Customs Challenges | Automotive
The automotive sector represents a major industry in Europe that is continuously evolving and facing a variety of customs challenges. Automotive manufacturers source many of their raw materials and components from abroad. However, the import of these materials is subject to customs and trade restrictions, which can vary greatly.
For example, the U.S. has imposed additional tariffs on imports of raw materials such as steel and aluminum, certain automotive parts and products from China, Japan and the EU. This impacts the entire automotive supply chain and results in higher costs for carmakers and suppliers who are reliant on these raw materials and parts.
In order to encourage the electrification of the automotive industry, some countries grant tax concessions and breaks for the transport of electric vehicles and their components.
Since Brexit, customs regulations on trade between the UK and EU have also been significantly tightened. Automotive manufacturers and suppliers are now required to use customs declarations and provide additional documents in order to export or import their goods.