EU looks to tighten controls on low-quality online imports

The EU Commission set out a numer of measures Wednesday to tackle risks stemming from low-value imports sold via non-EU online retailers and marketplaces hosting non-EU traders. The Communication on E-Commerce, ‘A Comprehensive EU Toolbox for Safe and Sustainable E-commerce’, proposed by the EU executive, encourages actions, among others, in the areas of customs and trade, such as launching customs controls, consumer protection and the Digital Services and Digital Markets Acts.

“The rise in e-commerce imports to the EU market has brought with it many challenges,” said ECD vice-president Henna Virkkunen: “The EU is ready to address these challenges, coming together as Team Europe to make sure citizens and businesses can continue to enjoy the many benefits of online shopping, while minimising the risks of dangerous products that threaten the health and safety of consumers.”

Last year, around 4.6 billion low-value consignments, i.e. goods with a value not exceeding €150, entered the EU market equalling to 12 million parcels per day. This is twice as many as in 2023 and three times as many as in 2022, and many of these goods have found to be non-compliant with European legislation.

Concerns are that more and more harmful products are entering the EU, while sellers in Europe are at risk of being harmed by unfair practices and the sale of counterfeit goods through online marketplaces. In the Communication, the Commission sets out tools already at its disposal and initiatives currently being discussed. In addition, it proposes new joint actions to address concerns arising from the surge of unsafe, counterfeit and otherwise non-compliant or illicit products entering the market:

Customs reform, calling for adoption of the EU’s proposed Customs Union Reform Package, new rules to level the playing field in the area of e-commerce. These include removal of the duty exemption for low-value parcels worth less than €150. Further measures to be evaluated are a non-discriminatory handling fee, on e-commerce items imported in the EU directly to consumers, to address the scaling costs of supervising compliance of billions of such consignments with EU rules. Targeted measures for imported goods, including coordinated controls between customs and market surveillance authorities, as well as coordinated actions on product safety. Future controls will be intensified for certain operators, goods or trade flows, on a rolling basis, in the light of the risk analysis, and penalties increased.

Protecting consumers on online marketplaces, highlighting e-commerce practices as a clear enforcement priority under the Digital Services Act, as well as tools such as the Digital Markets Act, and those that apply to all traders: the General Product Safety Regulation, the Consumer Protection Cooperation Regulation, and the Consumer Protection Network.

Using digital tools, which can help to facilitate the supervision of the e-commerce landscape through the Digital Product Passport and new AI tools for the detection of potentially non-compliant products. Environmental protection, including adopting an action plan on Ecodesign for Sustainable Products Regulation, and calling for the swift adoption of the targeted amendment for the Waste Framework Directive.

Empowering consumers and traders through awareness-raising campaigns concerning consumer rights, risks and redress mechanisms. International cooperation and trade, including providing training activities on EU product safety rules and assessing any evidence that may emerge relating to dumping and subsidisation. The Commission calls on the cooperation with Member States, the co-legislators and all stakeholders, to put in place the measures outlined in the Communication.

Source: EUbusiness