2026/2108

19.9.2026

REGULATION (EU) 2026/2108 OF THE EUROPEAN PARLIAMENT AND OF THE COUNCIL

of 16 September 2026

establishing the Union Customs Code and the European Union Customs Authority, and repealing Regulation (EU) No 952/2013

(Text with EEA relevance)

THE EUROPEAN PARLIAMENT AND THE COUNCIL OF THE EUROPEAN UNION,

Having regard to the Treaty on the Functioning of the European Union, and in particular Articles 33, 114 and 207 thereof,

Having regard to the proposal from the European Commission,

After transmission of the draft legislative act to the national parliaments,

Having regard to the opinion of the European Economic and Social Committee (1),

Acting in accordance with the ordinary legislative procedure (2),

Whereas:

(1) The Union and the functioning of the internal market are based upon the customs union. In the interests both of economic operators and of the customs authorities in the Union, Regulation (EU) No 952/2013 of the European Parliament and of the Council (3) assembled in a single act, the Union Customs Code, customs legislation that previously contained in several different legal acts. That Regulation contains the general rules and procedures for ensuring the implementation of the tariff measures and other measures introduced at Union level in connection with trade in goods between the Union and countries or territories outside the customs territory of the Union, and the provisions relating to the collection of import duties. Member States’ customs authorities are responsible for implementing those rules by way of operational tasks such as applying customs procedures, carrying out risk analysis and controls, and applying penalties in the event of infringements of the customs legislation.

(2) The implementation of Regulation (EU) No 952/2013 has disclosed weaknesses in several areas. Those weaknesses include: insufficient or ineffective action in ensuring the protection of the Union and its citizens against non-financial risks applicable to goods established by Union policies other than customs legislation; the limited capacity of customs authorities to effectively handle the increasing volume of goods imported from third countries via distance sales (e-commerce transactions); the limited capacity of the IT systems architecture created by Regulation (EU) No 952/2013 to digitalise customs processes in order to keep up with the pace of technological progress, and in particular technologies based on the exploitation of data; and the lack of effective governance structures of the customs union, resulting in divergent practices and non-uniform implementation of the customs rules in the Member States. Those weaknesses lead to the emergence of obstacles to the proper functioning of the customs union, and therefore of the internal market, due to the internal and external risks and threats.

(3) It is appropriate that customs legislation take account of the rapid development of global trade patterns, technology, business models and the needs of stakeholders, including businesses, consumers and residents. Therefore, a great number of amendments need to be made to Regulation (EU) No 952/2013. In the interests of clarity, that Regulation should be repealed and replaced.

(4) In order to provide for effective means of achieving the objectives of the customs union, a number of rules and procedures regulating how goods are brought into or taken out of the customs territory of the Union should be revised, simplified and harmonised. A modern, integrated set of interoperable electronic services should be provided for collecting, processing and exchanging information relevant for implementing customs legislation, namely the European Union Customs Data Hub (the ‘EU Customs Data Hub’). A European Union Customs Authority (the ‘EU Customs Authority’) should be established as a central, operational body providing capacity for the coordinated governance of the customs union in specific areas.

(5) Since the adoption of Regulation (EU) No 952/2013, the role of customs authorities has evolved to increasingly cover the application of Union and national law laying down requirements for goods subject to customs supervision, in particular the non-financial requirements for goods that are necessary for such goods to enter into and circulate in the internal market. Such non-financial requirements have increased exponentially over the years in line with the growing expectations of Union businesses and residents regarding safety, security, accessibility for persons with disabilities, sustainability, human, animal and plant health and life, the environment, protection of human rights and intellectual property rights, and Union values. New tools, such as the digital product passport established by Regulation (EU) 2024/1781 of the European Parliament and of the Council (4), are to be introduced to ensure that other legislation applied by the customs authorities, as defined in this Regulation, related to products continues to respond to those expectations. It is therefore necessary to reflect the increasing number and complexity of non-financial risks by including in the mission of customs authorities a specific reference to the protection of the public interests within their competence and, where appropriate, in close cooperation with other competent authorities.

(6) In light of the evolution of the role of customs authorities and of the business models within which they operate, and in order for customs authorities to ‘act as one’ and to contribute to the smooth functioning of the internal market, it is necessary to describe more precisely the mission that customs authorities have to achieve by indicating more accurately their objectives and tasks. Furthermore, rapid technological evolution, in particular of artificial intelligence, will have a significant impact on the activities of customs authorities, including in the area of real-time risk analysis.

(7) While striving to achieve their mission, customs authorities should also aim for cost-efficiency by avoiding duplication and by promoting effectiveness in customs processes and an efficient use of related resources at Union and national level. They should gather, analyse and exchange relevant information to support evidence-based decision making. Where the internal market emergency mode has been activated in accordance with Regulation (EU) 2024/2747 of the European Parliament and of the Council (5), customs authorities can contribute to the flow of crisis-relevant goods.

(8) It is appropriate to maintain in this Regulation a legal framework for the application of certain provisions of the customs legislation to trade in Union goods between parts of the customs territory to which Council Directive 2006/112/EC (6) or (EU) 2020/262 (7) apply and parts of that territory where those Directives do not apply, or to trade in Union goods between parts of that territory where those Directives do not apply. Considering that the traded goods concerned are Union goods and considering the fiscal nature of the measures relevant to that intra-Union trade, it is justified to introduce appropriate simplifications to the customs formalities to be applied to such goods.

(9) Certain definitions set out in Regulation (EU) No 952/2013 should be adapted to take account of the broader scope of this Regulation, to align them with those set out in other Union legal acts, and to clarify terminology having different meanings in different sectors. New definitions should be included in customs legislation to clarify the roles and responsibilities of certain actors in the customs processes. In the case of the importer and the exporter, new definitions should make those persons responsible towards customs authorities for compliance of the goods with which those persons deal, including for financial and non-financial risks, in accordance with product-specific legislation, in order to strengthen customs supervision. Regarding the new concept of ‘importer for distance sales’, new definitions should ensure that in some cases, in the context of an online sale from outside the Union, an economic operator, as opposed to the consumer, is considered as the importer and is obliged to assume the corresponding responsibilities, and should ensure that the relevant economic operator is obliged to comply with the relevant customs legislation and other legislation applied by the customs authorities when the goods enter or exit the customs territory of the Union and to provide or make available, and keep, appropriate records of such compliance. New definitions should also be introduced in relation to the broader scope of the provisions of customs supervision, risk management and customs controls. It should also be clarified that, where the definitions contained in Union customs legislation refer to customs provisions contained in international agreements, that includes the relevant multilateral environmental agreements to which the Union and the Member States are a party, to the extent that the latter agreements regulate the conformity of goods.

(10) Beyond their traditional role of collecting customs duties, VAT and excise duty and applying customs legislation, customs authorities also play a critical role in enforcing other Union legal acts and, where applicable, other relevant national legislation. A definition of ‘other legislation applied by the customs authorities’ should be introduced in order to build an effective framework for regulating the application and supervision of the particular requirements on goods laid down in those legal acts. The notion of other legislation applied by the customs authorities should include measures justified on the basis of public morality, public policy or public security, protection of the health and life of humans, animals or plants, protection of the environment, protection of national treasures possessing artistic, historic or archaeological value and protection of industrial or commercial property and other public interests, including controls on drug precursors, goods infringing certain intellectual property rights and cash, as well as commercial policy measures, fishery conservation and management measures, and restrictive measures adopted on the basis of Article 215 of the Treaty on the Functioning of the European Union (TFEU). Divergences in national lists of prohibitions and restrictions create significant difficulties for importing into multiple Member States. In order to facilitate trade and the functioning of customs, it is important that the Union works to gradually harmonise national lists of prohibitions and restrictions. Furthermore, it is important to adopt harmonised definitions of the legal terms used where prohibitions and restrictions are provided for in order to avoid diverging interpretations by Member States.

(11) In order to increase legal clarity, certain rules regarding customs decisions should be amended. First, it is appropriate to clarify that the competent customs authority for taking a customs decision is the competent customs authority for the place where the applicant is established, because establishment is the main principle according to which certain economic operators, under certain conditions and in a pre-determined time frame, subject to review, can benefit from the simplifications introduced by this Regulation and pay customs duties where they are established. Second, the 30-day time limit by which an applicant is to provide additional information to customs authorities if they consider that the application for a customs decision does not contain all the information required should also be introduced for the sake of completeness and legal clarity.

(12) The consequence of failure by a customs authority to take a decision on an application within the established time limits should be clarified. The principle that in such cases the application is deemed to be the subject of a negative decision and that the applicant may lodge an appeal, in accordance with the general rules on customs decisions, should also be established.

(13) As highlighted by the Court of Auditors in its Special Report No 4/2021 entitled ‘Customs controls: insufficient harmonisation hampers EU financial interests’ and in the evaluation of the implementation of Regulation (EU) No 952/2013, it is also desirable to address the lack of uniform monitoring of the fulfilment of the criteria and the compliance with the obligations set out in customs decisions by reinforcing the relevant provisions. On one side, the holders of customs decisions should not only comply with obligations set out in the relevant decision but also monitor on a continuous basis their compliance and provide for an internal organisation through which such self-monitoring activities can prevent, mitigate or remedy any possible errors in their customs processes. On the other side, customs authorities should regularly monitor the implementation of customs decisions by the holders of such decisions, in particular where those holders are established in the customs territory of the Union for less than three years and are therefore potentially more likely to cause risks, in order to ensure that the holder complies with the obligations established by that decision. Where customs authorities become aware that a holder of a customs decision no longer fulfils the criteria or complies with the obligations set out in that decision, they should take appropriate actions without undue delay, in accordance with the applicable rules. This is particularly relevant when those persons benefit from a specific status, such as that of authorised economic operator or Trust and Check trader, and therefore enjoy certain facilitations in customs processes. In addition, in order to strengthen risk management at Union level, customs authorities should notify the EU Customs Authority of all customs decisions taken further to an application and inform it about the monitoring activities, so that that information can be taken into account for risk management purposes.

(14) In addition to the decisions relating to binding tariff information (‘BTI decisions’) and decisions relating to binding origin information (‘BOI decisions’) adopted by customs authorities upon application and subject to certain conditions, decisions relating to binding valuation information (‘BVI decisions’) have been introduced in customs legislation through Commission Delegated Regulation (EU) 2024/1072 (8). In the interest of the users of customs legislation, it is appropriate to lay down in the same legal act the rules regarding those three types of decisions relating to binding information.

(15) The rights and obligations of the persons responsible for goods entering into and exiting from the customs territory of the Union should be more clearly defined. Persons having regular customs operations should continue to be registered with the customs authorities responsible for the place where they are established. A single registration should be valid for the whole customs union but should be kept up to date. Economic operators should therefore have the obligation to inform the customs authorities about any change in their registration data. The persons responsible for goods entering into and exiting from the customs territory of the Union should ensure that the goods comply with the applicable law, including rules protecting the safety and security of residents, as well as legislation aimed at preventing risks to human, animal or plant health and life, the environment or consumers, such as Regulation (EU) 2023/988 of the European Parliament and of the Council (9) concerning general product safety, Directive (EU) 2024/2853 of the European Parliament and of the Council (10) concerning product liability and Regulation (EU) 2019/1020 of the European Parliament and of the Council (11) concerning market surveillance and compliance of products. The obligations of the importer should also be laid down, in particular the obligation to be established in the customs territory of the Union and the exceptions to that obligation. Those obligations should follow the existing rules for the declarant to be established in the Union. Similarly, the obligations of the exporter should be laid down.

(16) Where the person supplying goods in distance sales or facilitating distance sales of goods indicates that he or she is acting as the importer, that person should ensure that the goods comply with the customs legislation and other legislation applied by the customs authorities for placing products on the internal market of the Union.

(17) Economic operators meeting certain criteria and conditions to be considered compliant and trustworthy traders by customs authorities can be granted the status of authorised economic operator and thereby benefit from facilitations in customs processes. Although it ensures that the traders dealing with most of Union trade are trustworthy, the authorised economic operator scheme suffers from certain weaknesses highlighted in the evaluation of Regulation (EU) No 952/2013 and in the findings of the Court of Auditors. To deal with those concerns, in particular about divergent national practices and about challenges regarding monitoring the compliance of authorised economic operators, the relevant rules should be amended to introduce an obligation on the customs authorities to monitor that compliance at least every three years.

(18) Changes in the customs processes and in the way customs authorities operate necessitate a new partnership between customs authorities and economic operators, namely the Trust and Check traders scheme. The criteria and conditions for becoming a Trust and Check trader should build on the criteria for the status of authorised economic operator but should also ensure that the trader is considered transparent for the customs authorities. It is therefore appropriate to require Trust and Check traders to grant the customs authorities access to their electronic systems keeping record of their compliance and the movement of their goods, provided that such access is proportionate and strictly necessary. Such transparency should be accompanied by certain benefits, which can include the possibility to release the goods on behalf of customs authorities without the necessity for their active intervention, except where a pre-release approval is required by other legislation applied by the customs authorities, and to defer the payment of the customs debt. The Trust and Check trader status should not be given to persons who committed repeated or serious infringements of other legislation applied by the customs authorities.

(19) To ensure the integrity of the customs union and consistent application of the Trust and Check trader status by the customs authorities of the Member States, it is necessary to establish a mechanism allowing the EU Customs Authority and the Commission to intervene in cases where there are indications of non-compliance by a trader having Trust and Check trader status. Such a mechanism should enable the EU Customs Authority, in cooperation with the competent customs authorities, to verify compliance with the requirements of Trust and Check trader status, particularly when a Member State other than the one where the trader is established has reasonable doubts about the trader’s compliance. That mechanism is essential to prevent unlawful application of the Trust and Check trader status and prevent backdoor entry into the customs territory of the Union. To prevent disparities in enforcement, where the Member State of establishment fails to act in a timely or appropriate manner, the Commission should be empowered to intervene via implementing act requiring that Member State to suspend or revoke the Trust and Check trader status.

(20) The option to operate a customs warehouse for distance sales should, in combination with other provisions on distance sales and simplifications, incentivise the use of bulk quantities rather than parcels, making the flow of individual parcels more manageable for customs authorities. A customs warehouse for distance sales should provide for releasing goods for free circulation at the moment of sale and outbound of the warehouse, meaning that at the moment of placing goods in the warehouse the goods need to meet the conditions that would be applicable to them if they were placed on the Union market at that moment. Customs authorities should be able to check whether the goods brought in bulk quantities comply with Union market rules at the moment of entry into the customs warehouse. Such customs warehouse for distance sales should only be available for economic operators that meet the trustworthiness criteria of Trust and Check trader status, to avoid misuse by non-trustworthy economic operators.

(21) Changes in the customs processes also necessitate clarification of the role of customs representatives. Both direct and indirect representation should continue to be possible, but it should be clarified that the indirect representative of an importer or an exporter assumes all the obligations of that importer or exporter, meaning not only the obligation to pay or guarantee the customs debt but also compliance with other legislation applied by the customs authorities. For that reason, customs representatives need to be resident in the customs territory of the Union, where they represent importers or exporters, to ensure proper accountability for financial and non-financial aspects of the importers’ and exporters’ obligations. The use of an indirect customs representative established in the Union is therefore an available and proportionate alternative for importers and exporters who do not have a commercial presence in the Union. Moreover, customs representatives established in third countries should be able to continue providing their services in the Union where they represent persons who are not required to be established within the customs territory of the Union.

(22) Micro, small and medium-sized enterprises, as defined in Commission Recommendation 2003/361/EC (12), play a vital role in the Union’s external trade but often face proportionately higher administrative and compliance burdens in fulfilling customs requirements. It is therefore important to take account of their specific situation and support measures that facilitate their compliance, including through simplified procedures, clear guidance and accessible customs representation. Guidelines should be adopted with a view to supporting micro, small and medium-sized enterprises, recognising the unique challenges such enterprises face, while maintaining the integrity and security of external trade processes when applying the status of authorised economic operator and Trust and Check trader. Continuous efforts should be made to simplify and make more accessible the procedures for micro, small and medium-sized enterprises, ensuring their vital role in the Union’s external trade is facilitated and promoted.

(23) In order to ensure a uniform level of digitalisation and to create a level playing field for economic operators in all Member States as well as contributing to the smooth functioning of the internal market, an EU Customs Data Hub should be established as a set of centralised, secure and cyber-resilient electronic services and systems for customs purposes. The EU Customs Data Hub should allow for the implementation of the customs legislation, such as: customs formalities; customs controls; calculation and notification of the customs debt, Union handling fee, excise duty and VAT; guarantee management; and customs surveillance of goods. The EU Customs Data Hub should also contribute to the implementation of other legislation applied by the customs authorities. It should ensure the quality, integrity, traceability and non-repudiation of data processed therein, so that neither sender nor recipient can later dispute the existence of the exchange of data. Data processing in the EU Customs Data Hub should comply with the relevant rules for cybersecurity and the processing of personal data. The Commission and the EU Customs Authority in cooperation with the Member States should jointly design the EU Customs Data Hub. The Commission should also be given the task of developing, operating and maintaining the EU Customs Data Hub and should be able to entrust that task to the EU Customs Authority.

(24) Having regard to the role of the EU Customs Data Hub in ensuring the integrity and security of data treated in the Union for customs purposes, which constitutes a public interest and can be considered a fundamental interest of society, it is necessary to protect the data managed in the EU Customs Data Hub, including personal data and other sensitive data relating to the flow of goods and the implementation of Union and national law, from unauthorised access and any other threat to the integrity and security of such data. It is therefore necessary that the infrastructure and services through which the EU Customs Data Hub operates be made subject to certain conditions to ensure Union sovereignty in that respect. Respect of those conditions should be demonstrated through evidence and, in the case of critical services, it is important that that evidence be complemented by security screening of natural and legal persons, as provided for under Union or national law. Furthermore, the EU Customs Data Hub should be designed as far as possible to avoid vendor lock-in situations.

(25) In order to ensure the reliability, interoperability and long-term sustainability of the EU Customs Data Hub, it is important that its development and maintenance adhere to internationally recognised standards and best practices in software engineering, system testing, piloting and acceptance procedures. That includes comprehensive functional and non-functional testing, structured pilot phases involving representative stakeholders, and clearly defined acceptance criteria to validate performance, compliance and security. Those measures are meant to ensure that the system can support harmonised customs formalities across the Union and meets the operational requirements of Member States and economic operators alike.

(26) Activities implementing the EU Customs Data Hub should include measures to ensure its uninterrupted availability and operation, even in the event of a serious crisis. Business continuity measures should include, in particular, redundancy, failover mechanisms and data-recovery protocols, as well as procedures to follow in the event of unavailability or failure of the EU Customs Data Hub. Where the EU Customs Data Hub relies on physical infrastructure, redundant solutions in geographically dispersed sites should be considered to ensure business continuity in the event of failure of one site.

(27) The EU Customs Data Hub aims to replace the existing electronic systems developed by the Member States and the Commission pursuant to Article 16(1) of Regulation (EU) No 952/2013, some of which are being progressively phased out in the course of the transition. Those existing national electronic systems will not be revived in the event that the EU Customs Data Hub functionalities are not available within the set deadlines. Therefore, a temporary solution should be provided for such a case. In line with recent case-law of the Court of Justice of the European Union (13), it is appropriate to clarify that the automated exchange of information between economic operators, customs authorities and other stakeholders through and by the EU Customs Data Hub does not exclude the responsibility of those authorities or of those economic operators in relation to the customs processes concerned. Even where the involvement of a customs authority in the adoption of a measure is limited to electronic communication via the EU Customs Data Hub, it should be considered that the measure in question is adopted by that authority, as if the EU Customs data Hub acted on its behalf.

(28) The EU Customs Data Hub should enable the exchange of data with other systems, platforms or environments for the purpose of increasing the quality of data used by customs in fulfilling their tasks, as well as for sharing relevant customs data with other authorities, in order to increase the effectiveness of controls in the internal market. In line with the approach set out in Regulation (EU) 2024/903 of the European Parliament and of the Council (14) and the Commission Communication of 23 March 2017 entitled ‘European Interoperability Framework – Implementation Strategy’, the EU Customs Data Hub should foster cross-border and cross-sector interoperability in Europe. It should exploit the potential of existing sources of risk information available at Union level, such as the rapid alert systems for food and feed (RASFF) and for non-food products (Safety Gate), the Information and Communication System for Market Surveillance (ICSMS) and the IP Enforcement Portal. It should underpin the development of strategic and operational cooperation, including information exchange and interoperability, between customs and other authorities, bodies and services, within their respective competences. Moreover, the EU Customs Data Hub should provide a wide range of advanced data analytics, also including through the use of artificial intelligence. That data analysis should facilitate risk analysis, economic analysis and predictive analysis to anticipate possible risks related to consignments coming into, or moving from, the Union.

(29) To ensure better supervision of trade flows and a streamlined method of collaboration with competent authorities other than customs authorities, the EU Customs Data Hub should be capable of making use of the framework for collaboration under the EU Single Window Environment for Customs and, where that framework cannot be used, offer those other competent authorities a specific service through which they can obtain the relevant data, provide information to and share information with the customs authorities, and make sure that the sectorial requirements are complied with. That specific service would be necessary where the other competent authorities do not have an electronic system that could be federated with the EU Customs Data Hub.

(30) In order to test the functionalities of the EU Customs Data Hub before its entry into operation for all economic operators regardless of their status or the customs process concerned, it is appropriate to allow the Commission to decide to establish a pilot phase, on a voluntary basis. Such a pilot exercise would test the implementation of certain processes and functions on a voluntary basis without legal obligation. For the sake of transparency and the provision of information to interested stakeholders, it is important that the Commission make public the planning, organisation and duration of that pilot phase and the functionalities that are to be applied and tested.

(31) Authorities, businesses, consumers and residents should be able to report goods to be imported into or exported from the Union that are not in compliance with relevant Union legislation applied by the customs authorities. The information reported on those goods should be available in the EU Customs Data Hub and it should be possible to use it for risk management purposes.

(32) Alongside the EU Customs Data Hub, it should remain possible for Member States to develop their own applications to use data from the EU Customs Data Hub. Member States are to ensure that their applications comply with Directive (EU) 2022/2555 of the European Parliament and of the Council (15), in particular in regard to cybersecurity risk-management measures. To decrease the time to market, Member States should be able to entrust the EU Customs Authority with the finances and the mandate to develop such applications. In such cases, the EU Customs Authority should develop the applications for the benefit of all Member States. That could be done by creating non-vendor lock-in open-source code applications following the Sharing and Reuse Framework for IT Solutions.

(33) The EU Customs Data Hub should enable the flow of data. Users should be able to transmit and process in the EU Customs Data Hub all relevant data required to fulfil their obligations under the customs legislation. That data should be processed at Union level and be enriched with Union-wide risk analysis. The resulting data should be made available to Member States’ customs authorities, which then process the data to fulfil their obligations. Finally, the outcome of the controls performed following the processing of data from the EU Customs Data Hub should be reported back to that Data Hub. It is important that the EU Customs Data Hub enable processing of the data available therein with minimum delay.

(34) The data submitted to the EU Customs Data Hub are to a large extent non-personal data submitted by economic operators about the goods they are trading. Nevertheless, those data could also include personal data, in particular the names of individuals acting for an economic operator or an authority. To ensure that personal data and commercial information are equally protected, specific access rules, rules for confidentiality and conditions for the use of the EU Customs Data Hub should be established. In particular, it should be established which entities are able to access or process data available in the EU Customs Data Hub, in addition to the persons concerned, the Commission, the customs authorities and the EU Customs Authority, balancing the needs of those entities with the need to ensure that the personal and confidential data collected for customs purposes are used for additional purposes only to the minimum extent necessary.

(35) Member States should have the possibility to designate, in consultation with the Commission, specific data the disclosure of which would harm the essential interests of their security, to be technically tagged within the EU Customs Data Hub in such a way that any further processing of such data is limited to the competent authorities of the Member State concerned, unless those authorities expressly authorise further processing. The person who transmits the data to the EU Customs Data Hub should clearly set the processing limitations of such data that can be linked to the specific supply chains or the data categories. In order to use that possibility, the Member State concerned should inform the Commission about the specific essential interests of security that are at stake and explain why it considers that those interests could not be sufficiently protected under the general framework of provisions regarding data processing within the EU Customs Data Hub.

(36) Subject to compliance with the data protection rules, especially rules on sensitive customs data and commercially sensitive data, aggregate non-confidential, non-personal and non-commercially sensitive customs data could be made available to third parties for specific purposes upon duly justified request.

(37) To ensure that the European Anti-Fraud Office (OLAF) can exercise its investigation powers in relation to fraudulent activities that are affecting the interests of the Union, it is appropriate that it have access to data from the EU Customs Data Hub that is very similar to the access by the Commission. OLAF should therefore be entitled to process that data in accordance with the conditions relating to data protection set out in the relevant Union legislation, including Regulation (EU, Euratom) No 883/2013 of the European Parliament and of the Council (16) and Council Regulation (EC) No 515/97 (17).

(38) Likewise, the European Public Prosecutor’s Office (EPPO) should be able, upon request, to obtain data available in the EU Customs Data Hub in order to ensure that it can conduct its investigations on customs-related matters.

(39) The European Union Agency for Law Enforcement Cooperation (Europol) should be able, upon request, to obtain data available in the EU Customs Data Hub to perform its tasks as specified in Regulation (EU) 2016/794 of the European Parliament and of the Council (18). The European Border and Coast Guard Agency (Frontex) should be able, upon request, to obtain non-personal data available in the EU Customs Data Hub.

(40) To preserve the functions that are performed in Member States’ national IT systems, the tax authorities of the Member States should have the possibility to process data directly within the EU Customs Data Hub. As such, the authorities responsible for food safety in accordance with Regulation (EU) 2017/625 of the European Parliament and of the Council (19) and the authorities responsible for market surveillance in accordance with Regulation (EU) 2019/1020 should be provided with the right services and tools in the EU Customs Data Hub so that they can use the relevant customs data to contribute to enforcing the relevant Union legislation and for cooperating with customs authorities to minimise the risk that non-compliant products enter the Union.

(41) Pursuant to Article 24 of Council Regulation (EU) 2017/1939 (20), the EU Customs Authority and the competent customs authorities are to report to the EPPO without undue delay any criminal conduct in respect of which the EPPO could exercise its competence in accordance with Article 22 and Article 25(2) and (3) of that Regulation. The EU Customs Authority and competent customs authorities should refrain from taking measures which could jeopardise the confidentiality of any criminal investigation into the same facts undertaken by the competent national judicial or law enforcement authority or by the EPPO.

(42) The rules and provisions regarding access to the EU Customs Data Hub and exchange of information should not affect the Customs Information System (CIS) established by Regulation (EC) No 515/97 and reporting obligations in the context of situational awareness under Regulation (EU) 2019/1896 of the European Parliament and of the Council (21).

(43) The Commission should establish implementing rules laying down modalities for the access of the authorities concerned to the EU Customs Data Hub, after assessing the existing safeguards that each authority or category of authorities has in place for ensuring the correct treatment of personal and commercially sensitive data.

(44) It is appropriate that the EU Customs Data Hub store personal data for a maximum period of 10 years. That period is justified in light of the possibility for customs authorities to notify the customs debt up to 10 years after having received the necessary information about a consignment, as well as to ensure that the Commission, the EU Customs Authority, OLAF, the EPPO, customs authorities and other competent authorities can cross-check the information in the EU Customs Data Hub against the information stored in and exchanged with other systems. Moreover, that period should be aligned with the storage period required by other legislation applied by the customs authorities, where such legislation is relevant for customs controls. It is also appropriate that, whenever personal data is required for the purposes of judicial and administrative proceedings, of investigations and during post-clearance controls, the retention period be suspended to avoid personal data being erased and therefore not able to be used for those purposes.

(45) The protection of personal and other data in the EU Customs Data Hub should also include rules on the restriction of rights of data subjects. It is therefore appropriate that the customs authorities, the Commission or the EU Customs Authority be able to restrict the right of data subjects where necessary to ensure that enforcement activities, risk analysis and customs controls are not jeopardised. Moreover, such restrictions could also be applied where necessary for the purpose of protecting judicial or administrative proceedings following enforcement activities. Such restrictions should be duly justified against the activities and prerogatives of the customs authorities, the Commission or the EU Customs Authority and limited to the time necessary to preserve those prerogatives.

(46) Any processing of personal data under this Regulation should be carried out in compliance with Regulation (EU) 2016/679 (22) or (EU) 2018/1725 (23) of the European Parliament and of the Council or Directive (EU) 2016/680 of the European Parliament and of the Council (24), within their respective scope of application. Any authority or body other than the customs authorities, the Commission and the EU Customs Authority that processes personal data in the EU Customs Data Hub is to be regarded as a controller in accordance with the applicable rules.

(47) In order to ensure the interoperability and exchange of data with certain other Union non-customs systems and in respect of the customs formalities referred to in Regulation (EU) 2022/2399 of the European Parliament and of the Council (25), the EU Customs Data Hub should integrate the European Union Customs Single Window Certificates Exchange System (EU CWS-CERTEX) established by that Regulation. Until the EU Customs Data Hub fully integrates the EU CWS-CERTEX, the EU Customs Data Hub should perform the business and technical transformation of data to enable the exchange of data through the EU CWS-CERTEX.

(48) Data requirements should be defined in order to provide common guidance to economic operators regarding the data they need in order to fulfil their purposes, related in particular to the implementation of the customs legislation. The EU Customs Data Hub will be a unique point of entry for such data, and therefore the rules for formatting and coding such data should be laid down in the technical specifications for the EU Customs Data Hub, which are a more flexible instrument than legal rules. However, a harmonised customs data model with semantic data requirements is necessary.

(49) A Union-level customs risk management layer is fundamental for ensuring a harmonised application of customs controls in the Member States. There is currently a common risk management framework comprising the possibility of identifying common priority control areas and common risk criteria and standards in the financial risk arena for carrying out customs controls, but it has significant shortcomings. In order to address the lack of harmonised application of customs controls and of harmonised risk management, which harms the financial and non-financial interests of the Union and of the Member States, it is appropriate to revise the rules on risk management to establish a more solid risk management approach addressing both financial and non-financial risks. That includes tackling the structural challenges on the risk management of financial risks identified by the Court of Auditors. In particular, it is appropriate to describe which activities are comprised in customs risk management, in a cyclical approach. It is also important to identify the roles and responsibilities of the Commission, the EU Customs Authority and the customs authorities of the Member States. It is also essential to empower the Commission to establish common priority control areas and common risk criteria and standards, and to identify specific areas in the domain of other legislation applied by the customs authorities that deserve priority for common risk management and controls, without compromising security.

(50) It is therefore appropriate to introduce Union-level risk management activities and provisions to ensure the collection at Union level of comprehensive data relevant for risk management, including results and evaluation of all controls. Common risk analysis and the issue of corresponding Union control recommendations to customs authorities should be provided for. In line with the principle of ‘comply or explain’, those control recommendations should be followed, or compelling reasons provided for not following them. The possibility to issue an instruction that goods destined for the Union are not to be loaded or transported should also be provided for. The analysis of Union-level risks and threats should be based on continuously updated Union-level data and should identify the measures and controls to be performed at the border crossing points of entry and exit of the Union territory.

(51) In the context of cooperation with law enforcement and security authorities in particular, Union-level risk management should, where possible, contribute to and benefit from strategic analyses and threat assessments conducted at Union level, including those carried out by Europol and Frontex to contribute to the efficient and effective prevention of, and the fight against, crime. Infringement of customs legislation and other legislation applied by the customs authorities should have an impact on the risk profile of importers, including importers for distance sales, or exporters.

(52) The process of placing goods in a customs procedure needs to be revisited to reflect the new roles and responsibilities of the persons involved in that procedure. Therefore, responsibility for providing the information to the customs authorities is to be assumed by the person responsible for the goods, namely the importer, the exporter or the holder of the transit procedure, rather than the declarant. The person responsible should provide or make available the data to customs as soon as that data are available and in any case before the release of the goods for a customs procedure, in order to allow the customs authorities to carry out a risk analysis and to take appropriate measures.

(53) However, in the case of e-commerce, and taking into account the higher volume of transactions by e-commerce, it is appropriate that persons making use of the special scheme laid down in Title XII, Chapter 6, Section 4, of Directive 2006/112/EC (‘Import One-Stop Shop scheme’ or ‘IOSS scheme’) should provide data on their sales of goods to be imported at the latest on the day after the acceptance of the payment.

(54) In duly justified circumstances, the customs authorities should be able to authorise Trust and Check traders to complete the data on their released goods at a later stage, as those traders continuously share data on their transactions with customs and can be considered reliable. Such circumstances could be linked to the supporting documents or to the impossibility of determining the final customs value of the goods at the moment of release.

(55) To simplify the customs process for the entry of goods into the customs territory of the Union, while ensuring that there is a single person responsible for those goods, different actors in the supply chain should provide their part of the relevant information on the goods concerned and link it to a specific consignment. Goods should enter into the customs territory of the Union only if there is an importer or an indirect representative acting on behalf of the importer established in the Union that takes the responsibility for those goods. The importer or the indirect representative acting on behalf of the importer should provide information on the goods to customs and the customs procedure to which they should be placed, and should do so at the earliest possible stage, if possible before the goods physically arrive. A service provider or customs agent should be able to provide information in the importer’s name and on its behalf, but the importer should remain responsible for ensuring compliance of the goods with the financial and non-financial risks. The carriers effectively bringing the goods should also provide some information on the goods before loading or arrival (‘advance cargo information’) and should link their information to the importer’s information where it has been previously submitted, without necessarily having access to all the data that the importer has provided. In addition, to cater for the more complex supply chains and transport networks, it should be possible to require certain other persons to complete the information on the goods to be brought into the customs territory of the Union. The importer, the carrier or any other person submitting information to customs should be obliged to amend it where they know that the information is no longer correct but before the customs authorities have detected irregularities that they intend to control.

(56) Non-Union goods that are brought into the customs territory of the Union should be considered to be in temporary storage from the moment the carrier notifies their arrival until their placement under a customs procedure, unless they are already placed in transit. To ensure appropriate customs supervision, that situation should be limited in time and not last more than 90 days, except in exceptional cases.

(57) It is necessary to maintain the rules that determine whether goods are Union or non-Union goods and whether the status of Union goods can be presumed or needs to be proven, particularly where the goods temporarily leave the customs territory of the Union.

(58) Once the customs authorities have the information necessary for the relevant procedure, based on risk analysis, they should decide whether to perform further controls on the goods, to release them, to refuse or suspend their release or to let time pass with the result that the goods are considered released. The customs authorities should take such decision in cooperation with other competent authorities, where necessary. Accordingly, the customs authorities should refuse the release of the goods where they have evidence that the goods do not comply with applicable legal requirements. The determination of repeated systematic infringement in relation to distance sales by an economic operator should constitute such evidence for a period of at least six months for all goods notified for arrival for the release for free circulation by that economic operator. Where the customs authorities need to consult other competent authorities to determine whether or not the goods comply with applicable legal requirements, they should suspend the release of those goods at least until that consultation takes place. In such cases, the customs authorities’ subsequent decision on the goods should depend on the other competent authorities’ reply. To avoid blocking both traders and authorities in cases for which reaching a conclusion on compliance requires some time, the customs authorities should have the possibility to release the goods on the condition that the trader continues informing them about the location of the goods.

(59) In order to provide legal certainty to the traders that have provided the information on time without obliging the customs authorities to react to every consignment, goods that have not been selected for a control after a reasonable period should be considered released. The Commission should be entitled to define that period in delegated acts, adapting it, where necessary, to the type of traffic or type of border crossing point in question.

(60) As Trust and Check traders are considered reliable and provide customs in as close to real time as technically possible with data on the movement of the goods and on compliance and with full access to their systems, records and operations, such traders should be able to release their goods under the supervision of the customs authorities without waiting for their intervention. Accordingly, Trust and Check traders should be able to release goods on behalf of the customs authorities upon receipt of those goods at the place of business of the importer, owner or consignee or upon dispatch from the place of business of the exporter, owner or consignor. As Trust and Check traders are supposed to operate in a transparent way, each arrival and delivery of goods should be properly recorded in the EU Customs Data Hub. Trust and Check traders should be obliged to inform the customs authorities where a problem arises so that those authorities can take a final decision on the release of the goods. Where the internal control systems of Trust and Check traders are robust enough, the customs authorities should be able, in cooperation with other competent authorities, to authorise those traders to perform certain checks on their own. However, the customs authorities should retain the possibility to control the goods at any time.

(61) It is appropriate to provide measures to regulate the transition from a system based on customs declarations to a system based on the provision or making available of information to the EU Customs Data Hub. Economic operators should have the possibility to lodge customs declarations to declare their intention to place goods under customs procedure during the transition period. However, as soon as the capabilities of the EU Customs Data Hub are available, economic operators should also be given the possibility to provide or make available information to the customs authorities through the EU Customs Data Hub, and the customs authorities should no longer authorise any economic operator to apply for simplifications in relation to the customs declaration. At the end of the transition period, all authorisations should cease to be valid, as customs declarations will no longer exist. In relation to distance sales of goods, the transition period for lodging customs declarations should be limited until the capabilities of the EU Customs Data Hub to process the relevant data for distance sales are available.

(62) The precise identification of the person acting as ‘importer’ depends on the stage and the nature of the customs process in question. There should be only one importer at a time.

(63) In the case of distance sales, it is considered that the person supplying goods in distance sales or facilitating distance sales of goods is the person that determines that goods from a third country are to be brought into the customs territory of the Union because they determine the chain of supply and are responsible for the risk for loss, damage or delay up to the delivery of the goods to the consumer. Therefore, for distance sales, in order for goods to be released for free circulation, the importer will be either the person supplying goods in distance sales or the person facilitating distance sales of goods, depending on the arrangements made, and the importer determined in that way should be indicated as such.

(64) The person supplying goods in distance sales or facilitating distance sales of goods to be imported from third countries into the customs territory of the Union who is the importer should be responsible for providing the required information on distance sales to the customs authorities before the release of the goods. The person so identified should fulfil the obligations of an importer.

(65) Where a person supplying goods in distance sales or facilitating distance sales of goods to be imported from third countries into the customs territory of the Union is not established in the customs territory of the Union, it should be possible to place the goods under a customs procedure where an indirect representative having the status of authorised economic operator places the goods in its own name and on behalf of the importer for distance sales and assumes the obligations of the importer for distance sales in that regard.

(66) The provisions of this Regulation, including those relating to the importer for distance sales, do not amount, either de jure or de facto, to a general monitoring obligation for providers of intermediary services.

(67) Article 29 TFEU requires that products coming from third countries are to be considered in free circulation if the import formalities have been complied with and customs duties or charges having equivalent effect have been levied. However, the release for free circulation should not be understood as a proof of compliance with customs legislation and other legislation applied by the customs authorities.

(68) The process of taking goods outside the customs territory of the Union should be streamlined and simplified, in line with the entry process. Therefore, it is appropriate to require that there be a person established in the Union who is responsible for the goods, namely the exporter. The exporter should provide or make available to customs the relevant information prior to taking the goods out of the Union, indicating whether the goods are Union or non-Union goods to be exported, and adapting the information as necessary.

(69) To ensure that there is proper risk management of goods taken out of the customs territory of the Union, the customs authority responsible for export should be required to carry out a risk analysis of the information on the goods and to take or request the appropriate measures before the goods exit the customs territory of the Union. Those measures should include requesting controls to be carried out by the customs authority responsible for the place of dispatch of the goods and for the place of exit and, if necessary, by other competent authorities, in addition to the measures provided for placing the goods under a customs procedure that are also applicable where the goods are to be exported.

(70) To ensure that the duty-suspensive procedures are also transparent, it is appropriate to streamline the requirement provisions for authorisations for special procedures. In particular, for the sake of clarity and legal certainty, the conditions for determining whether an opinion at Union level is necessary to assess if granting an authorisation could adversely affect the interests of Union producers, the so-called ‘examination of the economic conditions’, should be codified and regulated in delegated acts. Moreover, as the effect on interests of Union producers might depend on the quantity of goods that are placed under the special procedure, a certain threshold should be set under which it is estimated that there is no negative effect on such interests.

(71) Article 9 of the Revised Convention for the Navigation of the Rhine refers to an Annex (the ‘Rhine Manifest’) that facilitated the movement of goods on the Rhine river and its associated tributaries by considering them as a customs transit procedure across the national frontiers of four Member States, namely Belgium, Germany, France and the Netherlands, as well as Switzerland. According to information from customs administrations, the Rhine Manifest is no longer used in practice as a customs transit procedure in the Member States bordering the Rhine. Instead, goods on the Rhine and its tributaries are now transported using the Union transit procedure established by Regulation (EU) No 952/2013, through the New Computerised Transit System. It is therefore appropriate to remove the reference to the Rhine Manifest from cases where a movement of goods is considered as external or internal transit.

