TRADE HUB

Beauty brands, product and retailers – particularly small to medium enterprises – are significant economic contributors to Britain’s GDP. We have a rich history of exporting British beauty and recognise that recent developments have made overseas trading more challenging.

The British Beauty Council can help you to navigate your way to a potentially new and exciting international customer base. So if you’re baffled by Brexit or keen to explore the burgeoning beauty scene in China, check out the information below and start your journey here.

General:

Goods

EXPORTING GOODS

How to move goods from the UK: Export goods from the UK: step by step.

The Government has launched a new Export Support Service and user-friendly interactive export tools to help UK businesses get answers to practical questions about exporting globally.

Check out this useful guidance on sending goods to an overseas customer using rules of origin to check the goods you export from the UK meet the relevant rules of origin and provide proof of where the goods originate from.

DHL and the Post Office both have a list of prohibited and restricted items on their websites which you can check before sending items to ensure your parcels are delivered without delay.

You’ll need to find the right commodity code for any goods you export, using the Trade Tariff tool. This will ensure you pay the right Customs Duty.

Information on moving goods from the UK to the rest of the world, including rules and restrictions, tax and duty rates and what exporting documents you need: Check duties and customs procedures for exporting goods.

Scottish Enterprise have produced a really easy to follow ‘6 step guide to exporting success’ which can be applied whether your business is based in Scotland or elsewhere in the UK.

Before your drivers transport goods between 2 points in the EU, Iceland, Liechtenstein and Norway for commercial purposes, you must declare the details on an EU portal.

IMPORTING GOODS

You must make customs declarations for goods coming to the UK. You don’t have to deal with customs on your own. If your business doesn’t have the right resources to make customs declarations, you can hire someone to deal with this for you. Your options are:

Follow this useful step-by-step guide on how to import: Import goods into the UK: step by step guide on GOV.UK

The UK Government has also introduced its Advance Valuation Ruling Service which importers can use to get legal certainty on their valuation method for imported goods for a period of three years. An Advance Valuation Ruling is not mandatory and you can still import goods into the UK without one, however having one can help make sure you pay the correct duty on the goods you import. You can apply for an Advance Valuation Ruling here.

PREPARING TO IMPORT GOODS
VAT
  • Claim a VAT refund.
  • Claim a refund if you think you paid the wrong amount of duty or have rejected the imported goods.

Resources

HELPLINES

Borders (Importing and Exporting)

You can get in touch with HMRC by phone, webchat or contact form for any import and export queries you may have. The phone lines and webchat services are open Monday–Friday, 8am–6pm, and closed Bank holidays and weekends.

UK businesses can contact the Export Support Service by using the new online service or by phoning the helpline to speak to their dedicated export support team.

Economy

Energy

  • EU Emissions Trading System, Allowances and Carbon Emissions, UK Energy Markets, Single Electricity Market, Civil Nuclear and Electricity Suppliers and Systems: 020 7215 5000

Data and Intellectual Property

 Other

FUNDING OPPORTUNITIES

Access the Department for International Trade’s Internationalisation Fund for eligible businesses in England. The fund can be used to support areas such as market research, intellectual property advice, translation services and other international commercial service.

UK Export Finance is the UK’s export credit agency where businesses can get finance and insurance from the UK government. In the last five years they have provided £14 billion of support for exports and international trade.

Scottish Enterprise fund a free international market research service to help businesses in Scotland get vital insight on global market trends, customer behaviour and competitor activity.

EU:

Goods

EXPORTING GOODS

Before your drivers transport goods between 2 points in the EU, Iceland, Liechtenstein and Norway for commercial purposes, you must declare the details on an EU portal.

Information about the EU Deforestation Directive:

As of 29 June 2023, the EU Timber Regulation calls for businesses to conduct due diligence and provide evidence that ‘forest risk’ commodities imported into, exported from, and made available on, the EU market are legal and deforestation-free.  The legislation expands on the EU Timber Regulation and increases the scope of regulation to seven commodities: wood, soy, cocoa, coffee, cattle derived products (including leather), rubber and palm oil, and listed derived products.  

Brands must demonstrate no deforestation or forest degradation from a cut-off date of 31 December 2020; and provision of geolocation data for where the commodity was produced to be included in the due diligence statement. 

