Shipping to the EU

Based on declaration lines: same HS code = 1 line → €3 duty; different HS codes = €3/line (e.g., 2 lines → €6).

A declaration line is a single line on the customs form, usually one product category (HS code). Each HS code adds a €3 duty charge.

The €3 customs duty is a separate obligation to VAT. VAT has not changed and will continue to be collected as it is currently. If you are a Spring GDS customer, the new duty fee is invoiced to you in your usual Spring GDS Duty invoice.

To reduce duty costs once the changes come into place on 1st July, merchants can provide clear descriptions and product information, choosing the correct HS codes for their products.

Group similar items (same HS 6-digit code, country of origin) where possible to reduce declaration lines and provide efficient data for customs clearance. 

Cost optimisation must not compromise correct HS Classification. 

Merchants should review their IOSS strategy, if not on the scheme, they need to consider registration to continue seamless EU distribution. Shipments without a valid IOSS number or properly designated declarant won't clear, parcels will get rejected and returned.

Returns do not reverse the original declaration. Once duty has been paid on a low-value distance sale shipment, the simplified declaration cannot be invalidated through standard return procedures.

Retailers should ensure their terms and conditions at checkout clearly address this, as duty remission is not available.

Spring GDS supports merchants in complying with the new customs requirements and managing shipments under the updated rules. As the regulatory landscape evolves, we will continue to monitor market developments and assess opportunities to further support our customers where possible.

For DAP flows, the €3 duty (and VAT) will be charged to the end consumer by the destination postal operator. In these cases, posts may also apply their own local handling fees, depending on the country.

Low‑value B2C shipments (≤ €150) can use H7 if they meet the H7 rules. From 1st July 2026, the €3 duty only applies to these eligible H7 shipments. Shipments above €150, shipments that do not qualify for H7, or those containing restricted goods must use H1 clearance, where standard duty rules apply based on the product, origin, and value.

If a shipment contains restricted goods (as defined by EU customs), the entire parcel will be routed via H1 clearance, even if other items in the shipment are non‑restricted. This has cost and data implications that merchants should understand upfront.

IOSS only relates to VAT, not duties. The presence or absence of an IOSS number does not remove customs duty, and customs duty is not remitted through the IOSS VAT return. The temporary €3 measure is a customs duty within the customs framework and must not be confused with the separately discussed EU handling fee.

Once the exemption is removed on 1st July 2026, duty is unavoidable. Merchants must decide how to absorb or pass on the cost (e.g. pricing, shipping fees, or checkout logic). There is no post‑delivery recovery mechanism if duty is not collected upfront.

Compliance requirements, HS accuracy, and the legal customs framework remain in place. There are no carrier or postal workarounds to avoid duty once the exemption is removed.

Preferential origin does not remove or reduce the €3 duty. The €3 is a simplified flat-rate duty that replaces normal tariff-based duties for low-value shipments, meaning Free Trade Agreements do not apply in this context.