If goods are imported under Customs Duty suspension scheme in accordance with Art 47 of ER it will not be considered as Import and VAT will not apply. VAT will be due once the goods are released from the suspension scheme. Eg: Import of re-export will not be considered as import for the purposes of VAT. But there are conditions set by the Customs for this which in this case would ideally be that such goods should be exported out of UAE within 6 months from the original date of import. If the importer fails re-export or diverts the material for local consumption (sale or otherwise), then they need to pay the applicable Customs Duty as well as VAT (RCM if its a registered importer). If the importer fails to comply with the suspension scheme then both Duty as well as VAT would become due.

Further adding to above, FTA will automatically will retrieve imports for re-export BOEs on the expiry of 6 months for the balance amount or full amount if not re-exported within 6 months because TRN is linked with Custom. Eventually RCM will be applicable.