The European Union will remove duty-free entry for parcels valued under €150, changing rules for small cross-border e-commerce shipments. The reform is scheduled for 2028 and depends on a centralized EU customs data hub that can calculate duties per item and replace fragmented national systems. Officials also plan a temporary mechanism starting in 2026 to begin collecting duties earlier. Denmark’s minister Stephanie Lose said the change ensures duties are paid “from the first euro.”
The decision follows the European Council’s approval of a €2 handling fee on e-commerce parcels, effective November 2026. Policymakers argue the de minimis threshold unfairly benefits foreign sellers, who often undervalue goods to avoid duties. Environmental concerns accompany economic ones: many individual parcels create more packaging waste and transport emissions than consolidated shipments. In 2024 the EU processed 4.6 billion parcel imports, with estimates that many were undervalued.
The EU action mirrors recent U.S. changes that revoked favorable treatment for low-value consignments, which reduced airfreight from China to the United States. E-commerce volumes to Europe have risen, prompting major online retailers to shift inventory into ocean freight and to use domestic warehouses for fulfillment. Collecting duties on low-value parcels is expected to raise customs revenue and level the playing field for European businesses against cheaper foreign competition, and fairness.
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