Jan 2, 2025
The European Green Deal is reshaping how businesses design, manufacture, and manage products across the EU. Its goal is to make the EU climate-neutral by 2050 by reducing waste, improving resource efficiency, and increasing transparency in product supply chains. For businesses, this means stricter compliance requirements and greater responsibility for the environmental impact of their products.
Why does the Green Deal matter for product compliance?
The Green Deal is more than just an environmental strategy—it’s a legal and operational shift for businesses. The EU is tightening regulations on product design, materials, and end-of-life management to promote a circular economy where waste is minimized, and materials are reused or recycled.
For companies, this means compliance isn’t just about avoiding penalties—it’s about adapting to a more sustainable and transparent market. Consumers and regulators are increasingly holding businesses accountable for the environmental footprint of their products.
Key regulations under the Green Deal
Several major regulations have already been introduced or are in the pipeline under the Green Deal. These directly affect how businesses manage product compliance:
1. Ecodesign for Sustainable Products Regulation (ESPR)
The ESPR is set to replace the existing Ecodesign Directive and will introduce new rules on product design, durability, and recyclability. It aims to make products more sustainable and resource-efficient by setting design requirements such as:
• Minimum lifespan and repairability standards.
• Limits on harmful substances.
• Requirements for recycled content and material traceability.
2. Extended Producer Responsibility (EPR)
EPR holds businesses accountable for the environmental impact of their products throughout the entire lifecycle—from production to disposal. Under the Green Deal, EPR is expanding to cover more product categories and stricter reporting requirements.
• Affects industries like packaging, electronics, textiles, and batteries.
• Companies must track and report product volumes and pay fees based on recyclability and environmental impact.
3. EU Batteries Regulation
The Batteries Regulation sets out requirements for battery production, labeling, and recycling to reduce environmental harm.
• Minimum recycled content requirements.
• Battery carbon footprint declarations.
• Collection and recycling targets.
4. WEEE Directive (Waste Electrical and Electronic Equipment)
The WEEE Directive requires producers of electronic and electrical equipment to manage and finance the collection and recycling of their products at end-of-life.
• Applies to electronics like smartphones, computers, and home appliances.
• Sets recycling and recovery targets for electronic waste.
5. REACH Regulation
The REACH Regulation governs the registration, evaluation, authorization, and restriction of chemicals in products. Under the Green Deal, stricter rules on hazardous substances and chemical content are being introduced.
• Increased testing and disclosure requirements.
• Bans on certain high-risk chemicals.
How product compliance is changing under the Green Deal
The Green Deal is making product compliance more complex and data-driven:
• Increased Reporting Requirements – Companies must provide detailed data on product materials, production processes, and end-of-life impact.
• Higher Costs – EPR fees and new sustainability standards are increasing operational costs.
• Supply Chain Transparency – Companies must trace and disclose product components and production data to meet legal and consumer expectations.
The Green Deal isn’t just about avoiding fines—it’s about staying in business. Companies that adapt quickly will secure market access, meet customer expectations, and avoid supply chain disruptions.
Success means simplifying product data, designing for sustainability, and treating compliance as a gateway to global markets—not just a legal hurdle.
