Summary
On February 1, 2025, the Transitional Trade Agreement (ITA) between the European Union and the Republic of Chile will come into force, replacing the existing Association Agreement. This new agreement introduces more liberal rules on the preferential origin of goods, significantly impacting documentation requirements for trade between the EU and Chile.
1. Introduction to the ITA
The Transitional Trade Agreement (ITA) was announced in the official website of the EU commission, and will take effect on February 1, 2025. This agreement aims to simplify and modernize trade rules, benefiting importers and exporters operating between the EU and Chile.
Key business advantages include:
2. New Rules on Preferential Origin of Goods
The ITA introduces updated origin rules outlined in Chapter 3 of the Agreement. These align with recent FTAs such as those with the UK, Japan, and New Zealand. The preferential origin of goods will now follow simplified criteria, benefiting companies involved in EU-Chile trade.
3. Changes in Documentation Requirements
One of the most significant changes in the ITA is the shift in documentation requirements for proving the preferential origin of products. The current EUR.1 certificates and invoice declarations will no longer be valid. Instead, businesses must use:
The origin statement template texts will be available in multiple languages. However, it is recommended to use the English version.
4. Key Changes Effective February 1, 2025
5. New Document Codes for Proof of Origin
In connection with the ITAโs entry into force, three new document codes will be introduced on February 1, 2025:
These new codes will be used for customs clearance and trade declarations under the ITA framework.
6. Legal Basis & Next Steps for Businesses
The changes introduced by the ITA are legally based on:
What should businesses do now?
Contact Gerlach to get support
We understand that adapting to these new trade regulations may present challenges, and we are committed to helping you navigate the transition smoothly. Our team is actively working on strategies to ensure compliance with the new ITA requirements, so your import and export operations remain uninterrupted.
If you have any questions regarding New origin documentation (U123, U124, U125), The transition from EUR.1 certificates to Origin Statements, Registering for REX status and Customs procedures under the new agreement, our expert customs consultants are here to support you! We are dedicated to making this transition as seamless as possible for your business.
Get in touch with us todayโour team is always available to assist you!
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