EU Exempts Leather from Deforestation Rules, Industry Seeks to Repair Reputation

The European Union has exempted the leather industry from its landmark deforestation law, while maintaining restrictions on beef imports. This move has sparked debate among environmental and supply chain researchers, who argue that the exemption creates a loophole that weakens the law. Industry representatives claim that the sector faces a reputational crisis and that the exemption does a 'disservice' to a well-intentioned sector that benefits the environment by recycling cowhides that would otherwise be discarded. According to the Leather and Hide Council of America, around 40% of cowhides produced globally are used in the leather industry. The exemption has led to a regulatory contradiction, with products from the same cow being allowed to enter Europe under different sets of rules. Critics argue that this creates a split responsibility for a single production system, ultimately undermining the effectiveness of the law.