HS Code Research Articles

Comments on Trump's Trade War: An Indian Perspective

Sungbae An, Korea Institute for International Economic Policy: Rising protectionism throughout the world---Trump's trade war in particular---has materialized in multiple dimensions: tariff hikes, non-tariff barriers, and disrupting multilateralism. It raises considerable concern among experts and blows up uncertainty, both of which delay consumption and investment and result in the recent global growth slowdown. The work by Athukorala summarizes the development of the U.S.--India trade dispute, including changes in the trade policy stance of both countries, and investigates economic impacts on India of new tariff measures and the Generalized System of Preferences (GSP) abolition by the United States. Negative impacts are found on steel and aluminum exports from the tariff hike according to Section 301, but the GSP abolition is expected to a larger and significant impact, especially on the traditional labor-intensive industries.With the increasing strategic importance of India to the United States (e.g., the Indo-Pacific strategy) and the prolonged participation in the global production network by India, the existing preferential market access was anticipated to continue, but it turned out not to be the case. In retrospect, the priority of the Trump administration is in trade imbalances rather than alliance. The first things that Trump announced after his election included the Trans-Pacific Partnership withdrawal and the North American Free Trade Agreement renegotiation. Japan, one of the most important allies of the United States, also faces tremendous pressure for fair trade. In Korea's case, the Korea--U.S. Free Trade Agreement update was signed within one year of Trump's inauguration.A new approach to deal with the United States has been attempted by Korea and Japan, mostly focusing on reducing the trade surplus via purchasing energy (e.g., crude oil and natural gas). Through shale fracking innovation, the United States is now the world's largest oil producer and has become a net exporter of crude and petroleum products. Figure 1 shows the recent crude oil imports (HS code starting with 2709) of Korea and Japan and the United States' share of total crude oil imports. The U.S. share meaningfully increases during the Trump administration in both countries.India's crude oil imports are larger than those of Korea and Japan; hence, India can utilize the leverage in negotiating trade disputes with the United States. It is also beneficial to India to diversify the source of energy imports. As can be seen in Figure 2, more than half of crude oil imports relies on Middle East countries. As Foreign Secretary Vijay Gokhale told the media on September 2019, ``energy, of course, is the new component in the Indo--U.S. trade mix.''1

A Study on the International Competitiveness Analysis of Korean Export Products in Indonesia Market

본 연구에서는 對ASEAN 국가 중 가장 많은 인구(약 2억 6천만 명)를 가지고 있고, 한국과 교역 4위를 차지하고 있는 인도네시아 시장에서 한국의 유망 수출상품에 대한 국제경쟁력을 중국과 일본과의 수출상품에 대한 경쟁력을 현시비교우위(Revealed Comparative Advantage Index, RCA)지수와 무역특화지수(Trade Specialization Index : TSI)를 이용하여 분석하였다. 이를 위해 UN Comtrade DB를 활용하여 한국과 중국, 일본의 선정된 수출 유망상품 10개 품목에 대해 HS code(6단위)를 기준으로 하여 비교우위를 측정하였다. 분석결과 對인도네시아 시장에 대한 한국, 중국, 일본의 수출 경쟁력은 10개 품목 대부분에서 경쟁력이 양호한 것으로 나타났으며, 특히, 한국은 한류열풍, 인도네시아의 ICT산업육성, 의료시장 확대, 건설인프라 확충, 전자상거래의 확대 등의 환경적인 요소를 충분히 활용한 시장접근을 한다면 중국과 일본의 경쟁에서 우위를 점할 수 있다고 조심스럽게 예측해 본다.The purpose of this study is to compare the competitiveness of Korean promising export products with those of China and Japan. The analytical method used the Revealed comparative advantage index (RCA) index and the Trade Specialization Index (TSI). For the analysis, we used the UN Comtrade DB to measure the comparative advantage of 10 promising products selected by HS code (6 units) for Korea, China and Japan. The analysis shows that Korea, China, and Japan s export competitiveness to Indonesia market is good in most of the 10 items. In particular, if Korea approaches the market fully utilizing environmental factors such as the Korean Wave, fostering the ICT industry in Indonesia, expanding the medical market, expanding construction infrastructure, and expanding e-commerce, Korea can gain an edge in competition between China and Japan.

