Post‑Brexit China→UK Imports: EORI, Import VAT, and Customs Clearance

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Who This Guide Is For

  • UK businesses and marketplaces importing from China (B2B/B2C).
  • Non‑UK sellers shipping to UK customers or Amazon FBA.

Key Concepts After Brexit

GB EORI

  • Most UK importers need a GB EORI for customs declarations.

CDS (Customs Declaration Service)

  • All UK import entries are made via CDS (CHIEF retired). Work with a broker or get CDS access.

Import VAT

  • Charged on customs value + duty + certain fees. Many businesses use Postponed VAT Accounting (PVA) to reclaim on VAT return.

Duty (UK Global Tariff)

  • Check commodity codes and duty rates on the UK Trade Tariff tool.

£135 B2C Rule

  • Goods ≤ £135 sold to UK consumers: VAT is generally collected at point of sale by the seller/marketplace (not at the border).

Northern Ireland

  • Different rules may apply (XI EORI; alignment with some EU processes). Confirm if shipping to NI.

Step‑by‑Step: China → UK Import Process

  1. Get GB EORI; set up VAT (and PVA if applicable).
  2. Classify goods (HS code), determine duty and any licensing/standards.
  3. Choose Incoterm (DAP, DDP, or FOB for sea). Align who files customs and pays VAT/duty.
  4. Book freight; prepare invoice, packing list, origin proof (if relevant), and product compliance docs.
  5. File UK import declaration via CDS (through your broker/forwarder).
  6. Pay duty/VAT or account via PVA; release goods and arrange final delivery.
  7. Keep records for audits (6+ years recommended).

VAT & Duty — How They’re Calculated (Example)

Example

  • Customs value (CIF basis) = £10,000; Duty rate = 5%
  • Duty = £500; Import VAT (20%) = 20% × (£10,000 + £500) = £2,100
  • If using PVA, you defer paying VAT at border and account for it on your VAT return.

Required Documents

  • Commercial invoice, packing list, HS codes, Incoterm, consignee/EORI, transport document (B/L or AWB), certificates if regulated (e.g., product safety), any licenses.
  • For batteries/DG: UN38.3/SDS and DG declaration as required.

DAP vs DDP vs FOB for the UK

DAP

  • Seller delivers to UK address; buyer handles customs/VAT/duty. Good when buyer has GB EORI and PVA.

DDP

  • Seller handles customs and pays duty/VAT. Requires compliant IOR and UK VAT arrangements; risky for restricted goods or without proper IOR.

FOB

  • Buyer controls main carriage and UK brokerage; often preferred by experienced importers.

Compliance Notes for the UK

  • Product compliance and marking (CE/UKCA) per current UK guidance; sector‑specific rules apply.
  • Packaging/WEEE/battery producer obligations may apply depending on volumes and goods.
  • Safety & security and SPS checks apply as relevant; coordinate with your broker.

Marketplace and FBA Considerations

  • Marketplaces may collect VAT for ≤ £135 consignments.
  • For FBA UK: you typically need GB EORI and UK VAT registration when acting as importer; coordinate DAP/DDP carefully with your forwarder.

FAQs

Do I need a GB EORI for every shipment?

Businesses importing into GB typically need a GB EORI; marketplaces handling ≤ £135 VAT do not remove the need for EORI on standard imports.

What is PVA and should I use it?

Postponed VAT Accounting lets VAT‑registered businesses account for import VAT on their VAT return instead of paying at the border—improves cash flow.

Can I use DDP to the UK?

Yes, but only with a compliant IOR and VAT treatment; confirm responsibilities and avoid undervaluation or misuse of IDs.

Is IOSS applicable in the UK?

No. IOSS is an EU scheme. The UK has its own £135 VAT rules.

Sources