The Council of the European Union and the European Parliament have reached an agreement on a major reform of the EU customs framework, introducing new tools to manage growing trade volumes, particularly from e-commerce, and to strengthen controls at the Union’s external borders. The reform aims to modernise customs procedures while improving the efficiency of duty collection and ensuring stronger checks on unsafe or non-compliant goods entering the EU.
According to the Council, the new framework is designed to address challenges created by increasing trade flows, the rising number of EU standards requiring border checks and evolving geopolitical conditions.
Keravnos: Largest reform since 1968
Cyprus Finance Minister Makis Keravnos described the agreement as the most significant change since the creation of the EU Customs Union in 1968.
He stated that the new Union customs code would provide the tools needed to address geopolitical challenges while strengthening economic security and simplifying procedures for traders.
EU customs data hub
A central element of the reform is the creation of a single EU customs data hub, which will serve as a common digital platform for businesses importing or exporting goods.
Through the system, companies will submit customs information once via a single portal instead of interacting separately with up to 27 national customs authorities. The hub will allow the same data submission to cover multiple consignments, reducing administrative costs and processing time.
National customs authorities will gain access to real-time trade data and supply chain information. With support from the future EU customs authority, member states will be able to share intelligence and respond more quickly to potential risks.
Under the agreement, the data hub will begin operating for e-commerce goods on 1 July 2028, with a gradual rollout covering all goods entering the EU by 1 March 2034.
Creation of an EU customs authority
The reform also establishes a new EU customs authority, a decentralised agency responsible for coordinating certain governance functions of the EU customs union.
The authority will analyse import and export data collected through the customs data hub to identify high-risk consignments that should be prioritised for inspection. It will also define priority control areas, develop risk criteria and coordinate crisis management related to customs operations.
The agency will be based in Lille, France, and will be established once the overarching regulation enters into force.
New category of trusted traders
The updated legislation introduces a new category of highly transparent businesses known as “trust and check traders.”
Companies that provide comprehensive information on the movement and compliance of goods and meet strict transparency requirements will benefit from simplified customs procedures. In some cases, goods may be released into circulation in the EU without active customs intervention.
Other companies will continue to benefit from existing simplifications available under the authorised economic operatorscheme.
Handling fee for small e-commerce parcels
To address the increasing number of small parcels entering the EU through online sales, the agreement introduces a new EU-wide handling fee for small consignments sold via distance selling.
The level of the fee will be determined by a delegated act of the European Commission and must be implemented by EU member states no later than 1 November 2026.
The reform also clarifies that online platforms and sellers operating through distance sales are considered the importer of the goods and are responsible for ensuring that customs procedures and duty payments are completed.
A new system of financial penalties will apply to e-commerce operators that repeatedly fail to comply with their customs obligations.
Next steps
The Council and the European Parliament will continue work on the remaining technical elements of the package before formally adopting the legislation. The new customs rules will enter full application 12 months after publication in the Official Journal of the European Union.
Background
The EU customs union has operated for more than 50 years, with national customs authorities coordinating across the Union’s external borders.
In 2024, customs authorities in 2,140 offices operating around the clock handled more than 1.37 billion consignmentsand collected almost €27 billion in customs duties.
During the same year, authorities detected 64,000 cases of goods posing risks to consumer health and seized 112 million counterfeit items entering the EU market.