Overview

• German Chancellor Friedrich Merz has announced plans to repeal the national supply chain law and urged the EU to abolish its Corporate Sustainability Due Diligence Directive (CSDDD).
• This move directly contradicts Germany’s coalition agreement, which stipulates replacing the national law with the EU directive rather than eliminating it.
• The EU CSDDD, delayed until 2028 and already weakened under President Ursula von der Leyen, was designed to enforce corporate accountability for human rights and environmental standards.
• Green MEP Anna Cavazzini criticized Merz’s demands as undermining EU efforts, noting that key civil liability provisions in the directive have already been removed.
• SPD leaders have rejected Merz’s proposal, warning it threatens Germany’s commitments to global labor protections established after the Rana Plaza disaster.