Transport business licences

Trucking Transport Business Permit and Transfer — Exceptions to the Ban on New Permits, Garage and Documents

To transport cargo for pay, you need a trucking transport business permit and a commercial vehicle (yellow license plate). However, the Supply Standards for Trucking Transport Business, a public notice of the Ministry of Land, Infrastructure and Transport, prohibits new permits in principle and makes an exception only for certain vehicle types such as parcel delivery trucks. Most operators therefore start by taking over an existing operator's business through a report of transfer and acquisition. At the takeover, the freight transport qualification certificate, the garage and the grounds for disqualification are checked. After that, the duties continue: the report of transport records, the report on the permit standards every 5 years, and reports of change.

Procedure

  1. 1. Check whether the vehicle type is eligible for a new permit

    The current Supply Standards for Trucking Transport Business (public notice of the Ministry of Land, Infrastructure and Transport) prohibits new permits for trucking transport business in principle. The vehicles that may be permitted as exceptions are: (1) parcel delivery trucks (maximum payload of 2.5 tons or less); (2) towed vehicles pulled by another vehicle (dump trailers excluded); (3) where the metropolitan mayor or provincial governor judges it necessary for transporting specific cargo in the region, road-sweeping and cleaning vehicles and special-purpose type trucks with a maximum payload of 100 tons or more; and (4) special-purpose type special motor vehicles. The same standards apply to a permit for change to increase the number of vehicles, so if your vehicle does not fall under these exceptions, you start by transfer and acquisition.

  2. 2. Check the conditions for transfer and acquisition

    Transport business is divided into general trucking transport business, which uses 20 or more vehicles, and individual trucking transport business, which uses 1 vehicle. A transfer must cover the entire business, and in principle 2 years (6 months for individual trucking that is not under a parcel-delivery-only permit) must have passed since the date the transferor obtained the permit or acquired the business. The transferee and the executive officers of a corporation must have no grounds for disqualification. A temporary permit, a permit obtained in succession after the temporary permit period ended, and a permit or permit for change granted on condition of using electric or hydrogen trucks cannot be transferred.

  3. 3. Prepare the qualification certificate and the garage

    Everyone who will drive the vehicles taken over must hold a freight transport qualification certificate, and if the representative drives personally, the representative needs his or her own certificate. The garage area for 1 vehicle must be at least that vehicle's length multiplied by its width. The city, county or district (si/gun/gu) where the garage is located checks the land use plan and whether the garage is installed, and issues a confirmation certificate of garage installation within 10 days from the date of application. In principle the garage must be owned by the operator, but land leased for 1 year or more is also accepted (for individual trucking, a contract for a parking lot or garage used exclusively for 6 months or more).

  4. 4. Report of transfer and acquisition

    The transferee submits the transfer and acquisition report form to the competent authority (the metropolitan city or province, or the city, county or district to which the authority is delegated), attaching a copy of the contract, the confirmation certificate of garage installation, copies of the qualification certificates and other documents. The competent authority gives notice of whether the report is accepted within 5 days from the date it receives the report. Once the report is accepted, the transferee succeeds to the transferor's status as a transport business operator, and the contracts concluded with owner-operators under consignment management contracts pass to the transferee on the same terms. If the vehicle type is eligible for a new permit, apply with the permit application form, attaching documents on the office and vehicle details, the confirmation certificate of garage installation, and the vehicle sales contract or motor vehicle registration certificate.

  5. 5. Follow-up management after the takeover

    File the report of transport records and, every 5 years, the report on the permit standards (individual transport business operators are exempt from both). A change of trade name or representative (corporation), replacement of a retired vehicle with another vehicle, and relocation of the principal office within the jurisdiction require a report of change. Increasing the number of vehicles and moving the principal office outside the jurisdiction require a permit for change, and the added vehicles must be of a type that meets the supply standards. A transport business operator that has vehicles specified by statute among trucks with a maximum payload of 5 tons or more or a gross weight of 10 tons or more must take out cargo liability insurance. A tachograph (operation recording device) must be installed in commercial vehicles, except trucks with a maximum payload of 1 ton or less and certain others.

Required documents

  • Report form for transfer and acquisition of trucking transport business (submitted by the transferee)
  • Copy of the transfer and acquisition contract
  • Document proving that the transferee does not fall under any ground for disqualification (if the transferee is not a transport business operator)
  • Document proving the corporation's decision on the transfer and acquisition (if the transferor or the transferee is a corporation)
  • Confirmation certificate of garage installation (omitted if the transfer and acquisition contract or other documents confirm that the garage is taken over together)
  • Copy of the freight transport qualification certificate or of the proof of qualification of the person who will drive the acquired vehicle
  • Written consent of the owner-operators under consignment management contracts (if there are any; if the entire business is transferred, written consent of 1/2 or more of those owner-operators)
  • For vehicle types eligible for a new permit: permit application form; document stating the name, location and size of the principal office, business offices and cargo handling offices; document stating the number, kind, model name, type designation, model year and maximum payload of the vehicles; confirmation certificate of garage installation; vehicle sales contract or transfer certificate, or motor vehicle registration certificate or motor vehicle manufacturing certificate

Fees

The government fee for a transfer and acquisition report is 3,000 won per case. A permit application for a vehicle type eligible for a new permit costs 14,000 won as the base fee, and for 2 or more vehicles, 2,000 won is added for each vehicle after the first 1. The price of the transfer and acquisition is an amount the parties set by contract and is separate from government fees. Agency fees in the industry range from several hundred thousand won up to the 1,000,000 won range, and we will advise after a consultation, based on the number of vehicles and how the garage is secured.

