South Korea to scrap diesel, gasoline import tax exemption from July

SEOUL: South Korea said it will scrap a diesel and gasoline import incentive from July as local refiners plan to join the online Korea Exchange trade for the oil products to recapture market share lost to cheaper foreign suppliers.

Diesel and gasoline imported for trade on the online Korea Exchange is exempt from a 3 percent tariff, making it competitive with local supplies. South Korea's energy ministry said in a statement on Wednesday that this tax benefit will terminate from July.