Overview

• The European Parliament has voted to delay the implementation of the supply chain law by one year, moving the start date for initial rules to 2028.
• Formal approval by EU member states is still required but is considered a procedural formality, as member states have already expressed support for the delay.
• The law seeks to strengthen global human rights by holding large companies accountable for benefiting from violations such as child or forced labor.
• Businesses have criticized the law for imposing excessive bureaucratic burdens and harming European competitiveness, prompting discussions on simplifying its requirements.
• The European Commission is exploring ways to reduce the law’s complexity, but the scope of potential changes remains under debate and undecided.