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South Korea Import Duty Rate for Trucks & Commercial Vehicles

HS 8704 · Motor vehicles for transport of goods

South Korea MFN Import Duty Rate

10%

on CIF value

KORUS: 0%

MFN 10% on commercial vehicles.

How duty is calculated

CIF value

Product cost + international freight + insurance

Import duty (10%)

Applied to CIF value. EU, UK, and most countries use CIF.

VAT (10%)

Applied to CIF value + duty. Collected at customs.

Use our Landed Cost Calculator to compute the full cost including freight, brokerage, and last-mile delivery.

Worked example: trucks & commercial vehicles worth US$10,000

A commercial shipment invoiced at US$10,000 with US$900 of international freight and insurance. South Korea charges duty on the CIF value (goods + freight + insurance), so the duty base is US$10,900. Customs converts the amount to KRW at the official exchange rate on the day of import.

Charge	At 10%
Import duty	$1,090
VAT (10%)	$1,199
Total paid at the border	$2,289

VAT is usually recoverable for a registered business, so the cost that stays with you is the duty. Excise, anti-dumping duties and broker fees are not included.

Classifying trucks & commercial vehicles correctly

Heading 8704 covers motor vehicles for the transport of goods, split by engine type and gross vehicle weight (up to 5 t, 5–20 t, over 20 t).

Dual-purpose vehicles are classified by their main design purpose — seating and windows behind the driver point to 8703
Tractor units for semi-trailers are 8701, not 8704
Special-purpose vehicles such as cranes and fire engines go to 8705

Compliance. Commercial vehicles need homologation and emissions certification; heavy vehicles often face extra road-use or registration taxes after import.

Importing into South Korea: what you need

The Korea Customs Service (KCS) clears goods through UNI-PASS; rates are in the Customs Act tariff schedule.

Registration. A business registration number and customs registration; individuals buying from abroad need a Personal Customs Clearance Code (PCCC).

Low-value shipments. Personal-use purchases worth US$150 or less (US$200 from the US under KORUS) are exempt from duty and VAT; commercial imports pay from the first won.

Documents customs will ask for

Import declaration in UNI-PASS
Commercial invoice and packing list
Bill of lading or air waybill
Certificate of origin or origin declaration for FTA rates
KC certification for electrical and children's products

Charges on top of duty

VAT 10% on CIF value + duty
Individual consumption tax on cars, jewellery and other luxury items
Education and rural development taxes on some goods

Watch out. Korea's FTA network is wide — KORUS, the EU and UK FTAs, RCEP and the Korea–China FTA cut many rates to 0%, but each needs its own origin document.

Frequently asked questions

What is the import duty rate for Trucks & Commercial Vehicles in South Korea?

The MFN (Most Favoured Nation) import duty rate for Trucks & Commercial Vehicles (HS 8704) in South Korea is 10% on the CIF value. MFN 10% on commercial vehicles.

Is VAT charged on Trucks & Commercial Vehicles imports to South Korea?

Yes. South Korea charges VAT at 10% on the CIF value plus any import duty. This applies to virtually all commercial imports.

Are there FTA rates available for Trucks & Commercial Vehicles in South Korea?

Yes. KORUS: 0%. KORUS (US), Korea–EU FTA, Korea–UK FTA, RCEP, Korea–ASEAN FTA, Korea–China FTA (CKFTA) are the key agreements — verify origin requirements with your customs broker.

How is import duty calculated for Trucks & Commercial Vehicles entering South Korea?

Duty is calculated on the CIF value of the goods. CIF value includes the product cost, international freight, and insurance. The MFN duty of 10% is applied to this value. VAT (10%) is then applied on the duty-paid value.