EU: Substantial reform of European products

in short

On December 13, 2024, the new Regulation (EU) 2023/988 on General Product Safety (GPSR) will finally apply to all EU member states, replacing the current Directive 2001/95/EC on General Product Safety (GPSD).

GPSR addresses risks associated with new technologies and online transactions, covering a wide range of products. It represents the most comprehensive reform of European product safety law in more than 20 years and will affect most economic operators on the EU market (manufacturers, importers, distributors, fulfillment service providers, etc.).

On December 13, 2024, after an 18-month transition period, the new Regulation (EU) 2023/988 of the European Parliament and of the Council on general product safety will finally apply to all EU member states. At the same time, Directive 2001/95/EC of the European Parliament and of the Council of 3 December 2001 on general product safety will be repealed. In contrast to the previous GPSD, the new GPSR – like all EU regulations – will apply directly to EU member states. Therefore, there is no need to translate it into national law. GPSD-compliant products placed on the market before December 13, 2024 will still be allowed.

Generally speaking, GPSR applies to all consumer goods There are no specific provisions in EU law with the same objective regulating the safety of the products in question when placed or made available on the EU market. Only certain product types are completely exempt from GPSR (for example, pharmaceuticals for human or veterinary use, food, feed, plant protection products and antiques).

Only some of the rules in the GPSR apply to products subject to specific requirements set out in so-called EU harmonization legislation. This is particularly important for all products requiring CE marking, such as radio equipment, toys, pressure equipment, machinery and electrical equipment.

In this context, the most important aspects of GPSR are as follows:

• According to Art. Paragraph 9. According to GPSR 2, before placing a product on the market, manufacturers must conduct an internal risk analysis and draft a technical document containing at least a general description of the product and its essential characteristics relevant to the assessment of its safety. Under the former GPSD, there was no such general risk analysis obligation.
• According to Art. 4 GPSR, a product is deemed to be sold on the market if it is sold online or through other distance selling methods and is targeted at EU consumers. An offer for sale will be deemed to be directed to EU consumers if the relevant economic operator directs its activities in any way to one or more Member States. This means GPSR may even work for online sellers outside the EU.
• Manufacturers and importers must indicate their name, registered trade name or registered trade mark, postal and electronic address, and, if different, the postal or electronic address of the single point of contact through which they can be contacted. This information should be placed on the product or, if this is not possible, on its packaging or in the documentation accompanying the product.
• According to Art. 14 GPSR, all economic operators should ensure that they have appropriate internal processes for product safety.
• Art. 15 The GPSR requires economic operators to cooperate with market surveillance authorities in order to eliminate or mitigate risks posed by their products.
• According to Article 16 of the GPSR, no product covered by the GPSR may be placed on the market unless an economic operator responsible for the product is established in the EU.
• Art. Order 18 enables the Commission to establish specific traceability requirements for certain products, categories or product groups by adopting their respective delegated acts.
• Art. 19 GPSR provides new information requirements for economic operators offering products online. For example, all online stores are now required to clearly and visibly display warnings or safety information related to the products they offer.
• Art. 20 GPSR introduces new obligations for economic operators in the event of accidents related to product safety.
• Art. 22 The GPSR sets out specific obligations of online marketplace providers in relation to product safety. In particular, such suppliers must support product recalls and cooperate with law enforcement agencies at EU and national levels. In addition, they must also suspend services to traders who frequently offer products that are not GPSR compliant.
• Art. 35 GPSR sets out specific information obligations of economic operators and online marketplace providers to consumers in the event of a product “safety recall” or “safety warning”.
• Art. 36 GPSR introduces “Recall Notices”. This means that the content and format of product safety recall information is now regulated in great detail. For example, recall notices must avoid any elements that might reduce consumers’ perceptions of risk, such as indicating that an accident has not been reported.
• Finally, GPSR also reformed the existing rapid information exchange system (RAPEX) to enable more effective corrective measures across the Union for products that pose risks beyond the territory of a single member state. The new system is now called “Safety Door” and consists of three parts: “Safety Door Rapid Warning System”, “Safety Door Portal” and “Security Business Gateway”.

From December 13, 2024, GPSR will be directly applicable to all EU member states. There will be no further transition period and no need for its rules to be translated into national law. Therefore, all economic operators operating on the EU market should review whether their activities are affected by GPSR and, if so, establish a pathway to comply with the new product safety regime. This is particularly important for all economic operators who sell products on the market online or through other distance selling methods. The same applies to providers of online marketplaces, who will soon face a number of specific obligations related to product safety.

Some details of the new rules set out in the GPSR will be the subject of a delegated or implementing act adopted by the European Commission. Therefore, it is also recommended that economic operators pay close attention to the future development of GPSR.