Germany and Italy have torpedoed an EU law imposing liability on companies for alleged human rights abuses in their supply chain, such as in China’s Xinjiang region.
At a meeting of EU ambassadors on Wednesday, no majority could be established for the law, which had been previously agreed, due to Berlin and Rome’s last-minute objections reflecting concerns that the new legislation would hurt their industrial base.
The aim of the due diligence law is for companies to take responsibility for any human rights abuses or environmental damage found in their supply chains. It would also enable campaigners to take businesses to court for harm they cause.
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