New Amazon Seller Brexit help page with guidance for selling in 2021

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Over the past few weeks, since Amazon announced that EFN and Pan-EU FBA would be for mainland Europe only and no longer include the UK as of the 1st of January 2021, we’ve been pressing Amazon for more information on how sellers can continue to sell in Europe. Today we are able to publish some Amazon Seller Brexit guidance.

We can also reveal that Amazon have created a new Amazon Seller Brexit Help Page which is part of Seller Central (login required). This is where Amazon will be updating FAQs relating to Brexit so check back frequently for further updates.

We know that for many Tamebay readers, selling on Amazon in Europe is a key part of your business and a large chunk of revenue you can’t afford to lose. Our sincere thanks go to Amazon for providing this Amazon Seller Brexit guidance to assist you in planning and preparing your business for the future.

Amazon Seller Brexit Implications for FBA

From the 1st of January 2021

When the UK Transition agreement expires on the 1st of January 2021, there will be a number of changes to the way Amazon operates across the new UK-EU customs border:

  • Pan-European FBA inventory transfers will stop between the UK and EU. However Pan-European FBA will continue to proactively transfer inventory across the EU region, supporting your sales on our Germany, France, Italy and Spain sites
  • FBA offers that are fulfilled via EFN will not be fulfilled across the UK-EU border.
  • Minimal disruption is expected for goods sent by Selling Partners directly to UK or EU from outside of Europe (for example, from China or US) into an Amazon Fulfilment Centre, as these goods already cross a customs border and the process is not expected to change in the UK or EU.

Until the 31st December 2020

Your Amazon business will operate as usual for the remainder for 2020.

  • Pan-European FBA will still proactively transfer inventory across Europe
  • European Fulfillment Network (EFN) will continue to fulfil FBA cross-border orders (for example, a French customer buying a product on Amazon.fr and Amazon using inventory stored in a UK fulfilment centre to fulfil the order).

What is preventing Amazon from moving inventory and fulfilling orders across the customs border on and after the 1st of January 2021?

As there will be a customs border in place, additional information is required to verify the nature and value of the products moving across the border. This information needs to be provided by Selling Partners. Amazon does not have this information and so cannot move products on behalf of Selling Partners.

Amazon Seller Brexit Q&A

As of 01 January 2021, will I have to create a separate SKU; one for my UK listing and one for my EU?

No. You can continue using the same SKU for your UK and EU listing. However, in order to ship into both sides of the border, you will need to enable Multi Country Inventory. This will enable you to inbound your FBA inventory to Amazon fulfilment centres in multiple countries of your choice across Europe. Once this is switched on, you will be able to choose the country you want to ship into. For your UK and EU shipments, you can use the same SKU and we will treat them as two separate inventory pools.

Will I need to create new FNSKUs (Amazon FBA barcodes) for my Amazon product?

No. You will not be required to create new FNSKUs and you can continue using the same barcodes for your products. FNSKUs are determined by the items product SKU. As you can continue using the same SKU for both your UK and EU listing, there is no need to generate new FNSKU barcodes.

How do I send stock directly to an FC on the other side of the border?

If you intend to ship to an FC on the other side of the border after 01 Jan 2021, you’ll need to enable Multi Country Inventory which allows you to ship your inbound shipments to the UK and to multiple countries of your choice in the EU (more information found here).

What is the FBA Exports programme and how will it be impacted after Brexit? Will EU customers still be able to buy my products from the Amazon.co.uk website?

The FBA Export programme allows you to fulfil orders of eligible products on Amazon.co.uk to a mailing address that is not within the UK. The FBA Exports programme will continue to operate after January 1st 2021. Exports may protect a small proportion of your European sales after Brexit, however as the vast majority of Amazon customers shop on their domestic store, you should expect the sales generated via Export to be limited. The best way to protect your EU sales after Brexit is to send inventory to both sides of the border.

What will happen to my inventory placed in UK/EU after the new customs border goes up on the 1st of January 2021?

This inventory will continue to be sold within the UK and EU. Amazon will not move it across the UK-EU border but you will be able to remove it from our fulfilment centres to a local address (through our standard removals process) and then you will be able to ship it across the UK-EU border if you wish to do so.

Should I stop using Pan-EU FBA and EFN now?

No!

Pan-EU FBA and EFN will continue to function until the 1st of January 2021 and will support you to grow your sales in the EU during this period. After the 1st of January 2021 you can continue to use Pan-EU FBA and EFN to sell your products in the EU (on the Amazon Germany, France, Spain and Italy sites).

6 Responses

  1. I’d be keen to know how others plan to deal with returns in the EU where they can only be removed to a local address from 1st January.

  2. The big question I have is how should we manage existing UK FBA stock. Is it possible to transfer a portion to an EU FC before January 1, 2021?

  3. A significant number of UK VAT inputting businesses will close without EU access, including mine if the state of play doesn’t shift significantly.

    HMRCs handling of the Chinese VAT FRAUD problem has not really existed for over 5 years and only encouraged and invited tax fraud, at the same time marketplaces have aggressively recruited more and more Chinese sellers, offering gifts and discounts, knowing only too well domestic businesses would suffer greatly.

    A significant proportion of UK Sellers exists because of access to the EU market to balance weak domestic demand due to 10,000s of non-tax inputting offshore sellers.

    If Chinese VAT Evaiders are not closed down promptly, the HMRC can expect even less collected tax, which I hear has already fallen Significantly.

    HMRC has ignored all requests from UK Retailers to address this problem. WHY ?

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