EuroCommerce Urges Level Playing Field in Customs for EU Retailers and Wholesalers
Public Letters - Competitiveness & Single Market
Dear Minister Domański,
Ahead of the ECOFIN Council meeting of 20 June, we urge you and the Council to support decisive action to establish an EU-level playing field for all e-commerce market operators targeting EU-based consumers and restore fair competition for European based retailers.
As a general principle, all market operators, regardless of where they are established, should comply with EU regulation when selling on the EU market. To achieve this, we need an effective and efficient enforcement strategy across policy domains, better coordination and collaboration of enforcement authorities at national and EU level. And, we need speedy reforms where these can support a level playing field in Europe.
Retailers and wholesalers in the EU are facing unprecedented market disruption and competition distortion due to a massive and continuously growing volume of non-compliant goods entering the Union daily. Many of these products bypass EU standards, posing risks to consumer safety and undermining businesses that play by the rules. Our recent #Compliance4All campaign1 has highlighted the scale and consequences of this issue.
It is imperative that we ensure a level playing field where compliance is the norm, not the exception.EU customs rules and their implementation by the authorities play a crucial role to establish fair conditions and must prevent any misuse of EU legislation by third country players to gain unfair competitive advantage.
In this context, we call on ECOFIN to:
1.Swiftly adopt the EU Customs Reform Package
The proposed customs reform presents a critical opportunity to modernise and strengthen customs supervision across the EU. A swift launch of the trilogue discussion and adoption of this package will equip customs authorities with the tools needed to better detect and respond to fraudulent practices, ensure accurate duty collection, and protect compliant businesses from unfair competition.
2. Prevent fragmentation of the Single Market
We urge you to prioritise coordinated, EU-wide approaches to enforcement that preserve the integrity and coherence of the Single Market. Recently announced national-level measures aimed at tackling non-compliance are well-intentioned. However, they risk undermining the Single Market by creating inconsistent rules, which can be easily circumvented.
3. Ensure effective and efficient enforcement of existing rules
Existing customs legislation must be applied consistently and robustly. For example, more stringent checks are needed to combat the widespread practice of undervaluing goods to reduce or evade customs duties. Member States must be encouraged and supported to carry out such controls effectively.
4. Strengthen risk-based customs controls
An increase in targeted, risk-based controls – particularly at the point of entry into the EU – will be essential to intercepting non-compliant goods. Leveraging data analytics and stronger cross-border cooperation can help authorities detect high-risk consignments without unduly disrupting legitimate trade.
Retail and wholesale are essential to Europe's economy, employment and local communities. Ensuring compliance, reinforcing customs supervision, and preserving unity in regulatory enforcement are all crucial steps in maintaining a diverse and competitive retail market in the EU.
We thank you for your attention and your continued commitment to protecting fair competition and the rule of law in the EU economy. We remain at your disposal to support your work in these vital areas.