EU Abolishes 150 Euro Import Duty Exemption: New Flat-Rate Levy and Handling Fee for Low-Value E-Commerce Shipments

The European Union has formally abolished the EUR 150,- import duty exemption for low-value shipments.

Explosive growth in low-cost e-commerce shipments from non-EU countries

E-commerce has been a growing sector in recent years. Shipments from non-EU countries in particular are increasing sharply in number. According to the European Commission, an average of 12 million parcels per day has been imported into the EU in 2024. That is an increase of more than 229% compared to 2022. One of the reasons for this is that products from non-EU countries are generally cheaper than products from the EU.

However, these cheap products come with risks, namely that many of the shipments do not comply with tax laws and regulations. VAT and import duties are often not levied on imports. These cheap products also carry the risks of unfair competition with European suppliers, environmental damage and low product safety.

Interim flat-rate customs duty as of July 1, 2026

As of July 1, 2026, a provisional flat-rate customs levy of EUR 3,- per product category will be levied on small e-commerce shipments from non-EU countries in a postal shipment with a value of less than EUR 150,- (LVC). According to the Council of the EU, the reason for this provisional measure is to address the problems associated with the rapid growth of very low-value parcel imports and the increasing pressure of unfair competition.

The levy will apply to all LVCs entering the EU from sellers registered for VAT purposes with the EU's Import One-Stop Shop (IOSS).

The levy is provisional and will apply until July 1, 2028. Once the new EU Customs Data Hub becomes operational, currently expected in 2028, the provisional levy will be replaced by the application of standard customs duties. If necessary, the provisional levy may be extended.

The rise of handling fees for small e-commerce shipments

In addition to the provisional levy, there is talk of introducing a “handling fee” for small e-commerce shipments imported from non-EU countries. The purpose of this handling fee is to reimburse the costs incurred by European customs authorities in handling the flow of small shipments. The handling fee is expected to come into effect at EU level on November 1, 2026.

Some EU countries do not want to wait for this and intend to introduce a national version at the beginning of 2026, which will expire as soon as the European version comes into force. France, for example, has already introduced a national handling fee as of March 1, 2026. The Netherlands, on the other hand, has postponed its decision on the introduction of a national handling fee until further notice. It prefers a European approach in order to avoid a waterbed effect and fragmentation, and is investigating whether the introduction of the European regulation can be brought forward to July 1, 2026.

Before introducing a national handling fee, the Netherlands is observing the effect of the French national handling fee on parcel flows to the Netherlands. According to the Dutch State Secretary for Tax Affairs, the Tax Administration and Customs, this does not currently provide sufficient reason for the Netherlands to take the same step.

Stay ahead of the curve: prepare your business for (planned) measures in good time

For businesses in the e-commerce sector, it is wise to prepare thoroughly for these changes. Legislation and regulations are developing rapidly and new initiatives are constantly in the pipeline.

Our specialists are happy to assist you in understanding the impact of the (proposed) measures. Curious about what this means for the new provisional levy or the handling fee? Or do you have another legal question in the field of customs law? Feel free to contact attorney John Wolfs, who has years of experience in customs law, among other things.