Green Claims Directive

The EU Green Claims Directive is a proposal put forward by the European Commission in March 2023 that, for the first time, establishes harmonised requirements for substantiating and communicating voluntary environmental claims (so-called green claims) made to consumers. It complements the already adopted Directive (EU) 2024/825 on empowering consumers for the green transition (the EmpCo Directive) and aims to stop misleading and unsubstantiated claims such as 'climate neutral', 'eco-friendly' or 'green', thereby tackling greenwashing across the single market.

At the core of the directive is an ex-ante evidence obligation: before a company uses an explicit environmental claim, that claim must be substantiated on the basis of recognised scientific evidence, a life-cycle approach and verifiable data, and it must be confirmed by an independent, accredited verifier. The company then receives a certificate of conformity for the claim. The directive also regulates environmental labels: new private labelling schemes require official approval, and claims must be communicated clearly, transparently and without inadmissible offsetting promises.

The directive is still going through the legislative process; the Council and Parliament adopted negotiating positions in 2024, but in June 2025 the trilogue was suspended, leaving the final text and date of application uncertain. Even so, affected companies are well advised to prepare early: they should inventory their existing environmental claims, review the underlying data and methodology (for example PEF, ISO 14021 or the GHG Protocol) and build internal processes for substantiation and verification. Under the proposal, infringements are to be punishable under national law with sanctions such as fines of up to four percent of annual turnover.