EU Draft Regulation on Unsold Sustainable Products – Exemptions to Prohibiting the Destruction of Unsold Apparel and Footwear

Vol. 1484 | 13 Jul 2025

The draft regulation supplements ESPR, detailing exemptions for destroying unsold apparel and footwear, effective 19 July 2026, supporting circular economy goals and minimizing negative business impacts.

The European Commission has issued a draft delegated regulation on 30^th June 2025, supplementing Regulation (EU) 2024/1781 (ESPR), which sets out ecodesign requirements for sustainable products. This draft specifically details exemptions to the prohibition on destroying unsold consumer products, particularly apparel and footwear, effective 19 July 2026.

The ESPR, in force since July 19, 2024, identifies the destruction of unsold consumer products as a significant environmental problem in the EU. While generally prohibiting the destruction of unsold apparel and footwear, Article 25(5) of the ESPR mandates a delegated act to specify justified and proportionate destruction conditions. This draft regulation addresses this, aiming to prevent loopholes and minimize negative business impacts.

Key Derogations for Destruction:

The draft regulation outlines several circumstances under which unsold apparel and footwear can be destroyed, provided economic operators present specific documentation:

• Health, Hygiene, and Safety: Products deemed dangerous under Regulation (EU) 2023/988, where destruction is the appropriate action.
• Non-Compliance with Law: Products unfit for purpose due to non-compliance with Union or national law (excluding safety), where destruction is legally required or appropriate.
• Intellectual Property Infringement: Products infringing IP rights (e.g., counterfeit) confirmed by judicial decision, notification, or internal investigation, provided destruction is proportionate. This includes products under licenses restricting sale/distribution after a set period.
• Technical Unfeasibility for Reuse/Remanufacturing: Products that cannot be prepared for reuse or remanufactured because it's technically impossible to remove or obscure labels, logos, or design characteristics necessary for IP compliance, or those deemed socially inappropriate.
• Damage or Defects: Products unacceptable for consumer use due to damage (physical, deterioration, contamination) from handling, storage, transport, retail, or returns, where repair is not technically feasible or cost-effective. This also covers products with design or manufacturing defects that make them non-functional and irreparable.
• Non-Compliance with Voluntary Chemical Safety Policies: Products non-compliant with established voluntary company policies or third-party chemical safety standards, where destruction is the appropriate action.
• Non-Acceptance of Donation: Products offered for donation to at least two suitable social economy entities or publicly on the operator's website for at least eight weeks, and not accepted (unless covered by an EPR scheme prioritizing reuse).
• Donated Products Without Recipient: Products received by a social economy entity as a donation for which no recipient could be found.
• Products from Waste Treatment Operators: Products made available after preparation for reuse by a waste treatment operator, but for which no recipient could be found.

Verification and Documentation:

Economic operators must retain relevant documentation for 10 years after destruction, making it available to competent authorities upon request. This includes:

• Health/safety assessments for dangerous products.
• Self-assessments for legal non-compliance.
• IP infringement evidence (judicial decisions, notifications, internal investigations).
• Reports on technical unfeasibility for reuse/remanufacturing.
• Quality assessment procedures for damaged/defective products.
• References to voluntary chemical safety policies.
• Evidence of donation offers and inability to find recipients.

Statement to Waste Treatment Operators:

Operators must provide a statement on the applicable derogation to the waste treatment operator receiving the products, aiding effective sorting and improving reuse/recycling rates.

Implications for Businesses:

This draft regulation highlights the EU's commitment to a circular economy. Businesses in the apparel and footwear sectors must:

• Adapt Processes: Enhance quality assessment, returns handling, and inventory to align with derogations and minimize destruction.
• Strengthen Documentation: Implement robust systems for documenting destruction reasons, ensuring compliance with the 10-year retention period.
• Prioritize Alternatives: Continue to prioritize remanufacturing, refurbishing, and donation.
• Engage Partners: Ensure clear communication with waste treatment operators.

Intertek will continue to monitor this regulation. Businesses are advised to assess current practices for future compliance.