News from Brussels, Strasbourg and Berlin

In the last few months before the European elections in June, regulators in Brussels and Strasbourg have been remarkably active. Various new regulations and directives, including the Packaging Regulation (PPWR), the Corporate Sustainability Reporting Directive (CSRD), the Corporate Sustainability Due Diligence Directive (CSDDD), the EU Deforestation Regulation (EUDR) and the Forced Labor Regulation, are being adopted or further developed. Here are the latest developments in compact form:

CSRD: transposition into national law

The integration of the Corporate Sustainability Reporting Directive (CSRD) into the national law of the EU member states is progressing. The member states must transpose the CSRD into national law by July 2024.

• In Germany, the draft for implementing the CSRD was forwarded to the federal states and associations on March 22, 2024.
• A current discussion concerns the question of whether only accredited auditors are allowed to audit the CSRD statement or whether independent, accredited experts are also authorized to do so. This decision could expand the audit market and improve the availability of critical expertise for companies.
• This discussion is currently being conducted intensively on LinkedIn, in particular through statements by the German Sustainable Economy Association (BNW).

Progress with the CSDDD

On April 24, 2024, the European Parliament adopted the revised Corporate Sustainability Design Directive (CSDDD). Following formal approval by the Council and publication in the Official Journal of the EU, the member states have two years to transpose the new regulations into national law.

Packaging Ordinance (PPWR)

On April 24, 2024, the European Parliament adopted the new EU Packaging Regulation (PPWR) by a clear majority. With 476 votes in favor, 129 against and 24 abstentions, the regulation was officially adopted. You can find out exactly what this means and what the next steps are in our detailed article on the PPWR and in the special newsletter in June 2024.

Plastic taxes in the EU

The introduction of the plastic tax in Italy, which was due to start on July 1, 2024, has been postponed again. As the implementing regulations have to be published six weeks before they come into force and this has not yet happened, the date is no longer tenable. The introduction of the plastic tax in Germany has also been postponed from 2025 to 2026.

You will find a comprehensive report on the status of plastic taxes in Europe in the next newsletter.

EU regulation on forced labor

On 24 April 2024, the European Parliament approved the draft regulation on the prohibition of products made by forced labor. This regulation still needs to be approved by the EU Council, which is expected to happen in the third quarter of 2024. The regulation includes measures to enforce the ban, including due diligence investigations and cross-border cooperation between authorities.

EUDR: Discussions on risk classification and timetable

The requirements of the EU Deforestation Regulation (EUDR) are to apply from December 30, 2024. However, discussions are currently underway as to whether implementation should be postponed.

• In March, it was announced that all countries would initially be classified as a standard risk after developing and emerging countries criticized the EUDR requirements as impractical.
• This classification makes it easier for some producers of raw materials such as coffee, but increases the pressure on the packaging industry, which had hoped that the Scandinavian countries of origin would be classified as low-risk.