The path to circularity - Navigating through the EU’s sustainable product regulations on batteries, deforestation, ecodesign, packaging, and beyond

The EU Battery Regulation (Regulation (EU) 2023/1542 – “EUBR”), in force since 28 July 2023 with a phased implementation, represents a significant step forward in battery and waste battery management across Europe. Replacing the Battery Directive 2006/66/EC, it covers all battery categories, including portable, industrial, and electric vehicle batteries, with the aim of enhancing sustainability, minimizing environmental impact, and fostering a circular economy.

Key features:

• Sustainability: The EUBR restricts hazardous substances like mercury, cadmium and lead. It mandates carbon footprint reporting across all life cycle stages and introduces requirements for battery replaceability and removability.
• Performance and Durability: Batteries must meet minimum performance standards, including criteria for charging cycles and capacity, to ensure longevity.
• Labeling: Batteries must be clearly labeled, including manufacturer information and presence of hazardous substances, with the introduction of QR codes for enhanced transparency, providing information on carbon footprint and recycling instructions.
• Recycling and Reuse: The EUBR sets ambitious recycling targets and promotes battery reuse, subject to quality and safety controls for repurposed batteries.
• Due Diligence Obligations: Supply chain due diligence requirements, initially planned for 18 August 2025, are now expected to apply from 18 August 2027 (with the publication of guidelines pushed from February 2025 to July 2026). Operators with a net turnover exceeding EUR 150 million will be required to implement management systems and publish due diligence policy reports every three years, subject to third-party verification.

Obligations for economic operators:

• Manufacturers, before placing batteries on the market, must prepare technical documentation, conduct conformity assessments, provide an EU declaration of conformity, CE marking, and ensure proper identification and contact details. When placing batteries on the market, they must ensure the battery complies with design, sustainability, and safety requirements, including substance restrictions, recycled content, carbon footprint, and performance standards, while also complying with information, labeling, and marking requirements. After placing batteries on the market, manufacturers must maintain documentation for ten years, ensure ongoing conformity, provide updated data from battery management systems, and take corrective actions if necessary.
• Importers must verify compliance, ensure availability of conformity documentation and provide necessary documentation and safety information before placing batteries on the market. After placing batteries on the market, importers must inform manufacturers and market surveillance authorities of any suspected risks or non-compliance, provide documentation to national authorities, monitor for non-compliance, complaints, and recalls, and take corrective actions as needed.
• Distributors, before making batteries available on the market, must ensure compliance by verifying producer registration, CE marking and proper labeling and documentation. After making batteries available on the market, they are required to inform manufacturers, importers, and market surveillance authorities of any suspected risks or non-compliance, provide relevant documentation to national authorities, take corrective actions when necessary, and fulfill take-back obligations for waste batteries.
• Producers are financially responsible for waste management. They must establish free-of-charge take-back and collection systems for waste portable batteries and ensure separate collection of waste batteries.

Timeline and next steps for compliance:

Stakeholders should monitor the publication of the due diligence guidelines, now expected in July 2026. In the meantime, they should begin preparing their production processes to ensure timely compliance with the upcoming requirements.

The EU Deforestation Regulation (Regulation (EU) 2023/1115 – “EUDR”) is a milestone in the EU's efforts to combat global deforestation. Replacing the EU Timber Regulation (EU) No 995/2210, it introduces stricter compliance requirements for businesses of all sizes. In force since 29 June 2023, it aims to ensure that products placed on the EU market are deforestation-free.

Key features:

• Commodities affected: Cattle, cocoa, coffee, soya, oil palm, rubber and wood.
• Compliance requirements: Relevant products (as further specified in Annex I to the EUDR) that have been fed or made with these commodities must be deforestation-free, comply with the production legislation of the country of origin, and be covered by a due diligence statement.
• Due Diligence process: Involves a due diligence statement that requires the collection of information (e.g., geolocation data), a risk assessment and risk mitigation strategies. Due diligence must be repeated (i.e., updated) for each relevant product.

Obligations for economic operators:

• Operators: Operators must perform due diligence before placing on the market or exporting products, ensuring compliance with the general requirements for all relevant commodities and goods. They must provide due diligence statements to competent authorities and offer necessary assistance.
• Traders: Non-SME (small and medium-sized entities) traders have similar obligations to operators, while SME traders must collect and store product traceability data and report suspected violations. All traders must assist authorities as needed.
• Operators and traders may appoint authorized representatives to submit due diligence statements, but they remain responsible for compliance. For products from third countries, the first EU-based operator or trader in the chain is responsible.

Timeline and next steps for compliance:

The EUDR's application is postponed until 30 December 2025 for large and medium-sized companies, and until 30 June 2026 for micro and small enterprises. Further postponements are currently discussed but businesses are well advised to act timely to ensure their supply chain compliance.

The EU Ecodesign for Sustainable Products Regulation (Regulation (EU) 2024/1781 – “ESPR”), in effect since 18 July 2024, aims to make products more sustainable by design by improving durability, reusability, repairability, and recyclability.

Key features:

• Holistic scope: The ESPR covers nearly all physical products, expanding the prior focus on energy-related products under the Ecodesign Directive, and addresses the entire lifecycle from manufacturing to disposal, including components and intermediate products.
• Framework character: Delegated acts will be established to determine applicable ecodesign requirements for specific product groups.
• Ban on destruction: Introduces a ban on destruction of unsold consumer products and mandates disclosure obligations regarding this practice.
• Ecodesign criteria:
  • Product performance: Includes minimum durability, energy and resource efficiency, availability of spare parts, and minimum recycled content.
  • Product information: Requires disclosure of products' carbon and environmental footprint and repairability.

