The Ultimate Compliance Guide to Selling on Amazon Europe
Why Compliance Is the Key to Amazon EU Success
Expanding into Europe is a major milestone for Amazon sellers. The EU marketplace offers access to millions of customers across high-consumption countries like Germany, France, Italy, and Spain. However, selling in Europe is not just about listing your products and shipping internationally.
Europe has strict regulatory standards, and sellers must meet local compliance requirements before they can begin selling. Failure to comply with tax, trade, product safety, and environmental rules can result in suspended listings, blocked inventory, or even legal consequences.
This guide breaks down the key areas of compliance every Amazon EU seller must understand: VAT, trade requirements (like FHDDS), product safety (GPSR), and environmental regulations (EPR), along with a step-by-step launch plan and resources to help you stay on track.
The Four Pillars of EU Compliance
1. VAT Compliance
VAT (Value-Added Tax) is a consumption tax levied on goods sold in the European Union and the UK. All sellers—whether based in Europe or overseas—must register for VAT in countries where they store goods or exceed distance selling thresholds.
Key points:
- UK and EU VAT are separate systems. You may need VAT numbers in both regions.
- Pan-EU sellers storing inventory in multiple countries (e.g., Germany, France, Italy, Spain) need VAT registration in each of those countries.
- Italy requires a high compliance threshold, including a refundable security deposit of 50,000 euros valid for 36 months.
- Once registered, sellers must collect VAT on applicable sales, file periodic returns, and stay aligned with local invoicing and record-keeping rules.
You generally need to register for European VAT if you are involved in:
| Scenario | VAT Registration Requirement |
| Importing Goods (from outside EU/UK) | If you're outside the EU or UK and importing products into an EU or UK fulfillment center or overseas warehouse, you must have a VAT number for customs clearance. |
| Storing Products in EU/UK Fulfillment Centers | If you store inventory in an EU or UK fulfillment center (including using Fulfillment by Amazon (FBA) or the Pan-European FBA Program), you need to register for VAT in each country where your inventory is stored. |
| Selling to Business Customers in Different EU Countries | If you sell products to business customers in different EU countries from your shipping destination EU country, you'll likely need to consider VAT registration. |
| Selling to EU Buyers Across Borders (EU-registered sellers only) | For EU-registered companies selling goods to consumers in other EU countries: if your annual sales exceed the €10,000 EU-wide distance sales threshold for sales without local stock, you must declare VAT via the One Stop Shop (OSS) scheme in your country of registration; if your sales do not exceed this threshold, you can choose to use OSS or declare VAT at your home country's rate. Conversely, if you hold physical stock in any other EU country (e.g., using FBA), regardless of sales volume, you are required to register for a separate VAT number in each of those countries, as this local registration is distinct from OSS. |
| Selling Domestically (from a company established in EU/UK) | If your business is founded in the EU or UK and you sell products to buyers in that same country, you need to register for a VAT number in that country if your sales exceed the domestic sales threshold. |
2. Trade Compliance Basics
To sell in Europe, Amazon sellers must meet key trade compliance requirements at both the EU and UK borders. These regulations ensure transparency in customs processes and help avoid costly delays or penalties.
EORI Registration
An EORI number (Economic Operators Registration and Identification) is required for any business importing or exporting goods into or out of the European Union or the UK.
Key points:
- You must apply for an EORI number in the EU (often through the country where your goods first enter the EU, such as Germany or the Netherlands).
- A separate EORI number is needed for the UK if you're shipping to or from there.
- Without a valid EORI number, your shipments will be delayed or rejected by customs.
- Apply for your EORI before you begin importing, and ensure it’s shared with your customs broker or freight forwarder.
HS Codes and Tariff Duties
HS (Harmonised System) codes are international product classification codes used in customs declarations. They determine the duties, VAT rates, and compliance rules that apply to your goods.
- The 10-digit commodity code used for UK/EU imports defines product-specific tariffs.
- Sellers should verify codes with customs brokers or manufacturers to avoid misclassification.
- Misuse of codes can result in overpaying taxes or fines.
It’s crucial to classify each product with the correct HS code, as this determines the applicable customs duties and VAT. You can find detailed information from the European Commission and the UK government.
UK-Specific: FHDDS (Fulfilment House Due Diligence Scheme)
If you're shipping goods to Amazon's UK fulfillment centers from outside the UK, you're subject to the Fulfilment House Due Diligence Scheme (FHDDS).
FHDDS requires sellers to submit an Import Entry Number (IEN) for every shipment arriving at Amazon UK. If the IEN or a valid exemption code is not submitted within 60 days of inventory arrival, Amazon may restrict your ability to create new UK shipments.
This trade compliance mechanism helps the UK government monitor inventory entering the country and ensure tax compliance. Sellers should coordinate with their freight forwarders and customs agents to secure timely documentation.
3. Product Compliance (GPSR)
Product compliance in the EU is centered around ensuring that all consumer goods sold meet strict safety standards. The key regulation that now governs this area is the General Product Safety Regulation (GPSR), which replaced the older General Product Safety Directive (GPSD).
What is GPSR? The GPSR is designed to ensure that products placed on the EU market do not pose any risk to consumer health or safety. It applies to most non-food consumer products sold within the EU, including electronics, toys, household goods, and more.
