BETA


2023/0156(COD) Establishing the Union Customs Code and the European Union Customs Authority

Progress: Awaiting Council's 1st reading position

RoleCommitteeRapporteurShadows
Lead IMCO GOTINK Dirk (icon: PPE PPE) GRAPINI Maria (icon: S&D S&D), JORON Virginie (icon: PfE PfE), NESCI Denis (icon: ECR ECR), BALJEU Jeannette (icon: RE RE)
Former Responsible Committee IMCO CLUNE Deirdre (icon: EPP EPP)
Former Committee Opinion INTA BRICMONT Saskia (icon: Verts/ALE Verts/ALE) Emmanuel MAUREL (icon: GUE/NGL GUE/NGL), Margarida MARQUES (icon: S&D S&D), Michiel HOOGEVEEN (icon: ECR ECR), Martine KEMP (icon: PPE PPE)
Former Committee Opinion BUDG FERNANDES José Manuel (icon: EPP EPP)
Former Committee Opinion CONT SARVAMAA Petri (icon: EPP EPP) Pirkko RUOHONEN-LERNER (icon: ECR ECR)
Lead committee dossier:
Legal Basis:
RoP 57_o, TFEU 033, TFEU 114, TFEU 207

Events

2024/09/27
   EP - GOTINK Dirk (PPE) appointed as rapporteur in IMCO
2024/07/22
   EC - Commission response to text adopted in plenary
Documents
2024/03/13
   EP - Results of vote in Parliament
2024/03/13
   EP - Decision by Parliament, 1st reading
Details

The European Parliament adopted by 486 votes to 19, with 97 abstentions, a legislative resolution on the proposal for a regulation of the European Parliament and of the Council establishing the Union Customs Code and the European Union Customs Authority and repealing Regulation (EU) No 952/2013.

The European Parliament's position adopted at first reading under the ordinary legislative procedure amends the proposal as follows:

Subject matter and scope

The amended text stipulates that this proposed Regulation establishes a European Union Single Window Environment for Customs that provides an integrated set of interoperable electronic services, at Union level, to support interaction and enhance information exchange between the EU Customs Data Hub and the Union non-customs systems. It lays down rules for digital administrative cooperation and information sharing through interoperable data sets, within the EU Single Window Environment for Customs.

Mission of the customs authorities

The amended text stated that the customs authorities should introduce measures aimed, inter alia , at:

- ensuring that goods presenting a risk for the security of citizens and residents do not enter the customs territory of the Union, by putting in place the appropriate measures for controls of goods and supply chains;

- protecting the Union from unfair, non-compliant and illegal trade, including counterfeit and goods that are not in compliance with other legislation applied by the customs authorities through a close monitoring of economic operators, sectors and supply chains and a minimum core of customs infringements and penalties;

- supporting all legitimate business activity , by maintaining a proper balance between customs controls and facilitation of legitimate trade and simplifying customs processes and procedures through robust real-time risk analysis made possible, including by the artificial intelligence systems;

- promoting cost-efficiency by avoiding duplication, and promoting effectiveness in customs processes and an efficient use of related resources at Union and national level.

Grating operator status of a trust and check trader

A person, who is resident or registered in the customs territory of the Union who has conducted regular customs operations in the course of that person’s business for at least 2 years , may apply for the status of Trust and Check trader to the customs authority of the Member State where that person is established.

The EU Customs Authority should grant, after assessing the audit of the competent national authority, the status of Trust and Check trader to a person who meets all the following criteria: (a) the absence of any serious infringement or repeated infringements of customs legislation and taxation rules and no record of serious criminal offences; (b) financial solvency; (c) appropriate security, safety and compliance standards; (d) having an electronic system, including systems managed by a third-party provider, that exceptionally makes available to the customs authorities real-time access to appropriate and relevant data on the movement of the goods and the compliance of the person with all requirements applicable on those goods, including relating to safety and security.

