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๐Ÿ‡ซ๐Ÿ‡ท France /Economy & Trade

France Suspends Small Parcel Tax Ahead of EU Duty Implementation

From Le Figaro · () French

Translated from French, summarized and contextualized by DistantNews.

At a glance

News Sources not specified New plan
  • France will suspend its 2-euro tax on small parcels from non-EU countries starting July 1.
  • The tax, introduced in March, was intended to curb the influx of low-value packages, primarily from China.
  • The suspension comes as the EU implements its own 3-euro customs duty on July 1, aiming to harmonize regulations and prevent tax avoidance.

France is set to suspend its national tax on small parcels originating from outside the European Union, a measure introduced in March to combat the surge of low-value shipments, predominantly from China. The 2-euro tax, applied per item category for purchases under 150 euros, will be halted on July 1.

As we are in a single market, that we are working with our European partners, it is no longer justified to keep only our small parcel tax.

โ€” Cabinet of the Minister of CommerceExplaining the rationale behind suspending the French tax in light of the EU's new customs duty.

This decision coincides with the European Union's implementation of its own 3-euro customs duty on July 1. The French government stated that maintaining its separate tax would no longer be justified within the single market, especially as the EU aims to harmonize rules for all member states. The national tax was initially planned to be replaced by a fully European system in November.

Our objective was (...) to push Europe to take measures (...) and we have achieved our goal.

โ€” Cabinet of Mr. PapinHighlighting France's role in prompting the EU to implement a harmonized customs duty.

Introduced to curb the flood of small packages, the French tax proved largely ineffective as e-commerce platforms like Shein, Temu, and AliExpress rerouted shipments through other European countries to avoid the charge. Customs data indicated that approximately 90% of parcel volumes were diverted since March, significantly reducing the tax's revenue. The French government views the EU's upcoming duty as a successful outcome of its national initiative, pushing for broader European action to create a more equitable system for e-commerce taxation.

90% of the volumes diverted since March 1.

โ€” Florian ColasDirector General of Customs, estimating the extent of tax avoidance through rerouting shipments.
DistantNews Editorial

Originally published by Le Figaro in French. Translated, summarized, and contextualized by our editorial team with added local perspective. Read our editorial standards.