Member's EU Customs & Global Trade update - Week 24
Let's zoom in on the outcomes of the WTO MC 12, UCC, NI challenges, ADD and customs classification.
Content
A successful conclusion of the WTO MC12
The Northern Ireland Bill of the UK: More Trouble in Paradise?
ADD and CVD on Indian imports of ductile cast iron tubes and pipes
How do you classify a running vest with two soft flasks?
EU and India kick-start ambitious trade agenda
WTO
The World Trade Organization (WTO) is in charge of international trade regulations. Its primary role is to keep commerce flowing as smoothly, reliably, and freely as possible.
A successful conclusion of the WTO MC12
We're updating you on the WTO Ministerial Conference in Geneva. Here is a quick summary, but please read out a more detailed exclusive members’ briefing.
Round-the-clock discussions led to the "Geneva Package" - decisions on fisheries subsidies, WTO reactions to food and pandemic crises, and food safety, e-commerce and WTO reform.
Director-General Ngozi Okonjo-Iweala said the results show the WTO can handle crises. WTO members can work across geopolitical fault lines to strengthen the organisation. Collaboration and competition were on display.
Pandemics, COVID-19, and TRIPS: WTO members waived TRIPS rules to allow COVID-19 export without patent owner approval. IP investment, research, and knowledge transfer are promoted. WTO Declaration on Outbreak and Pandemic Readiness calls for openness, prompt information exchange, and caution in imposing export restrictions. Ministers waived some TRIPS Agreement procedural restrictions in response to the COVID pandemic and requests from poor nations, allowing the manufacture and export of COVID-19 vaccines without the patent owner's agreement. The agreement protects a research-friendly IP system. African manufacturing and vaccine development will benefit. Ministers lifted export restrictions and promoted transparency to fight pandemics.
Food safety: MC12 prioritises food safety. The Food Security Declaration urges members to avoid unnecessary export restrictions and support farming. By ratifying the food security statement and helping the World Food Programme, the WTO can address modern concerns.
IUU: Illegal fishing subsidies are banned internationally. WTO members agree on fisheries subsidies. No overfishing. Stopping high seas fishing incentives reduces overcapacity and overfishing. Transparent subsidies are important, too. More talks were promised.
E-commerce: WTO delays e-commerce customs until Ministerial. Businesses needed e-commerce. Extending the e-commerce ban boosts the digital economy. WTO members avoided ETTs until MC13. This agreement protects millions of firms and jobs in WTO's digital economy.
Refom?
WTO reform is agreed. The Dispute mechanism must work by 2024. WTO reform promotes rule-based trade. In recent weeks, WTO Director-General Ngozi Okonjo-Iweala said the organisation has become a diktat forum. Ministers negotiated this week. Listening, letting go, and compromising.
Outstanding
Public stockholdings varied for food security, domestic aid, cotton, and market access. NAtions couldn't agree on a farm program. WTO members are motivated to finish current mandates for MC13.
Livestreaming of the closing session of the 12th Ministerial Conference is available on this page. A recording of the webcast is available here:
https://www.wto.org/english/thewto_e/minist_e/mc12_e/webcasting_closing_e.htm
Here is your debrief for members.
Northern Ireland
The Northern Ireland Bill of the UK: More Trouble in Paradise?
The UK wants to unilaterally tear up part of the NI Agreement. Why? Analysis, Details, Explanation, and the EU response - HERE!
What we cover: WA?
Why does this agreement matter?
2021 Troubles
2022 Troubles
Why is Northern Ireland trade so complicated?
5 Reasons why the NI Protocol was accepted in 2019
What customs law applies in NI?
What about customs duties?
Why is a new NI Bill proposed?
What is in the Northern Ireland Bill of 2022?
Four fundamental challenges
The UK Solutions
Tell me more about the Green and Red Channels
Dual Laws for placing goods on the market
Is this change lawful?
What did the EU say?
Conclusion
Northern Ireland Protocol: The EU response to the UK Bill to Fix NI - is the EU UK TCA at risk?