CHANGING GLOBAL ENVIRONMENT AND CHALLENGES OF INTERNATIONAL BUSINESS

Rapid advancement of Information & Communication Technology (ICT) provides a newer shape of business. Pattern of doing business has changed into a completely different format. Concept of free market economy got its existence from the conceptual base through the advancement of online marketing facility. Countries are working to come closer through different regional blockings as well as under the multilateral trading system through the World Trade Organization (WTO)s active intervention to make international trade easier than ever. World Customs Organization (WCO) introduced HS Code system to harmonize world trade facilitate quick customs clearance. After all globalization get a momentum in last decade and many non-tariff, Para-tariff barriers are addressed and in a considerable position of solution of the problems. Countries are negotiating and committed to co-operate each others to ensure free movement of trade around the globe. As a result new issues are coming into emergence with challenge or opportunity in its two sites. Nowhere, perhaps, was it felt more keenly than in the world of international business. Political, economic, and environmental issues are increasingly becoming the remit of international business leaders as much as governments. The next generation of global business leaders, embracing the opportunities and challenges of international business. While the global marketplace becomes more interconnected and accessible, the risks involved in doing business abroad are not to be taken lightly. The aim of the research is to introduce and explain international business in an important emerging light of globalization. The paper concludes that business people and governments around the world will have to be more knowledgeable about the international dimensions of management than at any time in the past. KEYWORDS: World Customs Organization, International dimensions, Globalization, Communication Technology.

Analysis of the current situation of agricultural trade development between China and Ukraine

Purpose. As a European granary, Ukraine has rich agricultural resources. China is a country with a large population and has a large demand for food. However, the agricultural trade between the two countries has only achieved rapid development in recent years, and is not closely linked in related trade areas. This article studies the current situation of agricultural trade between the two sides, analyzes the trade data, finds out challenges, and provides suggestions for further promoting trade cooperation between the two sides.
 Methodology / approach. The categories 1, 2, 3, and 4 under the HS Code of the General Merchandise Trade Statistics Database of the People’s Republic of China are used as agricultural trade statistics categories with a time span of 2014–2019 trade data. The relevant data of agricultural product trade are sorted and there is statistics, which objectively explain the current status of trade exchanges between the two sides; the results of the analysis of the trade data are put forward, and the problems existing in the development of China-Ukraine trade and the factors affecting the development are raised.
 Results. According to the results of the analysis, from 2014 to 2019, China’s agricultural products imported from Ukraine accounted for 45.5 % of the total import trade. Agricultural products occupy a very important position in China’s import trade from Ukraine in terms of trade scale. Among them, the import of cereals and other products accounted for 95.7 % of the total imported plant products. Ukraine, the European granary, has become China's main food importer. In 2019, China replaced India as the largest food importer of Ukraine; In terms of export trade, mechanical and electrical products, base metals and light industrial products occupy an important position. From 2014 to 2019, China’s agricultural exports to Ukraine accounted for only 2.6 % of the total export trade, which is a small share. This shows that China and Ukraine have strong complementarity in terms of total trade volume and agricultural product trade. In the future, the two countries can further strengthen cooperation to expand their own advantages and better promote the development of trade between the two countries.
 Originality / scientific novelty. Due to the geographical distance between China and Ukraine, the political instability of the post-independence republic as a former Soviet Union led to less economic and trade exchanges between Ukraine and China. Scientists did not study much on economic and trade relations between China and Ukraine. Most of the research deal with macro trade policy aspects, but the innovation of this article lies in the use of statistical data for empirical analysis, to show the current status of trade between the two sides, and to make recommendations for the further development of bilateral trade.
 Practical value / implications. Since the establishment of diplomatic relations between China and Ukraine in 1992, the relations between the two countries have developed smoothly. In 2011, the two countries established a strategic partnership of cooperation. Subsequently, trade cooperation in various fields has continued to develop, especially in the agricultural product trade. In recent years, total agricultural trade has doubled. In 2019, China became the largest importer of Ukrainian agricultural products. After China proposed the implementation of the «Belt and Road» initiative, Ukraine actively participated in the «Belt and Road» framework agreement. The research on agricultural trade between the two sides will be of great significance to promote further and deeper cooperation between the two sides in the field of agricultural trade and expand and create a wider development space.

