Further to the TSS Special Bulletin issued on 12 February 2024 and the recently published guidance on GOV.UK regarding Proof of Union Status we are providing additional clarity:
If goods are moved from NI into a non-Union country (including GB), they lose their Union (EU) status unless the goods are placed under the internal (T2) transit procedure. Use of the internal T2 transit procedure provides proof that the goods have Union status and no other type of proof will be required. There is no change for movements moving under the T2 transit procedure.
The Proof of Union Status (PoUS) system simply digitalises an existing process. T2L/T2LF requests can now be presented electronically, replacing the need for paper documents. As per existing processes, where goods are not moving under the T2 Transit process, and are moving, for example, from NI to the EU through non-EU waters, T2L/T2LF documents are used to prove Union status, which removes the need to declare goods.
This benefit is granted to NI businesses under the Windsor Framework, which allows goods produced in NI to be classed as Union Goods. The Union Goods classification is a customs term of art. It does not relate to the origin of the goods, or mean they are considered to have been produced in the EU customs territory, only that they have the right to circulate freely in the EU single market. Indeed, goods that originate outside of the EU and the UK can receive this designation. This is a unique benefit available to NI traders even though NI is part of the UK customs territory.
Proving Union status when moving goods into the EU removes the need for further customs processes or duties and is a benefit available to NI traders. Where the T2 transit procedure is used, no additional information is required to prove Union status. Where a T2L/T2LF is used, this would now need to be presented via the PoUS system. The alternative would be that NI firms would be required to undertake new (and unnecessary) burdens when moving goods through GB to the EU (if T2 transit is not used) or arriving at French ports directly (if a T2L is not used), removing the benefits afforded to them, and discouraging movements through GB or indeed to trade broadly across the EU.
Proving Union status is optional. Traders can continue to use existing alternative processes to move goods if they wish. Additionally, goods moving by land between Northern Ireland and Ireland do not require Proof of Union status.