EU to remove the €150 duty-exemption threshold: a major change for e-commerce sellers

The European Commission and EU Member States have agreed to abolish the long-standing €150 customs-duty exemption for low-value imports entering the EU from non-EU countries. At present, parcels valued under €150 are exempt from customs duty (though import VAT still applies). From 2026, a temporary system will begin applying duties on these low-value parcels, with a new system in place by 2028 once the EU Customs Data Hub becomes operational.

This is an important development for e-commerce sellers shipping into the EU. The existing threshold has allowed a large volume of low-value goods to enter the EU duty-free, often under circumstances where valuation or product classification was unclear. The reform is designed not only to improve compliance and reduce undervaluation but also to create a fairer competitive environment for EU-based businesses, which have long argued that low-value direct imports enjoy an advantage unavailable to domestic sellers and importers.

What the change means for sellers

• Parcels under €150 will no longer benefit from duty-free entry by default.
• More shipments will require full and accurate customs declarations, with duties collected at or before clearance.
• Duty costs and compliance workloads are likely to increase as customs checks broaden to all parcels, regardless of value.

Although the transitional phase begins in 2026, sellers have time to prepare. Now is the moment to review shipping processes, pricing structures and customer terms. One of the most important steps is ensuring correct product classification. Duties are calculated based on the HS (Harmonised System) code, so misclassification can lead to incorrect duty charges, delays or penalties.

The EU’s official Access2Markets tool is a reliable way to check HS codes and duty rates.
 

Working with a trusted logistics partner

This upcoming change highlights the value of working with a trusted logistics partner. Transglobal Express is preparing thoroughly for the transition and already offers tools to help estimate duty costs accurately at the time of booking. As customs rules tighten, having a partner that provides clear duty calculations, dependable clearance processes and flexible shipping options will be more important than ever.

In short: the €150 duty-exemption is ending. By reviewing supply chains, ensuring correct classifications, updating pricing and coordinating with logistics and marketplace partners, sellers can prepare with confidence and avoid unexpected costs as the new rules take effect.