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Writer's pictureArne Mielken

Customs & Global Trade Law Monitor (UK) - Week 16

Updated: Apr 25, 2022

Every week, we are thrilled to monitor developments in UK customs and global trade policy for you. Get back to more essential things, like expanding your business.


Content

  • Free Webinar: Prepare your company for the new Safety & Security (S&S) Filing Requirements in Great Britain

  • Commentary on the possible delay of SPS import controls and EHCs into the UK from July

  • Updates from Legislation.co.uk

  • Customs Declaration Service: New Code - AGAIN

  • Got a licence for imports from Russia? Tell CHIEF - here is how.

  • 21 videos HMRC wants you to watch

  • Importing certain agricultural goods and food from outside the UK

  • UK proposes measures on Continuous Glass Fibre from China be kept

  • UK announces further import sanctions against Russia

  • Additional duties on goods originating in Russia and Belarus

  • Notice to Importers 2953: Russia import sanctions

  • Financial sanctions, Iraq

  • Financial sanctions, Russia

  • Financial sanctions, Belarus

  • Who is subject to financial sanctions in the UK?

  • OFSI General Licences


Free Webinar for subscribers Prepare your company for the new Safety & Security (S&S) Filing Requirements in Great Britain

Beginning July 1, 2022, certain businesses will be required to report safety and security information regarding goods imported into Great Britain (GB) (England, Scotland, and Wales) from the European Union (EU) to HMRC in so-called Safety and Security (S&S) Filing. This is not new and is well known in the EU as ENS filing. The equivalent exists for exports already.


Join us in this free webinar to discuss

  • History of the ENS filing

  • ENS filing in the EU: Concepts - principles

  • What is the ENS statement and who is in charge of submitting Entry Summary (ENS) statements – and who else can?

  • Who should use it and how do I get access to it?

  • What are the submission deadlines for the ENS for Great Britain?

  • What information is required?

  • Essential information for practitioners:

  • How to access the GB system

  • How to make an amendment

  • Process after amendments

There will be extensive opportunities to ask questions and receive answers. Slides and the recording will be made available to subscribers to our newsletter and those that registered an account with us.


Customs Manager offers a “Get A Customs Manager” subscription service which allows you to work with a real expert without the need to actually hire on.


Register in advance for this meeting


Commentary


Don't delay! Abolish Food Border Checks from the EU altogether!

A commentary on possible delay in food border checks to Great Britain from the EU


 

Updates from Legislation.co.uk


Legislation.co.uk, which is where all the statutory instruments that are relevant to UK customs are published, and it is updated every weekday with a raft of new laws. So we have to check it every day and then report back to you.


As part of our commitment to keeping you informed, we have created a section of our expert blog dedicated to the new UK customs regulations. This is where we summarise the most recent news for you in an easy-to-understand manner and walk you through it. This will create a repertory of laws from which you or your lawyer may draw if you ever need to discover one or examine a specific passage. You may also simply drop us a message in the chat.


No update is reported this week.

 

Customs


Customs Declaration Service: New Code - AGAIN

Self-Filers and Customs Agents: Attention! I'm sure you're well-versed in CDS. HMRC continues to make system upgrades as it prepares for Day X in September. It continues to add to the well-known "Data Element 2/3," which, as we all know, specifies a wide variety of "Documents and Other Reference Codes" that must be stated on the customs declaration. The list of codes for needed document codes, document status codes, and details to be given (for example, licences and certificates) has been updated once again, with the addition of a new national document code 9UKR to include alternative evidence of origin for commodities.


Got a licence for imports from Russia? Tell CHIEF - here is how.

You are aware that, as a result of sanctions, you are unable to import several items from Russia. However, sanctions do not apply to your goods in specific instances, such as when you hold the necessary import licence. So, what do you do now? In CHIEF, how should you state that? HMRC has provided instructions on this page.


