TEXTILES.ORG
Laws and regulations are inherently part of doing business in the textile industry. Compliance challenges are compounded by shifts in both U.S. and international textile markets, driven by new laws and regulations—including the Ecodesign for Sustainable Products Regulation (ESPR) and the revised Waste Framework Directive (WFD) in Europe and Extended Producer Responsibility (EPR) mandates globally.
In the U.S., introduced bills such as the Voluntary Sustainable Apparel Labeling Act propose a federal sustainability labeling program, while seven states have enacted EPR laws focused on packaging. As of this publication, only California has implemented an EPR law specific to textiles (New York and Washington state proposed similar programs this year, but these were not passed). Additionally, current or future rules in the U.S. and in other nations could be shelved, altered or delayed due to litigation or changing political priorities.
How textile businesses navigate these choppy waters could be the difference between operational excellence and systemic failure.
Change is unavoidable
“We’re seeing a wave of regulations reshaping the fashion and textile industry, both internationally and nationally,” says Lidia Lüttin, head of marketing for the Paris, France-based Carbonfact, which focuses on where carbon emissions come from and how companies can reduce their emissions with the best possible return on investment. “In the European Union [EU], one of the biggest changes on the horizon is the EU Digital Product Passport. Under the Ecodesign for Sustainable Products Regulation, textiles will be among the first categories required to carry this passport that contains information on materials, supply chain, repairability, recyclability and even the product’s carbon footprint. The ESPR itself will also mandate that textiles are designed for durability, repairability and recyclability, raising the bar for product development.”
The ESPR applies to every brand that does business in the EU, including small- and medium-sized enterprises. Regulation under the law began in July 2024, and in April, the European Commission adopted the first ESPR Energy Labeling Working Plan 2025–2030, which outlines the products that will be prioritized in the coming years, including an emphasis on textiles, specifically apparel and footwear. Additionally, Under the WFD, EU member states must establish their own EPR program by 2027.
Nations in the EU are also implementing initiatives similar to the U.S.’s Voluntary Sustainable Apparel Labeling Act. For example, France is rolling out the new Environmental Cost label, which was formerly known as the French Eco-Score. This is a government-backed environmental scoring system based on product life-cycle analysis. While it is national legislation, foreign companies selling in France must begin complying in 2026.
In the U.S., California passed SB 253 and SB 261, which are the first laws in the country requiring companies with $1 billion and $500 million in revenue to disclose their climate impacts and risks. California’s EPR law for textiles requires manufacturers to pay for reuse, repair and recycling programs. State legislators in New York (SB 3217) and Washington (HB 1420) proposed similar laws in 2025.
Traditionally, waste management has been the domain of local governments, funded through taxpayer dollars. EPRs flip the script by requiring producers to absorb these costs, providing an incentive to design products that are more sustainable, recyclable and less wasteful.
Why companies need to make the changes
Actions to make a healthier planet have been part of companies’ goals for years, but businesses sometimes find initiatives difficult to implement when they eat into their bottom lines or competitive edge.
According to MehlerHeytex’s Katja Bernert, the Germany-based company’s preparation for requirements under the ESPR and WFD has gone well. Bernert is an architect who now focuses on textile architecture. She is a passionate advocate for recycling materials. She says the company is committed to what was provisionally agreed upon in early 2025 by EU member states and will likely be enforced in 2027. There will be additional costs, and she advocates for a level playing field.
“We not only have to harmonize European and U.S. standards, we also have to harmonize how we do business in Asia, in Europe and in the U.S. It doesn’t help if we have the most wonderful, most sustainable products and at the same time, there’s competition that doesn’t provide any information on the sources of the chemicals and is offering something that costs half as much as the sustainable choice,” she says.
Running lean is good business, but companies that cut corners could lose access to major markets. In taking proactive steps, small to mid-sized brands not only ensure compliance but also position themselves as sustainability leaders in the market.
The new laws and regulations also present a strategic opportunity. Companies that adapt early can gain a competitive advantage and reduce long-term costs. They also help themselves by avoiding unflattering publicity and meeting rising consumer expectations for sustainability.
