Federal Minister Heil told Reuters on February 06 that Germany is expected to abstain from the vote on the EU supply chain law (“Corporate Sustainability Due Diligence Directive (CSDDD)”). “I am very disappointed that Germany has to abstain from the upcoming vote due to an ideologically motivated blockade of the FDP,” said Heil. “An EU supply chain directive strengthens human rights in international trade relations, for example when it comes to combating child and forced labor.”

Germany’s abstention would endanger the adoption of the Supply Chain Act, as it is feared that other states will also abstain or even take a position against it.

An EU supply chain law would also be in the interest of the German economy. This would level the playing field for all companies. Instead, German companies must continue to follow the German supply chain law – while this does not apply to companies in other EU countries. Just today, numerous small, medium and large companies published their support for the CSDDD in a statement. These include companies such as ALDI Süd, KIK, EPSON, VAUDE etc. In contrast to the FDP’s claims, the companies assess the EU directive as practicable (“appropriate and implementable”) and are therefore demanding that Federal Chancellor Olaf Scholz will “secure this democratically found compromise and thus provides companies with legal certainty and fair competitive conditions.”

See: Heil no longer believes in a German yes to the EU supply chain law
See: EU Supply Chain Act: Blocking a compromise means creating legal uncertainty
See: Business & Human Rights Centre
See: Initiative supply chain law