The EU Council has approved the introduction of a flat €3 customs duty on all small parcels worth less than €150 entering the European Union, a move that will end duty-free imports for millions of low-value shipments, primarily linked to online shopping.
The new duty will apply from 1 July 2026 and is intended as a temporary measure until a permanent customs regime for small consignments enters into force, following an agreement reached by member states in November 2025.
Why the EU is changing the rules
Currently, parcels below the €150 threshold can be imported into the EU without customs duties. According to EU institutions, this system has created unfair competition for European businesses, increased risks to consumer safety and public health, facilitated fraud and raised environmental concerns due to the volume of low-cost shipments.
The Council said the temporary duty is designed as a simple and immediate solution to address these issues while broader customs reforms are finalised.
Who the €3 duty will apply to
The €3 charge will apply to all small consignments entering the EU where the non-EU seller is registered under the Import One-Stop Shop system, known as IOSS, for VAT purposes.
The IOSS system currently covers around 93% of e-commerce flows into the EU, meaning the vast majority of imported low-value parcels will fall under the new regime once it comes into effect.
EU officials noted that the measure differs from the proposed handling fee discussed as part of the wider customs reform package and the next multiannual EU budget, and is limited in scope and duration.
Next steps and possible expansion
The decision follows a political commitment by EU member states in November 2025 to introduce a temporary customs solution for small parcels during 2026, ahead of the full abolition of the existing duty-free threshold.
The European Commission will regularly review the implementation of the measure and assess whether the €3 duty should be extended to goods shipped by non-EU sellers that are not registered under the IOSS system.
Source: AMNA