did you know that in 2021 the republic of korea had the sixth largest e-commerce market?
South Korea is a connected country and nearly 99.5% of Korean households have internet access.
Korea’s cross-border e-commerce has seen increased traction in recent years. Overseas online retail sales reached $3.5 billion in 2020. In the same year, the United States ranked as the top contributor in Korea’s cross-border e-commerce market.
For us e-commerce companies looking for Asian customers, this East Asian country presents an exciting opportunity.
If you’re looking for a logistics solution to reach your Korean customers, the best place to start is to familiarize yourself with international sales best practices.
This will help you avoid last minute delays and unpleasant surprises that could cost you dearly.
Below is a guide with information on international shipping to South Korea from the United States.
cost & delivery speeds for shipments to south korea from united states
When shipping internationally, some sellers may want their products delivered quickly, while others seek more cost-effective solutions and are flexible on delivery times.
In order to design a comprehensive shipping strategy, it is important to understand the shipping options available.
You can find below a list of services offered by the four main operators. We calculate the costs below using each carrier’s unique pricing calculators.
A consistent sample of 2 pounds in April 2022 has been used for calculation purposes. exact prices may change.
Note: These are general options for consumer shipping orders. To find out what Shipbob offers when shipping to other countries like South Africa, request a quote here.
Exact shipbob rates for customers will vary, as we charge a “total fulfillment cost” which includes picking, packing, and shipping, among other factors.
*dhl costs have been calculated using a package size of 17″ x 13″ x 1″ (length x width x height)
how to choose a carrier
International shipping comes with many challenges. To choose the right carrier for your needs, it’s good practice to weigh the pros and cons of the key players.
to ship to south korea, you have different options from usps, ups, fedex, and dhl.
In addition to shipping rates and transit times, there are other carrier services you’ll want to consider, including reliable order tracking, pickup options, and more.
Below is a list of the pros and cons of four leading international shipping companies. this will be helpful when shipping from the usa. uu. to south korea.
carriers
advantages
cons
- offers affordable shipping services
- its postal products and services are accessible to everyone in the us.
- a great option for shipping heavier packages due to flat rate shipping options
- free package pickup options available
- Delays in delivery times are possible.
- Fragile items are not always handled well.
- A last-mile delivery tracking mechanism inconsistent.
- maximum send. weight is capped at 70lbs which is lower than other carriers
- free customer support available
- offers last-mile tracking and increased shipping reliability
- international shipping insurance available
- provides free shipping massive discounts
- guarantee fast delivery
- higher shipping rates
- lower delivery locations compared to other carriers
- Shipping options are available for large packages weighing up to 150 pounds. freight options are available for larger loads
- efficient last mile tracking
- free customs clearance support
- a large physical footprint in the united states allows for easy package delivery- off
- pick up service has a charge
- larger shipments are charged much more than other carriers
- uses environmentally friendly practices
- shipping insurance options available
- free pickup option
- door-to-door solutions offered
- limited presence in the united states makes it difficult to deliver packages
- imposes higher surcharges
shipping to south korea from united states with usps
Founded in 1775, USPS prides itself on being an aircraft carrier built for people. promises universal services for everyone in the united states at affordable prices.
Ships to 180 countries internationally, including South Korea.
global express guaranteed (gxg) is the fastest option for shipping to this East Asian country. however, it is also the most expensive option.
International Priority Mail is the most affordable option. however, if you use this option, be prepared for a longer delivery schedule.
when to use usps to ship from united states to south korea
usps is best when used for small, lightweight packages under 20lbs, clothing, books, cosmetics, etc.
shipping to south korea from united states with ups
ups has the ability to ship to 220 countries and territories around the world, including South Korea. You can ship up to 150lbs of a package with UPS instead of a maximum of 70lbs with USPS.
It is also one of the largest customs brokers in the world.
ups worldwide saver is the fastest shipping option offered when shipping items to south korea. the service promises to deliver within 2-5 business days.
when to use ups to ship from the united states to south korea
ups is suitable for those looking for timely delivery, small business solutions, customs support, etc. however, their services have an additional cost.
but ups offers discounts for large volume shipments on a case-by-case basis and for international 3pl experts like shipbob.
shipping to south korea from united states with fedex
fedex has been operating and serving our customers since 1973. It has a strong air and ground logistics network.
offers specialized solutions for small businesses, such as an international shipping assistance tool.
fedex international priority and fedex international economy are two options available for shipping to south korea from the united states. while the former aims to deliver within 1-3 business days, while the latter can expect delivery within 5 business days.
when to use fedex to ship from the united states to south korea
if your need is fast delivery and you want your shipments to be tracked, fedex would be a credible option.
However, be prepared to shell out more, as their services are priced significantly higher compared to other carriers.
ship to south korea from united states with dhl
dhl is a trusted global player in logistics. Ships to over 220 countries, including South Korea. this German airline has a strong international network and is reliable.
When shipping goods from the United States to the Republic of Korea, the shipping option offered by DHL aims for delivery within 3 business days. the price is competitive for the services offered.
dhl’s footprint is relatively small compared to other carriers. however, it offers a free door-to-door service that is intended to make shipping easier.
when to use dhl to ship from united states to south korea
If you are looking for a reliable player that promises timely deliveries and offers free pickup services, DHL may be right for you.
Your green initiatives, such as gogreen climate neutral, could also prove valuable to individuals and businesses seeking environmentally friendly solutions.
homework & taxes when shipping to south korea from usa uu.
