EU €3 customs duty in 2026: a complete guide for UK brands

How the EU's €3 customs duty works

The €3 is an EU-wide measure and part of a broader EU customs reform that concludes in March 2028 when the €150 exemption disappears altogether. The €3 charge applies per product type. For multi-product orders the charges add up: €6 for two product types, €9 for three, and so on.

There is also a proposal to introduce a separate processing fee per product type by 1 November 2026 at the latest, estimated at around €2, which would bring total costs to roughly €5 per product type.

For UK brands shipping D2C into the EU, this has a cumulative impact on margin, checkout conversion, customer experience and retention.

This guide explains what's changing, how to calculate the impact on your business and the 11 steps to take before 1 July to stop your margins slipping.

What does this mean for your business?

To calculate your exposure based on current EU order volume:

1. Separate single-item orders from multi-product orders
2. Note the average number of distinct product types per order
3. Multiply €3 by that number for each multi-product order

The more bundles, kits and gift sets you sell, the more this stacking matters. Below are a few examples.

Opmerking: 1) The contribution margin figures are illustrative and reflect typical D2C margins (25%-32%). Run the numbers yourself to see your actual exposure. 2) The HS6 tariff classification is the six-digit Harmonised System code customs uses to determine what's in a parcel. 

‍Beyond the pressure on your margins, you'll notice it here too:

• Friction at checkout. EU customers are already paying close attention to the "final delivered price" and "surprise charges on delivery". A vague answer will drag down your current conversion. On top of that, competitors with stock in the EU will undercut you on delivered price. They don't pass import duty on at checkout. You do. The impact of EU import duty will show up most clearly in the conversion gap that widens through the second half of 2026.
• Returns and customer service costs. Surprises in the total cost mean more refused deliveries, more support tickets and more refund requests. That costs more to resolve and takes longer to recover from.
• Repeat purchase rates fall. EU customers who ran into unexpected charges, delays or refused parcels remember that experience. They don't come back. For D2C brands where lifetime value determines unit economics, this is the hidden cost. It's less visible than the first month's margin drop, but harder to recover from six months on.

Which brands are most at risk?

The three exposure tiers show how obligations stack up differently depending on your model, and which brands face the greatest structural risk when the €3 lands.

• Tier 1 (highest risk): regularly 3 or more codes per order. Fashion, clothing and accessories brands. Multi-item orders are the rule, not the exception. A typical outfit already counts as 3 codes before you add a bag or a belt.
• Category 2 (medium risk): 2 to 3 codes per order. Health and beauty brands selling sets or routines. A cleanser, serum and moisturiser sold as a set counts as up to 3 codes. Even for a two-step set you pay €6 in import duty, before administrative fees are added.‍
• Tier 3 (deliberate exposure): variable but structural. Subscription brands and gift sets. The number of codes depends on what's in the box. For a gift set with 5 products you pay €15 in import duty, and from November another €10 in administrative fees at €2 per code.

The principle is the same across all three tiers: every distinct product type in an order adds another €3. Brands that work with bundles, sets or 'add 2 more to save' promotions will feel this most.

You're affected — so what do you do now?

If this applies to you, time is getting tight. The first choice is which of the three routes best suits your business:

1. Keep shipping cross-border and keep costs under control. Absorb the import duty into your margin, pass it on to the customer or split the cost. This keeps your EU operation running as it is today, but it does require clear decisions on pricing, checkout messaging and customer communication. Every adjustment you make further down the line depends on how you handle this first.

2. Stop shipping to the EU. If the numbers don't add up and the volume doesn't justify the extra operational effort, this is a sensible decision. Better to do it now than lose margin for six months and only decide in October.

3. Move your stock into the EU and avoid the €3 import charge entirely. Holding your stock inside the EU means orders ship from within the EU. This is the most effective route for brands with significant EU volume, but it does require lead time. That's why this week matters.

Once you've decided which route to take, download our free checklist (no email address needed) to see what your next steps are. From inventory management to customs to your website — we've bundled it all into a checklist you can download now.

Download the full preparation checklist here.

How SendNet can help you

If a significant share of your EU orders ships cross-border from the UK, holding stock inside the EU is often the best way to protect both your margin and your conversion after 1 July. 

We help UK brands set up fulfillment inside the EU through 9 centers across Germany, France, the Netherlands, Italy, Spain, Poland and the UK, so EU orders ship from within the EU, the €3 import charge is avoided and orders reach customers faster via local carriers.

SendNet handles the documentation, and our carrier network — including DPD, DHL, GLS and others — covers the whole journey, including customs clearance and last-mile delivery. Your dedicated account manager checks everything before the first order ships to a new market. Setup takes 2 weeks on average, but can be arranged in as little as 5 days. 

Get in touch now, and we'll work out the best approach for you in the run-up to 1 July. We'll go through the options: fulfillment within the EU, cross-border shipping or a hybrid solution, and help you decide what best fits your numbers and your timeline.

In Germany alone, VAT registration takes 8 to 12 weeks. The sooner you have this conversation, the more options you have.

Frequently asked questions

What is the EU's €3 customs duty? 

A flat customs charge of €3 per product type, applying to every low-value shipment (under €150) entering the EU from a non-EU country. This is because from 1 July 2026 the EU is abolishing the de minimis exemption (LVCR) for parcels under €150.

When does the EU's €3 customs rule take effect? 

It has been decided in principle that an EU-wide processing fee will arrive by 1 November 2026 at the latest; the exact amount and structure are still being worked out. If it lands at €2 (as in France and Italy), the total charge comes to around €5 per product type.‍

How does the €3 charge work on multi-item orders? 

This applies per product type (HS6 code), not per parcel. For a bundle with three different product types you pay €9. For a gift set with five SKUs from five different categories you pay €15.

What's the difference between the €3 import charge and the €2 administrative fee coming in November 2026? 

The 3 euros is the EU-wide import duty, set for 1 July 2026.

Administrative fees come on top. France and Italy already charge €2 per HS6 code per parcel as a national fee (France since 1 March 2026, Italy at a comparable rate). It has been confirmed in principle that an EU-wide administrative fee will arrive by 1 November 2026 at the latest, with the exact amount and structure still being worked out. The €2 figure is a provisional estimate based on the French and Italian rates.

Both charges are added up per product type. If the EU-wide fee lands at €2, total costs from November will be around €5 per HS6 code per parcel.

How can UK brands avoid the EU's €3 customs duty? 

Orders fulfilled from within the EU are not subject to import duty, because no import takes place at the border. Switching to fulfillment inside the EU (your own warehouse, a 3PL or a partner such as SendNet) lets you avoid import duty on EU orders entirely.

Do I need an EORI number to ship to the EU after 1 July? 

That depends on your model.

Cross-border from the UK (D2C, IOSS-registered): you need a UK (GB) EORI number to export, and an active IOSS number for VAT and to use the €3 flat rate. The carrier files the customs declaration on the EU side as declarant, with the private consumer named as the registered importer. Most UK D2C brands shipping low-value parcels do not need their own EU EORI number under this model.

Bulk import into an EU fulfillment center: you become the designated importer for commercial shipments and need your own EU EORI number. A single EU EORI number is valid across all 27 member states. You register once in any EU country, and that registration then covers all your activity across the EU.

A UK EORI number does not apply to customs on the EU side. They are two separate systems.

Opmerking: the EU's 2028 customs reform introduces a 'deemed importer' regime, which may change EORI obligations for D2C merchants. For the interim July 2026 arrangement, this applies to low-value D2C shipments.

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