The latest on Brexit

On 20 January 2020, the Directorate General of Customs published the latest information on the status of Brexit in the area of origin of goods and preferences on its website. Among other things, the status report serves to clarify that the effects of Brexit with regard to customs processing must be clearly separated from the law of origin.

A clear transitional arrangement is defined in the possible withdrawal agreement, which would provide for a transitional period until the end of 2020 in the event of the United Kingdom withdrawing on 01.02.2020, during which no changes would occur in customs clearance from a customs perspective during the transitional period.

 

However, this does not affect the form of a free trade agreement between the United Kingdom and the EU. According to the status report of 20 January 2020, the European Commission has announced that it will ask the partner states to continue to treat the United Kingdom as an EU member during the transitional period, including for the purposes of the law on the origin of goods and preferential treatment. The Directorate General of Customs has no information on the outcome of these notifications at the time of publication of the status report. Practical implications for the origin status of UK goods and for the issue or recognition of supplier's declarations for goods moving within the EU have yet to be clarified. The Directorate General of Customs will inform economic operators on its website as soon as new information from the EU Commission is available.

It is advisable to keep a close eye on developments regarding the law on the origin of goods and preferential treatment as well as possible effects as of 01.02.2020.

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