Canada Post has announced a suspension of mail services to select European Union countries due to new customs regulations for low-value shipments. The postal agency stated on its website that parcels bound for twelve countries, including Austria, Belgium, the Czech Republic, and others, will not be accepted until further notice. Shipments to other EU countries where the Delivered Duties Unpaid system is feasible, such as Poland and Sweden, will continue to be accepted by Canada Post.

The European Union recently implemented a three-euro customs duty on parcels valued at 150 euros or less imported from outside the bloc. This change aims to address issues such as undervalued parcels and customs fraud that have given non-EU sellers an unfair advantage. The EU describes the new measure as a step towards fairer competition, consumer protection, and environmental sustainability in the shipping industry.

The EU has clarified that the new duty is temporary, with plans to tax imports based on value, origin, and tariff classification starting July 1, 2028. This move mirrors a similar action by the United States in abolishing its long-standing de minimis exemption for packages under $800, citing concerns about illegal substances entering the country through uninspected low-value shipments.

Canada also has its own exemption for low-value packages from Mexico and the U.S. valued at $150 or lower, exempting them from customs duties. The changes in customs rules by both the EU and the U.S. are part of broader efforts to address loopholes in the system and promote fair competition in international trade.