EU reform 2026: Why parcels from Shein, Temu & Co. will soon become more expensive — and what this means for trade & logistics
From 2026, the European Union will implement one of the biggest changes to international online trade in recent decades: the duty-free allowance of €150 for small parcels will be abolished. All packages from third countries – no matter how inexpensive – will be subject to customs duties. In addition, the EU is considering a flat fee per package to finance the processing of the enormous influx of parcels.
But what does this mean for consumers, for budget platforms like Shein and Temu – and for European retailers and the logistics industry?
1. Why the EU is acting now
Extreme flood of parcels from China
The EU has seen explosive growth in small parcels from China for years. In 2024 alone, EU member states received around 4,6 billion parcels containing low-value goods. A large proportion of these originated in China, often from platforms such as Shein, Temu, and AliExpress.
The consequence: Overburdened customs authorities, a lack of controls, and a market overwhelmed by extremely cheap individual orders.
Distortion of competition
European retailers and manufacturers have felt disadvantaged for years. While they have to comply with strict EU regulations, product safety standards, taxes and shipping costs, low-cost platforms have been able to bring goods into the EU extremely cheaply thanks to low prices and minimal declaration.
This led to a massive price difference and a noticeable distortion of competition.
Undervaluation and lack of security
Many small shipments are deliberately undervalued to avoid customs duties. Studies estimate that the correct value of goods is not declared in up to two-thirds of packages.
Furthermore, numerous cheap imports do not meet EU safety standards — from chemical limits to product liability.
Environmental impact of artificially split orders
Both consumers and retailers in developing countries often artificially split orders into many small packages. This results in more packaging waste, increased transport volume, and an unnecessary burden on logistics systems.
2. What will change specifically from 2026 onwards?
Customs duties apply to every shipment – even the lowest value goods.
The duty-free allowance will be abolished from 2026. This means:
-
Even products worth 1–20 euros must be fully declared and paid customs duties.
-
Traders must submit complete declarations with HS codes and realistic merchandise values.
-
Consumers will in future pay customs duties + import sales tax + possibly service provider fees.
Planned flat fee per package
In addition to customs clearance, a processing fee is planned — around 2 euros per shipment is being discussed.
This fee would primarily increase the cost of shipping extremely cheap individual packages.
Stricter controls
Customs authorities are to be granted significantly more powers and more closely digitally networked. The aim is real-time inspection of all shipments to detect counterfeit products, dangerous goods, and undervaluation more quickly.
Accelerated schedule
Originally planned for 2028, the start of the reform is now targeted for 2026 due to political pressure and the massive influx of packages – partly with transitional arrangements that can take effect immediately.
3. Who is affected – and to what extent
Significant impact on budget providers
Platforms like Shein, Temu and AliExpress are losing their core advantages:
-
Price increases of 20–50% for many items
-
Elimination of the previous "tax exemption"
-
significantly higher logistics costs
-
reduced competitiveness in the low-price segment
Their current model of sending large quantities of small packages directly to end customers is becoming less economically attractive.
Impact on consumers
For buyers, this means:
-
higher final prices
-
longer delivery times
-
potential fees charged by the delivery service
-
stricter controls and returns in case of incorrect declaration
Realistically speaking, many "bargains" will no longer be bargains.
Winners: European retailers and logistics companies
The reform creates a fairer starting position for local providers.
-
The price advantages of cheaper imports are shrinking.
-
The attractiveness of European shop, fulfillment and warehousing solutions is increasing.
-
EU products or goods already stored within the EU will become more competitive.
Opportunities for customs and shipping service providers
Service providers that offer accurate declarations, transparent shipping costs, and fast customs processing are in increasing demand. Complexity is rising—and with it, the need for professional support.
4. Impact on logistics & retailers: What exactly is changing?
More documentation & compliance
Retailers will be required to provide complete data in the future, including:
-
cart value
-
Country of origin
-
HS code
-
Product description
-
number of pieces
-
material specifications
-
Security certificates (if applicable)
Missing information will lead to delays, returns, or penalty payments.
Automated customs processes are gaining in importance
The sheer volume of small shipments can only be handled with digitized systems.
“EU-Friendly Shipping” will become standard
Many Asian suppliers will have to store goods in EU countries in the future in order to remain competitive.
5. What the reform means for our customers (worldwide shipping / international parcels)
For our customers — especially retailers, industrial companies and e-commerce businesses — the EU reform brings clear advantages:
-
Customs clearance in secondsOur software can automatically generate the necessary documents and declarations.
-
Fixed prices & full cost transparencyNo hidden fees, no unclear import costs.
-
Affordable worldwide shipping rates: Especially now, with rising shipping costs, an efficient partner is crucial.
-
Protection against subsequent claims and delaysThrough full compliance, correct values and clearly structured data.
With the new EU rules, professional customs and shipping processing is not just an advantage — but a necessity.
The EU is restructuring global online trade
The abolition of the duty-free allowance and the introduction of a parcel fee mark the end of the "cheap import era".
For Asian retailers, this means increased costs and greater effort. However, for European retailers, logistics providers, and manufacturers, the reform offers enormous opportunities.
The topics of product safety, fairness, sustainability and compliance are becoming increasingly important — and rewarding companies that work with clear processes and transparency.
Here you can read more about this topic:
