21 June 2024

CLECAT PARTICIPATES IN 66TH PLENARY SESSION OF TRADE CONTACT GROUP

CLECAT participated in the 66th Plenary Session of the Trade Contact Group (TCG), held in Brussels on 20th June. CLECAT was represented by Dimitri Serafimoff and Olivier Thouard, Chair and Vice-Chair of CLECAT’s Customs and Indirect Taxation Institute (CITI).

The first agenda point was the Customs Reform, with a special focus on E-Commerce. After the European Commission provided a short update on the ongoing Council discussions regarding customs reform, trade representatives were given the floor to present the effects of e-commerce on their respective industries. Olivier Thouard, on behalf of CLECAT, highlighted that while B2C e-commerce has only a small impact on their industry, e-commerce-related B2B2C flows have led to new challenges for customs intermediaries. CLECAT supports the Commission’s reform proposals addressing issues like undervaluation and data quality, advocating for an unbiased approach that doesn’t negatively affect B2B traffic. They also urged EU decision-makers to prioritise pressing e-commerce matters and expedite the adoption of the relevant elements of the Customs Reform separately.

The Commission then provided a brief update on Sanctions and Restrictions, with a special focus on three new legislations, which are not directly customs-related but will be implemented by Customs Authorities when goods enter the EU: the F-gas Regulation, the EU Deforestation Regulation (EUDR), and the Ozone-Depleting Substances (ODS) Regulation. The F-gas Regulation aims to phase out fluorinated greenhouse gases (F-gases) primarily used in refrigeration, air conditioning, and heat pumps. The EUDR is designed to ensure that products imported into the EU do not contribute to deforestation or forest degradation. The objective of the ODS Regulation is to prevent emissions of substances that deplete the ozone layer, thereby protecting the ozone.

During discussions of the third agenda point on the Carbon Border Adjustment Mechanism (CBAM), the Commission gave an update on the state of play regarding the CBAM, also addressing a recently submitted joint industry letter co-signed by CLECAT, the EEA, AmCham EU, EuroCommerce, OCEAN, and the ESC. Discussions included the Commission’s upcoming legislative work plan for CBAM, potential new CBAM de-minimis thresholds, and possible changes in third-party reporting as administrative simplifications, as repeatedly requested by TCG members.

Trade representatives raised issues about the EU's new Import Control IT System designed for collecting and analysing advance cargo information on all goods entering the EU. Trade referred to recent system outages and the delay of the publication of the Maritime Operational Guidance for Release 3, which was launched on 3rd June. The inconsistent availability of the PoUS system across Member States and issues with the EU-Vietnam FTA were also discussed. The Commission acknowledged and noted all concerns and assured delegates that steps would be taken to address them. The next TCG meeting is scheduled for 26th September 2024.