Where a Trust and Check trader is involved in fraudulent activity in relation to its economic or business activity or serious infringement of relevant other legislation applied by customs authorities, its status should be suspended by the customs authorities.

The EU Customs Authority

The EU Customs Authority should:

- operate and maintain the information technology systems used for the implementation of the customs union, such as the EU Customs Data Hub;

- cooperate with other Union institutions, bodies, offices and agencies in areas where their activities relate to the management of goods crossing the external border;

- introduce a mandatory special scheme for the collection of customs duty on distance sales of goods imported from third territories or third countries;

- support the Commission and the Member States to enable them to supervise more efficiently the implementation of the restrictive measures that the Council may adopt on the flow of goods, to ensure that those measures are not circumvented.

Customs Advisory Board

The amended text suggested that the EU Customs Authority establish a Customs Advisory Board to assist the Executive Board.

Start of the EU Customs Authority's activities

The EU Customs Authority is established as of 2026 and should become fully operational as of 1 January 2028.

Platform on the reporting of goods

The EU Customs Authority platform on the reporting of goods should give authorities, businesses, consumers and citizens the opportunity to report goods that enter the internal market and are not in compliance with conformity standards and/or with relevant Union legislation. The platform should be set as an online platform, be easily accessible, intelligible and available in all official languages of the Union.

Cooperation with other authorities

Customs authorities should immediately alert competent Union and national authorities of any suspected infringement of Union legislation and send a notification to the EU Customs Data Hub

Minimum non-criminal sanctions

Members suggested that Member States should decide on the use of the proceeds resulting from the enforcement of non-criminal sanctions except for when established as an own resource.

EU Customs Data Hub

The functionalities of the EU Customs Data Hub should be fully operational by 31 December 2032. Before this date, the Commission may establish a pilot phase for the use of the EU Customs Data Hub. The pilot phase should be voluntary and have the purpose of testing its functionalities.

Documents
2024/02/28
   EP - Committee report tabled for plenary, 1st reading
Details

The Committee on the Internal Market and Consumer Protection adopted the report by Deirdre CLUNE (EPP, IE) on the proposal for a regulation of the European Parliament and of the Council establishing the Union Customs Code and the European Union Customs Authority and repealing Regulation (EU) No 952/2013.

The committee responsible recommended that the European Parliament's position adopted at first reading under the ordinary legislative procedure should amend the proposal as follows:

Subject matter and scope

The amended text stipulates that this proposed Regulation establishes a European Union Single Window Environment for Customs that provides an integrated set of interoperable electronic services, at Union level, to support interaction and enhance information exchange between the EU Customs Data Hub and the Union non-customs systems. It lays down rules for digital administrative cooperation and information sharing through interoperable data sets, within the EU Single Window Environment for Customs.

Mission of the customs authorities

The report stated that the customs authorities should introduce measures aimed, inter alia , at:

- ensuring that goods presenting a risk for the security of citizens and residents do not enter the customs territory of the Union, by putting in place the appropriate measures for controls of goods and supply chains;

- protecting the Union from unfair, non-compliant and illegal trade, including counterfeit and goods that are not in compliance with other legislation applied by the customs authorities through a close monitoring of economic operators, sectors and supply chains and a minimum core of customs infringements and penalties;

- supporting all legitimate business activity, by maintaining a proper balance between customs controls and facilitation of legitimate trade and simplifying customs processes and procedures through robust real-time risk analysis made possible, including by the artificial intelligence systems.

The EU Customs Authority

The EU Customs Authority should:

- operate and maintain the information technology systems used for the implementation of the customs union, such as the EU Customs Data Hub;

- cooperate with other Union institutions, bodies, offices and agencies in areas where their activities relate to the management of goods crossing the external border;

- introduce a mandatory special scheme for the collection of customs duty on distance sales of goods imported from third territories or third countries;

- support the Commission and the Member States to enable them to supervise more efficiently the implementation of the restrictive measures that the Council may adopt on the flow of goods, to ensure that those measures are not circumvented.

