BRUSSELS — The European Commission is pushing to introduce a customs handling fee for low-value packages entering the European Union, advancing the timeline for this measure by nearly a year, as revealed in a recently circulated letter. This letter, authored by Maroš Šefčovič, the Commissioner for Trade and Economic Security, was addressed to the finance ministers of the EU member states on Wednesday.
Šefčovič emphasized that “if we act with the required political determination and pragmatism, a workable solution could be in place for Q1 2026.” This proactive approach comes in response to France’s recent announcement of a national handling fee in its new budget, a move that has raised concerns among neighboring countries like Belgium and the Netherlands, who are contemplating similar measures to avoid losing out on deliveries.
Urgency for a unified approach
During their meeting on Thursday in Brussels, the finance ministers will deliberate on the prospect of eliminating the €150 threshold that currently exempts small shipments from taxation. Achieving this change is projected to occur only by mid-2028, prompting Šefčovič to propose a temporary EU-wide customs fee along with improved integration of IT systems.
He underscored the importance of acting swiftly, stating, “It will be extremely difficult to explain to our business and citizens why the European Union cannot act faster to provide a solution to an issue we agree on — to remove this competitive advantage.”
Addressing market concerns
In support of these developments, Swedish Finance Minister Elisabeth Svantesson remarked that “free trade doesn’t mean you get to flood the market with whatever garbage you feel like selling,” describing the Commission’s initiative as a significant victory. She pointed out that there have been numerous instances of companies exploiting the existing system.
The EU experienced an influx of over 4 billion packages officially valued at under €150 in 2024, many of which failed to comply with European safety standards or were misrepresented in their declared worth. The surge in popularity of online retailers such as Shein and Temu from China has contributed to this trend, prompting France to suspend access to Shein’s platform this month.
Concurrently, the EU’s key institutions are engaged in discussions aimed at enhancing customs coordination across the 27 national agencies, which includes the establishment of a centralized IT hub and the proposed EU Customs Agency.
“Free trade doesn’t mean you get to flood the market with whatever garbage you feel like selling,”
These initiatives mark a significant step towards streamlining customs processes and addressing the competitive challenges faced by European businesses in the face of rapidly evolving global e-commerce.