Supply chains use forced labour

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Reference no: EM133839244

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European Union countries on Friday postponed a decision on a proposed law requiring large companies to determine if their supply chains use forced labour or cause environmental damage after Germany and Italy indicated they would abstain. A "qualified majority" of 15 EU countries representing 65 percent of the EU population is needed for the corporate sustainability due diligence directive to proceed to a final vote in the European Parliament, where lawmakers are expected to support it. On Friday, one diplomat said it was clear there were not enough envoys from the 27 EU countries to back the law, with Germany set to abstain. A decisive move was Italy's last minute decision to say it would abstain, according to an Italian source. "Germany is obviously anything but alone with its concerns," Germany's finance minister and leader of the Free Democrats Christian Lindner said on his X social media account. Once the engine of EU integration along with France, Germany is increasingly becoming the brake, with a divided coalition. Germany's pro-business FDP opposed the law, arguing it would burden business with excessive bureaucracy. They also brought late objections to an EU law to end sales of CO2-emitting cars.

Reference no: EM133839244

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