Population and the Economy
With a population of 83.2 million, Germany is the most populated country in Europe. It also boasts a thriving economy, making it one of the wealthiest. This makes Germany an excellent choice for any e-commerce business looking to globalise its brand.
Mobile Usage and Amazon
Almost 80 per cent of the German population own smartphones. This has led to a further rise in e-commerce, as it is becoming easier and easier for consumers to make purchases from anywhere.
Amazon Germany is the third-largest website in the country and the third-largest e-commerce site globally.
Setting Up To Launch
In Germany, as a non-resident importer, you will need a German VAT Registration, together with an EU EORI number. You will be required to do periodic filings based on the periodicity the local tax office assigns to your registration. In Germany, this is typically Quarterly.
Germany is also quite regulated from a product compliance perspective. You would require authorized representation or responsible persons for food and contact materials, electronics, and toys
Launching Your Brand In Germany
Even with a VAT Registration and an EU EORI number, you will still require an Importer of Record to act on your behalf when sending your goods into Germany. When shipping directly into Germany, VAT of 19% will be payable on the import value (typically the selling price of your goods). This can, however, be reclaimed.
You will also need to carefully classify your goods in Germany, as duties will depend on this classification and are non-refundable.
Shipping can also be arranged directly to Germany or other countries in the EU.