Cosmetics Ban

[Anchor Lead]

We begin in China, where the government has stepped in to deny a large number of imports of Korean cosmetics into the country. This appears to be yet another area of conflict between Seoul and Beijing that has emerged since Korea’s decision to deploy the U.S. missile defense system THAAD.

[Pkg]

The Chinese government announced its first list in the new year of rejected cosmetic imports. And 19 out of 28 products are from Korea. Some 11 tons of the rejected products have all been returned. Most of the products were items that were selling well in China including facial lotions and facial packs. The reasons cited for disapproval include lack of paperwork or excess amount of certain ingredients contained in the cosmetics. Such reasons posed no problem before but Chinese authorities suddenly tightened quarantine standards. Other products took several months to undergo quarantine, which is also believed to be due backlash against S. Korea's decision to deploy the U.S. THAAD missile defense system.

[Soundbite] Industry Official : "Customs clearance is being delayed for no apparent reason."

[Soundbite] "(No problems with customs in the past?) Yes. It may be in revenge for THAAD."

A Chinese news outlet recently remarked that if Korea continues to side with the United States, the Chinese public will also take part in sanctions, hinting at a boycott of Korean merchandise. China accounts for 37 percent of all Korean cosmetics exports. China is the biggest importer that Korean firms are heavily dependent upon. Korean exporters are now on high alert over the rise of non-tariff barriers as Beijing strengthens quarantine and customs clearance.