19/12/2025
Briefing

These changes seek to increase sustainability both in product manufacturing and distribution, while keeping abreast with continued digital evolution. The key 2025 updates are outlined below:

Ireland’s transposition of the Product Liability Directive

The major changes introduced by the revised EU Product Liability Directive (Directive (EU) 2024/2853) (the “Product Liability Directive”) were explained in our previous briefing, The EU Rings in New Changes for Product Liability and Product Safety, namely:

  • the expansion of the definition of “product” from purely tangible items to include digital files, software, and AI-enabled goods;
  • the introduction of a new concept, “economic operators”, which encompasses product manufacturers, importers, and distributors;
  • the recognition of psychological harm from defective products as a ground for damages;
  • the increase of the claim limitation period from 10 years to 25 years in some cases; and
  • the introduction of a presumption of defectiveness or no-fault liability in certain circumstances.

Once implemented, the Product Liability Directive is likely to have significant litigation implications. The inclusion of technological and digital products, presumption of defectiveness, and increased limitation periods may result in an increased number of consumer claims. Article 5 of the Product Liability Directive also mandates Member States to ensure that any person who suffers damage by a defective product is compensated. These developments, when taken together, may expose “economic operators” to higher levels of litigation risk.

The Liability for Defective Products Act 1991 will remain in force for products placed on the market prior to 9 December 2026 but the new regime under the Product Liability Directive will apply to products placed on the market after that date. We are awaiting the draft domestic legislation that will implement the Product Liability Directive. At this time there is no clear timeline as to when this will be published. However, the Department of Enterprise and Trade announced in a Department Transposition Timetable in March, and confirmed by way of a further Department Transposition Timetable in June (PDF, 166 KB), that while it is assessing the transposition requirements, the Product Liability Directive’s transposition deadline of 9 December 2026 is expected to be met.

Update on the EU Ecodesign for Sustainable Products Regulation

The Ecodesign for Sustainable Products Regulation (the “ESPR”) commenced on 18 July 2024, replacing the 2009 Ecodesign Directive (the “2009 Directive”). The ESPR establishes a framework for the European Commission to introduce sustainability requirements for products sold in the EU.

The 2009 Directive applied only to energy-related products, whereas the ESPR has expanded its coverage to include nearly all physical products, with the exception of food and medical products. The new mandatory product requirements will target product durability, reliability, and repairability, and restrict the presence of substances in products which inhibit circularity. Digital ‘product passports’ will also be introduced. These passports will link products to their circularity and sustainability data.

In April 2025, the European Commission adopted its first working plan for 2025-2030, which identifies priority product groups for the introduction of ecodesign requirements. The priority products include:

  • Four final product groups: textiles/apparel (2027), tyres (2027), furniture (2028), and mattresses (2029)
  • Two intermediate product groups: iron and steel (2026) and aluminium (2027)
  • Two horizontal requirements: repairability (2027), with product scope still to be determined, and recycled content and recyclability of electrical and electronic equipment (2029)
  • A list of 16 energy-related products carried over from the earlier Ecodesign Directive, including dishwashers (2026), EV chargers (2028), fridges and freezers (2028), electric motors (2028), and mobile phones and tablets (2030)

The working plan provides indicative timelines for the adoption of delegated acts setting out specific ecodesign requirements for each product group. Whilst the delegated acts have not yet entered into force, the publication of the working plan provides greater certainty regarding the Commission’s priorities and implementation timeline.

The ESPR marks a paradigm shift from a litigation perspective. Where product liability claims previously arose from safety defects, the ESPR could result in claims being brought for failure to meet a broad range of sustainability criteria. Additionally, the mandatory Digital Product Passport requirements, which will come into effect progressively for different product groups starting from 2026, will significantly enhance product traceability and transparency throughout supply chains, potentially creating new bases for liability claims related to sustainability data accuracy and completeness.

EU Commission’s revision of the New Legislative Framework (NLF)

The European Parliament Committee on the Internal Market and Consumer Protection recently published an own-initiative Draft Report on a new legislative framework for products that is fit for the digital and sustainable transition (PDF, 167 KB) urging the European Commission to revise the New Legislative Framework (“NLF”). The NLF, which was originally adopted in 2008, sought to ensure consistency in product legislation in the single market. The Committee reports that, given the urgency of the ecological transition, and the accelerating deployment of digital technologies, revisions must be made to the NLF which embed the key principles of circularity, durability, and transparency.

