Rules checked 16 Sep 2026 · updated 25 Sep
EU customs · low-value parcels

The €3 duty: what it actually costs you

Since 1 July 2026 every parcel you send into the EU worth €150 or less carries a flat customs duty. Most coverage of it is written for freight forwarders. Here is the version for someone shipping a few orders a month.

The short version

€3 per item, on any consignment worth €150 or less, from 1 July 2026 until 1 July 2028. The €150 duty-free exemption that existed before is gone.

"Item" does not mean "unit." It means one tariff classification. Five identical T-shirts is one item — €3. A T-shirt and a watch is two items — €6.

You pay it, not your customer. The duty falls on the declarant, which in practice is the seller, the importer, or the IOSS holder.

The mistake almost everyone makes

"€3 per item" reads like €3 per thing in the box. It isn't, and the difference is large enough to change whether EU selling works for you.

The Commission defines an item as goods in a consignment that share the same tariff classification, description and, where applicable, origin. Its own worked example is the clearest statement of it:

5 T-shirts → €3 (1 item)
1 T-shirt + 1 watch → €6 (2 items) European Commission, Access2Markets

So the duty is indifferent to how many units you ship. It cares how many different kinds of thing are in the parcel.

Volume of the same product is free. Variety is what costs. A shop selling one thing in multiples is in a far better position than one selling mixed bundles — and nobody selling bundles seems to have noticed yet. If you sell curated sets or gift boxes, this is the paragraph that matters most to you.

We got this wrong ourselves, in both directions, before checking the definition. The first version of our calculator ignored the duty entirely. The second multiplied €3 by units, which overstates it for anyone selling multiples. The definition was two pages away on the Commission's own site the whole time.

Who actually pays

The duty falls on the declarant — the party making the customs declaration. For most small sellers shipping direct to EU consumers that is you, your carrier acting on your behalf, or your IOSS intermediary. It only reaches the buyer in the cases where the buyer is the importer of record, which is unusual in ordinary e-commerce.

Practically: assume it comes out of your margin unless you have specifically arranged otherwise and checked that your carrier agrees.

The declaration-line problem nobody mentions

Here is a wrinkle that can triple your bill and is entirely outside your control.

Customs IT currently applies the €3 per declaration line, not strictly per item as defined. How many lines your parcel becomes depends on which declaration type your carrier files:

On a mixed order of four different products, that is the difference between €3 and €12 — on the same parcel, with the same contents, decided by a choice you never made.

Worth one email. Ask your carrier which declaration type they file for your EU parcels. If you ship mixed orders and they file H1, you are paying several times what a competitor using H7 pays for an identical box. That is a negotiable thing, and almost nobody is asking.

What it costs you per year

Assuming one product type per order, which is the common case:

EU orders per monthItems per yearAnnual duty
112€36
336€108
560€180
672€216
10120€360
20240€720

Multiply by the number of different product types in a typical order. Two types doubles every figure in the right-hand column.

Now put that next to the cost everyone actually argues about. A budget Responsible Person service starts around €139 a year; a mid-tier one is about £490.

Above roughly five EU orders a month, the duty costs you more than the compliance service everyone is worried about. The forums have this backwards. GPSR gets the attention because it arrived with a deadline and a scary name. The duty is quieter, newer, and for most small sellers it is the larger number.

Where EU selling simply stops working

The duty is flat, so it hurts cheap products disproportionately. Take the profit you make on an order and compare it to €3.

Your marginOrder value where duty eats all profit
25%€12.00
35%€8.57
45%€6.67

Below these order values, at these margins, each EU sale loses money before any compliance cost is counted.

This is the part worth sitting with. Below that line, more orders make you poorer. Volume cannot fix it, discounting cannot fix it, and no compliance service can fix it, because the problem is not compliance. If you sell a €7 product at 35% margin, every EU order you take costs you money, and the only remedies are to raise the price or to stop.

Two dates to put in the diary

1 November 2026 — Product Identifiers become mandatory

Product Identifiers have been voluntary since 1 July 2026 and become mandatory on 1 November. There are four types: S-PID, M-PID, NS-PID and the Y081 code. This is a data requirement rather than a cost, which is exactly the kind of thing a small seller misses until a parcel is held.

1 July 2028 — the €3 ends

And normal product-specific tariffs return. That is not automatically relief: depending on what you sell, the ordinary tariff may be higher than €3. Treat the flat duty as a two-year window with something different on the other side, not as a temporary annoyance that goes away.

Update, 25 September 2026: the handling fee is now set

When this page was first published, the €2 handling fee was only a proposal. It no longer is. Parliament adopted the customs reform on 16 September, and on 21 September the Commission adopted the delegated regulation setting the fee at €2 per item. Member states will start collecting it by 1 November 2026 at the latest. It is paid by whoever pays the duty, not the buyer, and it applies on top of the €3.

We've written it up separately: the €2 handling fee: what changes on 1 November.

Why the EU did this

For context rather than comfort: around 5.9 billion low-value items were shipped to EU consumers duty-free in 2025, and Commission inspections found that over 60% of the products checked failed EU standards. The duty is aimed at very high-volume overseas sellers. Small legitimate shops are caught in the same net, which is annoying but does not change what you owe.

Work out your own number

Ship or Not? takes your order value, your margin and your EU volume, folds in both the duty and the compliance cost, and tells you where your break-even sits. It will tell you to switch EU sales off if that is the honest answer.

Run the numbers

If the numbers work but the paperwork doesn't appeal, that's what the Compliance Pack is — the GPSR documents done for your actual products, with every obligation cited to its article. And if you have seen anyone suggest marking parcels as gifts to get around the duty, that is worth three minutes before you try it.

Genuinely unresolved

Sources

  1. European Commission, Taxation and Customs Union — Guidance and legal text on the temporary flat fee on low-value imports which will apply until 1 July 2028, published 8 June 2026. Council Regulation (EU) 2026/382, with UCC Delegated Act adopted 30 April 2026 and Implementing Act published 8 June 2026.
    taxation-customs.ec.europa.eu
  2. European Commission, Access2Markets — EU applies €3 customs duty per item on low-value e-commerce consignments. Item definition, declaration-line treatment, H1/H6/H7 differences, liability of the declarant, and the four Product Identifier types.
    trade.ec.europa.eu
  3. European Commission — Ensuring fairness and safety: €3 customs duty for low-value parcels, 29 June 2026. Volume and inspection-failure figures.
    commission.europa.eu