What has Brexit changed for EU-UK trade in goods?
What has Brexit changed for trade in goods between the EU and UK? .
The UK left the European Union on 1 February 2020 after both parties concluded an Withdrawal Agreement, thus becoming a third country.
From 1 January 2021, the UK was outside the EU's Single Market and Customs Union. From that date, too, the UK ceased to be bound by EU law (with the exception of special arrangements for Northern Ireland, where and in relation to which EU customs rules continue to apply, inter alia to avoid border controls with the Republic of Ireland).
From 1 January 2021, border controls between the EU and the UK were introduced.
Businesses are required, among other things, to complete standard customs formalities, including (for those not yet doing so) the obligation to obtain an EORI number, to submit customs declarations and declarations and to pay customs and tax duties (VAT and excise).
Customs formalities required under Union law apply to all goods entering or leaving the customs territory of the EU from the UK to the UK.
The UK is currently no longer subject to EU VAT rules as a result of the Brexit has lost its Member State status. Therefore, in the relationship between the EU and the UK, transactions such as intra-Community supply /acquisition of goods (B2C transactions) and distance selling (B2C intra-Community sale of goods) do not take place, but there are export/import of goods.
Excise duty on excise goods and passenger cars is due upon their importation into the EU and collected upon the release of the goods onto the market, unless, in the case of excise goods, they are placed under an excise duty suspension procedure in the national territory and moved from the place of importation to, for example, a tax warehouse (excludes electricity and dried tobacco).
