The UK Trade Association ISTA warns against possible fraudulent use of the recently announced transitional agreement ahead of the entry into force of new steel trade measures, Kallanish reports.
The recently approved limited-period agreement allows goods contracted before March 14, 2026, or if they were imported into free circulation between July 1, 2026 and September 30, 2026, to be exempt from paying a new 50% duty outside the quota. Tonnage is not taken into account when calculating quotas for the first quarter under the new tariffs.
The ISTA says it has raised concerns about abuses of this measure in the Department of Business and Trade, while other trade associations have also supported these proposals. The associations are working to prevent abuse of these measures and identify and report any companies involved in attempts to falsify applications.
To take advantage of the exemption, importers must have verifiable evidence proving that the shipment was ordered before the expiration date.
This may include, but is not limited to:
· Written contracts (including sales contracts) · Invoices · Payment confirmation · Customs warehouse documents
The Tax and Customs Service of the Ministry of Finance of the United Kingdom (HMRC) may request evidence of compliance with the conditions to which they apply, including after the release of goods, and trading companies must preserve and provide such evidence upon request.
In order for goods to pass through customs in accordance with this transitional agreement, written contracts and signed ordinary documents for customs clearance must be provided.
Random customs clearance checks may also be carried out, and any violations will be fully investigated by HMRC, while DBT will also monitor incoming shipments.
The number of requests to review the proposed quotas from all steel-using sectors continues to grow due to concerns about accessibility and price implications.
Author: Carrie Bone
Kallanish.com
