• Journal of Korea Trade
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• v.27 no.1
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• pp.101-118
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• 2023

Purpose - Korea became a trillion-dollar trading country in 2011. With the exponential increase in Korea's trade volume over the past decades, trade-related administrative burdens per capita for Korea Customs became enormous, for which the government established the Single Window, a trade-facilitating system, in 2004 to enhance the efficiency of customs-clearing procedures for traders. This paper focuses on finding whether the Korean Single Window system affects the country's trade facilitation positively through an empirical methodology. Design/methodology - To find empirical evidence that Single Window affects trade facilitation for the customs-clearing procedure, this study assumes that a time-efficient environment enables the handling of the increase in trade volume, under which four independent variables related to import customs-clearing procedures and two dependent variables to import were adopted for empirical analysis. The import customs procedures are classified into four steps from port entry to declaration acceptance. To understand the relationship between variables, scattered plots and correlation coefficients were calculated. Eight hypotheses were set and underwent simple linear regression. The data for analysis were collected by Korea Customs, and were about the lead time of import, the volume of imports in million USD, and the number of import declarations reported to customs offices on a monthly basis from 2005 to 2013. Findings - Six of the eight hypotheses showed the statistically significant result that lead time in the import customs-clearing procedure positively affects the number of import declaration reports and import volume. Specifically, Hypothesis 1, Hypothesis 2, and Hypothesis 3 strongly support the assumption lead time in import customs declaration has an inverse relationship with the number of import declarations, which means that the shorter the import lead time, the more import declaration increases. Research Limitations/Implications - With limited data accessibility to the government's custom-sclearing procedures, only the import lead time for customs clearance were adopted as independent variables. This paper, however, successfully found that the Single Window system contributed to trade facilitation. Originality/value - This study found that the time-saving Single Window system of Korea Customs enables itself to manage an exponentially-increasing trade volume by creating a trade-facilitating environment for customs personnel and traders, which may be a unique implication found through quantitative methodology.

• THE INTERNATIONAL COMMERCE & LAW REVIEW
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• v.47
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• pp.263-298
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• 2010

The global trading system is vulnerable to terrorist exploitation while the international trade is an essential element for the economic development. Customs has a unique role in the international trade to provide increased security while ensuring facilitation of the legitimate flow of goods and the role of Customs has become more and more indispensable these days. In response to this trend, the World Customs Organization(WCO), the organization of more than 170 Customs administrations all over the world, adopted an international framework("SAFE Framework") in 2005, which includes the Authorized Economic Operator(AEO) concept, whereby a party involved in the international movement of goods would be approved by Customs as complying with the supply chain security standards, and given benefits, such as simplified Customs procedure and less Customs intervention. In this stream, the Japanese government has developed and promoted AEO Program in close cooperation with the business sector, aiming at ensuring security while facilitating legitimate trade. For that purpose, Japan Customs, as a main entity in the field of international trade, has developed comprehensive AEO program with combination of programs for importers, exporters, warehouse operators, Customs brokers and logistics operators, such as forwarders and carriers, which are consistent with the "SAFE Framework" developed by the WCO. The purpose of this paper aims to analyse the introduction plans of AEO program for the trade security and trade facilitation with Japanese AEO system.

• THE INTERNATIONAL COMMERCE & LAW REVIEW
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• v.33
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• pp.277-308
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• 2007

Northeast Asia Nations introduced each single window system for simplifying the customs clearance procedures in order to prevent the rekeying the customs and trade-related data. A single window is a means for enabling users to complete all the necessary import/export procedures in a single input and by single transmission by linking the related system. WCO recommends CDM, UCR, ACI that completed by WCO's own projects for assist to establish the single window for customs clearance. Northeast Asia Nations such as Korea, China, Taiwan, Japan undertook trade process reengineering for introducing single window for customs clearance. Korea and Japan introduced a e-customs systems as a good single window system. The purpose of this paper is to contribute to construction of the efficient single window system for customs clearance by studying e-customs cases in Northeast Asia Nations.

• Korea Trade Review
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• v.44 no.2
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• pp.189-202
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• 2019

The Harmonized System comprises about 5,000 commodity groups; each identified by a six digit code, arranged in a legal and logical structure and is supported by well-defined rules to achieve uniform classification. This study reviews the appropriateness of Korea Customs Service and Tax Tribunal's customs classification decisions concerning the interpretation and application of the Harmonized System for certain ITA goods. Korea Customs Service had classified arbitrary and had not applied in dubio pro reo principle. This paper finds that 57% of Korea Customs Service's classification decisions have erred. Korea government need to take measures to secure uniform interpretation of the HS and its periodic updating in light of developments in technology and changes in trade patterns. This paper suggest to amend customs law and regulation concerning classification committee.

• The Journal of Asian Finance, Economics and Business
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• v.7 no.8
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• pp.213-224
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• 2020

The study assesses the impact of trade liberalization factors on changes in customs revenues in Vietnam. Research data was conducted between 2002 and 2017 on the official website of the Government's Web Portal and The World Bank. This paper uses the vector error correction model to estimate the short-term and long term relationship between data series. The results have proven that tariff reductions have a positive effect on short-term and long-term customs revenues in Vietnam. However, the implementation of other international commitments on trade liberalization has positive short-term and long-term negative impacts on customs revenues in Vietnam. The study's results also show that exchange rate has no effect on changes in customs revenues in the short term but it has a strong impact on increasing customs revenues in the long run. Based on these findings, the article also suggests a number of policies to ensure customs revenues in Vietnam in future. In order to ensure customs revenues, the government of Vietnam should: (1) having some policy to improve the efficiency of customs management in Vietnam; (2) Building appropriate VND exchange rate policy; (3) Establishing reasonable non - tariff barriers to prevent fraud and ovations cause losses in customs revenues.