On 21 October 2025, the European Parliament adopted the report as a resolution under procedure 2024/2119 (INI).

In the Commission’s 2026 Work Programme, it announced a review of the NLF as part of a broader “European Product Act” package, with a legislative proposal anticipated for Q3 2026. The Commission conducted a call for evidence from 14 July to 2 September 2025, which received 133 responses. A public consultation was launched on 12 November 2025 and will run until 4 February 2026.

The Commission has indicated that it intends to use the NLF revision as a vehicle to roll out requirements for Digital Product Passports (“DPPs”) to become the main tool for sharing product information across CE-marked products in the EU. The revision is expected to address mandatory DPPs, revised conformity assessment processes, alignment of definitions with other EU legislation (including the Market Surveillance Regulation (EU) 2019/1020), strengthened oversight of notified bodies, clearer responsibilities for refurbished and second-life goods and ensuring timely and consistent responses to non-compliant products across Member States.

The recommendations of the Committee being adopted represent further evidence of the EU’s prioritisation of sustainability amidst continued digital evolution. We will continue to monitor developments and proposed amendments to the NLF.

General Product Safety Regulation (EU) 2023/988

Building upon the EU’s broader regulatory modernisation efforts, the General Product Safety Regulation (EU) 2023/988 (“GPSR”) which was discussed in our briefing The EU rings in new changes for product liability and product safety, came into effect on 13 December 2024, replacing the General Product Safety Directive. Like the revised Product Liability Directive and the UK’s Product Regulation and Metrology Act 2025, the GPSR extends safety obligations to digital products, software, and online distribution channels, creating a comprehensive safety framework that complements the liability regime.

The GPSR applies to all consumer products placed on the EU market since 13 December 2024, including used, repaired and reconditioned items with limited exemptions for medicinal products, food, and antiques. Significantly, the regulation introduces “economic operators” as a defined category – mirroring the Product Liability Directive’s approach – and extends obligations to fulfilment service providers and online marketplace providers for the first time.

Key compliance obligations

Manufacturers must conduct internal risk analyses for all products and retain technical documentation for at least 10 years. This documentation requirement becomes critical in light of the Product Liability Directive’s disclosure provisions and presumption of liability for failure to produce relevant documents. The GPSR codifies “significant alteration” whereby any party making substantial physical or digital changes assumes manufacturer responsibilities, necessitating fresh risk assessments – particularly relevant for AI-enabled goods and software updates.

Enhanced safety criteria now account for cybersecurity features, AI elements, product presentation and appeal to children. These considerations align with the ESPR’s focus on digital product passports and product lifecycle management.

2025 enforcement developments

Following the GPSR’s entry into force, national authorities across Member States have begun implementing enhanced inspection powers. The European Commission published guidance in early 2025 clarifying the application of the “responsible person” requirement for non-EU manufacturers, emphasising that online sellers targeting EU consumers must appoint an EU-based representative with full compliance authority. The renamed “Safety Gate” system has processed significantly increased notifications in the first quarter of 2025, reflecting heightened market surveillance activity.

Member States are currently transposing penalty provisions, with several jurisdictions – including Germany and France – announcing substantial fines for non-compliance. In Ireland, the Competition and Consumer Protection Commission (“CCPC”) is the designated market surveillance authority responsible for GPSR enforcement. Whilst the GPSR is directly applicable in Ireland it has been transposed into Irish law by the European Union (General Product Safety) Regulations 2024 [S.I. No. 726/2024].

The GPSR mandates direct consumer notification for recalls and introduces a “product safety remedy right”, requiring operators to offer repair, replacement or full refund free of charge. Combined with the Product Liability Directive’s expanded grounds for damages and the ESPR’s sustainability requirements, these provisions substantially increase litigation risk and compliance costs for economic operators.

