Back in January, the UK entered a Brexit transition period that will last until 31 December 2020 under the current withdrawal agreement. The UK is expected to leave the European Single Market and the EU Customs Union as of 01 January 2021. Although negotiations are ongoing, starting on 01 January 2021, there is expected to be a customs border in place between the UK and EU. At that time, there is expected to be an impact on businesses operating across the UK and EU border.
As a result of Brexit, Amazon has announced that it will make changes to some of its programs involving sales that cross the UK-EU customs border. Please note that the information on this blog comes from Amazon, and Amazon may change any of its programs at any time, with or without notice.
With the end of the year fast approaching, here are some key Amazon FBA deadlines to be aware of to help you take action to prepare for the changes Amazon is planning due to Brexit.
Key Amazon FBA Brexit Dates
Saturday, 14 November:
Beginning in mid-November, Amazon inventory removal orders for cross-border inventory will stop. This means that removing inventory from UK fulfilment centres to EU addresses and from EU fulfilment centres to UK addresses will cease. Amazon will process any removal orders created before this date until 31 December 2020. Amazon will continue to accept local removal requests as usual (i.e., within the UK or within the EU region).
Friday, 18 December:
Amazon will stop Pan-European FBA inventory transfers between the UK and the EU. From this point forward, you will need to send inventory to fulfilment centres in the UK and the EU in order to maintain your stock levels. Amazon will continue to use Pan-European FBA inventory already placed in the EU before 18 December to fulfil EU orders and Pan-European FBA inventory in the UK will continue to fulfil UK orders. Amazon will continue Pan-European FBA inventory transfers as usual within the EU region.
Monday, 21 December:
Amazon will start winding down Cross-Border Fulfilment via European Fulfilment Network (EFN) and Pan-European FBA. Starting in late December, cross-border fulfilment via EFN and Pan-European FBA will wind down before the end of the year in order to give Amazon logistics time to fulfil any final orders. Amazon has stated that over the week starting the 21 December, you will see a dramatic slow down in cross-border sales, and these sales will stop in full on Monday the 28th of December. To maintain your European sales, you will need to send products to fulfilment centres in the UK and the EU.
Implications for MFN
Amazon has confirmed that seller-fulfilled orders (where a seller is using a third-party carrier) can continue to be fulfilled across the UK-EU border. You should confirm with your carrier how they intend to support you in moving goods across the border as of 01 January 2021. As the seller, it will be your responsibility to ensure all duties and tariffs are paid prior to delivery to the customer.
Is There an Impact for Sellers Outside of the UK or EU?
Amazon has indicated that minimal disruption is expected from goods sent directly to the UK or EU from outside of Europe (such as in the U.S. or China) into an Amazon Fulfilment Centre as the goods will have already crossed a customs border.
Making yourself aware of these deadlines and planning for this change is important to a smooth transition. Subscribe to our blog so you can get more Brexit updates, and other e-commerce news, directly to your inbox.
We’ll be rolling out updates to our platform for ChannelAdvisor customers in response to these Amazon changes. Additional communications about these updates will be coming soon.
This information was accurate at the time of publishing from Amazon’s Brexit Help Page.