Brexit fundamentally changed how UK Amazon sellers interact with European marketplaces. Before Brexit, selling across Amazon's European sites was relatively straightforward through programmes like Pan-European FBA and the European Fulfilment Network. Since the UK left the EU, things have become more complex — but opportunities still exist for sellers willing to navigate the new landscape.
The Pan-European FBA Split
Before Brexit, UK sellers could store inventory in a single European country and Amazon would distribute it across EU fulfilment centres. Your UK stock could be shipped to customers in Germany, France, Spain, and Italy without you doing anything extra. That seamless system ended when the UK left the EU's single market and customs union.
Now, the UK is treated as a separate marketplace. Selling on Amazon.co.uk works exactly as before, but selling on EU marketplaces (Amazon.de, Amazon.fr, etc.) requires separate inventory stored within the EU, separate VAT registration in at least one EU country, and customs declarations for any stock shipped from the UK to EU warehouses.
VAT Complications
This is the area that has caused the most confusion. If you want to sell on EU marketplaces, you need to register for VAT in the countries where your stock is stored. The EU's One Stop Shop (OSS) scheme simplifies some cross-border VAT reporting, but you still need at least one EU VAT registration. Many UK sellers use the Netherlands, Germany, or Poland as their EU base, depending on where Amazon stores their inventory.
The cost of EU VAT registration and ongoing compliance adds to your operating costs. For smaller sellers, this additional expense may not be justified unless EU sales volume is significant enough to warrant it.
Is Selling in the EU Still Worth It?
For sellers with high-volume products that have strong demand in Germany, France, or other EU markets — absolutely. The European marketplace is enormous and many product categories have less competition than the UK. For smaller sellers or those just starting out, it is often better to focus on the UK marketplace first and consider EU expansion later when you have the revenue to justify the additional costs and complexity.
The key is not to see Brexit as a barrier but as an additional step. Many UK sellers are still very successful across European marketplaces — they just have more administrative work to get there.