy and Finance:
(a) HS code number, description, size, use and substitutable products of the product in question;
(b) Materials used in producing the product in question and documents explaining the use and manufacturing process of related products produced using the product in question as an input;
(c) The records of demand and supply of the product for the previous 1 year and forecast of demand and supply for the following 1 year;
1 This is the unofficial English translation from the Korean text. In the case of doubt or discrepancy in translation, the the Korean text shall prevail.
1 year;
(e) Monthly factory prices of the product and sales performance of each domestic producer for the latest 1 year;
(f) Description of injuries to domestic industries and the suspension period of the application of preferential tariffs; and
(g) Other documents which help decide that serious injuries are caused to domestic industries or there exists a threat to cause serious injury to domestic industries.
3. The Minister of Strategy and Finance should examine whether there were reasons to suspend the application of preferential tariffs within 15 days from the date on which the request is made according to paragraph 1, unless there is a special reason for delay.
4. When it is determined as the result of the examination provided in paragraph 3 that there were reasons to suspend the application of preferential tariffs, the Minister of Strategy and Finance should decide suspension of the application of preferential tariff immediately and announce its decision in a Ministerial Ordinance.
5. The suspension of the application of preferential tariff shall go into effect from the date on which the Ministerial Ordinance is released in accordance with paragraph 4.
Article 5 Rules of Origin
1. A product eligible for preferential tariff should be wholly produced or obtained in the exporting country. The following products shall be considered as wholly produced or obtained in the exporting country:
(a) Raw materials or mineral products extracted from soil, waters or seabed of the exporting country;
(b) Agricultural and forestry products harvested in the exporting country;
(c) Animals born and raised in the exporting country and products obtained from such animals;
(d) Products obtained by hunting or fishing conducted in the exporting country;
(e) Marine products caught in high seas by vessels of the exporting country and products manufactured or processed, using such products. In this case, "vessels of the exporting country" refer to the vessels registered in the exporting country, 60 per cent or more of equity of which is owned by a citizen or the government of the exporting country, or a corporation or association legitimately registered in the exporting country;
Used articles collected in the exporting country, for the purpose of the recovery of raw materials;
Waste and scrap resulting from manufacturing operations conducted in the exporting country; and Products produced exclusively in the exporting country using the products referred to in subparagraphs 1 to 7 above as raw materials.
the origin of which is not determined, shall be eligible for preferential tariffs only if the value of the inputs does not exceed 60 per cent of the F.O.B. price of the final product. In this case, if the final product includes the product originating from the Republic of Korea as an input, the value of the product shall be excluded from the calculation of the total value of the inputs.
3. The value of the inputs referred to in paragraph 2 shall be calculated in the following order:
The value including freight and insurance cost at the time of importation to the exporting country (C.I.F. price); and
The ascertainable price paid first for the inputs in the exporting country.
4. Those who wish to receive preferential tariffs should submit a Certificate of Origin set out in Annex Ⅲ issued by the government of the exporting country or an authority designated by the government of the exporting country.
5. Article 236 of the Enforcement Decree of the Customs Law shall be invoked in cases not covered by the rules of origin set out in paragraphs 1 to 4.
Addendum 1. This Decree shall go into effect on 1 January 2013.
1. This Decree shall apply to the product whose import declaration is made after this Decree enters into force.
2.