KOSHA: What are the implications to the industry from South Korea’s Occupational Safety and Health Act amendment on material safety data sheets?

South Korea’s Occupational Safety and Health Act (often called KOSHA) amendment on material safety data sheets (MSDSs) takes into force on 16 January 2021. Chemical manufacturers and importers shall prepare and submit an MSDS to the Ministry of Employment and Labor (MoEL). Besides, it becomes mandatory for a company to get a non-disclosure approval from the MoEL in the case where a company is reluctant to disclose certain chemical information in an MSDS. The following section outlines major changes in the amendment, affected stakeholders and its implications.

Major Updates

The KOSHA amendment implies changes in obligations and processes to prepare and submit an MSDS, which are summarized into four sections as follows: an MSDS preparation and submission; an MSDS provision; chemical information non-disclosure approval and only representative (OR) appointment.   

An MSDS preparation and submission

Chemical manufacturers and importers shall submit an MSDS for GHS classified chemicals or compounds (chemicals subject to MSDS) to the MoEL before manufacture and import. For non-GHS classified chemicals, they shall either include the name and content of chemicals in an MSDS or submit a confirmation document proving that chemicals are not GHS classified. In case of non-compliance, a penalty of not more than 5 million KRW (equivalent to 5,000 USD) will be charged.

Chemical manufacturers and importers are entitled to a grace period for an MSDS preparation and submission for a product that is already distributed on the market. The grace periods vary depending on the annual manufacture and import volume of the product.  

The below table shows a summary of the comparison before and after the amendment.  

An MSDS provision

Chemical suppliers shall provide an MSDS to their chemical recipients. Changes in the submitted MSDS shall be reported to the recipients accordingly. For those who failed to provide an MSDS to their chemical recipients, a penalty of not more than 5 million KRW (equivalent to 5,000 USD) will be charged. In case of negligence in reporting the changes of the MSDS, a penalty of not more than 300 million KRW (equivalent to 3,000 USD) will be charged.

Chemical information non-disclosure approval

Where a company does not want to reveal certain chemical information such as names and contents in an MSDS due to confidentiality reason, a pre-approval from the MoEL is required. For communication of the hazards and risks of such substances in the supply chain, alternative names for such substances and their composition shall be provided when submitting a pre-approval application. Once approved, it is valid for five years, which shall be renewed a month before the current approval period expires.

The authority shall inform the result of whether or not to approve an application within a month after the receipt of the application. Chemical substances used for R&D purpose have shortened and simplified process for the approval, for instance, the result shall be informed within two weeks of the application. A company objects to the authority’s decision can appeal within a month from the receipt of the decision, and then the appeal result shall be informed within 20 days.

Only Representative (OR) appointment

If overseas chemical manufacturers are reluctant to provide their chemical information to importers in South Korea, they can appoint an only representative (OR). On behalf of an overseas manufacturer, an OR submits an MSDS that includes chemical composition, its hazards, and risks; chemical information that is not GHS classified; and applies for MSDS non-disclosure approval.

Key affected stakeholders and implications

The KOSHA amendment on MSDS as outlined above will be enforced from 16 January 2021.

Chemical manufacturers and importers are obliged to submit MSDSs to the Ministry of Employment and Labor (MoEL). When there are changes in MSDSs, they shall revise and share them with their chemical buyers.

The deadlines for an MSDS submission depend on the volume of the chemicals they manufacture and import, for instance,

• the volume over 1,000 tons per year shall submit their MSDSs to MoEL by 16 January 2022
• the volume above 100 tons below 1,000 tons per year by 16 January 2023
• the volume above 10 tons below 100 tons per year by 16 January 2024
• the volume above 1 ton below 10 tons per year by 16 January 2025
• the volume less than 1 ton per year, by 16 January 2026 respectively

When companies are reluctant to disclose chemical information due to confidential reasons, non-disclosure approval from MoEL is required. They need to prepare technical information such as alternative names of the substances. Such companies shall be aware that substances having high risks and hazards might not be approved for non-disclosure approval.

Overseas manufacturers and exporters can appoint an OR to fulfil obligations under the KOSHA.

Relevant Services provided by GPCKOREA

• Regulatory compliance support
• Technical assistance for an MSDS preparation
• Only Representative to fulfil various obligations under KOSHA

Updated: 17 July 2020