EU Plans to Make E-commerce Platforms Liable for Illegal Products
The European Union is planning to make e-commerce platforms such as Temu, Shein, and Amazon Marketplace liable for dangerous or illegal products sold online, according to a report by the Financial Times (FT) on Saturday (Feb 1).
New Customs Reforms to Hold Platforms Responsible
Customs reforms would oblige online platforms to provide data before goods arrive in the EU, allowing officials to better control and inspect packages, according to a draft proposal seen by FT.
Currently, anyone who purchases goods online in the EU is treated as the importer for customs purposes, but the new reform will hold the platforms responsible, the newspaper reported.
Online Retailers to Collect Duty and VAT
Online retailers would have to collect the relevant duty and VAT and ensure the goods comply with other EU requirements, the report said.
New Central EU Customs Authority to Be Set Up
Customs data from the 27 national authorities will be pooled and a new central EU customs authority (Euca) set up, according to the FT.
“The Euca would be able to screen the goods based on this information and to identify potential risks, even prior to the loading of the goods for transport or their physical arrival in the EU,” the FT said, citing the draft.
Conclusion
The proposed reforms aim to increase accountability and control over e-commerce platforms, ensuring that dangerous or illegal products are not sold online. By holding platforms responsible for the goods they sell, the EU hopes to improve consumer safety and reduce the risk of counterfeit goods entering the market.
FAQs
Q: What is the purpose of the proposed reforms?
A: The reforms aim to increase accountability and control over e-commerce platforms, ensuring that dangerous or illegal products are not sold online.
Q: Who will be responsible for collecting duty and VAT?
A: Online retailers will be responsible for collecting the relevant duty and VAT.
Q: What is the new central EU customs authority (Euca)?
A: Euca is a new authority that will pool customs data from the 27 national authorities and screen goods to identify potential risks.
Q: Will the reforms affect consumers?
A: The reforms aim to improve consumer safety by reducing the risk of counterfeit goods entering the market.
Q: When will the reforms take effect?
A: The exact timeline for the implementation of the reforms is not yet clear, but it is expected to happen in the near future.
