CEAP is a package of circular product practices across seven key product value chains. Many regulations and policies implementing this Plan apply to all related products (regardless of whether they are within the EU or imported from outside). Therefore, CEAP and the documents concretizing CEAP are and will significantly affect related goods entering the EU from outside, including exported goods from Vietnam.

Several groups of implementing measures have been deployed by the EU within the framework of CEAP that have a significant impact on goods imported into the EU (including goods from Vietnam):

1. EU Strategy for Sustainable and Circular Textiles (EUSSCT)

• Progress: The EUSSCT was published by the European Commission on March 30, 2022.

• Content: The EUSSCT defines specific policy orientations for green transition and sustainable development throughout the textile value chain. This serves as a crucial basis for EU agencies to develop specific legal regulations detailing the rights and obligations of stakeholders in the textile value chain. It also provides a clear framework for global textile businesses to understand the EU's future policy direction, enabling appropriate preparation.

2. Directive 2024/825 of February 28, 2024, empowering consumers for the green transition through better protection against unfair practices and through better information (Empowering Consumers Directive)

• Progress: This Directive was published in the EU Official Journal on March 6, 2024, and entered into force on March 26, 2024.

• Content: The Directive includes amendments to existing legislation to provide EU consumers with more comprehensive product information, empowering them to make green and environmentally friendly purchasing decisions. Specifically, manufacturers and traders must (i) provide more detailed information about product durability, repairability, and sustainability; (ii) refrain from planned obsolescence practices[1]; and (iii) ensure the use of only verified sustainability labels.

3. Regulation 2024/1781 of June 13, 2024, establishing a framework for the setting of ecodesign requirements for sustainable products (Ecodesign Regulation)

• Progress: This Regulation was published in the EU Official Journal on June 28, 2024, and entered into force on July 18, 2024.

• Content:

  • Scope: Replacing the existing Ecodesign Directive, this Regulation (i) covers all manufactured products except food, feed, medicinal products, and living plants and animals (instead of only energy-related products); and (ii) implements uniform regulations across the EU (instead of member state-specific regulations).

  • Regulations: The new Regulation (i) establishes specific ecodesign requirements for each product group, tailored to their lifecycle characteristics, through minimum criteria ensuring durability, reliability, reusability, repairability, energy efficiency, and recyclability of certain components; (ii) provides guidance on refurbishment, recycling, and recovery; (iii) introduces a digital product passport (requiring each product to have a digital passport providing access to relevant product information).

4. Regulation 2023/1542 of July 12, 2023, concerning batteries and waste batteries (Batteries Regulation)

• Progress: This Regulation was published in the EU Official Journal on July 28, 2023, and entered into force on August 17, 2023.

• Content:

  • Scope: Applies to all types of batteries (regardless of shape, volume, weight, design, material composition, use, or purpose), including batteries integrated into or added to products.

  • Regulations: Sets mandatory requirements for batteries sold in the EU market (including both EU-produced and imported batteries), encompassing sustainability, safety, marking, and labeling requirements; minimum requirements for extended producer responsibility; collection and treatment requirements for waste batteries; pre-market conformity assessment obligations; and green public procurement requirements for batteries and battery-containing products.

5. Extended Producer Responsibility (EPR) Regulations

• EPR programs are a policy tool implementing the EU Waste Framework Directive and the Packaging and Packaging Waste Directive. Producers are held financially responsible, partially or fully, for the management of waste generated from the use of their products by paying a fee to the country responsible for waste treatment. The goal of EPR is to incentivize producers to design and manufacture products that minimize waste generation.

EPR is currently applied in the EU but is limited to certain product groups (e.g., batteries, accumulators, vehicles).

• Under the Green Deal, the EPR program may be adjusted to expand its scope (e.g., applying to packaging waste from all products) and accelerate its implementation. By the end of 2024, all EU member states are expected to have individual EPR plans for packaging waste, applicable to both domestic and imported products consumed in their markets.

Source: Center for WTO and International Trade - VCCI 

The following documents are attached for your reference:

• Regulation 2023.1542
• Regulation 2024.1781
• Directive 2024.825
• Eu Strategy For Sustainable And Circular Textiles

• Challenges Posed by CEAP to Vietnamese Exports and Related Recommendations
• Long-Term Opportunities for Vietnamese Exports from CEAP