Market Access and Issues of Data Gaps and Transparency and Information Asymmetry: A Case of RCEP Negotiations

Doubling India’s exports by 2025 has been a declared policy of the government of India and is one of the critical goals of trade policy. The process has been adopted from the developed world without much change or adapting it to the local realities of higher presence of unorganised sector. In this context, the paper analyses the RCEP market as one of the means to achieve the goal. One of the methods to achieve the goal which may look achievable, but for lack of correctly understanding the issues which have occurred in the analysis as part of the study (data gaps) and systemic aspects of the trade agreements and information asymmetry in international trade dealings. Firstly, in terms of data gap, the non-inclusion of the Ad Valorem Equivalent tariff for the Non-Ad Valorem tariff is the data gap in the calculation of duties that can influence an FTA. It stresses the need for a thorough ex-ante and ex-post analysis of FTA with the view of cost and benefits to be neutral. Secondly, the data gaps which have been identified is the by way of the application of non-tariff measures, like the SPS and TBT measures. The NTMs are notified to the WTO without the HS codes and therefore misses the essential market access link that is trading link as records show that close to 85 percent of this notification is with the critical trade-link. Further, there are other methodological issues like how the NTMs has taken up for analysis are often treated as one-time impact vis-a-vis the ideal method of taking a cumulative impact assessment. There is a considerable difference across the presently available global database on NTMs, like SPS and TBT measures. One of the web-based databases is integrated trade intelligence portal (I-TiP) the WTO database on NTMs provides information on SPS and TBT only in the case for notified notifications with HS codes already provided by the member, or ISO, IEC codes indicate - the data available therefore for researcher is not complete for the analysis of market access. A curtail link is the HS code which the members do not notifies, in this case, the RCEP market access. Thirdly, the issues of information asymmetry can also be observed, in the RCEP market particular and across the developed world, which is particularly onerous for micro, small and medium enterprises (MSME). The precise requirements used could have been challenged if the notifications are better notified with full disclosure like the tariffs – which is the other significant trade barrier for an exporter.

DAMPAK PENERAPAN INDONESIA - JAPAN ECONOMIC PARTNERSHIP AGREEMENT (IJEPA) TERHADAP NILAI EKSPOR IMPOR INDONESIA

This study aims to analyze the impact of the IJEPA agreement on bilateral trade (export - import) of Indonesia with Japan using 20 main commodities of trade according to the 2 digit HS code in the period 2001-2018 with the Random Effect Model (REM) estimation model. This study also analyzes whether GDP, population, and the real exchange rate of Indonesia - Japan has an influence on the development of Indonesia's export and import values. The analysis showed that both before and after the enactment of IJEPA cooperation did not have a significant effect on the value of exports from Indonesia - Japan. The variable GDP, population, and the real exchange rate have a significant effect on exports and imports. Therefore, the government of Indonesia and Japan can review the IJEPA agreement in order to increase the benefits of IJEPA.

International Trade Disputes over Renewable Energy—the Case of the Solar Photovoltaic Sector

The development of the renewable energy industry is a priority of economic policies in many countries, since it is viewed as one of the key growth sectors in the economy, playing also a very important role in mitigating climate change. At the international level, renewable energy is an issue of international cooperation but also an area of high trade tensions between countries. The main goal of this paper is to examine the nature and sources of recent trade disputes in the solar photovoltaic sector, which is the most dynamically growing sector in the green energy industry. In particular, the paper explores the links between the contemporary trade disputes and modern protectionism and between protectionist policies and practices and the export competitiveness in the growing sector of the economy. To achieve the aim of the study we explore in detail the WTO trade disputes over photovoltaic (PV) products, which occurred in the years 2007–2018. The products covered by the analysis were solar modules and cells classified under the HS code 854140. In our research we also used measures of descriptive statistics, hierarchical cluster analysis and revealed comparative advantage indexes. Our key results demonstrate the existence of links between protectionist policy causing trade conflicts and the export competitiveness. The research has also allowed us to identify problems of future studies concerning the association between trade protectionism and global value chains in the solar energy sector.

