The European Union is implementing its most significant customs reform in over a decade, with changes that will directly impact cross-border shippers moving goods between China and Europe. These reforms aim to modernize customs procedures, enhance security, and streamline trade facilitation across all 27 member states.
One of the most impactful changes is the new VAT handling framework for imported goods. Under the revised rules, all commercial shipments entering the EU will require pre-arrival digital declarations through the Import Control System 2 (ICS2). This means shippers must submit detailed cargo information before goods depart their origin country, significantly reducing clearance delays at EU borders.
The reform also introduces updated tariff classifications aligned with the 2025 Harmonized System nomenclature. Shippers should review their HS codes for all product categories, as reclassification may affect duty rates. Goods previously classified under general categories may now require more specific sub-codes, particularly for electronics, textiles, and machinery components.
Digital declaration requirements represent another major shift. The new EU Customs Data Hub will serve as a centralized platform for all customs interactions. Shippers and their representatives must register on the platform and submit electronic declarations for every shipment. Paper-based processes will be phased out by the end of 2026.
For DDP (Delivered Duty Paid) shipments, the reform clarifies the responsibilities of the importer of record. The party named as the importer must now maintain a valid EORI number and demonstrate compliance with all EU product safety and environmental regulations. This has particular implications for e-commerce sellers using DDP shipping models.
To prepare for these changes, we recommend shippers take the following steps: audit current HS code classifications, ensure EORI registration is active, update internal systems to support ICS2 data requirements, and work with customs brokers who are certified on the new EU Customs Data Hub platform. Early preparation will minimize disruption when the reforms take full effect.