101 UK Brexit Notes

Connemara Programme October 16 2018 pg. 93 Business: Trading: Mutual Recognition Principle Purpose This notice provides guidance on how the importing and exporting non-harmonised goods under the mutual recognition principle would be affected in the unlikely event that the UK exits the EU without a deal in March 2019. Before 29 March 2019 Some manufactured goods are subject to national regulations rather than EU-wide rules. Examples include furniture, textiles, bicycles, and cooking utensils. This is not an exhaustive list. These non-harmonised goods can circulate on the EU market under the mutual recognition principle. This principle prevents EU countries from prohibiting the sale of goods that have already been legally sold in another EU country. This applies even where countries have different national requirements covering the same good. As an example, a bicycle made to comply with French national requirements and sold in France can then lawfully be marketed in other EU countries – even though those countries may have different national requirements for bicycles. The only exceptions to the mutual recognition principle are restrictions which EU countries can introduce on grounds such as public safety, public policy and public morality. EU countries’ right to restrict the circulation of these goods, for the above reasons, is regulated by th e EU Mutual Recognition Regulation (764/2008) . As well as setting out rules and procedures, it establishes product contact points in each EU country which respond to requests for information about national regulations. After March 2019 if there’s no deal The UK would no longer fall within the scope of the mutual recognition principle. Implications UK businesses exporting non-harmonised goods to the EU market will need to consider the national requirements of the first EU country they export to. They will not need to consider the national requirements of any EU countries goods travel through before reaching the EU country in which they are intended to be placed on the market. UK businesses who have already exported a non-harmonised good to an EU country by meeting the relevant national requirements will still be able to make use of the mutual recognition principle and market their product in other EU countries. UK businesses who import non-harmonised goods into the UK will need to take action even if their goods were previously lawfully marketed in another EU country. Non-UK businesses exporting non-harmonised goods to the UK will need to take action even if their goods were previously lawfully marketed in another EU country or in the UK. Actions for businesses and other stakeholders UK businesses exporting non-harmonised goods to the EU market will need to meet the national requirements of the first EU country they export to. UK businesses who have already exported a non-harmonised good to an EU country by meeting the relevant national requirements will not need to take any specific action. UK businesses who import non-harmonised goods into the UK will need to ensure they meet UK national requirements. Non-UK businesses exporting non-harmonised goods to the UK will need to ensure that the goods meet UK national requirements, regardless of whether they were previously lawfully marketed in another EU country or in the UK.