Can Policy Rescue Circular Fashion From Its ‘Economic Trap’?

Can Policy Rescue Circular Fashion From Its ‘Economic Trap’?

As resale and repair struggle under outdated tax and labor rules, a coalition of fashion and textile businesses is calling for smarter policy levers to help circular models scale.

H&M, Primark and Zalando urge tax reform for clothing resale

A coalition of 68 organisations, including H&M Group, Primark and Zalando, has called on governments to reform the economics of clothing resale and repair.  The group argues that current tax systems favour the production of new garments over the maintenance of existing stock. It is also urging officials in the EU, US and Canada to reduce VAT and sales taxes on resold products.  It also proposes lower labour taxes and tax credits for businesses c…

Primark and H&M Group among retailers pressing governments on circular economy policies

Drapers Primark and H&M Group among retailers pressing governments on circular economy policies Fashion retailers including Primark, H&M and Zalando have signed a statement from the Ellen MacArthur Foundation calling on governments to support resale and repair infrastructures, as new research from the non-profit shows businesses are still incentivised to use new resources over circularity.The post Primark and H&M Group among retailers pressing g…

Primark, H&M and Vinted urge governments to stop penalising resale

Some of fashion’s biggest retailers and resale platforms including Primark, H&M and Vinted are urging governments to overhaul tax rules and labour costs to help make circular fashion commercially viable. Arc’teryx, Etsy and Zalando are also among the 68 organisations calling for policy changes across the EU, US and Canada, as new research from the Ellen MacArthur Foundation suggests resale and repair models are being held back by unfavourable ec…