Beijing has urged Paris to immediately halt the law, calling it discriminatory and warning that the legislation could violate World Trade Organization rules on non-discrimination
China on Thursday warned France of “necessary measures” after Paris began enforcing a new law imposing environmental penalties on ultra-fast-fashion retailers.
China’s Ministry of Commerce said the legislation unfairly applies environmental and sustainability criteria to Chinese businesses and could amount to a discriminatory trade restriction.
“China urges France to immediately halt the implementation of the anti-ultra-fast-fashion law,” ministry spokesperson Huang Ling said at a regular press briefing, according to Euronews.
Huang said Beijing was “strongly dissatisfied” with France’s decision to proceed with the measure and argued that it could breach the World Trade Organization’s non-discrimination principle.
“If France insists on proceeding, China will take necessary measures to safeguard the legitimate rights and interests of Chinese enterprises,” she said, adding that France would “bear all consequences arising from this”.
What is France’s fast-fashion law?
France’s legislation is aimed at reducing the environmental impact of the ultra-fast-fashion business model, which relies on large product ranges, frequent launches and low prices.
The law was definitively adopted by the French Parliament in June and promulgated on 8 July. Its financial penalty provisions began taking effect on 1 September 2026.
Under the law, financial contributions paid by producers of clothing, footwear and household linen can be increased depending on the breadth of their product range, the frequency of new offerings and the extent to which consumers are encouraged to repair products rather than replace them.
More from BusinessThe legal penalty range for 2026 is between €0.25 and €12 per product. The ceiling rises progressively, reaching €20 from 2030. The law also allows the penalty to be capped at 50 per cent of a product’s pre-tax selling price.
France’s implementing rules set different penalties for different categories. For instance, the schedule provides for penalties of up to €12 for coats and jackets in 2026, while lower-value items face smaller charges.
The charge is imposed on producers and not directly on consumers. However, companies can pass some or all of the additional cost on through higher prices, potentially making low-cost products more expensive.
China sees a trade issue
China argues that France is using sustainability criteria to impose what it sees as unequal treatment on foreign companies. The commerce ministry has warned that the approach may run counter to WTO rules, turning what Paris presents as an environmental measure into a broader trade dispute.
France, meanwhile, has defended the policy as part of its attempt to discourage disposable consumption and promote more durable and repairable products. The country has also described the approach as a way to counter the rapid expansion of ultra-fast-fashion platforms.
The dispute comes as the European Union is tightening scrutiny of low-cost cross-border e-commerce.
Under the EU’s textile Extended Producer Responsibility framework, all member states are required to introduce textile-related producer contributions by 17 April 2028. France is moving ahead with its own system, with the Refashion organisation responsible for managing collection of the charges and determining the companies liable.
