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 on its website that it is currently not accepting packages bound for twelve countries until further notice, including Austria, Belgium, the Czech Republic, Denmark, Finland, France, Germany, Ireland, Italy, Luxembourg, Portugal, and Spain.
Shipments to other EU nations where Delivered Duties Unpaid agreements are feasible, such as Poland, Latvia, and Sweden, will continue to be accepted by Canada Post. The postal service also mentioned its commitment to finding compliant solutions for the affected markets.
As of Wednesday, the European Union has implemented a three-euro customs duty on parcels valued at 150 euros or less, equivalent to approximately $240, imported from outside the bloc. Previously duty-free, the EU stated that the rule change aims to address the high volume of undervalued or falsely declared parcels entering the EU, which has led to unfair competition for local businesses and raised concerns about customs fraud and environmental impacts.
The EU clarified that the new duty is temporary, with plans to implement a tax system based on product value, origin, and tariff classification starting July 1, 2028. In a similar move, the U.S. eliminated its long-standing de minimis exemption last August, which allowed duty-free entry of packages under $800, citing security concerns due to insufficient customs inspections on low-value imports.
Canada also has its own exemption for low-value package customs duties from Mexico and the U.S., applicable to shipments valued at $150 or lower.