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In a move that could significantly reshape the dynamics of global e-commerce, the European Union has proposed a €2 handling fee on all low-value parcels (below €150) entering its borders from outside the EU. The measure, aimed at countering unfair competition from Chinese e-commerce giants like Temu and Shein, has sparked sharp criticism from retailers and industry leaders.
\n\n\n\nThe European Commission’s proposal is part of a broader strategy to reform EU customs rules and create a level playing field for European retailers. Currently, millions of small parcels enter the EU daily, many under-declared or undervalued, allowing companies like Shein and Temu to exploit loopholes and avoid full customs duties.
\n\n\n\nUnder the new plan:
\n\n\n\nCurrently, many cross-border sellers manipulate parcel values to stay below the €150 threshold and avoid paying VAT or customs duties. The flat €2 fee is designed to reduce fraudulent declarations and increase transparency.
\n\n\n\nLocal retailers and manufacturers have long argued that Chinese e-commerce firms are flooding the market with ultra-cheap, low-quality goods, often sold at prices below production cost. This creates unsustainable competition for small and medium EU businesses.
\n\n\n\nThe fee would help fund the EU’s digital customs platform, which aims to streamline import processes, detect fraud more effectively, and centralize risk assessments.
\n\n\n\nNot everyone is pleased. Alexandre Bompard, CEO of Carrefour, slammed the €2 proposal as “a joke”, calling it insufficient to curb the influence of massive Chinese platforms.
\n\n\n\n“We need a real defense policy for our digital commerce ecosystem,” Bompard told Reuters. “A symbolic charge like €2 won’t change the game—it legitimizes the current model.”
\n\n\n\nOther critics argue the fee is too low to deter exploitation and does not address core issues like labor practices, product safety, and sustainability.
\n\n\n\nThis proposal is part of a global trend toward tightening control over digital imports. The U.S. is also considering changes to its de minimis exemption rules, which currently allow low-value parcels from abroad to bypass duties.
\n\n\n\nAs protectionist policies grow, cross-border sellers may need to localize operations, invest in better compliance, and rethink pricing models.
\n\n\n\nThe EU’s €2 handling fee on low-value imports marks a pivotal moment in the battle over digital trade fairness. While seemingly modest, this proposal sends a clear signal: the era of cheap, duty-free imports may be coming to an end.
\n\n\n\nFor European retailers, it could offer long-awaited relief. For Chinese e-commerce giants, it’s a wake-up call to evolve—or face rising resistance in one of the world’s largest consumer markets.
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