EU member states approve new supply chain law

European Union member states' representatives on Friday approved a new law intended to protect human rights in supply chains - though Germany abstained - diplomats told dpa.

The European Supply Chain Act is intended to hold large companies accountable if they profit from child or forced labour outside the EU.

Germany abstained due to divisions within its social democrat-led coalition government. The liberal Free Democrats, a minority partner in the government, fear the legislation will unduly burden the economy.

The legislation still needs to the definitive approval of the European Parliament and of ministers to become law. But the text approved by senior diplomats on Friday already represents a hard-won compromise between member states and parliamentary negotiators.