(72) In order to increase transparency about the person responsible for complying with the obligations of the Union transit procedure and with the content and risks related to the consignment, it is appropriate to require that the holder of the transit procedure disclose at least information regarding the importer or the exporter initiating the movement of the goods, the means of transport and the identification of the goods placed under that procedure. Such information would enable the customs authorities to supervise more effectively the Union transit procedure concerned and to carry out a risk analysis. The Union transit procedure should be compulsory unless goods are put under another customs regime immediately upon entry into or exit out of the customs territory of the Union. Where the importer or the exporter is not yet known, the holder of the goods should be considered as being the importer or the exporter of the goods and should be liable for the payment of customs duties and other taxes and charges. The Union transit procedure should be replaced by customs supervision if goods are imported or exported by a Trust and Check trader.

(73) An amendment to Annex 6 to the Customs Convention on the International Transport of Goods under Cover of TIR Carnets (TIR Convention) (26) that entered into force on 1 June 2021 modified Explanatory Note 0.49 in order to grant to economic operators meeting certain requirements the possibility to become an ‘authorised consignor’, mirroring the existing facilitations granted to the economic operators recognised as an ‘authorised consignee’. It is therefore necessary to include that new possibility in this Regulation in order to align Union customs legislation with that international agreement.

(74) Eliminating the duty relief for the importation of goods with a value not exceeding EUR 150 involves the application of provisions concerning the determination of customs value to levy

ad valorem

customs duties in relation to imported goods purchased in business-to-customer e-commerce transactions, as defined in Directive 2006/112/EC. Such distance sales should constitute the basis for the declaration of customs value under the transaction value method. That principle applies also in situations in which goods are purchased in distance sales not before they are brought into the customs territory of the Union but while placed under the customs warehousing procedure.

(75) Transactions in distance sales differ significantly from traditional business-to-business transactions, resulting in increased complexity. Those differences impact how customs authorities effectively apply valuation rules in practice. Particular challenges are the massive scale and speed at which e-commerce transactions are concluded, the vast number of buyers and sellers involved, and the dispersion of sales. Taking into account the specificity of e-commerce, as well as the role of customs authorities in contributing to the smooth functioning of the internal market, if, in customs proceedings aimed at verifying the correctness of the declared transaction value of goods purchased in a distance sale, an importer does not dispel reasonable doubts that the declared transaction value reflects the price actually paid or payable for those goods and, consequently, the initially declared transaction value is rejected, the customs authorities should be able to exercise flexibility in the determination of the appropriate secondary valuation method to redetermine the customs value of those goods.

(76) Currently, customs debts are collected by the Member State where the customs declaration is lodged. It is the choice of the trader whether to do that in the country of first entry, or to use a customs procedure and pay duties in another Member State. For Trust and Check traders, it is appropriate to use different rules to define the place where the customs debt occurs so that the import duties are paid to the Member State where that trader is established. It is appropriate because that is the place where the customs authority has the most complete knowledge of the records, operations and commercial behaviour of the relevant economic operators. However, the customs debt of economic operators other than Trust and Check traders should be incurred at the place where the goods are physically located, at least until the supervision model is evaluated.

(77) In the case of e-commerce transactions, the importer for distance sales is the person responsible for the customs debt. When use is made of the IOSS scheme, the customs debt should be incurred at the moment of the acceptance of payment of the online sale. Where no use of that scheme is made, the customs debt should arise when the availability of the goods is notified in the Member States where the goods are to be delivered.

(78) To cover the increasing costs of handling an enormous number of requests for placing goods sold in distance sales under the release for free circulation procedure, a Union handling fee, commensurate to the approximate cost of the services closely connected to the customs supervision of such goods, should be established as those goods are directly shipped to the consumer, making it impossible for other authorities to check them after customs clearance. While it will be up to the Member States to decide whether to recover from economic operators the costs of exceptional control measures or the costs incurred by authorities other than customs authorities in connection with the verification or destruction of the goods, the Union handling fee should cover, in particular, the cost of checking the data and carrying out a risk analysis, and of the relevant infrastructure and controls, including relevant services rendered by the EU Customs Authority.

(79) A lower Union handling fee should be provided for where the goods are sold in distance sales from a customs warehouse for distance sales, as it is easier and more effective for the customs authorities to supervise bulk quantities of goods stored in a warehouse than goods packed in individual parcels and directly shipped to the consumer.

(80) The debtor of the Union handling fee should be the same person as the debtor of the customs debt, which should be the importer for distance sales. Where provisions on importers for distance sales do not yet apply, the debtor should be the declarant. In the case of distance sales, the declarant would typically be the person entitled to use the IOSS scheme, or an indirect customs representative. Consequently, the consumer should not be a debtor of the Union handling fee.

(81) It is appropriate to provide that the first delegated act setting the amount of the handling fee enter into force rapidly so as to allow the practical application of the Union handling fee introduced by this Regulation to respond to the increasing pressure on customs authorities due to the significant volume of parcels entering the customs territory of the Union.

(82) As several measures such as duties and fees apply per item, it is appropriate to introduce a definition thereof. An item should be defined as one or more goods in a consignment, sharing certain data elements, including the tariff classification and origin, in accordance with the applicable data requirements. That definition should be applicable both in relation to the customs declarations in the existing national and Union digital tools, including where the tariff classification for the goods concerned in the customs declaration is only at the level of sub-headings of the Harmonised System, and in relation to the appropriate data requirements determined for that purpose once the EU Customs Data Hub becomes available.

(83) It is appropriate to enhance the mechanism aimed at supervising the consistent and effective implementation of restrictive measures on the flow of goods adopted by the Council in accordance with Article 215 TFEU. Where such measures are adopted, the EU Customs Authority should provide support to the Commission and Member States to ensure that those measures are not circumvented. It should provide guidance for the customs authorities in the form of non-binding recommendations, for example by promoting consistent customs practices, within the responsibilities of the Member States for the implementation of such measures. Customs authorities should ensure that they take all the necessary steps within their competences to comply with those measures and should inform the Commission and the EU Customs Authority accordingly. The EU Customs Authority should identify potential discrepancies in the application of those measures and monitor their implementation, and report accordingly to the Commission.

(84) A crisis management mechanism should be put in place to address potential crises in the customs union. The lack of such a mechanism at Union level was highlighted in the Commission Communication of 28 September 2020 entitled ‘Taking the Customs Union to the Next Level: a Plan for Action’. A mechanism should therefore be established that involves the EU Customs Authority as a pivotal actor in preparing, coordinating and monitoring the implementation of the practical measures and arrangements that the Commission decides to put in place when a crisis occurs. The EU Customs Authority should maintain crisis response readiness throughout the whole duration of the crisis.

(85) The existing governance framework of the customs union lacks a clear operational management structure and does not reflect the evolution of customs since its creation in 1968. Under Regulation (EU) No 952/2013, the activities related to the management of risks in trade flows, such as the implementation of, and decisions on, controls on the ground, are the responsibility of national customs authorities. The intensity of external border traffic of goods is not equal across the Union. Despite the cooperation between national customs authorities that has existed since the creation of the customs union and that has led to the exchange of best practices and expertise and the development of common guidelines, it has not resulted in the development of a harmonised approach and operational framework. There is no central risk analysis capacity, no common view on Union risk prioritisation, limited coordinated customs action and controls, and no cooperation frameworks for different authorities serving the single market.

(86) A central, operational Union structure to pool expertise and resources and to assist Member States and the Commission in taking decisions together should address such weaknesses. It should focus in particular on areas such as data management and risk management, and should prepare the training content for customs officers and customs professionals in the Union to complement and support training provided by Member States. It should also contribute to the creation of a Union system to recognise the excellence of educational institutions that offer training and education in the customs field, building on the Commission’s initiative entitled ‘EU Customs Certificate of Recognition’, and coordinate and support the voluntary creation of specialised centres of excellence by Member States. This aims to make the customs union ‘act as one’, while recognising that divergent practices in Member States could result from objective specificities, for example geographical differences, mode of transport used, type of goods or border type. The creation of a new authority, the EU Customs Authority, is crucial to ensure the efficient and adequate functioning of the customs union, to centrally coordinate customs action and to support the customs authorities’ activities.

(87) The EU Customs Authority should be governed and operated taking into account the principles of the Joint Statement and common approach of the European Parliament, the Council and the Commission on decentralised agencies of 19 July 2012.

(88) When selecting the seat of the EU Customs Authority, the European Parliament and the Council are to ensure that, given the nature of that authority, its location enables it to fully execute its tasks and powers, to recruit highly qualified and specialised staff and to offer adequate training opportunities. In addition, the European Parliament and the Council are to take into account the following criteria for the selection of the seat of the EU Customs Authority: the availability of appropriate office premises and the ability to accommodate the relevant staff before the EU Customs Authority becomes operational; the accessibility of the location and the existence of adequate education facilities for the children of staff members; appropriate access to the labour market, social security and medical care for both children and spouses of staff members; and geographical balance. Considering those criteria, the EU Customs Authority should be located in Lille, France.

(89) Member States should ensure that customs authorities are properly resourced, trained and equipped to have the capacity to fulfil their mission.

(90) It is important that customs invest in a sufficient number of properly trained staff in order to guarantee the functioning of the Union’s customs systems, which are facing an exponential increase in demand. Without the necessary investments into staff, digital solutions cannot achieve their full potential. Therefore, investments into digital systems should guarantee sufficient funding for staff and for their training, in order to ensure the necessary skills for using state-of-the-art equipment and technology for big data analytics, detection and controls, and thus guarantee that customs controls are conducted uniformly across the Union.

(91) The Member States and the Commission should be represented on a Management Board, in order to ensure the effective functioning of the EU Customs Authority. The composition of the Management Board, including the selection of its Chairperson and Deputy Chairperson, should respect the principle of gender balance and take into account relevant experience and qualifications. Given the Union’s exclusive competence on the customs union, and the close link between customs and other policy fields, either the Chairperson or the Deputy Chairperson should be elected from the members of the Management Board designated by the Commission. In view of the effective and efficient functioning of the EU Customs Authority, the Management Board should, in particular, adopt a single programming document including annual and multiannual programming, carry out its functions relating to the EU Customs Authority’s budget, adopt and publish a consolidated annual activity report on the activities of the EU Customs Authority ensuring that no sensitive information is disclosed, adopt the financial rules applicable to the EU Customs Authority, appoint an Executive Director, and establish procedures for the taking of decisions by the Executive Director relating to the operational tasks of the EU Customs Authority. The Management Board should be assisted by an Executive Board.

(92) The EU Customs Authority should establish the Customs Advisory Board, whose task will be to provide the EU Customs Authority with advice on the implementation of technical actions and decisions, on implementation and standardisation issues, including harmonisation activities, on the operational aspects of other legislation applied by the customs authorities, and on any other activities of the EU Customs Authority. The Customs Advisory Board should endeavour to ensure a balanced stakeholder representation between commercial and non-commercial interests and, within the category of commercial interests, with regard to micro, small and medium-sized enterprises and other undertakings. The Customs Advisory Board should be consulted regularly and should be able to provide advice to the EU Customs Authority on its own initiative.

(93) To guarantee its effective functioning, the EU Customs Authority should be granted an autonomous budget, with revenue coming from the general budget of the Union and any voluntary financial contribution from the Member States. In exceptional and duly justified circumstances, the EU Customs Authority should be able to receive additional revenue through contribution agreements or grants and through charges for publications and other services it provides.

(94) The EU Customs Authority should make use of the information at its disposal regarding challenges on customs legislation and other legislation applied by the customs authorities to periodically carry out a threat assessment. On the basis of such a threat assessment, the EU Customs Authority should prepare recommendations and transmit them to the Commission. Based on those recommendations, the Commission should identify areas that warrant priority treatment. It is important that the Council have a political, strategic discussion on those areas that warrant priority treatment and that the EU Customs Authority provide appropriate follow-up, including when preparing its annual and multiannual work programme and preparing the annual report of its activities.

(95) To fulfil their mission, the EU Customs Authority and the customs authorities should cooperate closely and regularly with market surveillance authorities, sanitary and phytosanitary authorities, law enforcement bodies and authorities, border management authorities, environmental protection bodies, statistical authorities and tax authorities, experts on cultural goods, and many other authorities in charge of sectoral policies. Considering the evolution of the single market and the evolving role of customs, the increase in prohibitions and restrictions and the increase in e-commerce, it is necessary to structure and reinforce that cooperation at Union, international and national level. Instead of a cooperation focused on individual consignments or specific events along the supply chain, a framework to support cooperation between customs authorities and other authorities responsible for relevant policy areas should be developed and regularly updated by the EU Customs Authority. Such cooperation should include: the development of legislation and of policy needs in specific areas; the exchange and analysis of information; the building of an overall cooperation strategy in the form of joint supervision strategies; cooperation on operational implementation, monitoring and controls; the exchange of relevant skills and best practices; and innovation and research activities in areas relevant for customs.

(96) The Commission should also facilitate the application of part of the other legislation applied by the customs authorities by drawing up and regularly updating a list of Union legislation imposing requirements on goods subject to customs controls aimed at protecting public interests such as human, animal or plant health and life, consumers and the environment.

(97) To strengthen cooperation between customs authorities, joint operational efforts should be enhanced to support effective customs controls at the borders of the Union. The EU Customs Authority should coordinate and support the operational coordination in customs cooperation, including in the area of risk management. The EU Customs Authority, in cooperation with the Member States, should plan, organise and coordinate joint controls carried out by customs authorities within the Union and with third countries. In the context of cooperation between customs authorities within the Union, this Regulation is without prejudice to the Convention drawn up on the basis of Article K.3 of the Treaty on European Union, on mutual assistance and cooperation between customs administrations (27) (Naples II). The EU Customs Authority should maintain the necessary collaboration with relevant Union and national authorities conducting relevant investigations and anti-fraud activities, including OLAF and the EPPO. It is important that the EU Customs Authority also cooperate with the EU Innovation Hub for Internal Security where relevant to the EU Customs Authority’s activities.

(98) Furthermore, in order to exchange best practices and enhance operational effectiveness, Member States should be able, upon request, to make customs officers temporarily available to work in the customs authorities of another Member State. The terms and conditions of such temporary assignments should be determined by the Member States concerned. The EU Customs Authority should, upon request, provide support or coordination. Where appropriate, it can develop guidance or model arrangements to facilitate this form of cooperation.

(99) The EU Customs Authority and Europol should be able to exchange strategic and other non-operational information such as risk indicators where required for preventing and combatting serious crime affecting two or more Member States, terrorism and forms of crime which affect a common interest covered by a Union policy. Such information could be used by the EU Customs Authority for risk analysis purposes.

(100) In order to increase clarity and make the cooperation framework between customs authorities and other partner authorities more efficient, a list of services offered by customs authorities should define clearly the possible role of customs authorities in the application of other relevant policies at the borders of the Union. In addition, the application of that cooperation framework should be monitored by the EU Customs Authority. The EU Customs Authority should work closely and cooperate with the Commission, OLAF, other relevant Union bodies, offices and agencies, such as Europol, the EPPO and Frontex, as well as with specialised agencies and networks in policy fields relevant for the EU Customs Authority’s activities, such as the EU Product Compliance Network.

(101) In an increasingly connected world, customs diplomacy and international cooperation are important aspects in the work of customs authorities around the world. It should be possible for international cooperation to include the possibility of exchange of customs data on the basis of international agreements or autonomous Union legislation and through appropriate, secure and strictly supervised means of communication, such as the EU Customs Data Hub, subject to the respect of confidential information and the protection of personal data.

(102) Effective cooperation between neighbouring countries is essential to ensure the smooth functioning of customs operations, the facilitation of legitimate trade, and the protection of the financial interests and policies of the Union. Such cooperation is of particular importance at shared customs border crossing points, where coordinated customs controls enhance efficiency and legal certainty. Member States should therefore retain the capacity to conclude or maintain bilateral agreements with neighbouring third countries concerning customs cooperation at shared border-crossing points, if such agreements are compatible with Union law. That capacity includes agreements relating to shared border-crossing points, situated either in the territory of a Member State or in the territory of a neighbouring third country, at which the customs authorities of that Member State and of that neighbouring third country apply their respective customs legislation pursuant to a bilateral agreement.

(103) A common framework establishing a minimum list of infringements of customs legislation subject to penalties and certain rules for non-criminal penalties should be laid down in this Regulation, to be implemented by Member States. It is up to the Member States to choose the appropriate type of measure to address those infringements. It is also appropriate to establish a minimum list of circumstances to which Member States should give due regard, in accordance with national law, when deciding whether to impose a penalty and when deciding on the type or severity thereof. The Commission should monitor the correct implementation of those provisions, as appropriate. Penalties for infringements of customs legislation should be effective, proportionate and dissuasive.

(104) This Regulation does not harmonise national procedural rules concerning administrative penalties, nor does it regulate which authorities impose penalties, as long as the principle that penalties are effective, proportionate and dissuasive is maintained. For example, the rules on penalties can be applied in such a manner that the penalty is imposed directly by competent authorities, or by a competent national court upon an application brought by a competent administrative authority, or by the competent customs authorities through a settlement procedure, while having equivalent effect.

(105) Given the central role of importers for distance sales in organising large volumes of low-value imports, including via online platforms and websites, there is a need to establish a coherent, proportionate and dissuasive framework of penalties to apply where importers for distance sales fail to comply with their obligations. In particular for continued and systematic non-compliance with customs legislation in the case of distance sales, penalties should be dissuasive and effective. The scale, cross-border reach and wide-spread impact of systematic non-compliance justifies that severe minimum and maximum levels of pecuniary penalties, based on the total value of the goods imported to the Union by the non-compliant economic operator, be set in this Regulation, while preserving the possibility for Member States to provide for additional penalties in their national legislation. The harmonisation of penalties for systematic non-compliance across the Union aims to prevent ‘border-shopping’ by economic operators engaging in distance sales. Economic operators that engage in systematic non-compliance should be classified as high-risk economic operators and should lose any trusted trade status and facilitation measures.

(106) Where systematic non-compliance persists despite the imposition of progressively severe pecuniary charges, further penalties should be imposed. This is necessary on account of continued disregard for obligations under this Regulation, which undermines the integrity of the customs union and the internal market, creates unfair competitive advantages for non-compliant economic operators, and possibly harms consumers. Accordingly, and in view of fulfilling the mission of the customs authorities, a further layer of strict penalties is to be put in place to discourage any occurrence of such multi-systematic non-compliance. In response to such behaviour, the customs authorities should be able to suspend the release for free circulation of all goods imported by an economic operator in distance sales. In addition, where relevant and where justified by the nature of such further systematic infringement, relevant competent authorities should be able to temporarily suspend access to the online interface of the infringing economic operator. To that end, the timely transmission of information about the infringement to the relevant authorities should enable them to obtain the full picture regarding the situation and to ensure a coordinated response.

(107) To enable effective monitoring and an appropriate degree of transparency, records of all non-criminal penalties imposed by Member States’ customs authorities should be made available in the EU Customs Data Hub. Those records should indicate the nature of the infringement and the amount of the pecuniary charge imposed or the identification of any other non-criminal penalty applied. Such centralised system should provide the necessary data for assessing enforcement practices and identifying potential market distortions or ‘border-shopping’ practices by economic operators.

(108) The Commission should review the provisions of this Regulation on infringements and penalties in order to ensure proper functioning and application thereof and to prevent possible internal market fragmentation or jurisdictional avoidance by economic operators. Such review should take place following an assessment of the data on penalties recorded in the EU Customs Data Hub, particularly where risks of disparities or distortions in the internal market are identified. It is important to ensure a level playing field and to address any regulatory gaps or inconsistencies in the application of penalties.

(109) Where an infringement of customs legislation is committed that falls within the jurisdiction of more than one Member State, cooperation between those Member States is necessary. In such cases, competent authorities of the Member States concerned by the same infringement of customs legislation should cooperate in accordance with applicable law. The EU Customs Authority should have the possibility to support and facilitate that cooperation.

(110) The performance of the customs union should be evaluated at least on an annual basis to allow the Commission, with the help of the Member States, to take the appropriate policy orientations. The Commission can publish a non-confidential version of the evaluation report. The collection of information from customs authorities should be formalised and deepened, as more comprehensive reporting would improve benchmarking and could help to homogenise practices and to assess the impact of customs policy decisions. It is therefore appropriate to introduce a legal framework for the evaluation of the performance of the customs union. To allow sufficient granularity of analysis, the performance measurement of customs activities should be done not only at national level but also at local level.

(111) The EU Customs Authority should support the Commission in the evaluation process by gathering and analysing the data in the EU Customs Data Hub and identifying how customs activities and operations support the achievement of the strategic objectives and priorities of the customs union and contribute to the mission of customs authorities. In particular, the EU Customs Authority should identify key trends, strengths, weaknesses, gaps and potential risks, and provide recommendations for improvement to the Commission. In the context of cooperation with law enforcement authorities in particular, the EU Customs Authority should also participate, from an operational perspective, in strategic analyses and threat assessments conducted at Union level, including those carried out by Europol and Frontex.

(112) Trust and Check traders should be supervised by their Member State of establishment. By derogation and subject to review, economic operators that are not Trust and Check traders should remain under the supervision of the customs authority of the Member State where the goods are physically located. By 31 December 2031, the Commission should evaluate those two supervision models, including as regards their effectiveness for detecting and preventing fraud. That evaluation should also consider indirect taxation aspects. Based on that evaluation, the Commission should be entitled to decide by delegated act whether the two supervision models should continue or whether, in all cases, the customs authority responsible for the place of establishment of the Trust and Check trader should release the goods. The place of incurrence of customs debt should also be regulated in accordance with the determination of the customs authority responsible.

(113) In order to ensure that Union customs rules remain adapted to economic, social, political and technological developments and to the needs of economic operators and of customs administration, the power to adopt acts in accordance with Article 290 TFEU should be delegated to the Commission in respect of the following:

— specifying which provisions of the customs legislation apply to the trade in Union goods involving special fiscal territories and certain simplifications of those provisions;

— the cases where the competent customs authority is not the customs authority of the Member State where the applicant is established;

— in relation to decisions regarding the application of the customs legislation: the data required for applications and decisions; the conditions for the acceptance of an application for a decision; exceptions concerning certain time limits, the date from which the decision takes effect; the cases where the decision is not valid without limitation of time; the period for the applicant to exercise its right to be heard; rules relating to the cases where the applicant’s right to be heard does not apply; the possible shortening of the time limits for the adoption of customs decisions once the EU Customs Data Hub is operational; detailed rules for monitoring of decisions; the cases where a decision is to be re-assessed and the related rules; the cases where a favourable decision can be revoked in respect of other than non-compliant persons and where the effect of revocation or amendment can be deferred; and the rules for taking Commission decisions requesting Member States to revoke a decision relating to binding information;

— the amount of the Union handling fee for distance sales;

— the minimum data requirements and specific cases for the registration of economic operators and certain other persons with the customs authorities and for the invalidation of such registration;

— the simplifications and facilitation measures for authorised economic operators;

— in relation to the customs representative, the cases in which the requirement of being established in the customs territory of the Union is waived;

— the functionalities of the EU Customs Data Hub and the data subject to portability from the EU Customs Data Hub into national systems; clarifying and complementing the purposes for which the customs authorities, the EU Customs Authority and the Commission are authorised to process data; requests from other Union bodies, offices and agencies to obtain data available in the EU Customs Data Hub; and the data that constitute the EU Customs Data Model;

— certain detailed rules in relation to the customs status of goods;

— the data, conditions, time limits and specific cases for placing goods under a customs procedure, and the cases where the data can be amended or invalidated after the release;

— the reasonable period after which, and the cases when the customs authorities are deemed to have released the goods where they have not selected them for control;

— the procedure for the release of goods on behalf of the customs authorities, and the conditions, content and procedure for the controls carried out by Trust and Check traders;

— in relation to customs declarations: the cases where a customs declaration can be lodged using means other than electronic data-processing techniques; the conditions for granting the authorisation to lodge simplified declarations; the time limits for lodging supplementary declarations, the time limits for the supporting documents to be available and the cases in which the obligation to lodge such declarations is not to apply; the cases where a customs declaration can be invalidated without application by the declarant; and the conditions for granting the authorisations for centralised clearance and for the lodging of a customs declaration in the form of an entry into the declarant’s records;

— the cases where goods can be confiscated;

— in relation to the advance cargo information: the expected office of first entry; the advance cargo information to be provided or made available; the time limits; the specific cases in which advance cargo information can be provided or made available by other persons than the importer; the cases where the obligation to provide such data is not to apply; the conditions under which a person that provides or makes available advance cargo information can restrict the visibility of the particulars of the identification; and the data in advance cargo information that cannot be amended;

— in relation to the entry of the goods into the customs territory of the Union: the specific time limits by which the risk analysis is to be carried out; the specific cases and the other persons who can be required to notify the actual customs of first entry of the arrival of the goods, in the case of diversion; and the conditions and time limits for designating and approving the places other than the designated customs office for presenting the goods;

— in relation to temporary storage: the cases where temporary storage information is not to be required; the data to be provided or made available to the customs authorities; the specific cases for amending or invalidating temporary storage information; the conditions for authorising temporary storage facilities; the cases and conditions of movement of goods in temporary storage; and the type of information to be contained in the records to be provided or made available in the EU Customs Data Hub;

— the data to be provided or made available to the customs authorities for placing goods under the release for free circulation procedure or derogations justified for the type of traffic;

— the cases in which goods are considered to be returned in the state in which they were exported;

— the data to be provided or made available to the customs authorities for placing goods under the export procedure;

— the cases where a re-export notification is to be lodged and the cases where it can be amended or invalidated;

— in relation to the pre-departure information at exit from the customs territory of the Union: the data of the pre-departure information and the time limits by which it is to be provided or made available; the cases where that obligation is not to apply; the conditions under which the person that provides or makes available pre-departure information can restrict the visibility of identification and commercially sensitive data; and the data in pre-departure information which cannot be amended;

— in relation to the exit of goods: the specific time limits by which risk analysis of the pre-departure information is to be carried out; and the data to be notified to the customs office responsible for the place where the goods are taken out of the customs territory of the Union;

— in relation to special procedures: the data to be provided or made available to the customs authorities for placing goods under the Union transit procedure, the storage procedure, the temporary admission procedure, the end-use procedure, the inward processing procedure and the outward processing procedure; the conditions for granting an authorisation for special procedures and the exceptions therefrom; the cases in which the economic nature of the processing justifies that the customs authorities assess whether granting an authorisation for an inward processing procedure adversely affects the essential interest of the Union producers without the opinion of the EU Customs Authority; the cases where evidence of such negative impact is considered to exist; the list of goods considered to be sensitive; the types of information and the data that are to be contained in the records and the exceptions to the obligation to provide them or make them available in the EU Customs Data Hub; the period for discharging a special procedure; the cases, conditions, form and required data and information for the transfer of rights and obligations; the cases in which importers and exporters can move goods placed under a special procedure other than transit or in a free zone and the related conditions; the usual forms of handling for goods placed under customs warehousing or a processing procedure; and certain detailed rules related to equivalent goods;

— in relation to transit: the specific cases where Union goods are to be placed under the external transit procedure; the conditions for the granting of the authorisations for authorised consignor and authorised consignee for TIR purposes; and the additional data requirements and the conditions for authorising simplifications;

— in relation to storage, the conditions for granting the authorisation for the operation of a customs warehouse for distance sales;

— in relation to temporary admission: the specific use to which non-Union goods are subject; and the requirements for total or partial duty relief laid down in the customs legislation that are to be met for using the temporary admission procedure;

— in relation to inward processing, the conditions for temporarily re-exporting goods for further processing;

— the rules for the determination of non-preferential origin and the rules on preferential origin;

— in relation to the determination of the customs value: the conditions for granting the authorisation for simplifications in the determination of the customs value in specific cases; and the data required for the determination of the customs value for export duty purposes;

— in relation to establishing customs debt: detailed rules for the calculation of the amount of import or export duty applicable to goods for which a customs debt is incurred in the context of a special procedure; the specific time limit within which the place where the customs debt is incurred cannot be determined if the goods have been placed under a customs procedure which has not been discharged or where a temporary storage did not end properly; the cases where the customs authorities are exempted from the notification of the customs debt; and the information to be provided by Trust and Check traders and importers for distance sales for the purposes of the notification of customs debt;

— in relation to guarantees: the specific cases in which no guarantee is required for goods placed under the temporary admission procedure and the threshold for waiving the provision of a guarantee; the rules for determining the form of the guarantee other than any means of payment recognised by the customs authorities and an undertaking given by a guarantor; the forms for the guarantee and the rules applicable to the guarantor; the conditions for the granting of an authorisation to use a comprehensive guarantee with a reduced amount or granting a guarantee waiver; and the time limits for the release of a guarantee;

— in relation to paying customs debts: the suspension of the time limit for payment of the amount of import or export duty corresponding to a customs debt and the determination of the period of suspension; the updating of the thresholds below which customs authorities do not charge credit interest and interest on arrears, and above which they are to repay or remit the amount of import or export duty; the rules with which the Commission has to comply when taking a decision on repayment and remission of customs debt; and, for the extinguishment of a customs debt, the list of failures with no significant effect on the correct operation of the temporary storage or of the customs procedure concerned;

— in relation to customs cooperation, the conditions and procedures according to which a Member State can be empowered to maintain, or enter into negotiations with third countries for, a bilateral agreement on the exchange of information;

— in relation to penalties in the case of distance sales: the substantive number of customs controls to be carried out by competent authorities and the threshold of cases based on the gravity of the infringement that is considered sufficiently representative to establish such systematic failure, in order to determine systematic non-compliance in a uniform and effective manner and to ensure a high level of compliance and to tackle systematic failures, and taking into account factors such as the volume and specific impact of distance sales, the risks to consumer safety, the proportionality, different business models, and the need to protect the financial and non-financial interests of the Union and its Member States;

— the derogations for the identification of the customs office competent for supervising the placement of the goods under a customs procedure and of the place for the incurrence of the customs debt, in light of the assessment to be made by the Commission on the effectiveness of the customs supervision as established by this Regulation.

(114) It is of particular importance that the Commission carry out appropriate consultations during the preparatory work for the adoption of delegated acts, including at expert level including the Trade Contact Group, and that those consultations be conducted in accordance with the principles laid down in the Interinstitutional Agreement of 13 April 2016 on Better Law-Making (28).

(115) In order to ensure uniform conditions for the implementation of this Regulation, implementing powers should be conferred on the Commission in order to:

— lay down the procedural rules for the cooperation between customs authorities in relation to controls;

— lay down the procedure for the submission and the acceptance of an application for a customs decision, and for taking such decisions;

— lay down the rules for annulling favourable customs decisions;

— lay down the procedural rules for revoking, suspending or amending favourable customs decisions;

— adopt decisions requesting Member States to revoke decisions relating to binding information;

— lay down the procedural rules on the use of a decision relating to binding information after it ceases to be valid or is revoked and on notifying to the customs authorities that the taking of such decisions is suspended and on the withdrawal of such suspension;

— lay down the procedure for collecting the Union handling fee from the economic operator;

— lay down the rules on currency conversion;

— lay down the procedures for requests for aggregate non-confidential, non-personal and non-commercially sensitive customs data made to the customs authorities of the Member States or the EU Customs Authority and the form and categories of data that can be made available upon such request;

— lay down rules for determining the customs authority responsible for the registration of economic operators and certain other persons;

— lay down procedural rules for the consultations in respect of the determination of the status of authorised economic operators;

— adopt the modalities for the application of the criteria for granting the status of authorised economic operator and of Trust and Check trader, and individual decisions regarding the suspension or revocation of the Trust and Check trader status where the competent authority fails to provide information to the EU Customs Authority for the verification of that status, or where the action taken on the basis of the EU Customs Authority’s recommendation is not sufficient;

— lay down the rules on the consultation with other authorities for the determination of Trust and Check trader status, on the reassessment of that status and related consultations, and on the types of related monitoring activities;

— lay down the technical arrangements for the current electronic customs systems and a work programme for their phase-out and the phase-in of the EU Customs Data Hub;

— lay down rules and modalities for processing data in the EU Customs Data Hub;

— lay down modalities for the EPPO to request and obtain data from the EU Customs Data Hub;

— lay down modalities for Europol and Frontex to request and obtain data in the EU Customs Data Hub, establish the procedure for the verification of such requests, specify restrictions and liabilities on the onward transfer of such data and, if needed, require the requesting authority to designate a specific contact point, person or persons or to provide additional safeguards;

— establish the roles of the joint controllers as regards the data processing in the EU Customs Data Hub and their relationship to data subjects;

— lay down safeguards to prevent the abuse of, unlawful access to, or transmission of personal data subject to restrictions;

— lay down the technical arrangements for interoperability and connection regarding the EU Customs Data Hub;

— exceptionally and temporarily authorise Member States to use electronic services or systems other than those implemented in the EU Customs Data Hub;

— lay down measures to ensure the harmonised application of customs controls and risk management, including the exchange of information and the establishment of common priority control areas and common risk criteria and standards;

— lay down measures on the verification of data provided or made available, examination and sampling of goods, results of the verification, and identification;

— lay down the measures to apply to post-release controls and appropriate methodologies;

— specify the ports or airports where customs controls and formalities are to be carried out on cabin and hold baggage;

— lay down the procedural rules for the provision and verification of the means of proof of the customs status of Union goods;

— lay down the procedural rules for amending and for invalidating the data for placing goods under a customs procedure;

— lay down the procedure for the lodging of the customs declaration where means other than electronic data processing techniques are used and for determining the competent customs offices;

— lay down the procedure for lodging a standard customs declaration, a simplified declaration and a supplementary declaration;

— lay down the procedure for lodging a customs declaration prior to the presentation of goods to customs, for accepting a customs declaration, for amending or invalidating a customs declaration after the release of the goods, for centralised clearance and for the lodging of a customs declaration in the form of an entry in the declarant’s records;

— lay down the procedure for selling and donating goods, for the destruction of goods and for the abandonment of goods to the State;

— lay down the procedure for providing, receiving, amending and invalidating the advance cargo information and mitigation measures;

— lay down the procedure on the notification of arrival;

— lay down the procedure for the physical presentation of goods to customs;

— lay down the procedure for lodging, amending and invalidating temporary storage information and for the movement of goods between temporary storage facilities;

— lay down the procedural rules on the provision of information establishing that the conditions for relief from import duty for returned goods are fulfilled and on providing the evidence that the conditions for relief from import duty for products of sea-fishing and other products taken from the sea are fulfilled;

— lay own the procedural rules on export and exit;

— lay down the procedure for lodging, amending or invalidating a re-export notification;

— lay down the procedure for providing, making available, receiving, amending and invalidating the pre-departure information and for instructing the person who provided the pre-departure information that the goods are not to be loaded or transported;

— lay down the procedural rules for granting the authorisation for special procedures or the operation of storage facilities for the customs warehousing of goods, the procedural rules for the examination of the economic conditions, including for issuing the reasoned opinion of the EU Customs Authority assessing whether granting an authorisation for an inward or outward processing procedure adversely affects the essential interests of Union producers, and rules for determining and monitoring the quantity beyond which such adverse effect occurs;

— lay down the procedural rules for discharging a special procedure and for transferring the rights and obligations, for the movement of goods and for the use of equivalent goods in the context of special procedures;

— lay down the procedural rules for the application of the provisions of international transit instruments in the customs territory of the Union;

— lay down the procedural rules on the placing of goods under the Union transit procedure and on the discharge of that procedure, on the operation of the simplifications of that procedure and on the customs supervision of goods passing through the territory of a third country under the external Union transit procedure;

— lay down the procedure for the placing of goods under the customs warehousing procedure or free zone procedure;

— lay down the procedural rules regarding the conditions for placing goods intended for distance sales under the customs warehousing procedure in a customs warehouse for distance sales;

— lay down measures on the uniform management of tariff and other quotas and tariff ceilings and the management of the customs surveillance of the release for free circulation or export of goods;

— determine the tariff classification of goods;

— lay down the procedural rules on the provision and verification of a proof of non-preferential origin of goods;

— lay down the procedural rules on the preferential origin of goods and measures granting a beneficiary country or territory a temporary derogation from the rules on preferential origin of goods benefiting from preferential measures adopted unilaterally by the Union;

— lay down measures to determine the origin of specific goods;

— lay down the procedural rules for determining the customs value of goods;

— lay down measures establishing the appropriate method of customs valuation or criteria to be used for determining the customs value in specific situations, including distance sales;

— lay down the procedural rules for the provision, determining the amount of, monitoring and release of guarantees, and for the revocation and the cancellation of an undertaking given by a guarantor;

— lay down the procedural rules regarding the temporary prohibitions relating to the use of comprehensive guarantees;

— lay down measures to ensure mutual assistance between the customs authorities in cases of incurrence of a customs debt;

— lay down the procedural rules for the repayment and remission of an amount of import or export duty, for informing the Commission of repayments and remissions, and on the decisions to be adopted by the Commission on repayment or remission;

— activate the necessary actions and arrangements to be applied in the event of a crisis;

— specify the independent status and lay down detailed tasks and responsibilities of the Data Auditor of the EU Customs Authority;

— authorise the Member States to enter into bilateral agreements with third countries on the exchange of information for the purpose of customs cooperation;

— specify the data that Member States are to provide to the EU Customs Authority for the purpose of assessment and reporting, as well as the data’s level of confidentiality, and the design of the performance measurement.

Those powers should be exercised in accordance with Regulation (EU) No 182/2011 of the European Parliament and of the Council (29).

(116) The advisory procedure should be used for the adoption of:

— implementing acts requesting Member States to revoke decisions relating to binding information, given that those decisions affect only one Member State and aim to ensure compliance with the customs legislation;

— implementing acts on the repayment or remission of an amount of import or export duty, given that those decisions directly affect the applicant for that repayment or remission;

— implementing acts specifying the independent status and laying down the detailed tasks and responsibilities of the Data Auditor of the EU Customs Authority;

— implementing acts authorising a Member State to enter into a bilateral agreement on the exchange of information for the purpose of customs cooperation, given that such bilateral agreements affect only one Member State.

(117) In duly justified cases, where imperative grounds of urgency so require, the Commission should adopt immediately applicable implementing acts relating to:

— measures to ensure uniform application of customs controls and risk management, including the exchange of risk information and analysis, common priority control areas and common risk criteria and standards;

— determining the tariff classification of goods;

— determining the origin of specific goods;

— establishing the appropriate method of customs valuation or criteria to be used for determining the customs value of goods in specific situations, including distance sales;

— temporary prohibitions relating to the use of comprehensive guarantees;

— activating the necessary actions and arrangements to be applied in the event of a crisis;

— rapidly empowering a Member State to enter into a bilateral agreement with a third country on the exchange of information for the purpose of customs cooperation.

(118) In accordance with the principle of proportionality, it is necessary and appropriate, for the achievement of the basic objectives of enabling the customs union to function effectively and implementing the common commercial policy, to lay down the rules and procedures applicable to goods brought into or taken out of the customs territory of the Union. This Regulation does not go beyond what is necessary to achieve the objectives pursued, in accordance with Article 5(4) of the Treaty on European Union.

(119) From 1 March 2031, economic operators should be able to start using, on a voluntary basis, the capabilities of the EU Customs Data Hub. By 1 March 2034, the EU Customs Data Hub should be fully developed, and all economic operators should use it.

(120) This Regulation should be applied within an ambitious timeline, but applied gradually. Accordingly, the provisions of this Regulation conferring implementing and delegated powers to the Commission should apply as soon as this Regulation enters into force, to allow the Commission the possibility to revise the existing delegated and implementing acts and, where appropriate, to adopt new delegated and implementing acts based on the new delegations of powers and empowerments as soon as this Regulation enters into force. By contrast, to enable the Member States and the economic operators to adapt to the new rules, the vast majority of the provisions of this Regulation should apply from 12 months after its entry into force. That includes the repeal of the current Union Customs Code, which should only be effective after that 12-month adaptation period. Finally, the provisions referring to distance sales and the EU Customs Authority, except those governing the EU Customs Authority’s legal status and the start of its activities, should apply from 1 July 2028.

(121) The Commission should make every effort to ensure that the delegated and implementing acts provided for in this Regulation enter into force sufficiently in advance of the application date of the relevant provisions in this Regulation to allow for their timely implementation by Member States.

