The EU Has Removed the €150 de Minimis Threshold: What It Means for Your Shipments

For years, goods imported into the EU with a value of €150 or less were exempt from customs duty (though VAT still applied). This was known as the de minimis exemption, and it kept cross-border shopping simple and low-cost.

As of July 1, 2026, that exemption has been removed. In practice:

• All commercial shipments imported into the EU are now subject to customs formalities, regardless of value.
• For eligible personal (consumer) shipments valued at €150 or less, the EU has introduced a temporary simplified customs duty of €3 per customs declaration line.
• This €3 duty is a transitional measure, expected to remain in place until July 1, 2028, after which goods will be subject to the standard customs tariff for their category.

A "customs declaration line" corresponds to each different tariff classification (HS code) in a shipment – not each individual item or SKU. So several of the same type of product fall under one line and one €3 charge, while products with different classifications each incur their own €3 charge.

For example, two identical t-shirts in different sizes share one HS code and are charged once (€3), whereas a t-shirt and a pair of shoes have different classifications and would be charged separately (€6).

At present, the €3 duty applies primarily to goods sold by non-EU sellers registered in the EU's Import One-Stop Shop (IOSS) for VAT. The European Commission has said it will assess whether to extend it to sellers not registered in IOSS in future.

The EU has described the change as a response to the reality of the market: billions of low-value parcels now enter the EU each year, and the exemption was seen as creating an uneven playing field for EU-based retailers. The reform is the first phase of a broader modernization of EU import procedures.

VAT rates vary by EU country, so the exact figures depend on your destination. An EU-wide handling fee (expected late 2026) may add further cost once confirmed.

Why it matters: customs authorities use PIDs to carry out risk analysis and improve oversight of products entering the EU, with the aim of protecting EU consumers. Providing all applicable codes from July 1, 2026 helps ensure smooth clearance ahead of the November 1 enforcement date.

A few exceptions worth knowing

• B2B shipments (VAT-registered importers): subject to standard, HS-code-based customs duties, not the €3 simplified rule.
• Free Trade Agreement (FTA) goods: if not sold under IOSS, these may still qualify for duty relief under FTA rules; if sold under IOSS, the €3 duty per declaration line applies.

Because these situations can get complex, it's worth speaking to a customs or tax specialist if they apply to you.

The EU isn't acting alone. Removing or reducing low-value import exemptions is becoming a global pattern:

• United States: ended its $800 de minimis exemption in 2025; first for imports from China (May 2025), then for all countries (August 2025). We covered what that means for parcel forwarding customers here.
• Japan: currently reviewing its de minimis regime. Goods under JPY 10,000 (around USD 60) are presently exempt from duty and consumption tax, but low-value imports have grown roughly tenfold between 2016 and 2024, reaching over a hundred million parcels a year. In October 2025, Japan added new fields to import declarations, including whether cargo is e-commerce goods and which platform was used – a sign that change is already underway.
• United Kingdom: post-Brexit, parcels under £135 currently benefit from a customs duty exemption. The UK confirmed in its Autumn 2025 Budget that this will be removed, and the timeline has since been brought forward – currently expected around 2028 (originally slated for March 2029).

The direction of travel is clear: over time, more countries are moving toward treating all imports as formal customs entries, regardless of value.

For shipments entering the EU from outside it, you can now expect:

• Customs clearance on all shipments – every parcel entering the EU from a non-EU country goes through customs formalities.
• Possible customs duties, VAT, and courier or clearance fees, depending on the shipment, the importer, and the destination country.
• Potentially longer processing times while the new procedures bed in.
• More scrutiny of customs declarations, which makes accurate item descriptions and values more important than ever.

Please note that customs duties, VAT, and any customs clearance or brokerage fees are set by the destination country's customs authority and the courier – they're outside forward2me's control.

We've updated our shipping and customs systems to meet the new EU requirements, and we'll keep them current as the rules evolve. Where needed, we'll submit customs information electronically, request any additional details required for compliance, and prepare your documentation as accurately as possible to help minimize delays.

The best way you can help is to provide accurate descriptions, values, and supporting documentation for every EU-bound shipment.

If you sell to European customers, this change is a margin and customer-experience conversation worth having now. There's no way around the €3-per-line duty on eligible shipments, so the real question is how you handle it.

Broadly, there are two approaches:

• DDP (Delivered Duty Paid): duties are calculated and paid up front, so the cost is settled before the parcel arrives and your customer gets no surprise bill. You can collect this at checkout or absorb it.
• DAP (Delivered at Place, also called DDU): the recipient pays duties on arrival, which risks surprising customers with an unexpected charge, delays at customs, and parcels sitting undelivered.

One added consideration: the €3 fee is charged per line and is non-refundable if an item is returned, which is worth factoring into your pricing and returns planning.

You'll also want to get your product data in order. B2C shipments into the EU now require Product Identifiers (PIDs) for every product regardless of value – enforced from November 1, 2026 – so having your SKUs, manufacturer codes, and barcodes ready in advance will help avoid clearance delays.

There's also uncertainty to plan around, because the EU isn't fully streamlined here, with member states taking different approaches to whether recipient-pays (DAP/DDU) shipments are even allowed, and some are phasing that option out. For many brands, moving to DDP is the cleaner way to keep deliveries predictable and customers happy.

Choosing DDP with forward2me can help you keep control of the customer experience as these rules bed in. If you'd like to talk about the best approach for your shipments, our team is happy to help.

Customs rules are changing quickly, and some details, particularly the proposed EU-wide handling fee, are still being finalized. We'll keep this article updated as more information becomes available. For questions about your own shipments, contact our Customer Experience team.