For UK brands, the post-Brexit UK–Türkiye agreement is a genuine cost advantage over the Far East — but only if you meet the rules of origin. Here's how it actually works.
In force since the start of 2021, the UK–Türkiye Free Trade Agreement lets most knitwear that qualifies enter the UK at 0% customs duty. Compare that with the ~8–12% UK Global Tariff a Chinese-made jumper pays, and on a full bulk order the saving usually dwarfs any difference in unit price. It's one of the clearest reasons UK brands source knit from Turkey rather than the Far East.
The UK–Türkiye FTA effectively rolled over the terms of the EU–Turkey Customs Union relationship into a bilateral UK–Turkey framework for the post-Brexit period. For textiles and apparel (HS Chapters 50–63), the preferential zero rate applies to qualifying goods — meaning goods that meet the agreement's rules of origin. The agreement covers virtually the full product range of knitwear: jumpers, cardigans, dresses, base layers, performance knit, accessories, and woven-knit mixed garments classified in Chapter 61 (knitted and crocheted clothing) and Chapter 62 where relevant.
Jumpers, pullovers, cardigans (HS 6110), knitted dresses (6104), T-shirts in knit (6109), base layers and performance knit (6101-6114), accessories such as gloves, scarves and hats (6116-6117). In short: knitwear manufactured in Turkey from yarn spun in Turkey or an eligible origin.
The UK Global Tariff (the default rate applied to imports from countries without a UK FTA) runs at approximately 8–12% for knitwear depending on fibre and classification. Cotton jumpers typically attract 12%; wool garments can run 12%; synthetic blends vary. These are the rates a competing China-sourced programme pays.
The 0% isn't automatic — it applies only to goods that qualify as originating in Türkiye under the agreement's rules of origin. For textiles (HS 50–63) those rules are strict: EU processing generally cannot be cumulated, so the knitting and making-up genuinely has to happen in Turkey.
A jumper knitted in Gaziantep from yarn that was spun in Turkey (or in an eligible third country under diagonal cumulation rules) meets the origin requirement. This is the standard path for a purpose-built Turkish knitwear programme.
Cashmere from Mongolia, merino from Australia, alpaca from Peru — if the yarn is knitted in Turkey using sufficient processing (typically yarn-forward: knitting from yarn), origin is normally established. Confirm the specific HS code and processing rule with your customs broker for certainty.
A garment made in another country and simply transshipped through Turkey does not acquire Turkish origin. Origin is determined by where substantial transformation occurred — knitting a garment from yarn constitutes substantial transformation; packing or labelling does not.
Yarn sourced from countries excluded from diagonal cumulation may complicate origin. This is unusual for standard commercial yarns but worth checking if you have a specific non-standard fibre. Your customs broker can confirm the origin analysis for your HTS code and yarn specification.
Check the product-specific rule for your commodity code with your customs broker. For standard flat-knit knitwear made from yarn in Turkey, this is normally straightforward — but confirm the exact HS classification and applicable processing rule for your specific garment and yarn combination.
We issue a EUR.1 movement certificate (or an origin declaration on the commercial invoice for consignments under a qualifying threshold) evidencing Turkish origin. The EUR.1 is the primary document your customs broker presents to claim the preferential rate. We prepare this for every qualifying shipment as standard.
Your freight forwarder or customs broker enters the preference claim and EUR.1 reference on the customs entry at Felixstowe (or whichever UK port of entry). Without an explicit preference claim, HMRC applies the standard rate — the zero rate is not applied automatically.
Keep EUR.1 certificates and supporting supplier documentation for at least four years — HMRC can audit origin claims retrospectively. We retain our own production documentation to support any HMRC query.
A few pence saved on a unit price in the Far East can vanish against a double-digit tariff at UK import, plus four-to-six-week freight and the cash tied up in it. Duty-free entry from Turkey, with roughly 10–14 day shipping to Felixstowe, changes the landed-cost maths — which is the number that actually hits your margin.
Consider a realistic scenario: a merino cardigan at $26 FOB from Turkey versus $20 FOB from China. The Chinese garment attracts approximately 12% UK duty ($2.40 per unit). Total FOB-equivalent from China: $22.40 plus longer freight. The $6 FOB gap from Turkey narrows to roughly $3.60 after duty — and the Turkey programme ships in 10 days versus 30+, with a quarter of the MOQ commitment. At programme scale (even 500–1,000 units), the duty saving alone amounts to a material sum, and the working capital freed by lower MOQ and faster transit adds further.
| Garment | Turkey FOB | + UK Duty (0%) | China FOB | + UK Duty (~12%) |
|---|---|---|---|---|
| Cotton crew-neck jumper | $14 | $0 | $11 | ~$1.32 |
| Merino cardigan | $26 | $0 | $20 | ~$2.40 |
| Cashmere sweater | $42 | $0 | $35 | ~$4.20 |
FOB prices are illustrative and will vary by style, season, gauge and yarn. Duty percentages are indicative — confirm your exact commodity code rate with your broker.
The FTA covers a very broad range, but origin qualification depends on the specific product, yarn and manufacturing process. We review the origin position at the tech pack stage and flag any items where the eligibility is not straightforward. In practice, standard flat-knit programmes are almost always qualifying.
HMRC can request evidence supporting an origin claim — the EUR.1 itself, plus underlying manufacturing records. We retain production and sourcing documentation to support any HMRC audit and can provide supporting evidence on request. Preferential origin claims made on goods that genuinely qualify are straightforwardly defensible.
The UK–Türkiye FTA is a bilateral treaty and, like any treaty, is subject to renegotiation. There is no indication of imminent change, and both parties have maintained the relationship post-Brexit. That said, trading agreements can change — we monitor developments and would advise customers if anything material shifted.
Import VAT (20% for standard-rated goods) is still payable on imports from Turkey, as with all imports into the UK. The FTA affects customs duty, not VAT. Most registered businesses recover import VAT through their VAT return, so it is a cash flow consideration rather than a cost — confirm with your accountant.
We're a knitwear manufacturer, not a customs broker — this is general guidance, not customs or legal advice, and agreements and commodity codes change. Confirm the current rules and your classification with a licensed UK customs broker. What we provide is genuinely Turkish-origin production and the EUR.1 / origin documentation to back your claim.
Send your styles and quantities. We'll quote ex-works and, with your broker's duty figure, you can compare a true UK landed cost against your current sourcing.
Manufacturer Pages
The UK–Türkiye FTA is a bilateral treaty and, like any treaty, is subject to renegotiation. There is no indication of imminent change, and both parties have maintained the relationship post-Brexit. That said, trading agreements can change — we monitor developments and would advise customers if anything material shifted.
Import VAT (20% for standard-rated goods) is still payable on imports from Turkey, as with all imports into the UK. The FTA affects customs duty, not VAT. Most registered businesses recover import VAT through their VAT return, so it is a cash flow consideration rather than a cost — confirm with your accountant.