EU Puts Brakes on Green Claims: Legislation Against Misleading Practices Suspended
Brussel, dinsdag, 24 juni 2025.
The European Union has unexpectedly suspended negotiations on legislation that would require companies to substantiate their sustainability claims. An internal investigation revealed that approximately half of all environmental claims were ‘vague or misleading’. The European Commission threatens to withdraw the legislative proposal, primarily because the proposed regulation would place too heavy a burden on small enterprises. This decision marks a significant shift in the EU’s approach to ‘greenwashing’, asking companies to be more transparent about their environmental impact. The negotiations have been put on hold, particularly due to doubts raised by Poland, which currently holds the EU presidency.
European Commission Considers Withdrawing Legislative Proposal
The European Union has paused negotiations on a legislative proposal that would compel companies to substantiate their sustainability claims with concrete evidence [1]. The European Commission threatens to withdraw the proposal, particularly because the regulation would place too heavy a burden on small businesses [2]. An internal Commission investigation had previously demonstrated that approximately 50 percent of all environmental claims were ‘vague, misleading, or unfounded’ [3].
Political Pressure and Negotiation Pause
Poland, currently holding the rotating EU presidency, has decided to cancel the negotiation round [1]. A spokesperson stated: ‘We are pressing the pause button. There are too many doubts, and we need clarity from the European Commission about its intentions’ [2]. Furthermore, centre-right EU parliamentarians have exerted pressure to scrap the policy [3].
Scope of the Original Legislative Proposal
The original legislative proposal, submitted in 2023, aimed to regulate misleading green labels for products, ranging from clothing to cosmetics and electronic devices [1]. Labels such as ‘natural’, ‘climate-neutral’, or ‘with recycled content’ would be scrutinised [2]. The law would apply to as many as 30 million smallest businesses in the EU, which the Commission considers potentially problematic [3].