Key facts
- The EU is removing the tariff exemption for cross-border packages valued under 150 euros, effective July 1, 2026.
- This change aims to address unfair competition and modernise EU customs operations.
- A temporary €3 customs duty will apply to low-value consignments until July 1, 2028.
- China is implementing new regulations for outbound investment, EV safety, and cybersecurity.
- Huawei is increasing prices on its smart collaboration products due to rising component costs.
The European Union is set to abolish the tariff exemption for cross-border packages valued under 150 euros starting July 1, 2026. This significant change, part of the EU's broader Customs Reform, aims to create a more equitable playing field between e-commerce imports and traditional retail.
Currently, parcels below 150 euros are exempt from customs duties, though subject to VAT and customs declarations. The EU argues this exemption is no longer justified due to the evolution of e-commerce and the availability of digital customs data, leading to unfair competition. In 2025 alone, nearly 5.9 billion such items were shipped directly to EU consumers without customs duties.
A temporary flat fee of €3 per item will be applied to low-value consignments until July 1, 2028, after which standard customs duties will apply based on the goods' type. This measure is intended to modernise customs procedures, enhance safety, and ensure compliance with EU standards, as a significant number of low-value imports have been found to lack these.
Alongside the EU's e-commerce changes, several new regulations are taking effect in China on July 1. These include new rules for outbound investment, mandatory safety standards for electric vehicles and their batteries, and cybersecurity measures for products. Huawei will also increase prices on its smart collaboration products due to rising component costs. Furthermore, China is implementing new classification standards for AI-generated micro-dramas, subjecting those with higher budgets or sensitive themes to stricter oversight. The Global Digital Economy Conference is scheduled to open in Beijing from July 2 to 5.