EU Customs Report Flags Compliance Gaps as E-commerce Imports Surge

Key Takeaways

• Compliance Gaps Identified: A European Commission report highlights that despite increased checks, non-compliant products continue to enter the EU market, particularly via e-commerce.
• E-commerce Risks: Online imports are growing faster than customs enforcement, widening the compliance gap at the EU’s borders.
• Level Playing Field Concerns: Non-compliant goods distort fair competition, undercutting businesses that follow EU product standards.
• Customs Reform Proposal: The EU plans to establish a new Customs Authority and Data Hub to strengthen risk management, cooperation, and digitalised controls.
• Compliance Implications: Companies trading with the EU should expect tighter scrutiny of imports, greater harmonization of controls, and stronger enforcement of product compliance rules.

Deep Dive

The European Commission is sounding the alarm on compliance challenges at the EU’s borders, warning that customs checks are struggling to keep pace with the flood of goods entering through e-commerce channels. A new report released on August 29 highlights how non-compliant products, from unsafe electronics to environmentally hazardous items, continue slipping through, creating risks for both consumers and businesses that play by the rules.

Between 2022 and 2024, customs authorities ramped up product compliance checks, blocking more unsafe or non-conforming items. In 2024, an average of 13 products per million released into the EU market were refused entry for breaching safety, environmental, or technical rules. While this figure demonstrates greater vigilance, it also underscores the scale of the compliance gap. The sheer growth of online imports has outstripped the expansion of control measures, leaving customs officers with an uneven playing field.

The report makes clear that border controls remain a crucial first line of defense in enforcing EU product rules. Yet the findings show existing systems need modernization and stronger coordination to keep up with shifting risk profiles, particularly as supply chains digitize and expand.

Level Playing Field at Risk
The Commission stressed that the compliance issue isn’t just about consumer safety. It’s also about fairness in the Single Market. Companies that respect EU standards for safety, security, and environmental performance are being undercut by those importing non-compliant goods at lower cost. This distortion not only harms businesses but also erodes trust in the regulatory framework that underpins the Single Market.

By reinforcing compliance checks, the EU aims to maintain uniform standards regardless of where products originate. For compliance teams across industries, this translates into an expectation of equal scrutiny, transparency, and accountability at every stage of the supply chain.

Reform on the Horizon
The proposed EU Customs Reform, currently under negotiation, seeks to close these gaps by creating a new EU Customs Authority and Data Hub. This structure would centralize risk management, digitize enforcement, and improve cooperation between customs and market surveillance authorities. The Reform aims to make compliance monitoring more efficient, consistent, and transparent across Member States.

For compliance leaders, this signals a shift toward greater central oversight, harmonized controls, and fewer opportunities to exploit weak spots between jurisdictions. It also reinforces the need for organizations to adopt robust compliance programs that can withstand deeper scrutiny and adapt to evolving digital monitoring systems.

Commissioner for Trade and Economic Security Maroš Šefčovič underscored the stakes, “As we continue to see a surge in e-commerce imports, it is imperative that we step up our customs controls and cooperation with single market authorities to ensure that only compliant and safe products enter the EU market and reach our citizens. Against the growing competition from online platforms, this is also vital to create a level playing field for our EU businesses who are following the rules. The upcoming EU Customs Reform will be a game-changer in this regard, enabling EU Member States to work together more effectively and act as one.”

Compliance Implications Going Forward
For risk and compliance professionals, the report is both a warning and a roadmap. The warning is that current border enforcement, while improving, is not enough to stop unsafe or non-compliant goods from slipping through, especially in the high-volume, high-velocity world of e-commerce. The roadmap is digitalization, cross-border data sharing, and the creation of a central customs authority offer a clearer path to enforcement consistency and market fairness.

Compliance is not optional, and the enforcement machinery is being upgraded to make sure of it. Organizations trading with the EU should expect greater scrutiny of imports, tighter oversight on product standards, and a renewed emphasis on aligning internal compliance systems with EU rules. Those that fall short risk not only reputational damage but also exclusion from the EU market altogether.

The GRC Report is your premier destination for the latest in governance, risk, and compliance news. As your reliable source for comprehensive coverage, we ensure you stay informed and ready to navigate the dynamic landscape of GRC. Beyond being a news source, the GRC Report represents a thriving community of professionals who, like you, are dedicated to GRC excellence. Explore our insightful articles and breaking news, and actively participate in the conversation to enhance your GRC journey.