EU’s new customs rules set to reshape cross-border e-commerce

In December 2025, the European Union announced a package of measures aimed at closing long-standing tax exemptions on low-value imports.

As of 1 July 2026, those legislative changes take effect, marking the official end of the minimis customs duty exemption for e-commerce imports entering the 27 Member States with a value of up to €150 ($171.03). 

This regulatory shift introduces an interim flat-rate tariff of €3 ($2.63) until July 2028, when Europe is expected to fully transition to a more integrated digital customs framework.

Imports of low-value e-commerce parcels rose 26% in 2025 to a record 5.88 billion items, according to official data published by the European Commission. The vast majority of these shipments originated from manufacturers in China.

Is it more complex than it seems?

Logistics providers indicate that the flat fee is more complex than a standard per-parcel charge. 

In official guidance, logistics provider DHL explains that commercial goods valued at €150 ($171.03) or less, shipped directly to EU consumers, will now incur a flat customs duty of €3 ($2.63) per HS-code line.

“The €3 ($2.63) flat duty applies per line item in the customs declaration, grouped by 6-digit HS code. For example, if one shipment contains items with three different HS codes, the duty is €9 ($7.89). If all items share the same HS code, the duty is €3 ($2.63) regardless of quantity,” the guidance states.

An HS code line refers to a specific product classification under the Harmonized System (HS), a globally standardized system used by customs authorities to identify and categorize traded goods. 

The logistics industry also emphasizes that system effectiveness depends on the submission of accurate digital customs data, including accurate HS classification and product descriptions submitted before shipment.

DHL, together with FedEx and UPS, has warned that this new regulation could lead to significant border delays and broader supply chain disruptions if the transition is not carefully phased in. 

In a joint letter to EU finance ministers reported by Reuters in late May, the companies highlighted the operational strain of implementing new declaration requirements and duty-calculation mechanisms at scale, particularly for high-volume, low-value parcel flows.

Customs liability moves upstream

The structural changes taking effect also redefine the legal chain of responsibility for customs debt. 

Under the previous framework, the consumer effectively acted as the importer of record at the point of delivery, with national postal networks collecting duties at the doorstep if a parcel exceeded the threshold. 

This liability now shifts: the declarant (typically the non-EU seller, the e-commerce marketplace or the registered importer) is now legally responsible for the customs debt. 

The European Commission has explicitly structured this so that the financial burden falls on the business rather than the consumer. In practical terms, if a parcel arrives at the EU border without a designated declarant ready to assume the debt, commercial carriers and postal networks will likely reject and return the shipment.

Reshaping logistics

Major e-commerce giants headquartered outside Europe expanded their regional footprint by moving bulk inventory into EU-based fulfillment centers ahead of July.

Shein reinforced its European logistics strategy last December by expanding its primary fulfillment hub in Wrocław, Poland, a large-scale facility reportedly spanning approximately 740,000 square meters and designed to support faster regional distribution.

After 5 years out of the market, Joybuy recently launched in the UK, Germany, France, the Netherlands, Belgium and Luxembourg. At the initial stage, the platform will offer over 2,000 SKUs (stock-keeping units), with the pet care segment being a key part of the offering. 

The closure of the de minimis exemption marks a structural shift toward fiscal tightening and regulatory parity in European e-commerce. The decision at the European level follows similar moves: the United States removed its $800 (€911.71) de minimis threshold in August 2025, while Brazil introduced a 20% import tax on sub-$50 (€56.98) purchases in 2024.

A €358.7 billion market 

A study by retail market research firm CBCommerce, supported by FedEx Express and Poste Italiane, shows that the European cross-border e-commerce market reached €358.7 billion ($408.82B) in 2024-2025.

Around 70% (€247.5 billion) was generated by online marketplaces, underscoring their central role as key drivers of Europe’s digital economy.

Amazon and Temu were the most popular e-commerce platforms in Europe. At the same time, the top 100 cross-border marketplaces in the region generated €216.82 billion ($247.11B) in revenue, marking a 10% year-on-year increase.

The CBCommerce research points out that the share of marketplaces in total e-commerce gross merchandise value (GMV) is expected to remain broadly stable through 2026, suggesting a maturing market. 

It is also expected that as many to 98.2% of online shoppers will engage in cross-border transactions this year.