Why Is Product Data Becoming the Next Customs Battlefield?
- Annkaren Wambui
- 10 hours ago
- 5 min read
🔓 Discover why the end of de minimis is only part of the story and how new product identifier requirements could reshape customs compliance for e-commerce businesses.
Summary: Discussions on EU customs reform have largely centered on eliminating the €150 de minimis threshold and introducing a €3 handling fee, but a more significant issue may be emerging. The proposed EU Customs Data Hub will shift customs authorities towards relying on product-level information and digital data. Essential elements for customs compliance may include Merchant Product Identifiers, manufacturer identifiers, GTINs, and EAN codes. For many businesses, the challenge will shift from merely declaring goods to accurately proving their nature. |
The End of De Minimis Is Only the Beginning
The abolition of the €150 duty exemption has received considerable attention.
Many businesses have focused on the potential impact of the flat handling fee and the implications for low-value consignments.
Yet these changes represent only one part of a much broader transformation.
The European Union is moving towards a fundamentally different customs model.
Instead of relying heavily on declarations submitted shipment by shipment, customs authorities increasingly want access to reliable, structured, and standardised product data.
The objective is clear:
Know the product. Understand the supply chain. Identify risks earlier.
For businesses operating in e-commerce, marketplaces, retail, manufacturing, and distribution, customs compliance is gradually becoming a data management exercise.
Why Are Product Identifiers Becoming So Important?
Modern customs systems increasingly depend on accurate information.
This means businesses may be expected to provide:
Merchant Product Identifiers
Internal SKU numbers used by sellers and platforms.
Manufacturer Product Identifiers
References that identify products at source.
Standardised Product Codes
Including:
GTIN numbers
EAN codes
UPC identifiers
These identifiers help customs authorities:
✔ Verify classifications.
✔ Detect counterfeit products.
✔ Improve risk analysis.
✔ Strengthen supply chain visibility.
✔ Support automated customs controls.
In other words, customs authorities are becoming increasingly interested in data quality rather than simply paperwork.
Why Is the EU Customs Data Hub Such a Big Deal?
The proposed EU Customs Data Hub represents one of the most significant customs reforms in decades.
Its ambition is simple:
Move away from fragmented declarations and towards a centralised, data-driven customs environment. Under this model, customs authorities would have greater visibility over products, traders, and supply chains.
For businesses, this means that customs compliance may increasingly depend on:
Product master data.
ERP systems.
Product descriptions.
Classification quality.
Supplier information.
Data governance.
In many respects, customs compliance is beginning to resemble financial compliance.
Poor data could become the new customs risk.
Who Could Benefit, And Who Could Struggle?
Potential Winners
Businesses with:
Strong product master data.
Reliable ERP systems.
Robust classification processes.
Clear supplier documentation.
High levels of supply chain visibility.
Potential Challenges
Businesses with:
Inconsistent product descriptions.
Weak supplier information.
Thousands of unmanaged SKUs.
Limited traceability.
Fragmented systems.
For many organisations, the competitive advantage may no longer come from lower prices alone.
It may come from better data.
Five Recommendations For Businesses
Companies affected by the reforms may wish to review several important areas.
1. Review Product Master Data
Can every SKU be accurately identified?
Are descriptions clear and consistent?
2. Strengthen Classification Processes
Incorrect classifications can create unnecessary duty exposure and increase customs risk.
Regular reviews may help improve accuracy.
3. Identify Existing Product Identifiers
Businesses should determine whether products already possess:
GTIN numbers.
EAN codes.
UPC identifiers.
Manufacturer references.
These may become increasingly important.
4. Improve Supplier Visibility
Businesses should assess whether suppliers can provide sufficient information regarding product characteristics and origins.
Visibility may become a competitive advantage.
5. Prepare For The Digital Customs Future
The EU Customs Data Hub signals a broader trend.
Customs authorities around the world are becoming increasingly digital, automated, and data-driven.
Businesses that prepare early may be better positioned to adapt.
Final Thoughts
The end of de minimis may attract the headlines.
But the longer-term story could be far more significant.
Customs compliance is evolving.
Increasingly, success will depend not only on understanding tariffs and procedures but also on understanding products and managing data.
The key takeaway?
Data matters.
Businesses that invest in product information, supplier visibility, and digital readiness may be best positioned to thrive as customs enters its next phase.
Because in tomorrow's customs environment, knowing your products may matter just as much as moving them.
Want to Learn More About EU Customs Reform?
Businesses wishing to understand the European Union's customs reform proposals in greater depth can consult the European Commission's official documentation on the EU Customs Data Hub and the future of digital customs.
The proposals provide valuable insights into the transition towards a more data-driven customs environment and explain how product information, supply chain visibility, and digital systems could shape customs compliance in the years ahead.
📥 Download the Official EU Customs Reform Proposals (PDF) 👇
Sources
► Financial Times – EU Customs Reform and E-Commerce Challenges
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#EUCustoms #CustomsReform #DigitalCustoms #ECommerce #TradeCompliance #SupplyChain #CustomsDataHub #ImportExport #TradeIntelligence #CustomsManager
Author:
Annkaren Wambui | Head of Growth at Customs Manager Ltd.
Updated: June 2026
Disclaimer
This blog is for informational purposes only and does not constitute legal or professional advice. Please consult a customs specialist regarding your specific compliance obligations.
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