EU Commission holds the line on deforestation regulation start date but new loopholes are opened
The European Commission has formally proposed simplifications to the EU Deforestation Regulation (EUDR) and confirmed the law will still apply from January 2026.
Although the EUDR now comes with new exemptions and phase-ins for medium and large companies, the Commission’s decision to resist additional postponement is welcome.
The announcement yesterday (21 October) comes after the EU granted a 12-month delay in 2024. After last year’s deferral, another pause would have undermined the urgency of implementing one of the EU’s most significant safeguard for forests, indigenous peoples and local communities around the world.
Forested land in Indonesia
The EUDR aims to ensure that products sold in Europe — such as coffee, cocoa, palm oil, beef, leather and timber — do not come from land where forests have been destroyed or which have been produced in violation of local laws.
The new proposal introduces a simplified regime for small and micro “primary operators”, effectively creating an exemption for small companies which sell directly on the EU market.
These small and micro primary operators – which can include companies with a turnover of up to €12 million – in low-risk countries (including countries such as China and Vietnam) will no longer need to submit full due diligence.
Instead they need only make a one-time simplified declaration confirming their production and geolocation (or postal address) to the EU or, if they are located in a member state, just to their respective national systems.
This new exemption will apply to most of the EU forestry sector, reducing EU forest protections and harmonised EU oversight and enforcement of the law.
The Commission also proposes that downstream traders should no longer be obliged to submit due diligence statements; in other words, they too are now exempt. Downstream companies now just have to ask for upstream reference numbers but are not liable to carry out due diligence themselves.
Forest cleared for oil palm plantation in Indonesia (c) EIA
EIA Senior Forests Campaigner Vanessa Richardson said: “The EU Timber Regulation has taught us that patchy implementation only invites abuse — the EUDR was designed precisely to close these gaps.
“EU Environment Commissioner Jessika Roswall initially stated technical IT issues but it seems that instead of directly addressing technical issues they just reduced the number of companies covered by creating broad exemptions that risk opening up new loopholes which will weaken the efficacy of the law.
“The Commission must now ensure that this approach does not become a backdoor for deregulation.
“Businesses want clarity and stability, not constant changes. Companies have invested millions to comply with the law and are frustrated by Brussels – many have been calling on the Commission to move forward without delay.”
Civil society around the world — including organisations in the US and Indonesia, among them our long-term partner Kaoem Telapak — have repeatedly voiced support for keeping the EUDR robust and on schedule.
Kaoem Telapak Senior Campaigner Denny Bhatara said: “We welcomed and much appreciated the EU upholding its commitment to the EUDR implementation, which will come into force on 31 December 2025.
“This is the landmark for global society that deforestation issues must be addressed and requires a collective effort, despite any challenges that may arise. Incremental improvement is indeed another objective to pursue to make this regulation more robust and ensure everyone benefits from it.”
The EU must stop the delays and swiftly implement and effectively enforce the EUDR and keep Europe’s promise to end deforestation and abuses in its supply chains.
