The Korea Customs Service ("KCS") recently announced that the clearance certification system for parallel imported goods has been implemented as of May 21, 2012. Under this system, a parallel imported product is to be attached with a "customs clearance certification mark for parallel imports" (in a form of Quick Response (QR) code) during the customs clearance process, and by doing so, consumers can identify by using their smart phones the name of the importer, the type of good, brand, model, origin, import declaration date and name of the customs office that provided clearance and confirm that the product has been imported through proper channels.
The purpose of implementing the clearance certification system is to promote parallel importation, price stabilization, and ultimately, reasonable consumption by offering a wide variety and selection of parallel imported goods to consumers. Through an online research, the KCS has learned that the price difference between an exclusively imported product and a parallel imported product (e.g., clothing, shoes, cosmetics, bags, etc.) can vary from around 5% to 40%, and anticipates that this new system will contribute to stabilizing prices. Furthermore, by implementing the new system, the KCS hopes to achieve strengthening the protection of IPR as it is expected that trademark infringing goods, including smuggled or counterfeit goods, etc., can be easily distinguished from parallel imported goods and thus can be naturally thrown out of the market.
Statistics of Parallel Imported Goods (Source: Korea Customs Service)
- Status of the most consumed parallel imported goods
Please click here to view table.
- Status of parallel imports bearing trademarks recorded with the KCS (in the order of the hightest number of parallel importers to the lowest)
Please click here to view table.
