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Italy’s €2 tax on small parcels misfires

Packages are being rerouted to other EU locations to dodge levy on low-value packages from companies such as Shein

Italy’s bid to stem the influx of cheap consumer goods from China by taxing low-value packages has backfired, as parcels are rerouted to other EU countries to avoid the levy.

Prime Minister Giorgia Meloni’s government introduced a €2 tax on parcels worth up to €150 arriving in Italy from outside the EU to stop the surge of goods from Chinese ecommerce companies such as Shein and Temu, and raise money for the public coffers. The levy applies to packages that arrived in Italy after January 1.

However, Italian logistics companies and airport operators complain that the tax has already led to a sharp drop in the number of small packages handled by their logistics networks.

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