‘UK sellers withdraw from EU market due to new product rules’

A new European regulation imposes strict requirements on products sales in the EU market. Many online stores and marketplaces sellers in the United Kingdom lack sufficient arrangements and have opted to stop selling to customers in the EU altogether.

This is reported by journalist Chris Dawson on ChannelX, an outlet affiliated with the British trade journal Internet Retailing. Dawson describes the regulation as an “EU diktat” and sounds the alarm. According to the market analyst, the new product rules have a massive and underexposed impact on merchants’ businesses in the United Kingdom.

General Product Safety Regulation

The General Product Safety Regulation (GPSR) aims to ensure that all non-food consumer products sold offline or online in the EU market are safe. Under the new rules, products from outside the EU can only be sold if an economic operator within the union is responsible for their safety.

Enforcement focus

The new regulation is designed to better address the challenges posed by the rise of online sales and direct imports from third countries, according to the European Commission. There is a significant focus on enforcement, applauded by Ecommerce Europe. EU citizens will find it easier to report safety issues and have gained a ‘right to remedy’ for unsafe products.

EU residents gained a ‘right to remedy’ for unsafe products.

The GPSR, which replaces two earlier directives, came into force on Friday, December 13.

Merchants caught off guard

According to Dawson, the new rules have blindsided online sellers in the United Kingdom, with the government downplaying the consequences. He writes: “The harsh reality is that most marketplace sellers will likely NOT have sufficient arrangements in place. Even some relatively large marketplace sellers (…) have pulled back from selling to the EU due to burdensome regulations.”

Northern Ireland

The GPSR also complicates sales to residents of Northern Ireland, which is part of the United Kingdom but remains subject to certain EU rules due to arrangements after the sensitive Brexit. Dawson notes: “The reality is, many small businesses will now refuse to sell to Nothern Ireland, and consumers living there will find themselves excluded from being a full part of the UK.”