US Ambassador to the EU Andrew Puzder publicly pressed the bloc to further ease its Corporate Sustainability Due Diligence and Reporting Directives, arguing the EU committed at July 2025 Turnberry trade talks to ensure the rules don't restrict transatlantic trade. The European Commission responded that its 'regulatory autonomy' is not up for negotiation, though it says it remains willing to cooperate on trade where possible.
The EU already narrowed these directives in December, limiting due-diligence obligations to the largest companies, delaying compliance to mid-2029, and raising the reporting threshold from 250 to 1,000 employees, changes sought partly by US firms like ExxonMobil. Washington says those changes 'failed to fully address' its concerns, and is separately pushing the EU to amend its Carbon Border Adjustment Mechanism.
Sources say joint statements on remaining non-tariff issues are expected this autumn, though EU sources indicate no further concessions are planned on the anti-deforestation and methane rules Brussels already softened this year.
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