Journal

News in week 13: communication on decisions relating to binding tariff information; conclusion of the 71st Session of the Harmonized System Committee; CJEU judgements in two tariff classification … cases; updates related to anti-dumping; creation of certain tariff rate quotas under the steel safeguard measure; and more news!

News at a glance: Common transit - list of goods exempted from guarantee; extended suspension of import duties, quotas and trade defence measures for Ukrainian exports to the EU and the UK; pilot … project for the transport of goods between Ukraine and the Republic of Moldova using the TIR electronic procedure; and more news!

This is not a scientific paper claiming to be absolutely complete - it is rather a short examination (born out of the practitioner’s view) of the complexity of classification based on a simple … article (with minor variations) and a pointing out of the (often, usually) missing information to classify an article completely (automated?) based on existing (tabular?) data. Let us now consider the complexity of classification in the EU nomenclature using a simple example. Let's take as an example a screw, more precisely a hexagon head screw.

The Israeli customs authority has, as I believe, invented an original tool to gain more information about specific goods valuation process, even before officially starting an audit. The tool … is called the "importer's affidavit". As far as I know, there is no similar requirement in other jurisdictions.

Why is there so much talk and writing about trade and customs compliance? Why is so much attention being paid to this issue in legislation and judicial practice? What are the consequences of … non-compliance with many laws and trade agreements? Read about 3 real-life cases of failing to comply and their consequences.

Let's take a look at the second judgement issued by the Court of Justice of the European Union (CJEU) earlier this year on the tariff classification of goods (the first one was on classification … of inflatable couches). This case is about a pipe transportation device: Should it be classified as an article of aluminium or a container? Accordingly, the import duty rate is 6% or 0%. The CJEU also clarified what a ‘container’ means for tariff classification purposes.

The Court of Justice of the European Union (CJEU) has in the first 2 months of the year provided clarifications in 2 cases related to the tariff classification of goods. This shows that business … is constantly confronted with questions of the proper classification of goods, which, for certain goods, we will overview. In this article, let’s start with the classification of inflatable couches: Are they furniture or camping equipment? The duty tariff would be 3.7% or 12%, respectively.

The possibilities and risks of customs procedures were the focus of discussion at the 14th Authors' Meeting. Experts from Belgium, Germany, Lithuania, France, Bulgaria, Israel, Brazil and Argentina … shared insights and tips on how to manage customs procedures for the maximum benefit of businesses. A number of issues were raised, particularly in relation to the use of special customs procedures.

Classification under a tariff subheading is not an end in itself but serves to determine which measures, tariff or other, should be applied to the goods concerned. However, in case of inward … processing in the EU, the question has been raised, whether the duty rate of the processed goods at the time of release for free circulation must be applied in certain cases even though the tariff classification, customs value, and origin of the imported goods are the basis for the duty calculation.

“He who owns information owns the world”, said Nathan M. Rothschild two centuries ago. The quote is relevant today particularly when it comes to customs. What if a company needs information from … customs authorities? Is it possible to obtain it? Are customs obliged to provide it to a company or an individual? This article deals with the problems faced by Ukrainian companies in obtaining the information they need from the customs authorities. We also take a look at the provisions of the EU Customs Code.

Since problems of classification of goods are relevant to all countries of the world, the WCO, as the "keeper" of the Harmonised System, has developed a number of tools for its correct and uniform … application. These tools include Explanatory Notes, Compendium of Classification Opinions, Classification Decisions, Recommendations Related to the Harmonised System, and Advance Rulings for Classification. Let's look at the latter tool in more detail, including a practical tip on where to find Advance Rulings in different countries.

In January 2023, the EU Commission presented the report "On the assessment of customs infringements and penalties in Member States" (COM(2023) 5 final), which provides a summarized overview of … the individual system of penalties for infringements of customs law in each EU Member State. This article presents the essential highlights of the Commission‘s report, describes the existing system of infringements of customs law in the EU and its specific features throughout the EU Member States, as well as its specific features in different states. At the same time, the article reviews the perspectives of unifying the system of application of legal responsibility for infringements of customs law and the initiatives currently which are being considered in this area.

The Pan-European organisation International Confederation of Customs Brokers and Customs Representatives (Confiad) was founded in 1982 in Italy. It was founded with the purpose to defend and … coordinate the professional interest of its members, supporting harmonisation of the legislative, professional and customs regulations at European level. Confiad President Dr Massimo De Gregorio kindly accepted our invitation to share information about the confederation, its main activities and the customs broker’s profession.

In 2022, the approach to the classification of unmanned aircraft changed. A separate heading has been introduced for them. Has the classification of these goods been simplified? Have there been … fewer problems in determining their code? Let's find out what challenges we may face when classifying some types of drones.

A recently published comparative analysis of Member States' customs authorisation procedures for the entry of products into the EU concludes that the EU is a customs union with common legislation, … customs rules, procedures and a single development plan; yet, for a number of objective reasons and considerations, each Member State manages and develops its customs activities at its own pace and according to its own interpretation of the Union Customs Code. We overview some aspects of the analysis.

Customs Consultative Committees (CCCs) or similar bodies have been set up in EU Member States, the UK and other countries to bring business and customs together to discuss issues, share knowledge … and improve the business environment. With what questions or problems can businesses turn to the CCC and what results can be expected? How can this be done? Do businesses actively make use of this tool? We thank Anthony Buckley, Chair of the CCC in Ireland for a number of years during the Brexit preparations, for kindly accepting the invitation to share his experiences and views.