Overview

• Chancellor Friedrich Merz demanded the repeal of Germany's national supply chain law and the EU's Corporate Sustainability Due Diligence Directive during his visit to Brussels.
• The European Commission officially rejected Merz's proposal, emphasizing that the directive's objectives remain intact and discussions will focus on simplifying implementation.
• SPD MEP René Repasi confirmed there is no majority in the European Parliament or among EU member states to abolish the EU directive.
• Germany's coalition agreement mandates replacing its national supply chain law with a streamlined version aligned with the EU directive by 2028.
• The EU directive, targeting large corporations, aims to combat forced labor, human rights abuses, and environmental harm while reducing compliance burdens for businesses.