• On Aug.21, 2024, the Foreign Trade Act, as amended on Feb.20, 2024 (hereinafter referred to as “the Amended Act”), was enforced in light of the changing trade security environment and the international trend of strengthening export controls.

1. Added grounds for designation of strategic items
Established grounds for designating strategic items under multilateral export control cooperation in equivalent to the international export control regime
2. Expanded function the Korean Security Agency for Trade and Industry (KOSTI)
Expanded roles such as policy support and analysis of impacts on industries
3. Strengthened enforcement
Penalties for non-compliance of license condition, restrictions on imports and exports in case of violation of suspension orders, and other penalties have been overhauled

• On Oct. 8, 2024, the Enforcement Decree of the Foreign Trade Act (hereinafter referred to as “the Enforcement Decree”) was amended and enforced to regulate affairs delegated by the Amended Act.

The main amendments includes specified scope of multilateral export control cooperation, which is a new ground for designating strategic items, and expanded roles of KOSTI such as “Public Relations and Consulting” and “Supporting the Council for Control of Exportation and Importation of Strategic Items,” as well as the revised criteria for administrative penalties.

• Thus, the Amended Act has improved the overall import and export management system and enforcement by adding legal basis for designating strategic items and expanding roles of KOSTI.