General Information

The EU-South Korea free trade agreement aimed at integrating the European and Korean economies, adopted in 2011, helped to remove many trade barriers and facilitate the importation of French products into this highly developed country with a large, consuming population with strong purchasing power.

Although South Korea is a mature economy with large groups that have demonstrated great commercial aggressiveness and good knowledge of international markets, it is not easy for foreign groups to penetrate the Korean market. It is essential to be able to offer a new or differentiated offer or to consider partnering with a Korean company with a complementary activity, to better understand the modus operandi in Korea.

However, it is relatively easy and quick to set up a company in Korea.

Means of Payment & Banking Specificities

Documentary credits remain the safest and most common method of payment. There is some foreign exchange control in Korea and the local currency KRW is convertible but only exchangeable through futures contracts not deliverable on offshore markets. Any foreign exchange transaction that exceeds USD 1K must be notified to the central bank. Supporting documents are requested for any inflow or outflow of funds greater than USD 1K.