Looks like the European Union’s Green Claims Directive is officially dead in the water.

Paused since last June, when the European Commission pulled the proposed law from consideration at the 11th hour due to concerns over its impact on microenterprises, the Green Claims Directive is now set for a more definitive demise following its inclusion on a list of pending legislative proposals slated for withdrawal within six months.

The European Commission’s 2027 work program, published Wednesday, attributes the removal to a failure by the Council of the EU’s presidency to advance discussions in 2025, adding that the measure was unlikely to secure support in the Council within a “reasonable timeframe.” The center-right European People’s Party, the largest political group in the European Parliament, has maintained that it would not endorse the proposal in any trilogue negotiations, calling it overly burdensome and complex, with uncertain benefits.

The Green Claims Directive would have required companies to back environmental claims with life-cycle assessments and clear data, then obtain pre-approval and certification from independent, accredited verifiers before making them on products or in ads. Penalties for violators would have included fines of at least 4 percent of annual turnover, revenue confiscation and exclusion from public procurement.

The European Commission’s own research underscored the need for a regulatory crackdown. More than 230 sustainability labels are in circulation, yet half of them offer weak or non-existent verification.

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