Canada Post has announced the suspension of services to select European Union countries due to new customs regulations for low-value shipments. The postal service stated that parcels bound for twelve countries, including Austria, Belgium, the Czech Republic, and others, will not be accepted until further notice. However, shipments to EU destinations where the Delivered Duties Unpaid agreement is feasible, such as Poland and Sweden, will still be processed. Canada Post also mentioned plans to implement compliant solutions in the affected markets.
The European Union introduced a three-euro customs duty on parcels valued at 150 euros or less from outside the bloc, effective Wednesday. Previously duty-free, these low-value packages have now been subjected to this new regulation, aimed at ensuring fair competition for EU businesses, protecting consumers, combating customs fraud, and addressing environmental concerns related to mass shipping. The EU emphasized that the duty is temporary, with a new taxation system based on product value, origin, and tariff classification scheduled to begin on July 1, 2028.
In response to the EU’s move, the U.S. revoked its long-standing de minimis exemption last August, which allowed duty-free entry for packages under $800. This change was motivated by concerns that insufficient inspections of low-value packages were enabling the illegal entry of drugs into the country. Canada also has its own low-value package exemption for customs duties from Mexico and the U.S. valued at $150 or lower.