NEW EU RULES STOP THE DESTRUCTION OF UNSOLD TEXTILES THE IMPACT ON THE FASHION SYSTEM

team vallettaChiara Caliandro, EU and General Policies, In the Press

The European Ecodesign Regulation (ESPR), in force since 2024, introduces a ban on the destruction of unsold textiles and footwear: effective from 19 July 2026 for large companies and from 2030 for medium-sized enterprises.

For fashion and luxury companies, this is not just a sustainability issue: it is a concrete contractual and operational matter that must be addressed immediately, with increased obligations for transparency and traceability throughout the entire product lifecycle.

But what are the legal and organizational impacts?

According to Chiara Caliandro, interviewed on the topic by Luxury&Finance, “the management of production and excess stock will take on an even more strategic contractual role. Starting from production and orders, contracts will need to include clauses aimed at reducing the risks of overproduction, with greater use of flexible orders, lower guaranteed minimums, split production, and volume review clauses.

The supply chain must be mapped from the outset: the new transparency and traceability requirements expose companies to reputational risks.

It is therefore essential to begin a preventive contractual review now, without waiting for the regulation to come into force.

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