Crude Oil Import Duty & Landed Cost: India to South Korea
Full 2026 tariff breakdown, customs duty calculations, and compliance alerts for importing into South Korea.
2026 Tariff & Cost Breakdown for Importing Crude Oil
Crude Oil imports into South Korea incur a 3% customs duty rate and 10% VAT rate. Duties are calculated on the CIF value in KRW. The total landed cost includes CIF value, customs duty, and VAT.
Cost Breakdown
| Component | Rate | Amount |
|---|---|---|
| Product Value | — | EUR 58.52 |
| Shipping | — | EUR 0.00 |
| Insurance | — | EUR 0.00 |
| CIF Value | — | EUR 58.52 |
| Customs Duty | 3% | EUR 1.76 |
| VAT/GST | 10% | EUR 6.03 |
| Total Landed Cost | — | EUR 66.31 |
HS Code Classification for Crude Oil
Primary HS Code: 2709009000 — What It Covers
HS 2709009000 classifies Crude Oil imports. This code is specific to crude petroleum oils. Korea Customs Service requires accurate HS code classification.
Why Misclassification Carries Risk in South Korea
Korea Customs Service enforces duty reassessment and fines for misclassification. Accurate HS code classification is critical to avoid penalties.
Step-by-Step Guide: Importing Crude Oil from India to South Korea
Step 1: Verify Your HS Code & Product Description
Use the South Korea tariff lookup tool to verify your HS code and product description. Binding tariff information may be available for Crude Oil imports.
Step 2: Gather Required Import Documents
Commercial Invoice Requirements
The commercial invoice must include the HS code, product description, quantity, and value in KRW.
Certificate of Origin
A Certificate of Origin is required for India-Korea CEPA benefits. The certificate must be in a format accepted by South Korea.
Packing List & Shipping Documents
A bill of lading or airway bill is required. South Korea has specific requirements for these documents, including detailed cargo information.
Step 3: Calculate Your Landed Cost
Calculate your landed cost using the formula: CIF Value + Customs Duty (3% of CIF) + VAT/GST (10% of CIF + Duty) = Total Landed Cost in KRW.
Step 4: Submit to South Korea Customs Authority
Korea Customs Service uses the Electronic Data Interchange (EDI) system for customs clearance. Importers must submit detailed cargo information prior to arrival.
Step 5: Pay Duties & Clear Goods
Payment methods accepted include online banking and cash. The typical clearance timeline is 2-3 days after submission.
How to Legally Reduce Duty on Crude Oil Imports into South Korea
Applicable Free Trade Agreements in 2026
The India-Korea CEPA provides reduced or eliminated tariffs on certain Crude Oil imports from India to South Korea.
Duty Deferral Options: Bonded Warehouses & FTZs
Korea Free Trade Zones (FTZs) and Bonded Logistics Centers offer duty deferral options. Duty is deferred until the goods are released from the FTZ or Bonded Logistics Center.
Preferential Tariff Programs
No preferential tariff programs currently apply to Crude Oil imports from India.
South Korea Customs Compliance Rules for Crude Oil
Korea Customs Service Requirements for Crude Oil
Korea Customs Service requires a Korea Petroleum Association certification for Crude Oil imports. Specific filing and documentation requirements apply.
De Minimis Threshold
The de minimis threshold is 10000 KRW. If the total duty payable is below this threshold, no duty is payable.
Frequently Asked Questions About Crude Oil Import Duty from India to South Korea
What is the duty rate for Crude Oil imports from India to South Korea?
The duty rate is 3%. Korea Customs Service enforces this rate.
What documents are required for Crude Oil imports from India?
A commercial invoice, Certificate of Origin, and bill of lading or airway bill are required. Korea Customs Service may request additional documents.
Is my Crude Oil import eligible for FTA benefits?
Check the India-Korea CEPA agreement to determine eligibility. Korea Customs Service can provide guidance on FTA benefits.
What are the penalties for non-compliance with Crude Oil import regulations?
Korea Customs Service enforces duty reassessment and fines for non-compliance. Penalties can be significant.
What is the typical clearance timeline for Crude Oil imports from India to South Korea?
The typical clearance timeline is 2-3 days after submission. Korea Customs Service may request additional information, which can delay clearance.