Brexit – new free trade agreements and changed rules of origin
Consequent to the United Kingdom voting to leave the European Union, “Brexit” has become a reality as of 1st January 2021. New trade agreements now apply to the movement of goods between the United Kingdom and the European Union and Switzerland. This is currently causing considerable problems with customs formalities and leading to additional work at the border which, in turn, is resulting in delivery delays.
You must observe the new rules to guarantee that your shipments pass through customs smoothly:
The United Kingdom is no longer a party to the Pan-Euro-Mediterranean (PEM) Convention. The bilateral accumulation of goods within trade agreements is still possible. However, diagonal cumulation is only possible to a limited extent or not at all. The European Union’s trade agreement with the United Kingdom also includes new rules of origin and declarations of origin.
It is also worth looking at the new UK customs tariff. The customs tariff numbers are largely the same as the EU format, but some customs duties have been adjusted. In particular, many of the decimal places in the tariff rates of the European Union have been rounded off to full percentages. Customs duties below two percent are no longer applicable.
The most important changes for origin and preference at a glance!
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