INTRODUCTION Contributed by: Tove Andersson, Anders Linnerborg, Sara Eriksson and Ellen Lewin, Setterwalls Advokatbyrå AB
use for all intra-EU waste shipments, making the entire process fully digital, from 21 May 2026. It is also worth mentioning that the UN negotiations that began in 2022 regarding a global agreement to combat plastic pollution have continued during 2025. However, after ten days of negotiation in August 2025 no consensus could be reached and the Intergovern- mental Negotiating Committee (INC) agreed to resume negotiations at a future meeting. Water resilience While discussing sustainability, the European Com- mission’s new strategy for water resilience, presented 4 June 2025, is worth mentioning. The strategy has been developed in response to the problems and risks the Commission has identified regarding the Union’s water resources. In the strategy, the European Com- mission highlights factors that are expected to have increasing consequences for the Union’s inhabitants, economy and environment as extreme weather events become more common due to climate change. The key objectives of the strategy include restoring and protecting the water cycle as the basis for sus- tainable water supply, building a water-smart econ- omy and securing clean and affordable water and sanitation for all, and empowering citizens for water resilience. While the Commission concludes that the regulatory framework is already well developed, the strategy proposes and encourages additional meas- ures and strategies to build water resilience. It is evi- dent that the Commission views water resilience not only as a vital factor for a sustainable future but also as a source of business opportunities and an incentive for innovation. The UN Water Conference will be held in the United Arab Emirates in December 2026. The conference will, among other things, address sustainable man- agement of water and sanitation, as well as the water- related goals and targets of the 2030 Agenda. EU Taxonomy disclosures In discussions about sustainability, the revised EU Taxonomy is also worth mentioning. In June 2025, the European Commission adopted a set of measure- ments to simplify the application of the EU Taxonomy
for Sustainable Activities, aiming to reduce the admin- istrative burden for EU companies, thus enhancing EU competitiveness while preserving core climate and environmental goals. Given that the European Parlia- ment and the Council do not have any objections, the simplification measures laid out in this Delegated Act will apply as of 1 January 2026 and will cover the 2025 financial year. Stricter Rules for Chemicals In July 2025, the EU Commission published its Chemi- cal Industry Action Plan (CIAP) with the aim of mod- ernising the chemical industry and strengthening its competitiveness. The action plan includes, among other things, measures to tackle challenges such as high energy costs, unfair global competition and low demand. Furthermore, the Commission aims to increase investment in innovation and sustainability. In this context it should be mentioned that there is an ongoing process of revising the Regulation on Reg- istration, Evaluation, Authorisation and Restriction of Chemicals (REACH) with the aim of modernising chemical legislation. The EU Commission’s proposal is expected at the end of 2025. Regarding chemical legislation it should also be noted that, at the end of 2024, the revised Regulation on the Classification, Labelling and Packaging of Chem- icals (CLP) entered into force. Among other things, the Revised CLP ensures clearer chemical labelling, especially for online sales, and introduces simpler and clearer requirements to enable chemicals to move freely within the EU. Summary It has been a year of pronounced divergence and acceleration in environmental law and policy. Geo- political developments, including the United States’ renewed withdrawal from the Paris Agreement and ongoing conflicts in Ukraine and Palestine, reshaped global climate incentives and exposed environmen- tal vulnerabilities, while a series of extreme weather events underscored systemic risk. In parallel, multi- lateral processes advanced, with the UN spotlighting glacier preservation and COP16 operationalising the Kunming-Montreal Global Biodiversity Framework. The European Union sustained a comprehensive leg- islative agenda centred on decarbonisation, circular-
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