Small Fee, Big Impact: Are You Ready for the New EU Customs Duty Changes?

The EU is preparing to remove the €150 customs duty exemption for low-value imports. From July 2026, small consignments under €150 shipped from non-EU sellers are expected to attract a flat customs duty of €3 per HS code.

This is a major shift for cross-border ecommerce. And it’s one that brands should be planning for now.

What’s changing?

For years, the €150 exemption has allowed goods shipped from outside the EU to enter duty-free when sold to EU consumers. That made direct-to-consumer fulfilment from non-EU locations highly cost-effective.

But EU tax authorities have flagged growing issues, including:

• Orders split into multiple parcels to stay under the threshold
• Undervaluation of goods to avoid duties

As a result, the exemption is being removed and replaced with a flat fee applied to every shipment.

For high-volume, low-margin sellers, this adds up quickly.

What does this mean for ecommerce brands?

If you sell into the EU and ship from outside it, you’ll need to rethink how customs costs are handled.

Broadly, there are three options:

• Absorb the additional cost: Protect the customer experience, but accept margin pressure.
• Pass the cost on at checkout: More transparent, but risks conversion and competitiveness.
• Consider EU-based fulfilment: Import stock in bulk, manage duty upfront, and ship domestically within the EU.

There’s no one-size-fits-all answer. The right approach depends on your product value, order frequency, margins, and growth plans.

Why EU fulfilment is back on the agenda.

Local EU fulfilment removes customs friction at the point of sale and gives brands more predictable landed costs.

At THG Fulfil, we already operate an established EU warehouse in Poland, offering:

• Access to mainland Europe
• Faster delivery times for EU customers
• Reduced exposure to per-parcel customs charges

For many brands, this location is becoming a strategic advantage as regulations change.

Need help modelling the impact?

Customs duty changes affect pricing, margins, and supply chain decisions. Getting it right requires more than guesswork.

Our tax and customs experts can help you:

• Understand how the new rules apply to your business
• Model cost scenarios
• Decide whether EU fulfilment makes sense for your setup

Planning now means fewer surprises later.

If you’d like to talk through your options, get in touch with the team.