Britain Is Officially "Off Europe", What Are The Impact Of Textile Enterprises?

London local time on January 31st 23 points, that is, Beijing time February 1st at 7 o'clock, Britain officially withdrew from the EU. In January 31st, the headquarters of the European Union, Brussels, Belgium, did not carry out any special activities because of Britain's official "off Europe".

European Union moves British flag

Just a few hours before that evening, the British official "off Europe", at the entrance of the European Council Building in Brussels, two staff members removed the British flag, which was originally placed with the flag of other European Union countries, which took less than a minute. It is understood that the British flag, which has witnessed the history, may be collected in a museum in Brussels. About 25 minutes later, the British flag was lowered on the flagpole outside the European Parliament building in Brussels. The British flag is also said to be collected in the museum.

On the afternoon of January 31st local time, the United Kingdom had removed the EU flag outside the Brussels representative office in the EU, leaving only the British flag on the flagpole.

Since the beginning of the British accession to the European Union in 1973, the United Kingdom and the European Union have had 46 years of bedfellows, and now they end up breaking up. So how can the textile and garment enterprises cope with the problem? How can the textile and garment enterprises cope with it? In the remaining 11 months of the transition period, the UK's EORI can still be cleared in other European countries until December 31, 2020.

Britain's main influence on trade after its withdrawal from Europe

First, the EU custom duties no longer apply.

The regional integration of the European Union has the nature of the customs union, setting up common tariffs on the outside, and achieving trade liberalization internally. This means that the Member States will transfer the tariff making power to the European Union and can not negotiate trade agreements with other countries outside the alliance independently.

After the withdrawal of euro, trade between China and Britain will be operated according to the rules of the World Trade Organization (WTO).

Two, customs clearance of goods entering and leaving the European Union and the United Kingdom becomes more complicated.

Under the unified customs system of the EU, goods entering and leaving the EU do not need to repeat customs clearance and tax payment procedures. Apart from Europe, the United Kingdom and the European Union will be independent customs operation systems. The original EU unified HS system is bound to be volatile, and goods will be more complex than before.

After the success of the European Union, the UK will comply with the EU customs 24 hours (EU24HR) advance manifest system as any other non EU countries.

The EU24HR rules require the shipping company to make an entry declaration (ENS) to all relevant customs for all goods loaded on one or more European ports. That is to say, all goods transported to the European Union and transit through the European Union or the ports at the ports of the European Union are required to submit complete and accurate ENS information to the customs of the first European Union country before the ship arrives at the port of departure.

Three, the mutual recognition of AEO between Chinese customs and the European Union is affected.

Even if Britain postpones the AEO recognition between the EU and China, the two countries still need to make separate mutual recognition contracts, which is the most ideal result. If there is a disagreement between the British customs and the Chinese customs, the two sides will have to restart the negotiations, leading to the disappearance of the previous customs dividend.

Four, the EORI number will fail in the EU.

The EORI number is an essential registration number in European Union countries, especially those with import and export businesses. It is used to identify every import and export trade declared by an enterprise, trader or individual. As long as the registration number is obtained in the customs of the enterprise, it is universal in the EU.

remind

After successfully depart from Europe, the EORI number of GB will be invalidated in the EU. British companies can apply for EU EORI numbers in other EU countries beforehand. From the point of view of logistics companies, remind the owner of the following points:

1, apply for EU EORI as soon as possible.

Many sellers used to be a GB EORI to solve customs clearance problems in Europe. The EORI number of EU countries is universal and unique, so GB can not do it now. It is imperative to apply for EORI of EU countries as soon as possible. The German market is relatively large. It is recommended to apply for German EORI, that is, the EORI beginning with DE. Of course, enterprises have their own emphases and can choose which country to apply for.

2 how to apply for the German EORI?

EORI is applied to the customs, it can apply online, but it needs to provide the local address to receive the EORI notification. Therefore, it is suggested that we should find a German tax agent to do so. Generally speaking, it takes 1-2 weeks to apply for the German EORI, but it does not exclude the situation that the system is paralyzed due to the surge in demand, just like what happened before the German VAT application was not long ago. The application materials include: German local tax identification number, German VAT tax number, German tax agent office and other related information.

3 customs clearance options and reminders

Time is pressing. It is suggested that we should apply for air transportation directly to the German channel, and apply for the German EORI as soon as possible. As soon as we take the shipping channel, we suggest that we should choose the regulatory clearance as far as possible and apply it as slowly as possible, and that the regulatory warehouse can serve as a transitional period. If we do not want to take the risk of Customs at this very moment, a more prudent method can be temporarily transported to Germany through our European dual channel.

If the United Kingdom leaves the EU without a deal, all trade with Europe will be carried out in accordance with the provisions of the WTO. Under the WTO tariff, British exports to the EU account for 48% of total exports, and will be subject to trade weighted average tariff of 5.7%, while the EU's exports to the UK (16% of total EU exports) will face 4.3% tariffs. Some researchers pointed out: "trade also has significant non-tariff barriers, including customs control, new frontier inspection, especially regulation of food and agricultural products, and regulatory barriers."

What is the development trend of bilateral trade between China and Britain?

Following the return of Hongkong in 1997, China and the United Kingdom further deepened their trade cooperation. In 1998, China and the United Kingdom established a comprehensive partnership, and the trade volume between the two countries accelerated gradually from a steady pace of 1997. In May 2004, China and Britain established a comprehensive strategic partnership. In 2018, bilateral trade in goods between Britain and China amounted to US $82 billion 100 million, an increase of 12% over the same period last year, according to statistics from the British customs and Customs Administration (H.M.RevenueandCustoms). China is the sixth largest export market and the fourth largest source of imports in the UK. The UK exports 28 billion 330 million to China, the UK imports 53 billion 760 million from China, and the British trade deficit is 25 billion 430 million US dollars. In the past few years, the plan of "Britain to Europe" has not been conclusive, but there is no doubt that the "Britain off Europe" plan is bound to have a certain impact on the development of bilateral trade between China and Britain.

The influence of "Britain off Europe" on Sino British bilateral trade

There is no doubt that the "Britain off Europe" plan is bound to have a certain impact on the development of bilateral trade between China and Britain. Britain's departure from Europe will change the world economic structure and will have a series of effects on Sino British trade. On the one hand, Britain no longer enjoys the preferential trade terms such as zero tariffs as EU Member States, which will weaken the import and export trade relationship between the UK and the EU Member States, thereby increasing the opportunities for Sino British trade cooperation, expanding the scale of trade between China and Britain, and implementing a new Sino British trade policy. On the other hand, Britain's departure from Europe will affect the import and export balance of China's trade with the United Kingdom, which may lead to a decrease in trade balance.

The United Kingdom has brought opportunities and challenges to Sino British trade development. China should seize the opportunity to negotiate and reach a consensus with the United Kingdom on trade facilitation and strive to bring more benefits to our country, while reducing the cost of export trade, continuously developing new products and enhancing the competitiveness of international trade, so as to win more trade shares. At the same time, China should also make full preparations for the following challenges, actively adjust monetary and exchange rate policies, do a good job in observing the exchange rate of sterling, and respond to the impact of the pound's decline on Sino British trade, and then optimize the Sino British trade structure and fundamentally promote the development of trade between China and Britain.