CONTENTS
- 1. Chemicals Control Act | Reasons for Compliance
- - Key Terms of the Chemicals Control Act
- 2. Chemicals Control Act | Key Legal Obligations Businesses Must Comply With
- - Risks of Violating the Chemicals Control Act
- 3. Chemicals Control Act | Practical Measures for Businesses to Prevent Legal Risks
- - Daeryun's Support
- - Chemicals Control Act Compliance Checklist
1. Chemicals Control Act | Reasons for Compliance
The Chemicals Control Act is a law enacted to prevent harm to public health and the environment from chemical substances, to manage chemical substances appropriately, and to respond promptly to accidents that arise from them.
This act protects safety throughout the entire life cycle of chemical substances used across industry, including manufacture, import, distribution, use, and disposal. Its central purpose is to strengthen the responsibility of businesses for chemical substance management and to regulate them so that appropriate measures can be taken.
Its main purposes are as follows.
▶Institutionalizing the registration and prior review of chemical substances
▶Managing the entire process of manufacture, import, transport, storage, use, and disposal of hazardous chemical substances
▶Establishing a system to protect victims and provide for their recovery when an accident occurs
▶Operating a registration and permit system for businesses that handle hazardous chemical substances
The Chemicals Control Act consists mainly of the safety management and operation of facilities that handle hazardous chemical substances, the business permit and management of those who handle hazardous chemical substances, the management of accident-preparedness substances and the duty to take and respond with accident-prevention measures, and surveys of chemical substance emissions and reduction plans.
A business that does not comply with this act may face administrative dispositions such as substantial penalty surcharges and fines, as well as legal sanctions, including criminal punishment of the operator and civil damages owed to victims.
Key Terms of the Chemicals Control Act
This means all substances obtained by chemically transforming, extracting, or refining elements, compounds, and natural substances.
For businesses, all substances used in product manufacturing, raw material imports, and manufacturing processes fall under this category, and there is a duty to register with the Ministry of Environment when manufacturing or importing 1 ton or more per year.
2. Toxic substance
This is a chemical substance that has hazards such as toxicity, as determined and publicly notified by the Minister of Environment in accordance with the standards set by presidential decree.
Businesses must comply with handling facility standards, prepare and keep an MSDS, and carry out worker protection measures, and special management is required when handling such substances.
3. Permitted substance
This is a chemical substance of significant concern for its hazards, and it cannot be manufactured, imported, or used without the permit of the Minister of Environment.
Businesses are prohibited from handling it before obtaining a permit, and they must also regularly confirm whether the permit has been revoked or its conditions changed.
4. Restricted substance
This is a chemical substance deemed to pose significant hazards when used for a specific purpose, and its manufacture, import, use, and the like are prohibited for that purpose only.
Businesses must confirm at the contract stage whether a restriction by use applies, and if the substance is subject to restriction, a review of substitute substances is needed.
5. Prohibited substance
This is a substance whose manufacture, import, sale, storage, and use are prohibited for all purposes.
A business checks the list of prohibited substances in advance to inspect whether any are used within the workplace, and it may face strong criminal punishment for any violation.
6. Accident-preparedness substance
This is a substance with a high risk of a chemical accident, such as acute toxicity or explosiveness, for which an accident response plan must be established as a duty and approval must be obtained from the Ministry of Environment.
When handling such substances, a business must have an emergency contact system, leak-prevention equipment, and an accident-preparedness training system in place.
7. Hazardous chemical substance
This is a concept that includes all of the toxic substances, permitted substances, restricted substances, prohibited substances, and accident-preparedness substances above.
A business must regularly inspect the status of hazardous chemical substances at its workplace and comply with legal requirements such as the installation and operation of handling facilities, training, and an accident response manual.
8. Hazardous chemical substance business
This refers to a business activity that handles hazardous chemical substances other than permitted substances and prohibited substances, and a business permit or registration is required.
