Implications of the European Union Deforestation Regulation (CRS Report for Congress)
Release Date |
Oct. 2, 2024 |
Report Number |
IF12777 |
Report Type |
In Focus |
Authors |
Pervaze A. Sheikh; Kristen Hite |
Source Agency |
Congressional Research Service |
Summary:
Many people have expressed concerns about global
deforestation (the conversion of forest for non-forest uses)
and forest degradation (the conversion of primary forests to
other forest types). Forests store terrestrial carbon and are
key components of the global carbon cycle. When forests
are cleared, burned, or altered by weather events, they can
release carbon dioxide into the atmosphere, which can
exacerbate the effects of climate change. Deforestation can
also reduce biodiversity, alter local weather patterns, and
disrupt Indigenous peoples’ cultures. Annual global
deforestation is approximately 7.5 million hectares (28.9
thousand square miles, annual average from 2015 to 2020),
with most deforestation occurring in tropical countries such
as Brazil and Indonesia. The largest driver of global
deforestation is agricultural expansion, which includes
ranching. The European Union (EU) and China are the
largest importers of agricultural goods that are grown in
areas at risk of deforestation.
To try to minimize its contribution to global deforestation
and forest degradation, the EU passed the EU
Deforestation-Free Regulation (EUDR) in 2023. The
regulation prohibits the import and export of certain
agricultural commodities produced on land deforested after
2020. The regulation is scheduled to take effect on
December 30, 2024. However, on October 1, 2024, the
European Commission proposed a one-year delay in
implementing the EUDR. Provided the EU’s 27 member
parties and Parliament agree, the EUDR would go into
effect on December 30, 2025. Uncertainty about the
EUDR’s implementation, requirements, and effect on U.S.
producers has generated concern from some in Congress.