Application of Machine Learning for Assessment of HS Code Correctness

Application of Machine Learning for Assessment of HS Code Correctness

ANALISIS FAKTOR-FAKTOR YANG MEMENGARUHI IMPOR KEDELAI DI INDONESIA

Domestic soybean production that has not been able to meet national soybean needs is an implication of the decline in soybean harvested area in Indonesia. The opposite condition occurs at the level of demand for soybeans which increases every year. The soybean import policy is an alternative step for the government to overcome the gap between soybean production and consumption in Indonesia. Soybeans in this study are not separated from the type, namely with HS code 1201 (Soya beans, whether or not broken). This study aims to analyze the factors that influence soybean imports in Indonesia by using secondary data from 2002 to 2017 in the form of panel data with gravity models. The data used in this study came from UN Comtrade, World Bank, CEPII, FAOSTAT, Ministry of Trade and Ministry of Finance. The estimation results show that the variables that significantly influence the volume of imports of Indonesian soybeans are the variable GDP per capita Indonesia, GDP per capita of the country of origin of imports, domestic soybean prices, domestic soybean production and soybean import tariffs.

Export Competitiveness Analysis for the Vegetables of Korea and China in Japanese Market

본 연구는 한·중·일 채소류의 교역 현황을 분석한 다음, 각종 수출경쟁력 분석지표를 활용하여 일본 채소류 수입시장에 있어서의 한·중 경쟁력을 비교 분석하고, 분석결과를 중심으로 한국 채소류의 수출경쟁력 강화방안을 도출하는데 목적이 있다. 이를 위해서 TSI(무역특화지수), MCA(시장비교우위)지수, EBI(수출편향지수), ESI(수출경합도지수) 등의 수출경쟁력 평가지표를 이용하여, 2012년부터 2018년까지 최근 7년간 K-stat(한국무역협회 통계)를 토대로 일본시장에서의 한국과 중국 채소류(HS Code 07류 6단위)의 수출경쟁력을 비교 분석하였다. 그 결과, 일본시장에 있어서 한국과 중국 모두 매우 강한 수출경쟁력을 유지하고 있는 것으로 분석되었다. 특히, 한국은 고추류와 토마토 등 부가가치가 상대적으로 높은 품목들에서, 중국은 기타 채소류와 채소류의 혼합물 등 부가가치가 상대적으로 낮은 품목들에서 강한 수출경쟁력을 보이고 있는 것으로 조사되었다. 반면에, 양국 모두 일본시장 수출편향성은 상당히 높으나, 양국 수출품목 간의 경합도는 매우 낮은 것으로 분석되었다. 이러한 수출경쟁력 분석결과를 토대로, 일본시장에서의 한국 채소류의 수출경쟁력 강화 방안을 제시하였다.Purpose : The purpose of this thesis is to analyze the export competitiveness for the vegetables of Korea and China in Japanese market. Research design, data, methodology : To accomplish the above purpose, this thesis used statistical data for the vegetables of Korea and China from K-stat. Using of TSI, MCA index, EBI, and ESI, they analyzed the export competitiveness for the vegetables of Korea and China to Japanese market from 2012 to 2018. Results : MCA of vegetables for Korea and China in Japanese market had competitive advantages respectively. And the vegetables for Korea and China showed big export concentration(EBI) in Japanese market, but ESI of vegetables for Korea and China showed very low level. Conclusions : This thesis suggested the enhancement strategies for export competitiveness of Korean vegetables. And this article required to formulate flexible response strategies for the export enhancement of Korean vegetables. This thesis is significant for the present competitiveness of Korean vegetables and providing measures to achieve export competitiveness.