(122) The European Data Protection Supervisor was consulted in accordance with Article 42(1) of Regulation (EU) 2018/1725 and delivered an opinion on 11 July 2023,

HAVE ADOPTED THIS REGULATION:

TITLE I

GENERAL PROVISIONS

CHAPTER 1

Scope of customs legislation and mission of the customs authorities

Article 1

Subject matter and scope

1.   This Regulation establishes the Union Customs Code. It lays down the general rules and procedures applicable to goods brought into or taken out of the customs territory of the Union.

This Regulation also establishes the European Union Customs Authority (the ‘EU Customs Authority’) and the rules, the common standards and the governance framework for the establishment of the European Union Customs Data Hub (the ‘EU Customs Data Hub’).

2.   Without prejudice to international law and conventions, and to Union law in other fields, this Regulation shall apply uniformly throughout the customs territory of the Union.

3.   Certain provisions of the customs legislation apply outside the customs territory of the Union under Union law governing specific fields or international conventions.

4.   Certain provisions of the customs legislation, including the simplifications for which it provides, shall apply to the trade in Union goods between parts of the customs territory of the Union to which Directive 2006/112/EC or (EU) 2020/262 apply and parts of that territory where those Directives do not apply, or to trade between parts of that territory where those Directives do not apply.

Article 2

Mission of customs authorities

With a view to making the customs union act as one, achieving a uniform implementation of the customs legislation, including harmonised customs control rules, and enabling the smooth functioning of the internal market, the mission of the customs authorities is to protect the financial and economic interests of the Union and its Member States by collecting customs duties and other charges effectively and by combatting fraud, facilitate legitimate business activity, contribute to fair trade and to the overall supply chain security, and combat illicit trade.

In addition, customs authorities shall contribute to ensuring the safety and security of the Union and its residents and to the protection of human, animal and plant health and life, consumers and the environment, as well as of other public interests protected by other legislation applied by the customs authorities within their competence and, where appropriate, in close cooperation with other competent authorities.

Article 3

Customs territory

1.   The customs territory of the Union shall comprise the following territories, including their territorial waters, internal waters and airspace:

(a) the territory of the Kingdom of Belgium;

(b) the territory of the Republic of Bulgaria;

(c) the territory of the Czech Republic;

(d) the territory of the Kingdom of Denmark, except the Faroe Islands and Greenland;

(e) the territory of the Federal Republic of Germany, except the Island of Heligoland and the territory of Büsingen (Treaty of 23 November 1964 between the Federal Republic of Germany and the Swiss Confederation);

(f) the territory of the Republic of Estonia;

(g) the territory of Ireland;

(h) the territory of the Hellenic Republic;

(i) the territory of the Kingdom of Spain, except Ceuta and Melilla;

(j) the territory of the French Republic, except the French overseas countries and territories to which Part Four of the Treaty on the Functioning of the European Union (TFEU) applies;

(k) the territory of the Republic of Croatia;

(l) the territory of the Italian Republic, except the municipality of Livigno;

(m) the territory of the Republic of Cyprus, in accordance with the provisions of the 2003 Act of Accession;

(n) the territory of the Republic of Latvia;

(o) the territory of the Republic of Lithuania;

(p) the territory of the Grand Duchy of Luxembourg;

(q) the territory of Hungary;

(r) the territory of the Republic of Malta;

(s) the territory of the Kingdom of the Netherlands in Europe;

(t) the territory of the Republic of Austria;

(u) the territory of the Republic of Poland;

(v) the territory of the Portuguese Republic;

(w) the territory of Romania;

(x) the territory of the Republic of Slovenia;

(y) the territory of the Slovak Republic;

(z) the territory of the Republic of Finland; and

(za) the territory of the Kingdom of Sweden.

2.   The following territories, including their territorial waters, internal waters and airspace, situated outside the territory of the Member States shall, taking into account the conventions and treaties applicable to them, be considered to be part of the customs territory of the Union:

(a) in relation to France, the territory of Monaco as defined in the Customs Convention signed in Paris on 18 May 1963 (Journal officiel de la République française (Official Journal of the French Republic) of 27 September 1963, p. 8679);

(b) in relation to Cyprus, the territory of the United Kingdom Sovereign Base Areas of Akrotiri and Dhekelia as defined in the Treaty concerning the Establishment of the Republic of Cyprus, signed in Nicosia on 16 August 1960 (United Kingdom Treaty Series No 4 (1961) Cmnd. 1252).

Article 4

Delegation of powers

The Commission is empowered to adopt delegated acts in accordance with Article 282 to supplement this Regulation by specifying which provisions of the customs legislation concerning the provision of data, the proof of customs status and the use of the internal Union transit procedure apply to the trade in Union goods referred to in Article 1(4) and laying down simplifications of those provisions, provided that those delegated acts do not affect the proper application of the relevant fiscal measures. Those delegated acts may address particular circumstances pertaining to the trade in Union goods involving only one Member State.

CHAPTER 2

Definitions

Article 5

Definitions

For the purposes of this Regulation, the following definitions apply:

(1) ‘customs authorities’ means the customs administrations of the Member States responsible for applying the customs legislation and any other authorities empowered under national law to apply certain customs legislation;

(2) ‘customs legislation’ means all of the following:

(a) this Regulation and the provisions amending, supplementing or implementing it adopted at Union or national level;

(b) the Common Customs Tariff;

(c) the legal acts establishing a Union system of reliefs from customs duty;

(d) customs provisions contained in international agreements, if those provisions are applicable in the Union; and

(e) Regulation (EU) 2022/2399 and the provisions amending, supplementing or implementing it;

(3) ‘other legislation applied by the customs authorities’ means legislation other than customs legislation applicable to goods entering, exiting or passing through the customs territory of the Union, or to goods to be placed on the Union market, in the implementation of which the customs authorities are involved;

(4) ‘commercial policy measures’ means, as part of other legislation applied by the customs authorities, measures adopted pursuant to Article 207 TFEU other than provisional or definitive anti-dumping duties, countervailing duties or safeguard measures in the form of increased tariffs on specific goods and including, in particular, special surveillance measures and safeguard measures in the form of import or export authorisations;

(5) ‘person’ means a natural person, a legal person or an association of persons which is not a legal person but which is recognised under Union or national law as having the capacity to perform legal acts;

(6) ‘economic operator’ means a person who, in the course of that person’s business, is involved in activities covered by the customs legislation;

(7) ‘established in the customs territory of the Union’ means:

(a) in the case of a natural person, having his or her habitual residence in the customs territory of the Union;

(b) in the case of a legal person or an association of persons, having its registered office, its central headquarters or a permanent business establishment in the customs territory of the Union;

(8) ‘permanent business establishment’ means a fixed place of business where both the necessary human resources and the necessary technical resources are permanently present and through which a person’s customs-related operations are wholly or partly carried out;

(9) ‘Member State of establishment’ means:

(a) the Member State in which a person is established in accordance with point (7); or

(b) where a legal person or an association of persons has its registered office, central headquarters or permanent business establishment in different Member States, the Member State in which the main accounts for customs purposes of that person or association of persons are held or accessible, and in which at least part of the customs activities are carried out or are to be carried out;

(10) ‘customs decision’ means any act by the customs authorities that relates to the customs legislation, gives a ruling on a particular case and has legal effects for the person or persons concerned;

(11) ‘customs procedure’ means any of the following procedures under which goods can be placed in accordance with this Regulation:

(a) release for free circulation;

(b) special procedures;

(c) export;

(12) ‘customs formalities’ means all the operations which must be carried out by a person and by the customs authorities in order to comply with the customs legislation;

(13) ‘importer’ means:

(a) in the case of distance sales, the importer for distance sales;

(b) in other cases, the person determined by applying points (i) to (v) in order:

(i) a person who has the power to decide and has decided that goods from a third country are to be brought into the customs territory of the Union;

(ii) a person who has taken over the power from the person as referred to in point (i);

(iii) a succeeding person who has the power to decide and has decided to have the goods placed under a customs procedure;

(iv) the carrier who brings the goods into the customs territory of the Union; or

(v) the holder of the goods;

(14) ‘importer for distance sales’ means either the person supplying goods in distance sales or the person facilitating distance sales;

(15) ‘distance sales’ means distance sales of goods imported from third countries or third territories as defined in Article 14(4), point (2), of Directive 2006/112/EC;

(16) ‘IOSS scheme’ means the special scheme laid down in Title XII, Chapter 6, Section 4, of Directive 2006/112/EC;

(17) ‘exporter’ means:

(a) a private individual carrying goods to be taken out of the customs territory of the Union where those goods are contained in the private individual’s personal baggage;

(b) in cases not covered by point (a):

(i) a person established in the customs territory of the Union who has the power to decide and who has decided that goods are to be taken out of that customs territory; or

(ii) if there is no person as referred to in point (i), any person established in the customs territory of the Union who is a party to a contract under which goods are to be taken out of that customs territory;

(18) ‘re-export’ means the act whereby an exporter takes non-Union goods out of the customs territory of the Union;

(19) ‘pre-departure information’ means the set of data to be provided, or made available, to the customs authorities and relating to goods that are to be taken out of the customs territory of the Union;

(20) ‘customs representative’ means any person appointed by another person to carry out the acts and formalities required under the customs legislation in that other person’s dealings with the customs authorities;

(21) ‘data’ means any digital or non-digital representation of acts, facts or information and any compilation of such acts, facts or information, including in the form of document, sound, visual or audio-visual recording;

(22) ‘customs surveillance’ means collecting and analysing information in relation to goods entering, exiting or passing through the customs territory of the Union in order to monitor those movements at Union level, to ensure the uniform application of customs controls and compliance with the customs legislation and other legislation applied by the customs authorities, and to contribute to risk analysis and management;

(23) ‘risk’ means the likelihood and the impact of an event occurring, with regard to goods moved between the customs territory of the Union and countries outside that territory and to the presence within the customs territory of the Union of non-Union goods, which would pose a threat to:

(a) the financial or economic interests of the Union and its Member States;

(b) the safety and security of the Union and its residents, to human, animal or plant health, to the environment or to any other public interest;

(c) the correct application of Union or national measures;

(24) ‘economic analysis’ means the evaluation or quantification of a policy or an economic phenomenon in order to understand how economic factors affect the functioning of a policy, a geographical area or any group of persons, with a view to making better decisions in the future;

(25) ‘risk management’ means the systematic identification of risk, including identifying profiles of economic operators presenting a risk and suspicious transactions, and the implementation of all measures necessary for limiting exposure to risk and minimising its potential impact;

(26) ‘customs supervision’ means actions taken in general by the customs authorities with a view to ensuring that customs legislation and, where appropriate, other legislation applied by the customs authorities is complied with, or with a view to otherwise contributing to the management of risks related to goods and their supply chains;

(27) ‘customs controls’ means specific acts performed by the customs authorities with a view to ensuring compliance with the customs legislation and, where appropriate, other legislation applied by the customs authorities, or with a view to otherwise contributing to the management of risks related to goods and their supply chains;

(28) ‘audit’ means a type of customs control in the form of specific acts performed by the customs authorities in order to collect and evaluate evidence on the compliance of an economic operator’s management, organisation, internal procedures or internal systems with the relevant rules and requirements;

(29) ‘place of release’ means:

(a) the competent customs office;

(b) the place designated or approved by the customs authority, including the place indicated by the Trust and Check trader; or

(c) a free zone;

(30) ‘notification of availability of the goods’ means the act whereby a person informs the customs authority that goods are physically located at the place of release and that data necessary to place those goods under the customs procedure concerned or in temporary storage, or to end the Union transit procedure, were provided or made available;

(31) ‘random controls’ means customs controls based on principles of random sampling with regard to a population of interest;

(32) ‘holder of the goods’ means the person who has physical control of the goods;

(33) ‘carrier’ means:

(a) in the context of entry, the person who brings the goods, or who assumes responsibility for the carriage of the goods, into the customs territory of the Union; however:

(i) in the case of combined transportation, ‘carrier’ means the person who operates the means of transport which, once brought into the customs territory of the Union, moves by itself as an active means of transport;

(ii) in the case of maritime or air traffic under a vessel-sharing or contracting arrangement, ‘carrier’ means the person who concludes a contract, and issues a bill of lading or air waybill, for the actual carriage of the goods into the customs territory of the Union;

(b) in the context of exit, the person who takes the goods, or who assumes responsibility for the carriage of the goods, out of the customs territory of the Union; however:

(i) in the case of combined transportation, where the active means of transport leaving the customs territory of the Union is only transporting another means of transport which, after the arrival of the active means of transport at its destination, will move by itself as an active means of transport, ‘carrier’ means the person who will operate the means of transport which will move by itself once the means of transport leaving the customs territory of the Union has arrived at its destination;

(ii) in the case of maritime or air traffic under a vessel-sharing or contracting arrangement, ‘carrier’ means the person who concludes a contract, and issues a bill of lading or air waybill, for the actual carriage of the goods out of the customs territory of the Union;

(34) ‘risk analysis’ means the processing of data, including personal data, with a view to the identification or quantification of possible risks, using where relevant analytical methods and artificial intelligence (AI) systems as defined in Article 3, point (1), of Regulation (EU) 2024/1689 of the European Parliament and of the Council (30);

(35) ‘risk signal’ means the indication of a possible risk, based on automated processing operations implementing risk analysis, in respect of data, information or documents;

(36) ‘risk analysis result’ means, in the case of a risk signal, the determination that a risk is or is not present, based on an automatic process or on further human assessment of the risk signal;

(37) ‘risk mitigation measures’ means the measures to prevent, reduce or manage a risk or to limit its impact, including:

(a) instructing the carrier or exporter that the goods are not to be loaded or transported;

(b) requesting relevant additional information or action;

(c) identifying situations where action by another customs authority or other competent authority might be appropriate;

(d) recommending the most appropriate place to carry out controls and the most appropriate measures for those controls;

(e) carrying out a customs control;

(f) determining the route to be used and the time limit to be respected when goods are to be taken out of the customs territory of the Union;

(38) ‘control recommendation’ means the risk analysis-based conclusion of a customs authority or of the EU Customs Authority as regards whether a risk mitigation measure should be carried out and, where relevant, when and where it should be carried out;

(39) ‘control decision’ means the individual act by which customs authorities decide whether a control is to take place;

(40) ‘control result’ means the preliminary and final outcomes of a control, including any further action indicated and the competent authorities concerned with the outcomes;

(41) ‘common priority control area’ means a selection of particular customs procedures, types of goods, traffic routes, modes of transport or economic operators with a view to subjecting them to increased levels of risk analysis and risk mitigation measures during a certain period, without prejudice to other controls usually carried out by the customs authorities;

(42) ‘common risk criteria and standards’ means parameters for risk analysis of a risk area and accompanying standards regarding the practical application of those parameters;

(43) ‘supervision strategy’ means an approach to handling a risk which aims to balance operational customs supervision efforts and risk mitigation measures throughout the supply chain in a proportionate and effective manner;

(44) ‘consignment’ means goods conveyed under the same transport contract by one consignor to one consignee by the same means of transport, including multimodal, coming from the same territory or third country, and being of the same type, class or description or being packed together;

(45) ‘customs status’ means the status of goods as Union or non-Union goods;

(46) ‘Union goods’ means goods which fall into any of the following categories:

(a) goods wholly obtained in the customs territory of the Union and not incorporating goods imported from third countries;

(b) goods brought into the customs territory of the Union from third countries and released for free circulation;

(c) goods obtained or produced in the customs territory of the Union, either solely from goods referred to in point (b) or from goods referred to in points (a) and (b);

(47) ‘non-Union goods’ means goods other than Union goods or goods which have lost their customs status as Union goods;

(48) ‘release of goods’ means the act whereby the customs authorities, or other persons on their behalf, make goods available for the purposes specified for the customs procedure under which the goods are intended to be placed;

(49) ‘entry summary declaration’ means the act whereby a person informs the customs authorities, in the prescribed form and manner and within a specific time limit, that goods are to be brought into the customs territory of the Union;

(50) ‘exit summary declaration’ means the act whereby a person informs the customs authorities, in the prescribed form and manner and within a specific time limit, that goods are to be taken out of the customs territory of the Union;

(51) ‘temporary storage declaration’ means the act whereby a person indicates, in the prescribed form and manner, that goods are in temporary storage;

(52) ‘customs declaration’ means the act whereby a person indicates, in the prescribed form and manner, a wish to place goods under a given customs procedure, with an indication, where appropriate, of any specific arrangements to be applied;

(53) ‘presentation of goods to customs’ means the notification to the customs authorities of the arrival of goods at the customs office designated by the customs authorities or at any other place designated or approved by the customs authorities, and the availability of those goods for customs controls;

(54) ‘declarant’ means the person lodging a customs declaration, a temporary storage declaration, an entry summary declaration, an exit summary declaration, a re-export declaration or a re-export notification in that person’s own name, or the person in whose name such a declaration or notification is lodged;

(55) ‘re-export declaration’ means the act whereby a person indicates, in the prescribed form and manner, a wish to take non-Union goods out of the customs territory of the Union, with the exception of non-Union goods under the free zone procedure or in temporary storage;

(56) ‘re-export notification’ means the act whereby a person indicates, in the prescribed form and manner, a wish to take non-Union goods which are under the free zone procedure or in temporary storage out of the customs territory of the Union;

(57) ‘manufacturer’ means:

(a) the manufacturer of the product pursuant to the other legislation applied by the customs authorities that is applicable to that product;

(b) in the case of agricultural products as defined in Article 38(1) TFEU or raw materials, the producer; or

(c) if there is no manufacturer or producer as referred to in points (a) and (b), the natural or legal person or association of persons that manufactured the product or had the product manufactured, and that markets that product under that person’s or association’s name or trademark;

(58) ‘product supplier’ means any natural or legal person or association of persons in the supply chain that manufactures a product in whole or in part, whether as manufacturer or in any other circumstance;

(59) ‘temporary storage’ means the situation of non-Union goods temporarily stored under customs supervision in the period between the moment in which the carrier notifies the arrival of the goods in the customs territory of the Union and their placement under a customs procedure or their re-export;

(60) ‘expected customs office of first entry’ means the customs office which is competent for customs supervision at the place where the means of transport carrying the goods is destined to arrive in the customs territory of the Union from outside that territory;

(61) ‘advance cargo information’ means the set of data provided or made available to customs authorities in relation to goods that are to be brought into the customs territory of the Union;

(62) ‘processed products’ means goods placed under a processing procedure which have undergone processing operations;

(63) ‘processing operations’ means any of the following:

(a) the working of goods, including erecting, assembling or fitting those goods to other goods;

(b) the processing of goods;

(c) the destruction of goods;

(d) the repair of goods, including restoring and putting those goods in order;

(e) the use of goods which are not to be found in the processed products but which allow or facilitate the production of those products, even if such goods are entirely or partially used up in the process (production accessories);

(64) ‘holder of the transit procedure’ means the person that lodges the transit declaration or provides the information required for placing goods under that procedure, or on whose behalf that declaration is lodged or that information provided;

(65) ‘rate of yield’ means the quantity or percentage of processed products obtained from the processing of a given quantity of goods placed under a processing procedure;

(66) ‘third country’ means a country or a territory outside the customs territory of the Union;

(67) ‘customs debt’ means the obligation on a person to pay the amount of import or export duty which applies to specific goods under the customs legislation;

(68) ‘debtor’ means any person liable for a customs debt;

(69) ‘import duty’ means the customs duty payable on the import of goods;

(70) ‘export duty’ means the customs duty payable on the export of goods;

(71) ‘repayment’ means the refunding of an amount of import or export duty that has been paid;

(72) ‘remission’ means the waiving of the obligation to pay an amount of import or export duty which has not been paid;

(73) ‘buying commission’ means a fee paid by an importer to an agent for representing the importer in the purchase of goods being valued;

(74) ‘crisis’ means an event, whether natural or man-made, of an exceptional nature and scale, taking place inside or outside of the Union, that endangers the safety, security, health and life of residents, economic operators, or personnel of customs authorities and that requires urgent measures as regards the entry, exit or transit of goods;

(75) ‘crisis response cell’ means a service within the EU Customs Authority that coordinates the Union’s crisis response efforts within the customs union;

(76) ‘micro, small and medium-sized enterprises’ or ‘SMEs’ means micro, small and medium-sized enterprises as defined in Article 2 of Recommendation 2003/361/EC;

(77) ‘Economic Operator Registration and Identification number’ or ‘EORI number’ means an identification number, unique in the customs territory of the Union, assigned by a customs authority to an economic operator or to another person in order to register that economic operator or person for customs purposes;

(78) ‘item’ means one or more goods in a consignment sharing the same tariff classification, description and, where provided for as part of the data requirements applicable to the relevant customs declaration or to the data to be provided or made available to the customs authorities, origin;

(79) ‘shared border-crossing point’ means any customs border-crossing point, situated either in the territory of a Member State or in the territory of a neighbouring third country, at which the customs authorities of that Member State and of that neighbouring third country apply their respective customs legislation pursuant to a bilateral agreement.

CHAPTER 3

Competent customs authority and operational rules of customs offices

Article 6

Competent customs authority

1.   The competent customs authority shall be:

(a) for the decisions relating to the application of the customs legislation in accordance with Chapter 4, except for specific cases laid down in the customs legislation, the customs authority of the Member State of establishment of the applicant;

(b) for the activities to be carried out under Articles 97 to 100, the customs authority competent for the customs office of first entry;

(c) for the activities to be carried out under Articles 101, 102 and 103, the customs authority competent for the customs office of first entry or the customs authority of the Member State in which the goods are unloaded or transhipped, depending on the specific situation as referred to in Article 101(1), (2) and (3);

(d) for the activities to be carried out under Articles 104 to 108 and Title V, the customs authority of the Member State in which:

(i) the goods to be in temporary storage are located, including the place where the transit procedure ends, depending on the specific situation; or

(ii) the goods to be placed under a customs procedure are located;

(e) for the activities to be carried out under Title VII, other than those linked to the placement of the goods under a customs procedure, the customs authority responsible for the place where the goods leave the customs territory of the Union.

2.   By way of derogation from paragraph 1, point (d), the competent customs authority shall be:

(a) for the release for free circulation in the case of distance sales where the importer for distance sales is not making use of the IOSS scheme, the customs authority of the Member State in which the goods are to be delivered;

(b) where the importer or the exporter is a Trust and Check trader, the customs authority of the Member State of establishment of that importer or exporter or its customs representative;

(c) where the declarant has been authorised to use centralised clearance in accordance with Article 91, the customs authority of the Member State of establishment of that declarant.

3.   The customs authority responsible for the place of establishment of the Trust and Check trader shall:

(a) supervise the placing of the goods under the customs procedure concerned;

(b) carry out the customs controls for the verification of the information provided;

(c) where justified, request the customs authority responsible for the place of dispatch or final destination of the goods to carry out a customs control;

(d) where there is a risk that can only be mitigated after the goods have arrived in the customs territory of the Union or before they have left that territory, request the customs authority responsible for the place where the goods enter or exit to perform customs controls;

(e) carry out the customs formalities for the recovery of the amount of import or export duty corresponding to any customs debt.

4.   Taking into account the reasonably expected impact on trade flows, the available control resources and the severity of the risk, the customs authority responsible for the place of dispatch or final destination of the goods or for the place where the goods enter or exit the customs territory of the Union shall carry out the customs controls requested by the customs authority responsible for the place of establishment of the Trust and Check trader in accordance with paragraph 3, points (c) and (d), and centralised clearance authorisation holders, and provide that customs authority with the results of those controls, without prejudice to its own controls pertaining to goods brought into or taken out of the customs territory of the Union.

5.   The competent customs authorities shall have access to the information necessary for ensuring the correct application of customs legislation and other legislation applied by the customs authorities.

6.   The Commission is empowered to adopt delegated acts in accordance with Article 282 to supplement this Regulation by laying down the specific cases referred to in paragraph 1, point (a), of this Article.

7.   The Commission shall adopt implementing acts laying down the procedural rules for the cooperation between customs authorities referred to in paragraph 4 of this Article. Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 283(4).

8.   The Commission shall adopt guidelines to specify tasks for the cooperation between customs authorities referred to in paragraph 4.

Article 7

Operational rules on the competent customs offices

1.   Except where other legislation applied by the customs authorities provides otherwise, Member States shall determine the location and competence of their customs offices.

2.   Member States shall ensure that official opening hours of their customs offices are reasonable and appropriate, taking into account the nature of the traffic and of the goods and the customs procedures under which they are to be placed, so that the flow of international traffic is neither hindered nor distorted.

CHAPTER 4

Customs decisions

Section 1

General principles

Article 8

Decisions taken upon application

1.   Where a person applies for a decision relating to the application of the customs legislation, that person shall provide all the information required by the competent customs authorities in order to enable them to take that decision.

A decision may also be applied for by, and taken with regard to, several persons, in accordance with the conditions laid down in the customs legislation.

2.   Customs authorities shall, without delay and at the latest 30 calendar days from the date of receipt of an application for a decision, verify whether the conditions for the acceptance of that application are fulfilled.

Where a customs authority establishes that the application for a decision contains all the information required in order for them to be able to take that decision, it shall communicate the application’s acceptance to the applicant within 30 calendar days from the date of receipt of that application.

Where the customs authority establishes that the application does not contain all the information required, it shall ask the applicant to provide the relevant additional information within a reasonable period, which shall not exceed 30 calendar days. In such cases, the customs authority shall decide whether the application is complete and therefore is to be accepted, or whether it is incomplete and therefore is to be refused, within a period of no more than 60 calendar days from the date of receipt of the first application. If the customs authority does not communicate its decision to the applicant within that period, the application shall be considered to have been accepted at the end of the period of 60 calendar days.

3.   Except in specific cases laid down in the customs legislation, the competent customs authority shall take a decision as referred to in paragraph 1 at the latest 120 calendar days from the date of acceptance of the application and shall notify the applicant of that decision without delay.

Where the customs authority is unable to comply with the time limit for taking a decision, including where such a delay is due to ongoing consultations with other competent authorities or international bodies, it shall inform the applicant of that fact before the expiry of that time limit, stating the reasons for the delay and indicating the further period that it considers necessary in order to take a decision. Except in specific cases laid down in the customs legislation, that further period shall not exceed 30 calendar days.

In addition, the customs authority may extend the time limit for taking a decision that is laid down in the customs legislation where the applicant requests an extension to carry out adjustments in order to ensure the fulfilment of the conditions and criteria required for granting the decision. Those adjustments and the further period necessary to carry them out shall be communicated to the customs authority, which shall decide whether to grant the requested extension.

Where the customs authority fails to take a decision within the time limits established in the first, second and third subparagraphs, the applicant shall receive an automatic notification. The applicant may consider that failure to take a decision constitutes a negative decision.

4.   Except in specific cases laid down in the customs legislation, or where otherwise specified in the decision itself, a decision shall take effect from the date on which the applicant receives it or is deemed to have received it.

Except in the cases provided for in Article 19(2), decisions shall be enforceable by the customs authorities from their date of adoption.

5.   Except in specific cases laid down in the customs legislation, a decision shall be valid without limitation of time.

6.   Before taking a decision which would adversely affect the applicant, the customs authority shall communicate to the applicant the grounds on which it intends to base its decision. The applicant shall be given the opportunity to express its opinion within a prescribed period calculated from the date on which it received that communication or is deemed to have received it (‘right to be heard’). Following the expiry of that period, the applicant shall be notified, in the appropriate way, of the decision.

The rights and obligations referred to in the first subparagraph shall not apply:

(a) where the decision concerned relates to binding information referred to in Article 15(1);

(b) in the event of refusal of the benefit of a tariff quota, where the specified tariff quota volume is reached, as referred to in Article 166(4), first subparagraph;

(c) where the nature or the level of the threat to the safety and security of the Union and its residents, to human, animal or plant health, to the environment or to consumers so requires;

(d) where the decision concerned aims to secure the implementation of another decision on which the applicant has been given the opportunity to express its opinion, without prejudice to the law of the Member State concerned;

(e) where it would prejudice investigations initiated for the purpose of combatting fraud;

(f) where the application does not satisfy the conditions for its acceptance;

(g) where the customs authority instructs the person who lodged the entry summary declaration, or who provided or made available the advance cargo information, that the goods are not to be loaded or transported;

(h) where the decision concerns a notification to the applicant of a Commission decision as referred to in Article 217(3);

(i) where an EORI number is to be invalidated, at the request of the economic operator concerned, or where there is no customs activity for three years or an economic operator no longer exists;

(j) where the nature or the level of a threat to financial interests of the Union or its Member States so requires.

7.   A decision that adversely affects the applicant shall set out the grounds on which it is based and shall refer to the right of appeal provided for in Article 18.

8.   The Commission is empowered to adopt delegated acts in accordance with Article 282 to supplement this Regulation by determining:

(a) the data required for applications and decisions referred to in this Article;

(b) the conditions for the acceptance of an application, referred to in paragraph 2 of this Article;

(c) the specific cases in which the time limit for taking a specific decision and the time limit for a possible extension of that time limit differs from the time limits referred to in paragraph 3 of this Article;

(d) the specific cases, referred to in paragraph 4 of this Article, in which a decision takes effect from a date that is different from the date on which the applicant receives it or is deemed to have received it;

(e) the specific cases, referred to in paragraph 5 of this Article, in which the decision is not valid without limitation of time;

(f) the duration of the period referred to in paragraph 6, first subparagraph, of this Article;

(g) the rules relating to the cases referred to in paragraph 6, second subparagraph, of this Article.

9.   The Commission is empowered to adopt delegated acts in accordance with Article 282 to amend paragraphs 2 and 3 of this Article to shorten the time limits referred to therein, if appropriate, once the EU Customs Data Hub is operational.

10.   The Commission shall adopt implementing acts laying down the procedure for:

(a) the submission and the acceptance of the application for a decision, referred to in paragraphs 1 and 2;

(b) taking the decisions referred to in this Article, including, where appropriate, as regards the right to be heard and the consultation of other Member States concerned.

Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 283(4).

Article 9

Management of decisions taken upon application

1.   The holder of the decision shall comply with the obligations resulting from that decision.

2.   The holder of the decision shall continuously monitor the fulfilment of the criteria and the compliance with the conditions, as well as the compliance with the obligations, resulting from that decision and, where applicable, establish internal controls capable of preventing, detecting and correcting illegal or irregular transactions.

3.   The holder of the decision shall inform the customs authorities without delay of any factor that arises after the decision was taken that could influence the continuation or content of that decision.

4.   Customs authorities shall regularly monitor whether the holder of the decision continues to fulfil the relevant criteria and to comply with the relevant obligations, in particular the ability of the holder of the decision to prevent, react to and remedy errors through appropriate internal controls and to notify customs authorities of any suspicion of customs fraud of which the holder is aware, or should reasonably have been aware, or of information that could lead to its detection, in particular in accordance with Articles 27, 28, 30 and 31. Based on such monitoring activity, the customs authorities shall assess the risk profile of the holder of the decision, where relevant. Where the holder of the decision has been established in the customs territory of the Union for less than three years, the customs authorities shall closely monitor the holder during the first year after the decision is taken.

5.   The customs authorities shall communicate to the EU Customs Authority the decisions taken upon application and all monitoring activities that they carry out in accordance with paragraph 4. The EU Customs Authority shall take this information into account for risk management purposes.

6.   Until 28 February 2034, the customs authorities shall record their decisions in the existing electronic systems for the exchange of information developed by the Commission and the Member States. The Commission and the Member States shall have access to those decisions and underlying information in those systems.

7.   Without prejudice to other applicable provisions specifying the cases in which decisions are invalid or become null and void, the customs authorities which took a decision may at any time annul, revoke or amend it where it does not conform to the customs legislation. Customs authorities shall inform the EU Customs Authority about such annulment, revocation and amendment of customs decisions, unless this information is already available in the EU Customs Data Hub.

8.   In specific cases laid down in the customs legislation, the customs authorities shall re-assess a decision.

9.   The Commission is empowered to adopt delegated acts in accordance with Article 282 to supplement this Regulation by determining:

(a) detailed rules for monitoring decisions as referred to in paragraphs 2, 3 and 4 of this Article;

(b) the specific cases where decisions are to be re-assessed, as referred to in paragraph 8 of this Article, and the rules for such re-assessing.

Article 10

Union-wide validity of decisions

Decisions relating to the application of the customs legislation shall be valid throughout the customs territory of the Union, except where the decision provides that its effect is limited to one or more Member States.

Article 11

Annulment of favourable decisions

1.   The customs authorities shall annul a decision favourable to the holder of the decision if all the following conditions are fulfilled:

(a) the decision was taken on the basis of incorrect or incomplete information;

(b) the holder of the decision knew or should reasonably have known that the information was incorrect or incomplete;

(c) if the information had been correct and complete, the decision would have been different.

2.   The holder of the decision shall be notified of its annulment.

3.   The annulment of a decision shall take effect from the date on which the initial decision took effect, unless otherwise specified in the decision on that annulment in accordance with the customs legislation.

4.   The Commission shall adopt implementing acts laying down the rules for annulling favourable decisions. Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 283(4).

Article 12

Revocation, suspension and amendment of favourable decisions

1.   A favourable decision shall be revoked or amended:

(a) where one or more of the conditions for taking that decision were not or are no longer fulfilled;

(b) where the holder of the decision fails to fulfil the obligations imposed by that decision; or

(c) at the application of the holder of the decision.

2.   A favourable decision shall be suspended where:

(a) the customs authority considers that there may be sufficient grounds for annulling, revoking or amending the decision, but does not yet have all necessary elements to decide on the annulment, revocation or amendment;

(b) the customs authority considers that the conditions for the decision are not fulfilled or that the holder of the decision does not comply with the obligations imposed by that decision, and it is appropriate to allow the holder of the decision time to take measures to ensure fulfilment of the conditions or the compliance with the obligations;

(c) the holder of the decision requests such suspension because the holder is temporarily unable to fulfil the conditions for that decision or the obligations imposed by that decision.

In the cases referred to in points (b) and (c), the holder of the decision shall notify the customs authority competent to take the decision of the measures that the holder will take to ensure the fulfilment of the conditions or compliance with the obligations, as well as the period needed to take those measures.

3.   Except in specific cases laid down in the customs legislation, a favourable decision addressed to several persons may be revoked only in respect of a person who fails to comply with an obligation imposed by that decision.

4.   The holder of the decision shall be notified of its revocation, suspension or amendment.

5.   Article 8(4) shall apply to the revocation, suspension or amendment of the decision.

However, in exceptional cases where the legitimate interests of the holder of the decision so require, the customs authorities may defer the date on which the revocation or amendment takes effect by up to one year. That date shall be indicated in the revoking or amending decision.

6.   The Commission is empowered to adopt delegated acts in accordance with Article 282 to supplement this Regulation by determining:

(a) the specific cases, referred to in paragraph 3, in which the customs authorities are permitted to revoke a favourable decision addressed to several persons in respect of persons other than the person who failed to comply with an obligation imposed by that decision;

(b) the exceptional cases in which the customs authorities are permitted to defer the date on which revocation or amendment takes effect in accordance with paragraph 5, second subparagraph.

7.   The Commission shall adopt implementing acts laying down the procedural rules for revoking, suspending or amending favourable decisions. Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 283(4).

Article 13

Decisions taken without an application

Except when a customs authority acts as a judicial authority, Article 8(4) to (7), Article 9(7) and Articles 10, 11 and 12 shall apply

mutatis mutandis

to decisions taken by the customs authorities without an application by the person concerned.

Article 14

Limitations applicable to decisions on goods placed under a customs procedure or in temporary storage

Except where the person concerned so requests, the revocation, amendment or suspension of a favourable decision shall not affect goods which, at the moment when the revocation, amendment or suspension takes effect, have already been placed under a customs procedure and are still under that customs procedure, or are in temporary storage, as a result of the revoked, amended or suspended decision.

Section 2

Binding information

Article 15

Decisions relating to binding information

1.   The customs authorities shall, upon application, take decisions relating to binding tariff information (‘BTI decisions’), decisions relating to binding origin information (‘BOI decisions’) and decisions relating to binding valuation information (‘BVI decisions’).

Such applications shall not be accepted in any of the following cases:

(a) where the application is made, or has already been made, at the same or another customs office, by or on behalf of the holder of a decision:

(i) for BTI decisions, in respect of the same goods;

(ii) for BOI decisions, in respect of the same goods and in the same circumstances determining the acquisition of origin;

(iii) for BVI decisions, in respect of goods in the same circumstances determining the customs value;

(b) where the application does not relate to any intended use of decision relating to binding information or any intended use of a customs procedure.

2.   Decisions relating to binding information shall be binding, only in respect of the tariff classification or the determination of the origin or of customs value of the goods concerned, on:

(a) the customs authorities, in relation to the holder of the decision, only in respect of goods for which customs formalities are completed after the date on which the decision takes effect;

(b) the holder of the decision, in relation to customs authorities, only with effect from the date on which he or she receives, or is deemed to have received, notification of the decision.

3.   Decisions relating to binding information shall be valid for a period of three years from the date on which they take effect.

4.   For the application of a decision relating to binding information in the context of a particular customs procedure, the holder of the decision shall be able to prove:

(a) in the case of a BTI decision, that the goods in question correspond in every respect to those described in the decision;

(b) in the case of a BOI decision, that the goods in question and the circumstances determining the acquisition of origin correspond in every respect to the goods and the circumstances described in the decision;

(c) in the case of a BVI decision, that the circumstances determining the customs value for the goods in question correspond in every respect to the circumstances described in the decision.

Article 16

Management of decisions relating to binding information

1.   A BTI decision shall cease to be valid before the end of the period referred to in Article 15(3) where it no longer conforms to the law as a result of either of:

(a) the adoption of an amendment to the nomenclatures referred to in Article 166(2), points (a) and (b); or

(b) the adoption of measures referred to in Article 167(4).

In such cases, the BTI decision shall cease to be valid with effect from the date of application of the amendment or the measures.

2.   A BOI decision shall cease to be valid before the end of the period referred to in Article 15(3):

(a) where the BOI decision is no longer compliant with Union law as a result of the adoption of a legally binding act of the Union or the conclusion of an agreement by the Union that becomes applicable in the Union, with the BOI decision ceasing to be valid with effect from the date of application of that act or agreement; or

(b) where the BOI decision is no longer compatible with the Agreement on Rules of Origin established in the World Trade Organisation (WTO) or with the advisory opinions, information, advice and similar acts concerning the determination of the origin of goods to secure uniformity in the interpretation and application of that Agreement, with the BOI decision ceasing to be valid with effect from the date of their publication in the

Official Journal of the European Union

.

3.   A BVI decision shall cease to be valid before the end of the period referred to in Article 15(3):

(a) where the BVI decision is no longer compliant with Union law as a result of the adoption of a legally binding act of the Union, with the BVI decision ceasing to be valid from the date of application of that act; or

(b) where the BVI decision is no longer compatible with the Article VII of the General Agreement on Tariffs and Trade, or the Agreement on the Implementation of Article VII of the General Agreement on Tariffs and Trade 1994 (31), or with the decisions adopted for the interpretation of that Agreement by the Committee on Customs Valuation, with the BVI decision ceasing to be valid from the date of their publication in the

Official Journal of the European Union

.

4.   Decisions relating to binding information shall not cease to be valid with retroactive effect.

5.   By way of derogation from Article 9(7) and Article 11, the customs authorities shall annul decisions relating to binding information only where they are based on inaccurate or incomplete information from the applicants.

6.   The customs authorities shall revoke decisions relating to binding information in accordance with Article 9(7) and Article 12. However, such decisions shall not be revoked at the application of the holder of the decision.

7.   Decisions relating to binding information shall not be amended.

8.   The customs authorities shall revoke BTI decisions where they are no longer compatible with the interpretation of any of the nomenclatures referred to in Article 166(2), points (a) and (b), as a result of any of the following:

(a) the adoption of explanatory notes referred to in Article 9(1), point (a), first indent of Council Regulation (EEC) No 2658/87 (32), the BTI decision being revoked with effect from the date of publication of those explanatory notes in the

Official Journal of the European Union

;

(b) the delivery of a judgment of the Court of Justice of the European Union, the BTI decision being revoked with effect from the date of publication of the operative part of the judgment in the

Official Journal of the European Union

;

(c) the adoption of classification decisions, classification opinions or amendments to the explanatory notes to the Nomenclature of the Harmonised Commodity Description and Coding System, adopted by the Organization set-up by the Convention establishing a Customs Co-operation Council, done at Brussels on 15 December 1950, the BTI decision being revoked with effect from the date of publication of the relevant Commission communication in the ‘C’ series of the

Official Journal of the European Union

.

9.   BOI and BVI decisions shall be revoked where they are no longer compatible with a judgment of the Court of Justice of the European Union, with effect from the date of publication of the operative part of the judgment in the

Official Journal of the European Union

.

