Customs issues guidelines for PH-Korea free trade agreement

The Bureau of Customs (BOC) has issued guidelines for implementing the free trade agreement (FTA) between the Philippines and South Korea, enabling reduced or zero tariffs on imported goods.

Outlined in Customs Memorandum Order (CMO) 11-2024, the guidelines require goods from Korea to undergo detailed product evaluations, including submissions of company profiles, manufacturing flowcharts, cost analyses, and sales invoices.

Exporters must secure Certificates of Origin to ensure compliance with rules of origin requirements. Those granted “Approved Exporter” status may issue Origin Declarations for their goods, provided they meet the compliance criteria.

“This Customs Memorandum Order reflects the BOC’s commitment to facilitating trade and enhancing partnerships,” Customs Commissioner Bienvenido Rubio said in a statement.

“By laying out clear and actionable guidelines, we aim to ensure a seamless transition into the PH-Korea Free Trade Agreement,” he added.

The guidelines took effect on December 31, 2024, following the issuance of Executive Order No. 80 by President Ferdinand “Bongbong” Marcos Jr. earlier in December.

The EO emphasized the need to adjust import duty rates to align with the Philippine Schedule of Tariff Commitments under the FTA.

President Marcos signed the FTA on May 13, 2024. It was subsequently ratified by the Senate through Resolution No. 1188 on September 23, 2024. — DVM, GMA Integrated News