Outward Processing
Customs proceduresArt. 259-262 – Regulation (EU) No 952/2013 (UCC)
PL: Uszlachetnianie Bierne | DE: Passive Veredelung
Definition
Outward processing is a customs procedure allowing temporary export of Union goods outside the EU customs territory for processing operations (manufacturing, repair, assembly) and subsequent re-import of compensating products with total or partial relief from customs duties. The procedure is regulated in Art. 259-262 UCC.
Upon re-import, duty is charged only on the value added through processing (processing costs), not on the full value of the compensating product. If processing consisted of free (warranty) repair, goods can be re-imported with total duty relief.
Outward processing requires authorisation from customs authorities. The authorisation specifies: the type of processing operations, deadline for re-import, method of identifying exported goods in compensating products, and the method of calculating partial duty relief. The procedure is popular in industries such as: textile (contract sewing), electronics (equipment repair), and automotive (component repair).
Upon re-import, duty is charged only on the value added through processing (processing costs), not on the full value of the compensating product. If processing consisted of free (warranty) repair, goods can be re-imported with total duty relief.
Outward processing requires authorisation from customs authorities. The authorisation specifies: the type of processing operations, deadline for re-import, method of identifying exported goods in compensating products, and the method of calculating partial duty relief. The procedure is popular in industries such as: textile (contract sewing), electronics (equipment repair), and automotive (component repair).