EU duty suspensions and tariff quotas regime

This scheme is designed to help the continuation of EU manufacturing by allowing the duty-free import of raw materials, components and semi-finished products which cannot be supplied (or supplied in sufficient quantities) – regardless of price - from manufacturing facilities within the EU. Duty suspensions allow unlimited imports whilst quotas allow limited quantities to be imported.

How does the regime work

The basic rules are that:

Imported product is further processed to make “something else”.
Annual 20,000 Euro duty saving (Approx £14,000).
Product must not be available in the EU (or only available in limited quantities).
Applicant(s) must be established in EU.

The deadline for applications is 15 March and 15 September each year. Applications submitted by 15 March will, if successful, become operative on 1 January the following year, and if submitted by 15 September on 1 July the following year. EU Member State authorities check that there is no domestic manufacturing. For more detailed information or If you would like to make an application under this regime, then please go to Duty Suspensions and Tariff Quotas - BERR and send the electronic form to phil.walker@berr.gsi.gov.uk .

Can I use a current suspension or quota

Once a duty suspension or quota is in force, it can be used by any company established in the EU. There is no need to make an application. The EU Regulation listing the current duty suspensions and quotas in force is at Duty Suspensions and Tariff Quotas - BERR.

Commission review of this regime

The Commission have begun a review of all current suspensions and quotas. Member States are being asked to confirm that these still meet the rules (in particular the 20,000 Euro annual duty saving). Member States have until 1 April 2008 to make an application to maintain a current suspension or quota.

The Government wants to ensure that no suspension or quota of use to UK business is removed and that any uncertainty is removed as soon as possible. We want the burden of this exercise to fall on Government rather than on companies and are currently seeking confirmation that Member States can make “simplified” applications rather than full re-applications.

We would ask that current users contact Phil.walker@berr.gsi.gov.uk with their company details as well as the suspensions and quotas under this regime that they use as soon as possible. This information will be used to update our database so that you can be informed of any proposed change to a suspension or quota that you are interested.