hankyoreh

A sign hanging at a gas station in Seoul’s Yangcheon District on Monday alerts customers that the station has no urea water solution, known also as diesel exhaust fluid, to sell. (Yonhap News)

The South Korean government is pushing China to quickly approve exports of 18,000 tons of urea tied up by Beijing’s tightened customs controls. But the Korean government has yet to establish how much of that urea is graded for vehicular use, revealing the limitations of its diplomatic capability.

The Hankyoreh learned on Tuesday that around 18,000 tons of urea are currently awaiting clearance from the Chinese customs authority. On Oct. 15, China mandated inspections for exports of 29 categories of fertilizer-related products, including urea. The urea being held up at customs is no small amount, considering that Korea imports a total of 800,000 tons a year, with 80,000 tons being used in vehicles.

Officials from the South Korean embassy in China, which is handling negotiations there, exhibited a cautious attitude. “We’re doing our best [to speed up customs clearance]. The only thing we can tell you is that the negotiations are underway,” an official said.

The official wouldn’t speculate about the Chinese government’s intentions. “Our understanding is that there was already a briefing in Seoul [about how this isn’t targeted at South Korea].”

But the South Korean government wasn’t able to determine exactly how much of the urea in quarantine is intended for vehicular use. “A little under 20,000 tons of urea is currently undergoing inspection. We don’t have a breakdown of the volume by use [industrial, agricultural, etc.],” said an official with the Ministry of Foreign Affairs.

That means a considerable amount of the urea that’s pending approval may be destined for the industrial or agricultural sectors. Officials with the Korea Customs Service would only say that “information about the product pending approval is being handled by the embassy in Beijing.”

According to an announcement by the Chinese customs authority, the urea being inspected will reach Korea toward the end of next week. That calculation is based on the 14-day inspection period announced by the Chinese customs authority and the time it takes to transport the goods to Korea — around one or two days.

It would take another week or so before consumers are able to get their hands on diesel exhaust fluid, which is made from urea. That includes two days of manufacturing urea water solution and three to five days of quality control by the Korea Petroleum Quality and Distribution Authority.

“Inspections are performed at the request of the Chinese exporter. Our understanding is that the process actually began several days after the [mandatory inspection] measures were adopted on Oct. 15. There’s a lot of uncertainty about when the urea will reach Korea because the inspection timeframe largely depends on the desires of the Chinese government,” a South Korean government official said.

China has maintained its stance about the shortage of urea water solution in Korea. China’s state-run Global Times quoted Xing Haiming, Chinese ambassador to South Korea, as saying that “China’s measures controlling fertilizer-related exports aren’t aimed at any particular country, but are designed to stabilize the Chinese market. The Chinese will work to resolve issues [related to the shortage of urea water solution in Korea].”

Seoul said on Monday that it’s in negotiations with Vietnam to import 10,000 tons of urea, but it’s unclear when it will reach Korea. The governments said that all the urea would be intended for vehicular use, but officials have stayed mum on when the negotiations will conclude or when the urea will arrive on the grounds that the negotiations are still underway.

The urea that’s being negotiated is expected to create around 30 million liters of urea water solution — enough to cover domestic demand for about a month and a half.

“If the other party in the deal were to be made known [through press reports], it would put Korea in an unfavorable position, both in terms of price and volume,” said an official at a South Korean organization who is involved in the negotiations.

By Kim Kyung-rak, staff reporter; Jung In-hwan, Beijing correspondent

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