The FTA Utilization Center is supporting small and medium enterprises (SMEs) in overcoming export challenges by providing consultations and solutions for tariff reductions and non-tariff barriers, evidenced by a case involving the export of home electronics.
A South Korean company 'A' faced complications when exporting home electrical products due to challenges in obtaining the mandatory China Compulsory Certification (CCC). After the company sent test samples to China, it received a notification that the customs clearance was denied, creating uncertainty about the certification acquisition and local product launch timeline. In response, the Beijing FTA Utilization Support Center identified the precise cause for the customs denial and guided the company in acquiring an exemption certification, suggesting solutions like shifting the import method from personal mail to general cargo. As a result, company A managed to ensure normal customs clearance, allowing them to proceed with the certification process on schedule.
On the 18th, KOTRA announced the release of a handbook titled '2025 FTA Overseas Utilization Best Practices', which includes 16 exemplary utilization cases for companies to reference. Amid rising tariffs and non-tariff barriers due to high tariffs originating from the U.S., this initiative seeks to enhance the benefits of utilizing FTAs and alleviate export difficulties for South Korean businesses. The FTA Overseas Utilization Support Centers, established in 11 cities across nine countries including China, Vietnam, and India by the Ministry of Trade and KOTRA, provide systematic support for SMEs and local buyers in utilizing free trade agreements, offering continuous consultancy to address challenges related to local customs and non-tariff barriers.
The handbook features categorized solutions to various export challenges faced by companies in relation to FTA utilization, with additional details on the issuance of 'No Objection Certificates' for steel products, a checklist for chemical labeling requirements in China, and practical tips for exporters. It also includes links to resources for confirming restricted and prohibited import items in specific countries. The handbook is freely available for download from KOTRA's overseas economic information website starting from the 19th.