Key GPSR requirements include:
Appointment of an EU Responsible Person: Every product must have an identifiable responsible party within the EU who can be contacted by authorities regarding safety concerns.
Labeling obligations: Products must carry contact details of the responsible person and clear safety labels, warnings, and usage instructions in the local language(s).
Product data submission: Sellers must upload product compliance data (including documentation like declarations of conformity) to the Amazon seller backend to prove regulatory alignment.
Important dates: Sellers must comply with GPSR requirements by December 13, 2024, or risk listing removal.
GPSR compliance is not just a legal formality, it builds buyer trust and reduces the risk of account deactivation due to safety complaints or product takedowns.
4. Environmental Compliance (EPR)
The European Union is a leader in environmental policy, and sellers must comply with Extended Producer Responsibility (EPR) requirements in every country where they sell applicable goods. EPR shifts the burden of waste management and recycling from governments to producers.
What does EPR cover?
- Packaging waste (e.g., cardboard boxes, bubble wrap)
- Electronic and electrical equipment (e.g., chargers, small appliances)
- Batteries
- Single-use plastics (SUPs)
Country-specific regulations:
- Germany: Requires sellers to register for LUCID (packaging), WEEE (electronics), and SUP (plastic) programs. Non-compliance may lead to listing removals.
- France: Enforces unique Producer Identification Numbers (UIDs) across multiple categories. Amazon is legally obligated to verify and collect these from sellers.
- Spain: Enacted Royal Decree 1055/2022 requiring producers to demonstrate compliance with packaging waste and circular economy standards.
- EU Batteries Regulation: From August 18, 2025, sellers must register in countries like Germany, France, Poland, Netherlands, etc., for all products containing batteries or risk delisting.
A 12-Week Launch Plan for New Sellers
Entering the Amazon EU market can seem overwhelming, but with a structured approach, sellers can become fully compliant and operational within 12 weeks. Here's how to launch successfully:
Week 1–2: Register Your Amazon Account and Complete Identity Verification
Sign up for Amazon Seller Central in Europe.
Complete KYC (Know Your Customer) verification.
Prepare business documents and proof of identity.
Week 3–4: Prepare Logistics – Dual Warehouse Setup in the UK and Germany
Send inventory to both Amazon UK and Amazon DE fulfillment centers.
This covers the two largest markets and speeds up delivery.
Gain access to Pan-EU eligibility for broader reach.
Week 5–6: Register VAT in Multiple Countries
Start with Germany, France, Italy, and Spain.
Use SPN service providers (like VATAi) or faster processing.
Begin working on invoicing and VAT reporting infrastructure.
Week 7–8: Complete Product and Environmental Compliance
Register for EPR obligations (packaging, WEEE, batteries as needed).
Appoint an EU Responsible Person (GPSR).
Prepare and upload product compliance documentation.
Week 9–10: Enable Pan-EU Logistics
Join Amazon’s Pan-European FBA program.
Sync listings across DE, FR, IT, ES, and NL.
Verify warehouse settings and activate local fulfillment options.
Week 11–12: Final Checks and Go Live
Confirm all VAT numbers are activated.
Validate compliance uploads and listing status.
Test your listings and run your first sales campaigns.
This timeline helps avoid last-minute bottlenecks and ensures a smooth path to launching your Amazon EU store fully compliant and optimized for scale.
You can learn more from Amazon guide on HOW TO START SELLING ON AMAZON'S EUROPEAN STORES .
The Perfect Compliance Bundle: What It Includes & Why It Matters
To simplify the compliance journey, we offer bundled packages that cover the most critical requirements for sellers launching in Europe.
What does the bundle include?
VAT registration in four key markets: UK, Germany, France, Spain
Registration for the German Packaging Law (LUCID)
Appointment of an EU Responsible Person (GPSR compliance)
Why it matters:
Saves time by handling multiple steps in parallel
Reduces cost with special discounts (up to 70% off)
Gives sellers peace of mind that core compliance requirements are covered before launch
If you're serious about scaling in the EU, this bundle is the most efficient and cost-effective starting point. Contact VATAi today for more information.
What Happens If You Don't Comply?
Compliance is not optional. Amazon is under legal obligation to enforce tax, product, and environmental regulations across its EU marketplaces. Non-compliance can lead to:
- Listing suspension or removal
- Blocked inventory from entering fulfillment centers
- Fines and penalties from EU authorities
- Permanent account suspension for repeated violations
For example, missing a GPSR Responsible Person or failing to submit an EPR registration can result in immediate listing takedowns. Similarly, missing IEN submissions under FHDDS in the UK can halt your ability to send shipments.
Proactive compliance is the only way to ensure uninterrupted sales and sustainable success in the EU market.
Make Compliance Your Launchpad, Not a Roadblock
Expanding into Amazon Europe can feel daunting, but with the right preparation and partners, it becomes a clear and structured process. Compliance is not just about ticking boxes – it's about building a trustworthy brand and ensuring long-term growth.
Start early, prioritize the essentials (VAT, EORI, EPR, GPSR), and take advantage of expand bundles to save time and costs.
Ready to launch in Europe? Work with VATAi today! Let compliance work for you – not against you.
Need Help with VAT, EPR, GPSR Compliance?
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