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EU's €3 Online Shopping Levy Targets Chinese Retailers

Bloomberg Markets •
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European online shoppers face higher costs starting July 1 when a new €3 duty takes effect on items under €150. The levy primarily targets China, which supplied roughly 90% of the 6 billion low-value products imported into the EU last year. Fast-fashion giants like Shein and Temu will feel the impact most directly.

Brussels argues the move creates fairer competition, claiming subsidized Chinese goods harm traditional retailers. The EU is ending its de minimis exemption, a tariff break that allowed duty-free imports for decades. This follows similar US action last year when America closed its $800 tariff-free window amid surging shipments.

Customs brokers and carriers will collect the fee and pass costs to consumers, potentially causing supply chain bottlenecks during implementation. An additional €2 handling fee arrives in November, adding further complexity to already-strained logistics networks.

Small businesses selling into Europe face particular pressure as they lack the scale to absorb these new costs. The changes may accelerate cargo shifts from express to bulk shipping, slowing deliveries while governments collect what Marco Forgione calls a 'windfall of additional money.'