The EU Regulation on Deforestation-free Products (EUDR) entered into force on 29 June 2023. It replaces the EU Timber Regulation and extends mandatory due diligence requirement to new commodities. Under EUDR, it will be prohibited to place or make available relevant commodities, like cattle, cocoa, coffee, oil palm, rubber, soya and wood, or relevant products that contain or have been made using relevant commodities, on the EU market, and export them from the EU unless:
- they are deforestation and forest degradation-free;
- they have been produced in accordance with the relevant legislation of the country of production; and
- they are covered by a due diligence statement (DDS).
EUDR implementation at UPM Plywood is based on a due diligence process
The verification that UPM Plywood’s products have not caused deforestation or forest degradation and that the commodities used in UPM Plywood’s products have been produced in accordance with the relevant legislation will be based on a due diligence process. UPM Plywood is a so-called downstream operator manufacturing its products from other products that have already undergone due diligence in accordance with EUDR. Therefore, UPM Plywood’s due diligence process consists of referring to due diligence statements submitted previously in the supply chain and verifying that its suppliers have adequate due diligence systems in place.
Prior to placing its products on the market, UPM Plywood will submit a DDS to the EU Information System Traces. The EU information system will produce an associated reference number that UPM Plywood will share with its customers.
The chart below describes the basics of EUDR implementation in UPM Plywood. The supplier of wood or other relevant commodities provides the first DDS with geolocation information to Traces and gets associated reference numbers (REF) from the system. UPM Plywood includes all relevant reference numbers contributing to the raw materials received in their own DDS. After delivering the DDS, UPM Plywood receives a reference number and forwards it to customers when placing products on the market.
UPM Plywood is aware of the obligations set in the EUDR. During the transition period, we are taking necessary measures to comply with the regulation when it enters into application in December 2024. We are actively engaging with our suppliers, customers, and competent authorities to share information on EUDR, and to ensure the timely adaptation to the regulation.
