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EU Proposes Major Overhaul of REACH Fees with New SME Verification Rules

REACH
1
August 2025
•
350
Dr Steven Brennan
The EU proposes inflation-linked REACH fee increases and a new SME verification model. Affects all chemical manufacturers and importers.
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Summarise this article

The EU’s proposed changes to REACH fees introduce cost increases for standard registrants and procedural reforms for SMEs. Companies must prepare for new verification workflows and adjust their compliance planning ahead of a phased rollout.

Will the new REACH fees apply immediately after adoption?

No. While most fee changes apply shortly after publication, the new SME verification system takes effect 15 months later. This transition period allows companies to update their internal processes.

How long will SME status remain valid under the new rules?

Once granted, SME recognition will be valid for three years and apply across all submissions requiring such status under EU law, reducing repeated verifications and administrative costs.

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The European Commission has proposed significant changes to the REACH Fee Regulation (EC) No 340/2008, targeting both the financial and procedural dimensions of chemical registration in the EU. The amendment introduces inflation-indexed fee increases and a new system of pre-verification for SMEs, set to reshape compliance obligations across the chemicals value chain.

REACH Fee Structure Aligned with Inflation

To stabilise funding for the European Chemicals Agency (ECHA), the Commission proposes raising standard REACH fees by 19.5%, covering cumulative inflation for 2021–2023. These fees apply to all major activities—registrations, updates, authorisations, and appeals—but **SMEs are exempt**, maintaining previous fee levels to support their market participation.

This adjustment reflects the broader goal of enhancing ECHA’s financial sustainability amid declining registration volumes and increasing responsibilities under the Chemicals Strategy for Sustainability.

Advance SME Verification Replaces Ex-Post Checks

A key procedural shift is the move from retrospective to **advance SME verification**. Companies seeking reduced fees must now apply for SME status at least two months before a fee-liable submission. ECHA will issue decisions valid for three years, covering all relevant EU legislation—not just REACH.

An administrative charge may apply for the verification process, but it is waived if the SME status is confirmed. This change aims to reduce delays, prevent fee disputes, and ensure fair treatment among registrants.

What Happens Next?

Once adopted, the regulation will enter into force **20 days after publication** in the Official Journal of the European Union. However, the SME verification rules will only apply 15 months later, giving companies time to adjust systems and processes.

Pending submissions on the date of entry into force will remain under current rules, offering some transitional clarity. The REACH Committee is currently reviewing the proposal through a written procedure, after which the Commission may adopt the measure.

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