Deforestation U-turn takes EU down a risky road
The author is a Reuters Breakingviews columnist. The opinions expressed are his own.
By Afiq Fitri Alias
LONDON, Oct 3 (Reuters Breakingviews) -Europe’s latest efforts to green its supply chains have hit a roadblock. The European Commission on Wednesday proposed a one-year delay to the European Union Deforestation Regulation (EUDR), which was supposed to be implemented in December. While European lawmakers and member states still have to vote on the move, opposition to the EUDR from the likes of Germany and Sweden suggests a postponing will indeed happen – and that may have ramifications.
The EUDR, which blocks foreign exporters from accessing the EU single market if their products benefit from deforestation, is a logical piece of legislation. Forest fires constituted 19% of global carbon emissions in the 60 years to 2019, an Oxford University study showed. New research from the investigative NGO Earthsight revealed how chicken sold by McDonald’s and major European supermarkets like Carrefour and Albert Heijn has been linked to the loss of 23,000 hectares of Brazilian forests since January 2021 – an area almost the size of Frankfurt.
In one sense, applying the brakes makes pragmatic sense. Bigwigs like China and the United States have been united in opposition, while global pushback to the EUDR reached a crescendo last week during the United Nations General Assembly. The EU calculated that its year-long delay was a “balanced solution” and that affected countries and businesses will now have less reason not to comply. While it seems more like Brussels just buckled to avoid upsetting its allies and trading partners, a bifurcating picture for world trade makes that understandable.
Still, the optics of delaying a landmark piece of legislation with less than three months to go to its initial deadline create two problems. On the EUDR specifically, it will embolden hostile lobbyists to defang as well as delay it. A majority of exporting countries are already likely to be classed as “low-risk”, dealing a significant blow to environmental and indigenous rights groups. Green MEPs say they will work to prevent any EUDR watering down, but they’re fighting an uphill battle.
More broadly, the EU is facing battles on multiple fronts to preserve its attempts to do something meaningful about climate change. The greater proportion of right-wing lawmakers in the European Parliament may complicate aspects of the green transition, just as landmark policies like Europe’s carbon border adjustment mechanism are due to come into force. The more that punchy policies like the EUDR get chipped away at, the less the EU may seem like a decarbonisation leader.
Follow @a_fitri_alias on X
CONTEXT NEWS
The European Commission said on Oct. 2 it would propose delaying by a year the implementation of the European Union Deforestation Regulation (EUDR), a law banning the import of commodities linked to the destruction of trees. The 12-month delay would be a “phasing-in period to ensure proper and effective implementation”.
The proposal would need the approval of the European Parliament and member states, the Commission said. It added that it was also publishing additional guidance documents.
“Ursula von der Leyen might as well have wielded the chainsaw herself. People in Europe don’t want deforestation products but that’s what this delay will give them,” said campaigning group Greenpeace.
Graphic: Countries and commodities impacted by the EUDR https://reut.rs/4e1bXPP
Editing by George Hay and Oliver Taslic
免责声明: XM Group仅提供在线交易平台的执行服务和访问权限，并允许个人查看和/或使用网站或网站所提供的内容，但无意进行任何更改或扩展，也不会更改或扩展其服务和访问权限。所有访问和使用权限，将受下列条款与条例约束：(i) 条款与条例；(ii) 风险提示；以及(iii) 完整免责声明。请注意，网站所提供的所有讯息，仅限一般资讯用途。此外，XM所有在线交易平台的内容并不构成，也不能被用于任何未经授权的金融市场交易邀约和/或邀请。金融市场交易对于您的投资资本含有重大风险。
所有在线交易平台所发布的资料，仅适用于教育/资讯类用途，不包含也不应被视为用于金融、投资税或交易相关咨询和建议，或是交易价格纪录，或是任何金融商品或非应邀途径的金融相关优惠的交易邀约或邀请。
本网站上由XM和第三方供应商所提供的所有内容，包括意见、新闻、研究、分析、价格、其他资讯和第三方网站链接，皆保持不变，并作为一般市场评论所提供，而非投资性建议。所有在线交易平台所发布的资料，仅适用于教育/资讯类用途，不包含也不应被视为适用于金融、投资税或交易相关咨询和建议，或是交易价格纪录，或是任何金融商品或非应邀途径的金融相关优惠的交易邀约或邀请。请确保您已阅读并完全理解，XM非独立投资研究提示和风险提示相关资讯，更多详情请点击 这里。
