The European Council has confirmed a significant change to customs policy, introducing a fixed €3 duty on small parcels entering the EU. The measure will come into effect from 1 July 2026 and primarily targets low-value goods imported via e-commerce.

What’s Changing?

Under the new rules, all consignments valued at less than €150 will no longer benefit from duty-free entry into the EU. Instead, a flat €3 customs duty per item will be applied, calculated based on individual tariff classifications within each shipment.

This applies to goods sold by non-EU businesses registered under the EU’s Import One-Stop Shop (IOSS) system, covering approximately 93% of all e-commerce imports into the EU.

Why the Change?

The European Council has introduced this temporary measure to address several growing concerns:

• Unfair competition: EU-based sellers have been at a disadvantage compared to overseas e-commerce suppliers benefiting from duty exemptions
• Consumer safety risks: Increased volume of unregulated imports raises health and safety concerns
• Fraud prevention: The current system has been vulnerable to abuse and under-declaration of value
• Environmental impact: High levels of low-value shipments contribute to increased carbon emissions

A Temporary Measure Before Full Reform

This €3 duty is a short-term solution, following an agreement reached in November 2025 to reform the EU’s customs framework.

The measure will remain in place until a permanent system is implemented, which will remove the €150 duty threshold entirely. Once introduced, all goods, regardless of value, will be subject to standard EU tariff rates, potentially resulting in significantly higher costs than the temporary flat fee.

It is important to note that this €3 duty is separate from the proposed “handling fee”, which is still under discussion as part of broader EU customs reform and budget planning.

What Businesses Need to Do Now

With implementation just around the corner, businesses trading into the EU should act quickly to prepare:

Review pricing strategy

Decide whether to absorb the €3 charge or pass it on to customers at checkout.

Optimise checkout systems

Ensure your B2C platforms can accurately apply new duties and display costs transparently.

Engage with logistics partners

Work closely with couriers to guarantee efficient customs clearance and minimise delays.

Plan for future tariff impacts

Assess potential exposure once full tariff rules are introduced, as costs could rise beyond the temporary €3 charge.

Support Available

If you need assistance navigating these changes, your local Chamber of Commerce can provide guidance and practical support.

Contact: international@chamberelancs.co.uk