Customs Advisory Board

The amended text suggested that the EU Customs Authority establish a Customs Advisory Board to assist the Executive Board.

Start of the EU Customs Authority's activities

The EU Customs Authority is established as of 2026 and should become fully operational as of 1 January 2028.

Platform on the reporting of goods

The report includes a new article calling for the setting up of an EU Customs Authority platform on the reporting of goods to give authorities, businesses, consumers and citizens the opportunity to report goods that enter the internal market and are not in compliance with conformity standards and/or with relevant Union legislation.

Cooperation with other authorities

Customs authorities should immediately alert competent Union and national authorities of any suspected infringement of Union legislation and send a notification to the EU Customs Data Hub

Minimum non-criminal sanctions

Members suggested that Member States should decide on the use of the proceeds resulting from the enforcement of non-criminal sanctions except for when established as an own resource.

EU Customs Data Hub

The report stated that the functionalities of the EU Customs Data Hub should be fully operational by 31 December 2032. Before this date, the Commission may establish a pilot phase for the use of the EU Customs Data Hub. The pilot phase should be voluntary and have the purpose of testing its functionalities.

Documents
2024/02/22
   EP - Vote in committee, 1st reading
2024/02/12
   EP - Committee opinion
Documents
2024/01/26
   EP - Committee opinion
Documents
2024/01/15
   EP - Committee opinion
Documents
2023/11/16
   EP - Amendments tabled in committee
Documents
2023/10/30
   EP - Committee draft report
Documents
2023/10/26
   SE_PARLIAMENT - Contribution
Documents
2023/10/19
   EP - Committee referral announced in Parliament, 1st reading
2023/10/19
   EP - Referral to associated committees announced in Parliament
2023/10/06
   IE_HOUSES-OF-OIREACHTAS - Contribution
Documents
2023/09/20
   ESC - Economic and Social Committee: opinion, report
Documents
2023/09/05
   EP - CLUNE Deirdre (EPP) appointed as rapporteur in IMCO
2023/07/18
   EP - SARVAMAA Petri (EPP) appointed as rapporteur in CONT
2023/06/28
   EP - FERNANDES José Manuel (EPP) appointed as rapporteur in BUDG
2023/06/27
   EP - BRICMONT Saskia (Verts/ALE) appointed as rapporteur in INTA
2023/05/17
   EC - Document attached to the procedure
2023/05/17
   EC - Document attached to the procedure
2023/05/17
   EC - Document attached to the procedure
2023/05/17
   EC - Legislative proposal published
Details

PURPOSE: to establish an EU Customs Code and Customs Authority.

PROPOSED ACT: Regulation of the European Parliament and of the Council.

ROLE OF THE EUROPEAN PARLIAMENT: the Council adopts the act after consulting the European Parliament but without being obliged to follow its opinion.

BACKGROUND: a well-functioning customs union is fundamental to the EU's economy and prosperity, as well as its international competitiveness. The EU economy is in the twin green and digital transition and has therefore adopted ambitious legislation, setting environmental, security, social and digital standards that shape the way businesses operate within and beyond the single market. This ambitious agenda risks being undermined if Union productions are replaced by imports from third countries that do not respect these standards. Without central supply chain monitoring and control by customs, the Union does not have full visibility on which goods enter and leave its territory.

Customs authorities are increasingly burdened with an ever-growing range of tasks stemming from the above mentioned very ambitious legislation that has been adopted in the last years. As a result, customs authorities are today squeezed between increasing tasks and complexity on the one hand, and a sharp increase of low value shipments in e-commerce on the other.

This reform strengthens the capacity of customs to supervise and control which goods enter and leave the customs union. It fulfils the promise of the President of the Commission to ‘take EU customs to the next level’ and is based in particular on the recommendations made by the Wise Person’s Group on the future of customs in 2022.

