The EU wants to make purchases from China more expensive again. This time, it would be a fixed fee even for cheap parcels

The European Union plans to introduce new customs duty on cheap parcels from China at €2 for each small shipment delivered directly to consumers. This measure will significantly affect popular platforms such as AliExpress, Temu and Shein, which are known for low prices and a high volume of orders. The aim, allegedly, is to ease the pressure on customs authorities and increase fairness within the European market.

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According to BBC, as many as 4.6 billion parcels entered the EU in 2023, with more than 90% of them coming from China. Such a volume creates an unsustainable burden on customs capacity and makes thorough quality and safety checks on goods impossible. EU Commissioner Maroš Šefčovič presented the proposal as a response to this situation and stressed that it is not a tax, but compensation for customs processing costs.

The customs duty will affect everyone who shops on Temu, Shein or AliExpress

If you’re among customers who regularly use Chinese online stores, customs duty on cheap parcels from China will likely be felt quite a lot. So far, parcels under €150 required no customs fees. From now on, a fixed handling fee of €2 will be charged when delivered directly to consumers. For deliveries to warehouses, it will be reduced to €0.50.

The Financial Times also reported that the new customs duty is meant to directly support the EU budget and prevent cheap Chinese competition. Anna Cavazzini from the committee on the internal market said the measure should encourage sellers to use warehouses within the EU, where quality can be controlled for the entire shipment much more efficiently than from individual parcels.

Why is the customs duty coming now, and what will the consequences be?

The change arrives at a time when the US scrapped its own de minimis regime and introduced customs duty on shipments under $800. Chinese sellers then started rerouting cheap goods to the EU, which sparked concerns about overloading the European market. With this step, the union wants to prevent further growth of an unfair competitive environment and, at the same time, strengthen control over compliance with safety standards.

Platforms like Temu and Shein are pushing back and say they will cooperate with regulators. Temu reportedly has 92 million active users in the EU, and Shein even more than 130 million. However, the new customs duty could significantly impact their business model, which is based on low prices and express delivery directly from China.

What does that mean for the average customer?

Shopping via Chinese online stores will still be possible, but for every parcel under €150, customs duty on cheap parcels from China will show up as an additional €2. Customers will therefore pay extra even for small items like phone cases or home accessories. With larger order volumes, it could be dozens of euros more.

On the other hand, if sellers use European warehouses, parcels will be delivered faster, without customs clearance, and with a lower fee. The EU will also scrap its own de minimis exemption and force foreign sellers to register for VAT, which is said to improve oversight of quality and reduce the number of dangerous products on the market.

At least that’s the plan of the European Union and politicians led by Slovak Maroš Šefčovič. What do you think about this new change? Do you think it will help the EU economy, reduce the volume of cheap shipments, or will ordinary people end up paying for it anyway?

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