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So I buy my own factory and produce my own pollutants and I dont have the right to do whatever I want with them, mad world.
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And per OP article:

1. This only applies to companies above a certain size.

2. Hundreds of thousands of tonnes of textiles are destroyed each year in the EU before use.

3. In Germany alone, companies destroy tens of millions of garments per year under just one of the existing justifications for destroying garments before use.

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Agreed. As they say, the road to hell is paved with good intentions.
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On a planet with infinite resources it may be a mad world. On one where oil will be depleted at some point and fast fashion brands are collectively creating thousands of disposable plastic clothes models in dozen of millions of nuits per month, it's common sense to limit the madness of this industry
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Our planet has effectively infinite resources. We're probably past peak oil extraction and have plenty left, nevermind that the vast majority of clothes aren't made of plastic. This policy is dumb as hell.
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it is not the year 1800 any more, some things have changed
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