The EU will remove the EUR 150 customs duty exemption for e-commerce imports from 2026. Learn how this change affects low-value parcels, duty collection, and the wider EU Customs Reform.
EU to Abolish Customs Duty Exemption for Low-Value E-Commerce Parcels by 2026
The European Union has reached a political agreement to eliminate the EUR 150 customs duty exemption for e-commerce goods imported from non-EU countries. This significant policy change, set to take effect in 2026, will reshape how low-value parcels are handled across the EU.
Current Exemption and Its Challenges
At present, parcels valued under EUR 150 sent from non-EU countries to EU consumers are exempt from customs duties, though they still require VAT and a customs declaration. However, with the rapid growth of e-commerce, this exemption has been deemed outdated and unfair to EU-based retailers, who do not enjoy the same advantage. The European Commission has emphasized that removing this threshold will promote fair competition between traditional retail imports (typically shipped in bulk) and direct-to-consumer e-commerce shipments.
A Key Milestone in EU Customs Reform
The removal of the EUR 150 threshold is the first tangible outcome of the broader 2023 EU Customs Reform. Initially expected to be implemented later, the measure was expedited due to the increasing volume of low-value goods entering the EU. Member States and the European Commission agreed to fast-track the change, with a temporary solution for calculating customs duties on these parcels set to be introduced in early 2026. This will precede the launch of the EU Customs Agency and the EU Customs Data Hub, planned for mid-2028.
Additionally, the European Parliament has backed this initiative, as reflected in its July 2025 Resolution on product safety and regulatory compliance for e-commerce and non-EU imports. The Council of the EU also adopted a position in June 2025 to introduce an e-commerce handling fee starting in November 2026. Together, these measures aim to streamline customs procedures and ensure a level playing field for all retail channels.
Implications for E-Commerce Businesses
From 2026 onward, all e-commerce parcels entering the EU—regardless of their value—will be subject to customs duties. A simplified, temporary calculation method will be used until the EU Customs Data Hub becomes fully operational in 2028. This change is expected to enhance the efficiency and fairness of the EU’s customs system.
By abolishing the EUR 150 threshold and simplifying duty collection, the EU is taking a decisive step toward modernizing its customs framework. Further details and rules are anticipated as negotiations on the broader customs reform progress.
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