The End of Cheap Shopping from China? From July 2026, We Will Pay Customs Duty Even on the Smallest Consignments

Customs Reform 2026: What Awaits Sellers and Buyers?

Current situation: the paradise of small consignments is coming to an end

At present, the EU applies a so-called de minimis threshold, under which consignments with a value not exceeding EUR 150 are exempt from customs duties. Although VAT has been payable on such consignments since 2021, the absence of customs duties has enabled the rapid growth of platforms such as Temu, Shein and AliExpress. In the Czech Republic alone, the volume of these consignments increased from 3 million in 2023 to an estimated 105 million items in 2025. According to the European Commission, however, as many as 65% of such parcels are intentionally undervalued in order to avoid customs obligations. The aim of this reform is to level the playing field for European traders and to curb widespread fraud involving the undervaluation of consignments from Asian marketplaces.

Fundamental changes from July 2026

As of 1 July 2026, the exemption for consignments not exceeding EUR 150 will be abolished entirely. It will be replaced by a transitional regime involving a fixed customs duty of EUR 3, approximately CZK 75. It is critical to understand, however, that this amount will not be charged per parcel as a whole, but per category of goods according to the customs tariff.

Practical example: If you order a T-shirt, a charger and headphones in one parcel, you will pay customs duty of 3 × EUR 3, i.e. EUR 9 in total, because these are three different product categories.

The new rules will affect all non-EU sellers, particularly those from China, the United States and the United Kingdom, as well as European consumers.

This transitional regime with a fixed amount of EUR 3 is expected to remain in place until 2028, when the new EU Customs Data Hub should be fully operational.

Sellers should, in preparation for July 2026, take into account that EU import rules are undergoing significant changes and that active preparation will be essential. The way customs duties and VAT are handled will play a key role, directly impacting conversion rates, customer experience, and overall costs. The most efficient solution is the IOSS regime combined with DDP delivery, where all charges are paid at the point of purchase—customers see the final price in the cart, face no additional fees upon delivery, and shipments clear customs without delays. In contrast, the non-IOSS (DAP) model carries a high risk of additional charges, delivery delays, and even refused shipments, negatively affecting both customer satisfaction and the seller’s revenue.

To effectively manage these changes, it is advisable to focus on the following areas:

• Incoterms setup (DDP) – eliminates additional charges at delivery and improves customer satisfaction
• Accurate product classification (HS codes) – prevents overpayments, delays, and penalties
• Logistics optimization (EU-based warehousing) – reduces per-shipment costs and significantly speeds up delivery

Well-structured processes will not only ensure compliance with the new regulations but also create a strong competitive advantage.

Conclusion

The era of extremely cheap goods from China, where postage and charges were effectively “included in the price”, is inevitably coming to an end.

If you want to be sure that your e-commerce, customs and tax processes are prepared for the new rules in time and without unnecessary complications, we would be happy to discuss the appropriate set-up and practical next steps with you.

Key takeaway for ordinary consumers: Always check whether the final price shown in the shopping cart is truly final. If not, be prepared for even a cheap small item to become hundreds of Czech crowns more expensive due to customs duty and handling fees.

Unsure how the new rules may affect your business? Contact us – we will be happy to discuss their practical implications with you.