EU to Add 2-Euro Fee on Small Parcels, Targeting Temu and Shein - Seoul Economic Daily

| Summary | Save A A A The Temu app screen. Reuters-Yonhap News The European Union will impose an additional fee on parcels bought from overseas online sellers, aiming to curb an influx of low-cost Chinese goods. The levy sets 2 euros (about 2,961 won) for each type of item in a parcel, regardless of the product's price. The move is expected to weigh on demand for direct purchases through Chinese online platforms such as Temu and Shein ahead of the year-end shopping season. The European Commission estimates it will secure about 6 billion euros (about 10 trillion won) in annual revenue during the 2028-2034 budget period, in part through fees on e-commerce parcels valued below 150 euros, according to Portuguese news outlets and other foreign media reports on the 2nd. Tighter rules on low-cost e-commerce goods could become a significant source of EU revenue. The fee applies regardless of a parcel's value. Because it is charged by the type of item inside, buying several different products at once can raise the cost. If a single parcel contains five hats and 10 T-shirts, for example, the fee comes to 4 euros (about 5,922 won). Existing duties apply separately. Since July, the EU has levied a 3-euro (about 4,441 won) customs charge on small parcels valued below 150 euros (about 222,000 won). The new 2-euro fee is added on top of that. Unlike the 3-euro duty, which runs on a temporary two-year basis, the 2-euro fee will be implemented as a separate measure. The EU has said deliveries of such parcels fell about 64% after it introduced the duty on low-value shipments. 93% of Low-Value Parcels Come From China; EU Cites Customs Strain and Safety Behind the tighter rules is a surge in parcels from China. Nearly 6 billion low-value parcels were shipped to the EU last year, according to Agence France-Presse. About 93% of them came from China. The EU says the heavy inflow of cheap goods sold on Chinese online platforms such as AliExpress and Temu has increased the workload at EU customs. Concerns about products whose safety has not been verified, including toys that do not meet EU requirements, are also cited as a reason for the tougher stance. The EU argues that platforms and sellers, not consumers, will bear the cost of the new fee. Still, some observers say distributors and sellers may pass the added expense on through higher prices, leaving consumers to shoulder it. On the question of sellers passing the fee on to consumers, the European Consumer Organisation (BEUC) said such a practice would be illegal under EU law and that the full price must be clearly displayed. Chinese Scholar Calls It 'Protectionism'; Concerns Over Costs Passed to Consumers In China, critics have described the measure as protectionism effectively aimed at the country's own online platforms. Jian Junbo, director of the Center for China-Europe Relations at Fudan University's Institute of International Studies, told China's state-run Global Times that the measure was clear protectionism disguised as a customs cost. Jian noted that while China is not named, Chinese platforms hold a dominant position in the supply of low-priced goods. Jian predicted the fee would ultimately be passed on to consumers. Remarks by EU officials only obscure that path for shifting costs, Jian said, adding that consumers will end up bearing the final burden, particularly with the year-end shopping season approaching. Jian also argued that the volume of parcels from China reflects EU consumers' preference for value-for-money products. Suppressing that demand with a fee has nothing to do with addressing the EU's industrial competitiveness problems, Jian said, adding that it will only fuel inflation and hurt low-income consumers. # EU # Temu # Shein # AliExpress # Ecommerce # ParcelFee # China Original reporting by Lim Hye-rin for Seoul Economic Daily. AI-translated from Korean. Quotes from foreign sources are based on Korean-language reports and may not reflect exact original wording. View Korean original ↗ Translation Policy Watch · Seoul Economic Daily More → 1:07 Tomorrow’s U.S. Midterm Elections - Why They Matter for Samsung & SK Hynix 1:07 Most Read This Week 1 - 5 ‹ › 1 Japan to Urge Citizens to Stockpile Three Days of Food, Water 2 Wall Street Pays Up to $100,000 a Month for Trump Posts 0.05 Seconds Early 3 U.K. and Japan Urge 3-Day Supplies; Experts Say Make It Two Weeks 4 Foreign Students Caught Working as Delivery Riders Face Deportation 5 Korea Launches Joint Probe Into Douzone Bizon Hacking ← Back to Home