Korea's Trade Agreements and Tariffs in 2026: What Importers Actually Pay

How many free trade agreements does Korea have?

As of September 2026, Korea has 23 FTAs in force covering 60 countries, according to the FTA portal of the trade ministry (MOTIR). Older figures such as "21 FTAs with 59 countries" date from 2023–2024. Two agreements have entered into force since then: the Korea–Philippines FTA on 31 December 2024 and the Korea–UAE CEPA on 1 May 2026, Korea's first FTA with a Gulf state.

The network includes the United States (KORUS), the European Union, China, ASEAN, India, the United Kingdom, Australia and Canada. It also includes RCEP, the 15-member Asia-Pacific agreement that links Korea with Japan. The other partners are Chile, Peru, Colombia, Central America, the EFTA states (Switzerland, Norway, Iceland, Liechtenstein), Türkiye, New Zealand, Vietnam, Israel, Cambodia and Indonesia.

Signed or concluded, but not yet in force

These agreements do not reduce any duty yet. Status as of the MOTIR portal's September 2026 update:

• Signed, not in force: Guatemala joining the Korea–Central America FTA (signed January 2024) and the Korea–Ecuador SECA (signed September 2025).
• Concluded, not in force: Korea–GCC FTA (December 2023), Korea–Georgia CEPA (November 2024), Korea–Malaysia FTA (October 2025), the UK–Korea upgrade (December 2025) and Korea–Serbia CEPA (May 2026).
• Concluded in principle: Korea–Mongolia CEPA (July 2026) and Korea–Bangladesh CEPA (August 2026).
• Under negotiation: Thailand and Pakistan, plus upgrades of the existing agreements with India, China, Singapore and ASEAN.

What duty do Korean goods pay in each market today?

An FTA gives a preferential rate only to goods that meet its rules of origin and travel with the right proof of origin. Some countries now also charge extra duties that apply whatever the FTA says. The table shows the position as of October 2026.

Two terms come up throughout. The MFN rate ("most-favoured nation") is the normal duty a country charges on imports from WTO members it has no FTA with. The HS code (Harmonized System code) is the product classification number that decides which rate applies: the first six digits are international, and each country adds its own digits. Import VAT or GST is charged on top of duty in most markets, FTA or not.

What do US importers pay on Korean goods in 2026?

Since 24 July 2026, most Korean-origin goods entering the US pay a combined duty of 12.5%. A Section 301 "forced labor" tariff tops the duty up to 12.5% wherever the applicable rate is lower, including KORUS's 0%. Goods whose normal rate is already 12.5% or more pay nothing extra. Goods under Section 232 pay their sector rate instead, and listed items such as smartphones, laptops, semiconductors and medicaments are exempt.

KORUS still matters for high-duty goods. A valid KORUS claim replaces the normal rate with 0%, so the total becomes 12.5% instead of the full MFN rate. On many garments that is the difference between 32% and 12.5%. On goods whose MFN rate is below 12.5%, a KORUS claim no longer lowers the duty.

Rates are from the US tariff schedule (HTS) on 3 October 2026, with the Section 301 rule for Korea applied. Standard fees come on top, such as the harbor maintenance fee on sea freight and the merchandise processing fee (MPF), from which goods with a valid KORUS claim are exempt. The examples assume genuine Korean origin: goods a Korean brand makes in Vietnam or Mexico take those countries' rates.

Section 232 sector tariffs

The Supreme Court ruling did not affect Section 232 tariffs, and goods covered by them do not also pay the Section 301 tariff. Rates for Korean goods as of October 2026:

• Passenger cars and auto parts: 15% all-in since 1 November 2025 (light trucks keep their 25% duty).
• Steel, aluminium and most copper articles: 50% of the full customs value since 6 April 2026; many metal derivatives pay 25%.
• Machinery caught by the metals action: certain industrial machinery, agricultural equipment and residential HVAC pay 15% all-in for Korea until 31 December 2027.
• Patented pharmaceuticals: 15% for Korea from 31 July or 29 September 2026, depending on the company. Generics are not covered.
• Medium and heavy trucks and their parts: 25%; buses 10%.
• Timber, lumber and wood products: 15% all-in for Korea.
• Other sectors: certain advanced AI chips 25% since 15 January 2026; drones capped at 15% for Korea; polysilicon 15% from 4 December 2026.

Anti-dumping and countervailing duties on specific Korean products, common for steel, come on top. Check them product by product.

What happened to the 2025 "reciprocal" tariffs?

1. April 2025: a 10% baseline tariff under IEEPA (the International Emergency Economic Powers Act) applied to most imports. A 25% rate announced for Korea was paused.
2. 7 August 2025: after the July 2025 trade deal, Korean goods paid 15% on top of the normal duty.
3. 14 November 2025: the 15% became "all-in", meaning it included the normal duty.
4. 20 February 2026: the Supreme Court held 6–3 in Learning Resources v. Trump that IEEPA does not authorise tariffs, and the IEEPA tariffs ended.
5. 24 February to 24 July 2026: a temporary 10% surcharge under Section 122 applied on top of the normal duty, then expired.
6. 24 July 2026: the Section 301 tariff took over, at 12.5% "net of MFN" for Korea.

