EU plans tougher measures on influx of unsafe products

The European Parliament has approved a set of proposals aimed at controlling the rising flow of unsafe and low-quality products entering the EU from non-EU online retailers. Around 12 million small ecommerce parcels arrive in the EU every day, putting customs authorities under severe strain.

A central measure is the requirement for non-EU sellers to set up warehouses inside the EU to fulfill orders locally. Platforms like Amazon and Temu are already adopting this approach. Inspecting bulk shipments in EU warehouses would be much easier than checking millions of individual parcels at entry points.

In the Netherlands alone, customs handle about three million ecommerce packages daily, most of which are destined for other EU countries. Member states have raised concerns about the pressure this influx creates.

The proposals also call for scrapping the customs duty exemption for goods valued under 150 euros. According to EU research, around 65 percent of incoming parcels are deliberately undervalued to avoid paying duties.

Additionally, the European Parliament is considering a two-euro handling fee for parcels from outside the EU, while also examining whether this fee is proportionate and ensuring it will not unfairly impact consumers.

Member states are being urged to allocate more resources to customs authorities, including investments in AI and blockchain systems to streamline inspections.

But will these measures stop the influx? Ecommercemeister does not believe so. The underlying incentives, such as lower production costs and aggressive discounting by non-EU platforms, remain unchanged. Even with local warehousing, the price advantage will likely continue to fuel demand.

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