A closer look at the upcoming EU’s Right to Repair legislation and its impact on fashion

Brussels - In light of grueling concerns over environmental degradation and sustainability, new European legislation aims to improve the longevity and durability of products through the ‘right to repair’. This legislative framework represents a holistic approach to supporting circular economy, waste reduction and sustainable consumption in the Union. The fashion industry should anticipate as it may be subject to textile durability requirements in the near future.

1. What is the new EU legislative proposal EU Right to Repair? Does it also apply to textiles?

The legislative proposal on the common rules promoting the repair of products is a recent legislative initiative that the European Commission presented in March 2023. The Directive promotes product repair to ensure more items are fixed within the warranty, and to provide affordable options for post warranty repairs. The intention is to strengthen demand, promote accessible options for consumers, reduce early disposal of functional goods, and encourage a longer vitality of the product.

New obligations mandate sellers to offer repair options when more economical than replacement during warranty periods. Additionally, consumers gain the right to claim repairs for technically repairable items beyond warranty. A significant requirement entails the establishment of an online matchmaking repair platform linking consumers with repair services and refurbished goods sellers, while producers must provide consumers with a standardised repair information form upon request. Member States must integrate pricing transparency and set quality standards for repair services into their national systems.

Note that as this is a Directive, it will have to be implemented in the national order of the EU Member States before being applicable. The transposition period is 24 months from the entry into force at the latest.

This right to repair proposal supports the other two legislative initiatives of the European Commission; the Eco-Design for Sustainable Products Regulation and the Directive on Empowering Consumers for the Green Transition. Together all three legislations shield the full life cycle of products and address the ‘right to repair’ while aligning with broader EU policies for sustainable consumption and the circular economy.

2. To what extent is the fashion industry involved in the right to repair?

With regards to the most recent legislation promoting the repair of goods, the European Commission has published Annex II. This Annex outlines repair obligations for a number of products such as washing machines and household washer-dryers, dishwashers, refrigerating appliances. The fashion industry was left out from this legislative proposal. However, the European Commission may integrate all textile and fashion items into the Eco-Design Regulation, by requiring reparability for new products in the future.

The abovementioned legislative proposal of March 2022 on eco-design, introduces new rules on reparability of certain products at the production stage. The fashion industry may be affected soon, even though the group of products subject to the eco-design rules are yet to be determined. The new provisions introduced by the European Parliament’s Committee on the Environment, Public Health and Food Safety (ENVI) emphasizes prioritizing textiles and footwear among other products.

In addition, Annex I to this proposal highlights a number of parameters that will serve as a foundation to improve the ease of repair and maintenance, compatibility with available spare parts, accessibility to repair and maintenance manuals, quantity, the kind of materials and components used, number and complexity of processes and tools required, the ease of non-destructive disassembly and reassembly, conditions for access to product data.

Chapter VI of this Eco-Design Regulation imposes transparency requirements on disclosing unsold consumer goods data annually, with exemptions for small companies and longer transition phases for medium-sized enterprises. This stems from significant environmental impact caused by the disposal of unsold consumer goods, particularly textiles and footwear.

While this legislative proposal lacks detailed reparability information, it aims to encourage repair and reuse by facilitating information exchange. Traders are required to provide consumers with necessary pre-contractual information on after-sale services, including repair services. Additionally, where a reparability service is not established in accordance with EU Law, traders should provide, for all types of goods, other available information from the producer, such as the availability of spare parts and a user and repair manual. The level of detail expected is pending as further commitments are proposed by the EU Parliament.

Note that as this is a Regulation, it will automatically apply across all EU Member States upon its entry into force. A provisional agreement was reached between the European Parliament and the Council on December 05, 2023. The Regulation will be applicable when it is formally adopted by both institutions and published in the EU Official Journal.

Further, the Directive on Green Transition, published in the EU Official Journal on March 6th, 2024, mandates each Member State to transpose it into national legislation by 27 March 2026. It requires companies to disclose comparing information on products’ durability and reparability. Additionally, the Union amends the Directive on Unfair Commercial Practices by adding ten new banned commercial practices, such as exaggerating a product’s durability, falsely claiming repairability. Notably, the Directive also amends the Consumer Rights Directive to enhance pre-contractual information for consumers, including obligations like providing commercial guarantees on durability and ensuring spare parts availability.

3. What are some of the expected changes for designers/mainstream fashion brands?

The European Parliament calls for strict rules to fight excessive production and consumption, by making textile products last longer and facilitate their easier repair and recycle. The Commission with its EU Strategy for Sustainable and Circular Textiles aims to revolutionize the industry and change not just textile design but also promote circular business models. The objective is to maintain consumer affordability and corporate competitiveness, while cutting down on textile waste.

Consumer behaviour might be a big change for fashion brands. The new legislation might incentivize consumers to demand better product conditions. This may create the trend on which consumers opt for fashion brands that bring innovative solutions in line with affordable prices. Consequently, competition and accountability could be raised within the industry in allowing for positive changes.

With the legislation on promoting the repair of products, it is crucial to highlight that consumers have the choice between repair and replacement during the 12-month legal guarantee period, which may be extended at the discretion of each Member State. Should textile products be covered by this Directive, fashion companies acting as sellers may be required to perform repairs beyond legal guarantee.

A shift could be expected among European brands as they realign their business objective to differentiate their operations. Fashion brands, for instance, may innovate by introducing in-store repair services at competitive prices. This satisfies consumer interest and allows compliance with the European legislation.

Remarkably, fashion businesses are already choosing innovative ways to expand their operations or partnering with other service providers in facilitating the repair services. Companies such as Gianni, Sojo, Farfetch, Manolo Blahnik and Nicholas Kirkwood have shifted their business strategies in contributing to the right to repair and more sustainable solutions for the environment.

