Upgrade anyone?

Electronics are often the source of difficulty in international trade but aside from the obvious issues one that is often ‘forgotten’ is the problem that upgrades can bring.   

Having gone to enormous trouble to obtain a tariff classification and export licence for the original item, product development and customer feedback will often lead to the development of a new, improved version.

 

However, what appear to be improvements or extensions to existing functionality can in Customs terms change the classification and the export licence class of the product.  This can mean a change to the tariff code and an invalidation of the export licence.

The result?

An inability to export any of the product until a new export licence is obtained 
An increase in import duty and VAT
Delayed product launches
Unhappy customers

The solution?  Teamwork!


www.morley-consulting.co.uk