The German Textiles Act – How to Ensure Business Compliance

With the planned Textile Act, Germany’s textile and fashion market is facing its biggest shake-up in decades. The regulation is based on EU Directive 2025/1892, which entered into force in October 2025 and must be transposed into national law by June 2027.

The changes brought about by this new Textile Act will affect far more than just manufacturers. In the future, importers, private label retailers, and foreign online providers will also be classified as manufacturers. This measure aims to tackle the flood of fast fashion products that have poured into the European market in recent years. At Deutsche Recycling GmbH, we advise companies on environmental compliance and keep you up to date with the latest regulatory changes.

Under the new directive, all EU member states are required to transpose textile regulatory measures into national law. In Germany, this process is currently ongoing. However, the existing key points paper is scheduled to be converted into an active law right on time for summer 2027.

What is behind the planned 2027 Textile Act?

Since January 2025, municipalities have been required to collect waste textiles separately. At the same time, collection and sorting facilities are coming under severe financial pressure. Volumes are rising, quality is dropping, and fast-fashion items can barely be processed in an economically viable way. Therefore, a new solution for textile EPR (Extended Producer Responsibility) is desperately needed.

This is exactly where Germany’s new Textile Act comes in. It applies the “polluter pays” principle to the textile sector—just as the Packaging Act and the Battery Act have done for other product groups for a long time. Previously, a brand’s responsibility ended at the shop counter. In the future, it will extend all the way to the clothing container, sorting plant, and recycling facility.

To map out the specific details of the German Textile Act, the Federal Ministry for the Environment presented a key points paper in March 2026 and subsequently evaluated around 90 statements from stakeholders. The draft bill was announced for autumn of the same year. Until then, mandatory registration requirements do not yet apply. However, we highly recommend that companies start making internal preparations now so that future regulations and rules can be implemented efficiently and legally.

Who is affected by the Textile Act in Germany?

The term “manufacturer” has deliberately been given a broad definition. A manufacturer is now any company that makes textiles available on the German market for the first time – regardless of whether they actually product the goods themselves.

Against this background, the changes for e-commerce are particularly significant. The groundwork has already been laid with stricter control requirements for online marketplaces and fulfillment service providers. In the future, they will be required to verify whether their sellers are properly registered. Failing to register will then cost not only a fine but potentially lead to the loss of vital sales channels. According to the current status, second-hand shops, social enterprises, and clothing banks will remain exempt as long as they pass on wearable clothing.

A detailed look at the quotas and eco-modulation of the new Textile Act

The planned Textile Act in Germany will shift the organization of waste collection to Producer Responsibility Organizations, which are funded via manufacturer fees. Each PRO will be required to reach a collection rate of 70 percent, measured against the volume of products placed on the market by its member manufacturers in the previous year. The plans also outline a nationwide network featuring at least one collection point per 1,000 inhabitants.

For most companies, eco-modulation will be the most financially noticeable aspect. Fee amounts will not be determined solely by the volume placed on the market, but also by criteria such as durability, repairability, and reusability. As a result, product design becomes a direct cost factor—a concept already being rolled out for electronic devices via the repairability score. To better inform consumers and ensure transparency, the digital product passport for textiles will also serve as a vital tool. Companies that optimize their material selection, manufacturing quality, and material purity today will successfully lower their future compliance fees.

What deadlines do you need to keep in mind for the Textile Act up to 2027?

While the Textile Act in Germany is slated for 2027, it is not the only regulatory update textile companies must navigate. Since July 2026, the EU Ecodesign Regulation has banned the destruction of certain unsold clothing and footwear—initially targeting large corporations. Added to this are steadily growing demands on verification and reporting processes. Companies often lack the crucial infrastructure – especially on an international level—to ensure full compliance. It is therefore highly beneficial to stay on top of these bureaucratic and legal changes and react early.

Despite the different requirements applicable to specific product groups, there are also uniform provisions under the Ecodesign Directive 2009/125/EC that apply across product categories. For example, documentation of resource consumption – including life-cycle assessment – must be carried out for all energy-related products.

Securing compliance by preparing for the German Textile Act

Acting now regarding the planned Textile Act in Germany creates crucial breathing room. First, clarify your role in the supply chain: Are you placing the goods on the market yourself, or do you exclusively distribute products from registered manufacturers? Next, set up a reliable volume tracking system and review your contracts with suppliers, platforms, and service providers regarding responsibilities and cost absorption. At Deutsche Recycling GmbH, we help you integrate the German Textile Act into your environmental compliance strategy early on – feel free to contact us.