Customs Union: New Action Plan to further support EU customs in their vital role of protecting EU revenues, prosperity and security

2020-09-28

The European Commission has launched a new Customs Union Action Plan on 28 Sept. 2020 setting out a series of measures to make EU customs smarter, more innovative and more efficient over the next four years. The announced measures will strengthen the Customs Union as a cornerstone of the Single Market. They also confirm its major role in protecting EU revenues and the security, health and prosperity of EU citizens and businesses.

In her political guidelines, President von der Leyen announced that the Customs Union needed to be taken to the next level, in particular, by ensuring an integrated European approach to customs risk management, which supports effective controls by EU Member States. The Action Plan does just that.

Paolo Gentiloni, Commissioner for Economy, said: "The EU Customs Union was one of the first concrete achievements of European integration and for more than five decades it has helped to protect Europeans and keep trade flowing across our borders – which are only as strong as their weakest link. Today, new challenges mean that we need to make our customs rules smarter and ensure they work better for Member States, citizens and legitimate businesses. This calls for improved use of data, better tools and equipment, and more cooperation within the EU and with customs authorities of partner countries. It also requires better foresight, so that EU customs can face the future with confidence. Today, we set out how we will take our Customs Union to the next level.”

The Action Plan includes a number of initiatives in areas such as risk management, managing e-commerce, the promotion of compliance and customs authorities acting as one:

* Risk management: the Action Plan focuses in particular on ensuring greater availability and use of data and data analysis for customs purposes. It calls for intelligent, risk-based supervision of supply chains and for establishing a new analytics hub within the Commission for collecting, analysing and sharing customs data that can inform critical decisions, help customs authorities identify weak points at the EU's external borders and manage future crises.

* Managing e-commerce: in this regard, and in order to tackle the new challenges of e-commerce, obligations on payment service providers and online sales platforms will be strengthened to help fight customs duty and tax fraud in e-commerce.
* Promotion of compliance: the upcoming ‘Single Window' initiative will make it easier for legitimate businesses to complete their border formalities in one single portal. It will allow for more collaborative processing, sharing and exchange of information and better risk assessment for customs authorities.

Customs authorities acting as one: the Action Plan details the roll-out of modern and reliable customs equipment under the next EU budget. A new reflection group formed of Member States and business representatives will be set up to help prepare for future crises and challenges such as unanticipated global developments and future business models.

Source: European Commission