30th December 2021
Important EU and Cross Border Updates Effective 1st January 2022
We have been working hard both internally and with our carriage partners to ensure that cross-border trade between the EU and the UK continues to move efficiently. With that in mind, we would like to inform you of the below important upcoming changes to customs clearance formalities for trade between the EU and the UK which will take effect from 1st January 2022:
- Stricter checks on the origin of goods will be carried out by both EU and UK customs authorities. An invoice declaration is needed to claim any duty relief based on origin, and customs may ask for a supplier’s declaration if they suspect the origin declared is incorrect. The suppliers’ declaration can be made on the commercial invoice for the goods shipped, or on any other commercial document that fully identifies the goods. Failure to provide a supplier’s declaration may result in full tariff charges being applied. More information can be found here.
- The WCO (World Customs Organisation) has published amendments to its list of HS / tariff codes, meaning that some codes may change from 01/01/2022. Exporters must check their HS codes are up to date from 1st January 2022 using the UK Global Tariff. Please ensure the amended codes are used on invoices, and if ILG hold this information for you please contact your usual ILG contact with the up to date information.
- The French Tax Administration has announced that on 1 January 2022 the Value Added Tax reverse-charge mechanism will be automatically applied for imports into France. From this date, VAT on goods imported to businesses registered for VAT in France will be deferred and reported in the VAT return. More information can be found here.
- The easement allowing GB imports to travel freely through ports and be cleared post-arrival will end. This could result in possible delays at UK borders for goods/returns arriving from the EU, while they await clearance and release. We’re monitoring this situation closely alongside industry bodies and our parent company, Yusen Logistics and will keep you updated on any developments.
- UK and EU customs will be making more stringent checks on documents & goods, such as SPS goods (Sanitary and Phytosanitary – organic materials) or potentially controlled goods or substances. Inspections may mean extra delays at ports as goods are imported/exported.
ILG and our parent company, Yusen Logistics continue to work with industry bodies to keep you up to date on the latest developments and if you have any questions, please do not hesitate to reach out to any member of the ILG team.