The wave of parcels from China is growing enormously – last year’s figures published
Last year, the number of parcels worth less than EUR 150 arriving in Finland from outside the EU, mainly from China, increased by more than 800 per cent. This explosive increase challenges product safety, the circular economy and fair competition. The situation calls for quick response from both the European Commission and the Finnish government.
Finnish Customs has recently published last year’s statistical data on shipments worth less than EUR 150 from outside the EU. According to Customs’ statistics, 28.2 million shipments came to Finland from outside the EU in 2024, compared to 3.6 million items a year earlier. The number of shipments increased by 678 per cent. This is mainly due to the number of Chinese shipments, which increased by 823 per cent. 98 per cent of all shipments from outside the EU came from China.
Although the growth has been rapid, it does not represent the complete picture of the size of e-commerce outside the EU in euros. For example, the value of shipments from sellers who are not included in the IOSS system, which facilitates the payment of taxes, may be declared lower than the actual value at the time of import.
The increase in the number of parcels will cause significant societal problems. The numerous test purchases have shown that platforms outside the EU sell products that do not meet the EU product safety requirements, for example in terms of chemical quantities.
“This jeopardises both the safety of consumers and the operating models of the circular economy if products containing hazardous substances end up in reuse or the material cycle,” says Kari Luoto, Managing Director of the Finnish Commerce Federation.
The wave of parcels causes significant market distortion. Companies selling their products on platforms outside the EU often neglect waste management fees, about which the supervisory authority has also expressed concern publicly.
“When the product safety requirements for Chinese parcels are neglected and the recycling fees are not paid, it further weakens the competitive position of companies operating responsibly in Finland,” says Luoto.
In addition, shipments worth less than EUR 150 from outside the EU are exempt from customs duties, while Finnish stores have to pay full customs duties for their imported products. The wave of Chinese parcels may also have an impact on the state’s tax revenue. The VAT revenue paid by the commerce sector decreased last year, even though the general VAT level was increased last September. This is significant, as companies in the commerce sector account for approximately half of the total VAT revenue.
The Commission must shape up
Due to the unfair competitive advantages of Chinese marketplaces, the explosive increase in the number of parcels is also causing concern in other EU countries. The problem is therefore felt throughout the whole of Europe, which is why an EU-level solution must be found.
“The Finnish Commerce Federation supports free competition, but at the same time we demand the same rules for all companies. The problems related to distance selling and online platforms outside the EU have been known for years. The Commission’s measures have been completely insufficient so far. We are calling for urgent action from the Commission to correct the competition problem. In addition, it is important that the Finnish government also urges the Commission to take urgent action,” Luoto says.
National measures can also be taken to address the problem. The Finnish Commerce Federation supports the intensive monitoring campaign of distance selling proposed by the Confederation of Finnish Industries. It is important that the authorities intervene in imports that do not meet the requirements set by regulation.
According to the Finnish Commerce Federation, the most important means of solving the problem are holding platforms responsible for the products they sell and their conformity and increasing the Commission’s jurisdiction in market surveillance.
Link to Customs’ statistics: The number of import declarations for goods worth up to EUR 150 from distance selling outside the EU – Customs Statistics
For further information, please contact:
Managing Director Kari Luoto, Finnish Commerce Federation, kari.luoto(at)kauppa.fi, tel. +358 (0) 40 068 8708