UK Trade Tariff: duty suspensions and autonomous tariff quotas

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How we assessedwill assess applications for new suspensions in 2023

2024

Applications submittedneed as part of this process needed to meet both of the following criteria:

• the product a suspension is being sought on should not be traded between persons who are related parties (defined in in Regulation 8(4) of the Customs Tariff (Suspension of Import Duty Rates) (EU Exit) Regulations 2020) in in circumstances which would not enable other United Kingdom businesses to benefit from the suspensionsuspension.
• the same product (falling under the same commodity code) or similar products, should not be produced in the the UK or or Crown Dependencies, not produced in sufficient quantities, or production should be temporarily insufficient.

Products (Products other than raw products are taken to be produced in the the UK or a or a Crown Dependency if if they are partly or wholly manufactured in the the UK or a or a Crown Dependency. Simple assembly operations, repacking products, or preparing products for shipment or transportation would not normally be considered production processes) processes.

WeApplications stronglymust recommendedmeet you ensured your application met these criteria. If these criteria wereare not met, your application mightwill notbe have been considered.rejected.

Tariff suspensions are designed to help help UK and  and Crown Dependency businesses businesses remain competitive in the global marketplace. They do this by suspending, either in whole or in part, part, UK Global Global Tariff import duties on certain goods, normally those used as inputs into domestic production processes.

When assessing applications, the government alsowill tooktake into account relevant considerations. These included:will include:

• international arrangements to which the UK isthe UK is a party (for example free trade agreements)
• factors such as:
  • the interests of consumers in the United Kingdom; Kingdom
  • the interests of producers in the United Kingdom of the goods concerned; concerned
  • the desirability of maintaining and promoting the external trade of the United Kingdom; Kingdom
  • the desirability of maintaining and promoting productivity in the United Kingdom; Kingdom
  • the extent to which the goods concerned are subject to competition
• how other government policies may be affected by the proposed duty suspension (such as trade remedies)
• any circumvention risks due to tariff reclassification.reclassification

CurrentOutcome of the 2023 duty suspensionssuspension window

FindThe thegovernment currentinvited applications for duty suspensions between 12 June and quotas6 usingAugust the Trade2023. TariffA lookuptotal tool.of 245 applications were received.

DutyThe suspensionsfull forlist of all products and HS commodity code classifications on which previouslysuspensions existedwere inconsidered theis UKaccessible underbelow:

• Notice the EU suspensionsof UK duty regimesuspensions: have2023 beenapplication carriedwindow (ODS, over28.0 intoKB)

The thegovernment UK’shas independentnow regime.carefully Theyconsidered havethe beenoutcome retained,of providedthese theyapplications cameand intowould forcelike before,to orthank asapplicants partfor of,their the EU’sparticipation. JulyThe 2020list updateof tosuspensions ensurethat continuitythe forgovernment UKhas businesses.implemented is accessible below:

All

• List currentof dutyaccepted 2023 suspensions rolledapplications (ODT, 134 overKB)

The fromsuspensions the EU regime,took including EU ATQs changedeffect toon duty11 suspensions,April are2024. They extendedwill be in place until 3130 DecemberJune 2028.2026, with a review on possible extension occurring before this date. Further details on this review will be announced in due course.

All applicants have been individually updated directly on the outcome of their applications.

Outcome of the 2021 duty suspension window

The government invited applications for duty suspensions between 1 June and 31 July 2021. As a result, over 100 measures were implemented on 1 January 2023.

• List of business suspensions resulting from the 2021 application window (ODT, (ODT,65.3 55.1 KB).KB)

The governmentmajority willof review these suspensionsmeasures aheadare ofin theirforce expiryuntil on31 December 312024. 2024. The Moregovernment detailsis oncurrently thisinviting reviewobjections willfrom bethe announcedpublic inon dueextending course.these measures until June 2026.

• 2021 Suspensions extension form

Coronavirus (COVID-19) critical products

The UK government implemented tariff suspensions on a number of medical items critical in the response to COVID-19 on 1 January 2021. Three suspensions were expired for goods where there have been no imports under the suspensions (5603 91 10, 2905 44 11 00 and 2905 44 99 00). This was based on HMRC raw customs data for the period January 2021 to August 2022.

In an effort to provide continuity for businesses and ease pressures on the NHS, these suspensions are now extended until 31 December 2028.

• List of tariff suspensions on medical and pharmaceutical goods (ODT, 50.7 KB)

Sunflower-seed oil

The UK government will implement a tariff suspension on sunflower-seed oil on 1 January 2023 in response to supply chain disruption. This measure will take effect until 31 December 2024.

Current ATQs

The UK currently has 6 existing ATQs:

• 5 ATQs for fish products
• 1 ATQ for raw cane sugar

Read more detail on these products:

• List of autonomous tariff quotas (ODT, 29.6 KB)

ATQs for fish products

4 ATQs  for fish products will continue at current volume levels until 31 December 2024. These will be reviewed ahead of that date.

ATQ order number 05.2794 is set at 6,500 tonnes for 2023.

ATQ for raw cane sugar

The UK implemented an Autonomous Tariff Quota (ATQ) on raw cane sugar on 1 January 2021 following its departure from the EU. Following a subsequent review of all UK ATQs in 2021, we maintained the volume level of this ATQ at 260,000 tonnes.

Consideration of the raw cane sugar ATQ volume for 2023

In the context of recent domestic supply challenges and significant increases in sugar prices, we reached out to a range of stakeholders in autumn 2023 and welcomed information from any interested stakeholders via contact details provided on GOV.UK.GOV.UK. We wanted to understand any issues in the UK sugar market and to consider potential mitigations that the government could take in 2023.

We received 8 responses in total, providing information from a range of stakeholders who we know have an interest in this area, including representatives from the industry and from those representing consumer and retail interests.

Whilst the responses received reflected the different interests of stakeholders, there were some common themes. These are summarised as:

• the relatively poor UK and European sugar beet harvests in 2022 led to increased imports of raw cane sugar in 20232023. -Currently, currently, the harvest outlook for the 2023 to 2024 season is more positive

• world sugar prices are high which is pushing up prices in the UK and the EU. -The the relatively smaller 2022 harvest in the UK and the EU, which has resulted in higher-than-normal imports to meet demand, has caused the European price to rise even above the world price level. Some stakeholders also noted the impact of tariff policy on prices

Overall, there were varying views on the proposed government options for action in this area in 2023. There was no consensus on the preferred approach. Some stakeholders were in favour of providing greater access for tariff-free sources of sugar, and some were in favour of an uplift to the ATQ. Some were in favour of both. Others were opposed to any change and cited concerns about the impact on domestic production, other producers (for example, in developing countries) or standards. There was also no consensus on the impact any such change would have on consumer prices.

In coming to a decision, the government took into account the stakeholder views received as part of this process. We also drew on our internal analysis including consideration of a range of factors, including potential impacts on consumers, producers and the UK’sUK’s wider strategic trade objectives.

On the basis of these considerations, the government has decided to maintain the current sugar ATQ for 2023 at the existing level of 260,000 tonnes for the remainder of 2023.

Consultation on the ATQ for raw cane sugar and related considerations

Following our commitment in 2021 to review the ATQ volume by the end of 2024, the government has launched a public consultation on the autonomous tariff quota (ATQ) for raw cane sugar and related considerations.

UK Global Tariff

Find more guidance on tariffs on goods imported into the UK. This page also sets out how you can provide feedback on the tariff.

Contact us

For queries about tariff suspensions or ATQs, contact tariffsuspensions@businessandtrade.gov.uk.