Exporting to the Netherlands: What You Need to Know

The most advanced logistics and distribution network in Europe, an affluent population interested in U.S. goods (with the highest level of English fluency in Europe), and an innovative business sector interested in high-quality products—is this an exporter’s dreamland?

No, it’s the Netherlands!

This small but strategically located country is an important player in the global business network, with advanced infrastructure geared toward the transportation of goods, people and data. For new and veteran exporters alike, it offers opportunities to grow and scale global trade businesses.

In this article, I’ll look at the history of U.S. trade with the Netherlands; the process of exporting to the Netherlands, including documentation and compliance requirements; and the benefits and considerations for U.S. companies looking to break into the Dutch marketplace.

Trade and Exporting to the Netherlands

Based on close historical, cultural and commercial ties dating back to the American Revolution, the U.S. and the Netherlands have a strong bilateral relationship. This is also one of America’s oldest continuous bilateral trade relationships, dating back to the “First Salute” of the USS Andrew Doria at Fort Oranje on Sint Eustatius. Today, the U.S. is the largest foreign investor in the Netherlands and has its largest trade surplus ($51.5 billion in 2022).

The Netherlands is the 17th-largest economy in the world and the fifth-largest in the European Monetary Union (the Eurozone), with a GDP of just under $1 trillion in 2022. The Netherlands is the eighth-largest importer of U.S. goods; in 2023, exports to the Netherlands totaled $82.2 billion, according to the Census Bureau.

Exporting to the Netherlands: The Challenges

Dutch policy poses relatively few formal barriers to U.S. trade or investment. According to the Netherlands Country Commercial Guide, any market challenges that do exist are likely related to being part of the EU and are felt by all member states of the EU.

Due to the size, accessibility and competitive nature of the Dutch market, local importers usually insist on an exclusive distributorship. U.S. exporters may need to adapt their products and documentation for the Dutch market.

Because of its friendliness toward U.S. goods, exporters of all sizes can absolutely be successful in the Dutch market with careful planning and assistance from agencies like the U.S. Commercial Service.

Exporting to the Netherlands: The Opportunities

In almost all situations, the potential rewards of exporting to the Netherlands outweigh any challenges exporters may face. Exporters should identify and cultivate business opportunities while building a strategy to minimize the risks. The following are identified as the top sectors for U.S. exports to the Netherlands:

• Aerospace—specifically unmanned aerial systems or remotely piloted aircraft (drones)
• Defense
• Cybersecurity
• Information technology
• Energy (The Dutch government has committed to transitioning away from natural gas as an energy source; this has gained further urgency in the Netherlands following the invasion of Ukraine.)
• Agriculture

Export Assistance

If you’re interested in exploring export opportunities in this region, there are plenty of resources you can lean on for help, including the U.S. Commercial Service office, trade missions and chambers of commerce.

U.S. Commercial Service Offices

One of the first places to consider are your local and in-country U.S. Commercial Service offices. Commercial Service in-country offices effectively serve as your business partners in the Netherlands—boots on the ground in the country. Commercial service offices also include representation by an agent, distributors or partners who can provide essential local knowledge and contacts that are crucial to your success.

You can learn more about in-country offices in our article, Tapping into the U.S. Commercial Service's In-Country Offices.

District Export Councils (DECs)

DECs across the country help exporters by supporting trade and services that strengthen individual companies, stimulate U.S. economic growth, and create jobs. DEC members also serve as mentors to new exporters and provide advice to smaller companies.

Trade Missions

Sponsored by state and local trade offices as well as commercial service offices, trade missions offer introductions to important contacts and networking opportunities. Check into them.

International Trade Administration (ITA)

The ITA is an excellent resource to help you combat trade problems. ITA staff members are resident experts in advocating for U.S. businesses of all sizes. They customize their services to help solve your trade dilemmas as efficiently as possible. Plus, the ITA makes it easy to report a problem, allowing you to submit your report online.

Chambers of Commerce

Chambers of Commerce may also be a resource when exporting to the Netherlands. You can learn more about various chambers and how they can help smooth the way for your export activities in our article, The Chamber of Commerce Role in Exporting.

Export Document Requirements for the Netherlands

Accurate export documentation and attention to procedures are as critical in exporting to the Netherlands as they are for exporting to any other country. An import license is not needed to import the majority of industrial goods into the EU; however, some industrial goods require import licenses issued by the Import Licensing Branch (ILB) as a result of controls imposed at national, EU and United Nations levels.