10.   Where a decision relating to binding information ceases to be valid in accordance with paragraph 1, point (b), or with paragraph 2 or 3, or is revoked in accordance with paragraph 6, 8 or 9, the decision may still be used in respect of binding contracts which were based upon that decision and were concluded before it ceased to be valid or was revoked. That extended use shall not apply where a BOI decision is taken for goods to be exported.

The period of extended use referred to in the first subparagraph shall be no longer than six months from the date on which the decision relating to binding information ceases to be valid or is revoked. However, a measure referred to in Article 167(4), a measure referred to in Article 172 or a measure referred to in Article 182 may exclude that extended use or lay down a shorter period. In the case of products for which an import or export certificate is submitted when customs formalities are carried out, the period of six months shall be replaced by the period of validity of the certificate.

In order to benefit from the extended use of a decision relating to binding information, the holder of that decision shall submit an application to the customs authority that took the decision within 30 days of the date on which it ceases to be valid or is revoked, indicating the quantities for which a period of extended use is requested and the Member State or Member States in which goods will be cleared during the period of extended use. That customs authority shall take a decision on the extended use and notify the holder thereof without delay and at the latest 30 days from the date on which it receives all the information required in order to enable it to take such decision.

11.   The Commission shall notify the customs authorities where:

(a) the taking of decisions relating to binding information for goods whose correct and uniform tariff classification or determination of origin or determination of the customs value is not ensured is suspended; or

(b) the suspension referred to in point (a) is withdrawn.

12.   The Commission may adopt implementing acts, in the form of decisions, requesting Member States to revoke a BTI decision, BOI decision or BVI decision to ensure a correct and uniform tariff classification or determination of the origin of goods or of the customs value.

Before adopting such a decision, the Commission shall communicate the grounds on which it intends to base its decision to the holder of the BTI decision, BOI decision or BVI decision, who shall be given the opportunity to express its views within a period prescribed from the date on which the holder receives that communication or is deemed to have received it.

Those implementing acts shall be adopted in accordance with the advisory procedure referred to in Article 283(2).

13.   The Commission is empowered to adopt delegated acts in accordance with Article 282 to supplement this Regulation by laying down the rules for taking the decisions referred to in paragraph 12 of this Article, including on the communication to the persons concerned of the grounds on which the Commission intends to base its decisions and the time limit within which those persons may express their views.

14.   The Commission shall adopt implementing acts laying down the procedural rules for:

(a) using a decision relating to binding information after it ceases to be valid or is revoked, in accordance with paragraph 10 of this Article;

(b) notifying the customs authorities in accordance with paragraph 11 of this Article.

Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 283(4).

Section 3

Appeals

Article 17

Decisions taken by a judicial authority

Articles 18 and 19 shall not apply to appeals lodged with a view to the annulment, revocation or amendment of a decision relating to the application of the customs legislation taken by a judicial authority, or by customs authorities acting as judicial authorities.

Article 18

Right of appeal

1.   A person shall have a right to appeal against any decision taken by the customs authorities relating to the application of the customs legislation, provided that the decision concerns that person directly and individually.

Any person who has applied to the customs authorities for a decision and has not obtained one within the time limits referred to in Article 8(3) shall also be entitled to exercise its right of appeal.

2.   It shall be possible to exercise the right of appeal in at least two stages:

(a) initially, before the customs authorities or a judicial authority or other body designated for that purpose by the Member State concerned;

(b) subsequently, before a higher independent body, which can be a judicial authority or an equivalent specialised body, depending on the national law of the Member State concerned.

3.   The appeal shall be lodged in the Member State in which the decision was taken or was applied for.

4.   Member States shall ensure that the appeals procedure enables the prompt confirmation or correction of decisions taken by the customs authorities.

Article 19

Suspension of implementation

1.   The submission of an appeal shall not have the effect of suspending the implementation of the decision being appealed.

2.   Notwithstanding paragraph 1, the customs authorities shall suspend the implementation of such a decision in whole or in part where they have good reason to believe that the decision being appealed is inconsistent with the customs legislation or that irreparable damage might be suffered by the person concerned.

3.   In the cases referred to in paragraph 2, where the decision being appealed has the effect of causing import or export duty to be payable, the suspension of implementation of that decision shall be conditional upon the provision of a guarantee, unless it is established, on the basis of a documented assessment, that such a guarantee would be likely to cause the debtor serious economic or social difficulties.

Section 4

Charges and costs

Article 20

Charges, costs and Union handling fee

1.   Customs authorities shall not impose charges for the performance of customs controls or for any other application of the customs legislation carried out during the official opening hours of their competent customs offices.

2.   By way of derogation from paragraph 1, customs authorities shall collect a Union handling fee of a fixed amount per item for the services to be rendered for handling a request for placing goods under the release for free circulation procedure where those goods are sold in distance sales.

3.   The amount of the Union handling fee referred to in paragraph 2 shall correspond to the approximate costs of the services referred to in that paragraph. Those costs shall include at least the costs of checking the data, of carrying out risk analysis, of the relevant infrastructure and of controls, including services rendered by the EU Customs Authority.

4.   The amount referred to in paragraph 2 shall be lower where the subject of release for free circulation is goods sold in distance sales from a customs warehouse for distance sales.

5.   The debtor of the customs debt at import shall pay the Union handling fee at least once a month to the customs authorities competent for the release for free circulation of the goods at the moment of the payment of the customs debt. Where there is no customs debt, the person that would have been the debtor in the event of a customs debt shall be the debtor for the Union handling fee.

As regards matters in relation to which no specific rules are laid down in, or established pursuant to, this Article, the provisions on customs debt shall apply

mutatis mutandis

to the Union handling fee.

6.   The Union handling fee shall be non-refundable.

7.   Until 30 June 2028, in accordance with Article 285(2), the Commission shall provide an appropriate IT solution at Union level for the purpose of the calculation of the Union handling fee.

8.   The Commission shall produce a report every two years to assess the approximate costs of the services referred to in paragraphs 2 and 3.

9.   Member States may determine and apply charges or recover costs for specific services other than those referred to in paragraph 2, in particular the following:

(a) attendance, where requested, by customs staff outside official office hours or at premises other than customs premises;

(b) analyses or expert reports on goods and postal fees for the return of goods to an applicant, in particular in respect of decisions taken pursuant to Article 15 or the provision of information in accordance with Article 25;

(c) the examination or sampling of goods for verification purposes, or the destruction of goods, where costs other than the cost of using customs staff are involved;

(d) exceptional control measures necessary due to the nature of the goods or to a potential risk.

10.   The Commission is empowered to adopt delegated acts in accordance with Article 282 to supplement this Article by establishing the amount of the Union handling fee referred to in paragraphs 2 and 3 of this Article.

11.   The Commission may adopt implementing acts laying down the procedure for collecting the Union handling fee from the economic operator. Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 283(4).

CHAPTER 5

Currency conversion and time limits

Article 21

Currency conversion

1.   The competent authorities shall publish, where appropriate also by making available online, the applicable exchange rate where currency conversion is necessary for one of the following reasons:

(a) because factors used to determine the customs value of goods are expressed in a currency other than that of the Member State in which the customs value is determined;

(b) because the value of the euro in national currencies is required for the purposes of determining the tariff classification of goods and the amount of import and export duty, including where it is required for the application of value thresholds laid down in the Common Customs Tariff.

2.   Where currency conversion is necessary for reasons other than those referred to in paragraph 1, the value of the euro in national currencies to be applied within the framework of the customs legislation shall be fixed at least once a year.

3.   The Commission shall adopt implementing acts laying down rules on currency conversion for the purposes referred to in paragraphs 1 and 2 of this Article. Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 283(4).

Article 22

Periods, dates and time limits

1.   Where a period, date or time limit is laid down in the customs legislation, such period shall not be extended or reduced and such date or time limit shall not be deferred or brought forward, unless otherwise provided therein.

2.   The rules applicable to periods, dates and time limits set out in Regulation (EEC, Euratom) No 1182/71 of the Council (33) shall apply, except where otherwise provided for in the customs legislation.

CHAPTER 6

Other provisions

Article 23

Confidentiality of data

1.   Data acquired by the customs authorities or by the EU Customs Authority which is by its nature confidential or which is provided on a confidential basis shall be kept confidential. This notwithstanding, such data may be disclosed where the customs authorities or the EU Customs Authority are obliged or authorised to do so pursuant to Union or national law, in particular for reasons related to legal proceedings.

2.   Member States may, in consultation with the Commission, designate specific data the disclosure of which would harm the essential interests of their security, to be technically tagged within the EU Customs Data Hub in such a way that any further processing of such data is limited to the competent authorities of the Member State concerned, unless those authorities expressly authorise further processing by another person. The person who transmits the data to the EU Customs Data Hub shall clearly set the processing limitations of such data that can be linked to the specific supply chains or the data categories.

3.   For the purposes of paragraph 2, the Member State concerned shall inform the Commission about the specific essential interests of their security that are at stake and explain why it considers that those interests could not be sufficiently protected under the general framework of provisions regarding data processing within the EU Customs Data Hub.

4.   Any disclosure, extraction or communication of data under this Regulation shall be carried out with an adequate level of data protection.

5.   Without prejudice to Directive (EU) 2016/943 of the European Parliament and of the Council (34), from 1 March 2031, customs authorities of the Member States or the EU Customs Authority shall make available, upon request, aggregate non-confidential, non-personal and non-commercially sensitive customs data.

6.   The Commission shall adopt implementing acts laying down the procedures for the data requests referred to in paragraph 5 of this Article, and the form and categories of data that can be made available upon such request. Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 283(4).

Article 24

Exchange of additional information between customs authorities and economic operators

1.   Customs authorities and economic operators may exchange any information not specifically required under the customs legislation, and in particular for the purpose of mutual cooperation with the aim of identifying and countering risk. That exchange may take place pursuant to a written agreement and may include access by the customs authorities to the electronic systems of economic operators.

2.   Any information provided by one party to another in the course of the cooperation referred to in paragraph 1 shall be confidential unless both parties agree otherwise or unless otherwise provided in Union or national law.

Article 25

Provision of information by the customs authorities

1.   Any person may request from the customs authorities information concerning the application of the customs legislation. The customs authorities may refuse such a request where it does not relate to an activity pertaining to international trade in goods that is actually envisaged.

2.   Customs authorities shall maintain a regular dialogue with economic operators and other authorities involved in international trade in goods. They shall promote transparency by making the customs legislation, general administrative rulings and relevant application forms freely available, wherever practical without charge, including online.

TITLE II

OBLIGATIONS AND RIGHTS OF PERSONS WITH REGARD TO CUSTOMS LEGISLATION

CHAPTER 1

Registration

Article 26

Registration

1.   Economic operators established in the customs territory of the Union shall register with the customs authorities of the Member State of establishment in order to obtain an EORI number. Where possible, that registration shall also include the electronic identification of the economic operator in the national electronic identification schemes referred to in Regulation (EU) No 910/2014 of the European Parliament and of the Council (35).

2.   Registered economic operators shall inform the customs authorities about any modification in their registration data, in particular as regards any modification of their place of establishment.

3.   In specific cases laid down in the customs legislation, economic operators which are not established in the customs territory of the Union shall register with the customs authority of the Member State in which they carry out the first activity covered by the customs legislation.

4.   Persons other than economic operators shall not be required to register with the customs authorities, except in specific cases laid down in the customs legislation.

Where persons other than economic operators are required to register with the customs authorities, the following shall apply:

(a) if such persons are established in the customs territory of the Union, they shall register with the customs authority of the Member State of establishment;

(b) if such persons are not established in the customs territory of the Union, they shall register with the customs authority of the Member State in which they first lodge a declaration, provide or make available data or apply for a decision.

5.   In specific cases laid down in the customs legislation, the customs authorities shall invalidate the registration referred to in paragraph 1. Such invalidation shall be duly justified.

6.   The Commission is empowered to adopt delegated acts in accordance with Article 282 to supplement this Regulation by:

(a) laying down the minimum data requirements for the registration referred to in paragraph 1 of this Article;

(b) determining the specific cases referred to in paragraph 3 of this Article where economic operators which are not established in the customs territory of the Union are required to register with the customs authorities;

(c) determining the specific cases referred to in paragraph 4, first subparagraph, of this Article where persons other than economic operators are required to register with the customs authorities;

(d) determining the specific cases referred to in paragraph 5 of this Article where the customs authorities are required to invalidate a registration.

7.   The Commission shall adopt implementing acts laying down rules for determining the customs authority responsible for the registration referred to in paragraph 1 of this Article. Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 283(4).

CHAPTER 2

Importer

Article 27

Importers

1.   There shall be only one importer at a time.

2.   The importer shall:

(a) provide or make available to customs authorities, as soon as it is available and in any event prior to the release of the goods, and keep all the information required in respect of the temporary storage or the customs procedure under which the goods are to be placed in accordance with Article 74, 104, 109, 142, 153, 156 or 158 or required to discharge the outward processing procedure;

(b) ensure payment of any customs duties and other applicable charges;

(c) ensure that the goods entering the customs territory of the Union comply with relevant other legislation applied by the customs authorities and provide or make available and keep appropriate records of such compliance;

(d) notify customs authorities of any information concerning suspicious movements or unauthorised handling of goods of which the importer is aware;

(e) fulfil any other obligation on the importer established by customs legislation.

3.   The importer shall be established in the customs territory of the Union.

This requirement shall not apply to an importer that:

(a) places goods under the transit procedure or temporary admission procedure;

(b) brings goods that remain in temporary storage;

(c) occasionally places goods under customs procedures, provided that the customs authorities consider such placing to be justified;

(d) is established in a country the territory of which is adjacent to the customs territory of the Union and presents the goods at a Union border customs office adjacent to that country, provided that the country in which the importer is established grants reciprocal benefits to persons established in the customs territory of the Union; or

(e) is represented by an indirect representative established in the customs territory of the Union.

CHAPTER 3

Exporter

Article 28

Exporters

1.   The exporter shall:

(a) provide or make available to customs authorities, as soon as it is available and in any event prior to the release of the goods, and keep all the information required in respect of the customs procedure under which the goods are placed in accordance with Article 114, Article 116 or Article 161 or required to discharge the procedure referred to in Article 54(4), Article 142, Article 153, or Article 158;

(b) ensure payment of any customs duties and other applicable charges;

(c) ensure that the goods exiting the customs territory of the Union comply with relevant other legislation applied by the customs authorities and provide or make available and keep appropriate records of such compliance;

(d) notify customs authorities of any information concerning suspicious movements or an unauthorised handling of goods of which the exporter is aware;

(e) fulfil any other obligation on the exporter established by customs legislation.

2.   The exporter shall be established in the customs territory of the Union.

This requirement shall not apply to an exporter that:

(a) places goods under the transit procedure, discharges the temporary admission procedure or re-exports goods from temporary storage;

(b) trans-ships goods within, or directly re-exports them from, a free zone;

(c) occasionally places goods under customs procedures or re-exports them, provided that the customs authorities consider such placing or re-export to be justified;

(d) is established in a country the territory of which is adjacent to the customs territory of the Union and presents the goods at a Union border customs office adjacent to that country, provided that the country in which the exporter is established grants reciprocal benefits to persons established in the customs territory of the Union; or

(e) is represented by an indirect representative established in the customs territory of the Union.

CHAPTER 4

Authorised economic operators and Trust and Check traders

Article 29

Application and authorisation for authorised economic operators

1.   An economic operator that is established in the customs territory of the Union and meets the criteria set out in Article 30 may apply for the status of authorised economic operator.

2.   The customs authorities shall, following consultation with other authorities, if necessary, grant one or both of the following types of authorisations:

(a) that of an authorised economic operator for customs simplifications, which enables the holder to benefit from such simplifications in accordance with the customs legislation; or

(b) that of an authorised economic operator for safety and security, which entitles the holder to facilitation measures in respect of safety and security.

3.   An economic operator referred to in paragraph 1 may hold both types of authorisation referred to in paragraph 2 at the same time.

4.   An authorised economic operator shall comply with the obligations set out in Article 9(2) and (3). The customs authorities shall monitor whether the authorised economic operator continues to meet the relevant criteria and to comply with the relevant obligations in accordance with Article 9(4).

At least every three years, the customs authorities shall perform in-depth monitoring, including an on-site visit, of the authorised economic operator’s activities and internal records.

5.   The status of authorised economic operator shall, subject to paragraph 6 of this Article and to Article 30, be recognised by the customs authorities in all Member States.

6.   Customs authorities shall, on the basis of the recognition of the status of authorised economic operator and provided that the requirements related to a specific type of simplification provided for in the customs legislation are fulfilled, authorise the economic operator to benefit from that simplification. Customs authorities shall not re-examine the criteria which have already been examined when granting the status of authorised economic operator.

7.   An authorised economic operator shall enjoy more facilitation measures than other economic operators in respect of customs controls. The status of authorised economic operator shall be taken into account favourably for customs risk-management purposes.

8.   The customs authorities shall grant benefits resulting from the status of authorised economic operator for safety and security to persons established in third countries who fulfil the criteria and comply with the obligations laid down in the relevant legislation of those countries, if those criteria and obligations are recognised by the Union as equivalent to those imposed on authorised economic operators established in the customs territory of the Union. Such a granting of benefits shall be based on the principle of reciprocity, unless otherwise decided by the Union, and shall be supported by an international agreement to which the Union is a party, or by a Union legal act in the area of common commercial policy.

9.   As part of the protocols and procedures for crisis management laid down in Article 227, the EU Customs Authority shall develop a business continuity mechanism to respond to disruptions in trade flows due to increases in security alert levels, border closures, natural disasters, hazardous emergencies or other major incidents. The business continuity mechanism shall provide that the customs authorities can facilitate and expedite, to the extent possible, priority cargos related to authorised economic operators.

10.   The Commission is empowered to adopt delegated acts in accordance with Article 282 to supplement this Regulation by determining:

(a) the simplifications referred to in paragraph 6 of this Article;

(b) the facilitation measures referred to in paragraph 7 of this Article.

11.   The Commission shall adopt implementing acts laying down procedural rules for the consultations in respect of the determination of the status of authorised economic operators referred to in paragraph 2 of this Article, including the deadlines for replying. Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 283(4).

Article 30

Granting of the status of authorised economic operator

1.   The criteria for granting the status of authorised economic operator shall be the following:

(a) the applicant has no record of serious criminal offences relating to economic or business activities and no serious infringement or repeated infringements relating to those activities, and concerning:

(i) customs legislation and taxation rules;

(ii) other legislation applied by the customs authorities, where the customs authority competent to grant the status of authorised economic operator is aware of such infringements or offences;

(b) the applicant demonstrates that:

(i) it exercises a high level of control over its operations and the flow of goods, by means of a system for managing commercial records, and, where appropriate, transport records, that allows for appropriate customs controls;

(ii) it has satisfactory procedures in place for the handling of licences, authorisations and requirements under other legislation applied by the customs authorities, including product safety legislation, and that any non-compliance has been effectively remedied;

(iii) it ensures that relevant personnel are instructed to inform the customs authorities in a secured way whenever they are aware of compliance difficulties, suspicious movements or unauthorised handling of goods; and

(iv) it has procedures in place for informing the customs authorities of the cases referred to in point (iii);

(c) the applicant is financially solvent, which is to be deemed the case where it has sufficiently good financial standing to enable it to fulfil its commitments, having due regard to the characteristics of the type of business activity concerned;

(d) with regard to the authorisation referred to in Article 29(2), point (a), the applicant has practical standards of competence or professional qualifications directly related to the type and size of the activity carried out;

(e) with regard to the authorisation referred to in Article 29(2), point (b), the applicant has appropriate safety, security and compliance standards, adapted to the type and size of the activity carried out, which is considered to be the case where the applicant demonstrates that it has appropriate measures in place to ensure the safety and security of the international supply chain, including in the fields of physical integrity and access controls, logistical processes and the handling of specific types of goods, personnel and the identification of its business partners.

2.   The Commission shall adopt implementing acts laying down modalities for the application of the criteria set out in paragraph 1 of this Article. Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 283(4).

Article 31

Granting the status of Trust and Check trader

1.   An importer, exporter or indirect representative who is established in the customs territory of the Union, meets the criteria set out in paragraph 3 and has conducted regular customs operations in the course of its business for at least two years may apply for the status of Trust and Check trader to the customs authority of the Member State of establishment.

2.   The customs authorities shall grant the status of Trust and Check trader following consultation with other customs authorities and other competent authorities, where necessary, and after having had access to the relevant data of the applicant for the last three years in order to assess compliance with the criteria set out in paragraph 3.

3.   The criteria for granting the status of Trust and Check trader shall be the following:

(a) the applicant has no record of serious criminal offences relating to economic or business activities and no serious infringement or repeated infringements relating to those activities, and concerning:

(i) customs legislation and taxation rules;

(ii) other legislation applied by the customs authorities, where the customs authority competent to grant the Trust and Check trader status is aware of such infringements or offences;

(b) the applicant demonstrates that:

(i) it exercises a high level of control over its operations and the flow of goods, by means of a system for managing commercial records, and, where appropriate, transport records, that allows for appropriate customs controls;

(ii) it has satisfactory procedures in place for the handling of licences, authorisations and requirements under other legislation applied by the customs authorities, including product safety legislation, and that any non-compliance has been effectively remedied;

(iii) it ensures that relevant personnel are instructed to inform the customs authorities in a secured way whenever they are aware of compliance difficulties, suspicious movements or unauthorised handling of goods; and

(iv) has procedures in place for informing the customs authorities of the cases referred to in point (iii);

(c) the applicant is financially solvent, which is to be deemed the case where it has sufficiently good financial standing to enables it to fulfil its commitments, having due regard to the characteristics of the type of business activity concerned, and, in particular, that, during the three years preceding the submission of the application, it has fulfilled its financial obligations regarding payments of customs duties and all other duties, taxes or charges which are collected on or in connection with the import or export of goods, including on VAT and excise duties due in relation to intra-Union operations;

(d) the applicant has practical standards of competence or professional qualifications directly related to the type and size of the activity carried out, including on how to interact through the EU Customs Data Hub;

(e) the applicant has appropriate safety, security and compliance standards, including product safety standards, adapted to the type and size of the activity carried out, which is considered to be the case where the applicant demonstrates that it has appropriate measures in place to ensure the safety and security of the international supply chain, including in the fields of physical integrity and access controls, logistical processes and the handling of specific types of goods, personnel and the identification of its business partners;

(f) the applicant has an electronic system providing or making available to the customs authorities, as close to real time as technically possible, data on the movement of the goods and its compliance with all requirements applicable to those goods, including those relating to safety and security, and, where relevant, that it makes available to the customs authorities via the EU Customs Data Hub:

(i) customs records, including those needed to check the correctness of the establishment of the customs debt;

(ii) the accounting system used;

(iii) commercial and transport records;

(iv) tracking and logistics systems which identify goods as Union or non-Union goods and indicate, where appropriate, the location of goods;

(v) licences and authorisations granted in accordance with other legislation applied by the customs authorities;

(g) in the case of an applicant that is an importer for distance sales, it has been registered and has been making appropriate use of the IOSS scheme for at least two years.

4.   A Trust and Check trader shall comply with the obligations set out in Article 9(2) and (3). The customs authorities shall monitor whether the trader continues to meet the relevant criteria and to comply with the relevant obligations in accordance with Article 9(4).

At least every two years, the customs authorities shall perform in-depth monitoring, including an on-site visit, of the Trust and Check trader’s activities and internal records, with a view to verifying in particular the practical application of the procedures in place to comply with the criteria referred to in paragraph 3 of this Article. The Trust and Check trader shall inform the customs authorities of any changes in its corporate structure, ownership, solvency situation or trading models or any other significant changes in its situation and activities. The customs authorities shall re-assess the status of the Trust and Check trader if any of those changes have a significant impact on the Trust and Check trader status. The customs authorities may suspend the Trust and Check trader’s status until a decision on the reassessment is taken.

5.   Where a Trust and Check trader changes its Member State of establishment, the Trust and Check trader shall inform the customs authorities of the receiving Member State of any changes in its corporate structure, ownership, solvency situation or trading models or any other significant changes in its situation and activities if any of those changes might have an impact on the Trust and Check trader status.

The customs authorities of the receiving Member State shall reassess the Trust and Check trader’s status, in consultation with the customs authorities of the Member State that initially granted or later reassessed that status. During that reassessment, the customs authority of the receiving Member State may suspend the Trust and Check trader’s status. Such suspension shall be recorded in the EU Customs Data Hub.

6.   Where justified on the basis of indications of non-compliance by the Trust and Check trader, the EU Customs Authority, in co-operation with the competent customs authorities involved, may verify the compliance with the Trust and Check trader status by a specific economic operator.

The outcome of the verification referred to in the first subparagraph shall be communicated to the Commission and to the competent customs authorities involved. Based on the outcome of the verification, the EU Customs Authority may recommend to the competent customs authority the suspension or revocation of the Trust and Check trader status.

The competent customs authority shall, without undue delay, inform the EU Customs Authority and the Commission about the actions taken on the basis of the EU Customs Authority’s recommendation.

Where the competent customs authority fails to provide the information referred to in the third subparagraph or where the action referred to in that subparagraph taken on the basis of the EU Customs Authority’s recommendation is not sufficient, the Commission may, by means of implementing acts, adopt individual decisions requesting the Member State that granted the Trust and Check trader status to suspend or revoke it within the deadline set in the relevant decision. Such a suspension or revocation shall be recorded in the EU Customs Data Hub.

7.   Where a Trust and Check trader is involved in fraudulent activity in relation to its economic or business activity or where customs authorities become aware of infringement by a Trust and Check trader of relevant other legislation applied by the customs authorities pursuant to Article 27(2), point (c), that Trust and Check trader’s status shall be suspended by the customs authorities. That suspension shall be recorded in the EU Customs Data Hub.

8.   Customs authorities shall authorise Trust and Check traders to benefit from one or more of the following simplifications, depending on their economic activities:

(a) provide or make available part of the data on their goods after the release of those goods, in accordance with Article 74(5);

(b) perform certain controls and release the goods upon receipt of those goods at the place of business of the importer, owner or consignee or upon delivery from the place of business of the exporter, owner or consignor, in accordance with Article 78(1) and (3);

(c) consider that it provides the necessary assurance of the proper conduct of the operations for the purposes of temporary storage in accordance with Article 108(2), or of obtaining authorisations for special procedures in accordance with Article 125(4), Article 126 and Article 133(2);

(d) periodically determine the customs debt corresponding to the total amount of import or export duty relating to all the goods released by that trader, in accordance with Article 205(5);

(e) defer the payment of the customs debt in accordance with Article 212(2);

(f) by way of derogation from Article 134, move goods entering or exiting the customs territory of the Union without the obligation to place them in transit if the goods are under a duty-suspensive regime and are under customs supervision until their final destination within the Union.

9.   Customs authorities shall make best efforts to align their practice of granting authorisations referred to in paragraph 8 with those of other customs authorities in order to ensure a uniform approach across the Union.

10.   Trust and Check traders shall enjoy more facilitation measures than other economic operators in respect of customs controls. The status of Trust and Check trader shall be taken into account favourably for customs risk-management purposes.

11.   As part of the protocols and procedures for crisis management laid down in Article 227, the EU Customs Authority shall develop a business continuity mechanism to respond to disruptions in trade flows due to increases in security alert levels, border closures, natural disasters, hazardous emergencies or other major incidents. The business continuity mechanism shall provide that the customs authorities can facilitate and expedite, to the extent possible, priority cargos related to Trust and Check traders.

12.   The Commission shall adopt implementing acts laying down:

(a) the rules on the consultation of other competent authorities for the determination of the status of Trust and Check trader referred to in paragraph 2 of this Article, including the deadlines for replying;

(b) the modalities on the application of the criteria set out in paragraph 3 of this Article;

(c) the types of monitoring activities referred to in paragraph 4 of this Article;

(d) the rules on the consultation of the customs authorities referred to in paragraph 5 of this Article;

(e) the rules about reassessment of the Trust and Check trader status referred to in paragraph 5 of this Article.

Those implementing acts shall be adopted in accordance with the examination procedure referred to Article 283(4).

Article 32

Adaptation of the status of authorised economic operators and Trust and Check traders

1.   The customs authorities shall take into account the specific characteristics of economic operators, in particular those of micro, small and medium-sized enterprises, when assessing whether they fulfil the criteria for being granted the status of authorised economic operators and of Trust and Check traders.

2.   The Commission shall adopt guidelines with a view to helping micro, small and medium-sized enterprises to make use of the status of authorised economic operators and Trust and Check traders.

CHAPTER 5

Customs representation

Article 33

Customs representatives

1.   Any person may appoint a customs representative.

Such representation may be either direct, in which case the customs representative acts in the name of and on behalf of another person, or indirect, in which case the customs representative acts in its own name but on behalf of another person.

2.   An indirect customs representative acting in its own name but on behalf of an importer or an exporter that is established in the customs territory of the Union shall be jointly and severally responsible with that importer for the purposes of Article 27(2) or with that exporter for the purposes of Article 28(1).

3.   An indirect customs representative acting in its own name but on behalf of an importer or an exporter that is not established in the customs territory of the Union shall be considered to be the importer for the purposes of Article 27(2) or exporter for the purposes of Article 28(1).

4.   The customs representative shall be established in the customs territory of the Union.

Except in specific cases laid down in the customs legislation, that requirement shall be waived where the customs representative acts on behalf of persons who are not required to be established within the customs territory of the Union.

5.   A customs representative having the status of Trust and Check trader shall only be recognised as a Trust and Check trader when acting as an indirect representative.

When acting as a direct representative, a customs representative having the status of Trust and Check trader shall:

(a) be recognised as Trust and Check trader if the person in whose name and on whose behalf that representative is acting has been granted such status;

(b) enjoy the benefits of the status of authorised economic operator if the person in whose name and on whose behalf that representative is acting has not been granted the status of Trust and Check trader.

6.   A customs representative having the status of authorised economic operator shall be recognised as an authorised economic operator when acting as a direct or indirect representative.

7.   Only a customs representative having the status of authorised economic operator for customs simplification or a customs representative having the status of Trust and Check trader shall be entitled to one or both of the following:

(a) providing such services in a Member State other than the one where he or she is established;

(b) the placing under the release for free circulation procedure of goods sold in a distance sale.

8.   The Commission is empowered to adopt delegated acts in accordance with Article 282 to supplement this Regulation by determining the specific cases in which the waiver referred to in paragraph 4, second subparagraph, of this Article does not apply.

Article 34

Representatives’ empowerment

1.   When dealing with the customs authorities, a customs representative shall state that it is acting on behalf of the person represented and shall specify whether the representation is direct or indirect.

Persons who fail to state that they are acting as a customs representative or who state that they are acting as a customs representative without being empowered to do so shall be deemed to be acting in their own name and on their own behalf.

2.   The customs authorities may require persons stating that they are acting as a customs representative to provide evidence of their empowerment by the person that they represent.

3.   The customs authorities shall not require a person acting as a customs representative, carrying out acts and formalities on a regular basis, to produce on every occasion evidence of empowerment. This notwithstanding, such person shall always be in a position to produce such evidence if requested to do so by the customs authorities.

TITLE III

EU CUSTOMS DATA HUB

CHAPTER 1

General provisions

Article 35

Establishment of the EU Customs Data Hub

This Regulation establishes the EU Customs Data Hub.

Article 36

Objectives of the EU Customs Data Hub

The EU Customs Data Hub shall provide a secure and cyber-resilient centralised IT platform, serving as the central point for data exchange with and between customs authorities.

Article 37

Digital sovereignty

1.   The EU Customs Data Hub shall be designed to ensure that the data available therein is protected from unauthorised access and other threats to its integrity and security, which is in the public interest.

The EU Customs Data Hub infrastructure other than telecommunication transmission infrastructure shall be solely controlled and administered by the Commission or the EU Customs Authority and shall be located within the territory of the Union.

2.   When performing tasks related to the development, hosting, operation and maintenance of the EU Customs Data Hub, and any related data processing in that Hub, suppliers and other service providers and their subcontractors shall be reliable, secure and free from the influence of governments of third countries and shall not be directly or indirectly subject to any law, including executive orders, of a third country that could require the disclosure of data in the EU Customs Data Hub to any authorities of that country. They shall also ensure the reliability, security and independence of the EU Customs Data Hub.

Those suppliers and other service providers, and their subcontractors, shall be legally established in the Union and not controlled, directly or indirectly, by any undertaking of a third country as defined in Article 2, point (7), of Regulation (EU) 2019/452 of the European Parliament and of the Council (36).

For critical services, including any data-related activities, the contracting authority may require the supplier, other service provider or subcontractor to have a security clearance.

3.   The contracting authority for the EU Customs Data Hub may at any time require tenderers, suppliers and other service providers, and their subcontractors, to provide evidence of the measures that they have in place to prevent any unauthorised disclosure of data from the EU Customs Data Hub, including documentation establishing that they fulfil the obligations set out in paragraph 2 with regard to independence and non-disclosure, and to provide evidence of the fact that they are reliable, secure and free from influence of governments of third countries.

4.   The security of the supply chain of all IT components, hardware and software shall be ensured to the greatest extent possible. The contracting authority for the EU Customs Data Hub may require suppliers and other service providers, and their subcontractors, to provide evidence in that regard.

5.   Where the contracting authority for the EU Customs Data Hub has reason to believe that the measures taken by tenderers, suppliers and other service providers, or their subcontractors, to comply with their obligations under paragraphs 2, 3 and 4 are insufficient, or that the evidence provided by them under this Article is not wholly reliable, it may take any measures under the relevant contract or in the relevant procurement process that it considers necessary to remedy the situation, including the suspension or termination in part or in full of that contract or the exclusion from that procurement process. This shall be without prejudice to any other additional remedial rights provided for:

(a) by the contracting authority for the EU Customs Data Hub in the relevant contract; or

(b) in Union or national law.

6.   Unless provided for in Title III or XIII or in an international agreement by which the Union is bound, data processed in the EU Customs Data Hub shall not be transferred or made available to a third country, to an international organisation or to natural or legal persons established outside the territory of the Union.

7.   The EU Customs Data Hub shall be designed to the highest extent possible to avoid pre-commercial, commercial, technical, contractual and organisational obstacles that discourage, hinder or prevent the transfer or porting of data, applications or digital assets by the contracting authority to another service provider, or their use in an interoperable environment.

CHAPTER 2

Technical aspects, functionalities, features and application of the EU Customs Data Hub

Article 38

Functionalities and features of the EU Customs Data Hub

1.   The EU Customs Data Hub shall be a compilation of electronic services, applications, data and infrastructure to process and store data, including personal data, for the purposes set out in Article 41.

2.   The EU Customs Data Hub shall be developed to enable compliance with the provisions of Regulations (EU) 2016/679 and (EU) 2018/1725, Regulation (EU) 2023/2841 of the European Parliament and of the Council (37) and Directive (EU) 2016/680 relating to the processing of personal data.

3.   The EU Customs Data Hub shall have the following functionalities:

(a) enabling the electronic implementation of customs legislation and contributing to the implementation of other legislation applied by the customs authorities, in particular: customs formalities; customs controls; calculation and notification of the customs debt and Union handling fee, VAT and excise duty at import; guarantee management;

(b) ensuring the quality, integrity, security, preservation, traceability, confidentiality and non-repudiation of data processed in the EU Customs Data Hub, including applying the rules for the amendment, invalidation and deletion of such data;

(c) enabling and ensuring risk analysis, economic analysis and data analysis, customs simplification and trade facilitation, including through the use of artificial intelligence systems in accordance with Regulation (EU) 2024/1689;

(d) enabling interoperability with other electronic systems, platforms or environments for the purpose of cooperation in accordance with Title XIII of this Regulation;

(e) enabling interoperability with the European Maritime Single Window Environment for the provision and fulfilment of the customs formalities indicated in the Annex to Regulation (EU) 2019/1239 of the European Parliament and of the Council (38);

(f) integrating the European Union Customs Single Window Certificates Exchange System (EU CSW-CERTEX) established by Article 4 of Regulation (EU) 2022/2399 to enable interoperability with the Union non-customs systems and formalities referred to in that Regulation;

(g) enabling the exchange of information with third countries and other authorities and bodies according to Title XIII of this Regulation;

(h) enabling the customs surveillance of goods;

(i) enabling reporting capabilities, including the possibility of reporting goods to be imported or exported that are not in compliance with relevant Union legislation applied by the customs authorities;

(j) integrating information security management capabilities, a governance-based framework designed to prevent data breaches by safeguarding data from loss, manipulation or unauthorised access, including through a mechanism for tagging data according to its level of confidentiality;

(k) enabling portability of data from the EU Customs Data Hub into national systems;

(l) providing for a single access point and multilingual interfaces;

(m) allowing the re-use of data to the highest extent possible;

(n) facilitating the necessary interoperability with Member States’ systems for identity management and authorisation of access to the EU Customs Data Hub.

4.   Acts performed by persons, the Commission, the customs authorities, the EU Customs Authority or other authorities using the functionalities listed in paragraph 3 shall remain the acts of those persons and authorities, even if they have been automated.

5.   The Commission is empowered to adopt delegated acts in accordance with Article 282:

(a) to amend paragraph 3 of this Article as regards the functionalities referred to therein in order to take account of new tasks conferred on the authorities referred to in Article 41 of this Regulation by Union law or to adapt those functionalities to the evolving needs of those authorities when implementing the customs legislation or other legislation applied by the customs authorities;

(b) to supplement this Regulation by determining the data that can be subject to portability from the EU Customs Data Hub into national systems as referred to in paragraph 3, point (k), of this Article.

6.   The Commission shall adopt implementing acts laying down:

(a) the technical arrangements for maintaining and employing the electronic systems that the Member States and the Commission have developed pursuant to Article 16(1) of Regulation (EU) No 952/2013, taking into account the provisions included in Regulation (EU) 2022/2399 in relation to Regulation (EU) 2023/2841 and to Directive (EU) 2022/2555, including guidelines issued by the European Union Agency for Cybersecurity (ENISA);

(b) a work programme for the progressive phase-out of the systems referred to in point (a) of this paragraph and for the progressive phase in of the EU Customs Data Hub, to be designed to ensure a seamless transition.

Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 283(4).

Article 39

Pilot phase for the EU Customs Data Hub

1.   Before 1 March 2034, the Commission may establish a pilot phase to test the functionalities of the EU Customs Data Hub (the ‘pilot phase’). Participation in the pilot phase shall be voluntary.

2.   The Commission shall cooperate with the EU Customs Authority, customs authorities and other authorities, and relevant stakeholders during the planning and organisation of the pilot phase.

3.   For the purposes of paragraph 1, the Commission shall publish the following information:

(a) the technical arrangements for the planning and organisation of the pilot phase;

(b) the functionalities of the EU Customs Data Hub to be applied and tested during the pilot phase;

(c) the exact duration of the pilot phase.

Article 40

National applications complementing the EU Customs Data Hub

1.   Member States may develop:

(a) applications necessary to connect to the EU Customs Data Hub in order to provide data to, and process data from, the EU Customs Data Hub, where such applications do not already exist;

(b) additional applications within the EU Customs Data Hub, in coordination with the EU Customs Authority or the Commission.

2.   Member States may request the EU Customs Authority to develop the applications referred to in paragraph 1. Where appropriate, the EU Customs Authority shall coordinate the co-financing of such development among the Member States. If appropriate funding and resources are available in its budget, such development may be partially funded by the EU Customs Authority.

3.   Where the EU Customs Authority develops an application in accordance with paragraph 2:

(a) that application shall be made available free of charge to all co-financing Member States, and, if all those co-financing Member States agree, it shall also be made available free of charge to other Member States;

(b) the further development and maintenance of that application shall be managed on the basis of a new co-financing agreement.

CHAPTER 3

Data

Article 41

Purposes of the processing of personal data and other data in the EU Customs Data Hub

1.   Persons may process data available in the EU Customs Data Hub, including personal and commercially sensitive data, that they transmitted or that were transmitted on their behalf or that are addressed to or intended for them. Such processing shall take place exclusively to:

(a) exercise that person’s rights or fulfil that person’s obligations under customs legislation or other legislation applied by the customs authorities, including determining the liability of any person for any duty, fees and taxes due in the Union; and

(b) demonstrate that person’s compliance with customs legislation and other legislation applied by the customs authorities.