• Journal of Korea Trade
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• v.23 no.8
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• pp.110-131
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• 2019

Purpose - This paper investigates the implications for facilitating trade in the products of Industry 4.0. To identify the issues caused by the conflicts of policy objectives such as applying the tariff concession under the ITA and imposing the export control, by exploring the case of classification of drones. Design/methodology - We adopted a single case study method to gain a deeper understanding of the complex and multifaceted issues of Customs classification in the context of facilitating trade in the products of Industry 4.0. This study employs the case of drones to explore how these issues of Customs classification affect trade facilitation. We ensured the internal validity of the study by confirming the pattern of the results with the existing theories. Findings - Our main findings can be summarised as follows: the intrinsic nature of the products that converge several technologies causes issues in the classification. The inconsistency in product classification delays customs clearance by hindering the Customs risk-management system that pinpoints products subject to controls. To address the issues, therefore, we proposed fundamental reforms of Customs to empower themselves with management roles. Facilitating trade in the products of Industry 4.0 requires more enhanced Customs capability. Therefore, the reforms should include comprehensive capacity-building activities, such as changes in staff-trainings, promotion system, organisation and culture. Customs also need roles in robust designing of cooperative systems to compensate for the lacks of controls and to ensure concrete risk management for expedited Customs procedures. As well, by equipping the Single Window of Customs with crucial control functions of other ministries, Customs need to support the cooperation. The role of harmonising various preaudits of other ministries with its own is another essential role that ensures predictability of clearance procedure. Originality/value - There are scanty studies in the field of knowledge about what obstacles exist and what solution is available in the course of transforming to 'Industry 4.0'. In filling out the gap of knowledge, this paper is of academic significance in that it applies the research theory on trade facilitation for the specific cases of classification of the product of Industry 4.0 to verify its effectiveness and to extend the subject of the studies to the scope of Industry 4.0. It also has practical significance in that the results have provided implications for reforms of Customs procedures to facilitate trade in the products of Industry 4.0.

• International Commerce and Information Review
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• v.6 no.3
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• pp.203-224
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• 2004

The purpose of this study is to review and analyze the protection measures for the importer's interests through the utilization of electronic delivery order(e-D/O) with the implementation of trade facilitation measures such as the simplification of customs procedures by the Korea Customs Service. The Korea Customs Service has been introducing several custom facilitation measures through the use of EDI system in the export and import processes. Korea has also already achieved a comparable level of sophistication in trade automation and custom simplification field. However, the full benefits of the trade automation and custom simplification measures have not yet achieved through the frequent illegal delivery of the imported goods in the bonded areas. Therefore, it is argued in this study that the introduction and the full utilization of e-D/O would help to reap the trade automation and custom simplification measures in Korea. In conclusion, it is emphasized that it would be very crucial for the Korean government to introduce the trusted repository for distribution of the electronic trade-related documents and the construction of the one stop single window platform for the trade and customs facilitation.

• The Journal of Asian Finance, Economics and Business
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• v.3 no.2
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• pp.41-49
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• 2016

Since World War II nations have formed alliances for reasons of security and trade. Countries have seen international integration as an appropriate approach to resolving domestic and international political issues, improving their welfare by both transforming their infrastructures and increasing their foreign trade. While the majority of these relationships are straightforward d Turkey's relationship with the European Union is more complex due to differences in religion and, at times, political ideology from other Union members. As a candidate country Turkey has made advances towards the full membership of the European Union with the customs union being the most significant. The impact of customs union membership is discussed and the effects of the customs union on Turkey's trade and economy are examined from a perspective of different economic theories.

• International Journal of Computer Science & Network Security
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• v.22 no.10
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• pp.347-351
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• 2022

The article is devoted to the formation of approaches to improving the system of administration of customs payments in modern conditions. It is established that important components of the administration of customs payments are customs expertise, customs value assessment, and control over the declaration of goods to ensure the completeness and timeliness of customs duties payments to the budget. It is found that the practice of customs administration shifts the emphasis of foreign trade regulation to the use of the principles of work implying the use of the latest technologies for the preliminary electronic exchange of information, remote customs clearance of goods without the physical presence of an official, and consistent application of risk management. It is established that an important place in the structure of the state authorities regulating the foreign economic activity is given to the customs service. Furthermore, the existing problems in the implementation of international trade operations necessitate the improvement of approaches to the customs regulation of export-import activities of enterprises.

• THE INTERNATIONAL COMMERCE & LAW REVIEW
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• v.48
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• pp.79-100
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• 2010

To promote the nation's exports, in Korea several government led programs are alive for procuring and manufacturing goods for export. The trade supporting programs are consisted of Trade Financing Program, Trade Tax Program, and Trade Insurance. The programs are summarized ; First, Trade Financing Program is available to exporters of procuring raw materials and finished goods for export. It is extended with exceptionally low interests from the Korean commercial banks. Second, Trade Tax Program provides whole or part of customs drawback to exporters. customs drawback is' made when exporters meet requirements of Customs for export. Third, Trade Insurance Program cover risks of uncertainty which is beyond the exporters' capacity at low insurance premium. It is suggested that the exporters have deep knowledge of these three programs to their ends. Especially Trade Financing Program and Trade Insurance Program can be a combined work for the financially weak SMEs. Further, there are rooms for these programs to develop to enhance the competitiveness of SME exporters.