Improvement of regulatory process for import and export of radioactive sources through digital transformation

Radioactive sources have various utilization in many fields in Thailand including medical, industrial, research and education. Thailand’s regulatory body, Office of Atoms for Peace (OAP) has been regulating the imports and exports of radioactive sources under the Atomic Energy for Peace Act, B.E. 2504 (1961) and Nuclear Energy for Peace Act, B.E. 2559 (2016) through the licensing process and customs declaration process. Under these processes, licensees must report their imports and exports by submitting confirmation documents to the OAP within 15 days. To improve these processes, the OAP and Thai Customs have collaborated through a government and government partnership (G2G), in July 2016, to initiate electronic data sharing in a digital format called License Per Invoice (LPI), which includes all the necessary information for verification of import and export, such as radioactivity, port number, and Harmonized System Code (HS Code). This study has shown significant data of time-consuming reducing on paperwork process spent 30.32 days turn into 6.95 minutes by LPI/NSW system. The new process enhances information accuracy, integrity, security, as well as increasing regulation efficiency, reducing the amount of paper work, and facilitate all stakeholders greatly for import and export of radioactive sources in Thailand.

Optimalisasi Nilai Ekspor Ikan Tuna Hs 160414 Ke Italia Dengan Metode Mamdani

The decline in oil and gas exports since 1990 requires the government to take policy steps to increase non-oil exports so that state revenues continue to grow. One of the non-oil and gas exports that is a mainstay of Indonesia is tunat fish which has the HS code 160414. Italy is a country where the demand for tuna is quite high. In order to maximize the value of Indonesian tuna exports to Italy, a method is needed to optimize the value of Indonesian tuna exports to Italy. The purpose of this study was to find out the best method to predict the value of tuna exports to Italy in the application of fuzzy logic in order to optimize the value of exports. The results showed that the Mamdani method was a good method. The Mamdani method has results that are close to the actual results with an error rate of 1.1%, so the Mamdani method can be used as the recommended method in optimizing the optimal amount of export HS 160414 Indonesia to Italy.

Revealed comparative advantage for US textiles and apparel

PurposeThe purpose of this study is to identify US textile and apparel (TAP) products and categories that demonstrate export comparative advantage and their respective country destinations.Design/methodology/approachRevealed comparative advantage (RCA) and normalized revealed comparative advantage (NRCA) in the long term (1996-2016) and short term (2010-2016) using two-digit Harmonized Commodity Description and Coding System codes (HS codes) provide an insight into export advantage of TAP products. Non-parametric rank correlation (i.e. Spearman rank correlation) tests consistency between RCA and NRCA. Subsequently, NRCA using four-digit HS codes identify textile sub-categories with export comparative advantage. Bilateral trade data identify export destinations for sub-categories that indicate US export comparative advantage in the short term.FindingsAggregated product-level comparison of RCA and NRCA ranking indicates a consistent positive correlation between the two indices. The disaggregated findings reveal cotton fiber HS5201, artificial filament tow HS5502, non-wovens HS5603, cotton yarn HS5205, carpet and other floor coverings HS5703 and worn clothing HS6309 as sources of US TAP export advantage.Originality/valueThis research provides a comprehensive, current analysis of the US competitive position within the TAP global environment. Incorporation of NRCA into the study’s design demonstrates the flexibility of this measure in a new industry context.

A Comparative Study on the International Competitiveness of Korea’s Major Export Commodities in the Chinese Market

본 연구에서는 중국시장에 한국이 수출하는 주요 품목(10대 수출상품)의 수출 통계추이에 따라 중국이 수입하는 입장에서 한국의 10대 수출상품과 경쟁하는 4대 경쟁국과의 국제경쟁력 추이를 살펴보고자 한다. 본 연구를 수행하기 위하여 우선 한국무역협회의 무역통계시스템을 통하여 한국의 2011년부터 대중국 주요 수출 상품에 대한 통계치를 추출하였으며, 그리고 중국무역의 통계치를 통하여 한국의 주요 10대 수출 상품을 중국이 수입하고 있는 한국의 경쟁국을 도출 하였다. 경쟁대상국의 무역 통계량은 UN Comtrade DB를 활용하여 추출하였다. 한국의 주요 10대 품목은 HS code(4단위)로 하여 10개 품목을 선정하고 각각의 품목에 대해 중국이 가장 많이 수입하고 있는 경쟁대상국을 한국을 포함하여 5개국의 현시비교우위지수(RCA)와 무역특화지수(TSI)를 산출하여 비교우위를 측정하여 국제 경쟁력의 추이와 무역 특화 정도를 분석하여 그 시사점을 제공하였다.Purpose : The purpose of this study is to compare the competitiveness of Korea’s top 10 export items with their competitors in the Chinese market. Research design, data, methodology : In this paper, trade competitiveness indices such as RCA and TSI have been applied to measure the comparative advantage. As a result, the RCA index for all of top 10 item s is bigger than 1, thus showing com parative advantage. As for the TSI index, all of items has shown (+)value and has been specialized in export. Results : In particular the competition between Korea and Taiwan is intensifying because of their similar export structures to China. In order for Korea to develop its position in the Chinese import market, it is necessary to respond quickly to changes in China s economic situation. In the future, China is expected to increase its demand for import of high-value products. Therefore, Korea should diversify the composition of export items with comparative advantage and develop high technology-based export products. Conclusions : In order to overcome the recent protectionism, global trade wars, it is necessary to significantly strengthen core R&D and global management capabilities with the focus of high-tech industries.

