2. CONTENTS

4. 0303 Planning & Information Research & Cooperation Research & Cooperation Industry Outreach & Compliance Industry Outreach & Compliance Planning & Management Planning & Management Strategic Technology Control Classification I (Machine/Chemical) Classification I (Machine/Chemical) Classification II (Electronics / Materials) Classification II (Electronics / Materials) Export Control Support President DIV. TEAM

5. 0404 20132014 Number of courses Participants Number of courses Participants Regular Courses14384301,038 On-site training23115589 Coordinated education*422,577432,579

6. 0505

7. 0606

8. 0707 AddressImpact Facebookwww.facebook.com/hikosti“Like” 1,977 Blogblog.naver.com/hi_kosti1,211 neighbors

9. 0808

10. 0909

11. 010

13. 012

14. 013 1. Commitment to Compliance 2. Structure and Responsibility 3. Export Screening Procedures 4. Shipment Control 5. Performance review 6. Training 7. Record keeping 8. Reporting and Corrective Action 1. Structure and Regulation(Responsibility) 2. Commitment to Compliance 3. Export Screening Procedures 4. Shipment Control 5. Training 6. Audit(Performance Review) 7. Record keeping 8. Reporting and Corrective Action 9. Info Security and Technology Control WA Best Practice guideline on ICP Korea CP Certification

15. 014 Organization (Req 1.) Internal Regulations (Req 1.) Transaction Review Management CEO’s Statement (Req 2.)

16. 015 No.RequirementAAAAAAMaterials Business Size Business Type 1.1.1. Composition of XC Organization Appoint team in charge ① Compose of XC committee and secretariat(executive division) / or team in exclusive charge ② Shown in the company organization chart ∙ ORG Chart(including XC div.) LBoth 1.1.1. Appoint team or person in charge ① Appoint team or person in exclusive charge ② Shown in the company organization chart ∙ ORG Chart(including XC div.) S&MBoth Requirements in accordance with type Materials should be submitted and checked Divided into 1) Large and 2) Small & Medium Divided into 1) Manufacturing and 2) Wholesale & Retail* * Includes freight forwarders and intermediaries

17. 016 No.RequirementAAAAAAMaterials Business Size Business Type 1.1.1. Composition of XC Organization Appoint team in charge ① Compose of XC committee and secretariat(executive division) / or team in exclusive charge ② Shown in the company organization chart ∙ ORG Chart(including XC div.) LBoth 1.1.1. Appoint team or person in charge ① Appoint team or person in exclusive charge ② Shown in the company organization chart ∙ ORG Chart(including XC div.) S&MBoth CEO A Business Unit A Business Unit Div. Legal Affairs Div. B Business Unit B Business Unit C Business Unit C Business Unit CSOCHOCFOOverseas Chairman XC Secretariat XC Secretariat Div. XC Secretariat XC Committee Sample

18. 017 In accordance with its type(A, AA, AAA) benefits differ. · Become eligible for several types of comprehensive export license · And so on Incentives AAAAAA Minimum Requirements Minimum Requirements Mid-Level Requirements Mid-Level Requirements Maximum Requirements Maximum Requirements Documents will be reviewed within (in case of export to “NA(B) group” countries) Documents will be reviewed within (in case of export to “NA(B) group” countries) 10~15days 10days 5days “NA(B) group” : countries other than “GA group” “KA(A) group” : countries which have joined all of the international export control regimes(AG, MTCR, NSG, WA) In case of export to “KA(A) group”, all of the documents from every company is to be reviewed within 5 days, regardless of ICP. Document(such as EUC) exemption when to export to “NA group” X X X X O O

19. 018 Application Documentary Assessment On-Site Visit KOSTI conducts documentary assessment (Assessment Committee) Certification Exporter submits an application to MOTIE & KOSTI (via YesTrade system) KOSTI visits the applicant for an interview and an on- site evaluation before delivering the final the assessment to MOTIE MOTIE decides whether to give certification and in which category (Certification Committee) Post-certification Management A Certified company should regularly report on transactions and on the status of compliance. MOTIE regularly audits certified companies.

20. 019

21. 020  Most outstanding benefits of certification are ; - Eligibility to apply for comprehensive license - Less document for a license application - License exemption or simplified review for application - Shorter time to review license applications cf. Comprehensive License : user-comprehensive & item-comprehensive - User-comprehensive license is used when the final end-user is not specified, e.g. exporting to a distributor - Item-comprehensive license is used when many items are exported for a project, e.g. for a plant-building project

22. 021 Seoul (Exporter) Seoul (Exporter) Tokyo (Consignee, Distributor) Tokyo (Consignee, Distributor) Fukuoka (User) Fukuoka (User) Osaka (User) Osaka (User) Aomori (User) Aomori (User) Sapporo (User) Sapporo (User) * in case consignee is a (distributor / agency / etc.) and end-user is not fixed, an exporter can get a license without information of end-user * the results(who’s the end-user of the export that is proceed under comprehensive license?) should be reported periodically * Report - Non-CP : cannot use - A : within 7day after export - AA : bi- annually - AAA : annually

23. 022 Seoul (Exporter) Seoul (Exporter) Tokyo (End-User) Tokyo (End-User) when items not specified, an exporter can export all of the items to the end-user after getting this license * Availability - Non-CP : cannot use - A : cannot use - AA : only to “Ka(A)” region - AAA : “Ka(A)” and “Na(B)” region * the results(what strategic items the exporter sent to the end-user under comprehensive license?) should be reported periodically(the same as for comprehensive license : user)

24. 023  CP Guidance  Seminars on CP requirements  Overseas Benchmarking - EU(2008), US(2011), Japan(2014)  Consulting  Workshops with certified or newly applying companies  Mentoring program(under consideration) - Mentor(AAA Certified), Mentee(Applying companies)

25. 024  ITT - Universities and research institutes have become important players regarding ITT and are eligible to apply for CP certification.  Certification Process - Developing resources for assessment and audit with the number of certified companies increasing

27. 026 Wassenaar Arrangement (WA) Missile Technology Control Regime (MTCR) Chemical Weapons Convention (CWC) Nuclear Supplier Group (NSG) Australia Group (AG) Biological Weapons Convention (BWC)

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29. 028 123 OR

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31. 030

32. 031

33. 032

34. 033 Phase 1 : input company and PIC’s profile Phase 2 : input items’ specification and attach materials relevant Phase 3 : check the contents and click “send” button

35. 034 2011201220132014 By Indus.9,49111,91218,00134,943 By KOSTI4,1087,70812,96214,600 Overall13,59919,62030,96349,543 To make classification by industries more precise and convenient, the system is in the process of improvement as below ; Can classify not only commodities but technology Can be guided into simple mode (comparing to accumulated database)