Two CJEU Decisions on the concept of “First Sale for Export” in Customs Valuation
On 30 October 2025, the European Court of Justice (ECJ) issued guidance on the concept of ‘first sale for export’ in two important rulings. This concept, applicable during the years of the relevant imports, was based on Article 29 of the Community Customs Code (CCC) and Article 147 of its Implementing Regulation. Since 2016, these provisions have been replaced by Article 70 of the Union Customs Code (UCC) and Article 128 of the UCC Implementing Regulation.
In both cases ruled on by the ECJ, the main question was whether the ‘first sale’ could apply for customs valuation purposes. This topic is relevant in supply chains involving consecutive sales prior to import into a customs region. Typically, a first sale for export results in a lower customs value than a later sale in the supply chain.
In the first ECJ case, Massimo Dutti SA (C-500/24), goods were initially sold from manufacturers in Asia to a Swiss company (first sale), and then from the Swiss company to a Spanish importer (second sale). The goods were shipped directly from Asia to Spain, with some entering free circulation in the EU and others placed into a customs bonded warehouse for re-export.
The CJEU ruled that the customs value in this situation may not be based on the first sale unless it can be proven — beyond reasonable doubt — that the first sale was specifically intended for import into the EU. If the final destination is unclear at the time of the first sale, the customs value must be based on the second (final) sale.
In the second case, Compañía de Distribución Integral Logista SA (C-348/24), cigars were sold by a Cuban distributor to a Spanish company (first sale), placed in a customs (bonded) warehouse, and then sold again before being released intp free circulation (second sale). The key difference from the Massimo Dutti case is that all imported goods in the Logista case were placed under the bonded warehouse regime. The second sale therefore occurred while the goods were still in the bonded warehouse.
Unlike in the Massimo Dutti case, the ECJ ruled that the customs value may be based on the first sale, even if that sale was not definitively intended for import into the EU — provided the goods are placed in a customs bonded warehouse following the first sale.
What is the take-away for your business from these cases?
The two cases provide further guidance to the concept of ‘first sale for export’, although they were issued under the rules of law of the now-repealed CCC.
If your company’s supply chain involves consecutive sales before goods enter the EU customs territory, or if you place goods into a customs bonded warehouse prior to import, it is essential to assess the risks and opportunities related to customs valuation.
Our customs professionals are happy to help you map the customs valuation possibilities for your company and help you implement them.