The EU on Wednesday imposed a €3 ($3.40) levy on low-value e-commerce imports in a move to curb what it sees as unfair competition from online retailers, notably Chinese firms such as Shein, Temu and AliExpress.

This comes as the number of such parcels entering the bloc under a previous exemption for goods valued under €150 rose dramatically from 1.4 billion in 2022 to 5.8 billion in 2025.

Why is the import levy being imposed?

The European Commission, which controls EU trade policy, says the step aims not only to prevent companies exploiting the previous exemption to gain a competitive advantage but to stop the import of goods that do not meet the bloc's safety standards.

It also says that customs authorities have been overwhelmed by the number of small packages coming from overseas and were unable to carry out requisite checks properly.

European businesses, for their part, have complained that while they are forced to comply with strict EU standards, many products from abroad do not meet them.

During inspections across the EU in 2025, it was found that over 60% of imported items such as toys, cosmetics and electronics contained banned ingredients or lacked safety paperwork.

In May, Chinese online retailer Temu was handed a €200 million fine for sending products to the EU, such as baby toys and small electronics, that did not meet the bloc's consumer safety standards.

What are the new import fees?

The €3 fee is to be imposed for each different class of item, meaning that a parcel with three different kinds of goods will incur a €9 levy, while one containing several articles of the same sort will stay at the €3 charge.

However, from July 1, 2028, when the new EU Customs Authority is meant to start operations, different duties according to the goods category will replace the flat rate imposed on Wednesday.

The US ended its "de minimis" exemption for imports from China in May and for all imports at the end of August, and Britain is soon also to follow suit.

Some EU countries have already introduced their own levies but these will be superseded by those imposed by the bloc. France, for example, has said it will scrap a €2 levy now that the EU has imposed its fee.

How will e-commerce platforms react?

Chinese e-commerce platform Shein has already prepared for the change by increasing its warehouse space in Wroclaw, Poland, and stepping up its bulk shipping to the EU.

Other online retailers are expected to make similar moves

Although the levy is to be paid by the exporters themselves, online platforms are expected to pass on at least some of the additional costs to consumers.

They might also bring pressure to bear on suppliers to lower their prices to ensure continued profitability.

The EU's move will also likely force the platforms to seek other takers for their goods, something made more difficult, however, by the fact that the US, the other main market, is also now imposing levies.

What else is planned to control imports?

The EU is also to make it mandatory to provide reference details about imported low-value products from November 1 to help trace goods.

The bloc also intends to introduce an additional handling fee from November to aid customs authories to cope with rising costs amid the surge in parcels. 

It has yet to be decided how much this fee will be.

Edited by: Zac Crellin