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Brexit the new word for chaos and uncertainty ?

Join Uwe Liebschner, Consultant at dbh Logistics IT AG, as he discusses the impact of Brexit on customs and foreign trade. Learn about the key issues in logistics, the situation of forwarding companies, and important considerations in a no-deal scenario.

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Brexit the new word for chaos and uncertainty ?

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  1. Brexitthenewwordforchaosanduncertainty ?

  2. YOUR SPEAKER Uwe Liebschner Consultant Customs & Foreign Tradedbh Logistics IT AG, Bremen Chairman of International Port Community Systems Association Customs Committee

  3. whois dbh ?

  4. dbh OVERVIEW Established in 1973 / 210 Employees 8 Locations in Germany, 1 in theNetherlands Turnover2017: 19,5 Mio. € • 2,700 Customers worldwide • ISO 9001, ISO 27001 and AEO-S certificated • Two own high-performance data centers in Germany

  5. dbh Solutions Consulting Transport Management CustomsandForeign Trade Compliance & Risk Management SAP Solutions Port Industries Cloud Services

  6. Figures + FaCts

  7. Logistics – keyissues • Maritime Logistics • Clearance via EU ports • Situation regardingoverseaconsignmentsfromthe UK? = Feeder-transports • Ro-Ro • Zeebrügge = largestPartner fortheUK • Cuxhaven = also Ro-Rowith UK; 50 % goestothe UK • Road • Infrastructure Dover

  8. Infrastructure Dover - road Road – Tunnel 11.600 lorries per day Source: Charles Kendall

  9. Infrastructure Dover - port Terminal Source: Charles Kendall

  10. Brexit – Figures UKlogistics • 13 % of lorrydriversand 26 % of warehousestaffisfromthe EU • Vacantlorrydriverjobs in the UK = apprx. 30.000 • Around 400.000 EUemployeesareworking in the UK logistics • 48 % of UK exportgoesintothe EU; 9,6 % of Intra-EU movementsgoesintothe UK (sources: UK Office for National Statistics + Eurostat) Future (UK National Audit Service)  • Expectation of an increase of declarationsfrom55 mio.upto255 mio. • The largestvolumeishandled via Rotterdam andBelgium

  11. Licences What´saboutthesituation of forwardingcompanies ? • Drivinglicence • International DrivingLicencenecessary ?! • EU Community licenceforroadhaulage ?  • EU adviceisthattheyhaveadopted a proposaltoallow UK operatorstotemporarily (ninemonthsuntil end of 2019) carry goodsintothe EU, providedthe UK confersequivalentrightsto EU roadhaulageoperators. (UK haveconfirmedthisandmet all conditions) – still pending • Community licence after Brexitisnolonger valid = applyfor an ECMT (European Conference of Ministers of Transport international roadhaulagepermit )

  12. The UK Department for Environment, Food, and Rural Affairsissetto hold an "emergency" meetingwithbusinessleaders on Tuesday (it was on the 26/02/2019). • Theyareexpectedtodiscussemergencyno-deal Brexitplans after thegovernmentconfirmed last weekthatitdoes not haveenoughpalletsforUK companiestoexporttothe European Union in a no-deal Brexit.

  13. Usefulinformation European Commission implements “no-deal” Contingency Action Plan in specific sectors (LT) Information fromthe RHA (The Road HaulierAssociation in the UK) UK GOV: International road haulage - operator licences and permits HM Revenue and Customs simplifies importing from the EU as part of 'no deal' preparation

  14. Process - Customs

  15. Possible future scenario EU UK Export Declaration Simplified Frontier Declaration EXD Freight Forwarder SD Local Customs Border Customs Border Customs No physical checks SFD 5 Summary Declaration 1 6 2 4 Loading Permission ~ 1 min Automated Release Authorisation Authorisation Consignor Consignee EXN IMD 7 3 8 Import Declaration Exit Notice Records Source: Charles Kendall

  16. Importantelements (no-deal) Key questions • Riskanalysis - Entry Summary Declaration • UK = HMRC announcedtomaintainthestatus quo after the 29th March for at least a 6 monthstransition  no ENS tolodge ! • EU = ENS isrequired !!! • EORI number • All EORI numbers of UK economicoperatorsarenolonger valid in the EU • Fortradingwiththe EU intothe UK = UK economicoperatorshavetoapplyfor a UK EORI (only valid in the UK)

  17. Importantelements (no-deal) Key questions • Simplifications UK – practicalside • Normal: Customs FreightSimplifiedProcedures • Simplifiedfrontierdeclaration incl. thereferencetothecustomsinventory (PCS´s) • Supplementarydeclaration • Brexit: TransitionalSimplifiedProcedures (TSP) = forthe time of at least 15 monthsthissimplificationcanbeused (at thecurrentstate of playforRo-Ro) • ImporterBadge = specialauthorisation / collaborationbetween PCS and HMRC • Non inventorydeclaration • EIDR themostcomfortablescenario (supplementarydeclaration + paymentlater)

  18. Importantelements (no-deal) Whatelse ?  • Transit convention – use of NCTS ? • EU + EFTA agreedtokeepthe UK on board = the UK hasratifiedthe „Transit Convention“ on 30 January  meansthetransit T1 (byusing NCTS) will be a possiblescenariotoavoidbiggerchaos at theborders • Excisegoods • Nouse of EMCS possible • Issue also fortradingbetweenthecontinentandIrelandbycrossingthe UK = only NCTS (guarantees ?!)

  19. Importantelements (no-deal) Export out of the EU (here Germany)  • Exit procedure in the German ports – importanttoknow ! • Port order = • Reference number of theexportprocedureneeded  automaticalexithandlingstarts (link tothe German ATLAS system) • In thecase of a No-Deal scenario an exportprocedureisrequired ! • Ifthereis in parallel a transitprocedure in place = treatment of thetransitisdonedirectlybycustoms / but also referenceisnecessary in theportorder

  20. What´sthe plan a Ms. May?

  21. ThankYou / Labaiačiū

  22. ARE YOU READY FOR IndustrY 4.0?

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