Trade Commissioner Maroš Šefčovič and MEP Dirk Gotink (EPP, Netherlands) Photographer: Mathieu Cugnot © European Union

The European Parliament has approved a major overhaul of the EU’s customs system, tightening requirements on e-commerce platforms, introducing a new handling fee for goods ordered from outside the bloc and creating a central EU customs authority.

“This is the biggest reform of European customs since 1968, supporting trade and the enforcement of EU rules,” said MEP Dirk Gotink, (EPP, Netherlands) who steered the legislation through Parliament. Gotink said European customs authorities had been overwhelmed by a “tsunami of Chinese parcels” and that the reform would give customs officers stronger tools to enforce EU standards.

Under the new rules, e-commerce platforms and sellers shipping goods directly from non-EU countries to European consumers will be treated as importers. That will make them responsible for providing customs data, handling applicable charges and ensuring products comply with EU law.

The reform also introduces an EU-wide handling fee on goods ordered directly from non-EU countries, with member states required to begin collecting it no later than 1 November, 2026. The European Commission will determine the amount and review it every two years.

Companies that repeatedly breach EU customs rules could face fines ranging from at least 1% to as much as 6% of the value of goods they imported into the EU during the previous 12 months.

The overhaul will also establish an EU Customs Data Hub, designed to replace at least 111 existing customs IT systems. A new EU Customs Authority, based in Lille, France, will manage the hub and coordinate customs cooperation and risk management across the EU.

The Council has already given the reform its final formal approval, making Parliament’s vote the final step in the legislative procedure.

European Commission President Ursula von der Leyen at the podium Photographer: Dati Bendo © European Union

European Commission President Ursula von der Leyen used her State of the Union address on Wednesday (16 September) to make the case for a more independent Europe, confronting war, economic competition, AI disruption and climate change — while proposing Canada become the EU’s first associate member.

Opening her #SOTEU speech with Charles Dickens’ “best of times, worst of times”, von der Leyen described a Union stronger but also more exposed to external threats.

“The state of our Union is the strongest it has ever been,” she said, while acknowledging it could feel “as precarious as it has ever been”. “Europe has chosen to forge its own path. And a stronger, independent Europe is now emerging.”

Competitiveness and energy

Von der Leyen called kickstarting Europe’s economy her “number one priority”, promising faster permitting, less red tape and further integration of the Single Market.

The Commission will propose a new Banking Package and create a European Corporation on Critical Raw Materials to secure supplies needed for chips, batteries, clean technology and defence.

With high energy costs weighing on European industry, von der Leyen called for faster electrification and investment in grids, renewables and nuclear power to reduce dependence on imported fossil fuels.

Climate after a 'summer of truth'

After a summer of fires, drought and extreme heat, von der Leyen promised a climate resilience framework focused on 100 of Europe’s most vulnerable territories, alongside a Climate Insurance Alliance, European Heatwave Plan and Water Initiative.

She also floated a future European Firefighting Fleet, declaring that Europe “can, must and will stay the course” on its climate targets.

AI: Opportunity and threat

AI was presented as both an economic opportunity and an emerging security threat. Von der Leyen warned that advanced models could enable hacking “on a level we never thought possible” and pledged closer cooperation with Canada, the UK and others on AI security.

At the same time, Europe will expand computing capacity and push AI into health, transport, agriculture, manufacturing, defence and space. “Above all, we want AI with human agency,” she said.

Jobs, housing and social rights

The Commission plans a Quality Jobs Act before the end of the year and a European Care Deal, alongside measures tackling housing pressures.

Von der Leyen said technological change must benefit workers, while strongly defending women’s rights and Europe’s social model.

PHOTO  European Commission President Ursula von der Leyen and Canadian Prime Minister Mark Carney at the podium Photographer: Dati Bendo © European Union

Canada moves closer

One of the biggest surprises came with Canadian Prime Minister Mark Carney in the chamber.

Von der Leyen proposed an “Alliance for the Future” spanning technology, defence, energy, critical minerals, AI and the Arctic — before going further.

“I would like to work with you on opening the door for Canada to be the first associate member of the EU,” she told Carney. “We share one ocean, one set of values, one way of seeing the world.”

Security, defence and Ukraine

With drone incursions, cyberattacks and sabotage raising security concerns inside the EU, von der Leyen proposed a new European security strategy and an Emergency Security Protocol for incidents falling below the threshold of armed aggression.

She also wants to establish a European Security Council and strengthen joint European defence capabilities.

Ukraine faces what von der Leyen called the “toughest winter of the war”. She promised humanitarian and energy support, stronger air defences and deeper defence-industrial cooperation with Kyiv.

Borders, democracy and children online

The Commission will propose an Emergency Response Framework for exceptional migration crises and strengthen Frontex, while launching a Mediterranean Youth Skills and Jobs initiative.

Von der Leyen also announced an EU KIDS ACT, including no social media for under-13s and restrictions for children under 15, followed by a broader Digital Fairness Act.

Political groups draw battle lines

EPP leader Manfred Weber backed the focus on AI, defence and competitiveness but pushed against restrictive climate policies. “Climate change is a reality,” he said, arguing Europe needed “innovation and not bans.”

S&D leader Iratxe García Pérez demanded that von der Leyen turn “words into action”, backing climate investment, housing and worker protections while warning that simplification must not become deregulation.

Renew Europe leader Valérie Hayer made a pointed appeal for the Parliament’s pro-European majority, as the EPP has increasingly worked with parties further to the right on some legislation. “There’s only one possible majority. It’s our pro-European majority,” she said. “We need to do more. We need more Europe, and we need it more quickly.”

Greens/EFA co-chair Terry Reintke accused EU leaders of failing to respond urgently enough to extreme heat and wildfires. “We are in the middle of a climate emergency,” she said, demanding stronger Green Deal implementation while insisting: “We are not powerless. Europe is strong, and Europe can be even stronger.”

ECR co-chair Patryk Jaki struck a sharply different note, attacking the Commission over bureaucracy, energy costs and industrial competitiveness. Europe, he argued, was “as weak as it’s ever been.”

Von der Leyen closed on the central theme running through the speech: European sovereignty in an increasingly hostile world.

“The fate of Europe,” she said, “must remain in the hands of Europeans.”