2.   A customs authority may process data, including personal and commercially sensitive data, available in the EU Customs Data Hub exclusively and to the extent necessary for the following purposes, and in accordance with the rules laid down in an implementing act adopted pursuant to paragraph 12 of this Article:

(a) to carry out its tasks in relation to the implementation of customs legislation or other legislation applied by the customs authorities, including determining the liability of any person for any duty, fees and taxes due in the Union and verifying compliance with that legislation;

(b) to carry out its tasks in relation to controls and risk management as provided for in Title IV;

(c) to carry out the tasks necessary for the cooperation under the conditions provided for in Title XIII.

To ensure the effectiveness of customs controls, all customs authorities may receive and process the data resulting from a customs control where non-compliant goods have been detected.

3.   The EU Customs Authority may process data, including personal and commercially sensitive data, available in the EU Customs Data Hub exclusively and to the extent necessary for the following purposes:

(a) to carry out the tasks provided for in Articles 42 and 43;

(b) to carry out its tasks on customs risk management, as provided for in Title IV, Chapter 2;

(c) to carry out the tasks provided for in Title XII, Chapter 2, and in Title XI;

(d) to carry out the tasks relevant for cooperation under the conditions provided for in Title XIII.

4.   The Commission may process data, including personal and commercially sensitive data, available in the EU Customs Data Hub exclusively and to the extent necessary for the following purposes:

(a) to carry out its tasks in relation to risk management, as provided for in Title IV, Chapter 2;

(b) to carry out its tasks in relation to the tariff classification of goods, their origin and value and their customs surveillance, in accordance with Titles I and IX;

(c) to carry out its tasks in relation to restrictive measures and crisis management, in accordance with Title XI;

(d) to carry out its tasks in relation to the EU Customs Authority, in accordance with Title XII;

(e) to carry out the tasks necessary for cooperation, under the conditions provided for in Title XIII;

(f) to assess and evaluate the performance of the customs union in accordance with Title XV, Chapter 1;

(g) to monitor the implementation, and ensure the uniform application, of customs legislation or other legislation applied by the customs authorities, including verifying the liability of any person for any duty, fees and taxes due in the Union;

(h) to develop, produce and disseminate European official statistics and other analyses provided for in Union legal acts for which the data in the EU Customs Data Hub is necessary;

(i) where relevant, to contribute to the implementation of other legislation applied by the customs authorities, in accordance with the scope and purpose provided for therein.

5.   The European Anti-Fraud Office (OLAF) may process data, including personal and commercially sensitive data, available in the EU Customs Data Hub exclusively and to the extent necessary for carrying out its activities concerning customs matters pursuant to Article 1 of Regulation (EU, Euratom) No 883/2013 and to Regulation (EC) No 515/97, and under the conditions relating to data protection laid down in those Regulations.

6.   The tax authorities of the Member States may process data, including personal and commercially sensitive data, available in the EU Customs Data Hub exclusively and to the extent necessary to determine the liability of any person for any excise duty, fees and taxes due in the Union in connection with the relevant goods, and in accordance with the rules laid down in an implementing act adopted pursuant to paragraph 12.

7.   The national statistical authorities of the Member States may process data, including personal data and commercially sensitive data, available in the EU Customs Data Hub exclusively and to the extent necessary for the development, production and dissemination of European and national official statistics, and in accordance with the rules laid down in an implementing act adopted pursuant to paragraph 12.

8.   The competent authorities as defined in Article 3, point (3), of Regulation (EU) 2017/625 may process data, including personal and commercially sensitive data, available in the EU Customs Data Hub exclusively and to the extent necessary for enforcing Union legal acts governing the placing on the market or the safety of food, feed and plants and for cooperating with customs authorities to minimise the risks that non-compliant products enter the Union, and in accordance with the rules laid down in an implementing act adopted pursuant to paragraph 12 of this Article.

9.   The market surveillance authorities designated by Member States in accordance with Article 10 of Regulation (EU) 2019/1020 may process data, including personal and commercially sensitive data, available in the EU Customs Data Hub exclusively and to the extent necessary for enforcing Union legal acts governing the placing on the market or the safety of products and for cooperating with customs authorities to minimise the risks that non-compliant goods enter the Union, and in accordance with the rules laid down in an implementing act adopted pursuant to paragraph 12 of this Article.

10.   Until 28 February 2034, the Commission, OLAF and, once it is established, the EU Customs Authority may process data, including personal data, from the existing electronic systems for the exchange of information developed by the Commission and Member States pursuant to Regulation (EU) No 952/2013, provided that they do so exclusively for the purposes stated in paragraphs 3, 4 and 5 of this Article.

11.   The Commission is empowered to adopt delegated acts in accordance with Article 282 to amend paragraphs 2, 3 and 4 of this Article by clarifying and complementing the purposes laid down in those paragraphs in light of evolving needs of the customs authorities, the EU Customs Authority and the Commission when implementing customs legislation or other legislation applied by the customs authorities.

12.   The Commission shall adopt implementing acts laying down rules and modalities for processing data in the EU Customs Data Hub by the authorities referred to in paragraphs 2 and 6 to 9. In establishing those rules and modalities, the Commission shall, for each authority or category of authorities:

(a) assess the existing safeguards applied by the authority or category of authorities concerned to ensure that the data is processed only for the relevant purpose;

(b) ensure the proportionality and the necessity of the processing in relation to the relevant purpose;

(c) determine the specific categories of data which the authority can process;

(d) require the authorities referred to in paragraphs 6 to 9, where necessary, to provide a specific contact point or additional safeguards;

(e) assess the need to restrict subsequent sharing of the relevant data.

Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 283(4).

Article 42

Right for the European Public Prosecutor’s Office to obtain data available in the EU Customs Data Hub

1.   The European Public Prosecutor’s Office (EPPO) shall, upon request, obtain data available in the EU Customs Data Hub to the extent necessary for carrying out its tasks pursuant to Article 4 of Regulation (EU) 2017/1939 in accordance with the modalities laid down in an implementing act adopted pursuant to paragraph 4 of this Article.

2.   The EPPO shall send the requests referred to in paragraph 1 to the EU Customs Authority. Customs authorities shall be automatically notified of such requests when they are made.

The EU Customs Authority shall provide the relevant data to the EPPO expeditiously. The EU Customs Authority shall inform the customs authorities concerned of whether it complied with the request.

3.   The EU Customs Data Hub shall provide a digital interface via which the EPPO can request and obtain data easily and without delay.

4.   The Commission shall adopt implementing acts laying down the modalities for the EPPO to request and obtain data, including personal and commercially sensitive data, available in the EU Customs Data Hub, and in particular:

(a) laying down the modalities for requests from the EPPO for data, including personal or commercially sensitive data, available in the EU Customs Data Hub;

(b) establishing the procedure to verify the compliance of those requests with paragraph 1 of this Article, without prejudice to the confidentiality of the EPPO’s investigations;

(c) where appropriate, addressing the need for the EU Customs Authority to designate a specific contact point, person or persons;

(d) where appropriate, addressing the need to provide additional safeguards.

Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 283(4).

Article 43

Rights for Europol and Frontex to obtain data available in the EU Customs Data Hub

1.   The European Union Agency for Law Enforcement Cooperation (Europol) may, upon request, obtain data, including personal data and commercially sensitive data, available in the EU Customs Data Hub to the extent necessary to perform its tasks in accordance with Article 4 of Regulation (EU) 2016/794, provided that those tasks relate to customs matters and in accordance with the rules laid down in an implementing act adopted pursuant to paragraph 8 of this Article.

2.   The European Border and Coast Guard Agency (Frontex) may, upon request, obtain non-personal data or aggregated data available in the EU Customs Data Hub to the extent necessary for risk analysis and operational coordination related to border management activities falling within its mandate as set out in Regulation (EU) 2019/1896.

3.   Any request referred to in paragraph 1 or 2 shall be submitted to the EU Customs Authority. The requestor of the data shall provide the reasons for the request and ensure that it falls within the scope of the legal framework under which the requestor operates.

4.   The EU Customs Authority shall process the request for data referred to in paragraph 1 or 2 and verify whether it is made in accordance with this Article. The EU Customs Authority shall also verify, in co-operation with the relevant national central unit or, if designated by the relevant Member State, a liaison officer, whether the customs authority concerned has objected to the transmission of those data to the requestor of the data on the grounds specified in the implementing act referred to in paragraph 8 and in accordance with the procedure established therein.

5.   The data exchanged under this Article shall be only those necessary for the purposes stated in the request. The EU Customs Authority shall make those data available via the EU Customs Data Hub expeditiously.

6.   Each Union body, office or agency covered by this Article shall ensure that the data requested are necessary, appropriate and proportionate. The Union body, office or agency concerned shall also ensure that the use of the data is in accordance with the safeguards laid down in the applicable Union legal acts.

7.   The Commission is empowered to adopt delegated acts in accordance with Article 282 to amend this Article in order to allow Union bodies, offices and agencies other than those referred to in paragraphs 1 and 2 of this Article to request and obtain data available in the EU Customs Data Hub in accordance with the rules laid down in paragraphs 3 to 6 of this Article to the extent necessary for carrying out their tasks under Union law and provided that those tasks relate to other legislation applied by the customs authorities.

8.   The Commission shall adopt implementing acts:

(a) laying down the modalities for the Union bodies, offices and agencies covered by this Article to request and obtain data;

(b) establishing the procedure for the verification referred to in paragraph 4 of this Article, in particular by specifying:

(i) how to identify the customs authorities concerned with the data;

(ii) how to handle situations where multiple customs authorities are concerned with the data;

(iii) the grounds on which the customs authorities concerned with the data can object to the transmission of the data, including taking into consideration the sensitivity of the data requested;

(c) laying down restrictions on, and liability for, the onward transfer of the data by the requester;

(d) where appropriate, addressing the need for the requestor to designate a specific contact point, person or persons or to provide additional safeguards.

Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 283(4).

Article 44

Personal data in the EU Customs Data Hub

1.   The personal data of the following categories of data subjects may be processed in the EU Customs Data Hub, exclusively and to the extent necessary for the purposes laid down in Article 41:

(a) data subjects registered or applying for registration in accordance with Article 26(1), (3) or (4);

(b) data subjects other than those referred to in point (a) of this paragraph who are occasionally involved in activities covered by the customs legislation or by other legislation applied by the customs authorities, or whose personal data is contained in the data collected for risk management purposes pursuant to Article 55(3), point (a);

(c) data subjects whose personal information is contained in the supporting documents referred to in Article 76, or in any additional evidence required for the fulfilment of the obligations imposed by the customs legislation and other legislation applied by the customs authorities;

(d) authorised staff of customs authorities, of other competent authorities or of any other relevant authority or authorised body whose personal information is necessary to ensure appropriate control and supervision of the access to the information in the EU Customs Data Hub;

(e) staff or authorised third parties working on behalf of the Commission, the EU Customs Authority or other Union bodies, offices or agencies authorised to access the EU Customs Data Hub.

2.   The following categories of personal data may be processed in the EU Customs Data Hub in accordance with Article 41:

(a) personal data in the EU Customs Data model referred to in Article 49, and those collected for risk management purposes pursuant to Article 55(3), point (a), namely:

(i) identification data;

(ii) contact data, namely address and electronic contact details;

(iii) identity document (ID) data;

(iv) financial and payment data;

(v) location and transport data;

(vi) employment or work position data;

(vii) data contained in powers of attorney or their supporting documents;

(viii)

employee data;

(ix) electronic identification data;

(x) customs representation data;

(xi) identification data of customs representative;

(xii) customs transaction data;

(xiii)

user technical data;

(xiv) law infringement and offences data;

(xv) control results and mitigation results data;

(b) personal data required to ensure a proper identification of the staff authorised to process data in the EU Customs Data Hub referred to in paragraph 1, points (d) and (e), of this Article, namely:

(i) identification data;

(ii) contact data, namely address and electronic contact details;

(iii) identity document (ID) data;

(iv) employment or work position data;

(v) data contained in powers of attorney or their supporting documents;

(vi) employee data;

(vii) electronic identification data;

(viii)

user technical data.

Article 45

Retention period of personal data in the EU Customs Data Hub

1.   Personal data in the EU Customs Data Hub may not be stored for longer than is necessary for its processing, and in any event may not be stored for longer than 10 years from the date on which they are recorded in the EU Customs Data Hub. In the cases provided for in Article 68 and in relation to investigations launched by OLAF, the EPPO or by Member States’ competent authorities, to infringement procedures launched by the Commission and to administrative and judicial proceedings involving personal data of the categories referred to in Article 44(2), points (a) and (b), those data may be kept for a period longer than 10 years if necessary for the purpose of those investigations, procedures or proceedings.

2.   After the expiry of the period provided for in paragraph 1, personal data shall be erased or anonymised, as appropriate taking into account the circumstances.

3.   The controller or joint controller of the relevant data processing operation shall carry out periodic reviews of the data stored in the EU Customs Data Hub to ensure that personal data is not retained longer than necessary.

Article 46

Roles and responsibilities for personal data processed in the EU Customs Data Hub

1.   The customs authorities of the Member States, the Commission and the EU Customs Authority shall be considered joint controllers in relation to the processing of personal data in the EU Customs Data Hub for the purposes of risk management and cooperation, as referred to in Article 41(2), points (b) and (c), Article 41(3), points (b) and (d), and Article 41(4), points (a) and (e).

2.   Each customs authority individually shall be considered to be a controller in relation to the personal data that it processes for the purposes referred to in Article 41(2), point (a). Where two or more customs authorities are involved in carrying out the tasks referred to in Article 41(2), point (a), for joint purposes and by joint means, they shall be considered to be joint controllers.

3.   The Commission shall be considered to be the sole controller in relation to the personal data it processes for the purposes referred to in Article 41(4), points (c), (d), (f) and (g).

4.   Until 28 February 2034, the Commission, OLAF and the EU Customs Authority shall each be considered to be the sole controller for the data that they process under Article 41(10).

5.   The joint controllers referred to in paragraph 1 shall:

(a) work together to process the requests made by the data subjects in a timely manner and to facilitate the exercise of the rights of data subjects;

(b) assist each other in matters involving the identification and handling of any data breach related to the joint processing;

(c) exchange the relevant information necessary to inform data subjects pursuant to Chapter III, Section 2, of Regulation (EU) 2016/679, Chapter III, Section 2, of Regulation (EU) 2018/1725 and Chapter III of Directive (EU) 2016/680, where applicable;

(d) ensure and protect the security, integrity, availability and confidentiality of the personal data processed jointly pursuant to Article 32 of Regulation (EU) 2016/679, Article 33 of Regulation (EU) 2018/1725 and Article 25 of Directive (EU) 2016/680, where applicable.

6.   The Commission shall adopt implementing acts establishing the roles and relationships of each of the joint controllers referred to in paragraph 1 in relation to the data subjects, in compliance with Article 26 of Regulation (EU) 2016/679 and Article 28 of Regulation (EU) 2018/1725. Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 283(4) of this Regulation.

Article 47

Restriction of the rights of data subjects

1.   Where the exercise by a data subject of the right of access and the right to a restriction of processing referred to in Articles 15 and 18 of Regulation (EU) 2016/679 and Articles 17 and 20 of Regulation (EU) 2018/1725, or the communication of a data breach referred to in Article 34(1) of Regulation (EU) 2016/679 and Article 35(1) of Regulation (EU) 2018/1725, would jeopardise an ongoing investigation concerning a natural person in the field of customs, the performance of customs controls or the management of a specific risk identified in relation to a natural person in the field of customs, those rights may be wholly or partly restricted, provided that the restriction is necessary and proportionate. That restriction shall be imposed:

(a) by the customs authorities in accordance with Article 23(1), points (c), (e), (f) and (h), of Regulation (EU) 2016/679; or

(b) by the Commission and the EU Customs Authority in accordance with Article 25(1), points (a), (c), (e), and (g), of Regulation (EU) 2018/1725.

2.   The customs authorities, the Commission and the EU Customs Authority shall assess the necessity and proportionality of the restrictions referred to in paragraph 1 on a case-by-case basis before they are applied, taking into consideration the potential risks to the rights and freedoms of the data subject.

3.   When processing personal data received from other organisations in the context of their tasks, the customs authorities, the EU Customs Authority or the Commission, when acting as a controller or a joint controller, shall, before applying a restriction of the rights referred to in paragraph 1, consult those organisations on the potential grounds for such restriction and whether they are necessary and proportionate.

4.   Where the customs authorities, the Commission or the EU Customs Authority restrict, wholly or partly, the rights referred to in paragraph 1, they shall take the following steps:

(a) inform the data subject concerned, in their reply to the request, of the restriction applied and of the reasons for that restriction, and of the possibility of lodging a complaint with the national data protection authorities or the European Data Protection Supervisor or of seeking a judicial remedy in a national court or the Court of Justice of the European Union; and

(b) record the reasons for the restriction, including an assessment of the necessity for and proportionality of that restriction, and the reasons why providing access would jeopardise risk management and customs controls.

The provision of information referred to in the first subparagraph, point (a), of this paragraph may be deferred, omitted or denied in accordance with Article 25(8) of Regulation (EU) 2018/1725, or where the provision of that information would be prejudicial to the purposes of the restriction.

5.   The customs authorities, the Commission or the EU Customs Authority shall include a section in the data protection notices published on its website or intranet providing general information to data subjects on the possibility of restriction of data subjects’ rights.

6.   The Commission shall adopt implementing acts laying down safeguards to prevent the abuse of, unlawful access to, or transmission of the personal data in respect of which restrictions apply or could be applied. Such safeguards shall, inter alia, determine the roles and responsibilities of the various actors, lay down the procedural steps to be followed in relation to such restrictions, specify what constitutes due monitoring of restrictions, and provide for the periodic review of their application, which is to take place at least every six months. Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 283(4).

Article 48

Coordinated supervision by the European Data Protection Supervisor and national supervisory authorities

The European Data Protection Supervisor and the national supervisory authorities, acting within the scope of their respective competences, shall cooperate actively within the framework of their responsibilities to ensure coordinated supervision of the operation of the EU Customs Data Hub in accordance with Article 62 of Regulation (EU) 2018/1725.

Article 49

EU Customs Data Model

The Commission shall adopt delegated acts in accordance with Article 282 to supplement this Regulation by specifying the required data for the achievement of the purposes referred to in Article 41(1) to (4). Those data requirements shall constitute the EU Customs Data Model.

Article 50

Technical means for cooperation

1.   The Commission, the EU Customs Authority and the customs authorities shall use the EU Customs Data Hub when exchanging data with the authorities and Union bodies, offices or agencies referred to in Article 41(6) to (9) and Articles 42 and 43 for the purposes of cooperation under this Regulation.

2.   Where economic operators use the EU Customs Data Hub to comply with customs formalities pursuant to this Regulation, the EU Customs Data Hub shall provide the functionalities referred to in Article 8(2), (3) and (4) of Regulation (EU) 2022/2399.

3.   Where authorities other than the customs authorities or Union bodies, offices and agencies make use of electronic means established by, used to achieve the objectives of or referred to in Union legal acts, the cooperation under this Regulation may take place through the interoperability of those electronic means with the EU Customs Data Hub.

4.   Where authorities other than the customs authorities do not make use of electronic means established by, used to achieve the objectives of or referred to in Union legal acts, they may use the specific services and systems of the EU Customs Data Hub in accordance with Article 41.

5.   The Commission shall adopt implementing acts laying down the technical arrangements for interoperability and connection pursuant to paragraphs 3 and 4 of this Article. Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 283(4).

CHAPTER 4

Other provisions

Article 51

Development, operation and maintenance of the EU Customs Data Hub

1.   The Commission shall develop, operate and maintain the EU Customs Data Hub.

2.   After consulting the Member States, the Commission may entrust the development, operation and maintenance of the EU Customs Data Hub to the EU Customs Authority, taking into account whether the EU Customs Authority is in a position to carry out those tasks.

3.   The development, operation and maintenance of the EU Customs Data Hub shall include:

(a) the establishment of technical specifications for the processing of data within the EU Customs Data Hub;

(b) the establishment of a data quality framework;

(c) the implementation of the EU Customs Data Hub functionalities provided for in Article 38(3), with the exception of maintenance and updates in line with the applicable national VAT and excise duty provisions, which are to be done by the Member States;

(d) making available general guidance for the use of the EU Customs Data Hub;

(e) the establishment of a public contact point for assistance to EU Customs Data Hub users, including for security threats;

(f) the adoption of measures to ensure business continuity of the EU Customs Data Hub.

Article 52

Business continuity

1.   The Commission and the EU Customs Authority shall ensure that the EU Customs Data Hub has business continuity measures in place including, where necessary redundancy, failover mechanisms and data recovery protocols, so that it can operate even in the event of a serious crisis or that it has adequate fall-back procedures in place. Infrastructure sites of the EU Customs Data Hub shall be geographically dispersed to ensure the operation of the EU Customs Data Hub in the event of failure of one of its sites.

2.   The Commission shall adopt implementing acts providing for the fall-back procedures referred to in paragraph 1 of this Article. Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 283(4).

Article 53

Derogations

In exceptional and duly justified circumstances, the Commission may, at the request of one or more Member States, adopt an implementing act, in the form of a decision, authorising that Member State or Member States to use functionally equivalent electronic services or systems other than those implemented in the EU Customs Data Hub or to use means other than electronic data-processing techniques for functionalities implemented in the EU Customs Data Hub.

An implementing act referred to in the first paragraph:

(a) shall not affect the functioning of the EU Customs Data Hub and the completeness of the stored data unless other than electronic data-processing techniques are used;

(b) shall be justified by the specific situation of the requesting Member State or Member States;

(c) shall be limited in time, reviewed periodically and revoked where no longer justified;

(d) shall be adopted only if it does not affect the exchange of information between the requesting Member State or Member States and other Member States and the EU Customs Authority or the exchange and storage of information in other Member States for the purpose of the application of the customs legislation;

(e) shall not result in the permanent exclusion of the requesting Member State or Member States from using the EU Customs Data Hub;

(f) may be extended in duly justified cases at the request of the Member State or Member States concerned.

TITLE IV

CUSTOMS SUPERVISION, RISK MANAGEMENT AND CUSTOMS CONTROLS

CHAPTER 1

Customs supervision

Article 54

Customs supervision

1.   Goods to be brought into the customs territory of the Union may be subject to risk mitigation measures based, in particular, on the data provided or made available in relation to those goods.

2.   Goods brought into the customs territory of the Union shall be under customs supervision from the time of their entry into that territory.

3.   Goods brought into the customs territory of the Union shall remain under customs supervision:

(a) in the case of non-Union goods, until their customs status is changed, or the goods are taken out of the customs territory of the Union or destroyed;

(b) in the case of Union goods, until their customs status is confirmed, unless they are placed under the end-use procedure.

4.   Union goods placed under the end-use procedure shall remain under customs supervision:

(a) where the goods are suitable for repeated use, for a period not exceeding two years from the date of their first use for the purposes laid down for the application of the duty exemption or reduced rate of duty;

(b) until the goods have been used for the purposes laid down for the application of the duty exemption or reduced rate of duty;

(c) until the goods have been taken out of the customs territory of the Union, destroyed or abandoned to the State;

(d) until the goods have been used for purposes other than those laid down for the application of the duty exemption or reduced rate of duty and the applicable import duty has been paid.

5.   Union goods placed under the export or outward processing procedure shall remain under customs supervision until they are taken out of the customs territory of the Union, abandoned to the State or destroyed, or until the customs declaration or relevant data on the export or outward processing procedure are invalidated.

6.   Union goods placed under the internal transit procedure shall remain under customs supervision until the customs authorities discharge the procedure in accordance with Article 129(2).

7.   Goods shall not be removed from customs supervision without the permission of the customs authorities.

8.   The holder of goods under customs supervision may, with the permission of the customs authorities, at any time examine the goods or take samples, in particular in order to determine their tariff classification, customs value or customs status.

CHAPTER 2

Customs risk management

Article 55

General principles

1.   The EU Customs Authority, the Commission and the customs authorities shall, based on risk management and primarily on automated risk analysis, and in accordance with their roles as set out in this Chapter, determine whether goods, persons, economic operators, means of transport and supply chains will be subject to risk mitigation measures and, if so, where and when those risk mitigation measures will take place.

2.   The Commission, the EU Customs Authority and the customs authorities shall use customs risk management to differentiate between the levels of all types of risks associated with goods, persons, economic operators, means of transport and supply chains in accordance with this Chapter.

3.   Customs risk management shall include at least the following activities, which shall, where appropriate, be organised on a cyclical basis:

(a) collecting, processing, exchanging and analysing relevant data available in the EU Customs Data Hub and from other sources, including those sources identified in national or Union law, as well as from authorities other than customs authorities;

(b) identifying, analysing, assessing or predicting risks, including based on statistical and predictive methods and random controls;

(c) developing necessary measures to manage risks, including establishing common priority control areas, common risk criteria and standards and supervision strategies;

(d) prescribing and taking action, including selecting appropriate risk mitigation measures;

(e) gathering feedback on the implementation of risk management and control activities;

(f) monitoring and reviewing risk management and control activities with a view to improving them.

4.   When taking decisions related to the customs risk management referred to in paragraph 2, the customs authorities shall take into account available information on non-compliance, by an importer, an exporter or an importer for distance sales, with other legislation applied by the customs authorities that has been notified to the customs authorities. Such non-compliance shall be taken into account for the purpose of the risk profile of the relevant importer or exporter.

Article 56

Role of the Commission

1.   Without prejudice to the role of the customs authorities pursuant to Article 58(1), point (e), and Article 63, the Commission may, taking into consideration, where available, the outcome of the process pursuant to Article 232(6), establish common priority control areas and common risk criteria and standards for any type of risk, including, but not limited to, risks relating to financial interests.

2.   In addition to the actions referred to in paragraph 1, the Commission may:

(a) provide the EU Customs Authority with policy orientations on risk management projects and supervision strategies;

(b) request the EU Customs Authority to carry out a periodic or ad hoc evaluation of the implementation of any risk management activities;

(c) request the EU Customs Authority to prepare a supervision strategy for any risk and to conduct ad hoc customs threat assessments, in addition to those referred to in Article 57(1).

3.   The Commission may, where it is necessary for the purposes referred to in paragraphs 1 and 2, process and analyse data available in the EU Customs Data Hub and from other sources, including sources identified in national or Union law, as well as from authorities other than customs authorities.

Article 57

Role of the EU Customs Authority

1.   The EU Customs Authority shall conduct a periodic threat assessment to serve as a basis for the recommendations referred to in Article 232(6).

2.   The EU Customs Authority shall perform Union-level risk management activities, duly taking into account the policy orientations referred to in Article 56(2), point (a), and the possible outcome of the process referred to in Article 232(6). In particular, the EU Customs Authority:

(a) may submit input to the Commission for the establishment of common priority control areas and common risk criteria and standards referred to in Article 56(1);

(b) may assist the Commission in establishing the common priority control areas and common risk criteria and standards referred to in Article 56(1), taking into consideration operation knowledge and technical expertise in risk management;

(c) shall develop supervision strategies, where appropriate with authorities other than the customs authorities, and conduct ad hoc customs threat assessments as referred to in Article 56(2), point (c);

(d) shall exchange relevant data with the customs authorities and with other authorities for the purposes of this Title, where possible through the EU Customs Data Hub, in accordance with Article 60;

(e) where it identifies or suspects cases of fraud, shall inform OLAF thereof and provide it with all the necessary information related to those cases; it may also inform Europol within the limits of Europol’s mandate;

(f) shall develop operational guidance for risk management activities involving more than one customs authority;

(g) shall develop and perform common risk analysis and generate risk analysis results and, where risk is identified, issue control recommendations and other appropriate risk mitigation measures to the customs authorities, including for the application of the common priority control areas and the common risk criteria and standards and for dealing with crisis situations, taking into account the severity of the risk and the reasonably expected impact on trade flows and on individual Member States’ control resources;

(h) may provide input to the Commission for the development of a framework on the ‘comply or explain principle’ applicable to control recommendations, to be used by the customs authorities in the event that they do not follow such control recommendations;

(i) shall take measures to manage the number of control recommendations, taking into account the reasonably expected impact on trade flows and severity of the risk, where it is not feasible to follow the control recommendations due to resource constraints of a relevant customs office.

3.   The EU Customs Authority may, where it is necessary for the purposes referred to in paragraph 2, collect, process and analyse data available in the EU Customs Data Hub and from other sources, including those sources identified in national or Union law, as well as from authorities other than customs authorities.

4.   The EU Customs Authority shall inform the Commission and the customs authorities about its risk management activities and their outcomes on an ad hoc basis, where necessary, or when requested to do so by the Commission. In this regard, the EU Customs Authority shall provide the Commission with all necessary information.

5.   Until 30 June 2028, the Commission may carry out the risk management tasks of the EU Customs Authority referred to in this Article.

Article 58

Role of national customs authorities

1.   The customs authorities shall:

(a) perform national risk management activities, including risk analysis, cooperation and exchange of information on risk management with relevant national authorities, and take risk mitigation measures;

(b) implement national processes necessary for the implementation of common priority control areas and common risk criteria and standards;

(c) carry out, where appropriate, national risk analysis to implement the risk signals, risk analysis results and control recommendations generated by the EU Customs Authority or other customs authorities and, where necessary, take appropriate risk mitigation measures;

(d) issue control recommendations and indicate appropriate risk mitigation measures to the customs authorities of other Member States, taking into account the operational guidance referred to in Article 57(2), point (f);

(e) take control decisions;

(f) perform controls in accordance with Chapter 2 and with any applicable common risk criteria and standards;

(g) provide an explanation to the EU Customs Authority in the event that a control recommendation was not followed or a risk mitigation measure was not taken.

2.   The customs authorities may, where it is necessary for the purposes referred to in paragraph 1, collect, process and analyse data available in the EU Customs Data Hub and from other sources, including sources identified in national or Union law, as well as from authorities other than customs authorities.

Article 59

Common risk criteria and standards

1.   The common risk criteria and standards shall include:

(a) a description of the risks;

(b) the factors or indicators of risk to be used to select goods or economic operators for customs controls;

(c) the nature of customs controls to be undertaken by the customs authorities;

(d) the application of risk analysis and risk mitigation measures in the supply chain, including requests for information or action and instruction not to load or transport; and

(e) the duration of the application of the customs controls referred to in point (c).

2.   When establishing common risk criteria and standards, the Commission shall take account of all of the following:

(a) proportionality to the risk;

(b) urgency of the necessary application of the controls;

(c) the reasonably expected impact on trade flow and on the control resources of individual Member States.

Article 60

Information relevant for risk management and controls

1.   All risk information, risk signals, risk analysis results, control recommendations, control decisions, control results and other relevant information shall be recorded in the operational process to which they relate and in the EU Customs Data Hub, irrespective of whether they are based on national or common risk analysis or on random selection. Customs authorities shall share risk information with each other, with the EU Customs Authority and with the Commission.

2.   The customs authorities, the EU Customs Authority and the Commission shall have the right to process the elements referred to in paragraph 1 of this Article according to their roles as referred to in Articles 56 to 58 and Article 61 and building on their respective data access and processing rights set out in Article 41.

3.   The EU Customs Authority shall, where possible, use the EU Customs Data Hub to collect, or interoperate with, any other sources of data, documents or information identified as relevant for risk management by the EU Customs Authority, by the Commission or by a customs authority. If any system other than the EU Customs Data Hub is used, that system shall meet the same standards with regard to data safety, data security and data integrity as laid down in Title III.

4.   Until 30 June 2028, the Commission shall carry out the tasks of the EU Customs Authority referred to in this Article.

Article 61

Evaluation of customs risk management

1.   At least every year, the Commission, in cooperation with the EU Customs Authority and the customs authorities, shall evaluate the implementation of risk management in order to continuously improve its operational and strategic effectiveness and efficiency and publish non-sensitive information on that evaluation. The Commission may in addition arrange evaluation activities to be carried out where it considers necessary, and on an ongoing basis.

2.   For the purposes of the evaluation referred to in paragraph 1, the EU Customs Authority shall collect and analyse relevant information and carry out all necessary activities. The EU Customs Authority may request periodic or ad hoc reports from one or more Member States in that regard unless that information can be extracted from the EU Customs Data Hub.

3.   For the purposes of the evaluation referred to in paragraph 1 and for the purpose of fulfilling its role and responsibilities under this Title, the Commission may process any relevant information available through the EU Customs Data Hub and may request information not available therein from the EU Customs Authority and from the customs authorities.

4.   In the establishment of common priority control areas and common risk criteria and standards as referred to in Article 56(1), Article 57(2), points (a) and (b), and Article 59, the EU Customs Authority and the Commission shall take account, where relevant, of evaluations carried out under this Article.

Article 62

Conferral of implementing powers

1.   The Commission shall adopt implementing acts laying down measures to ensure the harmonised application of customs controls and risk management, including the exchange of information and the establishment of common priority control areas and common risk criteria and standards referred to in this Title. Such measures shall include:

(a) the information to be recorded in the EU Customs Data Hub in relation to risk management and controls, including in respect of risk information, risk analysis results, risk mitigation measures, control recommendations, control decisions, control results and the rights to access and process such information;

(b) procedural measures for the transitional use of or access to existing customs information systems;

(c) procedural measures for the management of interoperability between the EU Customs Data Hub and other systems;

(d) procedural measures in relation to the application of the reporting requirement in the context of post-release controls and random controls;

(e) arrangements for cooperation, including exchange of information, between the EU Customs Authority and specific other Union institutions, bodies, offices and agencies for the purposes of this Title;

(f) the identification of the competent customs authority in the case of specific risk management processes which concern more than one Member State;

(g) procedural aspects of controls, including post-release controls, which concern more than one Member State, and the availability of results of samples and other controls between the customs authorities concerned;

(h) arrangements for the sharing of risk information between customs authorities, the EU Customs Authority and the Commission;

(i) common priority control areas and common risk criteria and standards as referred to in Article 56(1), Article 57(2), points (a) and (b), and Article 59, including the modalities for their application on an urgent basis where necessary;

(j) the framework on the ‘comply or explain’ principle in the event that a control recommendation was not followed, as referred to in Article 57(2), point (h).

Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 283(4).

2.   On duly justified imperative grounds of urgency concerning the measures referred to in paragraph 1 of this Article, including the modalities for their application on an urgent basis to respond effectively to crises or incidents which could pose an imminent safety or security risk, relating to the need to rapidly update common risk management and adapt the exchange of information, common priority control areas and common risk criteria and standards to the evolution of risks, the Commission shall adopt immediately applicable implementing acts in accordance with the procedure referred to in Article 283(5).

CHAPTER 3

Customs controls

Article 63

Customs controls

1.   Without prejudice to Chapter 2, the customs authorities may carry out any customs controls they consider necessary, including random controls.

2.   Customs controls may in particular consist of:

(a) examining goods;

(b) taking samples of goods;

(c) verifying the authenticity, integrity, accuracy and completeness of the data provided or made available by any person;

(d) verifying the existence, authenticity, accuracy and validity of documents;

(e) examining the accounts, commercial records and data sources of economic operators;

(f) inspecting means of transport;

(g) inspecting luggage and other goods carried by or on persons;

(h) carrying out official enquiries; and

(i) other similar acts.

Where necessary, customs controls may include the processing electronic data, and the source of the data provided or made available in the EU Customs Data Hub.

3.   Where controls other than customs controls are to be performed by other authorities on the same goods, the customs authorities shall closely cooperate with those other authorities so that, wherever possible, those other controls can be performed at the same time and place as customs controls (the ‘one-stop-shop’ principle). When other controls are carried out at the same time as customs controls, the customs authorities shall have the coordinating role.

4.   The customs authorities may decide to carry out controls at a place that they designate.

Article 64

Verification of the data provided or made available

1.   From the moment persons provide or make available data to the customs authorities, those authorities may, for the purpose of verifying the accuracy of such data:

(a) examine the data and the supporting documents, including accessing data sources held by the economic operators or stored on their behalf by service providers;

(b) require the provision of other documents or data, including data held by the economic operators or stored on their behalf by service providers;

(c) require access to the electronic records of the person;

(d) examine the goods;

(e) take samples for analysis or for detailed examination of the goods.

2.   The Commission shall adopt implementing acts laying down measures on the verification of the information referred to in paragraph 1 of this Article. Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 283(4).

Article 65

Examination and sampling of goods

1.   The customs authorities may at any time require goods to be unloaded and unpacked for the purpose of examining them, taking samples of them or examining the means of transport used to carry them.

2.   Transport of the goods to the places where they are to be examined and where samples are to be taken, and all the handling necessitated by such examination or taking of samples, shall be carried out by or under the responsibility of the importer, exporter, carrier or holder of the transit procedure. The costs incurred shall be borne by the importer, exporter or holder of the transit procedure.

3.   The importer, exporter, carrier or holder of the transit procedure shall have the right to be present or represented when the goods are examined and when samples are taken. Where the customs authorities have reasonable grounds for so doing, they may require the importer, exporter, carrier or holder of the transit procedure to be present or represented when the goods are examined or samples are taken or to provide them with the assistance necessary to facilitate such examination or taking of samples.

4.   Provided that samples are taken in accordance with Union or national law, the customs authorities shall not be liable to pay any compensation in respect thereof but shall bear the costs of their analysis or examination.

5.   Where only part of the goods is examined, or samples are taken, the results of the partial examination, or of the analysis or examination of the samples, shall be taken to apply to all of the same goods in the same consignment.

However, the importer, exporter, carrier or holder of the transit procedure may request a further examination or sampling of the goods if it considers that the results of the partial examination, or of the analysis or examination of the samples taken, are not valid as regards the remainder of the goods concerned. That request shall be granted provided that the goods have not been released or, if they have been released, provided that the importer, exporter, carrier or holder of the transit procedure proves that they have not been altered in any way.

Notwithstanding the first and second subparagraphs, the importer, exporter, carrier or holder of the transit procedure may, at its own expense, request additional examination or sampling.

6.   The Commission shall adopt implementing acts laying down measures on the examination and sampling of the goods referred to in this Article. Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 283(4).

Article 66

Results of the verification

1.   The results of verifying, in accordance with Article 64, the data provided or made available by the importer, exporter, carrier or holder of the transit procedure shall be used for the application of the provisions governing the customs procedure under which the goods are placed and of other obligations established in the customs legislation.

2.   The results of the verification made by the customs authorities shall have the same conclusive force throughout the customs territory of the Union.

3.   Where the data provided or made available by the importer, exporter, carrier or holder of the transit procedure is not verified, paragraph 1 shall apply on the basis of those data.

4.   Where customs authorities find that a certain good or certain goods forming part of a consignment are non-compliant, they shall assess whether other goods contained in any other consignment present a similar risk in accordance with criteria to be laid down in an implementing act adopted pursuant to paragraph 5. In such cases, the customs authorities may deem the goods concerned to be non-compliant and take risk mitigation measures, where relevant in cooperation with other competent authorities, or refuse the release of those other goods pursuant to Article 77(4).

This paragraph shall not apply where the importer provides proof that the goods that have not been verified are compliant.

5.   The Commission shall adopt implementing acts laying down:

(a) measures on the results of the verification referred to in this Article; and

(b) the criteria under which the customs authorities may consider verification results as evidence that other goods present a similar risk of non-compliance as referred to in paragraph 4 of this Article.

Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 283(4).

Article 67

Identification measures

1.   The customs authorities or, where appropriate, the economic operators authorised to do so by the customs authorities shall take the measures necessary to identify the goods where identification is required in order to ensure compliance with the provisions governing the relevant customs procedure under which the goods are intended to be placed.

Those identification measures shall have the same legal effect throughout the customs territory of the Union.

2.   Means of identification affixed to the goods, packaging or means of transport shall be removed or destroyed only by the customs authorities or, where they are authorised to do so by the customs authorities, by other persons unless, as a result of unforeseeable circumstances or

force majeure

, the removal or destruction of such means of identification is essential to ensure the protection of the goods or the means of transport.

3.   The Commission shall adopt implementing acts specifying which measures constitute the identification measures referred to in this Article. Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 283(4).

Article 68

Post-release controls

1.   For the purpose of customs controls, the customs authorities may, after the release of the goods:

(a) verify the accuracy and completeness of the data provided or made available and the existence, authenticity, accuracy and validity of any supporting document;

(b) examine the accounts of the economic operator and other records relating to the operations in respect of the goods in question and prior or subsequent commercial operations involving those goods;

(c) examine such goods and take samples where appropriate and where it is still possible for them to do so;

(d) access economic operators’ systems to verify compliance with the obligation to provide or make available data to the EU Customs Data Hub.

2.   The controls referred to in paragraph 1 may be carried out at the premises of the importer, exporter, holder of the goods, any other person directly or indirectly involved in the operations in respect of the goods in question in a business capacity or any other person in possession of the documents and data referred to in that paragraph for business purposes.

