HKTDC on 11th July reported new EU Regulation 2019/1131/EU that will close a loophole by extending enforcement/collection of trade defence mechanism – such as anti-dumping and countervailing duties – to goods in the continental shelf or the exclusive economic zone of a Member State.  The new customs tool is said to align EU trade defence policies with those of trading partners such as the US, India and Brazil. It is aimed to further strengthen the EU’s ability to protect its industry against unfair trade.  Under EU customs rules, trade defence measures were only applicable to goods imported into the customs territory of the EU, but not to goods brought to the continental shelf or EEZ of EU Member States, for instance for the exploitation of natural resources such as extraction of oil and gas and off-shore windmills. Hence, economic operators could import dumped or subsidised products and place them under customs warehousing or inward processing, keep them under temporary storage or in a free zone and finally supply them to the EEZ or continental shelf of a Member State; and a customs debt would not be incurred, as this operation was categorised as a re-export.  The new Regulation has effect in all Member States from 3rd November.


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Author: raytodd2017

Chartered Legal Executive and former senior manager with Isle of Man Customs and Excise, where I was (amongst other things) Sanctions Officer (for UN/EU sanctions), Export Licensing Officer and Manager of the Legal-Library & Collectorate Support Section

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