The European Commission is taking a stand against low-value imports offered by non-EU online retailers and facilitated by marketplaces like Shein and Temu, which host non-EU traders. This is part of the Communication on E-Commerce, ‘A comprehensive EU Toolbox for Safe and Sustainable E-commerce’ proposed on Wednesday, 5 February.
A total of around 4.6 billion low-value consignments (goods not exceeding the value of €150) entered the EU market last year – equalling 12 million parcels per day. Many goods have been found to be non-compliant with European legislation. European sellers are also facing risks from unfair practices and the sale of counterfeit goods through online marketplaces. There has also been concerns raised regarding environmental and climate footprint.
In the Communication, the Commission has proposed new joint actions to address concerns of these non-compliant products entering the market. These are as follows:
- Customs reform: A call for co-legislators to quickly adopt the proposed Customs Union Reform Package to allow for rapid implementation of new rules to level the playing field of e-commerce.
- Targeted measures for imported goods: To include the launching of coordinated controls between customs and market surveillance authorities and coordinated actions on product safety. Future controls may also be intensified for certain operators.
- Protecting consumers on online marketplaces: Highlighting e-commerce practices as a clear enforcement priority under the Digital Services Act and leveraging tools like the Digital Markets Act.
- Using digital tools: This will help 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: Adopting the first action plan on the Ecodesign for Sustainable Products Regulation and the swift adoption of the targeted amendment for the Waste Framework Directive.
- Empowering consumers and traders: This will be done through awareness-raising campaigns concerning consumer rights risks and redress mechanisms.
- International cooperation and trade: Providing training activities on EU product safety rules and assessing evidence relating to dumping and subsidisation.
The Commission is calling for strong unity between Member States on these issues to improve the effectiveness of the actions taken. Shein has also been informed about the launch of a coordinated action. The announced actions will be assessed within a year, and a report on the findings of the increased controls will be published.
