EU Ban on Destroying Unsold Clothes Takes Effect

A new European Union regulation took effect on Sunday, July 20, 2026, prohibiting the destruction of unsold clothing and shoes in a significant move to curb waste across the bloc.

The rule targets large fashion retailers, wholesalers, and manufacturers, particularly those with over 250 employees and an annual turnover exceeding €50 million. These companies are now banned from discarding unsold apparel. Instead, they must find alternative avenues such as selling products at a discount, exploring secondary markets, or donating them to charities. Destruction is permitted only for items deemed unsafe, damaged, counterfeit, or rejected by charities.

This regulation, part of the EU's Ecodesign for Sustainable Products framework, comes in response to growing concerns about the environmental footprint of fast fashion. Annually, hundreds of thousands of tons of fashion items are destroyed due to overstock, damage, or returned online orders. The European Environment Agency (EEA) notes that approximately 4% to 9% of unsold textile products are discarded each year, a figure exacerbated by the rise in online shopping and returns, where one in five online fashion purchases are returned and not resold.

Companies are now mandated to report annually on discarded goods and maintain records for five years. The regulation will extend to medium-sized firms by 2030. The fashion industry has historically defended its practices, citing disposal as often more cost-effective than managing unsold inventory. However, the German Retail Federation (HDE) anticipates consumers may benefit from increased availability of discounted items through outlets and second-hand channels, though they caution that not all unsold goods can be easily resold or donated.

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A circular economy, where products are designed to last, and are reused, repaired and recycled, is no longer just a vision, but is being embedded in law through these new legislative measures.