Europe remains one of the main destinations for Chinese cross-border e-commerce, but market logic is rapidly shifting towards greater regulatory control, customs reform and consumer protection.
Chinese cross-border e-commerce in Europe grew explosively in recent years, driven by platforms such as AliExpress, Shein, Temu and TikTok Shop. However, 2025–2026 marks an inflection point: Europe is becoming one of the most demanding regulatory environments in the world.
The EU customs reform has eliminated the VAT exemption for packages under €22 and reinforced product safety checks. The DMA and DSA impose new obligations on large platforms, including algorithmic transparency, prohibition of certain practices and liability for illegal content.
For Chinese sellers, this requires a deep transformation: EU tax registration (OSS/IOSS), CE compliance, higher compliance costs and adaptation to European consumer protection rules.
Companies that adapt successfully will gain a significant competitive advantage. Reputation, delivery reliability and regulatory conformity are becoming key differentiating factors in the European market.
Beyond tax and platform obligations, product-safety rules are tightening. The General Product Safety Regulation (GPSR), applicable since December 2024, requires every product sold to EU consumers to have a "responsible operator" established in the Union, responsible for technical documentation and traceability. For many Chinese sellers this means appointing an authorised representative or incorporating a European entity.
Extended Producer Responsibility (EPR) obligations are also increasingly relevant: registration with and contribution to the waste-management schemes for packaging, batteries and electrical and electronic equipment (WEEE) in each member state where products are sold. Non-compliance can result in marketplaces de-listing products and in administrative penalties.
Finally, EU consumer-protection law grants rights the seller must respect: the 14-day right of withdrawal, the three-year legal guarantee of conformity, and clear pre-contractual information on prices, shipping costs and seller identity. Adapting general terms of sale and return policies to these standards is indispensable for sustainable operations.
Iberex Spain helps Chinese companies structure their legal and tax presence in the EU: VAT OSS/IOSS registration, company formation, distributor and platform contracts, and digital regulatory compliance. Contact us to optimise your European operations.