CONTENT: the proposal aims to replace Regulation (EU) No 952/2013 with a view to revising and simplifying a number of rules and procedures governing goods enter and leave the Customs Union. It aims to establish the EU Customs Code as well as the EU Customs Authority and the rules, common standards and a governance framework for the establishment of the EU Customs Data Hub.

Customs will take a new strategic approach, driven by data analysis of supply chain information, to have targeted and coordinated customs action. The cooperation framework of customs authorities, market surveillance authorities, law enforcement authorities and bodies, tax authorities and other partners is strengthened. In a new partnership with trade operators, the administrative burden is reduced and customs processes are streamlined.

New Union Customs Code

The proposal introduces the new Union Customs Code, that builds on many elements of the previous Code. The mission of customs authorities is strengthened, to reflect the wide range of services customs, starting with the collection of duties, to the protection of citizens, the environment and other public interests, the fight against unfair, non-compliant and illegal trade, as well as the support of legitimate trade flows. The proposal contains relevant definitions for the revised customs processes, most importantly the importer and exporter, the deemed importer in case of distance sales and the prohibitions and restrictions.

The reform aims for transparency and accountability of the responsible actors and in return offers simplifications of customs processes.

EU Customs Authority

A new EU Customs Authority will oversee an EU Customs Data Hub which will act as the engine of the new system. Over time, the Data Hub will replace the existing customs IT infrastructure in EU Member States. Based on a new EU-level risk analysis the EU Customs Authority will issue EU control recommendations to customs authorities. The EU Customs Authority will also actively coordinate customs action across the EU and implement political priorities for the functioning of the Customs Union.

EU Customs Hub

Businesses wishing to bring goods into the EU will be able to log all the information on their products and supply chains into a single online environment: the new EU Customs Data Hub. This cutting-edge technology will compile the data provided by business and – via machine learning, artificial intelligence and human intervention – provide authorities with a 360-degree overview of supply chains and the movement of goods.

The EU Customs Data Hub will be developed gradually, starting with the new approach for e-commerce. Traders can start using the EU Customs Data Hub as of January 2032, and would be obliged to do so by 2037, when it will be fully operational. The EU Customs Authority will be gradually established and shall assume its tasks from 2028.

Business and trade benefits

Under the new proposal, businesses will only need to interact with the customs hub when submitting their customs information and will only have to submit data once for multiple consignments. In some cases where business processes and supply chains are completely transparent, the most trusted traders (‘Trust and Check' traders) will be able to release their goods into circulation into the EU without any active customs intervention at all.

Bringing goods into the customs Union

The proposal presents the new simplified process for bringing goods into the Customs Union, a significant reduction in complexity and administrative burden. Customs collects information for risk analysis, including advance cargo and pre-departure information and intervene where necessary. The focus of customs administrations shifts from the individual consignment towards the supply chain supervision to identify risks. Customs maintains the capacity to intervene on every individual consignment, based on the information in the EU Customs Data Hub.

Budgetary implications

The EU Customs Authority and the development of the EU Customs Data Hub will not require a budgetary increase within the 2021-2027 period, as the costs of approximately EUR 60 million during the first 2 years will be financed under the Customs Programme 2021-2027.

Post 2027 the total costs of the Reform for the EU budget are estimated in the region of EUR 1.855 billion. This covers the cost of the tasks entrusted upon the EU Customs Authority with this proposal as well as the EU Customs Data Hub, without pre-empting the agreement on the post 2027 MFF and programmes.

