Italy is still debating how to formally define what Made in Italy stands for — just as it begins making it harder for ultra-cheap goods to enter the country.
Earlier this month, Italian lawmakers pulled back from a proposed fashion supply-chain certification system that had been positioned as a corrective after years of labor scandals. The move stalled a framework meant to bring traceability and accountability to Italian fashion at a national level, even as the government advances a separate measure aimed at curbing the flood of low-value imports from abroad.
Why Italy paused a Made in Italy certification
The proposal in question had been folded into Italy’s “Small-and-medium-sized Enterprises Bill,” known as the ddl PMI. The now-repealed articles outlined a voluntary certification system for fashion brands that could demonstrate legality and compliance throughout their entire production chains, including subcontractors. Brands meeting those standards would have been allowed to use a “Certified Fashion Supply Chain” designation, overseen by the Ministry of Enterprises and Made in Italy and the Italian Competition Authority.
The proposal emerged after a series of investigations uncovered ties between major luxury brands and subcontractors allegedly involved in sweatshop schemes, labor abuses, and worker exploitation. Authorities had linked companies including Loro Piana, Valentino, Dior, Giorgio Armani, and Tod’s to problematic production practices, prompting renewed scrutiny of what Made in Italy actually guarantees for consumers.
Industry groups reacted strongly to the decision to shelve the amendments. In a joint statement, Camera Nazionale della Moda Italiana, Altagamma, Confindustria Moda, and Confindustria Accessori Moda said: “While understanding the reasons that led the Ministry of Enterprises and Made in Italy to look for further analysis of the matter, we express regret and concern over the postponement of a regulatory measure of strategic importance.” The associations added, “We therefore reaffirm the urgency of adopting a national law on supply chain certification in a timely manner, an essential tool to protect workers, support businesses, strengthen the credibility of Made in Italy, and combat illegal practices.”
Trade unions have been among the strongest critics of the proposal, arguing that it risked shielding brands from accountability. In a statement, Marco Falcinelli, secretary general of the Filctem Cgil union, said that the “criminal immunity provision in Article 30 of the bill must be immediately removed. As a union, as political forces, and as civil society, we must work to create regulations and control systems that allow the fashion supply chain to certify compliance with labor standards and respect for human dignity.”
Fashion associations dispute that framing, saying that the proposed bill “does not include any criminal immunity provisions and remains a key reference point aimed at introducing a clear framework,” the groups said in their statement. “This framework also includes the right to a fair hearing, a right guaranteed by our constitution, and seeks to promote transparency, accountability, and trust throughout the entire production chain, while at the same time ensuring certain and enforceable penalties for those who engage in illegal activities.”
For consumers, the takeaway is straightforward. Italy has acknowledged that the credibility of its fashion system needs reinforcement, but has yet to codify how that will happen.
The import levy that supports the same goal
At the same time, Italy is moving more decisively on the inbound side of the fashion economy. The Senate recently passed the “Legge di Bilancio 2026,” which introduces a two-euro levy on parcels valued under €150 arriving from non-European Union countries. Until now, those low-value imports entered Italy duty-free. The bill still requires approval by the Lower House, which cannot amend it and must pass it before the end of the year.
The levy applies broadly to all qualifying parcels, not only fashion items, and is formally described in the bill as a handling and import charge. In practice, fashion industry groups have been among its strongest supporters, framing it as a response to the surge of ultra-cheap goods entering the country with minimal oversight. Camera Nazionale della Moda Italiana estimates that roughly one million parcels from outside the EU circulated in Italy last year. According to the most recent figures from the association, imports of fashion goods from China increased 11.8 percent in the eight months through August, reaching €4.5 billion.
Italy’s move anticipates a broader European shift. In November, EU finance ministers agreed to abolish the long-standing exemption for parcels valued under €150, potentially as early as the first quarter of 2026. Those shipments will also face additional handling and import charges, reflecting growing concern over consumer safety, enforcement capacity, and competitive imbalance.
France has been especially vocal in pushing the issue at a European level. A Paris judicial court recently rejected a government request to temporarily block Shein’s website, calling the proposed suspension “disproportionate” after the platform voluntarily removed illicit listings. The ruling followed intense scrutiny after Shein opened its first physical store in Paris and after French retail federations filed legal action against its European subsidiary over alleged unfair competition and product safety breaches.
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