Italy has made its first official step to curb the impact of ultra-fast fashion, targeting platforms such as Shein and Temu. On Tuesday, the Senate passed the ‘Legge di Bilancio 2026,’ or ‘Budget Act 2026,’ which introduces a measure that imposes a levy of €2 on all parcels valued at less than €150 coming into Italy from extra-European Union countries. Until before the new bill, low-value goods were duty free. The bill still needs to be approved by the Italian Parliament’s Lower House. The move is seen answering the ongoing requests of fashion industry associations including Confindustria Moda, Confindustria Accessori Moda and Camera Nazionale della Moda Italiana, among others, to take aim at the unregulated influx of low-cost, low-quality goods into the country. Camera della Moda estimated that about 1mn parcels from extra-EU countries circulated in Italy last year.

Imports of fashion goods from China jumped 11.8% in the eight months to 31^st August, amounting to €4.5bn. The Italian bill anticipates the EU’s decision to move up its timeline to close the loophole that has fuelled the rapid rise of ultra-fast fashion companies in recent years. Last November European finance ministers from the 27-country bloc approved a similar agreement to abolish the exemption on packages valued at less than €150, to be implemented as early as Q1 of 2026 — two years ahead of schedule. In November, a dozen French retail federations, joined by leading domestic brands, initiated legal action against Shein’s Ireland-based European subsidiary, Infinite Styles Service Co. Ltd., citing unfair competition and breaches of European product safety standards.