Since 19 July 2026, large enterprises have generally been prohibited from destroying certain unsold apparel, clothing accessories and footwear. This new ESPR obligation is more than a waste-management rule. Retailers and manufacturers need records that make stock, reasons, decisions and handovers traceable after the event.
Who is covered
Article 25 of the Ecodesign for Sustainable Products Regulation, or ESPR, sets 19 July 2026 as the starting date. The prohibition covers the product groups listed in Annex VII, notably apparel and footwear. It initially applies to large enterprises. Medium-sized enterprises follow on 19 July 2030, while micro and small enterprises are exempt.
The broad meaning of “destruction” matters. Under the disclosure format in Implementing Regulation (EU) 2026/2, destruction is the sum of recycling, other recovery and disposal. A product is therefore not outside the prohibition merely because its material is recycled. Routes that preserve the item as a product take priority, including resale, donation, repair, refurbishment and preparation for reuse.
Derogations are possible, but require evidence
Delegated Regulation (EU) 2026/296 defines circumstances in which destruction may remain permissible. They include dangerous products, products that are legally non-compliant and unfit for purpose, and goods proven to infringe intellectual-property rights. Other narrowly defined cases address situations in which use or reuse is objectively not possible.
A derogation is not a free-text reason in a warehouse system. The economic operator must be able to demonstrate that its conditions were met. Relevant documentation must be retained for five years. When a waste operator is appointed, the applicable derogation and evidence should be linked unambiguously to the handover.
Disclosure and prohibition are separate obligations
Article 24 ESPR requires large enterprises, and medium-sized enterprises from 19 July 2030, to disclose information annually on discarded unsold consumer products. Implementing Regulation (EU) 2026/2 provides a common structure.
The disclosure includes, among other elements:
- the number and weight of discarded units by product category,
- reasons for discarding them,
- the relevant derogation, where applicable,
- shares allocated to different waste-treatment routes,
- measures already taken and planned to prevent destruction.
Categories are generally delimited by the first two digits of the Combined Nomenclature, with four digits required for specified products. Information may be published directly on a website or, under the defined conditions, through a clear link to the relevant section of a sustainability report.
A company may therefore have a disclosure obligation even where a particular product category is not covered by the destruction ban. Conversely, a published report does not prove that an individual act of destruction was lawful.
Which data need to be connected
Many companies already hold the required information, but across an ERP, warehouse system, returns portal, quality process and waste contractor records. A verifiable process needs a common reference for each item or at least for each reliable stock group.
Product master data
The product master should include the item identifier, product group, CN code, size or variant and responsible economic operator. Inconsistent classifications lead directly to incorrect disclosures.
Inventory events
The final status “written off” is not enough. The event history should show when an item was classified as unsold, which alternative routes were assessed and who approved the decision.
Quality or legal grounds
Where a derogation is required, retain a structured reason and evidence: a safety assessment, recall, official order, intellectual-property investigation or another permitted record. Photographs and free text alone are often too weak.
Handover and treatment
Quantity, weight, recipient, date and planned treatment must remain connected to the original product category. The format permits “unknown” where actual treatment cannot be obtained, but that should not become a systematic blind spot.
Where a product passport can help
The prohibition does not automatically mandate a DPP as the technical channel for these stock decisions. The underlying data work nevertheless overlaps with a future textile passport: persistent identifier, material information, responsible operator, repairability and lifecycle events.
Companies should avoid building an isolated “ESPR destruction spreadsheet”. An event model that can later feed product passports is more durable. A GS1 Digital Link or another persistent identifier can connect warehouse, returns and public DPP systems without exposing confidential internal decisions.
Practical operating controls
- Block blanket disposal postings for covered product groups.
- Require evidence that alternative routes were assessed before approval.
- Maintain a controlled list of reasons and permitted derogations.
- Reconcile item counts and weights with waste-operator records.
- Separate public disclosure data from confidential evidence.
- Have compliance and data owners test the first annual calculation together.
The real challenge is not the annual report; it is the daily decision at the end of a returns or seasonal-stock process. If the reason has to be reconstructed months later, the control is already too weak. Since 19 July 2026, traceability needs to begin when the decision is made.
