Fashion
3 luxury brands fined for anti-competitive pricing practices in EU
The Commission’s investigation revealed that the three companies restricted the ability of independent third-party retailers they work with to set their own online and offline retail prices for products designed and sold by them under their respective brand names. This kind of anticompetitive behaviour increases prices and reduces choice for consumers, a Commission release said.
The European Commission has fined three luxury fashion brands for fixing resale prices.
A probe revealed the three brands restricted the ability of independent third-party partner retailers to set their own online and offline retail prices for products designed and sold by them under their respective brand names.
They interfered with their retailers’ commercial strategies by imposing restrictions on them.
The fines, which were reduced in all three cases due to the companies’ cooperation with the Commission, amounted to over €157 million in total.
Gucci, Chloe and Loewe are fashion companies headquartered in Italy, France and Spain respectively. They design, produce and distribute high-end fashion products, including apparel, leather goods and various accessories.
The Commission’s investigation revealed that these three fashion companies engaged in a practice called resale price maintenance (RPM).
They restricted the ability of both their online and brick-and-mortar retailers, which are independent resellers, to set their own retail prices for almost the entire range of products designed and sold by them under their respective brand names. The infringements covered the whole territory of the European Economic Area (EEA).
In particular, the three fashion companies interfered with their retailers’ commercial strategies by imposing restrictions on them, such as requiring them to not deviate from recommended retail prices; maximum discounts rates; and specific periods for sales.
In certain cases, and at least temporarily, they also prohibited retailers from offering any discounts. They strived to have their retailers apply the same prices and sales conditions they applied in their own direct sales channels.
To ensure compliance with their pricing policies, the three companies monitored the retailers’ prices and followed up with deviating retailers. The retailers in general adhered to the companies’ pricing policies, either from the start or after being requested to do so.
“These anti-competitive practices by Gucci, Chloe and Loewe deprived the retailers of their pricing independence and reduced competition between them. At the same time, Gucci, Chloe and Loewe aimed to protect their own sales from competition from their retailers,” the Commission noted.
In addition, Gucci imposed online sales restrictions for a specific product line by asking its retailers to stop selling the product online.
The practices ended for all the three companies in April 2023, when the Commission carried out unannounced inspections at their premises.
Fibre2Fashion News Desk (DS)
With sustainability benchmarks rising, companies are rethinking how they produce and deliver, pivoting toward greener, more circular models that reduce waste, emissions, and resource use.
The stakes are high. In 2025, Vietnam’s exports to the EU reportedly reached $56.2 billion, up 10.1 per cent year on year, underscoring how pivotal Europe is for the country’s manufacturing base.
Vietnam’s textile and footwear exporters are accelerating sustainability efforts as stricter EU regulations reshape market access requirements.
Rising compliance pressure from measures such as CBAM and ESPR is pushing manufacturers toward circular production, cleaner technologies and greater supply-chain transparency, though limited green finance remains a major challenge for smaller firms.
The EU market, nevertheless, comes with its own challenges as access to this market increasingly depends on meeting strict environmental and product-design requirements.
The EU is rolling out an ambitious sustainability agenda, including the Carbon Border Adjustment Mechanism (CBAM) and the Ecodesign for Sustainable Products Regulation (ESPR). Together, these measures are changing what global suppliers must document, design, and decarbonise.
ESPR shifts expectations toward durability, repairability, and recyclability, while pushing manufacturers to reduce products’ overall environmental footprint. Supply chains are also expected to become more transparent through Digital Product Passports, and practices such as destroying unsold goods being phased out gradually.
For Vietnam’s exporters, compliance is becoming a baseline requirement to keep EU orders and remain competitive.
Recognising this, both the Government and industry players are stepping up. Vietnam’s long-term development strategy for textiles and footwear, which stretches to 2030 with a vision toward 2035, places sustainability at its core. The plan charts a path toward efficient, environmentally responsible growth anchored in a circular economy, where materials are reused, waste is minimised, and production cycles are closed rather than linear.
Crucially, it also provides a legal backbone to help businesses align with global sustainability trends.
On the ground, change is already underway. Textile and apparel manufacturers are investing in renewable energy, upgrading machinery, and fine-tuning production processes to cut emissions and resource use. These shifts are not just about compliance; they are about future-proofing operations in a market where green credentials increasingly determine who wins contracts.
However, the transition has not been entirely seamless. A key barrier seems to be access to green finance, especially for small and medium-sized enterprises. Large firms can more readily fund clean technologies and certification, while smaller suppliers often struggle to fund the shift, risking exclusion from high-value export markets if they cannot keep pace.
There is also a growing recognition that policy support needs to go further. As Vietnam leans into a circular economy, industry voices are calling for a more cohesive and comprehensive framework, one that not only sets clear standards for circular products but also actively incentivises recycling, cleaner production, and sustainable innovation.
Without this, progress risks being uneven, with smaller firms left behind.
Momentum is, nevertheless, building as manufacturers and policymakers push for better-aligned standards and support mechanisms. The goal is to narrow the gap between sustainability ambition and day-to-day implementation across the sector.
The aim is clear: create an ecosystem where businesses of all sizes can invest in circular solutions, strengthen their export capabilities, and meet the EU’s exacting standards head-on.
Fibre2Fashion News Desk (DR)
The increase was driven primarily by higher reinvested earnings and intra-company loans, indicating continued engagement by existing investors with Bangladesh.
Reinvested earnings rose by 318.25 per cent, from $103.79 million in 2024 to $434.10 million in 2025, while intra-company loans increased by 25.68 per cent, from $621.96 million to $781.68 million.
Bangladesh’s net FDI inflows increased by 39.36 per cent last year to $1,770.42 million compared with $1,270.39 million in 2024, the Bangladesh Bank said.
The increase was driven primarily by higher reinvested earnings and intra-company loans.
Reinvested earnings rose by 318.25 per cent, from $103.79 million in 2024 to $434.10 million in 2025, while intra-company loans rose by 25.68 per cent.
Equity capital remained broadly stable, rising by 1.84 per cent, from $544.64 million to $554.64 million in 2025, a release from Bangladesh Investment Development Authority said.
Greenfield project announcements declined by 16 per cent in 2025.
Fibre2Fashion News Desk (DS)
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