Preparedness for Brexit

On the 1 January 2021 the transition arrangements for the UK to leave the EU come to an end. For some time now Pacer Components Ltd and Solid State Supplies Ltd  (“the Companies”) have been preparing for the new arrangements, as far as they are known, that will exist once the transition period ends.

As distributors of electronic and opto-electronic components and systems both Companies are experienced in the import and export of products and the associated customs and freight procedures. However, many changes are being implemented and consequently Pacer and Solid State have a joint working group that is examining and monitoring changes to legislation and procedures that have the potential to impact our business processes. Where necessary employees are being trained on new processes for example the NCTS, CTC and CDS systems.

Both Companies are ensuring that the data held on their systems are accurate and current. All of the tariff classifications for products sold by the Companies have been checked and where necessary updated to ensure that all tariffs are correctly applied.

The largest area of risk that has been identified to date is the potential for bottle necks occurring at ports both inbound and outbound where processes may become overwhelmed with incorrect declarations and paperwork causing long delays. As part of the mitigation process for this both Pacer and Solid State are examining the buffer stocks held for customers within our warehousing facilities and where necessary buffer stocks are being increased. If you have specific concerns about products covered by any purchase order that you have with us, we would be happy to discuss extended buffers. Please contact your sales representative to discuss this or any other concern that you may have, either on their direct line or on our toll free sales line 866 375 6652.

In closing, please be aware that both Pacer and Solid State are looking at the possibility of applying for Authorised Economic Operator (AEO) status. The evaluation of the HMRC requirements and the potential benefits that this may bring versus the resource and cost requirements have not yet been completed. If the Companies choose to move ahead with AEO status we will of course inform our customers.

If you should have any questions relating to our preparedness for the end of the transition arrangements, then please do not hesitate to contact John Macmichael, Managing Director.