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4. What kind of change does this initiative bring - started taking this to account in the first phase, around the sketching table?

Member States have already implemented policies supporting circular economy and the right to repair including eco-design standards, repair vouchers, reduced VAT tax rate for specific repair services, and ensuring spare parts availability. Now, since the Union is regulating the level playing field regarding this issue, designers and fashion brands must align their production with these initiatives and objectives.

A distinct strategy could be implemented from the very beginning of the sketching phase to extend the longevity of products, by choosing textiles carefully, limiting the use of hazardous chemicals and by minimizing the release of microplastics during production. The industry should prepare for the reparability obligations of the foreseeable future by potentially establishing mechanisms to ease the transmission of the information to consumers. The possibility of collaborating with recycling and waste management companies could also lead to efficient resource management by simultaneously bringing a competitive edge in the market.

Further, fashion brands can implement in-house repair procedures and provide reparability information for their products. This proactive strategy serves as a preventative measure against the potential expansion of the EU legislation on the common rules promoting the repair of goods to encompass textile products within its scope. On the other hand, since textile products are anticipated to be encompassed by the Eco-Design Regulation under the broader ‘EU right to repair’ legislation, fashion companies should focus on complying with mandated eco-design standards. Additionally, they should consider establishing traceability and quantification systems for unsold stock. Investing in digital technology for improved production planning can facilitate compliance, reduce mass production, and enhance product quality.

Done in Brussels, 14 March 2024

Sources:
- European Commission, topic ‘Rules promoting the repair of goods’
- European Commission 'Proposal for a DIRECTIVE OF THE EUROPEAN PARLIAMENT AND OF THE COUNCIL on common rules promoting the repair of goods and amending Regulation (EU) 2017/2394, Directives (EU) 2019/771 and (EU) 2020/1828', Brussels 22 March 2023
- European Parliament 'Proposal for a directive on common rules promoting the repair of goods in “A European Green Deal"', commission 2019-24
- European Commission 'Proposal for a REGULATION OF THE EUROPEAN PARLIAMENT AND OF THE COUNCIL, establishing a framework for setting ecodesign requirements for sustainable products and repealing Directive 2009/125/EC', 30 March 2022, Brussels
- European Commission 'DIRECTIVE (EU) 2024/825 OF THE EUROPEAN PARLIAMENT AND OF THE COUNCIL amending Directives 2005/29/EC and 2011/83/EU as regards empowering consumers for the green transition through better protection against unfair practices and through better information', 28 February 2024, Brussels
- Annex II: European Commission 'ANNEXES to the proposal for a Directive of the European Parliament and of the Council on common rules promoting the repair of consumer goods and amending Regulation (EU) 2017/2394, Directives (EU) 2019/771 and (EU) 2020/1828', 22 March 2023, Brussels
- European Commission 'Proposal for a REGULATION OF THE EUROPEAN PARLIAMENT AND OF THE COUNCIL establishing a framework for setting ecodesign requirements for sustainable products and repealing Directive 2009/125/EC, 30 March 2022, Brussels
- European Parliament New provisions Ecodesign Regulation 'Amendments adopted by the European Parliament on 12 July 2023 on the proposal for a regulation of the European Parliament and of the Council establishing a framework for setting eco-design requirements for sustainable products and repealing Directive 2009/125/EC (COM(2022)0142 – C9-0132/2022 – 2022/0095(COD))1' 2019-24
- Annex I: 'ANNEXES to the Commission proposal for a Regulation of the European Parliament and of the Council establishing a framework for setting ecodesign requirements for sustainable products and repealing Directive 2009/125/EC' 30 March 2022, Brussels
- European Parliament 'Amendments adopted by the European Parliament on 11 May 2023 on the proposal for a directive of the European Parliament and of the Council on amending Directives 2005/29/EC and 2011/83/EU as regards empowering consumers for the green transition through better protection against unfair practices and better information (COM(2022)0143 – C9-0128/2022 – 2022/0092(COD))(1)', 11 May 2023, Strasbourg
- the Directive on Green Transition: Eur-Lex 'Directive (EU) 2024/825 of the European Parliament and of the Council of 28 February 2024 amending Directives 2005/29/EC and 2011/83/EU as regards empowering consumers for the green transition through better protection against unfair practices and through better information', 28 February 2024, Brussels
- Unfair Commercial Practices: European Union 'DIRECTIVE 2005/29/EC OF THE EUROPEAN PARLIAMENT AND OF THE COUNCIL', 11 May 2005
- the Consumer Rights Directive: European Union 'DIRECTIVE 2011/83/EU OF THE EUROPEAN PARLIAMENT AND OF THE COUNCIL' 25 October 2011
- European Parliament Briefing EU Legalisation in Progress 'Empowering consumers for the green transition', June 2022
- European Parliament press release 'Ending fast fashion: tougher rules to fight excessive production and consumption', 27 April 2023
-'EU strategy for sustainable and circular textiles'
- European Commission 'COMMUNICATION FROM THE COMMISSION TO THE EUROPEAN PARLIAMENT, THE COUNCIL, THE EUROPEAN ECONOMIC AND SOCIAL COMMITTEE AND THE COMMITTEE OF THE REGIONS On making sustainable products the norm', Brussels 30 March 2022
- The Guardian article 'If it’s broken, they fix it: four fashion brands that give their garments a second life', by Lucianne Tonti, from 20 June 2023
- European Consumer Centre France article 'Spare parts and reparis: A right in Europe?', 12 January 2024
- European Environment Agency Briefing 'Textiles and the environment: the role of design in Europe’s circular economy', 10 February 2022, last modified at 7 February 2023.