April 28, 2020
en lt

Tariff quotas permit total or partial suspension of the normal duties applicable to imported goods. The quotas are set for a limited quantity of goods and for a limited period.

There are two types of tariff quotas: preferential and autonomous. The management of tariff quotas is also organized in several ways.

Preferential tariff quotas

This type of tariff concessions is provided in agreements with third countries and in autonomous preferential arrangements of the EU. Entitlement to benefit from preferential tariff quotas is subject to the presentation of the necessary evidence of origin.

Autonomous tariff quotas

The role of autonomous tariff quotas is to stimulate the economic activity of Union industries. They are normally granted to raw materials, semi-finished goods, or components that are not available/ available in insufficient quantities in the EU. 

Council Regulation 1388/2013 opening and providing for the management of autonomous tariff quotas of the Union for certain agricultural and industrial products establishes the list of goods subject to these measures.

Management of the most tariff quotas: the 'first-come first-served' principle

Most tariff quotas are managed by the Commission's Directorate-General responsible for Taxation and Customs Union (DG TAXUD) on a 'first-come first-served' basis irrespective of where the goods are imported into the EU. The legal provisions governing the management of these tariff quotas are contained in Articles 49 to 54 of Commission Implementing Regulation (EU) 2015/2447.

Information about the current balances of those tariff quotas is available in the Tariff quota consultation database and in national databases of the Member States, for instance, LITAR database in Lithuania.

Management of tariff quotas for agricultural products: the system of import licences

Some tariff quotas are managed by the Commission's Directorate-General responsible for Agriculture and Rural Development (DG AGRI) through a system of import licences. Various Council and Commission Regulations contain the specific provisions for the management of these tariff quotas.

Source: European Commission

Interested in a practical example? Watch the video!

Comments ()

en
Does the duty rate always depend on the commodity code for the goods?
09-03-2023

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.

Prof Dr Sandra Rinnert

taxes
en
Does the duty rate always depend on the commodity code for the goods?
09-03-2023

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.

Prof Dr Sandra Rinnert

taxes
image en
Calculation of import charges in EU
26-02-2023

Anthony Buckley

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image en
Calculation of import charges in EU
26-02-2023

Anthony Buckley

taxes
en
How to save on import taxes? or Which is the place where the goods are brought into EU?
15-02-2023

Reader's question: Goods FOB Singapore are shipped to Tallinn. Rotterdam is the port of transshipment (containers are only moved from one vessel to another). What transportation costs - Singapore-Rotterdam (€ 2,000) or Singapore-Tallinn (€ 3,000) - should be included into the dutiable value of goods upon their importation in Estonia?

Enrika Naujokė

taxes
en
How to save on import taxes? or Which is the place where the goods are brought into EU?
15-02-2023

Reader's question: Goods FOB Singapore are shipped to Tallinn. Rotterdam is the port of transshipment (containers are only moved from one vessel to another). What transportation costs - Singapore-Rotterdam (€ 2,000) or Singapore-Tallinn (€ 3,000) - should be included into the dutiable value of goods upon their importation in Estonia?

Enrika Naujokė

taxes
en, lt
The European Union Carbon Border Adjustment Mechanism – the launch in 2023
29-01-2023

In mid-December 2022, negotiators of the Council and the European Parliament reached an agreement of a provisional and conditional nature on the Carbon Border Adjustment Mechanism (CBAM). The agreement needs to be confirmed by ambassadors of the EU member states, and by the European Parliament, and adopted by both institutions before it is final. However, according to the agreed timetable, the transition period for its implementation is set to come into force in October 2023. What should companies do?

Dr David Savage

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en, lt
The European Union Carbon Border Adjustment Mechanism – the launch in 2023
29-01-2023

In mid-December 2022, negotiators of the Council and the European Parliament reached an agreement of a provisional and conditional nature on the Carbon Border Adjustment Mechanism (CBAM). The agreement needs to be confirmed by ambassadors of the EU member states, and by the European Parliament, and adopted by both institutions before it is final. However, according to the agreed timetable, the transition period for its implementation is set to come into force in October 2023. What should companies do?

Dr David Savage

taxes
en, lt
One court case - two lessons: tariff quotas, invalidation of a customs declaration and potential risks
28-12-2022

Tariff quotas mean less or no duty when importing goods. Most tariff quotas are allocated on a first come, first served basis; therefore, the timing of lodging a customs declaration might be crucial. What if, due to issues concerning customs IT systems, you are late and the quota is exhausted? Can you ask customs to invalidate the customs declaration and wait until the new tariff quota is opened?

Jurgita Stanienė

taxes
en, lt
One court case - two lessons: tariff quotas, invalidation of a customs declaration and potential risks
28-12-2022

Tariff quotas mean less or no duty when importing goods. Most tariff quotas are allocated on a first come, first served basis; therefore, the timing of lodging a customs declaration might be crucial. What if, due to issues concerning customs IT systems, you are late and the quota is exhausted? Can you ask customs to invalidate the customs declaration and wait until the new tariff quota is opened?

Jurgita Stanienė

taxes
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