IEEPA duties paid between April 2025 and February 2026 may be refundable. The Court of International Trade ordered refunds in March 2026, and since 20 April 2026 CBP has been rolling out a refund function in its ACE system, called CAPE, in phases. For finally liquidated entries, refunds have so far been confirmed only for importers that sued, and the government has appealed the refund order. Ask your broker or a trade attorney what you can still claim.

No more duty-free small parcels

The US $800 de minimis exemption has been suspended for every country since 29 August 2025. CBP made the suspension indefinite in June 2026, and the law that created the exemption is repealed from 1 July 2027. Every parcel now needs a customs entry and pays duty: a $60 parcel of Korean skincare, for example, pays about $7.50 (12.5%) plus the carrier's or platform's fees. Since 24 July 2026, mail parcels worth up to $2,500 go through CBP's new mail informal entry process.

What do EU importers pay on Korean goods?

Usually no customs duty. The EU–Korea FTA, applied since 1 July 2011 and fully in force since 13 December 2015, removes duties on 98.7% of tariff lines. Korean-origin goods with a valid origin declaration enter at 0%, but import VAT is still due at the destination country's rate. How much the FTA saves depends on the normal EU rate:

Rates from the EU's TARIC database on 3 October 2026. Proof of origin is the exporter's origin declaration on the invoice or another commercial document. Any exporter can make it for consignments up to €6,000; above that, only an approved exporter can. The EU's EUR.1 certificate is not accepted. Our FTA guide explains the wording and the checks.

Low-value e-commerce parcels

• The €150 customs-duty exemption ended on 30 June 2026. Since 1 July 2026, parcels worth up to €150 pay a temporary flat duty of €3 per item until 1 July 2028 (Council Regulation (EU) 2026/382). An "item" is a tariff subheading, not a unit: five T-shirts count as one item, a T-shirt and a watch as two.
• Goods that qualify for an FTA preference avoid the €3 only if they are declared in a full (H1) customs declaration and VAT is not collected through IOSS.
• A separate €2 per item EU handling fee was adopted on 21 September 2026. The Commission says it applies from 1 November 2026, the date product identifiers also become mandatory for these parcels.

What about the United Kingdom?

The UK–Korea FTA has applied since 1 January 2021. It is the post-Brexit "continuity" deal that copied the EU terms, so Korean-origin goods generally enter the UK duty-free on the same basis as in the EU. Proof of origin works as in the EU: an origin declaration on a commercial document, made by any exporter up to €6,000 per consignment and by an approved exporter above that.

An upgrade was concluded on 15 December 2025. It adds services and digital-trade rules, a supply-chains chapter and modernised rules of origin. As of September 2026 it had not been signed or ratified, so the 2021 terms still apply.

How do RCEP, KAFTA and CKFTA work for Asia-Pacific importers?

RCEP has 15 parties: the ten ASEAN states, China, Japan, Korea, Australia and New Zealand. It has applied to Korea since 1 February 2022 and is the only FTA covering Korean goods entering Japan. In China, ASEAN, Australia and New Zealand, importers can usually choose between RCEP and the bilateral agreement product by product, depending on which gives the lower rate or the easier origin rule.

• Australia (KAFTA): in force since 12 December 2014. Since 1 January 2021 Australia has charged no duty on qualifying goods from Korea, and Korean exporters self-certify origin.
• Canada (CKFTA): in force since 1 January 2015. Canada removed duties in stages (immediately, or over 3 to 11 years) and excluded some lines, so check the Canadian Customs Tariff for your product.
• Certificates issued in Korea: for China, ASEAN, India, Vietnam, Singapore, Indonesia, the Philippines and the UAE, the supplier usually needs a certificate of origin from Korea Customs Service (KCS) or the Korea Chamber of Commerce and Industry (KCCI). RCEP, Israel and Cambodia accept either an issued certificate or self-certification.

How do I check the duty for my product?

1. Classify the product. Ask the supplier which HS code they use, then have it confirmed in your country: each country adds its own digits, and customs authorities sometimes classify the same product differently.
2. Look up the official tariff. Use the US HTS, the EU's TARIC or Access2Markets, the UK Trade Tariff, or your country's customs tariff. Note both the MFN rate and the Korea preferential rate.
3. Add the extra duties. In the US that means Section 301, Section 232 and any anti-dumping or countervailing duty; in the EU, the low-value parcel duty and any trade-defence measures.
4. Check origin. Make sure the goods meet the agreement's rules of origin and that your supplier can provide the right proof of origin. Our FTA guide walks through this.
5. Confirm with a licensed customs broker and build the rate into your landed cost; our import cost calculator helps.
6. Re-check before each order. US rates in particular have changed several times a year since 2025.

How Korea Import Hub helps with tariffs and origin paperwork

We are a sourcing agent in Incheon, founded by former Korean exporters. Before you order, we confirm with the supplier where and how the goods are made and whether they can support an FTA claim. At shipment we prepare the export documents and origin paperwork your market needs, from origin declarations to certificates issued in Korea, and coordinate freight. We work in English, Korean, Japanese and Chinese, and your customs broker confirms the final duty rate. Tell us about your product and destination, and we will reply within 24 hours on business days with next steps and a written quote.

Frequently asked questions

Sources