As Table.Media reports, a debate in the Bundestag on the abolition of the Supply Chain Act (LkSG) revealed sharp contrasts and remarkable contradictions. The CDU/CSU demanded the repeal of the regulation with a bill, but failed to mention that the law was passed in 2021 under their own government. The SPD and Greens also vehemently defended the law, although leading politicians such as Olaf Scholz and Robert Habeck had recently hinted at a possible repeal themselves.
The FDP also introduced a draft justifying the abolition of the LkSG with excessive bureaucracy and negative effects on German companies. It criticised that the law would lead to barriers to trade and force German companies out of important markets, jeopardising standards for human rights and environmental protection.
The Greens and SPD, on the other hand, argued in favour of an adjustment rather than a repeal. An existing draft to reduce the reporting obligations was cited as a pragmatic solution. However, the political blockade, primarily due to the principle of not making decisions with AfD votes (trade-e-bility reported: Supply Chain Act abolition rejected), makes an agreement unlikely.
Despite the debates, the Supply Chain Act remains in place for the time being, while the loud criticism of bureaucracy and international competitive disadvantages continues.
Is your company affected by LkSG and CSDDD? Take action now! Christopher Blauth and Jens Haasler will be happy to answer your questions: +49/40/750687-300 or beratung@trade-e-bility.de.
