Skip to main content

🇰🇷 No Safety Certification, No Entry: New Cross-board Importing Regulation

New cross-border personal importing regulation announced by Korean government on May 16th, 2024


Introduction of New Safety Regulations

Starting June 2024, the Korean government will implement a new regulation prohibiting the import of 80 specific items through direct overseas purchases unless they have safety certification. This measure aims to protect public health and safety.


Announcement of New Measures

On the May 16th, at a meeting chaired by Prime Minister Han Duck-soo, the government announced a plan to enhance consumer safety and boost corporate competitiveness in response to the surge in overseas direct purchases. Previously, products imported through official channels required the KC (Korea Certification) mark, but items bought directly from overseas lacked these safety checks.


Impact on Children's Products and Electronics

Due to the recent rise in direct purchases from platforms like AliExpress and Temu, the import of potentially harmful products has also increased. Now, 34 types of children's products, such as strollers and toys, and 34 types of electrical and household goods, like electric heating mats, must have KC certification to be imported.


Restrictions on Household Chemicals

In addition to children's and electrical products, 12 types of household chemicals, including humidifier disinfectants and preservatives, will require safety approval. Products with harmful ingredients will be blocked even if they have safety certification.


Monitoring and Enforcement on Cosmetics & Hygiene Products

The government will also inspect cosmetics and hygiene products to ensure they don't contain any of the 1,050 prohibited substances. Items exceeding harmful substance limits, like accessories and other household chemicals, will be banned.


Strengthening Controls on Medical Devices and Pharmaceuticals

Controls on medical devices and pharmaceuticals, which are already banned from direct overseas purchases, will be tightened. Illegal medical device seizures have increased significantly from 678 cases in 2021 to 6,958 cases last year. The government plans to amend the Pharmaceutical Affairs Act to clarify the ban on direct purchases of medicines and veterinary drugs and to enhance inspections at customs.


Combating Counterfeits and Protecting Consumer Data

To prevent the influx of counterfeit goods, the government will implement AI-based monitoring of foreign platforms and connect real-time data from the Patent Office and Customs. A new system will be introduced this month. The government also aims to revise trademark laws to penalize platforms that do not block counterfeit items.

In response to concerns about personal data breaches by foreign platforms, the government is investigating compliance with data protection laws and will announce findings in the first half of this year.


Enhancing Consumer Protection

To improve consumer protection and enforcement, the government plans to mandate the designation of local representatives by foreign platforms. These representatives will handle consumer complaints and remove listings of uncertified products. Additionally, information about overseas purchases will be consolidated on the 'Consumer24 (www.consumer.go.kr)' platform for better accessibility.


Preventing Tax Evasion

The government is also reviewing the system to prevent abuse of the duty-free allowance for small imports. A new customs platform optimized to block harmful products is planned for completion by 2026.


These measures are designed to enhance safety and consumer protection in response to the growing trend of direct overseas purchases. By ensuring that imported products meet safety standards, the government aims to safeguard public health and boost corporate competitiveness.

Comments

Popular posts from this blog

🇰🇷 Exploring Individual Transactions for Supplement: A Cautionary Pilot Program (Korea)

Good news! Now you can buy and sell dietary supplement health products like Korean red ginseng and vitamins directly from individuals. Starting from the 8th, the Ministry of Food and Drug Safety is trying out a new program called the "Health Functional Food Individual Transaction Pilot Project" for a year. This project aims to make it easier for people to trade small amounts of health products between themselves. They're doing this because back in January, a group suggested making it easier for people to buy and sell health products. But they also want to make sure everything stays safe and regulated. To make this work, they're using two popular platforms, Karrot Market ( link ) and Bunjang ( link ), which have systems to make sure things are safe and in good condition. Here are some rules: the products have to be unopened and have clear labels. They should also have at least 6 months before they expire, and they should be okay to store at room temperature. Anything t...

🇰🇷 Countering the Surge of Ali, Temu, and Shein: E-commerce's Bold Investment Strategy

Fighting Fire with Fire : South Korea's E-Commerce Giants Ramp Up Investments in Response to Chinese Platforms. In the face of rapid expansion by Chinese e-commerce platforms such as AliExpress, Temu, and Shein—collectively known as C-commerce—major South Korean players like Coupang and Naver are aggressively stepping up their investment game. Rise of C-commerce in Korea As of April 2024, the monthly active users (MAU) for these C-commerce platforms reached a total of 14 million in South Korea: AliExpress at 6.68 million, Temu at 6.93 million, and Shein at 600,000, according to mobile data platform MobileIndex. The recent surge from China's direct purchase market is estimated at about 3 trillion KRW (approximately 2.46 billion USD), surpassing the annual revenue of Coupang back in 2017, which was shortly after they launched their Rocket Delivery service. In comparison, the growth rate of C-commerce platforms in the first quarter of this year was 54%, significantly outpacing Cou...

🇰🇷 11st's Bold Shift to Profitability

11st Shifts Focus to E-commerce Amid Financial Struggles 11st is prioritizing profitability, even to the extent of terminating new business ventures it embarked on just two years ago. The company's focus is now firmly on enhancing its e-commerce operations. End of MyData Service 11st recently announced the discontinuation of its MyData service, "Moneyhanjan," which it had launched in October 2022. This service aimed to consolidate financial information from various sources such as banks, card companies, and fintech firms. Initially, MyData was a strategic move to secure a new revenue stream, but it failed to meet profitability expectations. Despite efforts to expand the service, including the launch of "Moneyhanjan Consumer Research Lab" to analyze user data and provide shopping trends, the venture did not deliver the desired financial results. This decision reflects the management's strategy to focus on the more profitable e-commerce sector, especially in t...