EU Parliament Moves to Delay and Reassess Supply Chain Deforestation Law

The European Parliament voted 402-250 to delay the EU Deforestation Regulation by one year, pushing obligations for large companies to end-2026 and small operators to mid-2027, while calling for an early 2026 review that could lead to further simplifications. The law requires traceability for commodities like palm oil, coffee, cocoa, soy, beef, timber, and rubber to ensure no deforestation since 2020 and compliance with local laws. This aligns with the Council’s position amid concerns over administrative burdens, system readiness, and impacts on companies already investing in compliance, though critics warn of uncertainty and weakened forest protection credibility.
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