January 19, 2026
Customs codes and processes
Laws, legislations, tariffs and rules
2026 is going to be a turning point for international trade compliance. A wave of customs changes, driven by e-commerce growth, regulatory pressure and digital reform will significantly alter how goods move between the UK, EU and the rest of the world. For importers and exporters, these UK customs updates are not proposed future plans, but operational changes that will impact costs, timelines and compliance costs.
Below is a breakdown of the most important UK customs changes and EU reforms coming into force in 2026, and what they mean in practice for global supply chains.
EU Low-Value Parcel Duties
An upcoming customs change affecting EU-bound trade is the introduction of a €3 customs duty on low-value e-commerce parcels, effective from 1 July 2026.
Originally scheduled for 2027, the EU has accelerated action in response to a burst in low-value imports. In 2024 alone, 4.6 billion parcels entered the EU, with over 90% originating from China. Many of these shipments currently benefit from the “de minimis” exemption, allowing goods valued under €150 to enter duty free.
Under these customs changes:
- A €3 duty will apply per product type, based on six-digit tariff codes.
- The duty applies to parcels currently entering the EU duty-free under the €150 “de minimis” threshold
- The measure is temporary, remaining in place until a permanent solution removes the exemption entirely
For businesses reliant on high-volume, low-margin e-commerce, this change introduces a clear and unavoidable customs cost that must be factored into pricing and fulfilment strategies.
Customs Reform in Motion
Beyond the duty change, broader customs changes are unfolding across the EU and UK, with 2026 acting as a transitional year.
France Ends Regime 42 for Non-EU Businesses
From 1 January 2026, France no longer allows non-EU businesses to use Customs Procedure 4200 (Regime 42). This removes the ability to defer import VAT when goods enter via France.
The impact is immediate:
- Import VAT is payable at the point of entry
- VAT planning models should be revisited
- Supply chain routing through France may need restructuring
Companies affected by these customs changes should reassess VAT exposure, contractual terms and entry points into the EU.
New EU Commodity Codes & Digital Customs Infrastructure
The EU will also introduce updated Combined Nomenclature codes in 2026, particularly affecting sectors such as: lithium-ion battery materials, artificial graphite, and wind turbine components.
At the same time, the EU continues its push towards a centralised, digital customs environment, with early elements of a single EU-wide data hub expected before the full 2028 rollout. Accurate classification, structured data and digital documentation will no longer be optional.
UK & EU Customs Divergence and Complexity
Despite ongoing trade links, UK customs changes and EU reforms continue to diverge, creating complexity for businesses operating across both jurisdictions.
NCTS 6 and Transit Security
The rollout of NCTS Phase 6 introduces Transit Security Overlapping Documents (TSADs), embedding safety and security data directly into transit declarations.
For UK-linked movements:
- Transit software must be validated against new EU specifications
- Businesses moving goods through EU transit countries must understand how TSADs are handled beyond the UK border
- Bonded warehouses must ensure transit messaging aligns with GVMS and stock records
These customs changes request closer coordination between logistics providers, software systems and warehouse operators.
UK CBAM: Preparing for Carbon-Based Controls
The UK’s Carbon Border Adjustment Mechanism (CBAM) takes effect from 1 January 2027, but preparation must begin well before.
Under these upcoming UK customs changes, Importers will need to:
- Identify CBAM-relevant commodity codes
- Collect and manage embedded emissions data
- Prepare for operating alongside the EU’s CBAM regime
Dual reporting obligations are a real possibility for businesses trading across both markets.
EMCS 4.2 and Excise Controls
From 12 February 2026, EMCS will move to Phase 4.2. While largely technical, this update is critical for warehouse keepers handling excise goods.
It’s an opportunity to:
- Validate systems and message formats
- Review data quality and reference data
- Ensure warehouse processes align with EMCS messaging
Small system mismatches can undermine otherwise compliant customs declarations.
Vaping Products Duty
From 1 October 2026, the UK introduces a comprehensive Vaping Products Duty (VPD) regime:
- £2.20 per 10ml excise duty
- Mandatory duty stamps with digital traceability
- Tight controls across manufacturers, importers, warehouse keepers and retailers
Unstamped products will become illegal to sell from April 2027, with penalties ranging from stock seizure to criminal prosecution.
Digital Customs and Data
One of the most significant customs changes taking shape in 2026 is the shift from document-led compliance to data-driven border control. Both the UK and EU are redesigning customs systems to assess risk earlier and automate decisions.
ICS2 and Pre-Arrival Data Expansion
The EU’s Import Control System 2 (ICS2) continues to expand, bringing maritime, road and rail movements under stricter pre-arrival data requirements.
What this means:
- More detailed product descriptions are mandatory
- Data must be submitted earlier in the supply chain
- Errors are more likely to trigger delays or intervention
2026 will be a pivotal year as these controls become standard practice.
UK Modernisation and Rules of Origin
On the UK side, work continues on:
- Updated Pan-Euro rules of origin, offering greater flexibility for complex supply chains
- HMRC digital modernisation, improving case management, data tools and online submissions
Clear, structured data, system integration and proactive compliance will define successful cross-border trade.
The customs landscape in 2026 will be more digital, more regulated and less forgiving. Whether it’s EU parcel duties, UK excise controls or expanding data requirements, the cost of inaction is rising fast.
For importers and exporters, these customs changes show that now is the time to review classifications, valuations and VAT models, stress-test systems against new data requirements, and reassess supply chain routes and compliance responsibilities. The businesses that adapt early won’t just stay compliant; they’ll move faster, with fewer disruptions, in a far more complex global trade environment.
We understand that customs clearance can be a complex process, but we’re here to make it easier for you. Whether you’re shipping goods internationally or dealing with import/export requirements, our team is fully equipped to handle all your customs clearance needs!