Looking to learn more about your warehouse options in the European Union and the United Kingdom? Discover the benefits of bonded warehousing for direct access to the European market to improve your customer service, reduce costs and help improve your distribution strategy in Europe. 

What is a Customs Bonded Warehouse and Why is it Essential for Asian Exporters?

A customs bonded warehouse is a secure facility authorized by local customs authorities to store imported goods without the immediate requirement to pay duties and taxes. For an Asian business, this means your products can be strategically positioned within Europe, ready for distribution, while deferring hefty import fees until the goods are sold and enter the EU market. This preservation of capital is a significant advantage for managing cash flow and investing in market growth.

The key advantages of this type of warehouse in Europe is as follows:

  • Significant Cost Savings and Improved Cash Flow: By suspending duty and tax payments until your products are ready for final delivery, you can free up essential capital. This allows for more flexible inventory management and reinvestment into your European market penetration strategy.

  • Faster Delivery Times to European Customers: With your goods already stored within the EU, you can drastically reduce order fulfillment times. This leads to improved customer satisfaction and a stronger competitive position against local European businesses.

  • Strategic Market Access and Flexibility: Bonded warehouses are typically situated near major international ports and airports, such as Rotterdam and Amsterdam. This prime positioning allows your business to efficiently manage and distribute inventory across the entire European Union, responding swiftly to market demands.

  • Simplified Re-Exporting: If you need to re-export your goods to countries outside the EU, you can do so from a bonded warehouse without incurring EU duties and taxes. This is particularly beneficial for businesses using Europe as a strategic hub for global distribution.

  • Enhanced Compliance and Security: Operating within a bonded warehouse ensures your goods remain under the strict control and security of local customs authorities, guaranteeing greater compliance and peace of mind.

In many cases, it is 3PL providers that operate bonded warehouses in Europe working in partnership with clients to optimise storage location and reduce transportation costs.

If you are considering a bonded warehouse in Europe, SEKO has multiple strategic warehouse locations in the EU such as Rotterdam & Amsterdam.

Benefits of bonded warehousing in Europe

  • Free up capital by delaying duties and tax payment.
  • Improvement of warehousing and distribution strategy into the European market.
  • Cost effective inventory management in the European Union.
  • Strategic location of your goods ready for faster delivery to your customers.

Customs Bonded Warehouse FAQ

SEKO Logistics has contract logistics experts that can support your warehousing needs in Europe, don't hesitate to reach out to the team should you have any questions on how to benefit from a bonded warehouse solution.

How does a bonded warehouse in the EU benefit my business if my goods are manufactured in Asia?

Using a bonded warehouse allows you to ship your products in bulk from Asia to a central European location. This reduces freight costs and enables you to postpone duty payments until the goods are sold. This is especially advantageous if your primary warehouse is in the United Kingdom, as it helps avoid double duties when selling to the EU market.

Does re-exporting the products from the customs warehouse affect the duty status?

Products can be re-exported from a customs warehouse without the payment of duties and taxes.

What does preserving "Preference status" mean?

"Preference status" is a crucial component of Free Trade Agreements (FTAs) that can provide customs duty relief. Shipping goods from an Asian country, such as Vietnam, to a non-EU country before forwarding them to the EU can sometimes affect your ability to claim these benefits. A bonded warehouse can help preserve this status under certain conditions.

What are non-manipulation certificates?

These are certificates that can be authenticated by customs as evidence that the products were stored in a customs warehouse without being altered or processed during transit.

ABOUT SEKO LOGISTICS

Built on nearly 50 years of logistics expertise, SEKO Logistics is the no-nonsense global end-to-end logistics partner – from factory to consumer. SEKO delivers sustainable client-first service, expert reliability and tech-driven shipping solutions that turn supply chains into a competitive differentiator. With over 150 offices in more than 60 countries, SEKO helps you move at the speed of commerce. 

Ready to streamline your entry into the European market? Get in touch with the SEKO Logistics team!