New EU General Product Safety Regulation: Key Changes Explained

Curious about the new EU General Product Safety Regulation (GPSR)? Our partners at Cabilly & Co. explain what you need to know in this article.

The European Union has recently overhauled its product safety rules by replacing the General Product Safety Directive (GPSD) with the new General Product Safety Regulation, which came into effect in December 2023. This update is a major step in strengthening consumer protection, addressing the challenges posed by the rise of eCommerce, connected devices, and new business models. In this article, we’ll break down the key changes introduced by the GPSR and what they mean for both businesses and consumers.

Key GPSR Updates

We’ve divided the article into six main updates to make it easier to follow.

1. New Obligations for Manufacturers, Importers, and Distributors

The EU GPSR strengthens the responsibilities of various economic operators in the supply chain, including manufacturers, importers, and distributors, to ensure that only safe products enter the EU market.

Key changes:

● Traceability obligations: Businesses must keep records of their products, including the supply chain and relevant safety information, for a minimum of 10 years.

● Designation of a responsible person: Non-EU companies selling in the EU must appoint a legal representative within the Union, who is responsible for ensuring compliance with safety regulations.

This is one of the larger, more impactful parts of the new legislation. Previously, non-EU companies could sell throughout the EU with little or no physical presence. The GPSR now obligates that a Responsible Person (or entity) must be present and can be either a manufacturer, importer, or even a 3PL facility (Amazon).

It is unknown how or what processes Amazon will take responsibility for. At present, Amazon appears to mandate another third party as the Responsible Person and will not allow its warehouses to act in this capacity.

● Consumer product recalls: The GPSR enhances obligations around product recalls, including clearer guidelines on how consumers should be informed about unsafe products.

2. From a Directive to a Regulation: Stronger Enforcement

The shift from a directive to a regulation means that the EU GPSR is now directly applicable across all Member States. This eliminates any potential disparities in how safety rules were previously interpreted or enforced at a national level. Businesses now face consistent rules across the EU, simplifying compliance but also introducing stricter accountability.

What’s changed?

● Harmonized application: Businesses operating across borders within the EU must adhere to uniform product safety rules, reducing ambiguity.

● Stronger enforcement: Market surveillance authorities have more robust powers, including the ability to impose fines or order product recalls more efficiently.

3. Enhanced Responsibilities for Online Marketplaces

The rise of online shopping has brought challenges in controlling the safety of products sold by third-party sellers. The new EU GPSR focuses heavily on regulating online marketplaces to protect consumers from unsafe products, even when non-EU entities sell those products.

Key updates:

● Obligation for online platforms: Online marketplaces must ensure that sellers on their platforms meet the same safety requirements as EU-based businesses.

● Duty to cooperate: Platforms must cooperate with EU authorities during investigations into product safety, including providing seller information and removing hazardous products.

● 'Know Your Business Customer’ principle: Online platforms are required to verify that sellers comply with product safety rules.

4. Clearer Rules for ‘Connected’ Products

With the growing trend of the Internet of Things (IoT) and connected devices, the GPSR addresses safety concerns specifically related to the digital aspects of products, such as cybersecurity vulnerabilities that may compromise user safety.

What’s new?

● Expanded definition of product safety: A product’s digital elements, such as software updates, are now part of its safety criteria. Manufacturers must ensure that software does not introduce safety risks over time.

● Post-market monitoring: Manufacturers are required to monitor products for risks after they’ve entered the market, especially for connected devices where software updates may introduce new risks.

5. Stronger Consumer Protection Measures

The GPSR puts a significant emphasis on consumer protection and the transparency of information related to product safety.

Key updates:

● Consumer notification: Consumers must be informed swiftly if a product they have purchased poses safety risks, and businesses must make recall processes more accessible.

● Product labeling: New labeling requirements mandate that product safety information be displayed more prominently, including in digital marketplaces.

● Compensation for harm: The GPSR ensures that consumers harmed by unsafe products have improved access to compensation.

6. Tackling Emerging Risks and Technologies

The regulation introduces mechanisms to swiftly react to emerging risks, particularly those posed by new technologies, which were not addressed adequately under the GPSD.

What’s new?

● Foresight on emerging risks: The European Commission can now react faster to new technological risks by updating safety requirements without needing to overhaul the entire regulatory framework.

● Risk-based approach: The GPSR adopts a risk-based approach to safety assessments, meaning that products deemed high-risk, such as IoT devices, receive more scrutiny.

Key Takeaways for Businesses

The new GPSR represents a comprehensive update to the EU’s product safety regime, ensuring it is fit for the modern marketplace. Businesses, especially those operating online or involved with connected products, will need to adapt their compliance strategies to meet these new obligations. For consumers, the GPSR promises greater transparency and protection, reinforcing the EU’s reputation as a global leader in product safety.

Ensure alignment with uniform EU-wide safety regulations.
Strengthen partnerships with online platforms to ensure compliance.
Monitor connected devices for safety risks related to software updates.
Maintain robust traceability records for up to 10 years.
Prioritize consumer safety through enhanced recall and notification procedures.

By keeping up with these changes, businesses can stay ahead of regulatory requirements and continue to offer safe products to consumers across the EU.