Lee Myeong-ku, the commissioner of the Korea Customs Service, third from left, poses for a photo with the premier of Alberta, Hon. Danielle Smith, center, in Canada, Monday (local time). Courtesy of Korea Customs Agency
Korea's customs agency said Tuesday it has signed a joint statement with the government of Alberta, Canada, to simplify the origin certification process of crude oil produced from the province.
The move is part of broader efforts by Seoul to tackle the oil shortage triggered by the current crisis in the Middle East.
The statement signed between Korea Customs Service Commissioner Lee Myeong-ku and Alberta's premier, Hon. Danielle Smith, in Canada on Monday (local time) is expected to effectively remove a 3 percent tariff on crude oil imports from the energy-rich province, the agency said.
Oil exporters from Alberta had difficulty receiving preferential treatment when shipping them to Korea despite an existing free trade agreement (FTA) with Seoul due to structural difficulties in proving their product's country of origin, the agency said.
As Canadian crude is usually shipped through the Pacific route to Korea, the agency expected the agreement to help reduce oil prices, diversify the country's energy sources and contribute to strengthening the nation's energy security.
Source: Korea Times News
