EU Clamps Down on Cheap Chinese Imports as Temu and Shein Face Increased Scrutiny

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The European Commission has announced stringent new customs controls targeting parcels from Chinese online retailers Shein and Temu, addressing mounting concerns over “dangerous products” infiltrating the EU marketplace.

Brussels officials are advocating for the elimination of customs duty exemptions on parcels valued under €150, a loophole that has enabled foreign suppliers to circumvent taxation when selling inexpensive goods within the bloc. The commission reports that a staggering 4.6 billion low-value parcels entered the EU last year, averaging 12 million daily—triple the volume recorded in 2022.

European Commission Vice-President Henna Virkkunen emphasised the severity of the situation, noting that many products fail to meet EU safety standards. The data reveals that Chinese exports dominate this sector, with more than 91% of parcels valued under €150 originating from China, where Temu and Shein conduct most of their manufacturing and distribution operations.

The crackdown mirrors recent actions in the United States, where Donald Trump’s administration imposed 10% tariffs on Chinese goods and closed a similar duty-free loophole. The US postal service’s recent suspension of parcels from China and Hong Kong has intensified pressure on fast-fashion giants.

Environmental concerns feature prominently in the EU’s decision, with officials highlighting the substantial ecological impact of mass-produced, low-quality imports. The commission is expediting legislation that would require textile and footwear manufacturers to contribute financially to waste management and recycling programmes.

Consumer protection group BEUC has identified numerous safety violations in Temu’s product offerings, including hazardous children’s toys and defective electrical appliances. The EU’s enhanced customs controls signal a decisive shift towards stricter regulation of cross-border e-commerce, potentially reshaping the landscape of international retail trade.

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