Fast fashion is front and center in a noteworthy legislative development in the EU that applies to all textile producers selling in the EU. Under growing political and consumer pressure, governments are stepping in to confront the environmental toll of fast fashion. Compliance is critical and penalties run high. We break it down for you here.
What is Fast Fashion?
Fast fashion refers to the business model of producing inexpensive, trendy clothing at breakneck speed to meet consumer demand. Brands like Zara, H&M, and Shein have popularized this approach by replicating high-fashion designs and delivering them to stores within weeks. The appeal lies in affordability and constant novelty—shoppers can refresh their wardrobes frequently without breaking the bank.
However, this convenience comes at a steep cost. Fast fashion relies heavily on synthetic materials like polyester, which are derived from fossil fuels and are not biodegradable. The industry contributes significantly to global carbon emissions and water pollution due to its use of toxic dyes and chemicals. Moreover, the rapid turnover encourages wasteful consumption: garments are often discarded after only a few wears, ending up in landfills around the world.
Beyond environmental concerns, fast fashion also raises ethical issues. To keep prices low, many companies outsource production to countries with lax labor laws, where garment workers—often women—are paid meager wages and work in unsafe conditions.
In essence, fast fashion is a cycle of overproduction and overconsumption. While it satisfies our desire for style and self-expression, it challenges us to consider the sustainability and humanity behind what we wear.
What is the New EU Law on Fast Fashion?
The European Union has just passed a landmark law targeting fast fashion, as part of a broader update to its Waste Framework Directive. Finalized in September 2025, this legislation is designed to curb the environmental and social damage caused by ultra-fast fashion and textile waste. Key features of the new law include:
- Extended Producer Responsibility (EPR)
All textile producers—whether based in the EU or selling via e-commerce from abroad—must now pay for the collection, sorting, and recycling of the clothing, footwear, and household textiles they place on the market. - No Exemptions for Fast Fashion Giants
Online platforms like Shein and Temu are explicitly included. These companies must comply with the same rules as EU-based brands, ensuring accountability for the massive volumes of low-cost, short-lived garments they sell. - Financial Penalties for Wasteful Design
Member states can adjust fees based on a product’s environmental footprint. Durable, repairable, and recyclable items may incur lower costs, while cheaply made, short-lived garments will be penalized. - Import Fee on Small Parcels
To combat the flood of ultra-cheap fashion imports, the EU has proposed a €2 flat fee per parcel, targeting the billions of packages entering from China annually.
This law marks a major shift toward sustainability and corporate accountability in fashion. There is no federal counterpart in the United States.
Is There a Similar Law in the US?
The United States is beginning to tackle the environmental and labor challenges of fast fashion through a mix of federal and state-level legislation.
Although there is no federal law that specifically tackles fast fashion, there are a few in the works. The Fashioning Accountability and Building Real Institutional Change Act (the FABRIC Act) is the first major federal bill targeting the fashion industry. It aims to: improve labor rights for garment workers; penalize wage theft and unsafe working conditions; and encourage reshoring of garment manufacturing to the U.S. The Voluntary Sustainable Apparel Labeling Act, reintroduced in 2025, is a federal bill that would allow brands to earn EPA-approved sustainability labels based on their carbon footprint and environmental impact.
The chances of the FABRIC Act passing under the current Trump administration appear slim based on the administration’s broader policy direction. President Trump’s second term has emphasized deregulation, reducing compliance burdens, and empowering private sector growth. His administration has actively rolled back labor and environmental regulations, favoring fewer restrictions on businesses to stimulate domestic investment and job creation. While this “America First” approach does support reshoring manufacturing—which the FABRIC Act also promotes—it diverges sharply when it comes to increased oversight, mandatory wage protections, and national registries for garment manufacturers.
In the absence of federal action, states have stepped in. California and New York passed laws banning textile articles and apparel containing per- and polyfluoroalkyl substances (PFAS, or “forever” chemicals) – both are effective as of January 1, 2025. While sellers and manufacturers have a grace period until the prohibition takes place, the penalties run high. In New York, for example, violators of the law may incur civil penalties up to $1,000 for each day the violation continues and up to $2,500 for a second violation.
California is also leading the way in terms of end-of-life management of their products. The Responsible Textile Recovery Act is California’s pioneering extended producer responsibility (EPR) law, passed in 2024 and effective in 2025, which holds apparel and textile manufacturers responsible for collecting, repairing, and recycling their products after use. The law mandates that producers join or form a Producer Responsibility Organization (PRO) to create a plan that diverts textiles from landfills and incinerators, shifting the burden of disposal from consumers to the businesses that create these products. New York currently does not have an active, enacted textile EPR law, although multiple legislative efforts have been made.
Questions? Contact Dunnington’s Fashion Practice Chair, Olivera Medenica, at OMedenica@dunnington.com.
