My company has been trying to make sense of the recent government paper the “Future of Customs Arrangements” that outlines two ways the UK may trade with the remaining EU Member States after the UK leaves the EU, namely:
highly streamlined customs arrangements
a new customs partnership.
The first option seems difficult, but based on normal external trade arrangements with customs declarations, origin rules and payment of duties and taxes but the second option is confusing. We’d appreciate your comments on this option as it appears that the UK Government is considering a dual system for imports. One scheme for goods destined for the EU market and a different scheme of goods not destined for the EU market. For our business this would be impossible to put into practice as we buy components and raw materials in bulk for manufacturing into other goods without knowing at the point of arrival whether our customers are going to be in the EU or other markets. Are we reading this option correctly?