The EU Green Deal and the associated obligations

– How you can successfully develop a suitable strategy with PFI

All 27 EU member states have committed to making the EU the first climate-neutral continent by 2050. How can this goal be achieved? How can the transition be made affordable, particularly for medium-sized production companies? Ambitious or feasible? In any case, it is a topic that companies in our industry must address promptly and intensively.

Looking back, since the Brundtland Report in 1987, sustainability has become firmly embedded in political and scientific discussions. With the UN Agenda 2030, 17 goals were formulated that consider economic, social, and environmental aspects and are now omnipresent in the ESG sector as Sustainable Development Goals (SDGs). 

In 2019, the EU Green Deal was introduced, aiming to make Europe fully climate-neutral by 2050. To achieve this goal, various measures have been developed to obligate economic actors within the EU to adopt sustainable practices.

What does this mean for companies in our industry?

The clothing and footwear industry is classified as a critical sector with particularly significant negative aspects in both social and environmental areas. Some measures from the EU Green Deal are therefore specifically tailored to this sector or have already been implemented. This article will focus on these measures and regulations.

Above all, we want to show you how PFI can support you in tackling the challenges that inevitably arise due to the wide range of regulations.

Against this background, we will briefly introduce the most important laws for the footwear and clothing industry in the following blog posts. Our first article covers: 

• European Deforestation Regulation (EUDR)
• Ecodesign for Sustainable Product Regulation (ESPR)

European Deforestation Regulation (EUDR)

The regulation aims to ensure that no agricultural land is developed at the expense of existing forests for the rearing of cattle or the cultivation of cocoa, soy, palm oil, coffee, rubber, and timber. Companies must verify whether deforestation or forest degradation has taken place after 31 December 2020 for the production of listed products. The regulation also requires compliance with the legal provisions of the country of production to additionally uphold and promote human rights, labour rights, and environmental protection.

Ecodesign for Sustainable Product Regulation (ESPR):

The ESPR aims to ensure that products are used for longer and more efficiently. The corresponding regulation came into force on 18 July 2024. The exact implementation is not directly outlined in the regulation, as it serves as a framework regulation. More detailed requirements for individual product groups are to be issued through delegated legal acts. The textile and footwear industry has been identified as one of the sectors for which detailed requirements will be developed as a priority by mid-2025. The ESPR outlines performance and information criteria that must be considered, including environmental footprint, energy and resource efficiency, durability, and a digital product passport.

We support you with the PFI Eco Label

The ambitions and expectations imposed by the EU Green Deal are immense. Previously, corporate evaluations often focused on shareholder value, but in the future, sustainability will become an additional key component. Banks are already requesting sustainability activities from companies when granting loans, and in public tenders, proof of sustainable practices will play a crucial role in company selection. Even if SMEs are not directly affected by certain regulations, larger partner companies may require information about these regulations from them.

The PFI offers the PFI Eco Label as a tool to efficiently meet the required standards and support you on your path to greater sustainability. We have established a two-step process that your company will follow with us, and upon successful completion, you will receive an Eco Report and be authorised to use the PFI Eco Label for your products.

With the PFI Eco Label, we continuously integrate the latest data into our certification process to prepare you for upcoming obligations.

Do you have any questions? Feel free to contact our representatives.