Starting 1 July 2026, small parcels arriving in the European Union valued under €150 will face a €3 customs duty. The move is designed to level the playing field for European sellers while tackling concerns about safety, fraud, and environmental impact in the booming e-commerce sector.
For years, millions of low-value shipments from non-EU sellers have entered the EU duty-free, giving overseas merchants an advantage over local businesses. With hundreds of millions of parcels crossing the border annually, regulators say the new levy will ensure compliance with safety and environmental standards.
What to expect
The €3 duty mainly affects sellers registered in the EU’s Import One-Stop Shop (IOSS) for VAT purposes, covering the vast majority of cross-border e-commerce shipments. For most consumers, the charge is modest, but it signals a broader push to regulate online imports more strictly.
Small European businesses stand to benefit, as the measure helps reduce unfair competition from foreign sellers who previously enjoyed duty-free advantages. Low-value goods like electronics, toys, and clothing, which flood the market from overseas, will now face a small but meaningful hurdle.
Temporary fix with long-term goals
Officials describe the duty as temporary, intended to bridge the gap until a permanent system is introduced that removes the duty-free threshold for parcels under €150. At that stage, all low-value imports will be subject to standard EU tariffs, ensuring a more level competitive landscape.
The European Commission will monitor the policy closely and may expand it to cover parcels from sellers not registered in the IOSS, tightening oversight across the sector. The measure also complements ongoing discussions about a “handling fee” as part of EU customs reform.
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e-commerce trends
Cross-border online shopping in the EU has surged in recent years, with growth of 10–15 per cent annually in some sectors. Low-value parcels now make up a significant share of total imports, prompting debate over taxation, regulation, and environmental responsibility.
Regulators also highlight the environmental impact: individually shipped parcels often involve excessive packaging and carbon-intensive delivery, adding waste and emissions. The €3 duty aims to encourage more responsible practices among sellers while protecting consumers and the environment.
Will it help?
For shoppers, the new duty may slightly raise costs on small overseas orders, but it guarantees that imported goods meet EU safety, labeling, and environmental standards. For European businesses, it offers protection against undercutting by foreign sellers.
Analysts say the measure reflects the EU’s wider strategy to promote fair trade, consumer protection, and sustainability in e-commerce. By targeting low-value parcels, the bloc hopes to balance economic growth with responsibility, creating a more equitable digital marketplace for sellers and buyers alike.
