The European Union Deforestation Regulation (EUDR) is a law pending in the EU aimed at combating deforestation globally. The law would prohibit the import of certain products if they contribute to deforestation in their supply chains. Like other EU sustainability legislation, the EUDR is included in the Omnibus “simplification” process. However, despite pending revisions, the law was expected to come into force in just over three months. Now that timeline is in question as the EU Commission reports that the technical system backing the EUDR is not ready for deployment. A recent letter from a member of the Commission states:
“Based on the available information, the Commission’s assessment is that this will very likely lead to the system slowing down to unacceptable levels or even to repeated and long-lasting disruptions, which would negatively impact companies and their possibilities to comply with the EUDR. Operators would be unable to register as economic operators, introduce their Due Diligence Statements, retrieve the necessary information from the IT system, or provide the necessary information for customs purposes where relevant. This would severely impact the achievement of the objectives of EUDR, but also potentially affect trade flows in the areas covered by the legislation.”
To remedy these issues, the Commission is proposing a one-year delay to EUDR implementation. It’s unclear how this delay will work procedurally, but we can probably expect something similar to the “Stop the Clock” directive passed earlier this year, which delayed further implementation of the CSRD. While the IT system backing the EUDR is the rationale (excuse??) for the delay, the EUDR has also been a sticking point in EU-US trade negotiations. If the delay is approved, it is unclear what version of the law we may see in 2027.
Our members can learn more about the EUDR here.
If you’re not already a member, sign up now and take advantage of our no-risk “100-Day Promise” – during the first 100 days as an activated member, you may cancel for any reason and receive a full refund. But it will probably pay for itself before then. Members also save hours of research and reading time each week by using our filtered and curated library of ESG/sustainability resources covering over 100 sustainability subject areas – updated daily with practical and credible information compiled without the use of AI.
Are you a client of one of our Partners – SourceIntelligence, TRC, Kumi, Ecolumix, Elm Consulting Group International or Impakt IQ? Contact them for exclusive pricing packages for PracticalESG.
Practical Guidance for Companies, Curated for Clarity.
