Supervising import processes, ensuring conformity, and gathering pertinent charges and obligations are the obligations of Romania’s customs authority, Direcția Generală a Vămilor (DGV). It is fundamental for organizations and individuals associated with worldwide trade to fathom Romania’s import duty framework.
Customs charges and levies
In Romania, products imported from outside the EU are subject to the EU Common Customs Tariff (CCT). Based on the Harmonized System (HS) Code, which allocates tariffs according to product categories, the duty rate is determined by the categorization of the items. Agricultural items, textiles, and consumer goods may be subject to greater tariffs than industrial equipment, electronics, and raw materials, which often have low or no duties.
The duty is determined by the Cost, Insurance, and Freight (CIF) value, which consists of the product’s price, shipping charges, and insurance altogether. Using the EU TARIC (Integrated Tariff of the European Union) database, which offers the most recent tax rates for every product category, importers may ascertain particular tariff rates.
EU free trade agreements with nations like South Korea, Japan, and Canada (CETA) help Romania by lowering or doing away with tariffs on eligible products. For shippers to exploit these exceptional costs, their products should stick to the standards of beginning.
Goods and services tax (VAT) on imports
VAT is required on completely imported items that enter Romania. It is determined by adding up all customs taxes, shipping, and insurance expenses. Romania has a normal VAT rate of 19%, while some goods are eligible for lower rates:
- Food items, medical supplies, and lodging are subject to 9% VAT.
- Certain purchases pertaining to housing, cultural products, and publications are subject to a 5% VAT tax.
Businesses who are VAT-registered in Romania might lessen their financial burden by reclaiming import VAT on their tax filings. Romania also offers businesses the option to postpone paying VAT rather than paying in full at the time of import thanks to its delayed VAT payment plan.
Excise taxes on certain items
For a few imported things, particularly those that affect the climate and general wellbeing, Romania demands extract charges notwithstanding VAT and customs charges:
- Alcoholic beverages (calculated based on alcohol content)
- Items produced using tobacco (taxed by weight or unit)
- Energy and fuel goods (liable to environmental taxes)
- luxury goods (such expensive jewelry and vehicles, in certain situations)
VAT and customs charges are accompanied by excise duties, which raises the total cost of importation for the impacted items. Additional labeling and licensing requirements for certain items must also be met by importers.
Customs clearance and the necessary paperwork
items must be cleared by customs before being imported into Romania, and all items coming from non-EU nations must be reported to Romanian customs. Importers are required to provide the following paperwork:
- Commercial invoices provide information on the product’s origin, value, and description.
- Packing List: Lists the contents of the package.
- Bill of lading for sea freight or the air waybill for air freight – shipping evidence
- Customs declarations are officially known as Single Administrative Documents (SADs).
- In accordance with trade agreements, a certificate of origin is necessary for advantageous tariff treatment.
Through the Automated Import System (AIS), importers may electronically submit declarations in Romania’s state-of-the-art digital customs system. Customs inspections and checks, however, could still take place, especially for shipments that need specific permissions or dangerous products.
Exemptions and duty-free imports
The type and origin of certain goods may determine whether they are eligible for duty-free entry into Romania. While VAT may still be applicable, goods imported from EU member states are free from customs taxes. Additionally, imports under EUR 150 are VAT-liable but not subject to customs taxes.
Travelers may import duty-free personal items into Romania as long as they don’t exceed certain quantity restrictions. EU investment initiatives that promote economic growth may provide lower or zero tariffs to companies who import industrial equipment, technology, or components for manufacture.
Challenges and considerations for importers
Businesses and individual importers still face some obstacles even if Romania has a simplified import procedure. Agricultural products, textiles, and excise-duty items are examples of high-tariff commodities that need importers to factor in increased expenses. In particular, food items, medicines, and electrical goods must adhere to stringent EU product conformity rules.
Inaccurate or missing paperwork may cause customs delays; therefore, companies must keep reliable import records. Because Romania uses the Romanian Leu (RON) rather than the Euro, currency fluctuations might also be a problem. Handling several currencies can affect trade expenses.
Despite these obstacles, Romania is a desirable location for international commerce due to its advantageous location in Eastern Europe, expanding economy, and EU trade agreements. Businesses now find it simpler to comply with import regulations because to the increased efficiency of the digitization of customs operations.
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