On November 13, the European Council adopted a resolution to abolish the current tariff exemption policy for small parcels valued under €150, in response to growing unfair competition and environmental concerns. According to the resolution, EU finance ministers unanimously agreed to abolish the current tariff exemption for goods valued under €150. From the date the EU Customs Data Center becomes operational in 2028, all goods entering the EU will be subject to applicable tariffs, aligning the tariff system with the existing import VAT rules. Data shows that under the current system, up to 65% of small parcels entering the EU are underreported in value to evade tariffs. Besides impacting the competitiveness of EU businesses, this threshold also raises environmental concerns, as it encourages non-EU companies to split goods into individual parcels for entry into the EU. According to the European Commission, in 2024, 91% of e-commerce parcels valued under €150 originated from China. The Council also pledged to develop a temporary solution to impose tariffs on such goods as soon as possible by early 2026, before the Customs Data Center becomes operational in 2028.