From your company to your customer via multiple countries
Your company, based in Hong Kong, ships raw materials (e.g. cloth) via the Netherlands to your contract manufacturer in Italy. In Italy your products are processed to fashionable end products and are made ready for shipping to customers in- and outside the EU. From the start in Hong Kong to the supply to the customer the products have one or more stop-overs in other EU countries. This means you will have to deal one customs regime but different VAT regimes. Insight in these regulations as well as up-to-date information about the latest EU court cases is decisive to be compliant and to prevent you from paying VAT penalties afterwards.