A business must complete registration with the competent local government and obtain a permit from the Ministry of Environment before commencing a new business.
9. Hazard
This means the toxicity and the characteristics harmful to the human body and the environment that a chemical substance itself possesses.
A business must confirm hazards in advance through the MSDS (material safety data sheet) of every chemical substance it handles and build a management system.
10. Risk
This is the degree to which a hazardous chemical substance, when exposure occurs, may cause harm to the human body and the environment.
A business must implement risk-reduction measures such as facility adequacy, the provision of worker protective gear, work environment measurement, and the installation of leak-prevention facilities.
11. Handling facility
This means the equipment and facilities that manufacture, keep and store, transport, and use chemical substances.
When installing a handling facility, a business must comply with the statutory installation standards and the duties of regular inspection and self-inspection from the design stage.
12. Handling
This is a concept that includes all acts of manufacturing, importing, selling, keeping and storing, transporting, and using chemical substances.
Because every department within a business (production, purchasing, sales, logistics, R&D) is subject to this act, building a company-wide management system is a necessary step.
13. Chemical accident
This refers to a situation in which a chemical substance leaks due to facility defects, worker negligence, natural disasters, transport accidents, and the like, causing harm to people and the environment.
When an accident occurs, a business must immediately report it to the competent agency and carry out emergency measures, prevention of the spread of harm, and recovery measures, and a business that handles accident-preparedness substances has a duty to submit a prior response plan.
2. Chemicals Control Act | Key Legal Obligations Businesses Must Comply With
The key legal obligations under the Chemicals Control Act that businesses must comply with are as follows.
① Duty to register and report chemical substances
Chemical substances manufactured or imported in quantities of 1 ton or more per year must be registered in advance with the Ministry of Environment, and manufacturing or importing them without registration is subject to criminal punishment.
② Registration and permit for businesses handling hazardous chemical substances
An operator who intends to manufacture, store, transport, or use hazardous chemical substances has a duty to obtain a permit from the Ministry of Environment or to register with the local government.
③ Duty to prepare, keep, and provide material safety data sheets (MSDS)
An MSDS must be prepared for every chemical substance, and it must be communicated to the workers who handle it, kept available to them, and used in their training.
④ Compliance with installation and management standards for handling facilities
The designated facility installation standards and management standards must be met, and regular inspections and self-inspections must be carried out.
⑤ Establishment and reporting of a response plan for hazardous chemical accidents
A workplace that handles hazardous chemical substances above a certain volume must establish an accident response plan and obtain approval from the Ministry of Environment.
⑥ Duty to mark and label during transport and to take safety measures
When transporting hazardous chemical substances, statutory labels and warning signs must be attached, and a transport plan and an emergency response manual for accidents must be in place.
Risks of Violating the Chemicals Control Act
If the Chemicals Control Act is violated, you may face strict judgment under the law, ranging from administrative sanctions to criminal punishment.
The main penalty provisions are as follows.
Act | Penalty |
Where a chemical accident caused by occupational negligence or gross negligence results in casualties or other loss of life | Imprisonment without labor for up to 10 years or a fine of up to 200 million won |
Where prohibited substances or restricted substances are handled | Imprisonment for up to 5 years or a fine of up to 100 million won |
Where permitted substances are manufactured, imported, or used without a permit or under a permit obtained by false means | |
Where the handling standards for hazardous chemical substances are not complied with | Imprisonment for up to 3 years or a fine of up to 50 million won |
Failure to report to the competent local government or the like when a chemical accident occurs | Imprisonment for up to 2 years or a fine of up to 100 million won |
Where toxic substances (substances harmful to the human body and the like) are imported without report and restricted substances are exported without export approval | Imprisonment for up to 1 year or a fine of up to 30 million won |
Where the contents of a chemical substance confirmation are not submitted or are submitted falsely | An administrative fine of up to 10 million won |
Failure to report a change related to a hazardous chemical substance business and the like |
Because the Chemicals Control Act includes a joint penalty provision, in addition to punishing the person who committed the violation, the fine under the relevant provision may also be imposed on the representative of the corporation that manages the chemical substances, on the corporation, and on others.