As of January 1, 2020, nearly 98.8% of US goods enter South Korea duty-free.
although the free importation of many articles from the usa is allowed. In the US, some exceptions apply, such as rice in staples.
Some other categories, such as pharmaceuticals, medical devices, and cosmetics, may require special registrations and import approvals, tests, or certifications by relevant organizations before clearing customs.
the us department of commerce fta tariff tool. uu. It is intended for exporters who wish to identify the Harmonized System number for their products and the associated tariff rates.
express courier products shipped to the republic of korea from the usa. uu. for a value less than $200 are tax free.
items ‘made in usa’. uu.’ and less than $1,000 are exempt from Korus FTA (U.S.-Korea Free Trade Agreement) documentation.
In addition to tariffs, South Korea applies a flat 10% value-added tax (VAT) on all imports.
A special excise tax of 10-20% is also levied on certain luxury items and consumer durables.
You must pay the duties and taxes on imported goods within 15 days after customs clearance. will be paid in Korean won.
south korea customs information
Tariffs on imports are calculated on a cost-insurance-freight (cif) basis. the transaction value method is the main mode of customs assessment.
However, if there are doubts about Korea’s customs valuation methods, other means may be used in accordance with the WTO valuation hierarchy on declared value.
For a company to successfully export goods to South Korea, various documents such as commercial invoice, import declaration, bill of lading, certificate of origin, etc. are required to clear Korean customs.
To know more about the country’s customs department, you can refer to the official website.
prohibited items when shipping to south korea
To protect its citizens and the state, each country has a list of items that it prohibits or restricts importation. the republic of korea also has such items that are prohibited from import.
It is best to check this list before shipping to avoid delays.
Below is a list of some of the items that are prohibited from being imported into Korea.
items you cannot ship to south korea from the united states
Since the list of restricted and prohibited items is subject to review and change, it is recommended to check the official website before submission.
what ecommerce businesses need to know about shipping to south korea
Korean e-commerce is leading the growth of the retail market. increased by 14%, contributing to the global growth rate of 29% in 2021.
Domestic e-commerce sales have increased steadily in recent years, and it has become the largest retail channel in Korea. cross-border e-commerce has also been on the rise.
Market expansion is likely to continue for years to come as new markets emerge and existing markets present opportunities for further development.
If you’re an American e-commerce business looking to expand into the Asian continent, read on for some ideas for capturing a slice of the growing Korean e-commerce market.
1. adapt to the Korean market and people
Koreans are demanding but eager and loyal consumers. Therefore, it is important to communicate regularly with your business partners and customers in Korea.
Adapting your company’s products and procedures to Korean tastes is critical to success in this country.
Long-term relationships, both with associates and customers, win in this market. therefore, having a local presence is essential. you could also set up a sales office branch.
Physical meetings are important. visit korea frequently and bring your korean counterparts to the head office on a regular basis. this is important to make them feel involved and to keep them informed about your offers.
If possible, let the distributor/agent choose from the US product line. products you find marketable in south korea. share technical data and company literature to keep them abreast of the latest.
Participating in local trade shows, seminars and demonstrations also contributes to success.
2. take full advantage of the korus free trade agreement and strong american reputation
the korea-united states free trade agreement (korus fta) has made south korea an even more attractive market for american companies.
with more than 95% of the fares reduced or obsolete, usa. uu. products are increasingly cost competitive.
In addition to relaxed tariffs due to NAFTA, US products in the Korean market enjoy a healthy reputation for superior quality and good performance.
as an e-commerce business, be sure to use them to your advantage to establish yourself in the market.
3. be mobile
Mobile e-commerce is the main driver of growth for Korean e-commerce. purchases on mobile platforms represent a staggering 70.5% of the total value of the e-commerce market.
according to the speedtest global index of april 2020, south korea is the world leader in mobile connection speed.
for a usa e-commerce business. In the US, creating a meaningful mobile presence is essential when selling to customers in South Korea.
4. gateway to Asian expansion
With exports valued at 40% of GDP, the Republic of Korea is one of the most export-dependent industrialized nations in the world.
As part of being an export-dependent market, Korea also has a strong shipping and air cargo infrastructure.
Looking for future growth, Korea’s leaders have already started building technology-intensive industries. American companies are finding opportunities in these growing industries and are also partnering with Korean companies to expand into third-country markets.
Therefore, South Korea is not only a market for US products, but also a gateway or hub to expand to other markets such as ASEAN, Middle East, and other Indo-Pacific markets.
If you are looking to expand your presence in the Asian market, South Korea could be a good starting point.
outsource shipping and logistics to a 3pl like shipbob
To offer customers around the world an extraordinary brand experience, consider partnering with an international 3pl like shipbob.
Selling internationally can be challenging, time consuming and expensive. But with shipbob, you have everything you need to serve customers around the world and save time on logistics.
Not only do we handle the picking, packing and shipping of your orders to South Korea, but we also offer up-front fulfillment costs including additional customs, duties and taxes.
By partnering with shipbob, you eliminate the need to manage retail fulfillment, logistics operations, and labor recruitment.
The best part of partnering with shipbob is that you get time to focus on more strategic initiatives like customer service and marketing.
“we realized that this time we needed to find a global fulfillment provider with experience in our fulfillment, which brought us back to shipbob.
shipbob’s software was much easier to use than our previous local supplier’s and gave us a better idea of what was going on with our orders. even from abroad, it gave us the visibility and control we’d expect from a provider in our backyard.”
john greenhalgh, co-founder of dating year
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frequently asked questions about shipping to south korea
These are the answers to some of the most frequently asked questions about shipping to South Korea from the United States.