Legal basis and review date

  • Trucking Transport Business Act, Article 3
  • Supply Standards for Trucking Transport Business (Public Notice of the Ministry of Land, Infrastructure and Transport), Article 3
  • Trucking Transport Business Act, Article 8
  • Trucking Transport Business Act, Article 16
  • Trucking Transport Business Act, Article 35
  • Trucking Transport Business Act, Article 47-2
  • Trucking Transport Business Act, Article 67
  • Enforcement Decree of the Trucking Transport Business Act, Article 3
  • Enforcement Rule of the Trucking Transport Business Act, Article 5
  • Enforcement Rule of the Trucking Transport Business Act, Article 6
  • Enforcement Rule of the Trucking Transport Business Act, Article 13
  • Enforcement Rule of the Trucking Transport Business Act, Article 14
  • Enforcement Rule of the Trucking Transport Business Act, Article 23
  • Enforcement Rule of the Trucking Transport Business Act, Article 58
  • Traffic Safety Act, Article 54-2
  • Traffic Safety Act, Article 55

Checked against the statutes on

Statutes and public notices change, so each case needs to be checked individually. Statute titles are given in English for reference. The Korean statutes are the authoritative text.

Check these first

  • Transporting cargo for pay without a permit is punishable by imprisonment for up to 2 years or a fine of up to 20,000,000 won. Do not start operating before the transfer and acquisition report is accepted.
  • Transferring the vehicle registration alone does not transfer the business. Before buying a vehicle, check with the competent authority whether the permit you will take over is a transferable permit and whether the transfer restriction period has passed.
  • The same supply standards as for a new permit apply to increasing the number of vehicles. If you plan to add vehicles after the takeover, first check whether the vehicle type falls under an exception.

Frequently asked questions

Can I obtain a new trucking transport business permit?
In principle, no. The Supply Standards for Trucking Transport Business, a public notice of the Ministry of Land, Infrastructure and Transport, prohibits new permits for transport business in principle. Only certain vehicle types can be permitted as exceptions, such as parcel delivery trucks, towed vehicles, and road-sweeping and cleaning vehicles that the metropolitan mayor or provincial governor judges necessary. In other cases, you start by taking over an existing operator's business through a report of transfer and acquisition.
Can a parcel delivery truck receive a new permit?
It is eligible for a new permit if the conditions are met. The supply standards make an exception for van-type trucks and trucks fitted with a cargo box that are used for parcel delivery service business. For a maximum payload of less than 1.5 tons, the condition is that the management is not entrusted to another person. For 1.5 tons or more and 2.5 tons or less, in addition to that condition, a person who has worked as a parcel delivery service worker for 6 years or more must operate the vehicle. The Ministry of Land, Infrastructure and Transport sets the detailed permit standards separately, so check with the competent authority before applying.
Do I need a permit even if I transport cargo myself with my own truck?
Yes. Transporting another person's cargo for pay is trucking transport business, and offering a private-use truck for paid transport is prohibited in principle. To transport cargo yourself with 1 vehicle, consider taking over an individual trucking transport business by transfer and acquisition. You must also hold a freight transport qualification certificate yourself.
What documents are needed for a transfer and acquisition report?
Attach to the transfer and acquisition report form a copy of the transfer and acquisition contract, the confirmation certificate of garage installation, and a copy of the freight transport qualification certificate of the person who will drive. If the transferee is not a transport business operator, a document proving that no ground for disqualification applies is also needed. If a party is a corporation, a document proving the decision on the transfer and acquisition is needed, and if there are owner-operators under consignment management contracts, their written consent is needed. The transferee files the report, and the competent authority gives notice of whether it is accepted within 5 days from the date it receives the report.
Can the garage be located anywhere?
No. In principle, the garage must be in the Special Metropolitan City, Metropolitan City, city or county where the principal office or a business office is located, or in an adjoining city or county within the same province. If a public garage, a freight terminal or a similar facility is used as the garage, a wider area is allowed. The area for 1 vehicle must be at least that vehicle's length multiplied by its width, and the city, county or district where the garage is located checks the land use plan and whether the garage is installed and issues the confirmation certificate of garage installation. Some local governments exempt individual trucking with a maximum payload of 1.5 tons or less from installing a garage by ordinance, so check the local standard before signing a contract.
Must I appoint a transport manager (person in charge of traffic safety)?
Only a general trucking transport business operator that uses 20 or more commercial vehicles has to designate one. The Trucking Transport Business Act has no system for appointing a transport manager. The duty is to designate 1 or more persons in charge of traffic safety under the Traffic Safety Act. When counting the 20 vehicles, towed vehicles and vehicles managed under consignment are excluded. The person in charge of traffic safety must be a person who has obtained the traffic safety manager qualification, a safety manager under the Occupational Safety and Health Act, or a similar person.
What must I report after taking over the business?
The report of transport records and the report on the permit standards every 5 years continue, and individual transport business operators are exempt from both. The report on the permit standards is filed within 3 months from the date the 5 years have passed. A change of trade name or representative (corporation), replacement of a retired vehicle with another vehicle, and relocation of the principal office within the jurisdiction require a report of change. Increasing the number of vehicles and relocating the principal office outside the jurisdiction require a permit for change.

Contact us

Hwang Yunsang Administrative Office in Songdo, Incheon prepares and submits administrative documents and explains the procedure. If your situation is similar, send us a message.

📍 2697, 26F POSCO Tower-Songdo, 165 Convensia-daero, Yeonsu-gu, Incheon, Republic of Korea · 📞 010-3374-2687 · 🌐 hwangadmin.com

This guide is general information based on public sources. Requirements, documents and deadlines differ by case and by the competent agency, so please confirm them before you proceed.