The European Union’s scheduled end of duty exemptions for low-value parcels is transforming cross-border shopping, leading to declines in Chinese imports and a wave of regional warehousing investments, as platforms adapt to new regulations and rising costs.
The European Union’s move to end its long-standing duty exemption for low-value parcels has begun to bite, but not in the straightforward way Brussels intended. From 1 July 2026, goods imported from outside the bloc are no longer exempt from customs duty if their declared value is €150 or less, and the EU has introduced a temporary charge of €3 for each item line in consignments handled under the simplified system. The Council approved the new regime in February as part of a wider effort to modernise customs rules and curb the flood of small e-commerce parcels entering the bloc.
The policy is designed to narrow the price advantage enjoyed by sellers outside the EU, particularly Chinese platforms that have built business models around very cheap direct-to-consumer shipping. According to figures cited in the reporting, EU countries were receiving about 12 million sub-€150 parcels a day in 2024, with more than 90% originating in China. The scale of that trade has raised concerns not only about unfair competition but also about customs oversight and product safety.
Early signs suggest the change is already altering buying habits. Logistics and courier data indicate that the number of parcels sent from China to the EU has fallen by roughly 20% since the rule change, with the sharpest slowdown in the lowest-value purchases. For items such as cables, cases and small gadgets, the fixed charge can exceed the worth of the goods themselves, pushing some shoppers towards European sellers and marketplace operators that already hold stock within the bloc.
That does not mean Chinese e-commerce groups are standing still. SHEIN has opened a major logistics hub in Wrocław, while other large platforms are expanding warehouse networks across the EU to consolidate imports in bulk, clear customs once and fulfil individual orders from inside Europe. In practice, that means many parcels reaching customers in Poland, Germany or elsewhere may no longer be treated as direct imports from China at the point of delivery. The shift is also expected to support warehousing and distribution investment in the region.
Brussels is preparing a second wave of reforms. From 1 November 2026, product identifiers, or PID codes, are due to become mandatory for distance sales, with the aim of linking goods more accurately to their descriptions, manufacturers and sellers. The next major change is scheduled for 1 July 2028, when the current flat charge is to give way to the standard Common Customs Tariff, with duties determined by product type, value and origin. The EU also plans a customs data hub for e-commerce later in the decade, alongside broader digital reporting requirements.
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