On 17th May 2023, the EU Commission released a comprehensive package of proposed EU customs reforms which will represent the biggest changes to the EU customs union since its inception; modernising & digitally overhauling the current customs system.Due to the unprecedented increase in global trade since 2020, particularly in the e-commerce sector, the current customs system cannot effectively monitor imports into the single market; and the large number of EU customs regulations & complexities creates the opportunity for customs fraud.The EU commission aims to tackle the above inefficiencies by implementing a data-driven, risk-based approach to customs, reducing administrative burdens for both EU customs authorities & businesses alike; while increasing effectiveness of the EU customs ability to detect non-compliant or fraudulent imports.Removal of the current duties threshold and the introduction of a new simplified duties regime for e-commerce is expected to further reduce duty avoidance in this area, and generating additional revenue for EU member states of over 1 billion EUR per annum.
Source: meridianglobalservices.com