3.   The Commission shall adopt implementing acts laying down the measures to apply to the controls referred to in paragraph 1 of this Article, including where operations take place in more than one Member State, and on the application of appropriate methodologies in the context of such controls. Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 283(4).

Article 69

Audits

1.   For the purpose of audits, the customs authorities may:

(a) conduct an examination of the economic operator’s management, organisation, internal procedures or internal systems, such as accounting and logistics, in order to gather, assess and provide evidence on the economic operator’s compliance with relevant rules and requirements applied by the customs authorities;

(b) conduct an extensive analysis of the economic operator’s operations, processes, systems and internal controls.

2.   Audits may be carried out at the premises of the importer, exporter, holder of the goods, any other person directly or indirectly involved in those operations in a business capacity or any other person in possession of the documents and data relevant for the audit.

Article 70

Intra-Union flights and sea crossings

1.   Customs controls or formalities shall be carried out in respect of the cabin and hold baggage of persons either taking an intra-Union flight, or making an intra-Union sea crossing, only where the customs legislation so provides.

2.   Paragraph 1 shall apply without prejudice to:

(a) safety and security;

(b) controls linked to other legislation applied by the customs authorities.

3.   The Commission shall adopt implementing acts specifying the ports or airports where customs controls and formalities are applied to the following:

(a) the cabin and hold baggage of persons:

(i) taking a flight in an aircraft which comes from a non-Union airport and which, after a stopover at a Union airport, continues to another Union airport;

(ii) taking a flight in an aircraft which stops over at a Union airport before continuing to a non-Union airport;

(iii) using a maritime service provided by the same vessel and comprising successive legs departing from, calling at or terminating in a non-Union port;

(iv) on board pleasure craft and tourist or business aircraft;

(b) cabin and hold baggage:

(i) arriving at a Union airport on board an aircraft coming from a non-Union airport and transferred at that Union airport to another aircraft proceeding on an intra-Union flight;

(ii) loaded at a Union airport onto an aircraft proceeding on an intra-Union flight for transfer at another Union airport to an aircraft whose destination is a non-Union airport.

Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 283(4).

TITLE V

PLACING GOODS UNDER A CUSTOMS PROCEDURE

CHAPTER 1

Customs status of goods

Article 71

Presumption of customs status of Union goods

1.   All goods in the customs territory of the Union shall be presumed to have the customs status of Union goods, unless it is established that they are not Union goods.

2.   In specific cases laid down in the customs legislation, the presumption in paragraph 1 shall not apply. As a result, it shall be necessary to prove that the goods concerned have the customs status of Union goods.

3.   In specific cases laid down in the customs legislation, goods wholly obtained in the customs territory of the Union that are obtained from goods in temporary storage, or from goods placed under the external transit procedure, a storage procedure, the temporary admission procedure or the inward processing procedure, shall not have the customs status of Union goods.

4.   The Commission is empowered to adopt delegated acts in accordance with Article 282 to supplement this Regulation by:

(a) determining the specific cases where the presumption laid down in paragraph 1 of this Article does not apply;

(b) laying down the conditions for granting facilitation measures for the task of proving that goods have the customs status of Union goods, as referred to in paragraph 2 of this Article;

(c) determining the specific cases where the goods referred to in paragraph 3 of this Article do not have the customs status of Union goods.

5.   The Commission shall adopt implementing acts laying down the procedural rules on the provision and verification of the means of proof of the customs status of Union goods. Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 283(4).

Article 72

Loss of customs status of Union goods

Union goods shall become non-Union goods in the following cases:

(a) where they are taken out of the customs territory of the Union, provided that the rules on internal transit do not apply;

(b) where they have been placed under the external transit procedure, a storage procedure or the inward processing procedure, if allowed by the customs legislation;

(c) where they were placed under the end-use procedure and are either subsequently abandoned to the State, or are destroyed with waste remaining;

(d) where the information provided or made available, or where applicable the declaration, for release for free circulation is invalidated after the goods have been released.

Article 73

Union goods leaving the customs territory of the Union temporarily

1.   In the cases referred to in Article 136(2), points (b) to (e), goods shall keep their customs status as Union goods only if that status is established under the conditions and by the means laid down in the customs legislation.

2.   In specific cases laid down in the customs legislation, Union goods may move, without being subject to a customs procedure, from one point to another within the customs territory of the Union and temporarily out of that territory without alteration of their customs status.

3.   The Commission is empowered to adopt delegated acts in accordance with Article 282 to supplement this Regulation by determining the specific cases where the customs status of goods is not altered, as referred to in paragraph 2 of this Article.

CHAPTER 2

Placement and release

Article 74

Placement of goods under a customs procedure

1.   Importers, exporters and holders of the transit procedure shall provide or make available, in the EU Customs Data Hub, the data necessary for the placement of the goods under the customs procedure concerned as soon as those data are available and in any event prior to the notification of availability of the goods.

2.   By providing or making available the notification of availability of the goods, the importers, exporters and holders of the transit procedure confirm to the customs authorities their intention to place the goods under the customs procedure concerned.

3.   A person that is making use of the IOSS scheme shall provide or make available the data on distance sales of goods to be placed under the release for free circulation procedure in the customs territory of the Union at the latest on the day following the date on which the payment for the sale was accepted and in any event prior to the notification of the availability of the goods.

4.   By way of derogation from paragraph 1 of this Article and without prejudice to Article 178, in duly justified circumstances linked to the supporting documentation or the determination of the customs value of the goods, the customs authorities may allow an exporter, holder of the transit procedure or importer other than the importer for distance sales to provide or make available a part of the data, other than advance cargo information, after the release of the goods.

The exporter, holder of the transit procedure or importer other than the importer for distance sales shall provide or make available the omitted information within a specific time limit.

5.   By way of derogation from paragraph 1 of this Article and without prejudice to Article 178, in duly justified circumstances linked to the supporting documentation or the determination of the customs value of the goods, a Trust and Check trader other than the importer for distance sales may provide or make available a part of the data, other than advance cargo information, after the release of the goods. The Trust and Check trader shall provide or make available the omitted information within a specific time limit.

6.   By way of derogation from paragraph 1 of this Article, in specific cases laid down in the customs legislation, goods may be placed under a customs procedure using means other than the EU Customs Data Hub.

7.   The goods shall be placed under the customs procedure concerned upon their release.

The date of the notification of availability of the goods shall be the date to be used for the application of the provisions governing the customs procedure in which the goods are placed and for all other import or export formalities.

8.   The Commission is empowered to adopt delegated acts in accordance with Article 282 to supplement this Regulation by:

(a) determining the data referred to in paragraphs 1 and 3 of this Article;

(b) laying down the conditions for applying the simplification referred to in paragraph 4 of this Article;

(c) determining the specific data that can be provided or made available after release of the goods and the time limits for providing or making available such data, where paragraph 4 or 5 of this Article is applied;

(d) determining the specific cases referred to in paragraph 6 of this Article and the means other than the EU Customs Data Hub that can be used for placing goods under a customs procedure.

Article 75

Other forms of notification of availability of the goods

The importer, exporter or holder of the transit procedure may provide or make available the notification of availability of the goods through:

(a) the notification of arrival of the goods in the customs territory of the Union if the temporary storage or placement under a customs procedure takes place at the customs office of entry; or

(b) the notification of arrival of the goods at the point of exit if the temporary storage takes place at the customs office of exit.

Article 76

Information and supporting documents

1.   When providing or making available the data and information required for the specific customs procedure under which goods are placed or intended to be placed, persons shall provide or make available digital copies of the original paper documents used to obtain that data and information, where such original paper documents exist.

2.   Until 28 February 2034, when a customs declaration is lodged, the supporting documents required for the application of the provisions governing the customs procedure for which the goods are declared shall be in the declarant’s possession and at the disposal of the customs authorities at the time that that declaration is lodged.

3.   The supporting documents for the applicable Union non-customs formalities listed in the Annex to Regulation (EU) 2022/2399 shall be deemed to have been provided or made available or to be in the possession of the declarant if the customs authorities are able to obtain the necessary data from the corresponding Union non-customs systems through the European Union Customs Single Window Certificates Exchange System (EU CSW-CERTEX) in accordance with Article 10(1), points (a) and (c), of that Regulation.

4.   Supporting documents shall also be provided or made available by persons where necessary for customs risk management and controls.

5.   Without prejudice to other legislation applied by the customs authorities, customs authorities may authorise economic operators to draw up the supporting documents referred to in paragraph 3.

6.   Unless otherwise stated for specific documents, the person concerned shall, for the purposes of customs controls, keep the documents and information for at least three years, in a form that can be accessed by the customs authorities and is acceptable to them. That period shall run:

(a) in the case of goods released for free circulation duty-free or at a reduced rate of import duty on account of their end-use, from the end of the year in which they cease to be subject to customs supervision;

(b) in the case of goods placed under another customs procedure or of goods in temporary storage, from the end of the year in which the customs procedure concerned has been discharged or temporary storage has ended;

(c) in cases not covered by points (a) and (b), from the end of the year in which the goods are released.

7.   Without prejudice to Article 206(4), where a customs control in respect of a customs debt shows that the relevant entry in the accounts needs to be corrected and the person concerned has been notified of this, the documents and information shall be kept for three years beyond the time limit provided for in paragraph 6 of this Article.

8.   Where an appeal has been lodged or where administrative or judicial proceedings have begun, the documents and information shall be kept for the period provided for in paragraph 6 or until the appeals procedure or the administrative or judicial proceedings are terminated, whichever is the latest.

Article 77

Release of the goods

1.   The customs authorities responsible for placing the goods in a customs procedure in accordance with Article 6(1), point (d), and Article 6(2) shall decide on the release of the goods, taking into account the results of the risk analysis of the data in the customs declaration or the data provided or made available by the importer or exporter or holder of the transit procedure and, where applicable, the results of any control or risk mitigation measure.

2.   The release of the goods shall not be considered to be proof of conformity.

3.   Goods shall be released if the following conditions are met:

(a) the customs authorities have been informed of which person is the importer, exporter or holder of the transit procedure responsible for the goods;

(b) the conditions for placing the goods under the customs procedure concerned pursuant to Articles 74, 109, 114, 140, 142, 145, 153, 156, 158 and 161 have been met; and

(c) the goods have not been selected for any control or have been selected for controls and those controls did not result in any findings that justify refusing the release of those goods.

4.   The customs authorities shall refuse the release in any of the following cases:

(a) where the conditions for placing the goods under the customs procedure concerned have not been met, including any Union non-customs formalities as defined in Article 2, point (11), of Regulation (EU) 2022/2399 relevant for the goods;

(b) where they have any evidence that the goods do not comply with the relevant other legislation applied by the customs authorities;

(c) where they have evidence that the data provided or made available is not accurate.

5.   The customs authorities shall suspend the release in any of the following cases:

(a) where they have reason to believe that the goods do not comply with customs legislation or other legislation applied by the customs authorities or that they do present a serious risk to human, animal or plant health and life, or to the environment, or to any other public interest;

(b) where other competent authorities have so requested in accordance with other legislation applied by the customs authorities.

A systematic infringement, determined for an economic operator in accordance with Article 276(5), shall constitute a reason to believe, as referred to in point (a) of the first subparagraph of this paragraph, in respect of all goods notified as available for the release for free circulation by that economic operator within at least six months from the determination of the infringement.

6.   Where the release has been suspended in accordance with paragraph 5, the customs authorities shall carry out the consultations provided for in the relevant other legislation applied by the customs authorities, and:

(a) if the other competent authorities have so requested in accordance with the relevant other legislation applied by the customs authorities, refuse the release;

(b) if the other competent authorities have approved the release, release the goods;

(c) if the other competent authorities have not replied within the time limit determined in the relevant other legislation applied by the customs authorities or, in the absence of such time limit, within five days, release the goods; or

(d) if the other competent authorities requested to do so because they notified the customs authorities that more time is needed to assess whether the goods comply with the relevant other legislation applied by the customs authorities, maintain the suspension for no longer than 90 days.

7.   Without prejudice to the relevant other legislation applied by the customs authorities, the customs authorities shall be deemed to have released the goods where they have not selected them for any control within a reasonable period after:

(a) the goods of importers for distance sales have arrived in the customs territory of the Union;

(b) the goods of importers have arrived at their final destination; or

(c) the exporter has sent the pre-departure information.

8.   Where the customs authorities suspend the release of the goods in accordance with paragraph 5, or refuse the release of the goods in accordance with paragraph 4 or paragraph 6, point (a), they shall record their decision and any other information required by Union law in the EU Customs Data Hub, where applicable. That information shall be made available to the other customs authorities.

9.   Where the customs authorities have refused the release of the goods in accordance with paragraph 4 or paragraph 6, point (a):

(a) if the other competent authorities have not objected, the goods may be subsequently placed under another customs procedure with an indication that the goods had been previously refused for another customs procedure;

(b) if the other competent authorities have objected to placing the goods under a customs procedure, the customs authorities shall record that information in the EU Customs Data Hub and act in accordance with Title V, Chapter 4.

10.   The Commission is empowered to adopt delegated acts in accordance with Article 282 to supplement this Regulation by:

(a) determining the reasonable periods of time referred to in paragraph 7 of this Article;

(b) further specifying the specific cases listed in paragraph 7 of this Article; or

(c) establishing additional special cases in which customs authorities are deemed to have released the goods.

Article 78

Release of the goods on behalf of the customs authorities by Trust and Check traders

1.   By way of derogation from Article 77(1), the customs authorities may authorise Trust and Check traders to release the goods on their behalf upon receipt of those goods at the place of business of the importer, owner or consignee or upon dispatch from the place of business of the exporter, owner or consignor, provided that the necessary data for the relevant procedure and real-time information on the arrival or dispatch of the goods are provided or made available to the customs authorities.

2.   Trust and Check traders operating a customs warehouse for distance sales in accordance with Article 145 shall only release the goods that are placed under the customs warehousing procedure and are ready to be offered for sale in the customs territory of the Union.

3.   Without prejudice to Article 63, the customs authorities may authorise Trust and Check traders to perform certain controls on goods under customs supervision. For controls to be carried out pursuant to other legislation applied by the customs authorities, the customs authorities shall consult other competent authorities before granting such authorisation and may agree a control plan with them.

4.   Where a Trust and Check trader authorised pursuant to paragraph 3 has reason to believe that the goods do not comply with the relevant other legislation applied by the customs authorities, it shall immediately notify the customs authorities. Upon receiving such notification, the customs authorities shall decide on the release or on the control of those goods.

5.   Where necessary, the customs authorities may require a Trust and Check trader to present the goods for a control in a customs office or at the place where the goods were meant to be released.

6.   Where the customs authorities have identified a new serious financial risk or another specific situation in relation to the release of goods on their behalf, they may suspend the authorisations granted pursuant to paragraphs 1 and 3 of this Article in accordance with Article 12(2).

7.   The Commission is empowered to adopt delegated acts in accordance with Article 282 to supplement this Regulation by:

(a) establishing the procedure for the release of goods on behalf of the customs authorities by Trust and Check traders;

(b) laying down the conditions, specifying the content and establishing the procedure for the controls carried out by Trust and Check traders.

Article 79

Amendment of information for placing goods under a customs procedure

1.   Before the date of release of the goods, the importer, the exporter or the holder of the transit procedure shall amend one or more data elements provided or made available for placing those goods under a customs procedure:

(a) when it comes to their knowledge that relevant information has changed in their records, or that such information is incorrect; or

(b) when a customs authority requests them to do so due to the inaccuracy or incompleteness of the data or issues with the quality of the data.

2.   The importer, the exporter or the holder of the transit procedure shall not amend the information where:

(a) the customs authorities have informed it that they intend to examine the goods;

(b) the customs authorities have informed it that they have established that the data provided or made available is incorrect; or

(c) the goods have already been released.

3.   Within three years from the date of release of the goods, the importer, the exporter or the holder of the transit procedure may request the amendment of one or more data elements provided or made available for placing goods under a customs procedure. The customs authorities shall decide whether to accept or refuse the amendment, taking into account the risk of non-compliance with the obligations relating to the placing of goods under the customs procedure concerned.

4.   The Commission is empowered to adopt delegated acts in accordance with Article 282 to supplement this Regulation by specifying the cases where the data may be amended after the date of release in accordance with paragraph 3 of this Article.

5.   The Commission shall adopt implementing acts laying down the procedural rules for amending the information referred to in paragraphs 1 and 3 of this Article. Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 283(4).

Article 80

Invalidation of data for placing goods under a customs procedure

1.   If it comes to the knowledge of the importer, the exporter or the holder of the transit procedure that goods to be placed under a customs procedure will not be brought into or taken out of the customs territory of the Union, it shall as soon as possible invalidate the data for placing those goods under that customs procedure.

If goods to be placed under a customs procedure are not brought into or taken out of the customs territory of the Union within 200 days from the date on which the data for placing those goods under that customs procedure was provided or made available to the customs authorities, the customs authorities shall invalidate that data.

2.   The customs authorities shall, at the application of the importer, exporter or holder of the transit procedure, invalidate the data for placing goods under a customs procedure for which the notification of availability of the goods was provided or made available where the customs authorities are satisfied that:

(a) the goods are immediately to be placed under another customs procedure; or

(b) as a result of special circumstances, the placing of the goods under the primary customs procedure is no longer justified.

However, where the customs authorities have informed the importer, the exporter or the holder of the transit procedure of their intention to examine the goods, an application for invalidation of the data shall not be accepted before the examination has taken place.

3.   The Commission is empowered to adopt delegated acts in accordance with Article 282 to supplement this Regulation by specifying the cases where data for placing goods under a customs procedure can be invalidated after the date of release of the goods.

4.   The Commission shall adopt implementing acts laying down the procedural rules for invalidating the data for placing goods under a customs procedure. Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 283(4).

CHAPTER 3

Transitional provisions on customs declarations

Article 81

Customs declaration

1.   Customs declarations shall be made using electronic data-processing techniques.

2.   In specific cases laid down in the customs legislation, a customs declaration may be lodged using means other than electronic data-processing techniques.

3.   Except where otherwise provided in the customs legislation, the customs declaration shall be lodged at one of the following, depending on the circumstances:

(a) the customs office responsible for the place of first arrival of the goods in the customs territory of the Union; or

(b) the customs office responsible for the place of unloading of the goods arriving in the customs territory of the Union by sea or air;

(c) the customs office of destination of the transit procedure if the goods have entered the customs territory of the Union placed under a transit procedure;

(d) the customs office responsible for the place where the goods to be placed under a transit procedure are located;

(e) the customs office responsible for the place of establishment of the authorised economic operator for customs simplifications that is authorised to apply centralised clearance;

(f) the customs office responsible for the place where the goods intended to be taken out of the customs territory of the Union are located.

4.   The Commission is empowered to adopt delegated acts in accordance with Article 282 to supplement this Regulation by determining the specific cases where a customs declaration may be lodged using means other than electronic data-processing techniques in accordance with paragraph 2 of this Article.

5.   The Commission shall adopt implementing acts:

(a) laying down the procedure for lodging the customs declaration in the cases referred to in paragraph 2 of this Article;

(b) laying down the rules for determining the competent customs offices other than the one referred to in paragraph 3 of this Article, including customs offices of entry and customs offices of exit.

Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 283(4).

Article 82

Standard customs declaration

1.   Until 28 February 2034, standard customs declarations shall contain all the data necessary for the application of the provisions governing the customs procedure for which the goods are declared and the supporting documents referred to in Article 76.

2.   The Commission shall adopt implementing acts laying down the procedure for lodging the standard customs declaration referred to in paragraph 1 of this Article. Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 283(4).

Article 83

Simplified declaration

1.   Until 28 February 2034, the customs authorities may accept that a person has goods placed under a customs procedure on the basis of a simplified declaration which omits certain of the data or the supporting documents referred to in Article 76.

2.   Until 28 February 2031, the customs authorities may authorise the regular use of a simplified declaration.

3.   The Commission is empowered to adopt delegated acts in accordance with Article 282 to supplement this Regulation by laying down the conditions for granting the authorisation referred to in paragraph 2 of this Article.

4.   The Commission shall adopt implementing acts laying down the procedure for lodging a simplified declaration. Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 283(4).

Article 84

Supplementary declaration

1.   In the case of a simplified declaration referred to in Article 83 or of an entry in the declarant’s records referred to in Article 92, the declarant shall lodge a supplementary declaration containing the data necessary for the customs procedure concerned at the competent customs office within a specific time limit.

In the case of a simplified declaration referred to in Article 83, the necessary supporting documents shall be in the declarant’s possession and at the disposal of the customs authorities within a specific time limit.

The supplementary declaration may be of a general, periodic or recapitulative nature.

2.   The obligation to lodge a supplementary declaration shall not apply in the following cases:

(a) where the goods are placed under a customs warehousing procedure;

(b) in other specific cases laid down in the customs legislation.

3.   The customs authorities may waive the requirement to lodge a supplementary declaration where:

(a) the simplified declaration referred to in Article 83 concerns goods the value and quantity of which is below the threshold referred to in Article 194(8);

(b) the simplified declaration referred to in Article 83 already contains all the information needed for the customs procedure concerned; and

(c) the simplified declaration referred to in Article 83 is not made by entry in the declarant’s records.

4.   The simplified declaration referred to in Article 83 and the supplementary declaration shall be deemed to constitute a single, indivisible instrument taking effect on the date on which the simplified declaration is accepted in accordance with Article 87.

The entry in the declarant’s records referred to in Article 92 and the supplementary declaration shall be deemed to constitute a single, indivisible instrument taking effect on the date on which the goods are entered in the declarant’s records.

5.   The place where the supplementary declaration is to be lodged shall be deemed, for the purposes of Article 193, to be the place where the customs declaration has been lodged.

6.   The Commission is empowered to adopt delegated acts in accordance with Article 282 to supplement this Regulation by determining:

(a) the specific time limit referred to in paragraph 1, first subparagraph, of this Article within which the supplementary declaration is to be lodged;

(b) the specific time limit referred to in paragraph 1, second subparagraph, of this Article within which supporting documents are to be in the possession of the declarant and at the disposal of the customs authorities;

(c) the specific cases where the obligation to lodge a supplementary declaration does not apply in accordance with paragraph 2, point (b), of this Article.

7.   The Commission shall adopt implementing acts laying down the procedural rules for lodging the supplementary declaration. Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 283(4).

Article 85

Lodging a customs declaration

1.   Until 28 February 2034, without prejudice to Article 84(1), a customs declaration may be lodged by any person that is able to provide all of the information which is required for the application of the provisions governing the customs procedure in respect of which the goods are declared. That person shall also be able to present the relevant goods to customs or be able to have them presented to customs by another person.

However, where acceptance of a customs declaration imposes particular obligations on a specific person, that declaration shall be lodged by that person or by its representative.

2.   Until 30 June 2028, the customs declaration for release for free circulation of goods sold in distance sales shall be lodged by one of the following persons:

(a) the person permitted to make use of the IOSS scheme or its indirect representative;

(b) the person permitted to make use of the special arrangement laid down in Title XII, Chapter 7, of Directive 2006/112/EC or its indirect representative;

(c) in cases other than those referred to in points (a) and (b), the indirect representative of the importer;

(d) in cases other than those referred to in points (a), (b) and (c), any other person that is able to provide all of the information which is required for the application of the provisions governing the customs procedure for which the goods are declared.

3.   The declarant shall be established in the customs territory of the Union.

4.   By way of derogation from paragraph 3, the following declarants shall not be required to be established in the customs territory of the Union:

(a) persons that lodge a customs declaration for transit or temporary admission;

(b) persons that occasionally lodge a customs declaration, including for end-use or inward processing, provided that the customs authorities consider this to be justified;

(c) persons that are established in a country the territory of which is adjacent to the customs territory of the Union and who present the goods to which the customs declaration refers at a Union border customs office adjacent to that country, provided that the country in which the persons are established grants reciprocal benefits to persons established in the customs territory of the Union;

(d) importers for distance sales involved in the distance sale of goods which are to be imported in the customs territory of the Union under the IOSS scheme, provided that they appoint an indirect representative.

Article 86

Lodging a customs declaration prior to the presentation of goods to customs

1.   A customs declaration may be lodged prior to the expected presentation of the relevant goods to customs. If the goods are not presented within 30 days of the date of the lodging of the customs declaration, the customs declaration shall be deemed not to have been lodged.

2.   The Commission shall adopt implementing acts laying down the procedural rules for lodging a customs declaration as referred to in paragraph 1 of this Article. Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 283(4).

Article 87

Acceptance of a customs declaration

1.   Customs declarations which comply with the conditions laid down in this Chapter and with Article 76 shall be accepted by the customs authorities immediately, provided that the goods to which they refer have been presented to customs.

2.   Except where otherwise provided, the date of acceptance of the customs declaration by the customs authorities shall be the date to be used for the application of the provisions governing the customs procedure for which the goods are declared and for all other import or export formalities.

3.   The Commission shall adopt implementing acts laying down the procedural rules for accepting a customs declaration, including the application of those rules in the cases referred to in Article 91. Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 283(4).

Article 88

Amendment of a customs declaration

1.   The declarant shall, upon application, be permitted to amend one or more of the data elements in the customs declaration after that declaration has been accepted by the customs authorities. The amendment shall not render the customs declaration applicable to goods other than those which it originally covered.

2.   An amendment of the customs declaration after that declaration has been accepted by the customs authorities shall not be permitted where it is applied for:

(a) after the customs authorities have informed the declarant that they intend to examine the goods;

(b) after the customs authorities have established that the data in the customs declaration are incorrect; or

(c) after the customs authorities have released the goods.

3.   At the application of the declarant, within three years of the date of acceptance of the customs declaration, the customs authorities may permit an amendment of the customs declaration after the release of the goods in order to enable the declarant to comply with its obligations relating to the placing of the goods under the customs procedure concerned.

4.   The Commission shall adopt implementing acts laying down the procedure for amending the customs declaration after the release of the goods in accordance with paragraph 3 of this Article. Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 283(4).

Article 89

Invalidation of a customs declaration

1.   The customs authorities shall, at the application of the declarant, invalidate a customs declaration already accepted where they are satisfied that:

(a) the goods are immediately to be placed under a customs procedure; or

(b) as a result of special circumstances, the placing of the goods under the customs procedure for which they were declared is no longer justified.

However, where the customs authorities have informed the declarant of their intention to examine the goods, an application for invalidation of the customs declaration shall not be accepted before the examination has taken place.

2.   By way of derogation from paragraph 1, in specific cases laid down in the customs legislation, the customs authorities may invalidate the customs declaration without prior application by the declarant.

3.   The customs authorities shall not invalidate the customs declaration after the goods have been released, except in specific cases laid down in the customs legislation.

4.   The Commission is empowered to adopt delegated acts in accordance with Article 282 to supplement this Regulation by determining the specific cases in which customs authorities may invalidate the customs declaration without application by the declarant, as referred to in paragraph 2 of this Article, and after the release of the goods, as referred to in paragraph 3 of this Article.

5.   The Commission shall adopt implementing acts laying down the procedure for invalidating the customs declaration after the release of the goods referred to in paragraph 3 of this Article. Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 283(4).

Article 90

Simplification of the drawing-up of data for goods falling under different tariff subheadings

1.   Where a consignment is made up of goods falling within different tariff subheadings and dealing with each of those goods in accordance with its tariff subheading would entail a burden of work and expense disproportionate to the import or export duty chargeable, the customs authorities may, at the application of the declarant, provide for a simplified method of charging import or export duty whereby import or export duty is charged on the whole consignment on the basis of the tariff subheading of the goods which are subject to the highest rate of import or export duty.

2.   Customs authorities shall refuse the use of the simplified method of charging import or export duty referred to in paragraph 1:

(a) where the Union handling fee applies; or

(b) in relation to goods subject to other legislation applied by the customs authorities, to prohibitions or restrictions or to excise duty where the correct classification is necessary to apply those measures.

Article 91

Centralised clearance

1.   Until 28 February 2031, the customs authorities may, upon application, authorise a person to lodge, at a customs office responsible for the place where that person is established, a customs declaration for goods which are presented to customs at another customs office.

The customs authorities may waive the requirement for the authorisation referred to in the first subparagraph if the customs office where the customs declaration is lodged and the customs office where the goods are presented to customs are under the responsibility of the same customs authority.

2.   Only an authorised economic operator for customs simplifications, as referred to in Article 29(2), point (a), may apply for the authorisation referred to in paragraph 1 of this Article.

3.   The customs office at which the customs declaration is lodged shall:

(a) supervise the placing of the goods under the customs procedure concerned;

(b) carry out the customs controls for the verification of the customs declaration;

(c) where justified, request that the customs office at which the goods are presented carry out certain customs controls for the verification of the customs declaration; and

(d) carry out the customs formalities for the recovery of the amount of import or export duty corresponding to any customs debt.

4.   The customs office at which the customs declaration is lodged and the customs office at which the goods are presented shall exchange the information necessary for the verification of the customs declaration and for the release of the goods.

5.   The customs office at which the goods are presented shall, without prejudice to its own controls pertaining to goods brought into or taken out of the customs territory of the Union, carry out the customs controls referred to in paragraph 3, point (c), and communicate the results of those controls to the customs office at which the customs declaration is lodged.

6.   The customs office at which the customs declaration is lodged shall release the goods, taking into account the results of:

(a) its own controls for the verification of the customs declaration;

(b) the controls carried out by the customs office at which the goods are presented for the verification of the customs declaration and the controls pertaining to goods brought into or taken out of the customs territory of the Union.

7.   The Commission is empowered to adopt delegated acts in accordance with Article 282 to supplement this Regulation by laying down the conditions for granting the authorisation referred to in paragraph 1, first subparagraph, of this Article.

8.   The Commission shall adopt implementing acts laying down the procedure for the centralised clearance, including the relevant customs formalities and controls. Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 283(4).

Article 92

Entry in the declarant’s records

1.   Until 28 February 2031, the customs authorities may, upon application, authorise a person to lodge a customs declaration, including a simplified declaration, in the form of an entry in the declarant’s records, provided that the data in that declaration are available to the customs authorities in the declarant’s electronic system at the time when the customs declaration in the form of an entry in the declarant’s records is lodged.

2.   The customs declaration shall be deemed to have been accepted at the moment at which the goods are entered in the declarant’s records.

3.   The customs authorities may, upon application, waive the obligation for the goods to be presented. In that case, the goods shall be deemed to have been released at the moment of entry in the declarant’s records.

That waiver may be granted where all of the following conditions are fulfilled:

(a) the declarant is an authorised economic operator for customs simplifications as referred to in Article 29(2), point (a);

(b) the nature and flow of the goods concerned warrant a waiver and are known by the customs authority;

(c) the supervising customs office has access to all the information that it considers necessary to enable it to exercise, should the need arise, its right to examine the goods;

(d) at the time of the entry into the records, the goods are no longer subject to the other legislation applied by the customs authorities, except where otherwise provided in the authorisation referred to in paragraph 1 of this Article.

However, the supervising customs office may, in specific situations, request that the goods be presented even in the event of such waiver.

4.   The conditions under which the release of the goods is allowed shall be set out in the authorisation referred to in paragraph 1.

5.   The Commission is empowered to adopt delegated acts in accordance with Article 282 to supplement this Regulation by laying down the conditions for granting the authorisation referred to in paragraph 1 of this Article.

6.   The Commission shall adopt implementing acts laying down the procedural rules on the entry in the declarant’s records, including the relevant customs formalities and controls, referred to in paragraph 1 of this Article, and the waiver from the obligation of presenting the goods referred to in paragraph 3 of this Article. Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 283(4).

Article 93

Cessation of validity

The authorisations for simplified declarations, centralised clearance and entry into the declarant’s records referred to in Articles 83, 91 and 92, respectively, shall expire on 1 March 2034.

CHAPTER 4

Disposal of goods

Article 94

Measures to be taken by the customs authorities

1.   The customs authorities, without prejudice to other legislation applied by the customs authorities, shall take any necessary measures to dispose of goods, including confiscation or forfeiture to the State in accordance with national law, sale, donation for humanitarian purposes or destruction, in the following cases:

(a) where one of the obligations laid down in the customs legislation concerning the introduction of non-Union goods into the customs territory of the Union has not been fulfilled, or the goods have been withheld from customs supervision;

(b) where the goods cannot be released for any of the following reasons:

(i) it has not been possible, for reasons attributable to the importer, the exporter, the holder of the transit procedure or the holder of the goods, to undertake or continue examination of the goods within the period prescribed by the customs authorities;

(ii) the documents or the information which must be provided or made available before the goods can be placed under, or released for, the customs procedure requested have not been provided or made available;

(iii) payments or a guarantee which should have been made or provided in respect of import or export duty have not been made or provided within the prescribed period;

(iv) the goods do not fulfil the conditions for release laid down in Articles 77 and 78;

(c) where the goods have not been removed within a reasonable period after their release;

(d) where, after their release, the goods are found not to have fulfilled the conditions for that release; or

(e) where goods are abandoned to the State in accordance with Article 96.

2.   Non-Union goods which have been abandoned to the State or non-Union goods which have been seized, confiscated or forfeited to the State in accordance with national law shall be deemed to have been placed under the customs warehousing procedure. Such goods shall be entered in the records of the operator of storage facilities for the customs warehousing or, where they are held by the customs authorities, in the records of the customs authorities.

Where customs authorities have already received data or a customs declaration on the goods to be destroyed, abandoned to the State, seized, confiscated or forfeited to the State in accordance with national law, the records shall include a reference to that data or that customs declaration. The customs declaration or data concerned shall be invalidated.

3.   The costs of the measures referred to in paragraph 1 shall be borne:

(a) in the case referred to in paragraph 1, point (a), by the carrier, importer, holder of the transit procedure, holder of the goods or person that withheld the goods from customs supervision;

(b) in the cases referred to in paragraph 1, points (b), (c) and (d), by the importer, exporter, holder of the transit procedure or holder of the goods;

(c) in the case referred to in paragraph 1, point (e), by the person that abandons the goods to the State.

4.   The Commission is empowered to adopt delegated acts in accordance with Article 282 to supplement this Regulation by determining the cases where goods can be confiscated.

5.   The Commission shall adopt implementing acts laying down the procedure for selling and donating the goods by the customs authorities as referred to in paragraph 1 of this Article. Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 283(4).

Article 95

Destruction of goods

1.   Where the customs authorities have reasonable grounds for so doing, they may require goods for which a notification of availability was provided or made available to be destroyed and shall inform the importer, the exporter or the holder of the transit procedure and the holder of the goods thereof. The costs of the destruction shall be borne by the importer, the exporter, the holder of the transit procedure or the holder of the goods.

2.   Where the customs authorities consider it necessary and proportionate to do so, they may, in accordance with national law, seize, destroy or otherwise render inoperable goods for which no notification of availability was provided or made available and that present a risk to the health and safety of end-users. The cost of such measure shall be borne by the importer, exporter or holder of the goods.

3.   The Commission shall adopt implementing acts laying down the procedure for the destruction of goods. Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 283(4).

Article 96

Abandonment

1.   The importer, the exporter, the holder of the transit procedure or the holder of the goods may, with prior permission of the customs authorities, abandon to the State non-Union goods and goods placed under the end-use procedure.

2.   The Commission shall adopt implementing acts laying down the procedure on abandonment of goods to the State. Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 283(4).

TITLE VI

GOODS BROUGHT INTO THE CUSTOMS TERRITORY OF THE UNION

CHAPTER 1

Entry of goods

Article 97

Advance cargo information

1.   Goods shall not enter the customs territory of the Union unless carriers bringing goods into the customs territory of the Union provide or make available advance cargo information on those goods to the expected customs office of first entry within specific time limits.

2.   Where no advance cargo information has been provided or made available in accordance with paragraph 1, the advance cargo information shall be provided or made available to the actual customs office of first entry at the latest upon the arrival of the means of transport used for carrying the goods.

3.   The advance cargo information shall include at least the identity of the importer responsible for the goods, the unique reference for the consignment, the identity of the consignor, the identity of the consignee, a description of the goods, the tariff classification, the value, the final destination of the goods if available, the data on the route and the nature and the identification of the means of transport used for bringing the goods and the transportation cost.

4.   The importer may provide or make available to the relevant customs office a part of the advance cargo information required within the specific time limits.

5.   Where the importer has already provided or made available a part of the required advance cargo information, the carrier shall link the advance cargo information that it provides or makes available to the information already provided or made available by the importer.

6.   The importer shall be notified where a carrier links the advance cargo information that it has provided or made available to the part of the advance cargo information provided or made available by the importer.

7.   In specific cases laid down in the customs legislation, where the carrier or the importer does not have all the advance cargo information referred to in paragraphs 1 and 3, other persons holding that information may be required to provide it or to make it available.

8.   The advance cargo information shall contain the data necessary for the customs authorities to carry out a risk analysis.

9.   A person that provides or makes available advance cargo information may restrict the visibility of its identification and commercially sensitive data to one or more persons that also provide or make available data, without prejudice to the use of all data for customs supervision.

10.   The obligation to provide or make available advance cargo information shall not apply:

(a) to means of transport and the goods carried thereon that are only passing through the territorial waters or the airspace of the customs territory of the Union without a stop within that territory;

(b) to non-Union goods that are brought into the customs territory of the Union after having temporarily left that territory by sea or air and having been carried by direct route without a stop outside the customs territory of the Union;

(c) to Union goods the customs status of which needs to be proven pursuant to Article 71(2) which are brought into the customs territory of the Union after having temporarily left that territory by sea or air and having been carried, by a direct route, without a stop, outside the customs territory of the Union;

(d) to Union goods which move without alteration of their customs status in accordance with Article 73(2) and which are brought into the customs territory of the Union after having temporarily left that territory by sea or air and having been carried, by a direct route without a stop, outside the customs territory of the Union; and

(e) in other cases, where such non-application is fully justified by the type of goods or traffic, or is required by international agreements.

11.   The Commission is empowered to adopt delegated acts in accordance with Article 282 to supplement this Regulation by:

(a) laying down rules for determining the expected customs office of first entry referred to in paragraph 1 of this Article;

(b) specifying the advance cargo information to be provided or made available in accordance with paragraph 1 of this Article and the data referred to in paragraph 8 of this Article, which is to include specific information enabling customs authorities to carry out a risk analysis in terms of the safety and security of the goods;

(c) determining the specific time limits referred to in paragraphs 1 and 4 of this Article;

(d) determining the specific cases and the other persons that can be required to provide or to make available the advance cargo information, as referred to in paragraph 7 of this Article;

(e) specifying the cases in which the type of goods or traffic fully justify the non-application of the obligation to provide or make available advance cargo information, as referred to in paragraph 10, point (e), of this Article;

(f) laying down the conditions under which the person that provides or makes available advanced cargo information can restrict the visibility of the identification data or the commercially sensitive data, as referred to in paragraph 9 of this Article.

12.   The Commission shall adopt implementing acts laying down the procedure for providing, making available and receiving the advance cargo information as referred to in paragraphs 1 to 8 of this Article. Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 283(4).

13.   In accordance with the dates set out in the work programme referred to in Article 38(6), point (b), and until 28 February 2034 at the latest, the formalities referred to in paragraphs 1 to 12 of this Article and in Articles 98 to 103 of this Regulation may continue to be fulfilled in accordance with the rules and data requirements provided for in Regulation (EU) No 952/2013 applicable to the electronic systems that the Member States and the Commission have developed pursuant to Article 16(1) of Regulation (EU) No 952/2013.

Article 98

Risk analysis of advance cargo information

1.   Without prejudice to the activities of the EU Customs Authority set out in Title XII, the customs office of first entry shall, within specific time limits, ensure that a risk analysis is carried out. That risk analysis shall be primarily for safety and security purposes and shall be carried out, where appropriate, in collaboration with other customs offices and, where possible, on the basis of the advance cargo information and other information provided or made available through the EU Customs Data Hub. The customs office of first entry shall take the necessary measures based on the results of that risk analysis.

2.   The customs office of first entry, where applicable in cooperation with the customs authorities of the other Member States involved in the risk analysis process, may take appropriate mitigation measures, including:

(a) instructing the person that provided or made available the advance cargo information that the goods are not to be loaded or transported and, if the carrier is a person other than the person who submitted the data, similarly instructing the carrier that the goods are not to be loaded or transported;

(b) requesting additional information or action;

(c) identifying situations where action by another authority might be appropriate;

(d) recommending the most appropriate place to carry out a customs control and the most appropriate measures for that control.

3.   The Commission is empowered to adopt delegated acts in accordance with Article 282 to supplement this Regulation by determining the specific time limits by which the risk analysis referred to in paragraph 1 of this Article is to be carried out.

4.   The Commission shall adopt implementing acts laying down the procedural rules applicable to the mitigation measures referred to in paragraph 2 of this Article. Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 283(4).