Dealing with PFAS
Elizabeth Denly, vice president and per- and polyfluoroalkyl substances (PFAS) initiative leader and chemistry director at TRC Companies Inc., says compliance is a no-brainer. TRC is based in Windsor, Conn., and provides consulting, engineering and management services to public and private companies. At TRC, Denly aids companies in creating
risk liability assessments and management plans to help them navigate changing regulatory requirements and customer expectations.
“If you’re not complying, it’s going to hurt your reputation eventually … and your company is not going to be part of that supply chain,” she says. Denly also encourages clients to educate their customers, advising them on how to address PFAS restrictions. “The company should advertise if they’re PFAS-free because that’s only gonna help their customers in the long run. And if the replacement is going to cause an increase in price, it is what it is.”
Customers are not the only concerns. Denly also works with investors to ensure that a company they are purchasing or investing in is complying with all applicable PFAS regulations.
Seamless compliance
The EU’s ESPR will implement a ban on the destruction of unsold footwear and textiles in 2026 for large brands and 2030 for medium-sized brands. These brands will also be required to disclose annual information on unsold consumer products on their website, such as the number and weight of products discarded. As a result, there is an emphasis on recycling, repairing and reusing textiles (and not overproducing).
Carbonfact offers an environmental data platform specifically for the apparel and footwear industries and works with hundreds of brands and suppliers. According to Lüttin, Carbonfact’s software automates complex life cycle assessments, analyzes supply chain data and uses machine learning to fill in gaps when information is missing. This allows brands and suppliers to get accurate and reliable footprint calculations, even when their data isn’t perfect.
“Once that foundation is in place, the platform makes it easy to identify emission-intensive processes, simulate eco-design choices and build reduction plans,” Lüttin explains. “On top of that, reporting is automated—whether it’s yearly GHG [greenhouse gas] carbon accounting, CSRD [the European Corporate Sustainability Reporting Directive], the French Environmental Cost label or the EU Digital Product Passport—so companies can spend less time on compliance and more time on reduction. In short, we help brands move from measuring their footprint to actually lowering it.”
Digital Product Passport
The EU Import Control System 2 release in September marked a major shift in how companies bringing goods or transiting goods through the EU must handle pre-arrival customs data. The new control system requires all entities that bring goods into the EU or transit through the EU across all modes of transport (air, maritime, road and rail) to declare safety and security data through an Entry Summary Declaration (ENS). Based on the ENS, all goods are subject to security risk analysis, and if an ENS has insufficient data quality, it can be denied. As a result of this new system and other regulations, accurate reporting and data collection are essential. For example, while not required until 2027, the Digital Product Passport provides a digital record of a product’s life cycle, including, but not limited to, the following:
- Material composition (recycled content, hazardous substances, etc.)
- Origin and production data (supplier info, country of manufacture)
- Carbon footprint and energy usage
- Repairability and recyclability instructions
- Certifications and compliance documents
- End-of-life handling (disposal, reuse or recycling guidance)
This enables regulators and customs authorities to track textiles and other goods throughout the global supply chain. At the same time, it empowers textile companies to move forward with confidence and efficiency.
“It’s about future-proofing the brand,” Lüttin points out. “By aligning with frameworks like ESPR, EPR and CSRD, companies ensure that their products remain eligible for key markets, investors can trust their data and supply chains are resilient to increasing scrutiny. Compliance also unlocks operational efficiencies: Cleaner data and better product design decisions often reduce waste and cost. For consumers, labels such as the EU Digital Product Passport or France’s Environmental Cost label provide much-needed transparency for better decision-making.”
Tad Hendrickson is a freelance writer who lives in Minneapolis.
Textile regulation resources
Advanced Textiles Association PFAS Resource Center
textiles.org/education/pfas-resource-center
News, laws and regulations related to PFAS
Consumer Product Safety Commission
cpsc.gov
U.S. laws and regulations
Compliance & Risks
complianceandrisks.com/category/guides
Guidance on EU and U.S. laws and regulations
Carbonfact Textile Regulations Hub
carbonfact.com/textile-regulations-hub
U.S., EU and other global laws and regulations