Overview
In this guide, we will explain your compliance obligations, should you choose to sign up to the Amazon Pan-EU scheme. For the most up-to-date information, please refer to Amazon Seller Central, as they change this regularly.
What is the Amazon Pan-EU scheme?
The Amazon Pan-EU scheme (Pan-European FBA) is an Amazon fulfilment programme that allows Amazon to store and move your inventory across multiple EU countries and fulfil customer orders locally from the nearest warehouse.
Pan-EU allows Amazon to:
- Automatically distribute your FBA inventory across multiple EU countries
- Store stock in any eligible EU fulfilment centre
- Fulfil orders domestically in each country, improving delivery speed and reducing fulfilment costs
Instead of shipping cross-border for every order, Amazon decides where your stock sits.
What countries are involved in the Amazon Pan-EU scheme?
Core Pan-EU countries typically include:
- Germany
- France
- Italy
- Spain
- Netherlands
- Poland
- Czech Republic
Please Note: Amazon may add/remove countries over time - we'd recommend discussing directly with your Amazon Account Manager for clarification
What are the key benefits for enrolling in this scheme?
- Faster delivery times (Prime eligibility improves)
- Lower fulfilment and cross-border shipping costs
- Higher Buy Box competitiveness
- Better customer experience
Pan-EU is best for sellers who:
- Have stable EU sales volume
- Are prepared for multi-country VAT compliance
- Want faster delivery and lower fulfilment costs
What are your key obligations?
Once Pan-EU is active:
1. Amazon controls stock placement
- Inventory can be moved and stored in any Pan-EU country at any time
- You do not choose where inventory is held
2. VAT registration is required
You must:
- Register for VAT in every country where inventory is stored
- File ongoing VAT returns in each of those countries
This includes:
- Local sales VAT
- Intra-EU stock transfers (reported as movements, not sales)
- OSS does not remove the need for local VAT registrations where stock is stored
When are VAT obligations triggered?
Obligations for VAT start:
- As soon as inventory is physically stored in a country
- Not when you make your first sale there
Key Risks to be aware of
As part of the Pan-EU scheme, Amazon can:
- Move inventory without advance notice
- Create immediate VAT exposure if registrations aren’t ready
- It does not wait for your VAT registrations before moving stock
This is why VAT planning must happen before activation
Need more help?
If you are interested in the Amazon Pan-EU scheme, and would like Expandly to support with VAT registrations in core Pan-EU countries, please
Contact Us and the Team will be happy to help.