REX registered exporter

What it means

REX, the registered exporter system, is the EU system in which exporters register so they can declare the preferential origin of goods themselves on commercial documents such as an invoice. As a result, the customer in the partner country pays reduced or zero customs duty without a separate certificate of origin.

Under certain trade agreements and the generalised scheme of preferences, the system replaces paper certificates of origin that customs had to endorse. An exporter registered in REX issues the statement on origin itself and is responsible for it.

The key is determining the origin of the goods correctly under the rules of the specific agreement. It is not enough that the goods were shipped from the EU; they must meet the rules on sufficient processing, such as limits on third-country materials or a change in tariff classification.

How it works in practice

Customs grants REX registration on the exporter's application. For low-value consignments, an unregistered exporter may also make the statement on origin, but above that, registration is required. The REX number is then quoted in the statement on the invoice.

Before issuing the statement, the exporter must be able to prove origin: bills of materials, supplier declarations on the origin of inputs, production processes and calculations. These records are kept in case the partner country's customs carries out a verification.

For exporters, REX is a competitive advantage. A customer who saves duty thanks to a correct statement is more likely to choose a supplier who can provide such documents. The import customs declaration then refers to the statement on origin.

What to watch out for

An incorrect statement on origin can have serious consequences. If verification shows the goods did not have preferential origin, the customer must pay the duty and may claim compensation from the exporter. Repeated errors can lead to registration being revoked.

Origin rules vary between agreements and change over time. Goods with preferential origin under one agreement may not have it under another. When entering a new market, the rules must be checked afresh rather than relying on an earlier assessment.