A Review on Status of Production of Large Cardamom in Nepal and its Marketing in National and Global Scenario

Abstract The study mainly focuses on the status of production and marketing of large cardamom in Nepal and also compares these dimensions in the context of different countries. For the study mainly secondary data were collected from research articles, reports, publications and news articles. Large cardamom is the third most expensive crop and one of the major cash crops of Nepal. Nepal is the largest producer of large cardamom in the world followed by India and Bhutan. Taplejung, Sankhuwasabha, Panchthar and Illam are the four major districts that contribute more than 80% of the national production. Cardamom produced in Nepal is graded according to tail cutting after drying and packed in jute bag or plastic to export it to foreign countries. Nepal exports almost 90 percentage of its total cardamom production to India. In the global scenario, Guatemala is the largest exporter of cardamom (small and large combined) followed by India, Nepal, Singapore and Indonesia respectievly. It was found that the production of cardamom is declining in Nepal due to price fluctuation and viral diseases such as Chirkey, Furkey. Problem such as absence of unique HS code for large cardamom and ‘duplicate large cardamom’ are also seen in the market.

Employing Gravity Model to Measure International Trade Potential

Starting from the analogy of gravitational forces to explain the volume of bilateral trade, the Gravity model has become a very popular model in international trade research. The Gravity Model has also been widely developed by adding various independent variables. Instead to measuring trading volume and various factors that influence the volume of trade, there is not much utilization of the gravity model to measure trade potential. This research is intended to implement a gravity model to measure the potential of Indonesian fruit trade. The measurement of trade potential is carried out by using data on the three main group of Indonesian exported fruits (based on 6 digits HS Code) which traded in 16 years. The classical gravity model, employed in this research contains independent variables, such as the amount of tariffs, the existence of free trade agreements, population, GNP of each country, distance and share of trade. The method of analysis used refers to the gravity model applied by Susanto, et al (2007) and regression analysis method applied by Arita et al (2014). Since its easily fits with some important stylized facts, it is easy to use real data, and also easily estimates using Ordinary Least Square (OLS), the Gravity Model can be a comprehensive instrument for managing big data to present rapid and dynamic estimates of international trade in line with the demands of the Revolution Industry 4.0.

Actual problems of customs classification (on the example of Foreign Economic Activity Commodity Nomenclature of the Eurasian Economic Union)

