Claim preferential origin under a UK trade agreement

1. Identify the FTA in force for the country of origin

   Use the UK Trade Tariff to look up your commodity code and the goods' country of origin. The Tariff shows the default UK Global Tariff (UKGT) rate alongside any preferential rates available under FTAs. If a preferential rate is shown for the country of origin, an FTA is in force. Common FTAs for GB importers include the UK-EU TCA (EU member states), the CPTPP, the UK-Japan CEPA, UK-Australia, UK-New Zealand, UK-South Korea, and the EEA EFTA agreement. Note that country of origin is not the same as country of dispatch: goods shipped from a hub country (for example the Netherlands) may have a different origin (for example China), in which case the EU TCA does not apply.

2. Determine the product-specific rule of origin

   Each FTA contains an annex of product-specific rules (PSRs) setting out what processing or transformation must take place in the FTA partner country for the goods to qualify as originating. PSRs are organised by HS chapter and heading, so you need your commodity code first. Typical PSRs require the goods to be wholly obtained (such as minerals extracted in the partner country), or to undergo a change of tariff heading, or to meet a value-added threshold (for example, no more than 50 per cent non-originating materials by ex-works price). Check whether cumulation rules apply: under the TCA, EU and UK content can be cumulated, but inputs from outside the UK or EU must satisfy the PSR through processing. Do not assume the goods are wholly obtained without checking the PSR — a processed product almost never is.

3. Obtain valid proof of origin

   An importer claim must be supported by one of two proofs: a <strong>statement on origin</strong> made out by the exporter, or <strong>importer's knowledge</strong>. A statement on origin under the TCA is a prescribed-text declaration on a commercial document (invoice, delivery note, or other) signed or referenced by the exporter. For EU exports to GB the exporter must be registered in the REX system if the consignment value exceeds €6,000. A TCA statement on origin can cover a single shipment or multiple shipments over a period of up to 12 months and remains valid for 12 months from the date of issue. Importer's knowledge means you, the importer, hold documentary evidence (production records, supplier declarations, bills of materials) sufficient to prove the PSR is met. CPTPP and other FTAs use different formats and rules — for example a self-certified origin declaration with a defined data set. Check the relevant FTA's origin protocol before relying on a particular proof.

4. Enter the preference code on your CDS declaration

   On your Customs Declaration Service (CDS) import declaration, enter the appropriate preference code in Data Element 4/17 and the correct origin country code in Data Element 5/15. For TCA preference, the preference code is "300" combined with the EU country of origin. For other FTAs, consult HMRC's CDS Volume 3 declaration completion guide for the correct code. Hold the proof of origin at the time of declaration: a claim made without holding the proof is invalid even if a proof is later obtained. If you use a customs intermediary, brief them on the preference claim and provide them with the proof reference. Under indirect representation the intermediary is jointly and severally liable for any incorrect claim.

5. Retain origin evidence for the applicable retention period

   HMRC guidance requires TCA importers to keep origin evidence for four years from the date of importation. Other trade agreements and customs record-keeping rules can require longer retention; check the applicable agreement and the notice under regulation 3 of SI 2019/113. For preference claims the records include the proof of origin (statement, REX reference, or importer's-knowledge evidence file), the commercial invoice, transport documents, and any supplier declarations or production records that underpin the claim. HMRC may request these on a post-clearance audit and will recover duty plus interest, and may apply civil penalties, if the claim cannot be substantiated. If you relied on importer's knowledge, your evidence file must be capable of proving the PSR is met without reference to the exporter.

6. Verify and renew long-term proofs before they expire

   A TCA statement on origin covering multiple shipments is valid for up to 12 months. Diary the expiry date and obtain a fresh statement before relying on it for any shipment after that date. Continuing to claim TCA preference under an expired statement is one of the most common reasons HMRC denies a claim on audit and assesses underpaid duty.

Look up your commodity code and tariff rate on the UK Trade Tariff (opens in a new tab)