Find out more here. 

IMPORTING GOODS
  • Find out more about how to meet customs requirements fast and efficiently now that the UK has left the EU through customs declaration training offered through your local Chamber of Commerce.
  • Find out more about customs declaration completion requirements when using the CHIEF and Customs Declaration Service (CDS) trade tariffs to import and export goods to and from Great Britain after the transition period.
  • Goods imported into the EU must adhere to  EU Deforestation Regulation (EUDR), there is more information about this in the ‘Exporting Goods’ section, and here. 
PREPARING TO IMPORT GOODS

Services

BUSINESSES WITH STAFF WORKING BETWEEN THE UK AND EU

See the latest advice for travelling for work, including this useful one-pager.

If you travel to the EU for work purposes, you may need a visa or work permit. Learn about extra business travel requirements.

BUSINESSES THAT DELIVER SERVICES BETWEEN THE UK AND EU

Ensure your staff are able to continue to practise and provide services to clients in the UK by ensuring their professional qualification(s) are recognised by their professional body in the UK:

Get your EU professional qualification recognised in the UK

Selling services to the EU, Switzerland, Norway, Iceland and Liechtenstein

    BUSINESSES THAT HIRE STAFF FROM THE EU

    Points-based immigration system

    Free movement has ended and the UK works with a new points-based immigration system. If you want to hire anyone from outside the UK, you must be a Home Office licenced sponsor. This includes recruiting people from the EU.

    Anyone coming to the UK to work will need a job offer from a licenced sponsor in advance, and will need to meet certain skills and salary criteria. Find out more about the UK Government’s points-based immigration system here.

    ETA Scheme

    The Home Office is also introducing an Electronic Travel Authorisation for non-visa nationals (NVN) for EU visitors who stay for 6 months for tourism, visiting family and friends, business or study, come to the UK for up to 3 months on the Creative Worker visa concession, or transit through the UK. This will be rolled out throughout 2024.

    Once people have signed up for the scheme, their ETA will last for 2 years and can use it to make multiple visits to the UK. 

    ETAs will be mandatory for people who do not currently require a visa or hold any UK immigration status who want to enter the UK for visits of up to six months. This will eventually include all non-visa nationalities, including the United States, Canada, Australia, and the EU.

    CONTINUE LIVING AND WORKING IN THE EU

    Living and working in the EU, EEA EFTA, Switzerland and Ireland depends on the rules in that country.

    You may need to take action such as:

    • register or apply for residency
    • check that you are covered for healthcare
    • exchange your UK driving licence for a licence issued by the EU country where you live.

    The Government has prepared living in country guides for UK nationals living abroad, including residency, health and benefits, and specific advice for people following the UK’s departure from the EU.

    TRAVEL DECLARATIONS

    There have been challenges for professionals within the hair and beauty sector who need to travel for the purposes of work and the products and kit that they must declare in order to do so.

    We highlighted these issues to the Department for Business and Department for International Trade in an attempt to find solutions and will publish their advice shortly.

    Resources

    BREXIT

    From 1 January 2022 the rules changed for any businesses moving goods between Great Britain and Europe. These rules apply to all European trade, whether you buy or sell goods once a year or every day, and no matter what type, volume or value:

    Read the UK Transition Trader Checklist

    There were also changes to international trademark registrations from 1 January 2022 to be aware of:

    Read the Changes to international trade mark registrations

    The best place for businesses to get support and information post-Brexit

    The devolved administrations have also published guidance for Scotland, Wales and Northern Ireland

    We also recommend the Brexit Checker tool, which gives businesses personalised results about the actions they need to take.

    The Border Operating Model is a useful guide to how the border with the EU works.

    Sign up to receive the latest Government news on Brexit.

    It’s vital for businesses to ensure they are up to date with changing rules and regulations surrounding their business operations. Scottish Enterprise produces a comprehensive list of key dates for companies to note in 2022.

    TRADING WITH NORTHERN IRELAND

    The Windsor Framework is an arrangement between the UK and the EU which is designed to remove any sense of border in the Irish sea – fundamentally overturning aspects of the Northern Ireland Protocol. 

