Brussels (Brussels Morning Newspaper) – The EU Commission plans to introduce a 2 euro handling fee for online packages coming into the EU as part of reforms aimed at managing the billions of incoming parcels more effectively.
In February, the European Commission suggested eliminating the duty exemption for low-value consignments valued at 150 euros or less and mentioned that it would consider implementing an e-commerce handling fee. This proposal requires agreement from EU governments, who have yet to discuss it, as well as from the European Parliament.
Can a €2 levy improve product safety and customs oversight?
The EU executive stated that the fee would fund efforts to ensure the compliance of a vast number of parcels with EU regulations, including toy safety. This cost will be borne by the online retailer instead of the customers upon delivery.
Trade chief Maros Sefcovic informed the EU Parliament that e-commerce platforms will need to pay a levy for each parcel. This initiative is designed to assist the European Union in addressing the issues arising from the significant rise in low-cost items.
The fee would eliminate the customs-free status for packages valued under 150 euros that consumers import directly, frequently through platforms such as the Chinese-founded Temu and Shein.
Sefcovic stated that the figure posed a “completely new challenge to the control, safety, and ensuring that the standards of the products shipped to the European Union are properly checked.”
He acknowledged the “huge” workload for customs officials, stating, “Therefore, I wouldn’t consider the handling fee as a tax, but merely as a fee to cover expenses.”
How will the fee impact Chinese retailers like Temu and Shein?
European customs authorities managed approximately 4.6 billion low-value parcels purchased online, averaging 12 million parcels daily, with 91% originating from China, including retailers like Shein and Temu. This volume of shipments was double that of 2023.
The European Commission has proposed a handling fee of 2 euros for each parcel delivered directly to customers or a reduced fee of 50 cents for parcels dispatched from a warehouse within the European Union.
