Starting July 1, the EU will implement a €3 customs duty on low-value e-commerce imports, a significant shift aimed at curbing unfair competition faced by European retailers. Previously, goods valued under €150 entered the EU duty-free, allowing companies like SHEIN and Temu to exploit this loophole, avoiding up to 12% in import duties. This change is expected to level the playing field, as European retailers often contend with higher operational costs.
The new customs duty is part of a broader effort to address safety concerns and environmental impacts associated with the influx of cheap imports. With estimates suggesting that up to 65% of parcels enter the EU with misdeclared values, this measure aims to enhance regulatory oversight and ensure compliance with EU safety standards. The EU has faced criticism for inadequate customs checks, with only a tiny fraction of parcels currently inspected.
Moreover, the reform reclassifies digital marketplaces as “deemed importers,” making them legally responsible for product safety and compliance. This shift means platforms like SHEIN will now face penalties for non-compliance, addressing long-standing issues of accountability in the fast fashion sector. The EU’s move is expected to reduce the number of non-compliant products entering the market, which has been a growing concern for consumer safety.
As the EU prepares for a more permanent customs system by 2028, this initial duty is a crucial step in regulating the e-commerce landscape. The implications for consumers and retailers alike could be profound, potentially leading to higher prices for imported goods but also ensuring safer products and fairer competition in the long run.
Source: Euronews