Documents you’ll need to export to the Netherlands (and the European Union) from the U.S. will vary depending on your products but may include:

• Bill of lading
• Commercial invoice
• Packing list
• Sales contract
• Proforma invoice
• AES filing
• Customs declaration
• Insurance policy

Export Compliance Issues When Exporting to the Netherlands

It’s important to understand the regulations covering exports to the Netherlands, especially export controls.

Product Classification for Export Controls

The first step in ensuring export compliance is determining who has jurisdiction over your goods: the U.S. Department of Commerce under the Export Administration Regulations (EAR) or the State Department's International Traffic in Arms Regulations (ITAR).

If your goods fall under the jurisdiction of the Commerce Department—which most products do—you must determine if your export requires authorization from the Bureau of Industry and Security (BIS, part of the Commerce Department). To make that determination, first answer the following questions:

• What is the Export Control Classification Number (ECCN) of the item?
• Where is it going?
• Who is the end user?
• What is the end use?

There are three ways to classify your products for export controls: You can self-classify your products, submit a SNAP-R request for a ruling, or rely on the product vendor to provide the information. Learn about that process in our article, Export Codes: ECCN vs. HS, HTS and Schedule B. By classifying your product correctly, you’ll be protecting yourself from potential fines, penalties and even jail time.

Export License Determination

Next, companies must use the ECCN codes and reasons for control described above to determine whether or not there are any restrictions for exporting their products to specific countries. Once they know why their products are controlled, exporters should refer to the Commerce Country Chart in the EAR to determine if a license is required.

Although a relatively small percentage of all U.S. exports and re-exports require a BIS license, virtually all exports and many re-exports to embargoed destinations and countries designated as supporting terrorist activities require a license. Countries fitting that bill are Cuba, Iran, North Korea and Syria.

Part 746 of the EAR describes embargoed destinations and refers to certain additional controls imposed by the Office of Foreign Assets Control (OFAC) of the Treasury Department.

Shipping Solutions Professional export documentation and compliance software includes an Export Compliance Module that uses the ECCN code for your product(s) and the destination country to tell you if an export license is required. If indicated, you must apply to BIS for an export license through the online Simplified Network Application Process Redesign (SNAP-R) before you can export your products.

There are export license exceptions, like low-value or temporary exports, that allow you to export or re-export, under stated conditions, items subject to the Export Administration Regulations (EAR) that would otherwise require a license. These license exceptions cover items that fall under the jurisdiction of the Department of Commerce, not items controlled by the State Department or some other agency.

Deemed Exports

Surprise! You may be an exporter without even knowing it! Deemed exports, or the disclosure of information or services rather than an actual product, is an important issue to pay attention to when exporting. A deemed export occurs when technology or source code (except encryption and object source code, which is separately addressed in the EAR under 734.2(b)(9)), is released to a foreign national within the United States.

Sharing technology, reviewing blueprints, conducting tours of facilities, and other information disclosures are considered potential exports under the deemed export rule and should be handled accordingly. You can learn how to apply this principle here.

Restricted Party Screenings

Restricted party lists (also called denied party lists) are lists of organizations, companies or individuals that various U.S. agencies—and other foreign governments—have identified as parties that one can’t do business with. There are several reasons why a person or company may be added to a restricted party list. For example, they may be a terrorist organization or affiliated with such an organization; they may have a history of corrupt business practices; or they may otherwise pose a threat to national security.

Restricted party screening (or denied party screening) refers to the process in which a company checks a potential customer or business partner against one or more of the restricted party lists to ensure their potential partners are legally accepted. The primary restricted party lists in the United States are published by the Department of Commerce, Department of State, and Department of Treasury. However, several other agencies produce lists as well. These agencies recommend that companies perform restricted party screening periodically and repeatedly throughout the movement of goods in the supply chain.

When exporting to the Netherlands, it’s imperative you check every single restricted party list every time you export because:

• Fines for export violations can reach up to $1 million per violation in criminal cases (Bureau of Industry and Security).
• Administrative cases can result in a penalty amounting to $250,000 or twice the value of the transaction, whichever is greater.
• Criminal violators may be sentenced to prison for up to 20 years, and administrative penalties may include denial of export privileges.

Export Documentation and Compliance Software

If you’re considering exporting to the Netherlands, Shipping Solutions export documentation software can help you quickly create the necessary documents and stay compliant with export regulations. Register for a free demo of Shipping Solutions software to see how it will revolutionize the way you’re currently creating your export paperwork.

This is one in a series of articles exploring exporting to specific countries across the globe—we previously featured China, the United Kingdom, Japan, Mexico, Canada, India, Brazil, Germany and France. 

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