The Bicycle Association has this morning published a complete overview of the post-Brexit rules and regulations alterations that it believes it has identified since the signing of the new UK-EU deal.
Penned by Technical Manager Peter Eland the summary covers:
- Product safety and standards
- UK participation in the development of such standards
- The UKCA Mark
- Rules of origin for zero tariffs on e-Bikes, bikes and P&A
- Claiming the zero tariff rate
A focal point of the past few days for many bike labels has been getting to grips with the rules of origin in order to trade on with zero tariffs. This morning UK bike producer Bird outlined that its business has “gone from a position of very easy trading to the EU, to one of uncertainty and complexity.”
The tariff codes that cover bikes, e-Bikes and many P&A items are now found under headings 8712, 8711 and 8714, respectively. The summary document of agreements reached between the UK, Northern Ireland and the European Union is now found here (pages 415 to 417 and page 467).
The aforementioned tariff codes will not cover all segments represented by the bicycle industry, for example clothing makers, those dealing in lubrication or other chemicals may need to look a little deeper.
With e-Bikes a particular focal point for the European bike business at the present time it is worth noting that the qualification for zero tariffs offers two routes. Eland summarised:
- If the e-bike is created within either the UK or EU entirely from items of a different tariff code (“CTH” in the language of the treaty)
- or if the value of the non-EU or UK-sourced parts used to assemble it makes up no more than 50% of the ex-works price (“MaxNOM 50%” in the language of the treaty)
For pedal powered bikes the value of the non-EU member state sourced parts used in assembly should make up no more than 45% if a zero tariff is to be applied.
In order to make a claim for the application of a zero tariff the BA recommends the company should first align with whatever requirements the freight forwarder or postal service promotes, but also make a claim here.
The Bicycle Association will provide its members with further guidance on post-Brexit rules and regulations upon request.