    In May 2023, the Cosmetic Products Enforcement Regulation was amended to include reference to the new trade agreement.

    The Prime Minister’s Office breaks down the Windsor Framework into three points. The legislation:

    • Fundamentally rewrites the Treaty with a new ‘Stormont Brake’ which means the UK can veto new EU goods laws if they are not supported by both communities in Northern Ireland
    • Creates a new green lane which removes any sense of a border in the Irish Sea
    • Means Northern Ireland can benefit from the same VAT, food and drink and medicines as the rest of the UK

    You can find out more about the Windsor Frame work here. 

    TRANSFERRING DATA BETWEEN THE UK AND EU

    If you receive personal data from the EU for business use, you should check the current guidance on using personal data in your business or organisation. Find out more at Using personal data in your business or other organisation

    China:

    Goods

    ANIMAL TESTING

    Imported general cosmetics* are no longer required to undergo mandatory pre-market animal testing in China for both standard trade and cross-border e-commerce so long as these steps are followed.

    The manufacturer must obtain a Good Manufacturing Practice standards (GMPC) certificate from the relevant government department of their country of origin. In the UK, this is the Import Licensing Branch (ILB) in the Department for International Trade.

    This flowchart outlines the application process, together with some useful FAQs and a pre-recorded webinar.

    If you have problems with the authorities not accepting your GMPC, download a copy of the OPSS letter to NMPA.

    *General cosmetics are classed as anything that does not include whitening and/or freckle-removing, sun-screening, anti-hair loss, or any product claiming new efficacies.

    ECOMMERCE OPPORTUNITIES

    China’s e-commerce market has grown significantly. The rapid expansion of cross-border e-commerce in the Chinese market is creating opportunities for small and medium-sized businesses to participate.

    According to Zmuni, the nine biggest e-commerce platforms in China are: Tmall, JD, Pingduoduo, Xiaohongshu, Taobao, Kaola, VIP, Douyu, and Mogu Jie.

    COMPLIANCE: PACKAGING AND INGREDIENTS

    Labelling requirements for products exporting to China:

    General cosmetics

    • Product’s Chinese name
    • Name and address of the filing person entity
    • Name and address of the responsible person entity in China
    • Manufacturer’s name and address
    • Product implementation standard number
    • Ingredients
    • Net content
    • Use period/expiry date
    • Usage instructions
    • Safety warnings
    • Other content as required by relevant laws, administrative regulations, and national standards

    Special cosmetics

    • Product’s Chinese name
    • Special cosmetics registration certificate number
    • Name and address of the registrant person entity
    • Name and address of the responsible person entity in China
    • Manufacturer’s name and address
    • Product implementation standard number
    • Ingredients
    • Net content
    • Use period/expiry date
    • Usage instructions
    • Safety warnings
    • Other content as required by relevant laws, administrative regulations, and national standards
    TRADE BARRIERS

    Trade barriers, such as tariffs or taxes, can raise costs, cause delays, or even stop you from exporting. Check for any issues that may impact your business when exporting to China.

     

    Services

    BUSINESSES WITH STAFF WORKING BETWEEN THE UK AND CHINA

    If you travel to China for work purposes, you may need a visa or work permit. Read the entry requirements.

     

    BUSINESSES THAT HIRE STAFF FROM CHINA

    Free movement has ended and the UK is introducing a new points-based immigration system.

    If you want to hire anyone from outside the UK, you must be a Home Office licenced sponsor. This includes recruiting people from China.

    Anyone coming to the UK to work will need a job offer from a licenced sponsor in advance, and will need to meet certain skills and salary criteria.

    Find out more: The UK’s points-based immigration system: an introduction for employers (accessible version)

      CONTINUE LIVING AND WORKING IN CHINA

      Living and working abroad depends on the rules in that country. You may need to:

      â–ª register or apply for residency;

      â–ª check that you are covered for healthcare;

      â–ª exchange your UK driving licence for a licence issued by the country where you will live.

      Find out more: Living in China guidance

      Resources

      CHINA-BASED BUSINESSES TRADING IN THE UK
      TRANSFERRING DATA BETWEEN THE UK AND CHINA

      Data security laws in China have changed in recent years, impacting how data can be collected, used, stored and protected. Review these changes to ensure you are remaining compliant.

