New Requirements for Product Safety under GPSR
The new EU Product Safety Regulation, abbreviated as GPSR, will replace the previous Product Safety Directive from 2001 as of December 13, 2024, and will apply across the entire European Union. With the new EU directive on product safety (Regulation 2023/988), the aim is to address new safety requirements arising from increasing digitization and growing online trade.
The EU Product Safety Regulation aims to ensure that only safe products are placed on the market, even during times of increasing online commerce. This regulation applies to products for which there are currently no specific safety regulations, explains the law firm MTR Legal, which has extensive experience in commercial law.
Fulfillment Service Providers and Online Marketplace Operators
The new EU Product Safety Regulation was published in the EU Official Journal in May 2023 and will come into effect immediately in all EU member states after a transition period on December 13, 2024. The GPSR is designed to ensure that only safe non-harmonized consumer products continue to be placed on the market. Retailers and manufacturers must therefore prepare for some changes.
The GPSR primarily affects all economic operators operating within the EU. Previously, manufacturers, authorized representatives, importers, and retailers were mainly responsible for product safety. However, this group has been expanded in the new regulation. Fulfillment service providers and online marketplace operators are now also included in safety-related obligations. Additionally, the definition of a manufacturer has been revised to include individuals who place a product on the market under their name or trademark.
Scope of the EU Product Safety Regulation
The regulation applies to products for which there are currently no specific safety provisions. All relevant aspects of a product will be evaluated for the assessment of product safety. The evaluation criteria are defined in Article 6 of the GPSR. These include the appearance and technical characteristics of a product, its composition, and its packaging. A new aspect is that the interaction with other products will also be evaluated. Further criteria include the presentation of a product concerning age labeling and warning notices, as well as information on safe use and disposal. Additionally, it will be assessed whether the product’s appearance could mislead consumers into using it for purposes other than its original intention, for instance, if children might mistake it for food due to its shape and color. Moreover, aspects of cybersecurity must also be considered, and if necessary, the evolving, learning, and predictive functions of the product.
The relevant time for assessing product safety is, at least in the case of distance selling, the point at which the product is offered for sale online.
Significant Change
A new aspect is that the element of significant change is taken into account in the product safety regulation. This means that anyone who significantly alters a product, whether physically or digitally, is also considered a manufacturer. Significant changes to the product occur when the modification affects product safety. For example, this may be the case if the product has been altered in a manner not considered in the original risk assessment, or if a new or modified hazard arises from the change.
Obligations of Manufacturers
Manufacturers must conduct an internal risk analysis for each product and create technical documentation that includes the identified risks. They must also provide a description of the product and the elements necessary for safety. Furthermore, the regulations on product traceability have been tightened, and corrective measures must be taken immediately, if necessary, along with fulfilling reporting obligations.
If the product is sold online, the manufacturer must be identified at the time of listing the offer, providing the trade name, postal address, and email address.
Product Recall and Remedial Measures
If a product recall is necessary, consumers must be informed directly and promptly through all available communication channels.
For products that pose a serious risk to the safety and health of consumers, the Commission may establish a traceability system that economic operators must adopt for these products.
Additionally, the economic operator responsible for the recall is obliged to offer remedial measures. They must provide consumers with the option to either repair the recalled product, replace it with an adequate safe product, or compensate them with a value equivalent to the product’s purchase price, provided the value is at least equal to the purchase price.
The EU Product Safety Regulation will come into effect on December 13, 2024. Affected economic operators should therefore prepare for the changes and requirements promptly.
MTR Legal advises on the Product Safety Regulation and other topics in commercial law.
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