Deepens the existing AKFTA relationship. Korea committed to 95.54% tariff elimination vs Indonesia's 92.06%, substantially more comprehensive than AKFTA. Covers goods, services, investment, HR development, and technology transfers. Gives traders multiple pathways alongside AKFTA and RCEP.
Korea eliminates up to 95.54% of tariff lines; Indonesia eliminates 92.06%
Steel, auto parts, petrochemicals, fisheries, dried fruits, seaweed, lubricants, textiles, ceramics, technology
RVC of 40% or CTC; build-up or build-down calculation; Product Specific Rules for select goods
Both maintain exclusion lists for sensitive agricultural products. Korea protects rice and certain fishery products.
Sample of HS codes with active preferential rates under this agreement.
| HS Code | Product | Rate |
|---|---|---|
| Prefabricated buildings — Other, of iron or of steel | 0% | |
| Motor vehicles for the transport of ten or more persons, including the driver — Of a g.v.w. exceeding 24 t | 0% | |
| Tractors (other than tractors of heading 87.09) — Agricultural tractors | 0% | |
| Tractors (other than tractors of heading 87.09); Other, of an engine power; Exceeding 130 kW, other | 0% | |
| Motor vehicles for the transport of ten or more persons, including the driver — Of a g.v.w. of at least 6 t but not exceeding 18 t | 0% | |
| Motor vehicles for the transport of ten or more persons, including the driver — Of a g.v.w. exceeding 24 t | 0% |
To qualify for preferential rates under IKCEPA, your shipment needs a valid Certificate of Origin. Kickrate handles the documentation as your Importer of Record.
| 87019490 | Tractors (other than tractors of heading 87.09); Other, of an engine power; Exceeding 75 kW but not exceeding 130 kW, other | 0% |
| 87012990 | Tractors (other than tractors of heading 87.09); Road tractors for semi-trailers, other | 0% |
| 87022041 | Motor vehicles for the transport of ten or more persons, including the driver — Of a g.v.w. exceeding 24 t | 0% |
| 87013000 | Tractors (other than tractors of heading 87.09) — Track-laying tractors | 0% |
| 87019210 | Tractors (other than tractors of heading 87.09) — Agricultural tractors | 0% |
| 87022039 | Motor vehicles for the transport of ten or more persons, including the driver; With both compression-ignition internal combustion piston engine (diesel or semi-diesel) and electric motor as motors for propulsion; Other motor coaches, buses or minibuses, other | 0% |
| 87022039 | Motor vehicles for the transport of ten or more persons, including the driver; With both compression-ignition internal combustion piston engine (diesel or semi-diesel) and electric motor as motors for propulsion; Other motor coaches, buses or minibuses, other | 0% |
| 87019510 | Tractors (other than tractors of heading 87.09) — Agricultural tractors | 0% |
| 87019110 | Tractors (other than tractors of heading 87.09) — Agricultural tractors | 0% |
| 87022029 | Motor vehicles for the transport of ten or more persons, including the driver; With both compression-ignition internal combustion piston engine (diesel or semi-diesel) and electric motor as motors for propulsion; Other, for the transport of 30 persons or more, other | 0% |
| 87022029 | Motor vehicles for the transport of ten or more persons, including the driver; With both compression-ignition internal combustion piston engine (diesel or semi-diesel) and electric motor as motors for propulsion; Other, for the transport of 30 persons or more, other | 0% |
| 87023041 | Motor vehicles for the transport of ten or more persons, including the driver — Of a g.v.w. exceeding 24 t | 0% |
| 87023049 | Motor vehicles for the transport of ten or more persons, including the driver; With both spark-ignition internal combustion piston engine and electric motor as motors for propulsion, other | 0% |
| 87023069 | Motor vehicles for the transport of ten or more persons, including the driver; With both spark-ignition internal combustion piston engine and electric motor as motors for propulsion; Other, for the transport of 30 persons or more and specially designed for use in airports, other | 0% |