       

      TRADE ADVISORS

      The Department for International Trade (DIT) offers a personalised service with information and guidance on how to access the China beauty market.

      Email Doris Zhou from the DIT China Team (Shanghai).

      Your local international trade adviser can also offer free export-related advice to help your business trade internationally. Get in touch with your local international trade adviser.

      WEBINARS
      PUBLICATIONS AND ARTICLES
      • There is lots of useful insight on trading and trends in China via the regular Azoya Group blog.
      • Zmuni, the Chinese Cosmetic Regulation Compliance Centre, also produce a useful blog. 

      USA:

      Goods

      EXPORTING GOODS

      Before you can begin trading in the US, you will need to familiarise yourself with the duties, rules, restrictions and documents you need for your products. See current duties and customs procedures for the USA.

      TRADE BARRIERS

      Trade barriers, such as tariffs or taxes, can raise costs, cause delays, or even stop you from exporting. Check for any issues that may impact your business when exporting to the US.

      You can also report any trade barriers that are affecting your business to the Department for International Trade.

      STANDARDS AND TECHNICAL REGULATIONS

      You must check your goods meets all legal requirements in the US and you have all the required licences before trading in the market.

      In December 2022, President Biden passed the Modernisation of Cosmetics Regulation Act (MoCRA).

      The FDA’s website is a good place to start when it comes to anticipating any new changes. And, BeautyMatter offers a series of useful resources and articles on this topic, including a helpful webinar.

      The National Institute of Standards and Technology also has more information on legal standards.

      COMPLIANCE: PACKAGING AND INGREDIENTS

      Keeping up with different market requirements can be a regulatory headache when selling cosmetic products worldwide.

      Companies often struggle with labelling, which is an important part of a cosmetic product’s packaging, both from a regulatory and marketing standpoint.

      The ingredient list is one of the most informative parts of the label. It describes the product’s composition, so it is important to write it correctly.

      Cosmetics sold in the US must comply with the Federal Food, Drug and Cosmetic Act (FD&C Act) and the Fair Packaging and Labeling Act (FPLA). Both acts should be considered when creating the ingredient list.

      To have a compliant ingredient list, you must ensure your product formula is compliant. This means thoroughly check that your formula does not include any prohibited ingredients, and if it includes a restricted ingredient, it complies with the restrictions.

      LABELLING

      There are specific labelling requirements for food, drugs, cosmetics and medical equipment in the US which are enforced by the FDA.

      You may also want to check local labelling regulations with the relevant state business bureau.

      EXPORT LICENSING AND RESTRICTIONS

      You’ll need a license to export certain goods and services to the US because the import of some items is restricted or prohibited. 

      Check with the UK’s Export Control Joint Unit (ECJU) to find out whether you need an export license.

      Check the US Customs & Border Protection’s (CBP) list of prohibited and restricted items.

      MOCRA

      Important details to note:

      • When the U.S. Food and Drug Administration (FDA) define ‘Responsible Person’, it is different from EU regulations. A US ‘Responsible Person’ does not need to be based in the US, they are the organisation responsible for reporting serious adverse events. The ‘Responsible Person’ is the brand. Often brands have misconceptions about this.
      • For product listing, even if manufactured outside of the US, the facility still needs to be registered with the FDA.
      • Brands must have a US agent who can be a conduit of information for the FDA, and this person must have a US number and address. 
      • Small businesses are exempt from some policies, but not all. They still must complete adverse event tracking, safety substantiations and labelling requirements. 

      Updates 

      There is a delay in some changes related to MoCRA coming into effect, however others will be introduced at the end of December 2023. 

      MoCRA requirements relate to :

      • Product listing and cosmetics facility registration (pushed to July 2024) 
      • Adverse event tracking
      • Safety substantiation 
      • Labelling regulations

      More guidance can be found: 

      Services

      WORKING AND LIVING IN THE USA

      You can visit the United States for business for up to 90 days through the US Visa Waiver Program. This is usually valid for 2 years or until your passport expires. 

      If you plan to work in the US, you’ll need a non-immigrant visa. The US Embassy can help with specific visa information.

