INTERNATIONAL TRANSIT UNDER NCTS

INTERNATIONAL TRANSIT UNDER NCTS

NCTS is the electronic system used to move goods under the Common Transit procedure between countries that are parties to the Convention. Ukraine has applied international Common Transit since 2022 and moved to NCTS Phase 6 on 22 June 2026.

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For an importer, exporter or carrier, the main benefit is that one transit declaration and guarantee accompany the goods from the office of departure to the office of destination. The owner should know in advance who will be the holder of the procedure, who provides the guarantee and where the transit ends, because this affects funding, delivery time and the responsibilities of the parties.

When a Company Needs Common Transit

Common Transit allows goods to move through the territories of the Contracting Parties to the Convention under customs control to a specified office of destination. The holder of the procedure undertakes to deliver the goods and comply with the transit conditions, the carrier physically transports the goods, and the guarantor secures potential customs payments. The owner can allocate these roles between employees and external contractors under the relevant agreements.

For each consignment, the goods, code, quantity, weight, means of transport, office of departure, office of destination and delivery deadline are important. Once the transit declaration is accepted, an MRN is assigned. Participants can use it to see the transit status and confirm that the required customs formalities have been completed.

The guarantee covers the amount of customs debt that could arise if the procedure is breached. For a one-off shipment, the owner may use an individual guarantee or a guarantor's service. For regular transport, it is useful to compare the cost of separate guarantees with the possibility of a comprehensive guarantee and available customs simplifications.

The owner should distinguish NCTS from an ordinary carriage contract. The carrier is responsible for physical delivery under the transport contract, while the holder of the procedure assumes the customs obligation under Common Transit. One person may combine these roles, but the director must know who is responsible to customs and whose guarantee is being used.

For regular transport, NCTS gives the owner statistics on transit times and guarantee utilisation. Across several dozen MRNs, it is possible to see the average transit time, the countries with the greatest delays and the amount of guarantee limit tied up at the same time. This data is useful in negotiations with the carrier and guarantor.

Declaration, Guarantee and Transport

From 22 June 2026, Ukraine applies NCTS Phase 6 internationally in Opt-in mode. The new version uses an updated customs-data model and supports a combined transit declaration with safety and security data. For the carrier, this means that the software, declaration and message exchange must meet the current format; for the cargo owner, it means that agreements with the broker and carrier must reflect the current transit procedure.

For entry into the EU in 2026, the exchange of safety data through ICS2 is also relevant. The technical procedure may differ depending on the country where the border is crossed, so the director should agree with the carrier and broker who submits the required information before the vehicle departs. This directly affects border-crossing time.

After delivery, the goods are presented to the office of destination within the prescribed time. Proper discharge of the transit releases the relevant part of the guarantee. The owner should retain the MRN, transport documents and discharge messages: they confirm performance of the transport contract and are useful for subsequent regular shipments.

If the goods move through several countries, the director agrees border-crossing points and safety data with the carrier before the journey begins. In 2026, the interaction between NCTS Phase 6 and ICS2 is particularly important for entry into the EU. Correct data exchange reduces the risk of a vehicle being delayed because of technical inconsistencies between declarations.

NCTS Phase 6 and Regular Transit Operations

NCTS is particularly useful for goods that cross several borders or are delivered to an inland office of destination. The owner compares the cost of the guarantee, broker and carrier services with the time saving and the possibility of using Common Transit instead of separate transit procedures in each country. For a small number of shipments, one-off transit arrangements may be sufficient; for a regular flow, a comprehensive guarantee and other simplifications should be considered.

In the agreement with the broker or carrier, the director should state expressly who acts as the holder of the procedure, who is responsible for the guarantee, who receives NCTS messages and who presents the goods to the office of destination. This allocation of rights and duties reduces downtime and disputes about costs if the transit requires additional explanation.

UBC can help the owner choose how to organise transit, review agreements with the broker, carrier and guarantor, and explain the financial consequences of different options. The client receives a clear transport scheme: who is responsible for transit, which guarantee is used, which documents accompany the goods and when the obligation is considered discharged.

For a large flow of goods, the owner can separately calculate the cost of a comprehensive guarantee, the guarantor's fees and the company's own capital that is effectively tied up in transit operations. The owner can then choose the option that gives the lower total transport cost at the required delivery speed.

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Common Transit support through NCTS is available for both individual shipments and regular company logistics. A UBC specialist will explain the current requirements in detail, coordinate the guarantee and documents, and align the work of the participants. We will be pleased to answer additional questions and help the company organise international transit. We wish you every success in logistics!

Why Choose UKRBUSINESSCONSULT?

The principal activities of the UBC group include consulting, financial and investment services, searching for and selecting investors for businesses and arranging finance, the purchase and sale of established businesses in Ukraine, Europe and other countries, IT services, and commercial property development in Ukraine and abroad. For business development we also provide company registration in Ukraine, ready-made companies in the EU, company registration in England and other countries, corporate law, offshore and offshore company services, business consulting, audit, certification, LLC registration, registration of financial companies, asset management companies and investment funds, registration of joint-stock companies, securities and bond issues, and support for foreign investment.

Our continuously expanding network of regional and international partners directly assists in resolving our clients' matters when doing business both in Ukraine and abroad.

We are always focused on the result you need and will do everything required to achieve it within the necessary timeframe, taking detailed account of your wishes and requirements. Why is it better to start a business in Ukraine with UBC? The answer is simple: we have substantially more practical experience, resources and opportunities.

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Frequently Asked Questions

What is an MRN in NCTS?

It is the unique reference number of a transit operation, used by participants and customs authorities to identify the declaration and monitor its status.

Who can be the holder of the procedure?

The holder of the procedure is the participant that assumes the customs obligation under Common Transit. The director agrees its authority before the declaration is submitted.

When is the guarantee released?

After the transit has been properly discharged, the owner or other holder of the procedure can again use the relevant part of the guarantee limit under the prescribed procedure.

Can NCTS be used for regular transport?

Yes. For a regular flow, the guarantee limit should be calculated, roles allocated and available simplifications assessed.

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Since 2003, UBC has created thousands of successful companies in Ukraine - we can help you too. We will be pleased to answer any further questions you may have. We wish you every success in business!