The European Union appears to be seeing the first effects of its new levy on low-value imports. Since its introduction, the tax on small parcels entering the EU has triggered a sharp decline in shipments from Asian e-commerce platforms such as Shein, Temu and AliExpress. Imports of these parcels have fallen by an estimated 30% to 40% across the bloc, according to figures from French customs cited by the French Ministry of the Economy on Thursday, August 27.

Since July 1, Brussels has applied a EUR 3 levy to each product category contained in low-value parcels imported into the EU. The measure is intended to curb the rapid growth of Asian online marketplaces while helping level the playing field for European retailers.

In 2025, nearly 5.9 billion small parcels entered the European market — more than 180 every second — marking a fourfold increase compared with 2022. Of these shipments, 93% originated in China, where exporters have benefited from the EU’s customs duty exemption for parcels valued at less than EUR 150.

These figures are particularly concerning as the European Union believes that a significant share of imported products —including cosmetics —fail to comply with EU regulations and may also pose potential safety risks. In July, French consumer group Que Choisir Ensemble warned consumers about sunscreens sold on Temu, AliExpress and Shein. “The findings are alarming: nine of the ten products tested were found to be non-compliant, with most failing to deliver the sun protection they claim to provide,” the advocacy group said at the time.

Major Asian e-commerce platforms — led by Shein, Temu and AliExpress — have rapidly expanded across Europe, but they also face growing criticism over environmental impacts, unfair competition and alleged links to forced labour in their supply chains.

AliExpress has criticized the new levy as socially unfair. “The very design of these measures contains fundamental flaws,” the platform told AFP, arguing that the additional costs “fall disproportionately on low-income households across Europe and exacerbate the cost-of-living crisis.” Shein, also contacted by AFP, declined to comment, while Temu did not immediately respond.

Temporary levy ahead of customs reform

The levy is designed as a temporary measure, remaining in place until the European Union’s broader customs reform comes into force in two years. From November, it will be complemented by additional "processing fees" to help finance customs services. While the final amount has yet to be confirmed, the fee could reach EUR 2 per parcel.

Early market data suggests the measure is already reshaping consumer behaviour. Shopping app Joko, which analyses the bank transactions of 1.5 million users in France, reported a sharp decline in sales for the targeted platforms between June and July: Temu’s sales fell by 50%, AliExpress dropped by 37%, and Shein declined by 15%.

At the same time, retailers appear to be adjusting their pricing strategies to offset the new costs. According to Joko, Temu increased its average basket value by 30% between June and July, while AliExpress raised it by 27%. AliExpress has also confirmed that customs duties are now included in its listed prices.

Shein’s more limited decline may reflect its growing European logistics footprint. The Singapore-based fashion retailer, originally founded in China, opened a large warehouse in Poland in December 2025, reducing its exposure to the new levy, according to Joko.

Further evidence of the levy’s impact comes from the UK, which is not subject to the EU measure. According to figures shared by market research firm NielsenIQ, Chinese marketplaces recorded a 5% increase in sales value in the country during July.