Top 5 Things You Must Know to Find a Supplier in South Korea
January 3, 2018
Sourcing your supplies from overseas is a great way to cut costs, acquire high-quality products, and get ahead of your competitors. South Korea is an excellent source of supplies if you need high-tech quality goods at an advantageous price. If you’re looking to import from South Korea to the US, there are a number of things you should be aware of.
1. Regulations and Fees
Since South Korea and the US have a Free Trade Agreement in place, 95% of South Korean products can be imported to the US free of duties and merchandise processing fees (MPF). Bear in mind that some products are subject to quotas (check here if that applies to you), and you still need to provide a certificate of origin that proves your imports were produced in South Korea.
South Korea doesn’t levy any taxes or fees on exports, and there are no export restrictions in place for any products. However, certain goods are subject to export permissions or require approval from the South Korean government. These goods include weapons, nuclear energy, toxic waste, and missiles.
Before your supplies can leave the country, you’ll need an export clearance for them. There are three ways to get this done: you can choose automated processing, immediate processing, or post-inspection processing. The website of the South Korean customs service lists all the details and lets you choose the one best suitable for you.
2. Best South Korean Products
South Korea has a competitive advantage in many economic sectors. Here’s a list of products most importers buy from South Korean suppliers.
- Electrical machinery and equipment
- Optical, technical, and medical apparatus
- Ships and boats
- Mineral fuels and oils
- Iron and steel
- Organic chemicals
Bear in mind that this list is non-exhaustive; many other South Korean products have great chances on the US market.
3. How to Find a Supplier
There are several online searchable databases that list South Korean suppliers. The International Center of Ecommerce allows you to search their whole directory for suitable suppliers, products, or services. You can also click through the product catalog and choose your supplier from the list.
Alternatively, you may turn to the Korea Chamber of Commerce and Industry for assistance in finding a South Korean supplier.
You need 7 tools to master international trade. Find out what they are.
4. How to Transport Your Goods
Given the geographical conditions and the distance between the US and South Korea, your best bets are sea and air transport. There are eight international airports and three main trade ports in South Korea. Your carrier can assist you with choosing the best exit port and route for your goods.
5. How to Pay for your Import
Once you’ve found a supplier and reached an agreement, you’ll have to pay for your imported goods. International transfers can be a handful. If you need fast, reliable, and affordable service, choose Veem.
Due to its unique multi-rail technology, Veem allows you to send international payments as easily as sending an email. Veem contacts the recipient of your transfer, making sure that your money ends up where it’s supposed to. Both you and the recipient can check the details of your payment online. Because Veem connects you with your supplier directly, there are no middlemen and no hidden costs. On top of all this, Veem offers excellent foreign exchange rates. Choose Veem for all your international transfers.