21 videos HMRC wants you to watch

Remember that HMRC has got tons of videos for you to watch to get you going on imports, exports etc. Check out this long list:

  1. Customs Import Declarations — an overview

  2. Exporting — what you need to do to keep your goods moving

  3. Getting someone to deal with customs for you — how freight forwarders can help

  4. How can a customs intermediary or agent help me?

  5. How to check if you can delay customs payments and declarations

  6. How to import

  7. Importing — steps you need to take before making your supplementary declaration

  8. Importing — what you need to know about staged controls

  9. New rules for carrying commercial goods in your baggage

  10. New rules for exporting goods to Europe from Great Britain

  11. New rules for making cash declarations

  12. New rules for travelling with goods for personal use

  13. Rules of origin

  14. Trader responsibilities when using an intermediary

  15. What are commodity codes?

  16. What are controlled goods?

  17. What you need to know to bring goods into the UK

  18. What you need to know to send goods outside of the UK

  19. What is customs?

  20. Customs Handling of Import and Export Freight (CHIEF)

  21. The Customs Declaration Service

You can watch them all here and more may come in the future:


HMRC has revised the examples in the section of their advice titled "Goods that do not require an import licence." Those that are entered into a customs warehouse and are qualified for inbound processing are returned to the United Kingdom. As you are aware, some agricultural items require an import permit when imported into the UK, and there is an import charge to pay for them. These are, for example:

  • meat (beef and veal), pigmeat and poultry meat products

  • sugar

  • cereals and rice products

  • fruit and vegetables (including garlic)

  • milk and milk products

  • eggs

  • olive oil

  • ethyl alcohol

  • hemp

As you know, commodity codes (also known as CN Codes in the EU) describe items within each sector, and multiple sorts of licences are available. The regulations governing licences and the availability of quotas change on a regular basis. Contact us to ensure that you get the most up-to-date information. We can assist you.

 

Update on ADD measures

Anti-dumping duties enable a nation or union to take action against items that are sold for less than their normal worth, which is defined as the price for 'similar goods' offered in the exporter's home market.


Until the UK exited the EU, the EU Commission conducted trade remedy investigations on its behalf. When the EU implemented forty-four trade remedy measures of importance to UK producers, they were incorporated into UK legislation.


The UK TRA has said that anti-dumping and countervailing measures on Chinese Continuous Glass Fibre be extended for another five years. It has, however, urged that tariffs on a specific form, glass fibre matting, be repealed. Glass fibres are utilised in the fabrication of wind turbine blades, as well as in construction and automotive applications, such as the production of electric automobiles.


The Trade Remedies Authority (TRA) is an independent UK organisation founded in June 2021 as the Department for International Trade's first non-departmental public body to evaluate whether trade remedy measures are required to fight unfair import practises and unexpected import surges.


 

Export Controls & Licencing Controls (Import & Export)


The UK government has announced further trade measures on Russia, including the expansion of the list of items subject to import bans and tariff increases. The UK will now impose import duties and prohibitions on over £1 billion in Russian products as a result of these additional actions. The latest restrictions include prohibitions on imports of silver, wood goods, and high-end Russian items such as caviar. We will also hike duties on around £130 million in Russian and Belarusian goods, including diamonds and rubber, by 35 percentage points. To find out about this latest round, read the blog entry "Does the UK's eighth sanctions package against Russia prohibit your commodities' exports?" and Understanding the UK's 7th sanctions package on Russia.


You may be aware that on 25 March 2022, the UK introduced additional duties of 35 % on a number of goods originating in Russia and Belarus. That list is here. But now, since 21 April, a further package of goods will be subject to additional duties, when imported from these territories and once legislation is in force. Goods originating in Russia and Belarus that have passed Russian or Belarusian export requirements and left those territories before March 25, 2022 are exempt. This exemption applies to items that were subject to extra tariffs on March 25, 2022. More details are in the guidance, including the acceptable documentation that the products need to have completed export requirements and have departed both countries.


Notice 2953 is a must-read for anybody interested in understanding the sanctions imposed on Russia in terms of import restrictions. Russia Sanctions Regulations 2019, as amended, impose import restrictions. On April 21, 2022, this notification was revised to reflect the statement that increased import limitations to include further import prohibitions on commodities such as silver, wood goods, and high-end Russian items such as caviar.



 

Sanctions Update


You must identify whether you have any accounts, cash, or economic resources for any of the people included in the sanctions lists below. These accounts, as well as any other financial or economic resources held or controlled by the listed people, must be frozen.


Any accounts or financial resources (money) held or controlled by the aforementioned people must be reported to the Office of Financial Sanctions Implementation.


You must not deal with such assets in any manner, and you must send any information from your records that may be useful to OFSI.


