The EU Taxes Cheap Parcels from China

B1 — Intermediate 

The European Union (EU) has introduced a new 3-euro fee on cheap parcels from China. The new tax rule will affect online shopping sites like Shein, Temu, and AliExpress.

The EU says this change will help create fairer competition for local businesses.

Listen to this audio and read the transcript about the new tax rules on inexpensive parcels from China in the EU.

https://www.newsinlevels.com/products/the-eu-taxes-cheap-parcels-from-china-level-3

Vocabulary Questions:

  1. What does “retailer” mean? ”The EU has introduced a new 3-euro fee on low-value e-commerce parcels from China, which targets major online retailers like Shein, Temu, and AliExpress.” Use the word in a sentence. Give a synonym.
  2. What does “tax loophole” mean? ”Lawmakers argue that this tax loophole was abused on an industrial scale, which gave Chinese giants a massive competitive advantage over local businesses.” Use the term in a sentence. Give a synonym.
  3. What does “duty-free” mean? ”Previously, these platforms entered the EU bloc duty-free under a long-standing exemption for goods under 150 euros.” Use the word in a sentence. Give a synonym. 

Discussion Questions:

  1. What is your reaction and opinion about this new tax rule?
  2. Should all companies, local and foreign, follow the same tax rules? Why?
  3. Do you think the new fee will help local businesses? Why or why not?
  4. Do you think people will continue shopping on these websites after the new fee? Why or why not? 
  5. Would you be willing to pay extra fees for low-cost products? Explain.
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