Best fulfillment location for EU and UK ecommerce
Single EU hub or a UK + EU split? Set your profile and see the placement with the lowest 12-month landed cost, plus the per-country VAT, IOSS, and duty drag for your SKUs.
Recommended strategy
UK + EU split
Shipping to the EU and UK, ~2,000 to 5,000 orders/month, as a non-EU seller.
12-month landed
€315,000
best option
vs costliest
−14%
≈ €52,000 saved
EU import duty
€3/parcel
avoided with EU stock
Why this placement
- Shipping across the UK–EU border adds duty, clearance fees, and 2 to 4 days of transit on every parcel.
- The UK's GBP 135 import VAT line and the EU's EUR 150 IOSS threshold tax and delay low-value parcels at the border.
- From 1 July 2026 the EU adds a €3 duty per imported parcel; holding EU stock avoids it. Size it →
- Local stock on both sides makes you a domestic shipper in each market.
Per-country drag without local stock
Verify on EU TARIC →| Destination | VAT | Threshold rule | Drag / order |
|---|---|---|---|
| United Kingdom | 20% | GBP 135 import VAT line | ~ €4.20 |
| Germany | 19% | IOSS under EUR 150 | ~ €3.50 |
| France | 20% | IOSS under EUR 150 | ~ €3.80 |
| Netherlands | 21% | IOSS under EUR 150 | ~ €3.60 |
Drag = avg duty, clearance, and handling per cross-border parcel for your weight and value. Indicative.
12-month landed cost by placement
Indicative totals including storage, pick/pack, shipping, duty, and clearance.
Set up UK + EU split with ShipBob
ShipBob runs fulfillment centers in both the UK and the EU, so it can execute this exact strategy.
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How we calculate
We model storage, pick/pack, domestic shipping, and the cross-border duty, VAT, and clearance drag for each placement, using published EU IOSS (EUR 150) and UK import VAT (GBP 135) rules plus the €3 interim duty effective 2026-07-01. No blended rates. Indicative planning figures, not customs or tax advice; the real saving depends on a 3PL quote.
Single EU warehouse vs UK and EU split
Since Brexit, the UK and EU are two separate customs territories. A parcel sent from an EU warehouse to a UK customer (or the reverse) is an import: duty, VAT handling, clearance fees, and slower delivery. For most sellers shipping meaningful volume to both, the cheapest and fastest answer is to hold stock on both sides.
The tool weighs your order volume, SKU count, average value, and parcel weight against the €150 IOSS threshold and the £135 UK import VAT line to estimate the per-country cost of each placement, then recommends the option with the lowest 12-month landed cost.