ports

French Customs Overhaul Prompts UK Shippers to Shift Incoterms Strategy

France's elimination of Regime 42 for non-EU traders has forced UK exporters to reassess their entry strategy into European markets following January 1 changes to the French Customs Procedure Code. Shippers using DDP terms now face mandatory French VAT registration rather than relying on fiscal representatives. This administrative burden prompted many to pivot toward DAP arrangements. Industry providers report clients are redesigning export structures to avoid competitive disadvantages as EU buyers explore alternative sourcing. Logistics operators are addressing the gap by offering compliant DAP solutions under Regime 42. Representatives now serve EU importers instead of UK exporters. Under Regime 40 DDP arrangements, a single French VAT registration enables access across EU markets. Companies avoiding direct VAT compliance responsibilities can leverage DAP structures instead.