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🚨Biden Pushes Back: US Wants EUDR Delay Over “Impossible Standards”
🌍 The European Union’s EUDR—slated to come into effect later this year—is facing significant opposition after the Biden Administration urged a delay in the rollout of the “impossible standards.”
🔍 Key Insights:
1️⃣ Global Concerns: Twenty of 27 European Agricultural Ministers have already called for a delay, mirroring concerns from officials in Australia, New Zealand, Brazil, Indonesia, and Malaysia. The Biden Administration, backed by top officials including US Secretary of Commerce Gina Raimondo, US Secretary of Agriculture Thomas Vilsack, and US Trade Representative Katherine Tai, has echoed these concerns.
2️⃣ Industry Impact: The American Forest and Paper Association (AF&PA) warns that the EUDR, in its current form, imposes “unachievable requirements” and “significant technical barriers” on US timber, paper, and pulp producers. The new rules could jeopardise over $3.5 billion in Euro-American trade, part of the broader $1.3 trillion trade relationship.
3️⃣ Traceability Challenges: A major sticking point is the EUDR’s requirement for full geolocation traceability to the individual plot of land for every shipment of timber products to the EU. This requirement is seen as nearly impossible for a significant segment of the US paper and pulp industry, especially since 42% of the wood fibre used by US mills comes from sources that cannot be traced back to an individual forest plot.
🪵The regulation aims to assign low, standard, or high-risk levels to regions within countries, guiding obligations for inspections and controls. This system is designed to streamline monitoring for high-risk regions and simplify due diligence processes for low-risk areas.
🇺🇸 As the world’s largest producer of pulp, paper, and lumber, the US is concerned that the expansive definition of deforestation in the EUDR could label typical agricultural practices as acts of deforestation, creating non-tariff trade barriers.
🔗 Explore the complete analysis of the implications of the EUDR and the US pushback: https://lnkd.in/ghHtXFVp
🗣️ hashtag#questionforgroup: How can the US and EU find common ground to ensure sustainable forest product trade without imposing unachievable standards? Share your thoughts on the potential impact of the EUDR on global supply chains and trade relationships.
💬 Join the conversation on sustainable forestry practices, regulatory challenges, and international trade.
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