Luxury Brands Destroy Unsold Inventory to Preserve "Scarcity". And Pay "Burn Taxes"

To prevent luxury handbags, coats, and watches from diluting brand value on discount racks, high-end fashion houses routinely burn or shred tens of millions of dollars in unsold inventory every year. Even with recent European regulations banning textile destruction, brands bypass this by shipping deadstock to non-EU jurisdictions or reclassifying items as "defective samples" to write off tax liabilities while keeping grey markets empty.