Implications of the proposed amendment to the EUDR on “risk exclusion” in the WTO.

The publication reports on the policy challenges facing the European Union Deforestation Regulation (EUDR) since its entry into force in June 2023, including a delay in its implementation proposed by the European Commission and approved by the Council and the European Parliament. However, the Parliament introduced amendments that weaken the regulation, such as the creation of a “risk-free” category that would exempt certain countries from complying with strict due diligence obligations. An analysis commissioned by Fern and conducted by the consulting firm Tulip concluded that this category could violate key non-discrimination rules of the WTO's General Agreement on Tariffs and Trade (GATT 1994), calling into question its legality in international trade.