As July 1 approaches, so does a major change for online shoppers: the EU is removing the customs duty exemption on imported consignments valued at EUR 150 or less. For regular buyers on platforms like Temu and Shein, the question is simple: how much will this actually cost?

What the EUR 3 Duty Means for Shopping Cart

The best way to explain how the EUR 3 customs duty on low-value imports will affect the prices and total cost for consumers is from a practical perspective. The first thing to understand is that the duty applies on a per-item basis, meaning that if someone buys headphones from Temu or a shirt from Shein, they will have to pay an additional EUR, plus VAT. For example, if a shirt costs EUR 5, the consumer will pay EUR 5 for the shirt plus EUR 3 for customs duty plus VAT, totalling EUR 8. 

Now, if a consumer buys a hoodie and jacket, together with a shirt, they will pay EUR 3 on each of these items, totaling EUR 9. In this case, if a hoodie costs EUR 15, a jacket EUR 25, and a shirt EUR 5, the consumer will pay a total of EUR 54, where EUR 45 is the total price of goods, and EUR 9 is customs duty. 

However, if a consumer orders two, three, or five of the same shirts, only EUR 3 customs duty will be charged, as these shirts will be considered a single item. Therefore, if a shirt costs EUR 5 and the consumer buys 3 shirts, the total will be EUR 18, EUR 15 for shirts and EUR 3 for customs duty.

The EU EUR 3 customs duty may be charged at the checkout point by platforms or by postal services or couriers before they deliver goods. For EU consumers, it is important to remember that the new customs duty will not apply to goods shipped from within the EU. That said, even if goods are ordered from an EU supplier, if the goods originate from outside the EU, the customs duty will apply.

Conclusion

In 2024, 4.6 billion small retail packages entered the EU, more than 145 every second, with around 91% originating from China, primarily via Temu, Shein, and AliExpress. The new EUR 3 duty will therefore affect the vast majority of these shipments. For consumers, the key question to watch is whether platforms will build these costs into their prices or pass them on separately at a later stage.