The European Union has taken a step towards curbing what it calls unfair competition from online retailers such as Shein, Temu, and AliExpress by imposing a €3 fee on low-value ecommerce imports from China that previously entered the bloc duty-free.
Impact on Ecommerce Platforms
The move is another setback for platforms that used customs exemptions to sell goods at ultra-low prices, fuelling rapid growth and prompting complaints from retailers and policymakers. The U.S., their biggest market, ended its “de minimis” exemption for imports from China in May and for all imports at the end of August.
The fees, which take effect immediately, will be charged for each customs classification in a shipment. A parcel containing three different types of item would incur a total charge of €9, while a parcel containing multiple dresses or multiple toys would be charged €3.
Expected Consequences
Derek Lossing, an ecommerce and air cargo consultant, expects air shipments of ecommerce goods into the EU to fall by 10% to 35% in the weeks after the fees take effect, with likely repercussions for global air cargo volumes. Platforms may pressure suppliers to absorb some of the additional costs to limit price increases for consumers and protect profitability.
Original reporting: Appleton, WI News Feed (HLL/CB) — read the source article.
