2027 BUDGET LAW: CAMERA MODA PRESENTS ELEVEN PROPOSALS TO THE GOVERNMENT AND PARLIAMENT TO STRENGTHEN THE COMPETITIVENESS OF ITALIAN FASHION

A constructive dialogue with the Government and the Parliament to strengthen the strategic role of Italian fashion in the country’s growth and competitiveness. At the heart of the initiative: creativity, innovation, skills, manufacturing competitiveness and new opportunities in international markets.

Milano/Roma, 21 October 2026 – Camera Nazionale della Moda Italiana is presenting eleven proposals ahead of the 2027 Budget Law, with the aim of contributing to the definition of tools and initiatives capable of further strengthening the competitiveness of the Italian fashion industry and supporting its development in international markets.

The proposals are part of a long-term vision that recognises Italian fashion as one of the country’s foremost industrial, creative and cultural assets. In a global landscape shaped by new competitive dynamics, Camera Nazionale della Moda Italiana has identified a number of strategic priorities to build on the sector’s strengths, support investment and seize new development opportunities. From the promotion of creativity and innovation to training and the enhancement of skills, and from strengthening manufacturing competitiveness — including through greater efficiency in energy costs — to expansion into international markets, the eleven proposals outline a growth path founded on the ability of Italian companies to innovate, create value and consolidate their leadership.

With annual exports approaching €90 billion and a decisive contribution to Italy’s trade balance, fashion is a key driver of the country’s competitiveness. Supporting its development means investing in an ecosystem of excellence that brings together major brands, small and medium-sized enterprises, manufacturing, craftsmanship, creativity and distinctive skills recognised worldwide.

THE ELEVEN PROPOSALS

1.  CREATIVITY AND DESIGN: INVESTING IN THE FUTURE OF MADE IN ITALY

CNMI proposes extending tax credit for design and aesthetic conception activities until 2030, at a rate of 10% and with a proposed allocation of €200 million per year. The measure aims to ensure continuity of investment in creativity, a distinctive element of Italian production and a decisive factor in international competitiveness. The goal is to enable companies to plan investments with a long-term perspective, preserving the creative value that defines Made in Italy.

2.  TRAINING AND SKILLS: SUPPORT FOR CORPORATE ACADEMIES

CNMI proposes establishing a special Register of Corporate Academies at the Ministry of Enterprises and Made in Italy, accompanied by a tax credit of 30% of admissible costs up to €1 million per company per tax period. The proposal aims to support the training of new professionals, the transfer of manufacturing skills, and worker upskilling and reskilling programmes, bridging the gap between training and labour market de-mand. The measure seeks to boost the role of companies in passing on artisanal and industrial know-how, hel-ping to preserve highly specialised skills that are fundamental to the future of the supply chain.

3.  INTERNATIONALISATION: ENCOURAGING THE OPENING OF NEW MARKETS

To strengthen the presence of Made in Italy in international markets and encourage the diversification of trade destinations, CNMI proposes a 10% tax credit on the increase in exports to Mercosur and Gulf Cooperation Council countries over the 2027–2028 period, up to a maximum of €300,000 per year per company. The measure aims to encourage companies to develop new commercial opportunities, broadening their international presence and reducing their dependence on traditional markets.

4.   SUPPORT FOR COMPANIES MOST EXPOSED TO US TARIFFS

To counter the economic effects of US tariff measures, CNMI proposes an extraordinary tax credit, limited to 2027, equal to 50% of the additional costs directly attributable to US tariffs. This tax relief is intended for fashion companies that generate at least 15% of their sales in the US market. The measure aims to protect the competitiveness of the Italian companies most exposed to the consequences of international trade policies by supporting their ability to maintain their presence in a market of strategic importance to the sector.

5.  ENERGY AND SUSTAINABILITY TRANSITION

To counter the impact of energy costs and foster the autonomy of the supply chain, CNMI proposes a 30% tax credit for the purchase of electricity from renewable sources, conditional on an increase of at least 20% in the average price of the energy component compared with 2026. A 30% tax incentive is also proposed for investments in new renewable energy generation plants and storage systems serving the Renewable Energy Communities of the fashion supply chain. The total proposed allocation is €70 million for 2027, of which €20 million to support energy costs and €50 million for investments in Renewable Energy Communities. The measures aim to combine immediate relief from high energy costs with a structural intervention designed to foster companies’ energy autonomy and engage suppliers in transitioning to sustainability.

6.   PROTECTING EMPLOYMENT AND SAFEGUARDING MANUFACTURING SKILLS

To address the decline in orders and preserve the wealth of manufacturing skills, CNMI proposes allowing the wage supplementation schemes already provided for under current legislation to be extended by up to six months over the 2027–2028 period. The measure is aimed at companies that have recorded a drop in sales or orders of at least 20% compared with the same period of the previous year attributable to temporary market conditions. The objective is to support companies’ production continuity, safeguard employment levels and prevent the loss of artisanal and industrial skills that are difficult to rebuild and represent one of the key distinguishing features of Italian fashion.

7.  CIRCULAR ECONOMY AND THE RECOVERY OF UNSOLD PRODUCTS

 In light of the new European provisions banning the destruction of unsold products, CNMI proposes a tax framework that encourages responsible management of goods and incentivises their reuse.

The measures include:

• defining clear documentation rules for unsold products handed over as waste and destined for preparation for reuse, so that tax presumption of sale does not apply when their destination is adequately documented;
• introducing a tax incentive for donating unsold but still usable products to social economy organisations, excluding their normal value from taxable revenue under the conditions set out;
• allowing brands to protect their intellectual property rights by removing identifying features without compromising the products’ suitability for reuse.

The measures aim to promote more sustainable management models encouraging the recovery and reuse of products while ensuring tax certainty and brand protection.

8.   PROMOTING SUSTAINABLE RENEWABLE MATERIALS

CNMI proposes introducing reward criteria into the fees set under extended producer responsibility (EPR) schemes, recognising the use of sustainable renewable materials, including natural fibres that meet European environmental requirements. The goal is to incentivise production models consistent with the principles of circular economy, through objective, measurable and verifiable parameters. The proposal seeks to recognise and reward the commitment of companies investing in sustainable materials, encouraging the progressive evolution of production processes in line with the European regulatory framework.

9.  CONSOLIDATING THE SUPPLY CHAIN AND SUPPORTING STRATEGIC COMPANIES

To strengthen the national production system, CNMI proposes a 30% tax credit for companies that acquire stakes in strategic companies within the supply chain. The relief is conditional on maintaining production and employment levels in Italy for at least 36 months. The measure aims to encourage the consolidation of suppliers and subcontractors, supporting industrial interventions capable of preserving production activities, specialist skills and jobs. The objective is to strengthen supply chain integration and safeguard the wealth of manufacturing know-how that is one of the fundamental pillars of Made in Italy’s competitiveness.

10.  CONTINUITY OF FAMILY BUSINESSES AND PROTECTION OF MADE IN ITALY OWNERSHIP

To support the continuity of family businesses and keep ownership structures rooted in Italy, CNMI proposes a tax measure to facilitate corporate reorganisations and generational succession. The measure would allow shareholdings contributed by members of the same family unit to be considered jointly when assessing the thresholds for the so-called “controlled realisation” (realizzo controllato) tax regime, without changing the current thresholds or extending the relief to parties outside the family. The objective is to facilitate the reorganisation of family shareholdings supporting business continuity and the transfer of entrepreneurial assets between generations. The measure also aims to help keep company ownership and decision-making centres in Italy and prevent tax rigidities from encouraging the sale of shareholdings or the transfer of ownership structures abroad.