EU to Scrap Tax-Free Imports on Small Parcels from 2026, Two Years Ahead of Schedule

The European Union has announced it will abolish its tax-free policy for small parcels valued under €150 from the start of 2026, implementing the measure two years earlier than initially planned. From that date, all such imports are expected to incur an additional provisional customs charge of approximately €2.

According to the latest reports, EU Trade Commissioner Maroš Šefčovič proposed accelerating the removal of the 'de minimis' rule for online imports below €150 to EU finance ministers in November 2025.

The original 2023 proposal from the European Commission was to abolish this exemption in 2028, coinciding with a comprehensive overhaul of the EU customs system. However, the new schedule brings implementation forward to the first quarter of 2026.

Mr Šefčovič emphasised that the 2028 timeline 'does not align with the current urgency of the situation', calling for 'the necessary political resolve and pragmatic approach' to expedite the process.

On 13 November 2025, EU finance ministers reached a political agreement on the proposal during a meeting in Brussels. The plan is expected to receive formal approval by 12 December 2025, after which negotiations with the European Parliament will commence. Members of the European Commission have unanimously endorsed this accelerated timeline as a 'signal of fair competition.'

Until the full EU Customs Data Hub becomes operational in 2028, enabling complete tariff collection on all parcels, a 'simplified temporary customs fee' will replace the current exemptions. This fee is designed to streamline procedures while ensuring all parcels, irrespective of value, are subject to taxation.

The new regulation will apply to all parcels valued below €150 imported from outside the EU, with a particular focus on e-commerce direct-to-consumer models, such as those operated by companies like Shein and Temu. The measure aims to counter fraudulent practices, including undervaluation of goods and the splitting of consignments to qualify for the exemption.

In May 2025, the European Commission proposed a fixed transitional charge of €2 per parcel. This amount remains subject to final confirmation and could be adjusted based on feedback from Member States; for instance, Romania has previously trialled a rate of approximately $5.73 per parcel.

The EU projects this measure will generate hundreds of millions of euros in annual revenue. France, for example, anticipates collecting €500 million by late 2026.