June 29, 2016 | Industry Insights, Insights, Trade
“Brexit”, ATA Carnets, and the Global Logistics Supply Chain
The United Kingdom’s (U.K.) vote last week to leave the European Union (EU) has many industry sectors wondering about the impact of this surprising result, including the global logistics supply chain. Logistics companies said the “Brexit” vote could have a two-pronged impact in the near term, potentially cutting into the movement of goods but also fueling more demand for services to help retailers and manufacturers navigate changing regulations and trade rules. Yet it will be some time before we actually realize the effects of the U.K.’s decision to leave the EU, particularly as there is a two-year notice period under Article 50 in the Lisbon Treaty in which a country informs the EU it’s leaving the bloc. Expectations are that the formal exit notification process won’t begin until the end of the year.
Current trade facilitation procedures
In the meantime, in response to inquiries related to the U.K.’s decision and its impact on ATA Carnet, the U.S. Council for International Business released the following statement:
“…At this time, the U.K. remains a member of the EU, and the process for leaving the bloc has not yet begun. We have no indication of any changes affecting the use of ATA Carnets in the U.K., or in the EU as a whole, for the foreseeable future.”
With this impending EU exit process and uncertainty of varied interpretations, Roanoke Trade recommends that you request an additional set of foreign (white) counterfoils and vouchers. In the event that you are requested to present your ATA Carnet for additional customs clearance when transiting the EU you will be prepared by having this extra set of documentation. It is always advisable to be prepared with one extra set when traveling within the EU on an ATA Carnet. At any point during your transit local customs has the right to request proof of documentation for customs and security purposes.