      INTELLECTUAL PROPERTY

      Intellectual property (IP) rights are territorial and rights granted in the UK do not provide protection elsewhere. You should consider getting IP protection abroad if you want to trade overseas or sell to overseas customers via the internet.

      The Intellectual Property Office provides practical information to help you protect, manage and enforce your IP abroad. Further support for British businesses can be found through a network of IP attachés, based in key UK export markets.

      Resources

      Middle East:

      Goods

      EXPORTING GOODS

      Countries in the GCC (UAE, Saudi Arabia, Bahrain, Oman, Qatar, Kuwait) may follow slightly different export and import processes, so it’s important to check the specific country regulations. 

      PREPARING TO EXPORT GOODS

      Countries within the Middle East and GCC differ regarding what is necessary for exporting goods. 

      For the UAE, it is necessary to pay 5% VAT and import duties, as well as provide customs documents such as invoices, a certificate of origin, and bills of lading or airway bill. 

      Other GCC countries vary, but it is always necessary to gain pre-market approval and product registration prior to any cosmetics being imported, distributed or sold. 

      Further requirements may involve: 

      • Proof of GMP compliant manufacturing processes
      • Full ingredient lists 
      • Product safety data
      • Certificates of Free Sale for each country. 

      More information on differing policies in the GCC can be found here.

      TRADE BARRIERS

      Trade barriers, such as tariffs or taxes, can raise costs, cause delays, or even stop you from exporting. Check for any issues that may impact your business when trading with countries within the Middle East/GCC. Live updates can be found on the UK government website. 

      REGULATION

      Additional regulations can occur. In GCC countries these may include: 

      • Additional testing on products for heavy metals 
      • Samples of products to be sent for laboratory testing 
      • Halaal certification is not required for product registrations but may be helpful given a significant Muslim population in the countries 
      • Different countries within the GCC also ban and restrict various goods. More information here.
      LABELLING + PACKAGING

      The Gulf Standardization Organization (GSO) provides a framework for packaging and labelling products. 

      The labels must also be translated into Arabic, or local language, which can often be done through a local partner.

      Services

      LIVING + WORKING IN THE MIDDLE EAST

      UAE

      Short-term, it is possible to apply for a 3-month probationary work permit whilst on a visit visa. Working without a permit is at the risk of being fined, jailed or deported. 

      Long-term residence visas have additional requirements, such as a blood test. 

      If leaving the UAE permanently, it is important to cancel your work visa. It is possible to seek advice from local lawyers when leaving to ensure everything is correct. 

      Saudi Arabia

      It is possible to obtain an Electronic Visa Waiver for business for up to six months. Beyond this, it is necessary to go through the Royal Embassy of Saudi Arabia.

      British residents in Saudi Arabia also require a valid exit or re-entry permit from the Saudi Ministry of Interior to leave the country.

      Other GCC countries 

      The UK Government website can provide useful information on other countries and their requirements.

      INTELLECTUAL PROPERTY

      IP legislation is relatively new in some GCC countries.  Some, like the UAE, follow international IP regulations, however others have individual programmes. For example, Saudi Arabia, Qatar and Kuwait are not in the Madrid Protocol, meaning it is necessary to go through their national applications. 

      Tailored Government advice to UK stakeholders regarding intellectual property in the GCC can be found here. 

      Resources

      LEGAL GUIDANCE

      If you need legal advice abroad regarding business, it is possible to find lawyers through the UK government.

      TRADE ADVISORS

      Get in touch with a local Department for International Trade advisor: Find your local trade office.

      USEFUL LINKS

      Trade Update: UK-Gulf Cooperation Council FTA – Gov.uk

      Attaché contact details – Gov.uk

      Foreign travel advice Saudi Arabia – Gov.uk

      Exporting guide to United Arab Emirates – Great.gov.uk

      An Introduction to Regulation in the Middle East – The Red Tree

      Banned and restricted goods – The United Arab Emirates’ Government portal

      GCC Standardisation Organisation

      Find a lawyer abroad – Foreign, Commonwealth & Development Office (FCDO)

      6 Things to Know About Intellectual Property Protection in the Middle East – Morgan Lewis

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