Online marketplace providers face particular scrutiny, with obligations to establish central contact points for authorities, implement traceability systems and directly contact affected consumers using collected data. Early 2025 enforcement actions have demonstrated authorities’ willingness to hold platforms accountable for failures in these areas. Non-EU manufacturers selling online must appoint an EU-based “responsible person” and meet enhanced labelling requirements.

EU Toy Safety Regulation (EU) 2025/2509

Continuing the EU’s regulatory modernisation efforts to address sustainability and digital evolution, the Toy Safety Regulation (EU) 2025/2509 was adopted on 26 November 2025 and published in the Official Journal on 12 December 2025. The regulation repeals Directive 2009/48/EC and introduces significantly stricter requirements for toy manufacturers, importers and distributors. By shifting from a directive to a regulation, the EU ensures direct and uniform application across all Member States without requiring national transposition.

Key provisions

The regulation introduces comprehensive chemical restrictions, prohibiting CMR substances (carcinogenic, mutagenic or toxic to reproduction), endocrine disruptors (Categories 1 and 2), respiratory and skin sensitisers, Specific Target Organ Toxicity (STOT) substances, and intentional use of PFAS (“forever chemicals”). Notably, the regulation bans 10 specific bisphenols (potentially expanding to 34) and reduces the BPA migration limit by 87.5% from the previous threshold.

Aligning with the ESPR’s Digital Product Passport framework, the regulation replaces traditional EU declarations of conformity with mandatory Digital Product Passports accessible via QR codes on toys or packaging. This enhances transparency for consumers whilst facilitating market surveillance and customs checks.

For connected toys incorporating microphones, cameras, or AI features, manufacturers must conduct additional safety assessments addressing mental health risks and cybersecurity requirements under the AI Act, Cyber Resilience Act and Radio Equipment Directive.

Implementation timeline

The regulation becomes effective on 1 January 2026, with provisions on conformity assessment bodies and Digital Product Passports applying immediately. Full applicability commences on 1 August 2030, following a 54-month transition period allowing economic operators to adapt compliance systems.

Compliance considerations

Mirroring the GPSR’s approach to economic operators, affected businesses must immediately begin preparing for enhanced chemical testing protocols, Digital Product Passport implementation and comprehensive safety assessments covering chemical, mechanical, electrical, fire, hygiene and radiation risks. Online marketplace providers face particular obligations to ensure CE marking visibility, safety warnings and DPP accessibility for all toy listings.

UK Royal Assent of the Product Regulation and Metrology Act 2025

The Product Regulation and Metrology Act 2025 (the “Act”) received Royal Assent on 21 July 2025 and became law. The Act establishes a new legal framework for product safety in the UK and specifically targets products sold on online marketplaces.

Most significantly, this framework legislation empowers the UK Secretary of State to develop regulations which align with EU product regulations for the purpose of mitigating the environmental impact of products. The Product safety: checks and balances on developing policy and legislation guidance which was published by the UK government following the enforcement of the Act states that the new legislation provides the UK with the “choice to either recognise updates to certain EU product requirements, or to end recognition of these requirements”.

Notably, the Act explicitly extends product safety regulation to include “intangible components” such as software, marking a significant expansion of the UK’s product safety framework to address modern digital products and products with software components in a manner comparable to the approach the Product Liability Directive adopts across the EU.

Looking ahead

The convergence of Ireland’s pending Product Liability Directive transposition (deadline 9 December 2026), the UK’s Product Regulation and Metrology Act 2025, and the EU’s ESPR implementation timeline creates unprecedented compliance pressures for product manufacturers and distributors operating across these jurisdictions. Businesses face substantially heightened liability exposure spanning digital products, software components, sustainability criteria and cybersecurity features, whilst navigating expanded limitation periods, presumptions of defectiveness and mandatory Digital Product Passport requirements that enhance product traceability throughout supply chains.

With enhanced market surveillance activity already evident in early 2025 enforcement actions and substantial penalties being introduced across Member States, economic operators should immediately conduct gap analyses of existing compliance frameworks, particularly regarding technical documentation retention, risk assessment protocols for digital alterations and online marketplace obligations.

For tailored guidance on navigating these evolving regulatory requirements and managing litigation risk exposure, please contact the Arthur Cox Product Liability Disputes Group or Life Sciences Group.