YET: A success story in France

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In today’s newsletter:

• Top story: Ten years of YET: A French success story

• Presented by: Monaco Yacht Show 2026: Experience the Monaco Yacht Show as a VIP Visitor

• Charter Updates: FGI adds 3 new construction yachts to their charter fleet | 15% discount onboard Jaguar | The Leeward Islands onboard Orion | 20% onboard Alfa Nero | Step onboard 27m Pacha

• Superyacht Spotlight: A British kind of Odyssey

TOP STORY

Ten years of YET: A French success story

Ezio dal Maso, from Stephenson Hardwood and Alex von Stein of SOS Yachting provide insight on the YET Scheme in France and how it has changed the charter experience along European coastlines.

Ten years already! Since the introduction of the Yacht Engaged in Trade (‘YET’) regime, the superyacht landscape in France has been transformed. THis regulatory innovation, born from close cooperation between the Marshall Island registry, industry stakeholders, and French customs authorities, created a framework allowing private yachts to undertake limited commercial charter activity without permanently converting to commercial status. France was among the first jurisdictions to implement this bold concept, consolidating its position as a Mediterranean leader. Today, three flag states recognise the YET framework, with a fourth expected to follow shortly.

“Before YET, yacht owners faced a frustrating dilemma: opt for commercial status with all its regulatory and tax constraints, or remain purely private and forgo any charter income,” explains Ezio dal Maso, Partner at Stephenson Harwood in Paris. “The YET solution broke this deadlock by introducing a ‘dual-use’ model: up to 84 days of charter per year while retaining private registration. This approach, validated by French customs authorities under the Union Customs Code and reinforced by the paris Memorandum of Understanding, opened new horizons.

A revitalised charter market

The result? An entire segment of the fleet, previously reluctant to pursue commercial registration, has opened up to the charter market. “Owners who would never have considered chartering their yacht now accept a few weeks of charter each season, enriching the available inventory on the Côte d’Azur during peak demand periods,” observes Alex von Stein of SOS Yachting.

To give a sense of the market’s scale: ‘the golden triangle’ of France-Monaco-Italy comprises over 2,000 yachts, within a global fleet estimated at 5,500 vessels exceeding 30 metres. A considerable economic weight that the YET regime has successfully catalysed.

Beyond the figures, YET has considerably lightened the administrative burden on owners. Gone are the constant status changes, the export-reimport formalities, or the need to leave European waters to modify a vessel’s operational profile. “The legal clarity YET provides for Customs and Fiscal authorities is unprecedented,” notes Ezio. “They know exactly who is the owner and who is the charterer. This transparency has been key to the regime’s acceptance by regulators across jurisdictions.”

This flexibility proves particularly valuable for larger yachts that charter only a few weeks per year to offset operating costs while remaining essentially private assets. “For them, YET offers the best of both worlds,” adds Alex. “The regime is applicable for both VAT-paid vessels owned by EU residents and non-EU yachts operating under Temporary Admission. This versatility has broadened its appeal significantly.”

A tax windfall for France

One of the most remarkable, and often overlooked successes of the regime lies in its contribution to tax revenues.

“By integrating charter activity into a transparent and controlled framework, the regime generates VAT revenue on charters themselves, but also on related services: marinas maintenance, provisioning, fuel, crew and professional management,” explains Alex.

Every charter in France triggers a cascade of spending throughout the local maritime ecosystem: passengers spend ashore, yachts engage local service providers, operators hire brokers, lawyers, managers and French technicians.

YET is therefore not merely a nautical regulation: it is a genuine instrument of economic policy. The sector’s contribution on the Côte d’Azur speaks for itself; over 450 businesses, approximately 1,780 direct jobs, annual turnover of around €320 million and yacht-related tourism spending estimated at over €3 billion per year according to industry sources.

France facing new competition

The Mediterranean yacht charter market is fiercely competitive. Italy, Spain, Greece, Croatia, Montenegro and Turkey all vie to attract traffic, charter activities and maintenance operations.

In this arena, YET has given France a decisive advantage. The regime demonstrates the willingness of French authorities to collaborate with industry while maintaining strict compliance with European rules. This balance between regulatory certainty and commercial flexibility has won over owners, managers and operators alike.

“The best proof of French success? Other jurisdictions have since developed equivalent frameworks,” observes Ezio. “What began as a Franco-Monegasque solution has become a model replicated through the Mediterranean. Now with Italy coming on stream, there is a clear cruising path from France and Monaco through Italy to Greece. We are still working to clarify certain details in Croatia, but the trend is unmistakably towards broader regional harmonisation.”

Flexibility and rigour: A successful balance

Crucially, YET’s commercial flexibility has not come at the expense of safety. Yachts operating udnerthis regime must comply with strict commercial standards in safety management, crew welfare and operations. The Paris Protocol confirmed that hcarter operations could be accepted provided yachts fully comply with these requirements.

France has thus succeeded in supporting industry growth while preserving the Mediterranean market’s reputation for excellence.

Lessons from a decade

What can we take away from these ten years of practical experience?

1. Regulatory innovation can stimulate economic activity without compromising tax collection or legal certainty.

2. Owners respond favourably to simple and proportionate compliance frameworks. YET’s success proves they are willing to participate in regulated activities when the administrative burden remains reasonable.

3. The French experience demonstrates that public and private sectors can work together to design solutions that serve the general interest.

What now?

The superyacht industry continues to evolve. Owners seek ever greater flexibility, regulators demand ever greater transparency and governments pursue sustainable tax revenues. YET has demonstrated that these objectives are not incompatible. However, challenges remain on the horizon. Certain proposals by some political parties in France to ban yachts over 50 metres from French waters could, if enacted, significantly disrupt the French yachting ecosystem that has flourished under the YET framework.

Over the past decade, this regime has facilitated new charter opportunities, generated substantial VAT revenues, supported employment throughout the maritime sector and consolidated France’s position among the world’s leading superyacht destinations.

“Ten years after its introduction, the French YET framework remains a remarkable illustration of regulatory innovation in the service of economic growth,” concludes Ezio. “In an industry where competitiveness depends on striking the right balance between the rigour and pragmatism, YET remains one of France’s most significant contributions to the international superyacht industry.

Presented by Monaco Yacht Show 2026

Experience the Monaco Yacht Show as a VIP Visitor

Monaco Yacht Show | 23–26 September 2026

Monaco Yacht Show returns for its 35th edition this September (23 – 26) presenting 118 superyachts over 24 metres in Port Hercule. More than a third will be making their debut, giving you first access to the newest vessels available for charter before they're fully booked for the season.

The four-day event brings together the yachts, designers, crew, and specialists who can answer your questions directly. Whether you're drawn to 100-metre classics with proven track records or interested in exploring the latest sustainable designs and innovative layouts, you'll find serious options and the expertise to evaluate them properly. It's a rare chance to compare vessels side-by-side and understand what differentiates one charter experience from another.

Beyond the yachts themselves, The Designer Gallery showcases the creative minds shaping interiors and exteriors, while The Adventure Area displays more than 50 tenders and toys - the equipment that defines your actual time on the water. From high-performance RIBs to submarine experiences, this is where you assess what comes with your charter.

The MYS VIP Programme

The MYS VIP Programme handles the logistics for any exceptional experience: early access before crowds arrive, dedicated hospitality spaces to regroup between viewings, and courtesy transport when needed. The Upper Deck Lounge by Fairmont provides a well-placed lunch option with clear views across the marina, while organised bay tours let you see shortlisted yachts from the water.

For anyone seriously considering a superyacht charter, Monaco offers something straightforward: the vessels, the people who run them, and the environment to make informed decisions.

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