steel construction kosovo

Many small and medium-sized enterprises (SMEs) now purchase and procure steel structures from EU countries, primarily from Central and Eastern Europe. Even greater savings can often be achieved by sourcing from non-EU countries, such as the Western Balkan states or Turkey. For many companies, this step seems too complicated, but importing is actually very simple and inexpensive. In this article you will find out how the import of steel structures from non-EU countries works and what needs to be taken into account. Importing steel construction from the Balkan region: For small and medium-sized enterprises, the Balkan region is an attractive region for outsourcing contract manufacturing such as welding or the production of steel structures. We regularly connect contract manufacturers from Serbia, Bosnia and Herzegovina, North Macedonia or Kosovo with customers from Germany, Austria and Switzerland. Many suppliers from this region are relatively small companies with simple structures. This allows you to respond individually to the wishes of your customers and also offer very affordable prices. Compared to suppliers from the EU, the costs for one kg of steel construction are up to €0,50 lower. Many of these companies have been economically stable for some time and have built up long-standing relationships with their customers abroad. According to the European Commission, exports to the European Union account for almost three quarters of the region's total trade. Although trade with the region has more than doubled since 2006, it still accounts for less than 1,5% of total EU trade. What advantages do steel construction suppliers from the Balkan region offer? The prices for contract manufacturing or steel construction are usually significantly lower than the prices that can be achieved in the EU. Many companies have been working for foreign companies, for example from Germany or Austria, for a long time and have qualified and certified according to their guidelines. Communication in English is generally not a problem. Many companies also employ staff who have previously worked in German-speaking countries and are therefore familiar with the language, culture, and quality standards. Importing steel structures from Turkey: Turkey is one of the world's largest steel exporters. This gives Turkish steel construction companies very good access to raw materials and semi-finished steel products. Steel beams currently cost up to €300 per ton less in Turkey than in Germany. Low material costs combined with attractive labor costs strengthen the competitiveness of Turkish steel construction companies. Turkish suppliers have a particular advantage in structural steel construction and series production, because the higher transport costs are compensated for by the volume. What are the requirements for importing? Do I need a license? You do not need a special license to import steel components. Any company can import goods from non-EU countries. However, this requires an EORI number. The EORI number serves to identify economic operators and is issued by customs in Germany and Austria. Applying for an EORI number for Germany: Instructions for applying for an EORI number for Germany can be found here. The application is free. It can take 3-4 weeks for the permit to be issued. Apply for an EORI number for Austria: Instructions for applying for an EORI number for Austria can be found here. The application is also free of charge. It can be up to approximately... It takes 10 days for the permit to be issued. Do I have to pay customs duty for steel construction from EUR1 countries? Through a customs agreement with the EU (Stabilization and Association Agreement), products from these countries with a corresponding certificate of origin are duty-free; however, the applicable VAT and the handling costs of the forwarding company in the recipient country must be borne by the recipient himself upon import. The value added tax incurred upon import is to be treated like input tax. For invoice amounts up to €6.000, a corresponding reference on the supplier's invoice is sufficient, provided the supplier is an authorized exporter. The wording must be adhered to exactly and reads as follows: The exporter (Authorized Exporter; Authorisation No. ....... ) of the goods to which this commercial document relates, declares that, unless otherwise stated, these goods are eligible for preferential treatment ....... -Origin goods. Or in English: The exporter of the products covered by this document (customs authorization No ... (1)) declares that, except where otherwise clearly indicated, these products are of ... (2) preferential origin. For goods valued over €6.000, a separate EUR-1 declaration is required. Your supplier, or their freight forwarder, will apply for this at the relevant customs office. Suppliers are generally familiar with this process. How does customs clearance work? Unlike deliveries from other EU countries, the goods must cross the EU's external border. Customs clearance takes place during this process. Although no customs duties are levied, the formalities still need to be completed. Your supplier will prepare an export declaration in their respective country. The import declaration is usually the responsibility of the buyer. While some freight forwarders offer DDP delivery, often called "free delivery", this is complex, involves additional costs and is not practical in most cases. The import declaration can be carried out by a customs agency. If you do not already have a customs agent, you can contact your in-house freight forwarder or specialized service providers such as "Die Zollagentur" (Germany) or "AWOR Customs" (Austria). There are minimal costs associated with the import declaration. At the customs agency, these amount to €40 net per customs tariff number. For welded steel structures and similar components, you usually only have one customs tariff number. The customs agency will then tell you the customs office that the freight forwarder should go to in order to present the goods and will prepare the documents for customs clearance. Use Incoterm DAP or DDP? The Incoterms DAP and DDP regulate the responsibilities of buyer and seller during delivery. In the case of DDP (Delivery Duty Paid), the buyer doesn't have to worry about anything else. Sounds good at first, but it comes with a major cost disadvantage. When using DDP, the seller has to pay the import VAT in the destination country and usually has no way of getting it back. The seller must therefore include the import sales tax in the product price. However, if the DAP delivery clause is used, the buyer pays the import sales tax and has it credited as input tax. When does DDP make sense? For the reasons mentioned above, the DAP delivery clause is generally preferable. However, in some cases it can be advantageous to use DDP: when selling to private customers (because they cannot claim input tax deduction anyway), for low-value goods (e.g. Sample deliveries) For deliveries within the corporate group (e.g. (Subsidiary abroad) What is import VAT and when is it payable? When goods are imported into the EU, the importer must pay import VAT. This corresponds to the amount of normal sales tax and should be treated in the same way. As a commercial buyer, you can claim back this import VAT as input tax. Therefore, no additional taxes are incurred compared to purchasing in Germany. However, a freight forwarder does not have this option of input tax deduction, which is why the import declaration should always be made by the buyer. Import VAT is usually paid electronically, i.e. It is debited to the tax account, where it is then claimed back as input tax. Which delivery clause should be agreed? For practical reasons (language, fees), it is recommended to choose an Incoterm where the seller handles the export declaration and the buyer handles the import declaration. These range, for example, from FCA (buyer arranges transport) to DAP (seller arranges transport). Popular clauses such as "free delivery" or "ex-works" are not recommended for the following reasons: "Free delivery" does not precisely define the obligations of the buyer and seller. Therefore, this clause should not be used in international trade, and instead a clause from the Incoterms 2020 (e.g., DAP) will be agreed upon. Often, "free delivery" is interpreted by the buyer as DDP (Delivery Duty Paid - goods are delivered duty paid). Suppliers often understand this to mean DAP (Delivered at Place - goods are transported by the seller but not cleared through customs). EXW (Ex-Works) is an unfavorable delivery clause for the described application because the buyer not only has to prepare the export documents, but also has to load the goods onto the truck. In practice, however, the loading is carried out by the supplier, as they also have the necessary equipment (forklifts, cranes, lifting equipment, personnel) on site. For these reasons, FCA should always be chosen instead of EXW. How do you find suitable suppliers from the Balkan region or Turkey? If you would like to establish supplier relationships with countries in the Balkan region or Turkey, please feel free to contact us by email or telephone. If you have a specific request, please use our request form. We will gladly find suitable suppliers for you free of charge and without obligation, and support you in placing your order.

Steel construction import guide