5.   Until 28 February 2034, the risk analysis referred to in paragraph 1 shall be carried out based on the entry summary declaration.

Article 99

Amendment of advance cargo information

1.   The importer, the carrier or the other persons referred to in Article 97 shall amend one or more data elements in the advance cargo information where:

(a) it comes to the knowledge of the importer, the carrier or the other person concerned that the relevant information has changed in its records or that the information is incorrect; or

(b) a customs authority requests the importer, the carrier or the other person concerned to do so due to the inaccuracy or incompleteness of the data or issues with the quality of the data, in particular when identified as a result of the risk analysis performed.

2.   The importer, the carrier or the other persons referred to in Article 97 shall not amend the advance cargo information where:

(a) the customs authorities have instructed the person that provided or made available the advance cargo information and the carrier, if different from that person, that the goods shall not be loaded or transported as referred to in Article 98(2), point (a);

(b) the customs authorities have informed the carrier or other persons that the customs authorities intend to examine the goods;

(c) the customs authorities have established that the advance cargo information is incorrect;

(d) the data in the advance cargo information have been included in the list of data which cannot be amended.

3.   The Commission is empowered to adopt delegated acts in accordance with Article 282 to supplement this Regulation by determining the data in the advance cargo information which cannot be amended, as referred to in paragraph 2, point (d), of this Article.

4.   The Commission shall adopt implementing acts laying down the procedure for amending the advance cargo information in accordance with paragraph 1 of this Article. Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 283(4).

Article 100

Invalidation of advance cargo information

1.   If it comes to the knowledge of the carrier or other persons providing or making available the advance cargo information that goods covered by that advanced cargo information will not be brought into the customs territory of the Union, it shall as soon as possible submit a request to the customs authority to invalidate the advance cargo information.

If goods covered by the advanced cargo information are not brought into the customs territory of the Union within 200 days from the date on which the advanced cargo information was provided or made available, the customs authorities shall invalidate that advance cargo information.

2.   Persons providing or making available the advance cargo information and the importer providing or making available information in the EU Customs Data Hub shall inform each other of the invalidation of the information they have provided or made available.

3.   The Commission shall adopt implementing acts laying down the procedure for invalidating the advance cargo information in accordance with paragraph 1 of this Article. Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 283(4).

Article 101

Notification of arrival in relation to the entry of means of transport and of goods

1.   The carrier shall notify the actual customs office of first entry of the arrival of the means of transport bringing goods into the customs territory of the Union upon its arrival.

2.   The carrier shall notify the customs office responsible for the port or airport where the goods are unloaded or transhipped of the arrival of goods brought into the customs territory of the Union by sea or air when the means of transport by which those goods are brought into the customs territory of the Union arrives at that port or airport.

3.   The carrier shall notify the customs office of first entry of the arrival of goods brought into the customs territory of the Union by road, rail or inland waterways when the means of transport by which those goods are brought into the customs territory of the Union arrives at that customs office.

4.   The carrier shall link the notification of arrival of the goods to the advance cargo information provided or made available on those goods.

5.   Notwithstanding the obligations of the carrier referred to in paragraphs 1, 2 and 3, any of the following persons may notify the arrival of the goods, at the point in time referred to in those paragraphs:

(a) the person in whose name or on whose behalf the person that brought the goods into that territory acts;

(b) the person that assumed responsibility for carriage of the goods after they were brought into the customs territory of the Union;

(c) any person that immediately places the goods under a customs procedure; or

(d) the holder of an authorisation for the operation of a temporary storage facility or any person that carries out an activity in a free zone.

6.   In specific cases laid down in the customs legislation, where not all the data in the advance cargo information referred to in Article 97(8) on the goods can be obtained from the carrier, a subsequent carrier, or other persons, having those data and the appropriate rights to provide them, may be required to notify the actual customs office of first entry of the arrival of the goods.

7.   Subject to the approval of the customs authority, the notification of arrival of the means of transport and of the goods may be provided or made available to the customs authorities by means other than the EU Customs Data Hub, such as commercial, port or transport information systems, provided that such systems contain the necessary data for such notification and those data are available at the point in time referred to in paragraph 1, 2 or 3, as appropriate. In such cases, the data provided or made available by those other means shall be transferred to the EU Customs Data Hub.

8.   By way of derogation from paragraph 2, the obligation to notify the arrival of the goods shall not apply in the following cases:

(a) where, upon their arrival in the customs territory of the Union, goods are unloaded and reloaded onto the same means of transport during its voyage solely in order to enable the unloading or loading of other goods at the same Union port or airport;

(b) where Union goods which move without alteration of their customs status in accordance with Article 73(2) are brought into the customs territory of the Union after having temporarily left that territory by sea or air, having been carried by direct route without a stop outside the customs territory of the Union.

9.   The carrier shall not unload, in the customs territory of the Union, goods for which the advance cargo information referred to in Article 97(8) has not been provided or made available to the customs authorities, unless the customs authorities have requested the carrier to present those goods in accordance with Article 103.

10.   By way of derogation from paragraph 9, in the event of an imminent danger necessitating the immediate unloading of all or part of the goods, the customs authorities may allow the carrier to unload the goods.

11.   The Commission is empowered to adopt delegated acts in accordance with Article 282 to supplement this Regulation by determining the specific cases referred to in paragraph 6 of this Article and the other persons referred to in that paragraph that may be required to notify the actual customs office of first entry of the arrival of the goods.

12.   The Commission shall adopt implementing acts laying down the procedure on the notification of arrival referred to in this Article. Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 283(4).

13.   In accordance with the dates set out in the work programme referred to in Article 38(6), point (b), and until 28 February 2034 at the latest, a notification of arrival referred to in this Article may continue to be submitted, and a physical presentation of goods to customs referred to in Article 103(1) of this Regulation may continue to be carried out, in accordance with the rules and data requirements provided for in Regulation (EU) No 952/2013 applicable to the electronic systems that the Member States in cooperation with the Commission have developed pursuant to Article 16(1) of Regulation (EU) No 952/2013.

Article 102

Conveyance to the appropriate place

1.   The carrier bringing goods into the customs territory of the Union shall convey them without delay, by the route specified by the customs authorities and in accordance with their instructions, if any, to the customs office designated by the customs authorities or to any other place designated or approved by those authorities, or into a free zone.

2.   Goods brought into a free zone shall be brought into that free zone directly, either by sea or air or, if by land, without passing through another part of the customs territory of the Union, where the free zone adjoins the land frontier between a Member State and a third country.

3.   Where, due to unforeseeable circumstances or

force majeure

, the carriers cannot comply with the obligation set out in paragraph 1, they shall, without delay, inform the customs authorities of the situation and of the precise location of the goods.

4.   The customs authorities shall determine the measures to be taken in order to permit customs supervision of the goods referred to in paragraph 1, or of the vessel or aircraft and any goods thereon in the circumstances specified in paragraph 3, and to ensure, where appropriate, that the goods are subsequently conveyed to a customs office designated by the customs authorities or to any other place designated or approved by those authorities, or into a free zone.

5.   The customs authorities may subject goods that are still outside the customs territory of the Union to customs controls, as a result of an agreement concluded with the relevant third country. The customs authorities shall treat those goods in the same way as they treat goods brought into the customs territory of the Union.

6.   By way of derogation from paragraphs 1 and 3, special rules may apply to goods transported within frontier zones or in pipelines and wires, to traffic of negligible economic importance or to goods carried by travellers, provided that the customs supervision and customs control possibilities are not jeopardised as a result.

7.   Paragraph 1 shall not apply to means of transport, or to the goods carried thereon, that only pass through the territorial waters or the airspace of the customs territory of the Union without a stop within that territory.

Article 103

Physical presentation of goods to customs

1.   Where the customs authorities or the other legislation applied by the customs authorities so requires, the carrier or the holder of the goods shall physically present the goods brought into the customs territory of the Union to customs upon their arrival at the customs office designated by the customs authorities or to any other place designated or approved by those authorities, or into the free zone.

2.   The customs authorities shall notify the carrier or the holder of the goods of the obligation to physically present those goods to customs.

3.   Goods physically presented to customs shall not be removed from the place where they were presented without the permission of the customs authorities.

4.   The obligation to physically present goods to customs shall be waived for Union goods which move without alteration of their customs status in accordance with Article 73(2) and which are brought into the customs territory of the Union after having temporarily left that territory by sea or air and having been carried by direct route without a stop outside the customs territory of the Union.

5.   The Commission is empowered to adopt delegated acts in accordance with Article 282 to supplement this Regulation by laying down the conditions for designating and approving the places other than the designated customs office, as referred to in paragraph 1 of this Article.

6.   The Commission shall adopt implementing acts laying down the procedure for the physical presentation of goods to customs in accordance with this Article. Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 283(4).

Article 104

Temporary storage of goods

1.   Non-Union goods shall be in temporary storage from the moment the person referred to in Article 101 notifies their arrival in the customs territory of the Union in accordance with that Article until they are placed under a customs procedure or taken out of the customs territory of the Union, or until the customs authorities regularise the situation of the goods in accordance with paragraph 7 of this Article.

2.   Non-Union goods moving under a transit procedure shall be in temporary storage after the transit procedure has ended until they are placed under another customs procedure or taken out of the customs territory of the Union, or until the customs authorities regularise the situation of the goods in accordance with paragraph 7.

3.   Non-Union goods in temporary storage shall be stored in temporary storage facilities authorised in accordance with Article 108 or, where justified, in other places designated or approved by the customs authorities, including places indicated by Trust and Check traders.

4.   The holder of an authorisation for the operation of a temporary storage facility referred to in Article 108, or the person storing the goods in cases where the goods are stored in other places designated or approved by the customs authorities, shall be responsible for fulfilling the obligations arising from the storage of goods in temporary storage, including ensuring that the goods:

(a) are not removed from customs supervision; and

(b) are subject only to forms of handling that ensure their preservation without altering them or modifying their appearance or technical characteristics.

5.   Unless otherwise provided in Union or national law, non-Union goods in temporary storage shall be placed under a customs procedure or taken out of the customs territory of the Union within 90 days from the start of the temporary storage. In exceptional cases laid down in the customs legislation, customs authorities may extend that time limit.

6.   Non-Union goods in temporary storage in places designated or approved by the customs authorities, including places indicated by Trust and Check traders, shall be placed under a customs procedure or re-exported within a specific time limit.

7.   Where, for a duly justified reason, goods cannot be maintained in temporary storage, the customs authorities shall without delay take all measures necessary to dispose of the goods in accordance with Chapter 4 of Title V.

8.   The Commission is empowered to adopt delegated acts in accordance with Article 282 to supplement this Regulation by laying down the conditions for designating or approving the places referred to in paragraph 3 of this Article, the time limit referred to in paragraph 6 of this Article and the exceptional cases where the time limit referred to in paragraph 5 of this Article may be extended.

9.   In accordance with the dates set out in the work programme referred to in Article 38(6), point (b), and until 28 February 2034 at the latest, a temporary storage declaration shall be submitted in accordance with the rules and data requirements provided for in Regulation (EU) No 952/2013.

Article 105

Temporary storage information

1.   Non-Union goods for which a notification of arrival of the goods was provided or made available to the customs authority shall be covered by temporary storage information containing all the data necessary for the application of the provisions governing temporary storage.

2.   The person referred to in Article 101, the holder of an authorisation for the operation of a temporary storage facility or another person that is the holder of the goods shall provide or make available the temporary storage information, at the latest at the time when the goods are brought to the temporary storage facility or other places designated or approved by the customs authorities.

3.   Unless otherwise provided, the customs authorities shall not require the temporary storage information to be provided or made available where:

(a) at the latest at the time of the notification of arrival of the goods in the customs territory of the Union, the customs status of those goods as Union goods is determined in accordance with Article 71; or

(b) the data necessary for the customs procedure or re-export has already been provided or made available to the customs authorities.

4.   The Commission is empowered to adopt delegated acts in accordance with Article 282 to supplement this Regulation by:

(a) further specifying the cases referred to in paragraph 3 of this Article in which the customs authorities are not to require the provision or making available of temporary storage information;

(b) determining the data to be provided or made available to the customs authorities for the application of the provisions governing temporary storage.

5.   The Commission shall adopt implementing acts laying down the procedural rules for lodging the temporary storage information referred to in paragraph 1 of this Article. Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 283(4).

Article 106

Amendment of temporary storage information

1.   The persons referred to in Article 105(2) shall amend one or more data elements in the temporary storage information:

(a) where it comes to their knowledge that relevant information has changed in their records; or

(b) where a customs authority requests them to do so due to the inaccuracy or incompleteness of the data or issues with the quality of the data.

2.   The persons referred to in Article 105(2) shall not amend the temporary storage information where:

(a) the customs authorities have informed such persons that they intend to examine the goods;

(b) the customs authorities have informed such persons that they have established that the data provided or made available are incorrect; or

(c) the goods have been brought out of the temporary storage facility, unless otherwise provided.

3.   The Commission is empowered to adopt delegated acts in accordance with Article 282 to supplement this Regulation by determining the specific cases for amending the information, referred to in paragraphs 1 and 2 of this Article.

4.   The Commission shall adopt implementing acts laying down the procedural rules for amending, in accordance with paragraph 1 of this Article, the information referred to therein. Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 283(4).

Article 107

Invalidation of temporary storage information

1.   If it comes to the knowledge of a person referred to in Article 105(2) that goods will not be brought into the customs territory of the Union, it shall as soon as possible invalidate that temporary storage information.

If goods in respect of which temporary storage information has been provided or made available are not brought into the customs territory of the Union within 30 days from the date when that information was provided or made available, the customs authorities shall invalidate that data.

Temporary storage information shall also be invalidated in other cases laid down in the customs legislation.

2.   The Commission is empowered to adopt delegated acts in accordance with Article 282 to supplement this Regulation by further specifying the cases referred to in paragraph 1, third subparagraph, of this Article in which a temporary storage information is to be invalidated.

3.   The Commission shall adopt implementing acts laying down the procedural rules for invalidating the temporary storage information referred to in paragraph 1 of this Article. Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 283(4).

Article 108

Authorisation for the operation of temporary storage facilities

1.   An authorisation from the customs authorities shall be required for the operation of a temporary storage facility. Such authorisation shall not be required where the temporary storage facility is operated by the customs authority itself.

The conditions under which the operation of a temporary storage facility is permitted shall be set out in that authorisation.

2.   The authorisation referred to in paragraph 1 of this Article shall be granted only to persons that:

(a) are established in the customs territory of the Union;

(b) provide the necessary assurance of the proper conduct of the operations; and

(c) provide a guarantee in accordance with Article 194.

Where a comprehensive guarantee is provided, compliance with the obligations attached to that guarantee shall be monitored by appropriate audit.

An authorised economic operator for customs simplifications or a Trust and Check trader shall be deemed to have complied with the condition referred to in the first subparagraph, point (b), of this paragraph if the activity pertaining to the operating of the temporary storage facilities concerned is taken into account in the authorisation referred to in Article 30 or 31, respectively.

3.   The authorisation referred to in paragraph 1 shall be granted only where the customs authorities are able to exercise customs supervision without having to introduce administrative arrangements which are disproportionate to the economic needs involved.

4.   The holder of the authorisation referred to in paragraph 1 shall keep appropriate records in a form approved by the customs authorities and provide or make available those records in the EU Customs Data Hub.

Those records shall contain the information and the data to enable the customs authorities to supervise the operation of the temporary storage facilities, in particular with regard to the identification of the goods stored, their customs status and their movements.

5.   An authorised economic operator for customs simplifications or a Trust and Check trader shall be deemed to comply with the obligation laid down in paragraph 4 if as its records are appropriate for the purpose of the operation of temporary storage facilities.

6.   The customs authorities may authorise the holder of the authorisation referred to in paragraph 1 to move goods in temporary storage between different temporary storage facilities, provided that such movements do not increase the risk of fraud, for the following types of movements:

(a) movement that takes place under the responsibility of one customs authority;

(b) movement that is covered by only one authorisation that is issued to an authorised economic operator for customs simplifications or to a Trust and Check trader; or

(c) other cases of movement laid down in the customs legislation.

7.   The customs authorities may, where an economic need exists and customs supervision will not be adversely affected, authorise the storage of Union goods in a temporary storage facility. Those goods shall not be regarded as goods in temporary storage.

8.   The Commission shall be empowered to adopt delegated acts in accordance with Article 282 to supplement this Regulation by determining:

(a) the conditions for granting the authorisation for the operation of temporary storage facilities;

(b) the type of information and data that are to be contained in the records to be provided or made available in the EU Customs Data Hub, as referred to in paragraph 4 of this Article;

(c) the other cases of movement of goods in temporary storage referred to in paragraph 6, point (c), of this Article and the related conditions.

9.   The Commission shall adopt implementing acts laying down the procedural rules for the movement of goods between temporary storage facilities in accordance with paragraph 6 of this Article. Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 283(4).

CHAPTER 2

Release for free circulation

Article 109

Scope and effect

1.   Non-Union goods intended to be placed on the Union market or intended for private use or consumption within the customs territory of the Union shall be placed under the release for free circulation procedure.

2.   Release for free circulation shall confer on non-Union goods the customs status of Union goods.

3.   The conditions for placing goods under the release for free circulation procedure shall be the following:

(a) the required data has been provided or made available to customs authorities, which must include at least the identity of the importer responsible for the goods, the seller, the buyer, the manufacturer, the product supplier where different from the manufacturer, and of the responsible economic operator in the Union pursuant to Article 4 of Regulation (EU) 2019/1020 and Article 16 of Regulation (EU) 2023/988, the value, the origin, the tariff classification and a description of the goods, the unique reference of the consignment and its location, and the list of relevant other legislation applied by the customs authorities;

(b) in the case of goods imported by an importer for distance sales that has chosen to use the IOSS scheme, the required data shall, in addition to those referred to in point (a), include the information set out in the records of the transactions covered by the IOSS scheme, kept by the taxable person, in accordance with Article 369x(1) of Directive 2006/112/EC;

(c) any import duty or other charges due, including anti-dumping duties, countervailing duties or safeguard measures, have been paid or are guaranteed, unless the goods are the subject of a drawing request on a tariff quota;

(d) the goods have arrived at the place of release in the customs territory of the Union; and

(e) the goods comply with the relevant other legislation applied by the customs authorities.

4.   The Commission is empowered to adopt delegated acts in accordance with Article 282 to supplement this Regulation by further determining the data to be provided or made available to the customs authorities for placing goods under the release for free circulation procedure as referred to in paragraph 3, point (a), of this Article or providing for derogations from that point justified for the type of traffic concerned.

Article 110

Application of commercial policy measures to inward and outward processing

1.   Where processed products obtained under inward processing are released for free circulation and the calculation of the amount of import duty is made in accordance with Article 192(3), the commercial policy measures to be applied shall be those applicable to the release for free circulation of the goods which were placed under inward processing.

2.   Paragraph 1 shall not apply to waste and scrap.

3.   Where processed products obtained under inward processing are released for free circulation and the calculation of the amount of import duty is made in accordance with Article 191(1), the commercial policy measures applicable to those goods shall be applied only where the goods which were placed under inward processing are subject to such measures.

4.   Commercial policy measures shall not apply to processed products released for free circulation following outward processing where:

(a) the processed products retain their Union origin within the meaning of Article 169;

(b) the outward processing involves repair, including the standard exchange system referred to in Article 164; or

(c) the outward processing follows further processing operations in accordance with Article 160.

CHAPTER 3

Relief from import duty

Article 111

Returned goods

1.   Non-Union goods which, having originally been exported as Union goods from the customs territory of the Union, are returned to that territory within a period of three years and placed under the release for free circulation procedure shall, at the application of the person concerned, be granted relief from import duty.

The first subparagraph shall apply even where the returned goods represent only a part of the goods previously exported from the customs territory of the Union.

2.   The three-year period referred to in paragraph 1 may be exceeded in order to take account of special circumstances.

3.   Where, prior to their export from the customs territory of the Union, the returned goods were released for free circulation duty-free or at a reduced rate of import duty because of a particular end-use, relief from import duty under paragraph 1 shall be granted only if those goods are to be released for free circulation for the same end-use.

Where the end-use for which the goods in question are to be released for free circulation is no longer the same, the amount of import duty shall be reduced by any amount collected on the goods when they were first released for free circulation. If the latter amount exceeds the amount levied on the release for free circulation of the returned goods, no repayment shall be granted.

4.   Where Union goods have lost their customs status pursuant to Article 72 and are subsequently released for free circulation, paragraphs 1, 2 and 3 of this Article shall apply.

5.   Relief from import duty under paragraph 1 shall be granted only if goods are returned in the state in which they were exported.

6.   Relief from import duty under paragraph 1 shall be supported by information establishing that the conditions for that relief are met.

7.   The Commission is empowered to adopt delegated acts in accordance with Article 282 to supplement this Regulation by determining the cases where goods are considered to be returned in the state in which they were exported, as referred to in paragraph 5 of this Article.

8.   The Commission shall adopt implementing acts laying down the procedure for the provision of information referred to in paragraph 6 of this Article. Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 283(4).

Article 112

Goods previously placed under the inward processing procedure

1.   Article 111(1), (2), (5) and (6) shall apply

mutatis mutandis

to processed products that were originally re-exported from the customs territory of the Union subsequent to an inward processing procedure, provided that the release for free circulation of those processed products results in the collection of the import duty due for the goods which were placed under the first inward processing procedure.

2.   If the processed products referred to in paragraph 1 are placed under a subsequent inward processing procedure, and processed products other than those obtained under the previous inward processing are released for free circulation, the import duty shall be collected for the goods referred to in paragraph 1.

3.   The amount of import duty on the goods covered by paragraph 1 of this Article shall be determined in accordance with Article 192(3).

4.   The relief from import duty provided for in Article 111 shall be granted for processed products which were exported in accordance with Article 133(2), point (c), only where it is ensured that no goods that were replaced by equivalent goods will be placed under the inward processing procedure.

Article 113

Products of sea-fishing and other products taken from the sea

1.   Without prejudice to Article 169(1), the following shall be granted relief from import duty when they are released for free circulation:

(a) products of sea-fishing and other products taken from the territorial sea of a third country by vessels solely registered or recorded in a Member State and flying the flag of that State;

(b) products obtained from products referred to in point (a) of this paragraph onboard factory ships fulfilling the conditions laid down in that point.

2.   The relief from import duty referred to in paragraph 1 shall be supported by evidence that the conditions laid down in that paragraph are fulfilled.

3.   The Commission shall adopt implementing acts laying down the procedure for providing the evidence referred to in paragraph 2 of this Article. Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 283(4).

TITLE VII

GOODS TAKEN OUT OF THE CUSTOMS TERRITORY OF THE UNION

CHAPTER 1

Export and re-export

Article 114

Export

1.   Union goods to be taken out of the customs territory of the Union shall be placed under the export procedure.

2.   The conditions for placing goods under the export procedure shall be the following:

(a) the required data have been provided or made available to the customs authorities;

(b) any export duty or other charges due have been paid or are guaranteed; and

(c) the goods comply with relevant other legislation applied by the customs authorities.

3.   Goods to be taken out of the customs territory of the Union shall be subject, as appropriate, to the following:

(a) the repayment or remission of import duty;

(b) the formalities required under provisions applicable to other charges;

(c) the procedural rules on export and exit.

4.   Paragraph 1 shall not apply to Union goods:

(a) placed under the outward processing procedure;

(b) taken out of the customs territory of the Union after having been placed under the end-use procedure;

(c) delivered as aircraft or ship supplies exempted from VAT or excise duty or subject to zero VAT or excise duty, regardless of the destination of the aircraft or ship, for which a proof of such supply is required;

(d) placed under the internal transit procedure;

(e) moved temporarily out of the customs territory of the Union in accordance with Article 73.

5.   The customs formalities applicable to the export procedure shall apply in the cases referred to in paragraph 4, points (a) and (b), as well as in paragraph 4, point (c), regardless of the destination of the aircraft or ship.

6.   Goods dispatched to Helgoland shall not be considered to be exported from the customs territory of the Union.

7.   The Commission is empowered to adopt delegated acts in accordance with Article 282 to supplement this Regulation by determining the data to be provided or made available to the customs authorities for placing goods under the export procedure as referred to in paragraph 2, point (a), of this Article.

8.   The Commission shall adopt implementing acts laying down the procedural rules on export and exit referred to in paragraph 3, point (c), of this Article. Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 283(4).

Article 115

Relief from export duty for Union goods temporarily exported

Without prejudice to Article 161, Union goods which are temporarily exported from the customs territory of the Union shall benefit from export duty relief, if they are re-imported.

Article 116

Re-export

1.   Non-Union goods to be taken out of the customs territory of the Union shall be re-exported provided that the relevant re-export data have been provided or made available and that the goods intended to be re-exported comply with the other legislation applied by the customs authorities in respect of non-Union goods.

2.   Re-export data shall include, where applicable, the data necessary to discharge the previous customs procedure or to end the temporary storage.

3.   Articles 74 to 80 and Article 123 shall apply to re-export.

4.   Paragraph 1 shall not apply:

(a) to non-Union goods placed under the external transit procedure which only pass through the customs territory of the Union;

(b) where non-Union goods to be taken out of the customs territory of the Union are unloaded and reloaded into the same means of transport during its voyage in order to enable the unloading or loading of other goods at the same port or airport.

5.   Until 28 February 2034, re-export data may be provided in:

(a) a re-export declaration; or

(b) a re-export notification, where goods are trans-shipped within, or are re-exported directly from, a free zone or a temporary storage facility.

6.   Until 28 February 2034, Articles 81 to 93 shall apply to the re-export declaration and the re-export notification.

7.   The Commission is empowered to adopt delegated acts in accordance with Article 282 to supplement this Regulation by determining the cases where a re-export notification is to be lodged and the cases where it can be amended or invalidated.

8.   The Commission shall adopt implementing acts laying down the procedure for lodging, amending or invalidating a re-export notification. Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 283(4).

CHAPTER 2

Exit of goods

Article 117

Pre-departure information

1.   Carriers taking goods out of the customs territory of the Union shall provide or make available minimum pre-departure information on those goods to the competent customs authority within specific time limits and at the latest upon notification of arrival of the goods at the point of exit.

2.   The pre-departure information shall contain the data necessary for the customs authorities to carry out risk analysis primarily for safety and security purposes.

3.   The exporter may provide or make available to the competent customs authority part or all of the pre-departure information.

4.   Where the exporter has already provided or made available a part of the required pre-departure information, the carrier shall link the part of the required pre-departure information that it provides or makes available to the information already provided or made available by the exporter.

5.   Where the exporter has already provided or made available all the required pre-departure information, the carrier shall provide or make available additional pre-departure information only where it is aware that the information previously provided or made available is incorrect.

6.   The exporter shall be notified where a carrier links the pre-departure information it has provided or made available to the part of the pre-departure information provided or made available by the exporter.

7.   In specific cases laid down in the customs legislation, where the carrier or the exporter has not provided or made available all the pre-departure information referred to in paragraphs 3 and 5, other persons holding that information may be required to provide it or to make it available.

8.   A person that provides or makes available pre-departure information may restrict the visibility of its identification and commercially sensitive data to one or more persons that also provide or make available data, without prejudice to the use of all data for customs supervision.

9.   The obligation to provide or make available pre-departure information shall not apply:

(a) to means of transport and the goods carried thereon that are only passing through the territorial waters or the airspace of the customs territory of the Union without a stop within that territory;

(b) in other specific cases, where duly justified by the type of goods or traffic or where required by international agreements;

(c) to goods moved temporarily out of the customs territory of the Union in accordance with Article 73;

(d) to goods which are supplied for incorporation as part of or accessories in vessels or aircraft and for the operation of the engines, machines and other equipment of vessels or aircraft, as well as foodstuffs and other items to be consumed or sold on board.

10.   In the cases referred to in paragraph 9 of this Article, re-export data shall be provided or made available in accordance with Article 116.

11.   The carrier shall take out of the customs territory of the Union goods in the same condition as when the pre-departure information was provided or made available.

12.   The Commission is empowered to adopt delegated acts in accordance with Article 282 to supplement this Regulation by:

(a) specifying what data of the pre-departure information are to be provided or made available to the customs authorities, as referred to in paragraph 1 of this Article;

(b) laying down the specific time limits referred to in paragraph 1 of this Article, taking into account the type of traffic and the means of transport;

(c) determining the specific cases in which the obligation to provide or to make available pre-departure information is not to apply, as referred to in paragraph 9, point (b), of this Article;

(d) laying down the conditions under which the person that provides or makes available pre-departure information can restrict the visibility of the identification and commercially sensitive data, as referred to in paragraph 8 of this Article.

13.   The Commission shall adopt implementing acts laying down the procedure for providing, making available and receiving the pre-departure information referred to in this Article. Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 283(4).

14.   In accordance with the dates set out in the work programme referred to in Article 38(6), point (b), and until 28 February 2034 at the latest, the formalities on the exit of goods may continue to be carried out in accordance with the rules and data requirements provided for in Regulation (EU) No 952/2013 which apply to the electronic systems that the Member States and the Commission have developed pursuant to Article 16(1) of Regulation (EU) No 952/2013.

Article 118

Risk analysis of the pre-departure information

1.   Without prejudice to the activities of the EU Customs Authority set out in Title IV, the competent customs authority shall, within specific time limits, ensure that a risk analysis is carried out. That risk analysis shall be primarily for safety and security purposes and shall be carried out, where appropriate, in collaboration with other customs offices and, where possible, on the basis of the pre-departure information and other data provided or made available through the EU Customs Data Hub. The competent customs authority shall take the necessary measures based on the results of that risk analysis.

2.   The customs office of exit may take appropriate mitigation measures, including:

(a) instructing the person that provided or made available the pre-departure information that the goods are not to be loaded or transported and, if the carrier is a person other than the person who submitted the pre-departure information, similarly instructing the carrier that the goods are not to be loaded or transported;

(b) requesting additional information or action;

(c) identifying situations where action by another authority might be appropriate;

(d) recommending the most appropriate place to carry out a customs control and the most appropriate measures for that control.

3.   The Commission is empowered to adopt delegated acts in accordance with Article 282 to supplement this Regulation by determining the specific time limits by which the risk analysis referred to in paragraph 1 of this Article is to be carried out.

4.   The Commission may adopt implementing acts laying down the procedural rules for instructing the persons, as referred to in paragraph 2, point (a), of this Article. Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 283(4).

5.   In accordance with the dates set out in the work programme referred to in Article 38(6), point (b), and until 28 February 2034 at the latest, the risk analysis shall be carried out based on the data submitted pursuant to Article 117(14). After that date, the risk analysis shall be carried out based on the data available in the EU Customs Data Hub.

Article 119

Amendment of the pre-departure information

1.   The exporter or the persons referred to in Article 117 shall amend one or more data elements in the pre-departure information where:

(a) it comes to the knowledge of the exporter or the persons referred to in Article 117 that the relevant information has changed in its records or that the information is incorrect; or

(b) a customs authority requests the exporter or the persons referred to in Article 117 to do so due to the inaccuracy or incompleteness of the data or issues with the quality of the data, in particular when identified as a result of the risk analysis performed.

2.   The exporter or the other persons referred to in Article 117 shall not amend the pre-departure information where:

(a) the customs authorities have instructed the person that provided or made available the pre-departure information and the carrier, if different from that person, that the goods are not to be loaded or transported as referred to in Article 118(2), point (a);

(b) the customs authorities have informed the carrier or the person that provided or made available the pre-departure information that they intend to examine the goods;

(c) the customs authorities have established that the pre-departure information is incorrect;

(d) the data in the pre-departure information have been included in the list of data which cannot be amended;

(e) the customs authorities have already granted the release of the goods for exit.

3.   The Commission is empowered to adopt delegated acts in accordance with Article 282 to supplement this Regulation by determining the data in pre-departure information which cannot be amended, as referred to in paragraph 2, point (d), of this Article.

4.   The Commission shall adopt implementing acts laying down the procedure for amending the pre-departure information in accordance with paragraph 1 of this Article. Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 283(4).

Article 120

Invalidation of pre-departure information

1.   If it comes to the knowledge of the carrier or other persons providing or making available the pre-departure information that the goods covered by that pre-departure information will not be taken out of the customs territory of the Union, it shall as soon as possible request that the customs authority invalidate the pre-departure information without delay.

If goods covered by the pre-departure information are not taken out of the customs territory of the Union within 200 days from the date on which the pre-departure information was provided or made available to the customs authorities, the customs authorities shall invalidate that pre-departure information.

2.   Persons providing or making available the pre-departure information, including the exporter, shall inform each other that the pre-departure information that they provided or made available has been invalidated.

3.   The Commission shall adopt implementing acts laying down the procedure for invalidating the pre-departure information in accordance with paragraph 1, second subparagraph, of this Article. Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 283(4).

Article 121

Notification of arrival of the goods at the point of exit

1.   The carrier shall notify the customs office responsible for the place where the goods are to be taken out of the customs territory of the Union of the arrival of those goods at the point of exit within specific time limits.

2.   Notwithstanding the obligations of the carrier referred to in paragraph 1, any of the following persons may notify the arrival of the goods:

(a) an exporter; or

(b) the person that assumes responsibility for the carriage of the goods prior to their exit from the customs territory of the Union.

3.   Subject to the approval of the customs authority, the notification of arrival of the goods may be provided or made available to the customs authorities by means other than the EU Customs Data Hub, such as commercial, port or transport information systems, provided that such systems contain the necessary data for such notification and those data are available within the specific time limits referred to in paragraph 1. In such cases, the data provided or made available through those other means shall be transferred to the EU Customs Data Hub.

4.   The obligation referred to in paragraph 1 shall not apply where goods to be taken out of the customs territory of the Union are unloaded and reloaded onto the same means of transport during its voyage solely in order to enable the unloading or loading of other goods at the same Union port or airport.

5.   The Commission is empowered to adopt delegated acts in accordance with Article 282 to supplement this Regulation by determining the data to be notified to the customs office responsible for the place where the goods are taken out of the customs territory of the Union.

Article 122

Physical presentation of goods to customs

1.   Where the customs authorities or the other legislation applied by the customs authorities so requires, the carrier or the holder of the goods shall physically present those goods to be taken out of the customs territory of the Union to customs before the departure of those goods.

2.   The customs authorities shall notify the carrier or the holder of the goods of the requirement to physically present the goods to customs.

3.   Goods physically presented to customs shall not be removed from the place where they were presented without the permission of the customs authorities.

Article 123

Exit confirmation

The carrier who takes the goods outside the customs territory of the Union or the person that assumes responsibility for the carriage of the goods prior to their exit from the customs territory of the Union shall confirm to the customs authorities the exit of the goods from the customs territory of the Union.

TITLE VIII

SPECIAL PROCEDURES

CHAPTER 1

General provisions

Article 124

Scope

Goods may be placed under any of the following categories of special procedure:

(a) transit, which comprises external and internal transit;

(b) storage, which comprises customs warehousing and free zones;

(c) specific use, which comprises temporary admission and end-use;

(d) processing, which comprises inward and outward processing.

Article 125

Authorisation

1.   Importers, exporters or their indirect representatives intending to place goods under a special procedure shall need an authorisation from the customs authorities for the following:

(a) the use of the inward or outward processing procedure, the temporary admission procedure or the end-use procedure;

(b) the operation of storage facilities for the customs warehousing of goods, except in cases where the customs authority concerned is the storage facility operator.

2.   The following persons and authorities may operate storage facilities for the customs warehousing of goods by any importer:

(a) persons who have the relevant authorisation from the customs authorities; and

(b) the customs authority concerned where it is the storage facility operator.

3.   The authorisations referred to in paragraphs 1 and 2 shall set out the conditions for the use of the special procedures concerned or for the operation of the storage facilities concerned.

4.   Except in specific cases laid down in Union law, the customs authorities shall grant the authorisations referred to in paragraph 1 and 2 only where all of the following conditions are met:

(a) the applicant is established in the customs territory of the Union;

(b) the applicant provides the necessary assurance of the proper conduct of the operations;

(c) a guarantee is provided for the potential customs debt or other charges related to the goods placed under the special procedure in accordance with Article 194;

(d) the customs authorities are able to exercise customs supervision without having to introduce administrative arrangements which are disproportionate to the economic needs involved;

(e) in the case of the temporary admission procedure, the applicant uses the goods or arranges for their use;

(f) in the case of the inward processing procedure, the applicant carries out processing operations on the goods or arranges for them to be carried out;

(g) in the case of a processing procedure, the essential interests of Union producers would not be adversely affected by the authorisation (‘economic conditions’).

An authorised economic operator for customs simplifications or a Trust and Check trader shall be deemed to fulfil the condition laid down in point (b) of the first subparagraph of this paragraph if the activity pertaining to the special procedure concerned is taken into account in the authorisation referred to in Article 30 or 31, respectively.

5.   Where evidence exists that granting an authorisation for an inward processing procedure is likely to adversely affect the essential interests of Union producers, the competent customs authorities shall, before taking a decision on that authorisation, request the reasoned opinion of the EU Customs Authority, unless the grant of the authorisation is otherwise justified by the economic nature of the processing.

6.   Where evidence exists that granting an authorisation for an outward processing procedure is likely to adversely affect the essential interests of Union producers of goods that are considered to be sensitive, and the goods are not intended to be repaired, the competent customs authorities shall, before taking a decision on that authorisation, request the reasoned opinion of the EU Customs Authority.

7.   When requested in accordance with paragraphs 5 and 6, the EU Customs Authority may issue one of the following opinions:

(a) that granting the authorisation does not adversely affect the essential interests of Union producers;

(b) that granting the authorisation adversely affects the essential interests of Union producers;

(c) that granting the authorisation for a duly substantiated and monitored quantity of goods that is determined in the opinion does not adversely affect the essential interests of Union producers.

The opinion of the EU Customs Authority shall be taken into account by the customs authorities competent for granting the authorisation, as well as by any other customs authorities dealing with similar authorisations.

To provide that opinion, the EU Customs Authority may take account of views and information received from stakeholders, provided that those stakeholders provide that information to the EU Customs Authority within the time limits specified in the procedural rules referred to in paragraph 11, point (b).

8.   The customs authorities granting the authorisation shall provide or make available the applications for authorisation and the authorisations in the EU Customs Data Hub. Where the authorisations for special procedures contain commercially sensitive information, access to that sensitive information shall be restricted.

9.   Where evidence exists that the essential interest of Union producers could be adversely affected by the use of an authorisation that has already been granted, the Commission or Member States may request the EU Customs Authority to issue a reasoned opinion following the procedure laid down in paragraphs 5 and 6.

10.   The Commission is empowered to adopt delegated acts in accordance with Article 282 to supplement this Regulation by:

(a) laying down the conditions referred to in paragraphs 3 and 4 of this Article for granting authorisations for the use of special procedures referred to in paragraph 1, point (a), of this Article or the operation of the storage facilities referred to in paragraph 1, point (b), and paragraph 2 of this Article;

(b) determining the specific cases referred to in paragraph 4 of this Article;

(c) specifying the cases referred to in paragraph 5 of this Article where the economic nature of the processing justifies that the customs authorities assess without the opinion of the EU Customs Authority whether granting an authorisation for an inward processing procedure adversely affects the essential interest of Union producers;

(d) specifying the cases referred to in paragraph 5 of this Article where evidence is considered to exist that the essential interests of Union producers are likely to be adversely affected and the cases referred to in paragraphs 5 and 6 of this Article where the economic conditions are deemed to be fulfilled;

(e) laying down the list of goods considered to be sensitive referred to in paragraph 6 of this Article.

11.   The Commission shall adopt implementing acts laying down:

(a) the procedural rules for granting the authorisation for the special procedures or the operation of the storage facilities referred to in paragraphs 1 and 2 of this Article;

(b) the procedural rules for the examination of the economic conditions, including for the EU Customs Authority to provide its reasoned opinion; and

(c) the rules for determining and monitoring the quantity referred to in paragraph 7 of this Article.

Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 283(4).

12.   Until 21 September 2027:

(a) an examination of the economic conditions referred to in paragraph 4, point (g), of this Article shall take place at Union level in accordance with the procedural rules referred to in paragraph 11, point (b) of this Article;

(b) where reference is made to the opinion of the EU Customs Authority under this Chapter, it refers to the examination of the economic conditions at Union level by the Commission provided for in paragraphs 5, 6 and 7 of this Article.

