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EU Pauses Greenwashing Directive Talks After Italy Withdraws Support

The European Commission plans to withdraw its anti-greenwashing bill in response to member state objections over micro-enterprise coverage

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European Union flags fly outside the European Commission in Brussels, Belgium November 8, 2023. REUTERS/Yves Herman/File Photo

Overview

  • On June 23, the Polish presidency halted final negotiations on the Green Claims Directive due to doubts over the Commission’s intentions
  • Italy formally retracted its backing over the weekend, leaving the Council without the majority needed to advance the proposal
  • Brussels will move to withdraw the directive after member states pressed to include businesses with fewer than ten employees in its scope
  • The center-right European People’s Party threatened to block the law in Parliament, intensifying pressure on the Commission to shelve the file
  • Executive vice president Teresa Ribera led a last-ditch effort to salvage the directive but could not overcome internal and intergovernmental divisions