Effective July 1, 2026, the European Union introduced significant customs changes for commercial shipments entering EU member countries. One of the biggest updates is the removal of the €150 duty-free threshold, changing how many businesses ship products into Europe.
If your business regularly ships to European customers, these changes could affect shipping costs, customs clearance, carrier availability, and the documentation required for every shipment.
Here’s what you need to know.
What Changed?
Previously, most commercial shipments valued under €150 could enter the European Union without customs duties, although import VAT often still applied.
As of July 1, 2026, that exemption has been removed for most commercial goods.
This means shipments may now be subject to customs duties regardless of their declared value, making customs compliance more important than ever.
Import VAT requirements have not changed and continue to apply where required under existing EU regulations.
New Customs Processing Fee
Alongside removing the duty-free threshold, the EU has also introduced a temporary €3 customs duty for many low-value eCommerce shipments submitted using the simplified H7 customs declaration.
It’s important to note that this fee is charged per item, not per parcel.
Items are only grouped together when they share the same:
— HS Code
— Product description
— Country of origin
For example:
— A shipment containing three identical products may incur a single €3 charge
— A shipment containing three different products could incur €9 in customs processing fees
Depending on your products and order composition, this may increase the landed cost of shipping to Europe.
More Detailed Customs Information Is Required
The new regulations place greater emphasis on accurate customs declarations.
Businesses should expect customs authorities to require:
— Detailed product descriptions
— Accurate HS Codes
— Correct product values
— Country of origin information
Incomplete or inaccurate customs documentation can lead to customs delays, additional inspections, or clearance issues.
Taking the time to provide complete shipment information can help avoid unnecessary disruptions.
Canada Post Has Temporarily Suspended Service to Select European Destinations
As a result of these regulatory changes, Canada Post has temporarily suspended postal service to several European destinations while it updates its systems and processes to comply with the new requirements.
The temporary suspension currently affects shipments to:
— Austria
— Belgium
— Czech Republic
— Denmark
— Finland
— France
— Germany
— Ireland
— Luxembourg
— Portugal
— Spain
Canada Post continues to accept shipments to many other European destinations, and alternative carriers available through ShipTime may also provide service to affected countries.
This temporary suspension is a carrier decision while Canada Post works toward compliance with the updated EU customs regulations.
What This Means for Your Business
If your business ships to Europe, you should be prepared for:
— Customs duties on more commercial shipments
— Additional customs processing costs for eligible low-value shipments
— Increased customs documentation requirements
— Longer customs processing times for incomplete declarations
— Temporary carrier availability changes for certain destinations
Reviewing shipment details before creating labels can help reduce delays and improve the chances of smooth customs clearance.
How ShipTime Can Help
International shipping regulations continue to evolve, making accurate shipment information more important than ever.
ShipTime helps businesses simplify international shipping by providing tools that support customs compliance, including:
— Automatic HS Code lookup
— Duties and taxes calculation
— Multiple international courier options
— Electronic customs documentation for supported carriers
— Shipment tracking from one platform
If Canada Post is temporarily unavailable for your destination, comparing services from other available carriers within ShipTime may help keep your shipments moving.
Frequently Asked Questions
Does this affect every shipment to Europe?
The changes apply to most commercial shipments entering European Union member countries. Duties and customs charges depend on the destination country’s customs authority and the products being shipped.
Has VAT changed?
No. Import VAT requirements remain unchanged and continue to apply where required.
Why can’t I create a Canada Post shipment?
Canada Post has temporarily suspended service to select European destinations while updating its systems to comply with the EU’s new customs requirements.
Is the Canada Post suspension permanent?
No. Canada Post has indicated that this is a temporary suspension while it completes the required system updates.
Can I still ship to Europe?
Yes. Many European destinations continue to accept Canada Post shipments, and depending on your destination, alternative carriers available through ShipTime may also be available.
The removal of the EU’s €150 duty-free threshold marks one of the most significant changes to European customs regulations in recent years. Businesses shipping internationally should expect more shipments to be assessed for duties, provide more complete customs information, and remain aware of temporary carrier service changes as postal operators adapt.
Preparing accurate customs documentation and choosing the right carrier can help minimize delays and keep international shipments moving efficiently.
ShipTime is a full-service logistics platform built for product-oriented small and mid-sized businesses that want to simplify shipping, control costs, and improve operational efficiency.
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ShipTime integrates easily with most business systems to streamline workflows while providing clear analytics to help monitor performance and manage costs — all without monthly platform fees or the need to manage multiple carrier accounts.
While many platforms compete primarily on discounted rates, ShipTime is built around real logistics expertise, practical technology, and hands-on support — key drivers that help businesses grow. We act as an extension of your team, helping you make informed decisions, resolve issues quickly, and run your shipping operation with greater control and confidence.


