In alignment with WTO, government simplifies conditions for replacing defective imported goods

On June 23, the Ministry of Finance published Ordinance No. 7058/2021 in the Official Federal Gazette, establishing requirements and conditions for replacing imported goods that have presented technical defects after their nationalization in Brazil. The initiative, which reformulates a previous rule on the subject published in 1982, is part of the federal government’s efforts to review and consolidate the rules included in Decree No. 10,139, of November 28, 2019.

In addition, the new regulation aligns Brazil with signed international commitments, contained in the Trade Facilitation Agreement of the World Trade Organization (WTO), and complies with provisions presented in the Economic Freedom Law (Law No. 13.874, of December 17, 2019) by simplifying the procedures that private operators need to observe to carry out the exchange of defective goods – an increasingly common situation in the economy in general and in international trade in particular.

The limitations in the previous regulation meant that in most cases, the importer was obliged to pay taxes on the arrival of the replacement goods. With the new measure, if there is a technical defect that requires the replacement of the originally imported good, the exchange of goods will be ensured without double taxation.

The new regulation also excludes the need to obtain import licenses to replace the originally defective merchandise, making the operation less bureaucratic for Brazilian importers. In 2020, nearly 1,500 licensing processes involving this type of operation were examined.

Source: Comex do Brasil

To read the full original article, visit the link:

https://www.comexdobrasil.com/em-sintonia-com-omc-governo-simplifica-condicoes-para-substituicao-de-merchandise-importadas-com-defeito/

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