Defining the Term Temporary Import
Temporary imports are required for various industries, especially in the IT, medical, aviation, and automotive Industries. Companies may need to import items short basis for specific purposes. For instance, in the IT industry, products may be brought in for technical proof of concept (POC) projects, where they are used temporarily to demonstrate functionality and meet client requirements. In the medical industry, short-term imports may include equipment for research or clinical trials, such as devices used for data collection or patient monitoring. The aviation and automobile sectors also rely on temporary imports for specialized equipment or parts used in short-term projects or testing. Trade shows, conventions, and exhibitions in these industries may also require temporary imports of products to be used at such events.
Do Temporary Imports Incur Tax and Duty Payments?
Temporary imports typically do not incur standard import taxes and duties when the goods are used for a short duration or are not permanently staying in the country. When products are formally labeled as temporary imports, they may be exempt from these charges. In the IT, Medical, Aviation, and Automobile industries, items eligible for temporary importation can include business samples, professional equipment, and products for exhibitions and fairs, such as computers, medical devices, industrial gear, and medical equipment. However, certain products are not eligible for temporary imports.
ATA Carnet
The ATA Carnet is a widely recognized document for temporary imports, accepted by international customs authorities as a passport for goods. It allows items from the IT, Medical, Aviation, and Automobile industries to cross borders without incurring standard customs duties and taxes. An authorized ATA Carnet is typically valid for up to one year, though for exhibitions and fairs, the validity is limited to six months. This document is accepted in 78 countries, including the European Union, the United States, Canada, Australia, China, and Japan, facilitating smooth international trade for businesses in these sectors.
Alternative to the ATA Carnet
The Carnet de Passages en Douane (CPD China-Taiwan) offers an alternative to the ATA Carnet in specific trade agreements. It functions similarly to the ATA Carnet, except for the color of the document, and is recognized by countries such as the United States, New Zealand, Singapore, and Israel. In addition to these documents, various countries may offer their temporary import permits, each with unique restrictions and criteria. For industries such as IT, Medical, Aviation, and Automobile, these temporary import permits play a critical role in facilitating the import of record specialized equipment and machinery, ensuring compliance with incoterms of local regulations while enabling smooth cross-border trade.
Temporary import Services with One Union Solutions
One Union Solutions provides expert assistance with temporary imports, guiding clients through the complex world of customs regulations, including temporary import procedures, ATA Carnet applications, and compliance with HTS harmonized tariff codes. Our comprehensive IOR services across regions, including countries like Bahrain, Pakistan, Qatar, Albania, Israel, Tunisia, Mongolia, Russia, and Hong Kong, ensure smooth, easy shipments for your temporary imports.
We support various industries in navigating the generalized system of preferences, DAP, and DAPs, ensuring that all legal requirements are met while reducing the time and costs associated with temporary imports. Our team is well-versed in incoterms and can assist with HS codes and harmonized system codes to streamline the process and help you expand your operations with confidence.
DID YOU KNOW?
“Saudi Arabia and the Philippines to launch ATA operations in 2024”
