EU countries cracking down on “dangerous products” entering the EU market
The European Commission plans to introduce a series of new customs regulations to combat the influx of “dangerous products” into the EU market, particularly targeting low-value goods from China.
1. Removal of Tax Exemptions
The EU plans to eliminate the current tax exemption for low-value goods valued at €150 or less.
2. Imposition of Handling Fees
Additionally, the EU is considering charging a handling fee for each package to cover the costs of processing discarded goods.
3. Strengthening Customs Supervision
E-commerce platforms will be required to provide detailed product information, including composition and safety certifications, before goods arrive in the EU.
All packages will be subject to full customs inspections.
The European Commission argues that the duty exemption for packages valued under €150 was originally intended for personal shipments but has been widely exploited by e-commerce platforms, leading to a surge in parcels from non-EU countries.
These platforms, by shipping low-value goods to the EU and leveraging tax exemptions, have gained an unfair competitive advantage by lowering product prices.
For e-commerce platforms such as Temu, Shein, and Amazon, the new regulations will increase operating costs.
The removal of tax exemptions and the addition of handling fees will directly raise product costs, impacting their market competitiveness.
Moreover, stricter customs controls could lead to longer shipping times and increased uncertainty.
For cross-border e-commerce sellers who rely on the European market, the new regulations will pose significant challenges.
They will not only face higher compliance costs but must also closely monitor policy changes and adjust their operational strategies accordingly.
Additionally, enhanced customs inspections may make returns and exchanges more difficult.
