Introduction to the EU’s New Policy
The European Union (EU) is preparing to impose a flat fee of €2 (approximately $2.25) on the billions of low-value packages flooding the bloc annually, with the majority originating from China. This move aims to help the EU tackle challenges posed by the massive influx of cheap items.
Details of the Proposed Tariff
Maroš Šefčovič, the EU’s Commissioner for Trade, announced this plan to the European Parliament. The tax would be levied per package by e-commerce platforms, targeting packages valued below €150 imported directly to consumers. These often come through Chinese-founded platforms like Temu and Shein.
Impact on Aduana Status
The new tariff would eliminate the duty-free status of packages valued under €150 imported directly to consumers. This typically happens via platforms such as Temu and Shein, both based in China.
Lower Tariff for Direct Shipments
Packages shipped directly to EU warehouses would face a lower tariff of 50 cents, as stated by Šefčovič.
Current Scenario and Concerns
In 2021, approximately 4.6 billion of these small packages entered the EU (over 145 per second), with 91% originating from China. The EU anticipates these numbers to rise.
Brussels suspects that platforms, including Shein and Temu, are not doing enough to prevent the sale of products failing to meet European standards.
Moreover, the EU is concerned that numerous imported products into the 27-country bloc may be unsafe, counterfeit, or even hazardous to consumers.
Addressing Competitive Imbalance
Šefčovič highlighted the “enormous” workload for customs officials, stating that he wouldn’t consider this a tariff but merely a fee to offset costs.
Brussels also expects a portion of the revenue from this tariff to go towards the EU’s budget.
France, in particular, is deeply concerned about this issue. Last year, around 800 million such packages were delivered solely to France.
In recent months, France has expressed its desire to start charging non-EU online vendors a handling fee per package starting in 2028, following the EU’s gradual elimination of duty-free status.
The United States recently ended tariff exemptions for goods shipped from China valued under $800, which will now face a 54% tariff.
Key Questions and Answers
- What is the proposed tariff? The EU plans to impose a flat fee of €2 per low-value package.
- Which platforms are affected? Chinese-founded e-commerce platforms like Temu and Shein are primarily targeted.
- What is the purpose of this tariff? To address challenges posed by the massive influx of cheap items and ensure product standards are met.
- How will this impact consumers? Direct consumer imports below €150 will no longer be duty-free, potentially increasing costs.
- What about packages shipped directly to EU warehouses? These will face a lower tariff of 50 cents.
- Why is the EU implementing this change? To tackle concerns about unsafe, counterfeit products and competitive imbalance with non-EU vendors.
