EU's Swift Action Against Cheap Chinese Imports: Accelerating Duty Reforms

The European Union seeks to fast-track the imposition of customs duties on low-value parcels, primarily from China, by removing the 'de minimis' threshold by Q1 2026. This move aims to bolster competitiveness within the EU and address the surge in cheap imports affecting the bloc's single market.

The European Union is advancing plans to impose customs duties on low-value parcels entering its market, primarily from China. Brussels aims to remove the current 'de minimis' exemption for goods under 150 euros by the first quarter of 2026, accelerating the timeline by two years. This initiative is spearheaded by Trade Commissioner Maros Sefcovic, who has highlighted the urgency of the situation in a recent letter to EU finance ministers.

The move comes as the EU strives to protect its market from the influx of cheap Chinese imports facilitated by online platforms like Shein and Temu. Last year, the number of low-value parcels doubled to 4.6 billion, emphasizing the need for prompt action. Simultaneously, several EU countries are contemplating individual handling fees to curb this trend, with Romania and Italy already proposing national surcharges.

Concerns have been raised by EuroCommerce, the lobby group for European retailers and wholesalers, about a fragmented approach undermining the EU single market. The Commission's proposal for a 2 euro fee remains unscheduled. As EU finance ministers prepare to discuss the issue, there is consensus on accelerating reforms to safeguard European competitiveness and address the escalating imports issue.

(With inputs from agencies.)