Online shopping has become an integral part of our lives, but with that convenience comes the risk of dangerous or counterfeit products slipping through the cracks. Stepping up to the plate, the EU is planning to make major changes in how ecommerce platforms deal with such goods. Here’s a breakdown of what the proposed reforms entail:
- Liability on Platforms: The proposed reforms would hold ecommerce platforms like Temu, Shein, and Amazon Marketplace accountable for the safety and legality of products sold on their websites. This move aims to curb the influx of unsafe goods flooding into the EU, particularly from China.
- Customs Reforms: Under the proposed changes, online platforms would need to provide data about goods before they arrive in the EU. This would enable officials to better monitor and inspect packages, ensuring compliance and safety standards are met.
- Shift in Responsibility: Currently, individuals in the EU who buy products online are considered importers for customs purposes. The reforms would shift this responsibility to the platforms themselves. This shift aims to address safety concerns, environmental impacts, and unfair competition resulting from non-compliant products.
- Import Numbers: The EU imported a staggering 4.6 billion low-value parcels in 2024, a drastic increase from previous years. Over 90% of these imports originated from China, putting immense pressure on authorities to oversee and regulate these products effectively.
- New Regulations: Alongside liability changes, the proposed reforms include collecting duty and VAT by online retailers, ensuring compliance with EU standards, and eliminating duty exemptions for goods under €150. These changes seek to tighten regulations and enhance customs checks on incoming products.
These proposed reforms aim to streamline customs procedures, enhance product safety, and reduce the influx of non-compliant goods into the EU market. By holding online platforms accountable and implementing stricter regulations, the EU hopes to protect consumers, promote fair competition, and boost overall market integrity.