Article 126

Authorisations with retroactive effect

1.   The customs authorities shall, upon application, grant an authorisation with retroactive effect, if all of the following conditions are fulfilled:

(a) there is a proven economic need;

(b) the application is not related to attempted deception;

(c) the applicant has proven on the basis of accounts or records that:

(i) all the requirements of the procedure are met;

(ii) where appropriate, the goods can be identified for the period involved;

(iii) such accounts or records allow the procedure to be controlled;

(d) all the formalities necessary to regularise the situation of the goods can be carried out, including, where necessary, the invalidation of the customs declarations concerned or of the data provided or made available for placing goods under a customs procedure;

(e) no authorisation with retroactive effect has been granted to the applicant for the same special procedure within three years of the date on which the application was accepted;

(f) unless the application concerns renewal of an authorisation for the same kind of operation and goods, the opinion of the EU Customs Authority is not required to assess whether the granting of the authorisation would adversely affect the essential interests of Union producers;

(g) the application does not concern the operation of storage facilities for the customs warehousing of goods; and

(h) where an application concerns renewal of an authorisation for the same kind of operation and goods, the application is submitted within three years after expiry of the original authorisation.

2.   Customs authorities may grant an authorisation with retroactive effect where the goods which were placed under a customs procedure are no longer available at the time when the application for such authorisation was accepted.

Article 127

Retroactive amendment to the authorisation

1.   At a justified application of the holder of the authorisation, submitted within the period of validity of the authorisation referred to in Article 125(1) and (2), the customs authorities may retroactively amend the granted authorisation.

However, the holder of the authorisation may submit the application to amend the authorisation after the expiration of the period of validity of the authorisation if there are goods placed under the relevant customs procedure which has not been discharged.

2.   In the decision on the retroactive amendment to the authorisation, the customs authorities shall determine the date from which that amendment is to take effect.

3.   A retroactive amendment shall not take effect prior to the date of effect of the authorisation.

4.   No retroactive amendment shall be permitted where any of the following apply:

(a) the application is submitted after the customs authorities have informed the holder of the authorisation that they intend to examine the goods or perform a control;

(b) the application is submitted after the customs authorities have informed the holder of the authorisation that they have established that the data in the authorisation are incorrect;

(c) the application is related to an attempted deception or abuse by the holder of the authorisation.

5.   The application for retroactive amendment shall not concern the period of validity of the authorisation granted.

6.   Amending the authorisation retroactively shall not require an opinion of the EU Customs Authority, as referred to in Article 125(5) and (6).

Article 128

Records

1.   The holder of an authorisation referred to in Article 125(1) and (2), importer or exporter and any person carrying out an activity involving the storage, working or processing of goods, or the sale or purchase of goods in free zones, shall keep appropriate records in a form approved by the customs authorities and, save for exceptions laid down in the customs legislation, shall provide those records or make them available in the EU Customs Data Hub.

Those records shall contain the information and the data to enable the customs authorities to supervise the procedure concerned, in particular with regard to the identification of the goods placed under that procedure, their customs status and their movements.

2.   An authorised economic operator for customs simplifications or a Trust and Check trader shall be considered to comply with the obligation laid down in paragraph 1 if its records are appropriate for the purpose of the special procedure concerned.

3.   The Commission is empowered to adopt delegated acts in accordance with Article 282 to supplement this Regulation by specifying the types of information and the data that are to be contained in the records and the exceptions to the obligation to provide them or make them available in the EU Customs Data Hub laid down in paragraph 1 of this Article.

Article 129

Discharge of a special procedure

1.   In cases other than the transit procedure and without prejudice to Article 156, a special procedure shall be discharged when the goods placed under the procedure, or the processed products, are placed under a subsequent customs procedure, are taken out of the customs territory of the Union, are destroyed with no waste remaining or are abandoned to the State in accordance with Article 96.

2.   The customs authorities shall discharge the transit procedure when they are in a position to establish, on the basis of a comparison of the data provided or made available to the customs office of departure and those provided or made available to the customs office of destination, that the procedure has ended correctly.

3.   The customs authorities shall take all the measures necessary to regularise the situation of the goods in respect of which a special procedure has not been discharged under the conditions prescribed.

4.   The discharge of a special procedure shall take place within specific periods, unless otherwise provided in the customs legislation.

5.   The Commission is empowered to adopt delegated acts in accordance with Article 282 to supplement this Regulation by specifying the length of the periods referred to in paragraph 4 of this Article.

6.   The Commission shall adopt implementing acts laying down the procedural rules for discharging a special procedure. Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 283(4).

Article 130

Transfer of rights and obligations

1.   The customs authorities may, upon application, authorise the holder of an authorisation for a special procedure other than transit to fully or partially transfer its rights and obligations with regard to goods that have been placed under that special procedure to an importer, to an exporter or to any other person.

2.   The Commission is empowered to adopt delegated acts in accordance with Article 282 to supplement this Regulation by determining:

(a) the cases where, and the conditions under which, the transfer of rights and obligations referred to in paragraph 1 of this Article is allowed;

(b) the form in which the customs authorities authorise such transfer of rights and obligations;

(c) the data and information required for applications and authorisations for such transfer of rights and obligations.

3.   The Commission shall adopt implementing acts laying down the procedural rules for transferring the rights and obligations of the holder of the authorisation with regard to goods which have been placed under a special procedure other than transit. Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 283(4).

Article 131

Movement of goods

1.   In specific cases laid down in the customs legislation, the importers, the exporters, the holders of the authorisation for the operation of storage facilities for the customs warehousing of goods and the persons to whom rights and obligations have been transferred in accordance with Article 130 may move goods placed under a special procedure other than transit or in a free zone between different places in the customs territory of the Union.

2.   The Commission is empowered to adopt delegated acts in accordance with Article 282 to supplement this Regulation by determining the specific cases in which goods can be moved as referred to in paragraph 1 of this Article and laying down the conditions under which this can occur.

3.   The Commission shall adopt implementing acts laying down the procedural rules for the movement of goods placed under a special procedure other than transit or in a free zone, as referred to in paragraph 1 of this Article. Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 283(4).

Article 132

Usual forms of handling

1.   Goods placed under a customs warehousing or a processing procedure or in a free zone may undergo usual forms of handling intended to preserve them, to improve their appearance or marketable quality or to prepare them for distribution or resale.

2.   Goods intended for distance sales from a private customs warehouse for distance sales referred to in Article 145 may be subject to the usual forms of handling that are strictly necessary for the purpose of preparing for the distance sale.

3.   The Commission is empowered to adopt delegated acts in accordance with Article 282 to supplement this Regulation by determining the usual forms of handling for goods referred to in paragraphs 1 and 2 of this Article.

Article 133

Equivalent goods

1.   Equivalent goods shall be Union goods which are stored, used or processed instead of the goods placed under a special procedure.

Under the outward processing procedure, equivalent goods shall be non-Union goods which are processed instead of Union goods placed under the outward processing procedure.

Except in specific cases laid down in the customs legislation, equivalent goods shall have the same eight-digit code in the combined nomenclature of goods laid down in Regulation (EEC) No 2658/87 (‘Combined Nomenclature’), the same commercial quality and the same technical characteristics as the goods that they are replacing.

2.   Provided that the proper conduct of the special procedure, in particular as regards customs supervision, is ensured, the customs authorities shall, upon application, authorise the following actions:

(a) the use of equivalent goods under customs warehousing, free zones and end-use procedures;

(b) the use of equivalent goods under the temporary admission procedure, in specific cases laid down in the customs legislation;

(c) the use of equivalent goods under the inward processing procedure;

(d) in the case of the inward processing with prior export procedure, the export of processed products obtained from equivalent goods before the import of the goods they are replacing;

(e) the use of equivalent goods under the outward processing procedure;

(f) in the case of the outward processing with prior import procedure, the import of processed products obtained from equivalent goods before the export of the goods they are replacing.

An authorised economic operator for customs simplifications or a Trust and Check trader shall be considered to fulfil the condition of ensuring the proper conduct of the special procedure if the activity pertaining to the use of equivalent goods for the procedure concerned was taken into account when that economic operator or trader was granted an authorisation referred to in Article 30 or 31.

3.   The use of equivalent goods shall not be authorised in any of the following cases:

(a) where only usual forms of handling as defined in Article 132 are carried out under the inward processing procedure;

(b) where a prohibition of drawback of import duty, or exemption from import duty, applies to non-originating goods used in the manufacture of processed products under the inward processing procedure for which a proof of origin is issued or made out in the framework of a preferential arrangement between the Union and certain third countries or groups of such countries;

(c) where it would lead to an unjustified import duty advantage; or

(d) where provided for in Union legal acts.

4.   In the case referred to in paragraph 2, point (d), of this Article and where, if they were not being exported in the context of the inward processing procedure, the processed products would be liable to export duty, the holder of the authorisation shall provide a guarantee to ensure payment of the export duty in the event that the non-Union goods are not imported within the period referred to in Article 159(3).

5.   The Commission is empowered to adopt delegated acts in accordance with Article 282 to supplement this Regulation by:

(a) determining the specific cases referred to in paragraph 1, third subparagraph, of this Article;

(b) laying down the conditions under which equivalent goods are used in accordance with paragraph 2 of this Article;

(c) determining the specific cases referred to in paragraph 2, point (b), of this Article where equivalent goods are used under the temporary admission procedure; and

(d) specifying the cases where the use of equivalent goods is not authorised in accordance with paragraph 3, point (c), of this Article.

6.   The Commission shall adopt implementing acts laying down the procedural rules for the use of equivalent goods authorised in accordance with paragraph 2 of this Article. Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 283(4).

CHAPTER 2

Transit

Section 1

General rules

Article 134

Scope

1.   Upon their entry into the customs territory of the Union, goods shall be placed under a transit procedure, without alteration of their customs status in accordance with Article 73(2), unless they have already been placed under a transit procedure specified in Articles 135 and 136 or under another customs procedure within the time limit set out in Article 104(5).

2.   The holder of the transit procedure shall be considered to be the importer or the exporter of the goods and shall be liable for the payment of customs duties and charges unless the customs authorities have data on another person identifying it as the importer or exporter.

Article 135

External transit

1.   Under the external transit procedure, non-Union goods may be moved from one point to another within the customs territory of the Union without being subject to any of the following:

(a) import duty or other charges, including anti-dumping duties, countervailing duties or safeguard measures;

(b) commercial policy measures, insofar as they do not prohibit the entry or exit of goods into or from the customs territory of the Union.

2.   In specific cases laid down in the customs legislation, Union goods shall be placed under the external transit procedure.

3.   The movement referred to in paragraph 1 shall take place in one of the following ways:

(a) under the external Union transit procedure;

(b) in accordance with the TIR Convention, provided that such movement:

(i) began or is to end outside the customs territory of the Union;

(ii) is effected between two points in the customs territory of the Union through the territory of a third country;

(c) in accordance with the Customs Convention on the A.T.A. Carnet for the temporary admission of goods, done in Brussels on 6 December 1961 (ATA Convention), or the Convention relating to temporary admission, done in Istanbul on 26 June 1990 (Istanbul Convention) (39), where a transit movement takes place;

(d) under cover of NATO form 302 provided for in the Agreement between the Parties to the North Atlantic Treaty regarding the Status of their Forces, signed in London on 19 June 1951, or EU form 302;

(e) under the postal system, in accordance with the acts of the Universal Postal Union, where the goods are carried by or for holders of rights and obligations under such acts.

4.   The Commission is empowered to adopt delegated acts in accordance with Article 282 to supplement this Regulation by determining the specific cases referred to in paragraph 2 of this Article where Union goods are to be placed under the external transit procedure.

5.   The Commission shall adopt implementing acts laying down the procedural rules for the application of paragraph 3, points (b) to (e), of this Article in the customs territory of the Union, taking into account the needs of the Union. Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 283(4).

Article 136

Internal transit

1.   Under the internal transit procedure, Union goods may be moved from one point to another within the customs territory of the Union, passing through the territory of a third country, without any change in their customs status.

2.   The movement referred to in paragraph 1 shall take place in one of the following ways:

(a) under the internal Union transit procedure, provided that such a possibility is provided for in an international agreement;

(b) in accordance with the TIR Convention;

(c) in accordance with the ATA Convention or the Istanbul Convention, where a transit movement takes place;

(d) under cover of NATO form 302 or EU form 302;

(e) under the postal system in accordance with the acts of the Universal Postal Union, where the goods are carried by or for holders of rights and obligations under such acts.

3.   The Commission shall adopt implementing acts laying down the procedural rules for the application of paragraph 2, points (b) to (e), of this Article in the customs territory of the Union, taking into account the needs of the Union. Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 283(4).

Article 137

Single territory for transit purposes

When goods are moved from one point to another within the customs territory of the Union in accordance with the TIR Convention, the ATA Convention or the Istanbul Convention, under cover of NATO form 302 or EU form 302 or under the postal system, the customs territory of the Union shall, for the purposes of such transport, be considered to form a single territory.

Article 138

Exclusion of persons from TIR operations

1.   Where the customs authorities of a Member State decide to exclude a person from TIR operations under Article 38 of the TIR Convention, that decision shall apply throughout the customs territory of the Union and TIR carnets lodged by that person shall not be accepted by any customs office.

2.   A Member State shall communicate the decision referred to in paragraph 1, together with the date of its application, to the other Member States, to the Commission and to the EU Customs Authority.

Article 139

Authorised consignee and authorised consignor for TIR purposes

1.   The customs authorities may, upon application, authorise a person (an ‘authorised consignee’) to receive goods moved in accordance with the TIR Convention at an authorised place, so that the procedure is terminated within the meaning of Article 1, point (d), of the TIR Convention.

2.   The customs authorities may, upon application, authorise a person (an ‘authorised consignor’) to send goods to be moved in accordance with the TIR Convention from an authorised place, so that the procedure is started within the meaning of Article 1, point (c), of the TIR Convention.

For that purpose, the authorised consignor shall be authorised to use seals of a special type, as referred to in Article 140(4), point (c), of this Regulation.

3.   The Commission is empowered to adopt delegated acts in accordance with Article 282 to supplement this Regulation by laying down the conditions for the granting of the authorisations referred to in paragraphs 1 and 2 of this Article.

Section 2

Union transit

Article 140

Obligations of the holder of the Union transit procedure and of the carrier and recipient of goods moving under the Union transit procedure

1.   The holder of the Union transit procedure shall be responsible for fulfilling the following obligations:

(a) providing or making available the required data to the customs authorities;

(b) notification of availability of the goods and the required data, at the customs office of destination, within the prescribed time limit and in compliance with the measures taken by the customs authorities to ensure their identification;

(c) observance of the provisions of customs legislation relating to the Union transit procedure;

(d) unless otherwise provided for in the customs legislation, the provision of a guarantee in order to ensure payment of the amount of import or export duty corresponding to any customs debt or other charges incurred in respect of the goods.

2.   The obligations of the holder of the procedure shall be met and the Union transit procedure shall end when the goods placed under the procedure and the required information are available at the customs office of destination in accordance with the customs legislation.

3.   A carrier or recipient of goods who accepts goods knowing that they are moving under the Union transit procedure shall also be responsible for notifying the availability of the goods at the customs office of destination within the prescribed time limit and in compliance with the measures taken by the customs authorities to ensure the identification of those goods.

4.   Upon application, the customs authorities may authorise any of the following simplifications regarding the placing of goods under the Union transit procedure or the end of that procedure:

(a) the status of authorised consignor, allowing the holder of the authorisation to place goods under the Union transit procedure without presenting them to customs;

(b) the status of authorised consignee, allowing the holder of the authorisation to receive goods moved under the Union transit procedure at an authorised place, to end the procedure in accordance with paragraph 2;

(c) the use of seals of a special type, where sealing is required to ensure the identification of the goods placed under the Union transit procedure;

(d) the provision of a reduced data set, or, where applicable, the use of a customs declaration with a reduced data set, for placing the goods under the Union transit procedure;

(e) the use of an electronic transport document to place goods under the Union transit procedure, provided it contains the necessary information and that information is available to the customs authorities at departure and at destination to allow the customs supervision of the goods and the discharge of the procedure.

5.   The customs authorities shall regularly monitor the activities of authorised consignors and consignees in order to assess their compliance with the authorisation requirements.

6.   The Commission is empowered to adopt delegated acts in accordance with Article 282 to supplement this Regulation by:

(a) further specifying the data requirements laid down in paragraph 1, points (a) and (b), of this Article and the conditions for granting the authorisations referred to in paragraph 4 of this Article;

(b) determining the data to be provided or made available to the customs authorities for placing goods under the Union transit procedure as referred to in paragraph 1, point (a), of this Article.

7.   The Commission shall adopt implementing acts laying down procedural rules on:

(a) the placing of goods under the Union transit procedure and the discharge of that procedure;

(b) the operation of the simplifications referred to in paragraph 4 of this Article.

Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 283(4).

Article 141

Goods passing through the territory of a third country under the external Union transit procedure

1.   The external Union transit procedure shall apply to goods passing through a third country if any of the following conditions is fulfilled:

(a) provision is made to that effect under an international agreement;

(b) carriage through that third country is effected under cover of a single transport document drawn up in the customs territory of the Union.

2.   In the case referred to in paragraph 1, point (b), the operation of the external Union transit procedure shall be suspended while the goods are outside the customs territory of the Union.

3.   The Commission shall adopt implementing acts laying down the procedural rules on the customs supervision of goods passing through the territory of a third country under the external Union transit procedure. Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 283(4).

CHAPTER 3

Storage

Section 1

Common provisions

Article 142

Scope

1.   Under a storage procedure, non-Union goods may be stored in the customs territory of the Union without being subject to:

(a) import duty;

(b) other charges provided for by Union or national law;

(c) commercial policy measures other than those that prohibit the entry or exit of goods into or from the customs territory of the Union.

2.   The conditions for placing goods under a storage procedure shall be the following:

(a) the required data has been provided or made available to the customs authorities;

(b) the goods comply with the relevant other legislation applied by the customs authorities;

(c) the goods have arrived at the place of release for the procedure.

3.   Union goods may be placed under the customs warehousing procedure or the free zone procedure either in accordance with the relevant other legislation applied by the customs authorities or in order to benefit from a decision granting repayment or remission of import duty.

4.   Where an economic need exists and customs supervision will not be adversely affected, the customs authorities may authorise the entry, storage, movement, use, processing or consumption of Union goods in a customs warehouse or in a free zone. In such cases, those goods shall not be regarded as being under a storage procedure.

5.   The Commission is empowered to adopt delegated acts in accordance with Article 282 to supplement this Regulation by specifying the data to be provided or made available to the customs authorities for placing goods under a storage procedure, as referred to in paragraph 2, point (a), of this Article.

6.   The Commission shall adopt implementing acts laying down the procedure for the placing of Union goods under the customs warehousing procedure or free zone procedure as referred to in paragraph 3 of this Article. Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 283(4).

Article 143

Duration of a storage procedure

1.   There shall be no limit to the length of time goods may remain under a storage procedure.

2.   By way of derogation from paragraph 1, the customs authorities may set a time limit by which a storage procedure must be discharged:

(a) in exceptional circumstances, in particular where the type and nature of the goods could, in the case of long-term storage, pose a threat to human, animal or plant health and life or to the environment;

(b) where an authorisation for the operation of a storage facility has been revoked.

Section 2

Customs warehousing

Article 144

Storage in customs warehouses

1.   Under the customs warehousing procedure, non-Union goods may be stored in premises or any other location authorised for that procedure by the customs authorities and under customs supervision (‘customs warehouses’).

2.   Customs warehouses may be available for use by any importer for the customs warehousing of goods (‘public customs warehouse’), or for the storage of goods by the holder of an authorisation for the operation of a customs warehouse (‘private customs warehouse’).

3.   Goods placed under the customs warehousing procedure may be temporarily removed from the customs warehouse. Except in cases of

force majeure

, such removal shall need to be authorised by the customs authorities in advance.

Article 145

Customs warehouse for distance sales

1.   Only importers for distance sales that have chosen to use the IOSS scheme and that have the status of Trust and Check trader, or their indirect representatives having the status of Trust and Check trader, may be authorised to store and operate the goods in a private customs warehouse for distance sales prior to a distance sale.

2.   Goods intended for distance sales may be placed under the customs warehousing procedure in a customs warehouse for distance sales only if the goods meet all of the following conditions:

(a) they comply with the relevant other legislation applied by the customs authorities that would apply in respect of the release for free circulation;

(b) they are packed in collective packages containing alike goods, in a state prior to the preparation of individual consignments when the distance sale is concluded;

(c) they are brought into the customs territory of the Union in quantities that facilitate performing effective customs controls.

When assessing whether the condition referred to in point (c) of the first subparagraph is fulfilled, the customs authorities shall take account of the size of the entity planning to conduct distance sales from the customs warehouse.

3.   Customs authorities and other competent authorities are entitled to control whether the goods comply with the requirements for release for free circulation before being placed under the customs warehousing procedure and during their storage.

4.   The Commission is empowered to adopt delegated acts in accordance with Article 282 to supplement this Regulation by laying down the conditions for granting the authorisation referred to in paragraph 1 of this Article.

5.   The Commission is empowered to adopt implementing acts laying down the procedural rules regarding the conditions referred to in paragraph 2 of this Article. Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 283(4).

Article 146

Processing in a customs warehouse

Where an economic need exists and customs supervision will not be adversely affected, the customs authorities may authorise the processing of goods under the inward processing or end-use procedures to take place in a customs warehouse, subject to the conditions provided for by those procedures.

In such cases, the goods shall not be regarded as being under the customs warehousing procedure.

Article 147

Responsibilities of the holder of the authorisation

Without prejudice to Article 27, the holder of the authorisation referred to in Article 125(1), point (b), or Article 125(2), point (a), and the importer shall be responsible for:

(a) ensuring that goods under the customs warehousing procedure are not removed from customs supervision;

(b) fulfilling the obligations arising from the storage of goods covered by the customs warehousing procedure; and

(c) fulfilling the obligations arising from the placing of the goods under the customs warehousing procedure.

Section 3

Free zones

Article 148

Designation of free zones

1.   Member States may designate parts of the customs territory of the Union as free zones.

For each free zone the Member State shall determine the area covered and its entry and exit points.

2.   Member States shall communicate to the Commission and to the EU Customs Authority information on their free zones which are in operation.

3.   Free zones shall be enclosed.

The perimeter and the entry and exit points of the area of free zones shall be subject to customs supervision.

4.   Persons, goods and means of transport entering or leaving free zones may be subject to customs controls.

Article 149

Buildings and activities in free zones

1.   The construction of any building in a free zone shall require the prior approval of the customs authorities.

2.   Subject to the customs legislation, any industrial, commercial or service activity shall be permitted in a free zone. The carrying out of such activities shall be notified to the customs authorities in advance.

3.   The customs authorities may prohibit or restrict the activities referred to in paragraph 2, having regard to the nature of the goods in question, the requirements of customs supervision, or safety and security requirements.

4.   The customs authorities may prohibit persons that do not provide the necessary assurance of compliance with the customs provisions from carrying out an activity in a free zone.

Article 150

Non-Union goods in free zones

1.   Non-Union goods may, while they remain in a free zone, be released for free circulation or be placed under the inward processing, temporary admission or end-use procedure, under the conditions laid down for those procedures.

In such cases, those goods shall not be regarded as being under the free zone procedure.

2.   Without prejudice to the provisions applicable to supplies or to victualling storage, where the procedure concerned so provides, and notwithstanding paragraph 1, non-Union goods may be used or consumed in a free zone provided that:

(a) their release for free circulation or temporary admission would not entail the application of import duty, of measures laid down under the common agricultural or commercial policies or of measures prohibiting the use of those goods in the Union;

(b) appropriate information about that use or consumption is provided or made available to the customs authorities.

Article 151

Taking goods out of a free zone

1.   Without prejudice to the relevant other legislation applied by the customs authorities, goods in a free zone may be exported or re-exported from the customs territory of the Union, or brought into another part of the customs territory of the Union.

2.   Articles 102 and 103 shall apply to goods taken out of a free zone into other parts of the customs territory of the Union.

Article 152

Customs status

1.   At the application of the person concerned, the customs authorities shall establish the customs status as Union goods of the following goods:

(a) Union goods which enter a free zone;

(b) Union goods which have undergone processing operations within a free zone;

(c) goods released for free circulation within a free zone.

2.   Where goods are taken out of a free zone into another part of the customs territory of the Union or placed under a customs procedure, they shall be regarded as non-Union goods unless their customs status as Union goods has been proved.

However, for the purposes of applying export duty and export licences or export control measures laid down under the common agricultural or commercial policies, such goods shall be regarded as Union goods unless it is established that they do not have the customs status of Union goods.

CHAPTER 4

Specific use

Section 1

Temporary admission

Article 153

Scope

1.   Under the temporary admission procedure, non-Union goods intended for re-export may be subject to a specific use in the customs territory of the Union with total or partial relief from import duty and without being subject to:

(a) other charges provided for by Union or national law;

(b) commercial policy measures other than those that prohibit the entry or exit of goods into or from the customs territory of the Union.

2.   The temporary admission procedure may only be used if the following conditions are met:

(a) the goods are not intended to undergo any change, except normal depreciation due to the use that is made of them;

(b) it is possible to ensure that the goods placed under the procedure can be identified, except:

(i) where, in view of the nature of the goods or of their intended use, the absence of identification measures is not liable to give rise to any abuse of the procedure; or

(ii) in the case referred to in Article 133, where compliance with the conditions laid down in respect of equivalent goods can be verified;

(c) where required, an authorisation has been granted in accordance with Article 125 and this Article;

(d) the required data has been provided or made available to the customs authorities;

(e) the requirements for total or partial relief from import duty laid down in the customs legislation are met;

(f) the goods have arrived at the place of release for the customs procedure; and

(g) the goods comply with the relevant other legislation applied by the customs authorities.

3.   The Commission is empowered to adopt delegated acts in accordance with Article 282 to supplement this Regulation by:

(a) determining the specific use referred to in paragraph 1 of this Article;

(b) specifying the data to be provided or made available to the customs authorities for placing goods under the temporary admission procedure, as referred to in paragraph 2, point (d), of this Article;

(c) laying down the requirements for total or partial relief from import duty referred to in paragraph 2, point (e), of this Article.

Article 154

Period during which goods may remain under the temporary admission procedure

1.   The customs authorities shall determine the period for discharge of the temporary admission procedure. Such period shall be long enough for the objective of authorised use to be achieved.

2.   The maximum period during which goods may remain under the temporary admission procedure for the same purpose and under the responsibility of the same authorisation holder shall be 24 months, even where the procedure was discharged by placing the goods under another special procedure and subsequently placing them under the temporary admission procedure again.

3.   Where, in exceptional circumstances, the authorised use cannot be achieved within the period referred to in paragraph 2, the customs authorities may grant a reasonable extension of that period, at a justified application of the importer.

4.   Except in the case of an unforeseeable event, the overall period during which goods may remain under the temporary admission procedure shall not exceed 10 years.

Article 155

Amount of import duty in the case of temporary admission with partial relief from import duty

1.   The amount of import duty in respect of goods placed under the temporary admission procedure with partial relief from import duty shall be set at 3 % of the amount of import duty which would have been payable on those goods had they been released for free circulation on the date on which they were placed under the temporary admission procedure.

That amount shall be payable for every month or fraction of a month during which the goods have been placed under the temporary admission procedure with partial relief from import duty.

2.   The total amount of import duty payable in accordance with paragraph 1 shall not exceed that which would have been payable if the goods in question had been released for free circulation on the date on which they were placed under the temporary admission procedure.

Section 2

End-use

Article 156

End-use procedure

1.   Under the end-use procedure, goods may be released for free circulation under a duty exemption or at a reduced rate of duty provided for in Union legal acts, on condition that the importer assigns the goods to a specific use.

2.   The conditions for placing goods under the end-use procedure shall be the following:

(a) an authorisation has been granted in accordance with Article 125 and this Article;

(b) the required data has been provided or made available to the customs authorities;

(c) any import duty or other charges due, including anti-dumping duties, countervailing duties or safeguard measures, have been paid or are guaranteed, unless the goods are the subject of a drawing request on a tariff quota;

(d) the goods have arrived at the place of release for the customs procedure; and

(e) the goods comply with the relevant other legislation applied by the customs authorities.

3.   Where the goods are at a production stage which would only lead economically to the prescribed end-use, the customs authorities may establish in the authorisation the conditions to be fulfilled for those goods to be deemed to have been used for the purposes laid down in the Union legal acts providing for the duty exemption or reduced rate of duty.

4.   Where goods are suitable for repeated use and the customs authorities consider it appropriate, in order to avoid abuse, customs supervision shall continue for a period not exceeding two years from the date of their first use for the purposes laid down in the Union legal acts providing for the duty exemption or reduced rate of duty.

5.   Where a rate of yield is required, Article 157 shall apply to the end-use procedure.

6.   Waste and scrap which result from the working or processing of goods in accordance with the prescribed end-use and losses due to natural wastage shall be considered as goods assigned to the prescribed end-use.

7.   Waste and scrap resulting from the destruction of goods placed under the end-use procedure shall be deemed to have been placed under the customs warehousing procedure.

8.   The Commission is empowered to adopt delegated acts in accordance with Article 282 to supplement this Regulation by determining the data to be provided or made available to the customs authorities for placing goods under the end-use procedure, as referred to in paragraph 2, point (b), of this Article.

CHAPTER 5

Processing

Section 1

General provisions

Article 157

Rate of yield

Except where a rate of yield has been specified in Union legal acts governing specific fields, the customs authorities shall set either the rate of yield or average rate of yield of the processing operation or, where appropriate, the method of determining such rate.

The rate of yield or average rate of yield of the processing operation shall be determined on the basis of the actual circumstances in which processing operations are, or are to be, carried out. That rate may where appropriate, be adjusted in accordance with Article 12.

Section 2

Inward processing

Article 158

Scope

1.   Without prejudice to Article 133, under the inward processing procedure, non-Union goods may be used in the customs territory of the Union in one or more processing operations without being subject to:

(a) import duty or other charges, including anti-dumping duties, countervailing duties or safeguard measures;

(b) commercial policy measures other than those that prohibit the entry or exit of goods into or from the customs territory of the Union.

2.   The conditions for placing goods under the inward processing procedure shall be the following:

(a) an authorisation has been granted in accordance with Article 125 and this Article;

(b) the required data has been provided or made available to the customs authorities;

(c) the goods comply with the relevant other legislation applied by the customs authorities; and

(d) the goods have arrived at the place of release for the customs procedure.

3.   The inward processing procedure may be used in cases other than repair and destruction only under the condition that the goods placed under that procedure, without prejudice to the use of production accessories, can be identified in the processed products.

In the case referred to in Article 133, the inward processing procedure may be used where compliance with the conditions laid down therein in respect of equivalent goods can be verified.

4.   In addition to paragraphs 1, 2 and 3 of this Article, the inward processing procedure may also be used for any of the following goods:

(a) goods intended to undergo operations to ensure their compliance with technical requirements for their release for free circulation;

(b) goods which have to undergo usual forms of handling in accordance with Article 132.

5.   The Commission is empowered to adopt delegated acts in accordance with Article 282 to supplement this Regulation by determining the data to be provided or made available to the customs authorities for placing goods under the inward processing procedure, as referred to in paragraph 2, point (b), of this Article.

Article 159

Period for discharge

1.   The customs authorities shall specify the period for discharge of the inward processing procedure in accordance with Article 129.

That period shall run from the date on which the non-Union goods are placed under the inward processing procedure and shall take account of the time required to carry out the processing operations and to discharge that procedure.

2.   The customs authorities may grant a reasonable extension of the period specified pursuant to paragraph 1, at a justified application of the holder of the authorisation.

The authorisation may specify that a period that begins in the course of a month, quarter or semester is to end on the last day of a subsequent month, quarter or semester, respectively.

3.   In the case of prior export in accordance with Article 133(2), point (d), the authorisation shall specify the period within which the non-Union goods are to be placed under the inward processing procedure. When specifying that period, the customs authorities shall take account of the time required for procurement and transport to the customs territory of the Union, as indicated by the applicant.

That period shall be set in months and shall not exceed 12 months. It shall run from the date of placing the processed products obtained from the corresponding equivalent goods under the export procedure.

Article 160

Temporary re-export for further processing

1.   Upon application, the customs authorities may authorise some or all of the goods placed under the inward processing procedure, or the processed products, for temporary re-export for the purpose of further processing outside the customs territory of the Union.

2.   The Commission is empowered to adopt delegated acts in accordance with Article 282 to supplement this Regulation by laying down the conditions for temporarily re-exporting goods for further processing, as referred to in paragraph 1 of this Article.

Section 3

Outward processing

Article 161

Scope

1.   Under the outward processing procedure, Union goods may be temporarily exported from the customs territory of the Union in order to undergo processing operations. The processed products resulting from those goods may be released for free circulation with total or partial relief from import duty at the application of the holder of the authorisation, or of any other person established in the customs territory of the Union that has obtained the consent of the holder of the authorisation, and provided that the conditions of the authorisation are fulfilled.

2.   The conditions for placing goods under outward processing shall be the following:

(a) an authorisation has been granted in accordance with Article 125 and this Article;

(b) the required data has been provided or made available to the customs authorities;

(c) any export duty or other charges due have been paid or are guaranteed; and

(d) the goods comply with the relevant other legislation applied by the customs authorities.

3.   The customs authorities shall not grant an authorisation for an outward processing procedure for any of the following Union goods:

(a) goods the export of which gives rise to repayment or remission of import duty;

(b) goods which, prior to export, were released for free circulation under a duty exemption or at a reduced rate of duty by virtue of their end-use, for as long as the purposes of such end-use have not been fulfilled, unless those goods have to undergo repair operations;

(c) goods in respect of which a financial advantage is granted under the common agricultural policy by virtue of the export of those goods.

4.   The customs authorities shall specify the period within which goods temporarily exported are to be re-imported into the customs territory of the Union in the form of processed products and released for free circulation, in order to be able to benefit from total or partial relief from import duty. They may grant a reasonable extension of that period, at a justified application of the holder of the authorisation.

5.   The Commission is empowered to adopt delegated acts in accordance with Article 282 to supplement this Regulation by determining the data to be provided or made available to the customs authorities for placing goods under the outward processing procedure as referred to in paragraph 2, point (b), of this Article.

Article 162

Goods repaired or replaced free of charge

1.   Where it is established to the satisfaction of the customs authorities that goods have been repaired or replaced free of charge, either because of a contractual or statutory obligation arising from a guarantee or because of a manufacturing or material defect, or because the goods did not meet the specifications requested by the buyer to the seller of the goods, they shall be granted total relief from import duty.

2.   Paragraph 1 shall not apply where account was taken of the manufacturing or material defect at the time when the goods in question were first released for free circulation.

Article 163

Goods repaired or altered in the context of international agreements

1.   Total relief from import duty shall be granted to processed products resulting from goods placed under the outward processing procedure where it is established to the satisfaction of the customs authorities that:

(a) those goods have been repaired or altered in a third country with which the Union has concluded an international agreement providing for such relief; and

(b) the conditions for the relief from import duty laid down in the agreement referred to in point (a) are fulfilled.

2.   Paragraph 1 of this Article shall not apply to processed products resulting from equivalent goods as referred to in Article 133 and to replacement products as referred to in Articles 164 and 165.

Article 164

Standard exchange system

1.   Under the standard exchange system, an imported product (‘replacement product’) may, in accordance with paragraphs 2 to 5, replace a processed product.

2.   The customs authorities shall, upon application, authorise the standard exchange system to be used where the processing operation involves the repair of defective Union goods other than those subject to measures laid down under the common agricultural policy or to the specific arrangements applicable to certain goods resulting from the processing of agricultural products.

3.   Replacement products shall have the same eight-digit Combined Nomenclature code, the same commercial quality and the same technical characteristics as the defective goods would have had if they had undergone repair.

4.   Where the defective goods have been used before export, the replacement products must also have been used.

The customs authorities shall, however, waive that requirement if the replacement product has been supplied free of charge, either because of a contractual or statutory obligation arising from a guarantee or because of a material or manufacturing defect.

5.   The provisions which would be applicable to the processed products shall apply to the replacement products.

Article 165

Prior import of replacement products

1.   Under the conditions they lay down and at the application of the person concerned, the customs authorities shall authorise replacement products to be imported before the defective goods are exported.

In the event of such prior import of a replacement product, a guarantee shall be provided, covering the amount of the import duty that would be payable should the defective goods not be exported in accordance with paragraph 2.

2.   The defective goods shall be exported within a period of two months from the date of the release for free circulation of the replacement products.

3.   Where, in exceptional circumstances, the defective goods cannot be exported within the period referred to in paragraph 2, the customs authorities may grant a reasonable extension of that period, at a justified application of the holder of the authorisation.

TITLE IX

TARIFF CLASSIFICATION, ORIGIN AND CUSTOMS VALUE OF GOODS

CHAPTER 1

Common Customs Tariff and tariff classification of goods

Article 166

Common Customs Tariff and customs surveillance

1.   Import and export duty due shall be based on the Common Customs Tariff.

Other measures prescribed by Union provisions governing specific fields relating to trade in goods shall, where appropriate, be applied in accordance with the tariff classification of those goods.

2.   The Common Customs Tariff shall comprise all of the following:

(a) the Combined Nomenclature;

(b) any other nomenclature which is wholly or partly based on the Combined Nomenclature, or which provides for further subdivisions to it, and which is established by Union legal acts governing specific fields with a view to the application of tariff measures relating to trade in goods;

(c) the conventional or normal autonomous customs duty applicable to goods covered by the Combined Nomenclature;

(d) the preferential tariff measures contained in agreements which the Union has concluded with certain third countries or groups of third countries;

(e) preferential tariff measures adopted unilaterally by the Union in respect of certain third countries or groups of third countries;

(f) autonomous measures providing for a reduction in, or exemption from, customs duty on certain goods;

(g) favourable tariff treatment specified for certain goods, by reason of their nature or end-use, within the framework of measures referred to under points (c) to (f) or point (h);

(h) other measures provided for by Union legal acts concerning agricultural policy, commercial policy or other areas that are based on the tariff classification of the goods, in particular provisional or definitive anti-dumping duties, countervailing duties or safeguard measures.

3.   Where the goods concerned meet the conditions included in the measures referred to in paragraph 2, points (d) to (g), those measures may apply instead of the measures provided for in point (c) of that paragraph. The measures referred to in paragraph 2, points (d) to (g), may be applied retroactively provided that the time limits and conditions laid down in the relevant measure or in this Regulation are complied with and that:

(a) as regards the measures laid down in paragraph 2, points (d) and (e), those measures provide for such retroactive application;

(b) as regards the measures laid down in paragraph 2, point (d), the third country or group of third countries also allow for such retroactive application.

4.   Where the application of the measures referred to in paragraph 2, points (d) to (g), or the exemption from measures referred to in point (h) of that paragraph is restricted to a certain volume of imports or exports, that application or exemption shall, in the case of tariff quotas or other quotas, cease as soon as the specified volume of imports or exports is reached.

In the case of tariff ceilings, the application of such measures shall cease by virtue of a Union legal act.

5.   The Commission may subject the release for free circulation, the export and the placement under certain special procedures of goods to customs surveillance for the purposes referred to in Article 41(4).

6.   The Commission shall adopt implementing acts laying down the measures on the uniform management of the tariff and other quotas and the tariff ceilings referred to in paragraph 4 of this Article, and on the management of the customs surveillance referred to in paragraph 5 of this Article. Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 283(4).

Article 167

Tariff classification of goods

1.   For the application of the Common Customs Tariff, tariff classification of goods shall consist of the determination of one of the subheadings or further subdivisions of the Combined Nomenclature under which those goods are to be classified.

2.   For the application of non-tariff measures, tariff classification of goods shall consist of the determination of one of the subheadings or further subdivisions of the Combined Nomenclature, or of any other nomenclature which is established by Union legal acts and which is wholly or partly based on the Combined Nomenclature or which provides for further subdivisions to it, under which those goods are to be classified.

3.   The subheading or further subdivision determined in accordance with paragraphs 1 and 2 shall be used for the purpose of applying the measures linked to that subheading.

4.   The Commission may adopt implementing acts determining the tariff classification of goods in accordance with paragraphs 1 and 2 of this Article. Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 283(4).

On duly justified imperative grounds of urgency relating to the need to rapidly ensure the correct and uniform application of the Combined Nomenclature, the Commission shall adopt immediately applicable implementing acts in accordance with the procedure referred to in Article 283(5).

CHAPTER 2

Origin of goods

Article 168

Non-preferential origin

The rules for the determination of the non-preferential origin of goods in Articles 169 and 170 shall be used for applying the following:

(a) the Common Customs Tariff, except for the measures referred to in Article 166(2), points (d) and (e);

(b) measures, other than tariff measures, established by Union legal acts governing specific fields relating to trade in goods; and

(c) other Union measures relating to the origin of goods.