If a workplace handles chemical substances carelessly and causes environmental pollution and casualties, the business will undergo a rigorous investigation by the Ministry of Environment and local governments, and it must also bear serious risks such as public criticism and a decline in brand trust.
You should therefore obtain legal advice from a specialist attorney well versed in the Chemicals Control Act and seek a way to resolve the matter.
3. Chemicals Control Act | Practical Measures for Businesses to Prevent Legal Risks
Beginning in August 2025, partial amendments to the Act on the Registration and Evaluation of Chemical Substances and its enforcement rules take effect.
For the Act on the Registration and Evaluation of Chemical Substances, a basis for hearing expert opinions during risk assessment has been provided.
The amendment strengthens the foundation for multifaceted, in-depth review of risk assessment, and it adds the "Korea Environmental Preservation Association" to the institutions that may be entrusted with related work, so that education in the chemical safety field and business support projects can be carried out with expertise.
In the enforcement rules, the existing definition of toxic substances is deleted, definitions of acute human-health hazardous substances, chronic human-health hazardous substances, ecologically hazardous substances, and substances with unconfirmed hazards are newly established, and the standards under which new chemical substances must be registered with or reported to the Minister of Environment before manufacture or import have been changed.
If you are a business that handles chemical substances, closely tracking the enactment and amendment of related statutes such as these is a necessary step.
Practical measures that businesses can take to prevent Chemicals Control Act risks are as follows.
Check annual import and manufacturing volumes → Review whether new or changed registration is required → Register within the deadline
Manage using the Ministry of Environment's K-REACH system
② Conduct prior inspections of hazardous chemical substance handling facilities and confirm legal standards
Conduct prior legal review and design before installing handling facilities
Carry out self-inspections and regular inspections at least once a year
③ Keep material safety data sheets (MSDS) up to date and train workers
Make the MSDS available immediately when a new chemical substance is introduced
Conduct training for all workers at least once a year and retain training materials
④ Establish an accident response system and an emergency response manual
Prepare an accident response manual
Conduct disaster-prevention drills at least once a year and provide response training
⑤ Confirm legal compliance items when contracting with hazardous chemical substance transport companies
Confirm whether transport vehicle labels, transporter training, and an emergency contact system are in place
Daeryun's Support
Drawing on legal expertise accumulated over many years and abundant case experience, this firm supports businesses so that they can comply with the Chemicals Control Act and effectively manage the legal risks that accompany it.
We form a task force of attorneys who have handled many environmental crime cases involving violations of the Chemicals Control Act, the Clean Air Conservation Act, and the like, and we provide legal solutions related to 🔗environmental legal affairs and safety management.
In addition, in-house specialists in particular fields, such as certified public accountants, tax accountants, labor attorneys, judicial scriveners, and customs experts, work on practical solutions for related matters.
To help businesses achieve sustainable management, we build a legal safety net and find ways to minimize long-term legal risks.
Chemicals Control Act Compliance Checklist
Check Item | Confirmed |
|---|---|
Check whether manufactured and imported chemical substances are registered and their registration status | □ |
Confirm the registration and permit status of the hazardous chemical substance handling business | □ |
Whether the latest version of the material safety data sheet (MSDS) is kept available | □ |
Whether facility installation standards and management standards are complied with | □ |
Whether regular inspections and self-inspections are carried out | □ |
Whether an accident response manual and an emergency contact system are in place | □ |
Confirm legal compliance items when contracting with a transport company | □ |
Review the latest version of statutory amendments and Ministry of Environment administrative guidelines | □ |
Whether Chemicals Control Act training is conducted at least once a year | □ |
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