Ubis Customs Service
Frequently asked questions
Questions and answers about import and export customs clearance, certificates of origin, customs duty drawback and costs.
General customs clearance
Q. What should I send first to request customs clearance? For imports, please send the invoice, packing list and B/L (or AWB); for exports, the invoice and packing list. If you do not have a customs clearance code, we start with the code application as well. Depending on the product, requirement documents or a certificate of origin may also be needed.
Q. What work does a customs broker handle on a client's behalf? Under the Licensed Customs Broker Act, a customs broker acts on behalf of clients in tariff classification and calculation of duties and taxes, import and export declarations, applications for confirmation of import requirements and claims for customs duty drawback. A customs broker can also act for clients in appeal procedures such as requests for pre-assessment review, objections and requests for examination, and in stating opinions during origin investigations.
Q. Can you confirm the clearance result or the amount of duties and taxes in advance? The amount of duties and taxes and whether the goods are inspected are decided by the customs review. Before filing, Ubis reviews the tariff classification, import requirements and expected duties and taxes and informs you of them. For products that are difficult to classify, we also consider an advance ruling on tariff classification from the Korea Customs Service.
Q. Can I have an HS code officially confirmed? Before filing an import or export declaration, you can apply to the Korea Customs Service for an advance ruling on tariff classification. The Korea Customs Service replies within 30 days of the application date (excluding correction and analysis periods). If you disagree with the result, you can apply for a re-examination within 30 days of the date you were notified.
Q. How do I check whether an import requirement such as KC certification applies? Goods that require a permit, approval, labeling or similar under other laws are designated as goods subject to customs confirmation. For example, goods covered by the Electrical Appliances and Consumer Products Safety Control Act are cleared only when the requirement confirmation documents are in place. Send us the HS code and product information, and we will check whether your goods are covered.
Import
Q. By when must an import declaration be filed? The declaration must be filed within 30 days of the date the goods are brought into a bonded warehouse or similar facility. For goods subject to the penalty tax, missing the deadline results in a penalty tax of 0.5% to 2% of the customs value (capped at KRW 5 million).
Q. By when must customs duty be paid? It is paid within 15 days of the date the duty payment declaration is accepted. You can also pay in advance, before acceptance.
Q. Up to what amount are overseas direct purchases duty-free? If the goods are for personal use and their price is USD 150 or less, customs duty is exempt. For express shipments from the United States, the list clearance threshold is USD 200. Medicines, health functional foods and food products are excluded from list clearance even if the amount is small.
Q. Do samples I carry in on a business trip also need to be declared? Goods for sale and company goods such as repair supplies and samples do not qualify for the traveler's baggage exemption (USD 800) and must be declared. If they are found undeclared, a penalty tax of 40% of the tax payable is imposed.
Q. How long does it take to import a food product for the first time? Food imported for the first time is subject to MFDS laboratory inspection, and the processing period is 10 days. You can file in advance from 5 days before the expected arrival date, and in that case the processing period is counted from the day the goods are brought in.
Export and origin
Q. By when must goods be loaded after the export declaration? Goods must be loaded within 30 days of the date the export declaration is accepted. If you apply within that period, the loading period can be extended up to 1 year from the date of acceptance.
Q. Where are FTA certificates of origin issued? Depending on the agreement, there is issuance by an authority, where customs or a chamber of commerce issues the certificate, and self-certification, where the exporter, producer or importer prepares it directly. As a rule, an application for issuance by an authority is made before shipment is completed.
Q. How long is a certificate of origin valid? Under most agreements, it is valid for 1 year from the date of issuance or signature. It is valid for 4 years under the Korea-US FTA and 2 years under the Korea-Chile, Korea-Australia, Korea-Canada and Korea-New Zealand FTAs.
Q. Can I obtain a certificate of origin for exports that do not use an FTA? General certificates of origin, which do not give FTA preferences, are issued by chambers of commerce. If your buyer requires one, we help prepare the application materials.
Drawback and other matters
Q. By when can I claim customs duty drawback? You can claim within 5 years of the date the export declaration is accepted. However, the raw materials eligible for drawback must have been imported within 2 years counting back from the last day of the month that includes the export declaration acceptance date.
Q. How long is an ATA Carnet valid? Up to 1 year from the date of issuance, and some contracting countries allow an extension of 1 more year. It can be used for commercial samples, professional equipment and goods for exhibitions and fairs.
Costs
Q. How are customs clearance fees calculated? For import clearance, a rate is applied to the CIF value, and for export clearance, to the FOB value; each has a minimum amount. If the goods are selected for customs inspection, an inspection fee is added.
| Item | Basis | Fee |
|---|---|---|
| Import clearance Same for general cargo, express shipments and EMS | 0.2% of the customs value Minimum KRW 30,000 for a customs value up to KRW 15,000,000 | From KRW 30,000 |
| Export clearance | 0.15% of the export declaration value (FOB) Minimum KRW 15,000 for an FOB value up to KRW 10,000,000 | From KRW 15,000 |
| Customs inspection (imports) | Attendance and assistance when selected for inspection by customs, per inspection Varies with the inspection location and scope of work | From KRW 50,000 |
Q. Are consultations also charged? We charge the amounts below according to the consultation time.
| Item | Basis | Fee |
|---|---|---|
| In-person consultation | Per hour. Travel expenses charged separately | KRW 200,000 per hour |
Consultation
Related laws and materials
- Licensed Customs Broker Act, Article 2 (duties of licensed customs brokers)
- Customs Act, Article 86; Enforcement Decree of the Customs Act, Article 106 (advance ruling and re-examination of tariff classification) · Source 2
- Customs Act, Article 226; Notice on the Designation of Goods Subject to Confirmation by the Head of Customs and Confirmation Methods under Article 226 of the Customs Act, Annex 2 · Source 2
- Customs Act, Article 241 (declaration deadline, penalty tax for undeclared baggage); Enforcement Decree of the Customs Act, Article 247 (penalty tax rates) · Source 2
- Customs Act, Article 9 (payment deadline)
- Enforcement Rules of the Customs Act, Article 45 (duty exemption for low-value goods), Article 48 (duty exemption for travelers' baggage) · Source 2
- Notice on Import Clearance Procedures for Express Shipments, Article 9, Annex 1
- Notice on Customs Clearance of Baggage of Travelers and Crew, Article 6
- Enforcement Rules of the Special Act on Imported Food Safety Control, Article 27, Annex 10, Form 25
- Customs Act, Article 251 (loading within 30 days); Notice on Export and Return Clearance, Article 65 (extension) · Source 2
- Act on Special Cases of the Customs Act for the Implementation of Free Trade Agreements, Article 11; Enforcement Decree, Article 6; Enforcement Rules, Article 10 · Source 2
- Enforcement Decree of the Foreign Trade Act, Article 91 (delegation of issuance of general certificates of origin)
- Korea Chamber of Commerce and Industry guide to certificates of origin
- Act on Special Cases Concerning the Refund of Customs Duties, etc. Levied on Raw Materials for Export, Article 14; Enforcement Decree, Article 9 · Source 2
- Korea Chamber of Commerce and Industry guide to ATA Carnets