EP ADOPTS ITS POSITION ON CUSTOMS REFORM
On 13th of March, the European Parliament’s first reading position of the Customs Reform was adopted with 486 votes in favour to 19 against and 97 abstentions. MEPs have endorsed the Commission’s proposals while introducing amendments to simplify procedures, and expedite the rollout of the new EU DataHub. CLECAT welcomes progress on several important issues, not the least to ensure that SME’s do not lose out on the reform (see CLECAT press release 29 January). This has been partially addressed by the European Parliament by keeping the possibility for companies to retain their AEO status. This provision now needs to be further developed to maintain a consistent new text.
CLECAT also welcomes amendments to incorporate the Single Window Environment in the Customs Reform, the introduction of a pilot phase for the Data Hub and the extension of the temporary storage period – all crucial elements in support of the competitiveness of trade.
However, it is at this point that CLECAT believes the legislative process needs a different pace as many of the amendments will need to be further assessed by the Council and the European Commission. For example, the Parliament wants to retain the AEO status of companies which is highly welcomed. However, because all future facilitations in the reform are currently linked to the Trust and Check (T&C) model, the entire facilitation structure requires a thorough revision to ensure that the AEO would not become an ‘empty status.’
Over recent weeks CLECAT has been conducting a detailed internal analysis of the practical implications of the Commission´s customs reform proposal. Overall, CLECAT concludes that unless a comprehensive business modelling is conducted for the original Commission’s Reform proposal, we may end up with new customs legislation that will be impractical to implement and even has a counter-effect to what it aims to achieve. As the Council will now need to define its negotiating mandate to proceed to Trilogues, most likely after the European elections, CLECAT calls on the Council to give the Reform the time it deserves.