Brexit: Shipping FAQ – what you should know about it

Find the common questions in our LetMeShip Brexit shipping FAQ for your business with the UK

What changes are there for goods shipments to the UK from now on?

After the exit of the United Kingdom (UK), customs declarations are required for imports and exports. You should also be aware of the following

• When you export to the UK or import to the EU, you need to plan with customs formalities. It is important to complete customs declarations correctly, which will be required from 01.01.2021 when trading between the UK and the EU
• There may be longer delivery times as well as additional costs due to customs processing
• There may be additional controls for certain goods (animal and plant products).

Will it be more expensive to ship goods to the UK?

This depends on the shipping company, but will be realistic due to additional operating costs.
DHL Express, for example, is announcing a special surcharge for dutiable shipments between the UK and the European Union from 1 January 2021 due to significant additional operating costs incurred by the company. This is expected to be €0.25 per kg, according to the company.

Will shipping to the UK take exactly the same time as before?

The shipping service providers strive to hand over deliveries to the recipient as quickly as possible. However, delays may occur due to customs clearance. There are shipping service providers who, for example, switch from trucks to planes to ensure on-time delivery.

Why do I need an EORI number and where do I get it?

THE EORI number (Economic Operators’ Registration and Identification) is a European Union requirement for companies importing or exporting goods to and from the EU. If you have traded outside the EU you will already have an EORI number, if you have only traded within the EU you will need to register now LINK Get an EORI number – GOV.UK (www.gov.uk)

Do I have to expect customs formalities?

Duty-free are all goods that have been manufactured entirely in the EU or UK or that have complied with the agreed rules of origin and fulfilled formalities. Despite the concluded trade agreement, every shipment needs a commercial invoice with information for the customs authorities. This helps the authorities to assess whether the goods can be imported or exported to a country and what controls, if any, are required. It is essential to provide an invoice with the correct information as it reduces the potential for delays.

How do I ship goods correctly now?

CHECKLIST for you correct shipping after Brexit

• Make sure you have registered your business with customs and apply for an EORI number
• Find out how to describe and classify your goods
• Find out how to complete commercial invoices
• Submit your commercial invoice electronically if possible
• Understand customs and clearance requirements
• Make sure your customers/importers are aware of possible changes
• Due to the current situation, we also recommend that you explore the option of express shipping to avoid land transport and potentially long delivery times

Good to know

• Northern Ireland: Shipments to and from Northern Ireland will continue to be treated as normal intra-Community shipments.
  • no customs declarations
  • normal VAT handling
• Customs formalities must be completed and customs declarations submitted
• Member States will levy VAT on goods imported from the UK into the EU
• Exports to the UK are exempt from VAT and must be declaredGB has announced a phased introduction of customs formalities and border controls for imported goods:
• https://www.gov.uk/government/news/government-accelerates-border-planning-for-the-end-of-the-transition-period
• For further details on the import regulations applicable to GB, as well as customs duties, see here: https://trade.ec.europa.eu/access-to-markets/de/content/.
• How high will the tariffs be? The new customs tariff of GB, valid from 01.01.21: https://www.gov.uk/look-up-import-tariffs-1-january-2021
• EU procedures (export from or import into the EU) will not be subject to special regulations.

Further information on the above-mentioned Brexit shipping FAQ can also be found here

• https://ec.europa.eu/taxation_customs/sites/taxation/files/leaflet-brexit-customs-guide-for-businesses_de.pdf
• CEP-Research | Post-Brexit trade deal still possible as negotiations poised to resume (cep-research.com)
• Getting ready for the end of the transition period | European Commission (europa.eu)
• Brexit transition – GOV.UK (www.gov.uk)

The European Union provides a general “Brexit readiness checklist for companies doing business with the UK” covering a wide range of implications for traders from the EU to the UK.

• English language version: https://ec.europa.eu/info/sites/info/files/brexit_files/info_site/na0220590enn_002.pdf
• German language version: https://ec.europa.eu/info/sites/info/files/brexit_files/info_site/na0220590den_002.pdf
• French-language version: https://ec.europa.eu/info/sites/info/files/brexit_files/info_site/na0220590frn_002.pdf
• Dutch version: https://ec.europa.eu/info/sites/info/files/brexit_files/info_site/na0220590nln_002.pdf
• Other language versions available here if required: https://ec.europa.eu/info/european-union-and-united-kingdom-forging-new-partnership/future-partnership/getting-ready-end-transition-period_de#file__translations-139159

The UK government has also published a handbook for hauliers and commercial drivers transporting goods between the UK (England, Scotland and Wales) and the European Union: https://www.gov.uk/guidance/transporting-goods-between-great-britain-and-the-eu-from-1-january-2021-guidance-for-hauliers

Further information

• Shipment of goods between UK and EU: Transporting goods between Great Britain and the EU from 1 January 2021: guidance for hauliers and commercial drivers – GOV.UK (www.gov.uk)
• How to import goods from the EU to UK: How to import goods from the EU into GB from January 2021 (publishing.service.gov.uk)
• How to export goods from UK to EU: How to export goods from GB into the EU from January 2021 (publishing.service.gov.uk)