Swedish Wish customers will get their orders faster

Swedish postal service PostNord has signed a deal with Wish, so customers will no longer have to pay VAT or handling fees upon the arrival of parcels to Sweden. Instead, shoppers will now be charged VAT at the point of purchase. As a result, Swedish customers will get their order faster than before.

PostNord announced the cooperation on its website, explaining how the VAT declaration will be made instantly upon arrival in Sweden, with the whole process being handled by PostNord and Swish. With prepaid VAT, customers shopping at Wish will get their goods quicker and don’t need to pay a handling fee to PostNord.

Customers wouldn’t pick up cheap items

Earlier this year, PostNord introduced an administration fee for parcels from non-EU countries to make sure the state of Sweden didn’t lose out on VAT. Until then, customers were able to order goods worth less than 22 euros from Chinese ecommerce sites without having to pay VAT. But that didn’t fix the problems, as the number of parcels coming from China fell down fast and many customers opted to no pick up low-value items, after which PostNord was then obligated to return them to China, as The Local writes.

‘Cheaper and smoother for the consumer’

“I am very pleased that PostNord and Wish have been able to provide a solution that handles VAT immediately upon purchase. This makes it considerably cheaper and smoother for the consumer while at the same time we can avoid a complicated and labor-intensive handling for those shipments originating from outside the EU Customs Union”, says Peter Hesslin, Head of Solutions at PostNord Sweden.

He hopes more international online retailers will implement this solution. “It would benefit the growing ecommerce while more consumers can trade much smoother and at significantly lower costs.”