Data points to EU forest law spurring action on key supply chains

14 Apr 2026

A new assessment finds that across eight of nine high-risk commodities that drive deforestation, companies report an increase in traceability mechanisms – a key EUDR requirement. Of the 500 companies covered in the assessment, 45 explicitly cited the incoming EUDR legislation as a reason for action on supply chain tracking.

Oxford, United Kingdom (14 April 2026) – New data published today by Global Canopy shows that the incoming EU Deforestation Regulation (EUDR) has already steered business expectations, galvanised investment and driven supply chain action by some of the most influential businesses in the deforestation economy. Global Canopy’s Forest 500 report is published annually to assess and rank the 500 corporations with the greatest influence on deforestation through their sourcing and production of key commodities. 

  • In 2025, publicly reported evidence on traceability mechanisms, a key EUDR requirement, increased for eight of the nine Forest 500 commodities. 
  • 68 (14%) of the 500 companies cite the EUDR in public documents related to action on tackling deforestation. 
  • More than a quarter of companies reported forms of implementation action in 2025 which they had not reported in 2024.    

Chloe Rollscane, Research Associate at Global Canopy, said: “The data points to companies gearing up for the prospect of the EUDR even before its implementation. As Forest 500 data relies solely on public disclosures by companies, this is likely just the tip of a bigger iceberg of corporate decisions taken in private. This shows the positive influence that regulation can have and why sustained leadership by governments in key markets, like the EU and the UK, is so urgently needed.”

Now in its 12th year, the Forest 500 report examined 270,000 public data points to assess actions taken by 500 companies in the global trade of the nine forest risk commodities covered by the EUDR: beef, cocoa, coffee, leather, palm oil, pulp and paper, rubber, soy and timber. The regulation, to be implemented from the end of 2026, requires companies to show that EU imports and exports of these commodities are deforestation free. Non-compliance carries a fine of at least 4% of a company’s EU turnover. 

Niki Mardas, Executive Director at Global Canopy, stated: “Tough as it is, even in a time of geopolitical turbulence, companies and governments cannot afford to drop the ball on nature and climate. Unchecked deforestation will only multiply the human, economic and security crises they face. Even before implementation, the EU deforestation legislation is bearing green shoots. Influential companies in the deforestation economy have prepared for the legislation and several are vocal in their support. The EU’s goals and targets are best served by decisive implementation without further delays, simplifications or scope reductions. Companies that fail to take action on forest loss are signalling their lack of readiness to investors and to the market as a whole.”

Company performance on deforestation at a glance

In 2025, the actions of a handful of leading companies showed that commodity-driven deforestation is a solvable crisis. But as in previous years, too few companies act with enough urgency. Only 146 (29%) of the companies have made commitments for all their commodities.

The Forest 500 companies fall into three categories of performance: 

  • Leaders: 19 (4%) companies have strong deforestation commitments for all the commodities they are assessed for and report significantly stronger implementation than most. Nestlé and Flora Food Group, which are downstream companies, are among the leaders, demonstrating that complex supply chains are not an obstacle to progress.  
  • Late majority: 313 (63%) companies have signalled some intent to tackle deforestation, but have made only partial commitments and/or achieved weak progress on implementation. 

However, 132 (42%) of these companies reported progress on implementation in 2025 compared to what they reported in 2024. In this group are IKEA and Mondelēz International. 

  • Laggards: 168 (33%) companies have no deforestation or ecosystem conversion commitments for any commodity. Among them are the UK commodity trader Engelhart, Italian coffee company FinLav and Colombian food processing company Grupo Nutresa.   

Despite talk of an ESG rollback, in 2025, only 14 companies reduced ambition on deforestation. Among the backtrackers is global sportswear giant Nike, which removed pulp and paper from its 2025 public sustainability reporting, rolling back on a 2024 commitment to protect priority forests and source FSC-certified packaging. 


Notes to Editors

For more information and to arrange an interview, contact Rue Swabey: [email protected]  

Forest 500 can provide more detailed company or sector-specific information on request.  

About Global Canopy 

Global Canopy is a data-driven not for profit that targets the market forces destroying nature by promoting transparency and accountability. Global Canopy provides innovative open-access data, metrics and insights to leading companies, financial institutions, governments and campaigning organisations worldwide, to help them make better decisions about nature, forests and people.

About Forest 500 

Forest 500 identifies the companies and financial institutions with the greatest exposure to deforestation risk, and annually assesses them on the strength and implementation of their commitments on deforestation, conversion of natural ecosystems and associated human rights. The 12th annual Forest 500 assessments took place between 19 May and 17 November 2025. Data on financial institutions will be published later in the year.

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