EU Adds 2-Euro Handling Fee on Cross-Border Small Parcels, Chinese E-Commerce Platforms Adjust European Operations

Deep News11-03 22:31

Following the fixed tariff imposed on cross-border small parcels in July, the EU has introduced another fee measure targeting cross-border e-commerce imports.

Starting November 1, the EU officially began collecting a 2-euro handling fee per product category on e-commerce parcels originating from outside the EU. This marks yet another fee measure targeting cross-border e-commerce imports, following the elimination of the tax exemption for goods valued at no more than 150 euros in July of this year. When the two fees are combined, cross-border e-commerce parcels valued at no more than 150 euros must pay a total of 5 euros in tariffs and handling fees per product category.

Chinese cross-border e-commerce platforms are the most affected by this policy. According to European Commission data, approximately 5.8 billion low-value goods entered the EU in 2025, a year-on-year increase of 26%. Of these, about 93% originated from China. A media report on October 30, citing a European Commission document, estimated that the related fee measures could generate approximately 6 billion euros in annual revenue for the EU budget during the period from 2028 to 2034. This forecast has already taken into account the possibility of a decline in the volume of low-value imported goods following the implementation of the fee policy.

Currently, Chinese cross-border e-commerce platforms including Temu, Shein, and Alibaba's AliExpress have begun adjusting their operating strategies in the European market.

Import Costs for Low-Value Goods Increase Further

According to the latest EU regulations, starting November 1, goods from outside the EU that are sold remotely and shipped directly to EU consumers must pay a 2-euro handling fee per product category, regardless of the goods' value. This fee is calculated based on the different product categories within a parcel, rather than simply by the number of parcels or the number of items. For example, a parcel containing 10 identical T-shirts would incur a 2-euro handling fee; if it also contains two hats alongside the 10 T-shirts, the handling fee would be 4 euros.

For imported parcels valued at no more than 150 euros, in addition to the new 2-euro handling fee, a fixed tariff of 3 euros per product category implemented since July 1 of this year also applies. Both fees are calculated by product category. This means that for a cross-border e-commerce parcel containing two product categories and valued at no more than 150 euros, the combined tariffs and handling fees would reach 10 euros.

The scope of application and policy duration of the two measures differ. The 3-euro fixed tariff is a transitional measure that applies to imported parcels valued at no more than 150 euros and will remain in effect until July 1, 2028. At that point, as the EU customs data hub becomes operational for e-commerce operations, the relevant goods will be subject to tariffs under normal tariff schedules. The 2-euro handling fee, meanwhile, has no value threshold and is a long-term fee arrangement, primarily used to compensate for the costs incurred by customs in processing cross-border e-commerce imported goods. The EU will assess the fee standard at least once every two years to ensure it remains reasonably proportional to actual customs supervision costs.

According to the European Commission's explanation, the legal entities responsible for paying both fees are the e-commerce platforms, sellers, or relevant carrier companies, rather than the end consumers. However, e-commerce platforms and sellers can still pass on the increased costs to consumers by raising product prices. The new EU rules are not specifically targeted at Chinese goods alone but apply to all eligible e-commerce imports from outside the EU. However, given the source structure of low-value imported goods, Chinese products account for the vast majority.

Surge in Low-Value Parcels Prompts EU to Strengthen Import Supervision

The EU's decision to raise import costs for cross-border e-commerce goods is related to the rapid growth in the number of low-value parcels in recent years. According to European Commission data, the number of low-value imported goods entering the EU from 2022 to 2025 was approximately 1.4 billion, 2.3 billion, 4.6 billion, and 5.8 billion, respectively. In 2025, the number of related goods increased by approximately 26% year-on-year, more than tripling compared to 2022.

European Commission statistics show that in the first half of 2025, low-value goods accounted for approximately 97.9% of the number of goods imported into the EU but only 2.1% of total import value, with an average value of approximately 8.82 euros per item. Among these, China is the most significant source. By number of goods, low-value imports from China account for approximately 93%; by import value, they account for approximately 78%.

The European Commission pointed out that the large volume of low-value goods entering the European market through cross-border e-commerce channels has placed sustained pressure on customs supervision in member states. The EU is also concerned about issues such as underreporting of goods value, tariff evasion, and non-compliance with product safety standards in some overseas e-commerce goods. In March 2026, a special inspection of cross-border e-commerce imported goods published by the European Commission showed that between October and December 2025, customs and market surveillance authorities in the 27 EU member states conducted concentrated inspections of cosmetics, personal protective equipment, and food supplements, examining more than 11,300 products. The inspection results showed that some products failed to comply with relevant EU product regulations and safety standards.

The European Commission believes that the original tariff exemption policy for goods valued under 150 euros no longer aligns with its original policy intent, given the rapid growth in low-value cross-border e-commerce imports. Some importers circumvent tariffs by splitting shipments and underreporting prices, creating unequal market competition conditions. To this end, the EU has been gradually advancing customs system reform in recent years. In February 2025, the European Commission issued a policy document on safe and sustainable e-commerce, proposing measures such as customs reform, product safety supervision, and import goods handling fees to address the challenges posed by the large influx of low-value cross-border e-commerce goods into the European market. In 2026, the related reforms were further implemented, including the transitional tariff of 3 euros per product category and the newly added 2-euro handling fee.

In September, the European Parliament and the Council of the EU formally adopted the customs reform plan. The reforms include establishing a unified EU customs authority, creating a customs data hub, and strengthening the responsibilities of e-commerce platforms in goods import declaration, tariff payment, and product compliance. Dirk Gotink, the Member of the European Parliament leading the reform efforts, stated that the new fees are intended to address the business model formed by low-value, non-compliant e-commerce imports from China and to provide more resources to European customs authorities that have suffered from long-term underinvestment.

Beyond regulatory objectives, the related fees have also been incorporated into projections of the EU's future fiscal revenue. A media report on October 30, citing internal European Commission documents, stated that between 2028 and 2034, the EU's fee measures on low-value e-commerce imports are expected to generate approximately 6 billion euros in annual revenue for the EU budget. The European Commission estimates that approximately 90% of the related revenue will go to the EU budget, with the remaining 10% going to member states. However, as negotiations on the EU's multi-year budget for 2028 to 2034 continue, the final revenue distribution ratio may still be adjusted.

Chinese Cross-Border E-Commerce Platforms Adjust European Operations

As the EU's tariff and handling fee policies have been successively implemented, Chinese cross-border e-commerce platforms have begun adjusting their operating strategies in the European market.

According to media reports, Pinduoduo, the parent company of Temu, stated in August of this year that the EU measures would have a considerable impact on some of its business operations but did not disclose the specific scale of the impact. To mitigate the effect of the new fees on consumers, Temu has offered discounts on the relevant fees to some consumers. The platform is using subsidies to alleviate the impact of rising product prices on consumer purchasing behavior.

AliExpress, meanwhile, is increasing its local warehousing layout in Europe to cope with the new fee policies. AliExpress also warned that the related fees could harm the interests of low-income households in Europe and further exacerbate local cost-of-living pressures. Shein is also expanding its warehouse space in Poland. The company stated that while improving delivery speed and convenience, it will continue its efforts to maintain competitive product pricing. The European market accounts for approximately one-third of Shein's revenue. Before the new fee measures were implemented, Shein's European sales had already declined as the company raised prices and reduced advertising spending.

In contrast, e-commerce platforms that primarily rely on local European warehouses for fulfillment are relatively less directly affected. Amazon stated that approximately 97% of the goods it sells in the EU are fulfilled through warehouses within the EU, so only a very small portion of orders are directly affected by the new fee policy.

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