Obligations for economic operators:

• Manufacturers must meet ecodesign requirements, provide a digital product passport, include safety instructions, conduct conformity assessments, apply CE markings and ensure product traceability.
• Importers must provide their own contact details, verify manufacturer compliance and report non-compliance to authorities.
• Distributors must ensure correct documentation and labeling and provide digital instruction manuals.
• Retailers must facilitate access to necessary product information, ensure digital product passport accessibility (including for online sales), and provide product labels.
• All economic operators must provide manufacturer contact details and product identification, avoid destroying unsold consumer products, when possible, ensure proper storage and transport, and cooperate with market surveillance authorities.

Timeline and next steps for compliance:

The first ESPR Working Plan (from 16 April 2025) focuses on steel and aluminum, textiles (with a focus on apparel), furniture, tires and mattresses. Ecodesign and energy labeling standards will be established through delegated acts based on comprehensive preparatory studies and impact assessments. Stakeholders and interested parties will be engaged throughout the entire process, including participation in the newly formed Ecodesign Forum.

Most of the ESPR's requirements will be applicable 18 months after the European Commission's adoption of the respective delegated acts. As the earliest acts are expected for late 2025 or early 2026, the first product-specific requirements will likely take effect in 2027/2028. However, the acts based on the Ecodesign Directive will continue to apply, though they may be subject to review under the ESPR. For certain energy-related products, the ongoing efforts under the Ecodesign Directive are expected to persist, with the necessary requirements being finalized by no later than 31 December 2026. This will be followed by the adoption of two acts to prevent the destruction of unsold products by July 2025.

Additionally, mandatory green public procurement requirements may be introduced to boost demand for sustainable products.

Closely linked to the Ecodesign legislation, the EU Right to Repair Directive (Directive (EU) 2024/1799 – “R2RD”) came into force on 30 July 2024 and must be transposed into the national laws of the Member States by 31 July 2026. While the ESPR aims to improve the repairability of the affected product groups, the R2RD establishes a corresponding consumer right to repair and expands the supporting infrastructure to accommodate the anticipated increase in repair requests.

Key features:

• Affected Products: Products that are subject to reparability requirements and listed in Annex II of the R2RD (e.g. fridges, smartphones).
• Repair Obligations: There will be an obligation to repair outside of the statutory warranty period at reasonable prices, with a one-time warranty extension of at least 12 months triggered by a repair event (amending the Sale of Goods Directive (EU) 2019/771). All economic operators are obliged to make information on the repair obligation easily accessible throughout its duration. Repair services may be provided through outsourcing or subcontracting.
• Consumer Rights and Protection: During the warranty period, consumers can choose between replacement or repair. After the warranty period expires, they are free to select any repair service provider. Any agreements that disadvantage consumers regarding their right to repair are deemed invalid.
• Introduction of a European repair information form and establishment of a European online platform for repair to facilitate the search for repairers.

Obligations for economic operators:

• Manufacturers: Manufacturers are responsible for repairs under seller recourse during the warranty period. Outside the warranty, they must offer repair services and publish indicative prices for common repairs on their website. Product liability laws remain unaffected.
• Importers/Distributors: If the manufacturer is outside the EU, the importer or distributor assumes the repair liability outside the warranty. Within the warranty, they are responsible under seller recourse. Distributors selling to consumers will be affected by the extension of the warranty period.

Timeline and next steps for compliance:

Businesses with affected products must prepare to comply with the R2RD by the transposition deadline of 31 July 2026. This involves setting up systems to provide repair information, establishing repair service networks, and ensuring compliance with consumer rights provisions. Looking ahead, the R2RD may evolve to include additional product categories and more stringent requirements for repairability and availability of spare parts.

The EU's new Packaging and Packaging Waste Regulation (Regulation (EU) 2025/40 – “PPWR”), effective since 11 February 2025, establishes stricter rules on packaging design, labeling, and waste management to reduce reliance on primary raw materials and promote circularity. The PPWR applies to all packaging materials and affects both EU and non-EU companies, with most provisions becoming mandatory from 12 August 2026 after an 18-month transition period. The goal is to ensure all packaging is fully recyclable by 2030.

Key features:

• Design Specifications: Packaging must meet stricter limits on certain substances (e.g., PFAS), include minimum recycled content for plastic, ensure recyclability and compostability where required, minimize waste, be reusable, and comply with bans on specific packaging types.
• Labeling Requirements: Packaging must feature clear material composition and reusability labeling, harmonized EU-wide symbols, batch traceability, and QR codes on products and documents for enhanced transparency.
• Conformity Assessment: Conformity requirements apply during the production process, including technical documentation and preparation of a declaration of conformity. Packaging needs to be re-evaluated after modifications.
• Extended Producer Responsibility: The PPWR introduces stricter rules regarding producer responsibility organizations, producer registration and participation, implements deposit and return systems for beverage containers, and requires financial contribution to waste management.

Obligations for economic operators:

• Manufacturers must ensure that the packaging meets design and labeling requirements and prepare and maintain documentation, including a declaration of conformity.
• Producers are subject to the extended producer responsibility obligations (registration, system participation, financial contribution, etc.).
• Importers/Retailers must ensure proper documentation and information and may assume the role of the producer if applicable.
• Fulfilment Service Providers must verify the accuracy of the information provided to them and conduct a best effort check whether registration in the packaging register is available and need to ensure that their handling does not compromise compliance of the packaging.

Timeline and next steps for compliance:

Businesses should begin preparing for compliance by conducting audits of their current packaging practices and identifying areas for improvement. They should establish systems for tracking and reporting packaging materials, engage with supply chain partners to ensure compliance, and invest in sustainable packaging solutions.