The European Union (EU) approved this Thursday Remove customs exemption applicable to Luggage under 150 euros From a third country. The measure aims to stop small packages arriving in bulk, especially from China, through online businesses such as Temu, Shein and AliExpress, by making them pay customs duties regardless of cost.
The measures are due to come into full force in 2028, but the agreement approved by the Ministers of Economy and Finance plans to address a transition mechanism that will enable: Start collecting customs duties already at the beginning of 2026 Because they think this issue is too urgent to wait two years to take action.
In accordance with current regulations (until newly approved regulations come into force), purchased packages are online Goods from non-EU countries are tax-free as long as they are below the €150 threshold. “The removal of such thresholds means that tariffs will be imposed.” Must be paid from the first euro for all goods entering the EU“said Denmark’s Finance Minister Stephanie Roth, who will chair this term’s EU Council.
The goal of eliminating exemptions dating back to 1983 is prevent fraudsuch as splitting your shipment into smaller packages to avoid paying customs duties. Ensuring fairer competition for European manufacturers Compared to lower priced products that often do not comply with European regulations.
91% of “low-cost” shipments come from China
of Luggage under 150 euros According to European Commission data, exports to the EU more than tripled in two years, from 1.2 billion euros in 2022 to 4.6 billion euros in 2024, of which 91% will come from China. Community executives linked this increase to the “rapid growth” of Chinese online businesses such as Temu and Shein, which have reached millions of consumers in the EU thanks to “pervasive online advertising, low prices and lightning-fast shipping.”
The large volume of direct-to-consumer packages arriving makes it difficult for customs authorities to manage the millions of packages each day, increasing the risk of counterfeit goods. or those that do not comply with European safety standards add to the environmental impacts associated with transport.
simultaneously distorting competition Preferential treatment for online business from outside the EU compared to European manufacturersif you import in large quantities, you will need to comply with local regulations and pay customs duties. According to the European Commission, intellectual property infringement by third parties, for example, causes losses equal to 5% of annual sales in Europe’s textile and cosmetics industries, and in the toy industry, losses rise to almost 9%.
“With this change, greater equality of conditions We need to conclude an agreement between European companies, which pay customs duties on all their exports, and non-EU companies, which sell low-value goods directly without payment,” the Danish minister said, adding that the reforms are aimed at stopping the “bulk arrival” of such shipments, especially from Asia.
This agreement guarantees “fair competition”
Meanwhile, European Commission President Ursula von der Leyen welcomed member states’ approval, saying it was a “fundamental step towards better managing the growth in small parcels, especially from China.”
The president said the agreement would ensure “fair competition, stricter application of regulations and fair competition.” Strengthening consumer protection Across the EU.” Meanwhile, the city of Brussels has proposed a separate initiative to introduce an administration fee of 2 euros for each parcel arriving at EU customs, which could also come into force in 2026.