As I mentioned in the previous edition of our newsletter, the European Union is in the process of revising the Union Customs Code (UCC). This process is still ongoing and subject to various changes. However, we can already confirm that the introduction of the UCC marks a significant step towards the modernisation and digitalisation of customs processes. These changes are designed to enhance efficiency, strengthen compliance, and reduce the administrative burden on businesses. In this article, we will briefly discuss the key digitalisation-related adjustments and their impact.

European Data Hub

One of the most notable changes is the establishment of a central EU data hub. This hub will serve as a central point where European customs authorities and other regulatory bodies can retrieve and add data. This system will create greater coherence and efficiency in customs procedures, reducing processing times and minimizing errors.

Access to Business Records

The new UCC provides for direct access to business records. This means that customs authorities will have direct access to relevant company data, significantly improving customs compliance and monitoring. Businesses must ensure that their records are up-to-date and accurate to meet these new requirements.

Trust and Check (T&C)

The Trust and Check (T&C) system is an innovative replacement or supplement to the Authorised Economic Operator (AEO) status. This system offers businesses more facilities and simplifies customs compliance. It functions similarly to the current VAT declaration system, allowing companies to spend less time and resources on customs formalities.

Customs Agency

To ensure a level playing field within the EU and improve compliance with customs regulations, a new customs agency is being established. This agency will oversee the implementation of the UCC and ensure that all member states apply the rules consistently. This is expected to lead to a fairer and more transparent trading environment within the EU.

Conclusion

The digitalization of customs processes in the new UCC marks an important step towards a more efficient and modern customs system. With the introduction of a central data hub, improved access to business records, the Trust and Check system, and the establishment of a new customs agency, compliance will be strengthened, and administrative burdens on businesses will be reduced. These changes will facilitate trade within the EU and contribute to a more integrated internal market.

If you would like to explore this topic further, feel free to reach out to us through the usual channels. In the next newsletter, I will delve deeper into the proposed simplifications.

27 Feb 2025 at 10:03 am

3 min