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Cyprus’ New Online Shopping Duty Generates Nearly €2 Million In Its First Month

Cyprus collected nearly €2 million in July after introducing a new €3 customs duty on low-value online purchases, highlighting the continued volume of cross-border e-commerce entering the country.

According to Customs Department spokesperson George Constantinou, authorities processed around 160,000 parcels containing approximately 650,000 chargeable items during the first month of the measure. Based on those figures, the new duty generated an estimated €1.95 million in revenue.

Stronger-Than-Expected Start

The result exceeded initial expectations. Authorities had previously projected the measure would raise around €15 million annually, meaning July alone accounted for roughly 13% of that estimate. However, customs officials said it is still too early to conclude, noting that some shoppers may have placed orders in June before the duty took effect, while seasonal holiday spending may also have influenced July’s figures.

How The Charge Works

Introduced across the European Union on 1 July, the duty applies to consignments valued below €150 arriving directly from countries outside the bloc. Rather than charging each parcel once, the €3 fee applies to every customs category included in a shipment, meaning a parcel containing products from three categories would incur a €9 charge.

Looking Ahead

Customs officials said the rollout was completed without major operational issues, with only minor adjustments required during the first days of implementation. They also expect shoppers to adapt to the new system over time, while retailers may increasingly shift inventory to EU-based warehouses to avoid the charge on goods shipped directly from third countries.

The measure forms part of a broader European response to the rapid growth of low-value imports from platforms such as Temu, Shein and AliExpress. In 2025, EU customs authorities processed nearly 5.9 billion low-value items, representing almost 98% of all imported goods handled across the bloc.

Mirendil Signs $100 Million Google Cloud Deal To Advance Self-Improving AI

AI startup Mirendil has signed a multi-year agreement worth more than $100 million with Google Cloud to secure computing infrastructure for its self-improving AI research.

The partnership reflects growing competition among AI companies to lock in access to high-performance computing, while cloud providers race to attract promising startups developing next-generation AI models.

Backing The Next Stage Of AI Research

Mirendil plans to use Google’s Tensor Processing Units (TPUs), Nvidia GPUs and managed training infrastructure to develop AI systems capable of improving their own performance over time.

Known as recursive self-improvement, the concept focuses on building AI that can refine its knowledge and capabilities with minimal human intervention. The technology is attracting growing interest across the industry, with several startups and leading AI labs exploring similar approaches.

According to co-founder and Chief Executive Behnam Neyshabur, the long-term goal is to develop AI that can automate scientific research and accelerate discoveries in fields such as medicine, biology and materials science.

Compute Capacity Becomes A Strategic Asset

Training increasingly advanced AI models requires enormous computing resources, making long-term infrastructure agreements a critical competitive advantage.

Mirendil said Google’s combination of TPUs and GPUs allows workloads to be matched with the most suitable hardware, improving efficiency while reducing costs for customers.

For Google Cloud, the agreement strengthens its position in the race to provide infrastructure for frontier AI developers, while giving the company exposure to one of the industry’s emerging approaches to next-generation artificial intelligence.

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