EU to Scrap €150 Tax-Free Threshold for Imports from July 1

SHENZHEN, June 30, 2026 — The European Commission has officially notified that, effective July 1, 2026, the EU will abolish its long-standing €150 import duty exemption threshold. All parcels entering the EU, regardless of their value, will now be subject to customs duties, marking the end of the cross-border small-package tax-free era.

New Tariff Rules Take Effect

Under the new regulations, B2C (business-to-consumer) parcels valued at €150 or less will no longer enjoy duty-free treatment starting July 1. Customs duties will be calculated based on the number of tariff lines, at a rate of €3 per tariff line. For B2B (business-to-business) commercial parcels, duties will be calculated according to the applicable tariff rates based on the product's customs classification.

Stricter Customs Clearance Requirements

The new rules also impose stricter requirements on customs documentation. B2B commercial shipments must provide a valid VAT number and EORI (Economic Operators Registration and Identification) number. B2C private parcels must provide a valid IOSS (Import One-Stop Shop) number prior to shipment.

Logistics industry sources have cautioned that while shipments without an IOSS or VAT number may still be dispatched, they face a high probability of customs clearance delays, detention, or even return or destruction upon entry. Any resulting losses will be borne by the sender.

Invoice and Product Identification Rules

The invoicing standards have also been clarified: shippers must clearly indicate the trade nature as either "B2B" or "B2C" on the invoice. Additionally, starting November 1, 2026, B2C parcels will be subject to mandatory Product Identification (PID) requirements. Senders must provide the product's merchant information and manufacturer identification code, as well as the standardized product identification code if available.