Why the tax benefit for Chinese marketplaces is a threat to Ukrainian production
It leads to a distortion of competitive conditions. EU countries abolished the benefit (in the amount of 22 euros) back in 2021, the USA ($800) – in August 2025. Myroslav Laba, a specialist at the Economic Expert Platform, explained in an article for the Liga why it is necessary to stop the benefits for Chinese marketplaces.
Key theses from the article:
Rapid growth of international online trade
Ukrainians are actively increasing purchases on foreign marketplaces: 2023 – 51.9 million international postal items. 2024 – 72.0 million. H1 2025 – 37.7 million.
Value of tax-free imports via postal items: 2022 – 22.9 billion UAH. 2025 (expected) – at least 89.2 billion UAH, i.e. an increase of almost 4 times. 99% of all parcels are not taxed due to the exemption of up to 150 euros.
Impact of the 150 euro exemption
VAT exemption for parcels up to 150 euros has become a tool for tax evasion. In 2024, 71.4 million parcels with a total value of 59.5 billion UAH arrived in Ukraine, 82% of them from Chinese marketplaces. One individual can import goods worth 4.5 thousand euros per month free of charge, a group of 10 people – tens of millions of hryvnias per year. This creates uncompetitive conditions for Ukrainian manufacturers, who are forced to pay VAT.
Structure and volumes of imports
Ukrainians most often buy clothes, shoes, electronics, cosmetics, household goods, toys, stationery, and handicraft materials through international parcels. The largest senders in the first half of 2025: Temu – 13.5 billion UAH. AliExpress – 4.4 billion UAH. Cainiao – 4.1 billion UAH. Shipments from Temu increased 8 times in 2024 compared to 2023.
In Ukraine, there are already 20 thousand clothing and footwear manufacturers, 200 toy manufacturers, hundreds of household goods manufacturers – and they are the ones who suffer from duty-free imports. Expected budget losses from non-receipt of VAT: 2025 – UAH 17.9 billion. 2026 – UAH 27 billion.
European experience (Import One Stop Shop)
Until 2021, parcels up to EUR 22 were not taxed in the EU, but due to abuse (primarily by Chinese sellers), the privilege was canceled. The Import One Stop Shop (IOSS) system was introduced: The seller or marketplace is registered in one EU country. VAT is paid at the time of purchase and is automatically transferred to the budget of the buyer’s country. The buyer sees the final price immediately on the website, and the state receives the tax without bureaucracy. In 2025, the US also canceled the $800 threshold (de minimis) to limit tax-free imports from China.
What Ukraine needs to do
Create an electronic platform for registering sellers – an analogue of IOSS.
Conduct pilot projects with AliExpress, Temu, Amazon, eBay marketplaces.
Establish data exchange between tax, customs and postal services.
Equip customs with digital tools for automatic data processing and payments.
Launch the IOSS model for the entire market.
Expected effect
For business – fair competitive conditions.
For the budget – additional +27 billion UAH in 2026.
For the state – stimulation of production, integration into the EU, economic development.
Why changes are needed now
This is not a new tax, but leveling the playing field. The solution is aimed at: – protecting Ukrainian producers from import dumping, – increasing tax revenues without increasing fiscal pressure, – introducing European taxation standards. It is expected that the Cabinet of Ministers and Parliament will soon adopt changes that will give impetus to the development of Ukrainian production.