The usual procedure in the case for direct shipment is for a product to be shipped directly from the originating country to the destination, using Form AK. The "Form AK" is the preferential certificate of origin (CO) issued by respective ASEAN-Korea country's Customs Authority to prove the originating status of the product under the AKFTA. This is a straightforward model whereby the exporter of the product will apply for the Form AK, and then send it to the importer to claim tariff savings.

Back-to-Back Certificate of Origin Arrangement

The Back-to-Back (B2B) Certificate of Origin (CO) arrangement allows for a product, which is exported from one ASEAN-Korea Member Economy X through an intermediate ASEAN-Korea Member Economy Y while en route to another ASEAN-Korea Member Economy Z, to enter and undergo operations in an ASEAN-Korea Member Economy Y such as bulk breaking, packaging, and other necessary operations, and to facilitate the transport without losing its originating status. The re-exporter is only required to present the valid original CO to the issuing authority of intermediate ASEAN-Korea Member Economy in order to verify the originating status of the good. The product should be included in the Inclusion List of both originating and importing ASEAN-Korea Member Economies.

3rd Party Invoicing

In addition to the above, AKFTA allows for 3rd party invoicing arrangements. This means that the Customs authority in the importing Party may accept a CO in cases where the sales invoice is issued either by a company located in a third country or by an exporter for the account of the said company, provided that the good meets the requirements. The exporter of the goods shall indicate "third country invoicing" and such information as name and country of the company issuing the invoice in the CO. The invoice can come from countries not within ASEAN-Korea.