The European Commission announced on Wednesday the introduction of a €3 customs charge on small parcels to combat the influx of cheap imports from China. This new charge applies to parcels valued under €150, which previously benefited from a de minimis exemption allowing them to enter the EU without customs fees. Officials stated that the number of low-value parcels entering the bloc surged from 1.3 billion in 2022 to 5.9 billion in 2025, with about 90% originating from China.
Background on the Policy
The measure aims to address concerns over the impact of these imports on local retailers and communities. EU officials noted that online shopping has contributed to the decline of traditional retail, leading to what they termed the "desertification" of cities. A senior official highlighted that the rapid rise of e-commerce platforms such as Shein and Temu has significantly affected local jobs and community life. In 2022, civil society groups warned that European cities were facing an "avalanche of cheap imports" that threatened to devastate the economy.
Health and Safety Concerns
In addition to economic impacts, the EU raised alarms about safety compliance. Research revealed that 60% of online products imported from outside the bloc did not meet EU standards, with cosmetics and toys being particularly problematic. According to the EU justice commissioner, Michael McGrath, 65% of imports in these categories failed to comply with safety regulations, posing risks to consumers.
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The new customs charge is likely to increase costs for consumers purchasing low-value goods online, particularly in the fashion and toy sectors. This could lead to a decrease in demand for cheap imports, affecting companies like Shein and Temu that rely on high volumes of low-cost products.
Investors will watch for the impact of these changes on European retail sales and consumer behavior in the coming months.