Documents

Votes

A9-0065/2024 – Deirdre Clune – Before Article 147 – Am 299 #

2024/03/13 Outcome: -: 421, +: 188, 0: 2
IT PL HR CZ CY SK LV LU SI MT EE LT DK FI IE FR HU EL BE AT BG SE PT NL RO ES DE
Total
65
46
12
20
1
12
6
5
8
4
7
9
11
11
12
71
15
14
19
18
17
19
18
25
27
56
83
icon: ID ID
52

Czechia ID

For (1)

1

Estonia ID

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1

Denmark ID

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1
3
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60

Croatia ECR

1

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1

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1

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1

Greece ECR

1

Bulgaria ECR

2

Romania ECR

1

Germany ECR

1
icon: NI NI
34

Czechia NI

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1

Latvia NI

1

France NI

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1

Greece NI

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2

Belgium NI

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1

Netherlands NI

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1

Romania NI

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1

Germany NI

2
icon: The Left The Left
30

Czechia The Left

1

Denmark The Left

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1

Ireland The Left

4

Belgium The Left

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1

Sweden The Left

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1

Portugal The Left

2

Netherlands The Left

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1
icon: Renew Renew
83

Poland Renew

1

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1

Slovakia Renew

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3

Luxembourg Renew

2

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2

Estonia Renew

3

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1

Finland Renew

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2

Ireland Renew

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1

Hungary Renew

2

Greece Renew

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1

Belgium Renew

2

Austria Renew

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1

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3

Sweden Renew

3

Netherlands Renew

4
icon: Verts/ALE Verts/ALE
62

Italy Verts/ALE

3

Poland Verts/ALE

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1

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3

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1

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2

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1

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3

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2

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1

Belgium Verts/ALE

3

Austria Verts/ALE

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2

Sweden Verts/ALE

2

Portugal Verts/ALE

Against (1)

1

Netherlands Verts/ALE

3

Spain Verts/ALE

3
icon: S&D S&D
129

Czechia S&D

Against (1)

1

Cyprus S&D

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1

Slovakia S&D

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1

Latvia S&D

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2

Luxembourg S&D

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1

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3

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2

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3

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4

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161

Croatia PPE

4

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3

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3

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1

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4

Malta PPE

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1

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1

Belgium PPE

Abstain (1)

4

A9-0065/2024 – Deirdre Clune – Commission proposal #

2024/03/13 Outcome: +: 486, 0: 97, -: 19
DE IT ES FR NL RO PL PT BE BG IE CZ AT EL DK SK LT SI HR FI LV HU SE EE LU MT CY
Total
82
63
55
69
26
23
45
20
19
17
13
20
18
16
11
10
9
8
12
9
7
14
19
7
5
4
1
icon: PPE PPE
160

Denmark PPE

For (1)

1

Hungary PPE

Abstain (1)

1

Estonia PPE

For (1)

1

Luxembourg PPE

For (1)

1

Malta PPE

For (1)

1
icon: S&D S&D
119

Romania S&D

3

Belgium S&D

2

Czechia S&D

For (1)

1

Greece S&D

1

Lithuania S&D

2

Slovenia S&D

2

Latvia S&D

2

Estonia S&D

2

Luxembourg S&D

For (1)

1

Cyprus S&D

1
icon: Renew Renew
83

Poland Renew

1

Belgium Renew

2

Ireland Renew

2

Austria Renew

For (1)

1

Greece Renew

1

Slovakia Renew

3

Lithuania Renew

1

Slovenia Renew

2

Croatia Renew

For (1)

1

Finland Renew

For (1)

1

Latvia Renew

For (1)

1

Hungary Renew

2
3

Estonia Renew

3

Luxembourg Renew

2
icon: Verts/ALE Verts/ALE
62

Italy Verts/ALE

3

Spain Verts/ALE

3

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3

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For (1)

1

Portugal Verts/ALE

1

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3

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2

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3

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2

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1

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1
icon: The Left The Left
32

Netherlands The Left

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Portugal The Left

4

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1

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51

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icon: NI NI
35

Germany NI

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2

France NI

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1

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1

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1
icon: ECR ECR
60

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1

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2

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1

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1

Croatia ECR

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1

Finland ECR

1

Sweden ECR

3
AmendmentsDossier
723 2023/0156(COD)
2023/11/17 IMCO 302 amendments...
source: 756.213
2023/11/30 BUDG 41 amendments...
source: 754.944
2023/12/05 INTA 296 amendments...