BRUSSELS - The European Union has taken a significant step toward changing how the fashion industry deals with unsold clothing, footwear and accessories, bringing the principles of the circular economy closer to everyday business practices.
From 19 July 2026, large companies operating in the EU are prohibited from destroying certain unsold apparel, clothing accessories and footwear under the EU’s Ecodesign for Sustainable Products Regulation (ESPR). The same prohibition will apply to medium-sized companies from 19 July 2030, while micro and small enterprises are exempt from the EU-wide prohibition.
The policy addresses a familiar problem in the fashion industry: trends change rapidly, while perfectly usable products can remain unsold. Instead of treating these goods as disposable inventory, businesses are expected to prioritise keeping products and materials in use.
Under the new framework, companies should consider options such as selling unsold products, including through discounts or alternative markets; donating them to charities or social enterprises; and preparing them for reuse through repair, refurbishment or remanufacturing. Destruction remains possible only in specified circumstances, such as certain safety, legal or damage-related situations, and applicable exemptions must be documented.
The scale of the issue is substantial. The European Environment Agency estimates that 4-9% of textile products placed on the European market are destroyed before being used, equivalent to approximately 264,000–594,000 tonnes of textiles each year.
The environmental implications extend well beyond the clothes themselves. Every garment represents the use of raw materials, water, energy, labour and transport. When an unused product is destroyed, the resources invested in producing it are also effectively wasted. The European Commission says keeping products in use for longer can help reduce waste, resource extraction and associated greenhouse-gas emissions.
The measure forms part of the EU's broader Sustainable and Circular Textiles Strategy, which seeks to move the textile sector toward products that are more durable, repairable and recyclable, while expanding reuse and repair and reducing the environmental footprint of fashion. The Commission notes that around 5 million tonnes of clothing are discarded each year in the EU, while only about 1% of clothing material is currently recycled into new clothing.
The new rules therefore send a wider message to the fashion economy: a change in trend should not automatically mean the end of a product's useful life.
As fashion cycles become faster, the emerging circular economy asks a different question-not simply what is the next trend?, but how can the products already made remain valuable for longer?
For Europe, the answer is increasingly being written into law.
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