Packaging is a logistics function which generates significant amounts of waste. The fashion industry is the business area with the highest share of e-commerce shipments and is therefore responsible for substantial amounts of packaging waste. A shift from linear to circular packaging models is therefore highly desirable, especially in the fashion industry. However, although many fashion retailers recognized the importance of sustainability, hardly any company establishes circular packaging solutions. This paper aims to identify the challenges which prevent fashion retailers from introducing circular packaging. Additionally it will be shown which enablers drive the development of circular packaging. Expert interviews were conducted with companies all along the circular packaging value chain in the fashion industry. A PESTEL analysis shows the Political, Economic, Social, Technological, Environmental, and Legal factors which currently inhibit circular packaging. Three types of enablers where found to be relevant, namely profit, consumer and politics. The findings provide valuable input to develop circular business models promoting the use of circular packaging in the future.