The European Union will slap a €3 duty on cheap parcels entering the 27-nation bloc on Wednesday to stem a surge in low-value packages, mainly from China. So how will it impact you?

The European Commission, in charge of EU trade policy, says the step is about slashing the financial burden on customs duties after the explosion in imports, and tackling the safety risks from unchecked goods.

Nearly six billion small retail packages entered the bloc last year from abroad -- most of them from China, and increasingly via wildly popular online platforms like Shein and Temu -- up from 4.6 billion in 2024.

What will happen on July 1st?

The EU will lift an exemption duty on parcels worth less than €150, and apply a temporary three-euro levy per item.