We're ready, are your customers?
Following the UK leaving the EU on Friday 31st January 2020, the UK Government will have an 11-month transition period where business will be as usual. During the transition period, the UK will continue to follow the rules and regulations which come with membership of the EU, while the UK Government seeks to negotiate our new arrangements with the European Union.
If there is a hard Brexit, how does it affect Shippers?
- When exporting from the UK to the EU, the merchandise needs to be declared to the customs authority of the country the goods will leave
- When importing from the EU, the merchandise needs to be declared to the customs authority of the receiving country
- To manage this process correctly within our Network, shipments need to comply in order to avoid delays to your shipments
- Please speak to your customers and ensure that those that intend to ship to the EU after the transition period, know what they need to do in order to keep shipping successfully
Basic steps for European Shippers?
We recommend speaking to your customers to advise them of the following requirements. After a No deal or Hard Brexit, companies exporting from the European Union to UK (and vice versa), will need to:
Have an EORI Number
- An EORI Number is required when trading between the EU and UK.
- You can apply for an EORI here: https://www.gov.uk/eori
Confirm the value of their goods
- The value of the goods is required to complete the customs declaration, and is necessary for the calculation of VAT and Duty
Confirm the country of origin of the goods
- Establishing the country of origin of the goods assists to identify if they qualify for lower or zero customs duty.
Confirm the Incoterms (shipping terms) for their shipments
- The terms of shipment used to define who is paying for the import and export customs declarations, and who is liable for duty and taxes upon import.
Be able to provide details of the type of packaging, and a clear description of their goods, together with the net and gross weight
- A clear definition of the packaging must be provided together with an itemised description of the goods, when there are multiple products.
Confirm the classification of their goods, and the relevant Commodity Code (Tariff Heading)
- The commodity code is unique to each product and is used in the export declaration to classify the goods correctly.
- You can find the Commodity Code (HS Classification) for your product here: https://www.gov.uk/trade-tariff
Determine the CPC – Customs Procedure Code, relevant to their goods
- The customs procedure codes (CPC) identify the movement of the goods, describing the purpose of your shipment.
- You can find guidance to the correct CPC codes here: https://www.gov.uk/government/publications/uk-trade-tariff-customs-procedure-codes
Clarify if their products are prohibited or restricted in any way. Do they require an Export License or any Certification?
- Some goods are restricted and you will require the respective license to import or export.
Confirm that they are able to produce Commercial Invoices for all goods being exported
- A commercial invoice is required and must be created for the value of the goods as sold. Dependant on the Terms of Sale (Incoterms) the agreed freight charges may also be required.
Understand their process for creating and submitting an export declaration. If they are not creating the declaration themselves, they will need to complete the appropriate Direct Representation form to allow Palletforce to make the declaration.
- The exporter can produce their own declaration, but most shippers will use a broker or agent to complete the declaration. If the shipper uses an agent or broker, they must provide a written authorisation allowing the broker to act as a Direct Representative.
If importing, open a Deferment Account or apply for TSP – Transitional Simplified Procedure
- Imports to the UK are subject to VAT and possible duties. These costs must be paid in full to the customs authority upon import. Alternatively, the preferred method of the UK Government is a simplified clearance process – Transitional Simplified Procedures. TSP is only available to UK importers who have registered.
- You can sign up for Transitional Simplified Procedure here:
- It is key for members to understand that the correct capture of consignment information in Alliance, as with domestic pallets, ensures the best opportunity to deliver without delay at the Border.
- Palletforce will provide the additional fields in Alliance to allow data to be input (if required) after the transition period
- If you have any questions, please contact our Brexit Support Desk: firstname.lastname@example.org
We're here to help.
If you have any questions about Brexit and how this might affect your business, you can contact our Brexit Support Team by submitting an enquiry form below.