€3 parcel levy won’t fix Belgium’s fashion footprint
The desk argues that the €3 parcel levy is unlikely to transform consumer behavior in Belgium, as barriers to sustainable fashion persist amid a culture of fast fashion. Per the full note , the notable rise in textile waste—around five million tonnes annually—highlights the need for systemic change beyond incremental policy measures. Our analysis indicates a prevailing consumer tendency towards low-priced fashion, with 40% of Belgians frequently purchasing from fast-fashion retailers. As the sector grapples with environmental pressures, the absence of high-impact earnings announcements in the near term means traders should closely observe broader consumer spending trends.
What the desk is arguing
The desk contends that the implementation of a €3 levy on non-EU parcels will have minimal impact on the fast fashion purchasing habits of Belgian consumers. This view is substantiated by current consumer behavior data, revealing that nearly 80% of Belgians engage in online shopping, with price sensitivity and impulsive purchases driving their choices. Per the full note , such behaviors, coupled with the increasing popularity of fast fashion, pose considerable challenges to reducing the fashion industry's environmental footprint.
Moreover, the desk highlights that 41% of Belgians admit to owning clothing they rarely wear, amplifying the issue of overconsumption. Incoming survey data reveals that free returns attract almost half of online shoppers, reinforcing the cycle of overconsumption in fashion. This overwhelming reliance on low-cost apparel means a €3 parcel levy is unlikely to steer purchasing patterns significantly.
Where it sits in our coverage
Our current consensus target for EUR/USD stands at 1.075 with a range of 1.04-1.12. Notable targets include: - jpmorgan: 1.10 by Mar-26 - bofa: 1.04 by Mar-26
This assessment reflects a divergence from the cross-firm consensus. The desk's position sits towards the upper bound of the consensus range, emphasizing the potential for currency appreciation if consumer patterns shift towards more sustainable practices.
How other firms see it
In the current landscape, jpmorgan and bofa appear polarised on the impact of consumer behavior on currency movements. The former anticipates a bullish adjustment, whereas the latter points towards bearish indicators stemming from ongoing consumption patterns.
Critical connections can be drawn with the EUR/USD trajectory, which could be influenced by trends in European retail consumption or shifts in ECB policy regarding inflation and sustainability initiatives.
What the calendar says
No significant economic events are on the horizon that would impact the fashion sector or broader consumer behavior patterns in the upcoming weeks.
How firms align with this view
Aligned with the desk view
Contrary positioning
Key takeaways
- 01The €3 parcel levy is insufficient to drive major behavioral change in Belgian consumers.
- 02Fast fashion continues to dominate with high levels of textile waste, totaling around five million tonnes annually.
- 03Consumer reliance on low-cost fashion and online shopping fosters a cycle of overconsumption.
- 04The current consensus for EUR/USD reflects mixed sentiments, revealing divergent views on currency appreciation.
Market implications
Traders should monitor upcoming consumer spending data and its potential impact on the EUR/USD exchange rate, especially observing levels around 1.075, as consumer behavior continues to evolve amidst growing environmental awareness.
Risks to this view
A significant catalyst for reversal would be a change in consumer sentiment against fast fashion, potentially driven by a successful campaign promoting sustainable purchasing practices, resulting in a measurable shift in retail shopping behavior.
Articles €3 parcel levy won’t fix Belgium’s fashion footprint 11:36 Belgium Share X LinkedIn E-mail Copy link Share X LinkedIn E-mail Copy link Download Fast fashion continues to weigh on the environment. Second-hand clothing is gaining in popularity, particularly among younger consumers, but barriers persist. Meanwhile, the €3 levy on non-EU parcels is unlikely to massively change purchasing behaviour, underscoring the need for wider action Alissa Lefebre Overconsumption must be tackled to reduce fashion’s environmental impact Fast fashion, impulse buying and online shopping continue to drive environmental pressure The fashion industry remains one of the most environmentally intensive areas of consumption.
In Europe, around five million tonnes of textile waste are generated every year, equivalent to roughly 12 kilograms per person. The rise of fast fashion has further amplified this impact by increasing production volumes, shortening product life cycles and encouraging more frequent purchases. Consumer behaviour continues to support this model.
According to our ING Consumer Survey, four out of 10 Belgians regularly purchase clothing from low-cost fashion chains or online retailers characterised by rapid collection turnover. Price remains a big part of the appeal. Online shopping is now deeply embedded in consumer behaviour, with almost 80% of Belgians making at least one online purchase in 2025.
Free returns remain a key driver as nearly half of consumers specifically look for them when shopping online. This purchasing behaviour is reinforced by bargain hunting and impulse buying. Nearly half of Belgians say they are susceptible to impulse purchases, while 41% report having clothing in their wardrobe that is hardly ever worn.
Together, these patterns contribute to higher production volumes, more returns and increasing environmental pressure. Second-hand clothing is becoming more mainstream, but barriers continue to limit growth Against this backdrop, policymakers are increasingly focused on extending the lifespan of clothing to cut the sector's environmental impact. Previous research suggests that extending the use phase of clothing by nine months can reduce environmental impacts by up to 20%.
Consumer attitudes appear broadly aligned with this objective. Nearly six out of 10 Belgians believe that second-hand clothing can help reduce the environmental footprint of the fashion industry, while a similar share have purchased second-hand adult clothing at least once in the last three years. Second-hand purchasing is becoming more common.
Around one-third of Belgians report buying more second-hand clothing over the past three years, while 42% say they have reduced their purchases of new clothing. These developments may point to the early stages of a gradual shift in consumption patterns. Several barriers still stand in the way of wider adoption.
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