EU faces backlash over new packaging waste rule burdening small businesses
Six weeks after its entry into force, the EU packaging waste regulation is provoking anger among small firms because it forces them to appoint a representative for extended producer responsibility in every member state where they sell.
The EU's recently enacted packaging and packaging waste regulation includes Article 17, which obliges businesses selling goods online to appoint a representative for extended producer responsibility in every member state they serve. For micro- and small enterprises that ship only a few parcels annually, the expense and administrative burden appear unjustified, prompting many to cease intra-EU deliveries and blame the rule for the disruption.
In a heated session of the European Parliament, Environment Commissioner Jessika Roswall called for an immediate solution, noting unprecedented consensus on easing the load for small firms. Parliamentarians such as Jutta Paulus and Peter Liese criticized the legislation as an overreach, while the Irish minister Thomas Byrne highlighted the Council's lack of cooperation. The Commission has indicated willingness to introduce a provisional exemption by mid-October, pending a broader circular economy law that could provide a more balanced framework.
Why it matters
The rule could force many small EU sellers to stop cross-border trade, affecting jobs and market access.
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