Korea Customs Service Considers Labeling “Made in South Korea” on Goods Produced in North Korea

2019-4-13, TV Chosun

The Korea Customs Service (KCS, 관세청) of South Korea has begun to consider measures to approve a ‘Made in [South] Korea’ label, not just for products made in the Gaeseong Industrial Complex, but also for goods made all over North Korea.  There is still a difference of opinions between the government of South Korea and the U.S. Nevertheless, the South Korean government seems to continue to try to evade economic sanctions against North Korea.

In the last summit between the U.S. and South Korea [on April 10, 2019], President Trump made clear that he is against easing the economic sanctions for resuming the Gaeseong industrial complex and Geumgang Mountain tourism.

President Trump said on April 11, “When we’re at the right time, I’d have great support; this isn’t the right time [to soften the sanctions].”

In contrast to the U.S. government’s position, the Korea Customs Service in March prepared the “Comprehensive Aid Roadmap,” which approves North Korean-made products as made in South Korea, and began an internal review.  They want products made in all regions of North Korea to be labeled as “Made in Korea.” [Numerous products made in South Korea are labeled “Made in Korea” and most consumers would assume the goods are made in South Korea, not North Korea.]

The Korea Customs Service has also prepared plans to allow using original North Korean materials, and for North Korean-produced goods to be directly exported from North Korea to countries that have FTA relationship with South Korea, without the goods going to South Korea first.

Professor Park Won-gon, Handong University, stated, “if the plan is implemented, I think it can have a very negative impact on the overall sanctions.  There could also be a possibility of creating conflict between South Korea and the U.S.”

The Korea Customs Service explained, “It is based on the premise that the south-north trade and the northern trade [trade with North Korea] are energized, and that the plan is not a promotion at the government level, but only a review at the Korea Customs Service level.

Source:  http://news.tvchosun.com/site/data/html_dir/2019/04/13/2019041390086.html