Important Update: In December 2024, the EU Council formally adopted a one-year postponement of EUDR application dates. This gives businesses additional time to prepare for compliance.

Critical Deadlines Overview

December 30, 2025

Large Companies & Non-SME Traders

Companies with >250 employees or >€50M turnover must be fully compliant

June 30, 2026

Micro, Small & Medium Enterprises (SMEs)

Companies with ≤250 employees AND ≤€50M turnover get extra 6 months

December 4, 2024

Information System Operational

EU's due diligence registry is live - registration already open

Why Were Deadlines Postponed?

Following concerns from EU member states, businesses, and trading partners about readiness, the European Commission proposed and the Council adopted a one-year delay in October-December 2024. The postponement addresses:

  • Technical readiness: Companies needed more time to set up due diligence systems
  • Information System issues: The EU's electronic registry required additional testing
  • Supply chain complexity: Collecting GPS coordinates from global suppliers takes longer than anticipated
  • Stakeholder feedback: Importers, especially from developing countries, requested more preparation time

What the Postponement Means for You

You have an extra year to prepare - but don't wait until the last minute. The core requirements haven't changed, and early adopters gain competitive advantages by securing compliant supply chains before the rush.

Timeline Breakdown by Company Size

Large Companies (December 30, 2025)

If your company exceeds any of these thresholds, you're considered a large company:

  • More than 250 employees
  • Annual turnover exceeding €50 million
  • Annual balance sheet exceeding €43 million

What you must do by the deadline:

  • Implement complete Due Diligence System (DDS)
  • Collect GPS coordinates for all production plots
  • Submit due diligence statements electronically via EU Information System
  • Maintain records for 5 years
  • Conduct risk assessments for all suppliers

SMEs: Micro, Small & Medium Enterprises (June 30, 2026)

You qualify as an SME if you meet all of these criteria:

Micro Enterprises

Employees: ≤10

Turnover: ≤€2M

Small Enterprises

Employees: ≤50

Turnover: ≤€10M

Medium Enterprises

Employees: ≤250

Turnover: ≤€50M

SME Benefits: You get 6 extra months (until June 30, 2026) AND may qualify for simplified due diligence if sourcing from low-risk countries.

What Happens If You Miss the Deadline?

Non-compliance with EUDR carries severe penalties. EU member states will enforce the regulation through inspections, audits, and penalties proportionate to violations.

Potential Penalties Include:

  • Administrative fines: Up to 4% of annual EU turnover
  • Product confiscation: Non-compliant goods seized at borders
  • Import/export bans: Temporary or permanent market access restrictions
  • Reputational damage: Public disclosure of violations
  • Criminal penalties: In cases of intentional violations (varies by member state)

Real Financial Impact

For a company with €10M annual turnover, a 4% fine equals €400,000. Add product confiscation losses, legal fees, and supply chain disruption, and non-compliance costs can exceed €1M for small businesses.

Enforcement Timeline

While compliance is required by the deadlines above, enforcement ramps up gradually:

  • Q1 2026: Initial inspections of large companies begin
  • Q2-Q3 2026: Full enforcement for large companies, warnings for SMEs
  • Q4 2026 onwards: Full enforcement across all company sizes

Member states will conduct risk-based inspections, targeting:

  • High-risk commodities (timber, palm oil, cattle)
  • Imports from high-risk countries (Brazil, Indonesia, DR Congo)
  • Companies with previous violations
  • Random audits (minimum 3% for low-risk, 9% for standard-risk countries)

Your 90-Day Action Plan to Get Compliant

Whether you're a large company facing the December 2025 deadline or an SME with until June 2026, here's a realistic 90-day roadmap:

Days 1-30: Assessment & Setup

  • Week 1: Determine your role (Operator vs Trader) and company classification
  • Week 2: Audit current suppliers - identify which commodities are EUDR-covered
  • Week 3: Register in the EU Information System (if not already done)
  • Week 4: Choose compliance approach (manual, software, or consultant)

Days 31-60: Data Collection

  • Week 5-6: Request GPS coordinates, harvest dates, and documentation from suppliers
  • Week 7: Verify received data using satellite imagery tools
  • Week 8: Conduct risk assessments for each supply chain

Days 61-90: Implementation & Testing

  • Week 9: Implement risk mitigation measures for high-risk suppliers
  • Week 10: Create and test your first due diligence statement (DDS)
  • Week 11: Train staff on EUDR processes and record-keeping
  • Week 12: Conduct internal audit and fix any gaps

Ready to Start Your Compliance Journey?

EUDR Simple automates 80% of your compliance workflow, from GPS collection to DDS generation. Get compliant in weeks, not months.

Frequently Asked Questions

Will deadlines be postponed again?

Unlikely. The one-year postponement was exceptional and resulted from significant stakeholder pressure. The EU has emphasized this is a final adjustment, and businesses should not expect further delays.

Can I start selling now and comply later?

No. Products placed on the EU market after the applicable deadline (Dec 2025 or June 2026) without proper due diligence are illegal and subject to immediate penalties.

What if my supplier can't provide GPS coordinates?

You have three options: (1) Work with the supplier to collect coordinates, (2) Use EUDR-compliant alternatives or (3) Stop sourcing from that supplier. There are no exceptions to the GPS requirement.

Do I need to comply if I only sell in one EU country?

Yes. EUDR applies to all companies placing covered products on ANY EU market, regardless of company location or market size. Even selling €1,000 of coffee in a single EU country requires full compliance.

Are there any exemptions for SMEs beyond the extra 6 months?

No size-based exemptions exist. However, SMEs sourcing from low-risk countries may qualify for simplified due diligence (reduced documentation requirements), and micro-enterprises get additional support from EU authorities.

Key Takeaways

  • Large companies: Must be compliant by December 30, 2025
  • SMEs: Get until June 30, 2026 - use the extra time wisely
  • Penalties are severe: Up to 4% of turnover plus product confiscation
  • No further delays expected: This is your final preparation window
  • Start now: 90-day preparation timeline is realistic if you begin immediately
  • Information System is live: Register and familiarize yourself with the platform

Next Steps

  1. Determine your deadline: Use our Company Classification Tool to confirm if you're large or SME
  2. Register in EU System: Visit the EU Information System to create your account
  3. Download our checklist: Get the EUDR Requirements Checklist to track your progress
  4. Explore automation: See how EUDR Simple can reduce your compliance workload by 80%

Ready to simplify EUDR compliance?

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