Extended Producer Responsibility (EPR) is reshaping the fashion industry. Is your company ready?

Mar 3

4 min read

As the world faces mounting waste challenges, Extended Producer Responsibility (EPR) is becoming a key regulatory tool to drive circularity. It shifts waste management responsibility from consumers and municipalities to producers, encouraging design for durability, reuse, and recyclability.

What is Extended Producer Responsibility?

EPR is a policy approach designed to reduce consumer waste by making producers financially and/or physically responsible for the treatment and disposal of their products at end-of-life. This model incentivizes businesses to design products that are easier to recycle, reuse, or dispose of sustainably. By transferring the cost and management of waste from municipalities and taxpayers to producers, EPR supports the transition to a circular economy.

Why do we need EPR?

The European Union (EU) has been a pioneer in EPR, implementing policies across various industries and conducting extensive research on its impact. This makes it an ideal case study for understanding how EPR can drive sustainability and circularity.

Every year, the EU generates approximately 12.6 million tons of textile waste, with clothing and footwear alone contributing 5.2 million tons—equivalent to 12 kg of waste per person annually. Shockingly, less than 1% of all textiles worldwide are recycled into new products.

In 2020, textile consumption in Europe had on average the fourth highest impact on the environment and climate change from a global life cycle perspective. It was the consumption area with the third highest impact on water and land use, and the fifth highest in terms of raw material use and greenhouse gas emissions.

Without strong policy interventions, textile waste will continue to rise, leading to:

Loss of valuable resources – Non-recycled textiles require virgin materials, increasing environmental impact.
Increased pollution – Synthetic fibers shed microplastics, contaminating water and soil.
Biodiversity threats – Landfills and incineration release harmful chemicals, endangering ecosystems.

How does EPR work?

Most EPR laws require manufacturers and distributors to establish a Producer Responsibility Organization (PRO) to manage producer fees. These fees fund:

✅ Product take-back programs

✅ Consumer education initiatives

✅ Compliance with EPR targets and goals

Fee structures vary by program and may include:

Flat fees – A standard rate for all producers
Basic fee adjustments – Minor variations based on product type
Eco-modulated fees – Incentivizing sustainability by imposing higher fees on products with low recyclability, poor recycling rates, or negative environmental attributes, while rewarding sustainable designs with lower fees.

Which countries have already adopted EPR laws?

The concept of EPR originated in the European Union (EU), which has policies covering packaging, electronics, batteries, and vehicles. However, EPR is expanding globally. The Global Fashion Agenda Mapping of Global EPR for Textiles highlights how textile EPR schemes are expanding globally, including:

EU’s leadership in EPR legislation
Australia & Chile taking action
Emerging policies in U.S. states at state-level
Initiatives in India & China

European Union: Leading the way

The EU has been at the forefront of EPR legislation for decades. The Circular Economy Plan aims to make sustainable products the norm in the EU, ensure less waste and

make circularity work for people, regions and cities. For instance, the EU has adopted a goal requiring all packaging placed on the market to be recyclable by 2030. In 2023 the Commission proposed a revision to the Waste Framework Directive to introduce mandatory and harmonized EPR schemes for textiles in all EU Member States.

United States: State-level momentum

EPR laws are gaining traction in the U.S., with 141 laws covering 20 different products. While there is no federal EPR law yet, 33 states have active EPR or similar packaging laws as of 2024. However, the textile industry remains behind other sectors in adoption. California, New York, and Washington are at the forefront, with ongoing or proposed textile EPR initiatives.

State	Status of Textile EPR	Requirement by
California	Passed and signed in September 2024. Legal basis found in SB-707 Responsible Textile Recovery Act of 2024.	Producers must form and join a PRO by July 2026. Compliance required by July 2030. Penalties for non-compliance: up to $10,000/day.
Washington	Under debate. Proposed in January 2025.	Producers must register and join/form a PRO by January 2027. Compliance by March 2033. Penalties: up to $10,000/day for non-compliance.
New York	Ongoing. Legal basis found on the Obligated producer Senate Bill 6654.	Plan for collection and treatment program due by December 2024. Program must be implemented by July 2025.

How does EPR impact your business?

Rather than viewing EPR as just another regulatory burden, think of it as a service fee—one that enables businesses to make more sustainable choices while funding better waste management systems. When implemented effectively, EPR fosters innovation, efficiency, and circularity.

As architect and sustainability visionary William McDonough once said:

“I see regulations as signals of design failure… The goal should be to design things that are so safe they don’t need to be regulated.”

Is your company preparing for textile EPR?

Navigating the evolving landscape of textile EPR can be complex, but proactive businesses have the opportunity to stay ahead of regulations, reduce costs, and drive sustainability efforts.