Cabotage occurs when a vehicle performs a collection-and-delivery haulage job in a country other than the country where the vehicle is registered.
Source example: a UK haulier collecting in Amsterdam and delivering in Rotterdam.
Under the UK–EU agreement, limited cabotage/third-country movement is permitted.
The source states: up to two additional movements following a loaded journey from the UK.
Of these movements, one may be a cabotage movement or a third-country movement within a 7-day period.
Operators wishing to make more than two third-country movements need an ECMT permit, according to the source.
Northern Ireland-based operators may undertake two cabotage journeys after a loaded journey from Northern Ireland, provided both are completed within 7 days.
Cabotage is an internal journey in the host country, so the operator must comply with that country's domestic transport requirements.
Pay particular attention to rates and conditions of carriage, weights and dimensions, special goods requirements, drivers' hours and VAT.
VAT on cabotage services is charged at the rate applicable in the country where the operation takes place; the source states operators generally need VAT registration in each country where cabotage is performed.