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EU to impose €2 tax on low-cost items in blow to Temu and Shein

Brussels plans handling fee on billions of small packages imported mainly from China

The EU plans to levy a flat fee of €2 on billions of small packages entering the bloc, mainly from China, in a fresh blow to online retailers such as Temu and Shein.

Trade commissioner Maroš Šefčovič told the European parliament he had proposed a handling fee on Tuesday to deal with the challenges of the 4.6bn items annually imported directly to people’s homes.

The European Commission draft proposal, seen by the Financial Times, says the €2 fee will apply to direct sales but that items sent to warehouses will be taxed at €0.50.

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