Source: https://rivet.global/blog/korea-exporters-us-clients-after-2025-tariffs
Published: 2026-10-20 · Updated: 2026-10-20 · By Rashidatou K.

# Korean exporters selling to the US after the 2025 tariff agreement

The US and Korea agreed a 15 percent tariff on most Korean goods in 2025. What it means for Korean SME exporters, pricing in dollars and protecting payment terms.

## Key takeaways

- Under a 2025 agreement, most Korean goods entering the US face a 15 percent tariff, with some sectors treated separately.
- The importer of record pays US duty; on most SME terms that is the US buyer.
- Pricing in dollars and holding dollars helps exporters manage won volatility.
- Deposits and clear balance terms protect cash flow on longer shipments.

A Seongnam skincare brand sells through a US distributor in New Jersey. In 2025 the distributor paused reorders while US tariffs on Korean goods were set and reset. After the two governments agreed a 15 percent rate for most Korean goods, orders resumed, with the distributor asking the brand to absorb part of it.

## The tariff

The KORUS free trade agreement still exists, but in 2025 the US applied additional tariffs to Korean goods. An agreement between the two governments settled the rate at 15 percent for most products. Some sectors, including certain autos, steel and semiconductors, are covered by separate measures. Your HS code decides; check with a customs broker.

## Who pays

The US importer of record pays duty. For most Korean SMEs selling FOB or FCA, that is the US buyer. In practice, buyers now negotiate price to share the cost.

## Price in dollars

US distributors price and budget in dollars. Korean SMEs pricing in won push currency risk onto buyers already carrying a tariff. Pricing in dollars and holding dollars lets the exporter convert to won when it suits.

## Terms

1. Deposits from new or slower buyers.
2. Balances on clear terms from arrival.
3. Letters of credit for large orders.
4. Credit limits per buyer.

## Records and proceeds

Korean exporters receive proceeds through Korean banks under foreign exchange rules. Keep export declarations, invoices and payment records together.

## Paying into South Korea: the local rail

| What | Detail |
|---|---|
| Local rail | Interbank transfers through KFTC's electronic banking network |
| Run by | Korea Financial Telecommunications and Clearings Institute |
| Settlement | Seconds, 24/7 |

Source: [KFTC](https://www.kftc.or.kr/eng). Checked when this guide was last updated; the scheme's own page has the current figures.

## Where Rivet fits

Rivet opens business accounts for registered companies after verification. A Korea-registered exporter should follow Korean foreign exchange reporting rules before receiving funds abroad. Korean companies' US subsidiaries can use a Rivet business account with US account details on every plan, Visa company cards and payouts in 120+ countries. Rivet is not a bank; regulated partner institutions hold the funds.

## Questions

### What tariff applies to Korean goods in the US?

Under the 2025 arrangement, most Korean goods face 15 percent. Some products, such as certain autos, steel and semiconductors, are covered by separate measures. Check your HS code.

### Did KORUS stop applying?

The KORUS free trade agreement remains, but the US applied additional tariffs on top of it under its 2025 trade measures, settled at 15 percent for most goods by the agreement.

### Who pays the tariff?

The importer of record, usually the US buyer on FOB or FCA terms.

### How can SMEs protect margins?

Negotiate how the tariff is shared, price in dollars, take deposits from new buyers, and use letters of credit for large orders.