Temu and Shein continue to put pressure on the German market. In order to take action against the “current distortions of competition, threats to consumers and mass customs violations”, the German Trade Association (HDE), together with the German Tax Union (DSTG) and the Federal Association of Consumer Organizations (VZBV), is publishing a position paper in which the difficult conditions are drawn attention to will also present “necessary short, medium and long-term measures to remedy the grievances”. The abolition of the duty-free limit of 150 euros is mentioned as a short-term measure, while medium and long-term measures include the implementation of the reform of the EU customs code, which, among other things, provides for the “introduction of the fictitious importer”. Digital platforms and trading companies from third countries are declared so-called fictitious importers, who are then responsible for all customs and tax formalities as well as payments.
“In 2024, four billion parcels from third countries were sent directly to consumers in the EU internal market,” the letter says. “Product safety standards, consumer protection and customs regulations are systematically violated. HDE, DSTG and vzbv are therefore calling for consistent intervention at national and European level against market participants from third countries, including growing platforms such as Temu and Shein. The three associations rate it positively that the European Commission is using its options within the framework of the Digital Services Act (DSA). However, ongoing proceedings must be progressed thoroughly and quickly.”
“Circumventing customs and tax laws and our high standards for product safety, environmental and consumer protection must no longer be tolerated at national and European level,” says HDE President Alexander von Preen. “Online providers like Temu and Shein are taking fair competition to the point of absurdity. These ruthless business models come at the expense of trading companies throughout the EU internal market. Consistent action is required here. Anyone who offers goods in this country must also adhere to the rules applicable in the EU. Politicians must no longer stand by and watch as the existence of the local retail trade is threatened by mass violations of the law by Temu & Co.”
