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EU Customs Reform: A Transformative Overhaul To Modernize Trade Controls

The European Council and the European Parliament reached an agreement on a revised EU customs framework. Reform updates rules to address e-commerce growth, rising trade volumes and compliance requirements. Changes aim to improve duty collection and strengthen oversight of goods entering the EU. The package also introduces new digital tools for customs operations.

Redefining The Customs Landscape

Reform updates existing customs rules across the EU. Changes reflect increased trade flows and additional regulatory requirements at the border. Authorities are adapting systems to manage higher volumes and more complex supply chains. The framework also addresses risks linked to geopolitical developments.

Innovative Tools To Facilitate Global Commerce

New measures focus on simplifying procedures and improving compliance. The system is designed to reduce administrative burden for businesses and customs authorities. Updated framework strengthens control over high-risk goods. Duty collection processes are also expected to improve.

A Historic Modernization Effort

Reform represents the most significant update since the creation of the EU Customs Union in 1968. Changes introduce a revised customs code and updated procedures. New rules are intended to support economic security and adapt to current trade conditions. Importers and exporters will operate under a unified system.

Centralized Customs Data Hub And Operational Enhancements

Reform includes the creation of a single EU customs data hub. The platform will serve as a central system for collecting and processing customs information. Businesses will submit declarations once, rather than dealing with up to 27 national authorities. Change is expected to reduce processing time and administrative costs.

Key Measures And Strategic Initiatives

  • Centralized Data Platform: Hub will connect importers, exporters and customs authorities across the EU. The system supports data consistency and traceability.

  • Simplified Procedures: Reliable traders will benefit from reduced administrative requirements. Changes aim to lower costs and processing delays.

  • Handling Fee: The EU will introduce a fee for small packages entering the Union. Measure the growth in e-commerce shipments.

  • EU Customs Authority: New body will oversee the data hub and coordinate risk management across member states.

Enhanced Real-Time Data And Risk Management

The newly established EU Customs Authority will leverage continuously updated trade data to assess risks in real time and prioritize inspections. This coordinated approach will allow member states to respond swiftly and effectively to emerging threats. The centralized data hub not only facilitates the smooth transit of goods within and beyond the EU but also supports strategic risk management across the bloc.

Phased Implementation For Long-Term Impact

Data hub will launch for e-commerce shipments on July 1, 2028. Full rollout across all trade flows is planned by March 1, 2034. Implementation will take place in phases to allow adaptation across member states. Timeline reflects the scale of the reform.

Conclusion

Reform introduces new tools for customs data, procedures and risk management. Changes aim to improve control and efficiency across EU trade operations.

Meta’s $18 Billion Settlement Limits State Claims Over Children’s Data

Meta’s $18 billion settlement with attorneys general from 29 U.S. states includes a provision limiting future state claims over the company’s use of children’s data for age-assurance systems.

Under the agreement, Meta must develop, train and begin testing a system to identify users under 13 within a year of the settlement taking effect. The company already uses AI-based age-detection tools, although the agreement does not require the new system to use AI.

States Agree To Limits On Future Claims

The Children’s Online Privacy Protection Act (COPPA) generally restricts the collection and retention of personal data from children under 13. Under the settlement, the 29 state attorneys general agreed not to bring past, present or future claims under COPPA or similar state laws over the specified use of children’s data.

Meta will not be permitted to use information from users under 13 for advertising, marketing or algorithmic optimisation.

Federal Enforcement Remains Unclear

COPPA is primarily enforced by the Federal Trade Commission, which is not a party to the agreement. That leaves open the possibility of separate federal action over how Meta collects or uses children’s data.

Another issue is whether Meta can keep age-assurance data isolated from its other systems. An independent auditor will monitor compliance, but the settlement does not fully specify what data Meta can retain for training, how long it can be stored or whether derived insights can be used elsewhere.

Legal Risks Remain

Joshua Wurtzel, a partner at Schlam Stone & Dolan, said states could still pursue claims if Meta uses the data outside the settlement’s limits. Such cases could depend on how those limits are interpreted.

Peter Jackson, a data and intellectual property attorney at Greenberg Glusker, said the provision could “disincentivize future enforcement actions.”

The agreement gives Meta greater legal certainty around using children’s data for age assurance, but questions remain over federal enforcement, data retention and secondary use.

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