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ECGT Compliance in Germany: What Fashion Brands Need to Know

German transposition of EU Directive 2024/825 — deadlines, authorities, fines, and why Germany enforces more strictly than France or Spain.

Last updated: June 2026

When does what apply in Germany?

1

March 2024

EU adopts ECGT Directive 2024/825

The Directive enters into force on 26 March 2024.

2

March 2026

Germany transposition deadline

The German legislature must transpose the Directive into national law by 27 March 2026 (primarily via the UWG).

3

September 2026

Enforcement begins in Germany

From this date, active monitoring and prosecution by market surveillance authorities commences.

4

Ongoing

Regulatory checks

Regular reviews — particularly in the fashion industry, which is classified as a high-risk sector.

Who enforces in Germany?

State Market Surveillance Authorities

Primary enforcement authority

Each federal state has its own market surveillance authorities (e.g. Regional Councils, Trade Supervision Offices). They conduct product checks and website audits.

Federal Cartel Office

Competition law cases

For dominant companies or systemic violations, the Federal Cartel Office may intervene — particularly for competition-distorting greenwashing practices.

Wettbewerbszentrale / IDO

Competitor cease-and-desist notices

Competitors and associations can independently issue notices and file injunctions — without waiting for authorities. This is particularly active in Germany.

LKA / Customs

On product import

For physical products with misleading greenwashing labels, customs authorities and state criminal investigation offices may also act.

What is the UWG — and how does it relate to ECGT?

Unfair Competition Act (UWG) is Germany's central instrument against misleading advertising. Sections 5 and 5a UWG already prohibit misleading business practices — including unsubstantiated environmental claims.

The ECGT transposition will supplement the UWG with a new Annex I that explicitly lists the EU's prohibited practices (Annex I, 4a–4d). This means: authorities and claimants no longer need to argue in general terms — they simply point to the list. This significantly increases the enforcement risk.

Fines in Germany — in detail

Violation TypeLegal BasisSanction
Generic environmental claim without proofUWG § 5 + ECGT Annex I, 4aInjunction + up to 4% revenue
Carbon neutrality claim via offsetUWG § 5 + ECGT Annex I, 4cWarning, fine up to €40,000 (startup) or 4%
Misleading comparisonUWG § 5a + UCPD Art. 7Injunction, damages possible
Future promise without milestone planUWG § 5 + UCPD Art. 6Warning + fine on repetition
Repeated violationUWG + regulatory orderEnforcement fine up to €250,000 possible

What is different from France / Spain?

AspectGermanyFranceSpain
Enforcement rigourVery strict — Germany has a strong cease-and-desist culture under competition law.Moderate — AGEC (plastic) already strict, greenwashing still developing.Less active — CNMC not yet specialised in greenwashing.
Cease-and-desist cultureHighly active — competitors and associations sue independently.Low — authorities act primarily; few private lawsuits.Low — consumer authorities dominate.
National supplementary lawsUWG § 5, § 5a (misleading), UWG reform expected from 2026.Loi Climat et Résilience (2021) + AGEC already in force.Ley de residuos — less focused on claims.
Responsible federal authorityDecentralised: state authorities + Federal Cartel Office.Centralised: DGCCRF (Direction Générale de la Concurrence).CNMC at national level.

Conclusion: Germany has one of the most active cease-and-desist cultures in the EU. While in other countries primarily authorities act, here competitors and associations can sue independently and quickly — often before regulatory enforcement begins.

Frequently Asked Questions

Do small German online shops also need to comply with ECGT?

Yes. The Directive applies to all traders selling products or services to consumers in the EU — regardless of company size or location.

Does ECGT also apply to Amazon Marketplace sellers?

Yes. Marketplace product descriptions on Amazon.de, Zalando, or other platforms are also subject to ECGT. Platform operators are not automatically liable; the seller remains responsible.

What is the difference between ECGT and the existing UWG?

The UWG (Unfair Competition Act) already applies today. The ECGT transposition will supplement the UWG with specific prohibitions from Annex I and clearer definitions of what constitutes 'misleading'.

Who has already initiated green claims proceedings in Germany?

Before ECGT, organisations including Deutsche Umwelthilfe (DUH) and the Wettbewerbszentrale have initiated proceedings against companies for misleading sustainability advertising (e.g. Katjes – Federal Court of Justice ruling 2024, dm-drogerie markt, Lidl).

Do I need to register with the German Institute for Standardisation (DIN) or the Federal Environment Agency?

No. ECGT does not require active registration. However, you must ensure that every environmental claim is backed by a recognised certificate verified by an accreditation body.

Further Reading

Compliance for the German market

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