New foreign trade regulations to be implemented in 2022 (Part 3)

13. Implementation of EU EPR (Extended Producer Responsibility)

Extended producer responsibility (EPR) is an environmental policy that requires producers to be responsible for the whole life cycle of the goods they launch in the market, that is, from the beginning of commodity design to the end of commodity life cycle (including waste collection and treatment). According to the regulations on the extension of producer responsibility, the responsible subject must reduce the impact of its goods on the environment in the whole commodity life cycle.

In order to fully implement EPR, the EU has established relevant directives for corresponding categories, and each country has also established national laws accordingly. It involves many product categories, such as WEEE registration for electronic and electrical categories, battery law for batteries, and packaging law for packaging.

According to Amazon's official announcement, from January 1, 2022, Amazon officials will review the EPR registration numbers of French and German sellers. Both self delivery and FBA will be affected. If they still fail to meet the requirements at that time, the products may be taken off the shelf, detained by customs, and even fined, with a maximum fine of 100000 euros.

14. Deferred implementation of French import VAT

The French tax authorities announced that from January 1, 2022, enterprises with a French value-added tax number can apply to the French tax authorities to use the reverse charging mechanism when importing goods. Simply put, when the goods enter the French customs, there is no need to pay import VAT at the time of customs clearance, but only need to declare, pay and deduct when submitting the VAT declaration form. The French VAT return will be adjusted to promote the application of the new measures.

This simplification will be mandatory and applicable to all enterprises that import from France and have a valid French value-added tax number, which will be implemented from January 1, 2022.

In fact, this policy is similar to the previous UK value-added tax deferral (PVA). At present, in the EU, only the French tax authorities require that reverse charges of import value-added tax be allowed.

15. Russia completely prohibits the export of logs

Russia will completely ban the export of conifers and valuable hardwood logs from Russia on January 1, 2022, and prepare a legislative and regulatory framework to set strict obstacles to the uncontrolled export of unprocessed wood. In addition, a preferential loan plan has been implemented since January 1, 2021 to promote the modernization of wood processing industry and the industrial upgrading of wood processing in Russia.

16. Korea issues requirements for new packaging materials for cosmetics

On July 9, 2021, the Ministry of environment of the Republic of Korea issued the guidelines on classified emission labeling, which will enter into force on January 1, 2022. The key points are as follows:

(1) Introduce "non recyclable" label; (2) Revised the text description of packaging materials on the recycling label; (3) Added new exemption from the "difficult to recycle" label.

As early as December 8, 2020, the Korean cosmetics association (KCa) and the Korean packaging recycling cooperative (kprc) launched the "reverse recycling plan for cosmetic containers", which can be exempted from the "difficult to recycle" label after approval.

17. Korea revises the general safety standard for children's products

On July 19, 2021, the Ministry of trade, industry and energy of the Republic of Korea (motie) issued Circular No. 2021-132, revising the requirements for phthalates in the general safety standard for children's products, adding diisobutyl phthalate (DiBP), and increasing the limited number of phthalates from 6 to 7. The amendment will enter into force on January 1, 2022.

The general safety standard for children's products applies to the accessible materials / components in products for children under the age of 13 under normal use, but does not include drugs, medical devices, cosmetics, food contact materials and products, and entertainment facilities and equipment.

18. Chittagong, Bangladesh, requires shippers to use electronic payment

Bangladesh has mandated the payment of any kind of duties, fees and charges related to import and export trade through Chittagong customs (CHC) by electronic payment. CHC said in a notice that it would no longer accept manual payment from January 1, 2022. And said that importers and exporters will be responsible for the delay in delivery of goods caused by the failure to make electronic payment.

Starting from July 1, 2021, Chittagong has mandated the use of electronic payment when the payment value exceeds US $2500, so as to provide faster services to Chittagong users. Mainly clearing and forwarding (C & F) agents make such payments on behalf of importers and exporters. Electronic payment systems are also designed to help prevent tax evasion by port customers.

From December 1, 2021, six top shipping agents - APL Bangladesh, Maersk Bangladesh, Continental traders BD Ltd, Continental traders, Ocean International Ltd and Mediterranean Shipping Bangladesh Co., Ltd. have been required to submit delivery orders online. In the absence of an electronic bill of lading system, the representative of C & F agent will personally pick up the bill of lading at the office of shipping agent or freight forwarder in order to pick up the imported goods.