The European Union and China signed a Joint Statement on mutual recognition of Trusted Traders. This means that China will accept the European Authorized Economic Operator (AEO) as Trusted Trader. Trusted Traders both from the EU and from China shall enjoy lower costs, simplfied customs procedures and greater predictibility in their economic activities. This means that European trading companies exporting to China shall qualify for the status as AEO as soon as possible. Companies not being an AEO may face administrative hurdles when exporting to China in the future. The same may apply for exports to the USA or Japan. Agreement with both countries have been signed by the EU already.
More Information on a statement of the European Commission.
Author: Peter Scheller, German Tax Adviser – Master of International Taxation, www.scheller-international. com; Susanne Zazcek, German customs specialist, www.zoll-service-kiel.de