Preferential Tariff Rates on UK Exports to Chile
Following the Foreign Trade Agreement signed with Chile, the Department for International Trade has confirmed that from 12 January 2021 preferential tariff rates will apply to UK exports to Chile as they are set out in the agreement.
Additionally, for goods imported to Chile from the UK between 1 January 2021 and 12 January 2021, preferences can be applied retrospectively. So, businesses can claim back any additional tariffs paid since 1 January 2021 from the Government of Chile. The Government of Chile has issued guidance on this rebate scheme (Chapters III and IV).
The UK-Chile continuity agreement includes terms on:
Trade of Goods - including preferential tariffs, tariff rate quotas, rules of origin and sanitary and phytosanitary measures.
Trade of Services – the agreement maintains preferential market access for trade in services.
Intellectual Property – the FTA protects intellectual property rights.
Government Procurement – UK and Chilean companies may bid for public sector contracts in the other country, which will help in creating jobs and deliver better value for taxpayers.
Rules of Origin
Unless you are permitted to provide an invoice declaration, a certificate of origin will need to be filled in to claim preferential treatment. These will from now on show the UK as the place of origin instead of the EU.
EUR1 forms continue to be used.
EU materials or processing can continue to be used, however, the working or processing carried out in the UK must go beyond the minimal operations listed in the agreement, and all relevant conditions must be met.
Transiting Goods Through the EU
Goods transited through the EU will not have the same restrictions as those transited through other third countries, providing that the goods have not been entered into free circulation in the EU.
Additionally, transiting through third countries is possible if the goods remain under customs surveillance and do not undergo operations other that those needed for transport ad preservation purposes.
Do you want to grow your business in Chile and LATAC?
Did you know the Chamber has several approved suppliers across the region who can help you grow your exports or diversify your supply chain? If you are interested in learning more visit our Market Entry Services or email our team at firstname.lastname@example.org