The Iraq (Sanctions) (EU Exit) Regulations 2020 implement sanctions to ensure that the UK continues to meet its obligations under UN Security Council Resolutions 661 (1990) and 1483 (2000) - the UN Iraq sanctions system. It imposes sanctions on individuals included on the UN's Iraq Sanctions List. As a result, Iraq is subject to budgetary constraints imposed by the United Kingdom. This page contains the most up-to-date list of designated persons. Iraq's most recent HM Treasury Notice, dated April 19, 2022, has been revised.


26 entries have been added to the consolidated list and are now subject to an asset freeze. 30 entries have been amended and are still subject to an asset freeze. Further details can be found in the annex to the Notice published last week.


This sanctions system is intended to encourage Russia to stop destabilising Ukraine, including activities undermining or endangering Ukraine's territorial integrity, sovereignty, and independence. Asset freezes are imposed on persons recognised as being active in destabilising Ukraine or undermining or endangering Ukraine's territorial integrity, sovereignty, and independence. This includes anybody who engages in, supports, or promotes any policy or action that destabilises Ukraine or undermines or threatens Ukraine's territorial integrity, sovereignty, and independence. Sectoral financial sanctions are also in place to prohibit and limit specific behaviours. These include limitations on the use of transferrable securities.


What you must-do if you deal with a person on a sanction list:


You must:

  1. check whether you maintain any accounts or hold any funds or economic resources for the persons

  2. freeze such accounts, as well as any other funds or economic resources owned or controlled by the persons listed

  3. Refrain from dealing with the funds or assets or making them available (directly or indirectly) to such persons

  4. submit any findings to OFSI, together with any other information that may aid in compliance with the Regulations

  5. give any information on the frozen assets of designated people that OFSI may require. Information sent to OFSI may be shared with other regulatory agencies or criminal enforcement.

A relevant institution is not obligated to submit information about accounts, other money, or economic resources kept frozen for designated people if they have already declared these facts.


Failure to comply with financial sanctions laws, or attempting to do so, is a criminal offence.


Belarus is now subject to financial restrictions imposed by the United Kingdom. This link will take you to a current list of designated individuals. Belarus's most recent HM Treasury Notice, dated April 21, 2022. The Republic of Belarus (Sanctions) (EU Exit) Regulations 2019 are meant to persuade the Belarusian government to respect democratic principles and institutions, as well as the separation of powers and the rule of law in Belarus refrain from actions, policies, or activities that repress civil society. Asset freezes are imposed on anyone who are reasonably suspected of being involved in an action that aided or facilitated terrorism.

The regulations impose asset freezes on individuals reasonably suspected of the commission of serious human rights violations in Belarus; the repression of civil society or democratic opposition in Belarus; or other actions, policies, or activities that undermine deliberative democracy.


Laws:

  • The Republic of Belarus (Sanctions) (EU Exit) Regulations 2019

  • The Republic of Belarus (Sanctions) (EU Exit) (Amendment) (No. 2) Regulations 2021

  • The Sanctions (EU Exit) (Miscellaneous Amendments) (No. 2) Regulations 2020

  • The Sanctions (EU Exit) (Miscellaneous Amendments) (No. 4) Regulations 2020

  • 13.04.2016 The Belarus (Asset-Freezing) (Amendment) Regulations (SI 2016/504 (applicable prior to 11:00pm, 31 December 2020)

  • 21.02.2013 The Belarus (Asset-Freezing) Regulations 2013 (SI 2013/164) (applicable prior to 11:00pm, 31 December 2020)


The United Kingdom presents a guide to the most recent consolidated list of asset freeze targets, as well as a list of individuals listed in relation to financial and investment restrictions. Access the latest version here.


Under the Sanctions and Anti-Money Laundering Act 2018 ("the Sanctions Act"), OFSI has the authority to grant General Licences for national sanctions regimes. On April 21, 2022, OFSI issued General Licence INT/2022/1630477 in accordance with Regulation 64 of the Russia (Sanctions) (EU Exit) Regulations 2019 ("the Russia Regulations") to authorise payments to Gazprombank or a Subsidiary for the purpose of making Gas accessible in the European Union. Anyone planning to utilise General Licence INT/2022/1630477 should read the Licence text on this page for complete details on the rights and use conditions. Under General Licence INT/2022/1630477, a Person may continue to make payments to Gazprombank or a Subsidiary under a contract entered into prior to the date of this licence for the purpose of making payments to Gazprombank or a Subsidiary. Details of General Licences issued by OFSI. Updated with General Licence INT/2022/1630477.


 


Question?


Please contact us using the chat if you have any questions regarding these updates.

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