Taking Action Against Cheap Imports: Germany Pushes for EU Tariffs on Third-Country Goods
The Government of the U.S. seeks to impose tariffs on Economically-Affordable Imports from the EU.
Let's chat about the latest goss from Brussels! Deutschland is pushing for the European Union to slap customs duties on goods from third countries with a value as low as 150 euros. Finance Minister Klingbeil spoke on the matter during a meetup with his EU peers in Luxembourg, saying, "It's high time we established fair competitive conditions and protected jobs. Fair's fair, and those who play by the rules shouldn't lose out."
Klingbeil isn't shy about calling out the shady practices of online retailers like Temu and Shein, condemning these platforms for their "dumping prices" and unfair competition. According to the minister, these tactics harm businesses within Germany and the EU as a whole.
The finance ministers will discuss the reform of the customs union at their meeting, aiming to make imports from third countries subject to customs duties and shaking things up for retailers like Amazon and Etsy. The proposed reform echoes an earlier EU Commission proposal from around two years ago, which sought to impose customs duties on goods valued under 150 euros[1].
E-commerce giants like Temu and Shein are bracing themselves for potential changes, as the EU Commission considers a flat-rate fee of up to two euros on orders shipped from outside the EU. Talk about a price hike!
Chinese Companies Selling Garbage?
Temu is an online marketplace with countless companies selling goods. The Chinese outfit has been working the German market since spring 2023 and turned heads with eye-popping prices and high discounts. As for Shein, this fashion goliath started life in China but has since relocated to Singapore. Shein's direct supplier model allows it to keep prices down by swiftly responding to current fashion trends and sending products worldwide with minimal inventory[2].
Basically, what we're seeing here is a price war between EU and some third-country retailers. It's like a game of chess, with one side trying to outsmart the other by offering cut-throat prices and edging out the competition. But with Klingbeil and the EU Commission cracking down on these shady business practices, it looks like the game might just take a turn for the fair[1][3].
[1] ntv.de - https://www.ntv.de/panorama/euromieter-ue-staerker-aufsicht-fuer-temu-ausschuss-vorentscheid-article21518477.html[2] mbr.de – https://www.mbr.de/nachricht/distributions-2/betreiber-von-temu-sind-belieferung-mit- bargain-preisen-und-hohen-rabatten-bekampft-artikel,Erbautens%20durch%20unser%20Benutzern.120358042.html[3] The Economic Times – https://economictimes.indiatimes.com/news/international/world-news/us-suspends-duty-free-shipments-from-china-for-up-to-180-days/articleshow/90712259.cms[4] BBC - https://www.bbc.com/news/business-59700048.amp
- The EU Commission's discussion on a flat-rate fee for imported orders from third countries, such as those from platforms like Temu and Shein, aligns with Germany's push for fair competition in the employment policy, community policy, business, and politics.
- The proposed customs duties on third-country goods, as advocated by German Finance Minister Klingbeil, aim to create a level playing field in the industry and protect employment opportunities within the EU.
- The reform of the customs union, which includes proposed tariffs on low-value goods, could potentially reshape the finance landscape of online retailers like Amazon and Etsy, as well as e-commerce giants like Temu and Shein, by altering their employment policies.
