EU plans to impose import duties to regulate Chinese Discount Stores

The European Union is taking steps to reduce the ordering of dangerous products from Chinese online stores by increasing import duties. Financial media outlets like Financial Times (FT) report that the EU is planning to raise import duties for products ordered from Chinese online stores to address the issue of cheap products that do not meet EU safety standards. The European Commission is removing the current 150 euro import duty-free limit for e-commerce purchases made outside the EU.

Concerns are particularly focused on Chinese online shopping platforms like Temu, Ali Express, and the online store Shein, which specializes in clothing. The number of dangerous products ordered has been on the rise, with a significant increase from 2022 to 2023. Safety issues have been found in products such as cosmetics, toys, electrical appliances, and clothing. One report stated that 18 out of 19 toys ordered from Temu did not meet EU standards and were found to be dangerous for children.

In 2018, 2.3 billion products outside the EU were ordered into the Union under the customs border. Chinese online stores benefit from support in transportation costs from China, allowing them to offer products at very low prices. The removal of import duty-free customs in the EU could pose challenges for customs officials and increase their workload. However, online stores like Temu and Ali Express have expressed willingness to cooperate with EU legislators to maintain their presence in the Union market.

Overall, the EU’s aim is to address the increasing number of dangerous products being ordered from Chinese online stores by raising import duties and removing the import duty-free limit for e-commerce purchases made outside the EU.