The subject. The article is devoted to the main problem of customs classification on the example of Foreign Economic Activity Commodity Nomenclature (FEACN) of the EAEU. The purpose of the paper is to define the concept and meaning of classification of goods for customs purposes, the characteristics of the legal basis of FEACN, the identification of the features of cases challenging the decisions of customs authorities on the classification of goods in accordance with the EAEU FEACN. The hypothesis is to confirm or refute the relevance of the problems of customs classification for participants of foreign economic activity, and for customs authorities. The methodological basis for the study: general scientific methods (analysis, synthesis, comparison, description); private and academic (interpretation, formal‐legal). Results, scope. Features of classification of goods in customs declaration, in the implementation of customs control and in other cases regulated by the Customs Code of the EAEU. The classification of goods for customs purposes should be understood as the action taken by the declarant or customs authorities to classify goods as specific commodity items, sub‐ items and sub‐sub‐items of FEACN in accordance with the Basic rules of interpretation and the corresponding digital codes, which has legal significance in determining the amount of customs payments, in the application of non‐tariff regulation measures and in the frame‐ work of customs statistics for the purpose of summarizing data on goods moved. The current FEACN of the EAEU was approved by the decision of the Council of the Eurasian Economic Commission. The FEACN used in the EAEU is derived from the Harmonized commodity description and coding system. In addition, the FEACN of the Commonwealth of Independent States, introduced after the conclusion of the relevant international legal agreement by the former Soviet republics in 1995, acts as the international basis of the EAEU FEACN. Since the size of customs payments depends on the HS code, the majority of disputes between participants of foreign economic activity and customs authorities arise in this category of cases, moreover, their number increases from year to year. Conclusions. As a result of the study, the concept and importance of classification of goods for customs purposes are defined, the legal basis of FEACN is characterized, the features of cases on challenging the decisions of customs authorities on the classification of goods in accordance with the EAEU FEACN are revealed. All of the above indicates the relevance of the problems of customs classification for participants of foreign economic activity, and for the customs authorities.

Assessment of North Korea's Trade with China in 2018 and Prospects for 2019

The second North Korea–United States Hanoi Summit broke down without producing an agreement. Although the denuclearization talks between North Korea and the United States will need to progress further for the situation to become clear, it appears that the U.S. considers sanctions against North Korea are having an impact on the North Korean economy, and is strongly pressuring North Korea to implement complete denuclearization first, before lifting sanctions. This paper analyzes the impact of sanctions on North Koreas economy in 2018 by analyzing North Koreas trade with China. We obtained statistics from China Customs, i.e. the General Administration of Customs of the Peoples Republic of China, on Chinas trade with North Korea by country, HS code, province, and trade type in 2018. Our analysis focused on three possibilities: a decrease in imports and exports, a rise in North Koreas alternative export items, and a possible slowdown in industrial production. In summary, it seems that sanctions have adversely affected the North Korean economy. Exports have almost stopped due to the sanctions, and imports related to industrial production have almost stopped as well. As firms face difficulties in foreign currency earning, it seems they have been importing groceries that can be sold in private markets in order to absorb for-eign currency from North Korean citizens. In 2019, North Koreas total exports are expected to remain at or slightly rise over 2018 levels. The nation is expected to increase exports to some extent based on its experience with sanctions. However, given the fact that North Korea is not importing capital goods, export growth will likely remain within a very limited range. In 2019, North Koreas total imports are expected to remain at or slightly drop from 2018 levels. The main reason for this decline in imports is that North Korea is having a difficult time earning foreign currency due to the current sanctions.

Identifying Risks of HS Codes by China Customs

Identifying Risks of HS Codes by China Customs

Analisis Kinerja Perdagangan Indonesia ke Negara Potensial Benua Afrika

Trade liberalization generates higher commodity export opportunities between countries. The export opportunities to the African countries are evidenced by the high average growth of the total export values from Indonesia to Africa in 2011-2016, amounting to 5.886%. The aim of this research is to determine the potential importing African countries through the identification of export value and share, evaluate the performance and trade integration between Indonesia and the African countries through RCA, EPD and IIT methods. The results showed that South Africa with commodities like HS 71, 15, 40, 87 and 84 and Egypt with HS 15, 55, 40, 48 and 84, could be potential export destinations for Indonesia in 2011-2016. The Indonesian HS 71, 15 and 40 commodities in South Africa and Egypt i.e. HS 15, 55, 40, and 48, face tremendous competitivity. The potential Indonesian commodities in the South African market with HS codes of 15, 84, and 87 were considered as Falling Star while HS 71 and 40 were in retreating position. The HS 15 and 55 in the Egyptian market were in the position of Falling Star, with HS 40, 48, and 84 in the Retreat position. In South Africa, the HS commodities 71, 15, 40 and HS 87 were weakly integrated while the HS 50 had a strong integration. Keywords: African, RCA, EPD, IIT JEL classification: C23, F10, F13