Daily Archives: February 15, 2020

UK Government Plans to Introduce Import Controls

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The Government of United Kingdom (UK) confirmed, in a press release issued on 10 February 2020, that it plans to introduce import controls on European Union (EU) goods at the border when the transition period ends on 31 December 2020.  After this date, traders in the EU and UK will have to submit customs declarations, and the goods may be subject to regulatory checks.  The press release further informed that policy easements introduced to facilitate trade under a “no deal” departure will be withdrawn in order to treat trade between the UK and all 3rd countries in a non-discriminatory manner

  • The withdrawal of the ability to defer import VAT to the VAT account of the importer, will result in import VAT being payable (at the time of import) on goods coming from the EU.  This decision places a new financial burden on UK traders who import goods from the EU.  UK traders will need to make provision for the cash payment or consider opening Deferment Account with customs.
  • The Transitional Simplified Procedure (TSP) which was intended to allow registered UK traders to bring goods into the UK without any customs declaration at the time of import has also been withdrawn.  Such traders will now have to ensure that arrangements are made to submit customs declarations prior to goods arriving in the UK.

The press release can be found here:

https://www.gov.uk/government/news/government-confirms-plans-to-introduce-import-controls


USTR Modifies Section 301 Tariffs on EU Goods

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On February 14, 2020, the Office of the U.S. Trade Representative (USTR) announced changes to the Section 301 tariffs originally imposed on October 18, 2019 on goods from the European Union (EU).  The duty rates on aircraft imported from the EU will increase from 10% to 15%.  The duty rates on non-aircraft products will not increase from the 25% currently in place.

Other changes include:

  • Prune juice covered in 2009.89.40 will be removed from the affected product list.
  • Knives from France and Germany under 8214.90.60 will be added to the product list and will be subject to the additional 25% duties.

The duty rate increase on aircraft is effective March 18, 2020.

The affected product list changes are effective March 5, 2020.

USTR’s press release can be found here:

https://ustr.gov/about-us/policy-offices/press-office/press-releases/2020/february/ustr-revises-75-billion-award-implementation-against-eu-airbus-case

USTR’s notice outlining the changes can be found here:

https://ustr.gov/sites/default/files/enforcement/301Investigations/Notice_of_Modification_of_Section_301_Action_Enforcement_of_U.S._WTO_Rights_in_Large_Civil_Aircraft_Dispute.pdf