As the European Union prepares to impose a €3 levy on small non-EU parcels valued at under €150, the French Senate wants to increase the proposed national charge from €2 to €5. E-commerce organisation Fevad says this would be a mistake that could cost France half a billion euros and is urging lawmakers to change course.
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The Fédération française de la vente en ligne, which backs the French flat-rate tax proposal, is campaigning for the national levy to remain aligned with those of its neighbours. Several countries, including Belgium, the Netherlands, and Italy, are preparing their own €2 taxes on small non-EU parcels. In Fevad’s view, France would be shooting itself in the foot by falling out of step with neighbouring markets.
“To circumvent the new €5 French tax, non-EU platforms such as Shein and Temu will have little difficulty routing their small parcels destined for the French market via neighbouring countries where they already have logistics infrastructure, notably Belgium,” the federation says.
Fevad also points out that a €5 tax would cost France more than €500 million in lost revenue, due to parcels being redirected to port and airport hubs in neighbouring countries rather than in France.
A temporary European tax
This stance comes just days after the EU adopted a €3 EU-wide levy on non-EU parcels under €150. The measure will come into force on 1 July, but it will be temporary.
This flat-rate tax, irrespective of the parcel’s value, will apply pending the introduction of standard parcel taxation, which will then follow the usual tariff rules for personal consumer goods.
“While this is a step in the right direction towards levelling the playing field between EU-based and non-EU-based businesses, companies will also need clear operational arrangements to ensure legal certainty and to adapt their compliance models and internal IT systems in time,” says Luca Cassetti, secretary general of the European confederation Ecommerce Europe, of which Fevad is a founding member.
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