The reform of the Union Customs Code changes who is treated as the ‘importer’ when a non-EU company uses an indirect customs representative. That creates a problem under the EU VAT Directive, which links import VAT deduction to being identified as the importer or consignee. In practice, the non-EU company may no longer meet that requirement, while the customs representative may not qualify for the deduction either.

That could leave import VAT irrecoverable and create uncertainty for businesses using established import models. The Commission should ensure that the non-EU principal can still be identified in customs data for VAT purposes and fix the mismatch between the UCC and the VAT Directive.

Learn more about what changes are needed to keep import VAT deductibility workable under the new customs framework.

"Gold-plating" of EU legislation has become a structural challenge for companies operating across the Single Market. While Member States are often permitted to introduce additional national measures when implementing EU law, these divergences frequently create fragmented compliance requirements, administrative burdens and increased costs for businesses.

Drawing on examples from AmCham EU member companies across digital policy, cybersecurity, data protection, telecommunications, environmental regulation, consumer protection, tax transparency and labour law, the paper shows how national additions to EU rules can result in parallel compliance systems, duplicate reporting obligations, country-specific product adaptations and barriers to cross-border operations.

The paper highlights four key findings:

• Divergence between Member States is often a bigger cost driver than any single regulatory requirement.

• Fragmentation extends beyond directive transposition and also arises through opening clauses, national guidance, administrative practices and regional measures.

• Minimum-harmonisation legislation can still create significant Single Market fragmentation.

• Gold-plating occurs at both national and sub-national levels.

The European Commission should address these issues through greater consistency in implementation, increased transparency around national additions, reduced duplication in reporting and registration requirements, stronger implementation dialogue and the use of Single Market enforcement tools where appropriate. The objective is not to remove legitimate national discretion, but to prevent unnecessary regulatory barriers within the Single Market.

On Tuesday, 22 September, AmCham EU hosted Dragoș Tudorache, Member of the Cabinet of Executive Vice-President Stéphane Séjourné, European Commission, for a fireside chat. Moderated by Malte Lohan, CEO, AmCham EU, the conversation explored the growing role of economic security in Europe’s trade agenda and external relations. The exchange examined how this shift is shaping the EU’s engagement with trading partners and its position globally. Attention also turned to the choices facing Europe in a changing geo-strategic landscape, including how to reinforce resilience and strengthen competitiveness.

On Monday, 21 September, AmCham EU hosted Sigitas Mitkus, Lithuanian Vice-Minister of Foreign Affairs, for a fireside chat. Moderated by Malte Lohan, CEO, AmCham EU, the participants looked ahead to Lithuania’s Presidency of the Council of the EU and the role business can play in supporting its priorities. The exchange focused on Lithuania’s upcoming Presidency priorities, including strengthening transatlantic relations, enhancing European competitiveness and security, and advancing simplification. Discussions also covered Single Market fragmentation, access to finance, digital policy, support for Ukraine and defence cooperation, with an emphasis on private sector investment and effective implementation of EU initiatives.

In her 2026 State of the Union address, European Commission President Ursula von der Leyen described ‘a complex age of great possibilities and great perils’. From geopolitical tensions and energy prices to supply chain disruption, businesses operating in Europe face this reality every day. It is an environment that underscores the need for a strong Europe. A stronger, more united Europe is a more attractive place for American companies to invest. 

On Wednesday, 9 September, AmCham EU joined 19 other associations to mark Brussels’ return from the summer break at the Royal Belgian Institute of Natural Sciences. The event drew over 800 guests and included a keynote speech by Jessika Roswall, European Commissioner for Environment, Water Resilience and a Competitive Circular Economy. The evening provided a platform for stakeholders from industry, politics, civil society and media to connect. This year’s conversations focused on Europe’s place in a changing world and the policies needed to boost growth and the EU’s competitiveness.