[3]: 58  The process for making it is similar to that of green tea but with an added step of encasing, or sweltering,[a] giving the leaves a slightly yellow coloring during the drying process.

One of the primary aims of making it is to remove the characteristic grassy smell of green tea.

In Korean tea terminology, domestic tea is categorized mainly as either green (nokcha; 녹차) or fermented (balhyocha; 발효차), "fermented" here practically meaning "oxidized";[6] "yellow tea" (hwangcha) denotes lightly oxidized balhyocha without implications of processing methods or a result that would qualify the tea as "yellow" in the Chinese definition.

[6] Unlike Chinese huángchá, Korean hwangcha is made similarly to oolong tea or lightly oxidized black tea, depending on who makes it.

The key feature is a noticeable but otherwise relatively low level of oxidation which leaves the resulting tea liquor yellow in color.