We export goods to South Korea and are approved as exporters by UK HMRC. This means we use the preferential trade statement on our commercial invoice for new exports of goods that qualify under the agreement. The misty area is when the goods come back for repair and have a chargeable cost, eg they have been repaired out of warranty.

We have a shipment now due to go back after repair. We imported the goods into the UK under the Inward Processing (IP) Duty Relief scheme (CPC 51-00-000) and there is a £12,000 repair cost that needs to be charged on the return invoice along with the market value of the goods when new. I have been told that because we will be exporting the goods under IP control (CPC 31-51-000) we cannot use the preference statement; however, we are being advised by our Korean customer to use the preference origin statement on our invoices for the added value as it is allowed. Is this correct?

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