Aspects of Free Trade in Europe

Inhaltsverzeichnis

1 ATA carnet

2 TIR Carnet

3 The Hague Convention 1955

4 CISG- The United Nations Convention On Contracts For The International Sales Of Goods

5 The „Cassis de Dijon“ Principle

6 Bibliography

1 ATA carnet

What is ATA carnet?

ATA carnet means translated "temporary admission”¹. It is an international customs document which allows duty- free and tax- free temporary import of goods for up to one year.²

It was founded in 1961 by the Customs Cooperation Council (CCC) - the forerunner of the World Customs Organization (WCO).

The "Customs Convention on the ATA Carnet for the Temporary Admission of Goods” replaced the former conventions concerning three main products:

ƒCommercial samples

The GATT International Convention to facilitate the importation of commercial samples and advertising material (Geneva 1952)

ƒProfessional equipment

The CCC's Customs Convention on the temporary importation of professional equipment (Brussels 1961)

ƒGoods for presentation or use at trade fairs, shows, exhibitions or similar events The CCC Customs Convention concerning facilities for the importation of goods for display or use at exhibitions, fairs, meetings or similar events (Brussels 1961). All this Conventions have been replaced by one, the WCO Istanbul Convention. But anyway, ATA Carnets do NOT cover perishable or consumable items or goods for processing or repair.

How does it work?

The chamber of commerce which releases the ATA Carnet to the businesses of their country functions as a guarantor to the other country in which the product is imported. In this way, the other country can be sure to get the money in case an ATA Carnet is not valid or if the valid time is overstepped.

Businesses can get the double forms of ATA Carnet from the chamber of commerce and industry and the application of these forms have to be doubled returned after be filled. One exemplar is then delivered to the inland customs duty office. When the goods are exported, both, the goods and the transfer forms, of the ATA Carnet have to be shown at the customs office. The staff can then set a shorter re- export time than the ATA carnet is valid. If this is not considered, the tax and duty can be claimed³.

How much does it cost?

It depends on the country of destination, the value of the goods, the number of countries to be visited, plus any additional costs for security, insurance or other services.

Who can use it?

Every kind and size of businesses. Large companies, small companies, individuals on the move. The largest group is representatives with valuable samples and people with professional equipment.

Which states accept ATA Carnet⁴ ?

illustration not visible in this excerpt

Table 1: Countries who accept ATA Carnet

Countries in grey are part of the European Union (EU).

Countries in dark grey have joined the ATA Carnet System in 2004.

** The ATA Carnet continues to be accepted in Hong Kong despite the change in sovereignty.

*** Visits to Taiwan require a separate Carnet known as TECRO.

The ATA Carnet is used nowadays by many companies due to the free- trade principle. It applies to the need to support trade within EU member countries.

2 TIR Carnet

“Transport International Routiers” or “International Road Transport”⁵.

The TIR Carnet was invented to decrease the customer involvement for transportation goods across one or more borders of different countries. The TIR Carnet is based on the “TIR Übereinkommen 1975” with 65 parties to the contract including the members of The EU⁶.

The advantages are:

ƒ- no taxes or custom duties in the countries which are crossed ƒ
- no unloading/ reloading at the borders

In order to peak the customers safety and, at the same time, make the minimum involvement sure for the customers, the TIR convention is based on five pillars.

ƒ- The TIR form should follow the goods. This ensures that there is a maximum of customer control in the country of departure, transit and destination.
ƒ- For transportation safe vehicles or containers are required
ƒ- During the journey, duties and risks must be covered by internationally valid guarantee administered through national guarantee associations. At present only 54 countries have these associations so that only 54 of 65 contract parties can take part⁷.
ƒ- Accepted custom control methods by all, the departing country, the transit country and the destination country

- ƒAccess to the TIR procedure:
- “National associations to issue TIR Carnets”⁸
- Natural and legal persons who are allowed to use TIR Carnet are checked beforehand (controlled access) by proving experience or the capability to engage in regular transportation, sound financial standing and approved knowledge in the application of TIR Carnet
- No serious or repeated breach against tax or Customs legislation by this natural and legal persons
- Written declaration of the approval to the Customs formalities required under the Convention, payment to the component authorities if requested and admit the guarantee association to verify the data of the conditions and requirements

The TIR Carnet for goods transported within the European Community (EC) can be used for goods which transportation

ƒ- starts and ends in a non-EC-country
ƒ- are designated for a member of the EC and transported through a third country or for
- Divided deliveries for EC AND non- EC- members.

This is only valid as long as the maximum number of both, department and destinations, are not more than three. TIR Carnets are not valid for deliveries which not leave the EC at all because these are free of these prescriptions.

One TIR Carnet is valid for one complete journey which is closed by the final date of validity. It is also forbidden to transport alcohol and derived products except for beer and wine, tobacco and derived products despite of raw tobacco and some country- specific high- risk goods within the TIR Carnet. These high- risk goods are not allowed to be transported in the EU while using the TIR Carnet. Therefore, the TIR Carnet for these goods ends when they leave the non- EU countries towards an EU- country.

The TIR Carnet is not a substitute for the required export or import documents and the way of journey must contain minimum one time a transport on the road.

[...]

¹ http://www.icc-deutschland.de/icc/frame/2.4.2.99.11body.html 10.11.2004

² http://www.iccwbo.org/ata/en/whatis.asp 10.11.2004 17.12.2004 Page 1

³ http://www.nordschwarzwald.ihk24.de/PFIHK24/PFIHK24/produktmarken/ index.jsp?url=http%3A//www.nordschwarzwald.ihk24.de/PFIHK24/PFIHK24/produktmarken/international/ex port/einstiegex/exportdrittlaender/CarnetsA.T.AundUrsprungszeugnisse/index.jsp 10.11.2004 17.12.2004 Page 2

⁴ http://www.atacarnet.com/ata-carnet-countries.htm 10.11.2004 17.12.2004 Page 3

⁵ http://www.hmce.gov.uk/channelsPortalWebApp/channelsPortalWebApp.portal?nfpb=true& pageLabel=pageHomeShowContent&id=HMCECL000261&propertyType=document, 10.12.2004

⁶ http://www.zoll-d.de/b0zollundsteuern/a0zoelle/i1versandverfahren/c0carnettir/, 10.12.2004

⁷ http://www.zoll-d.de/b0zollundsteuern/a0zoelle/i1versandverfahren/c0carnettir/, 10.12.2004 17.12.2004 Page 4

⁸ http://www.hmce.gov.uk/channelsPortalWebApp/channelsPortalWebApp.portal?nfpb=true& pageLabel=pageHomeShowContent&id=HMCECL000261&propertyType=document, 10.12.2004 17.12.2004 Page 5