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Maintenance, Repair, Operations: The procurement of MRO goods and the Ensuring the availability of spare parts for industrial manufacturers is time-consuming and complex without experienced logisticians like our import-export professionals at KTB. One of the basic standardized procedures to simplify cross-border deliveries by road vehicles is the TIR Carnet procedure - we explain what the purpose of the procedure is and in what way TIR Carnet can be used when purchasing across national borders.
A short definition: What is TIR Carnet?
- TIR Carnet is a application-based customs procedurewhich simplifies formalities to be fulfilled in the international movement of goods by road vehicles.
- Through the temporary non-imposition of import duties for transit shipments cross-border trade will be significantly facilitated in the countries participating in the agreement.
- The TIR Convention of 14.11.1975 has been accepted by all EU countries and 60 other countries outside the EU.
- Shipments under the TIR Carnet customs document are transported under bond. This means that all goods must be sealed at the beginning of the TIR transport to ensure that no tampering with the cargo can take place.
- TIR documents are issued by the International Road Transport Union (IRU) in Geneva as well as issued by national member associations. Part of KTB Trading Services when purchasing industrial spare parts is the legally valid organization of customs documents such as the TIR document as well as ensuring that transports are handled in accordance with the contract.
TIR Carnet in practice: when do drivers need TIR customs documents?
Each country imposes customs duties and import taxes when goods are imported from abroad. When passing through landlocked countries for the transport of goods, with valid TIR Carnet customs document there are no import duties and import taxes which makes border crossing much easier for suppliers. Sealed Goods do not have to be rechecked and customs cleared at each borderbut the formalities at the border crossing are limited to a stamp of the respective customs office on the TIR document carried.
The five pillars of the TIR process
In order to ensure the smooth movement of goods by road vehicles across international borders, all Parties participating in the TIR Convention agree on five principles which are indispensable for the recognition of the procedure and therefore also Pillars of the TIR process be called:
- The recognition of the correctness of customs controls by third countries
- The controlled access to goods and evidence
- The international guarantee for safe transports - the guarantee for individual TIR transports is limited to 100.000 Euro
- The security of vehicles and containers transported by TIR procedures
- The validity and carrying of the TIR Carnet document
TIR Carnet and ATA Carnet - What is the difference?
If the export of goods on international ground is temporary, for example, forExhibition equipment, samples or equipmentcarriers require an ATA Carnet customs document. This customs document ensures that no customs duties have to be carried out in the destination country. Without such a carnet, entrepreneurs operating abroad have to pay high security deposits for equipment brought along.
Parts procurement made easy with KTB
KTB is your contact for organizing and ensuring the availability of goods of mechanical, electrical and hydraulic components for the maintenance of machines in operation: we handle purchases and inventory backups using secure and standardized procedures through and can thus access the worldwide market to procure special parts quickly and easily.
Frequently asked questions
What is a TIR Carnet?
The TIR Carnet is an international customs document for the transport of goods by road under customs seal. It is based on the TIR Convention of 1975. Goods are sealed at the start of transport and do not have to be inspected and cleared again in each transit country. This significantly simplifies and speeds up cross-border truck transport.
Who issues TIR Carnets?
TIR Carnets are issued by the International Road Transport Union (IRU) in Geneva through its national member associations. The associations also provide the guarantee for customs duties within the TIR system. Transport companies must be authorised to use the system and must use vehicles or containers that are suitable for customs sealing.
What is the difference between a TIR Carnet and an ATA Carnet?
The TIR Carnet is used for the transit of goods by road under customs seal. The ATA Carnet, on the other hand, is intended for temporary import or export, for example of trade fair exhibits, commercial samples or professional equipment that will return. It replaces national customs documents and avoids security deposits for import duties in the destination country.
What principles apply in the TIR procedure?
The TIR system rests on several pillars: secure vehicles or containers suitable for customs sealing, an international guarantee chain, mutual recognition of customs controls, controlled access to the procedure, and the validity of the TIR Carnet and its carriage with the goods. Together, they ensure that border crossings take place with few formalities.
About the author
Mica Duarte
Senior Procurement Specialist at KTB Europe with over 15 years of experience in global MRO sourcing and supply chain management.
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