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Impact of EU’s New Environment Policy on Exports

Exports could be affected by EU’s new environment policy
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The European Single Product Regulation (ESPR) is a significant part of the Circular Economy Action Plan (CEAP), playing a crucial role in achieving sustainability goals.

This regulation mandates eco-design requirements for various goods entering the EU market, promoting recycling, reuse, and environmental considerations throughout the product development process.

The EU’s focus on sustainable products extends beyond energy efficiency, emphasizing characteristics like reduced energy consumption, durability, repairability, recyclability, and lower carbon emissions.

New regulations specifically forbid the destruction of unsold clothing and footwear, signaling a broader crackdown on wasteful practices across industries.

Vietnam’s textile, garment, and footwear exports to the EU, facing direct implications from these regulations, need to comply with transparent reporting of product disposal.

The latest updates due to take effect in 2025 require mobile devices to have enhanced durability, longer battery life, and availability of software updates and spare parts, reflecting a shift towards more sustainable practices.

Previous ecodesign efforts across 31 product categories in 2021 resulted in 120 billion euros in savings and a 10% reduction in energy consumption for covered products annually.

In another move, Singapore’s National Environment Agency expanded energy labeling and performance standards to household appliances, effective from April 1, 2025, demonstrating a regional commitment to environmental sustainability.

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