The EU is not amused about the UK NI Bill as it violates the agreement with the EU. Infringement procedures have kicked in. Is the EU-UK TCA at risk? Read out analysis
Northern Ireland Protocol Confusion Can Be Cleared Up With Flexible Border Approach
With a renewed emphasis on the EU-UK approach to Northern Ireland, we question why the United Kingdom seeks more escalation rather than constructive partnership. More importantly: Why not accept an 80 percent burden reduction benefiting people and companies during a crisis in the cost of living and War in Europe?
Northern Ireland Protocol: How the border works today and why NI businesses WIN Let's examine why NI businesses WIN big from the NI Protocol and how the Border works today
Northern Ireland: Can traders make use of EU Free Trade Agreements? If Yes, how?
Given that EU law applies in Northern Ireland, can traders also benefit from the 40+ EU FTAs? Arne Mielken, customs expert on customs explains
SPS: How to get my GB agri-food through Northern Ireland?
Trading agri-food with Northern Ireland is a challenge when moving them from Great Britain. Here is how to get them into Northern Ireland. Northern Ireland: When TSS is not working for you, use US. We'll sort NI trade for YOU :-) Businesses sending goods between NI and GB Northern Ireland can simplify trade by using our customs support and declaration service. We deal with the TSS for you!
HMRC explains: What is the Northern Ireland & Ireland Protocol, and how does it work?
Watch HMRC information and a Q&A on how the NI protocol works and the concept of "goods at risk" and "rules of origin".
Anti-Dumping Duty
ADD and CVD on Indian imports of ductile cast iron tubes and pipes
The European Commission levied a permanent anti-dumping tariff on Indian imports of ductile cast iron tubes and pipes.Tubes and pipes made of ductile cast iron (also called spheroidal graphite cast iron) are now subject to a permanent anti-dumping duty. However, tubes and pipes made of ductile cast iron that don't have coatings on the inside or outside (called "bare pipes") and come from India are exempt.
CN codes ex 7303 00 10 (TARIC code 7303001010) and ex 7303 00 90 (TARIC code 7303009010)
A final anti-subsidy duty has been put on imports of tubes and pipes made of ductile cast iron, which is also called spheroidal graphite cast iron, with the exception of tubes and pipes made of ductile cast iron that don't have coatings on the inside or outside (called "bare pipes") and come from India. These pipes currently fall under CN codes ex 7303 00 10 (TARIC code 7303001010) and ex 7303 00 90 (TARIC)
Classification
How do you classify a running vest with two soft flasks?
See image
Here is our classification challenge and solution, providing details and support. Ideal to have your team members take the classification challenge.
Free Trade Agreements
EU and India kick-start ambitious trade agenda
EU-India FTA talks resumed. EU and India started FTA talks in 2007, but terminated in 2013 for lack of ambition. After the first round of talks, the EU will issue official proposals.
EU and India are negotiating trade and investment.
EU-India trade: €120 billion. 2021 will see India's EU trade reach 11%. India is the EU's 10th largest commercial partner, contributing 2% in 2021.
Liberalization will boost services, digital commerce, IP, and public procurement.
The new pact will contain ambitious trade and sustainable development measures, helping the EU to achieve our European Green Deal climate responsibilities and promoting high environmental and labour standards in the EU and India.
IPA boosts FDI and investor confidence. EU and India safeguard GIs. This deal will support rural communities and preserve culinary heritage. It will enhance global geographical indicators and improve product access. EU and India share markets. EU expects to continue cooperating with India after 12th WTO Ministerial Conference.
VAT
Optional reverse charge till 2027
Finance ministers extended the optional VAT reverse charge mechanism until 31 December 2026 on 3 June 2022. The reverse charge method shifts VAT payment obligation from the seller to the client to combat VAT fraud, especially Missing Trader Intra-Community fraud. This sort of fraud happens when a merchant buys VAT-exempt products from another member state and charges the consumer VAT. The merchant disappears after receiving VAT from the consumer without paying the tax authorities.
Sources
If you have any questions about this update, please let us know.