The world’s tropical forests are under pressure from deforestation, with agriculture a major driver of forest loss. Demand for commodities drives much of this expansion — and the EU is a major source of that demand.Since 2014, the EU has been the second-largest importer of goods linked to tropical deforestation after China. In 2017 alone, it accounted for 16% of global deforestation tied to international trade, the equivalent of 203,000 hectares of forests or twice the size of New York City.But the EU’s deforestation footprint is not spread evenly across the hundreds of agricultural commodities it imports.New research found that just six — beef, palm oil, soy, cocoa, coffee and rubber — accounted for 85% of estimated forest loss linked to EU imports. And this footprint is highly concentrated geographically: Nearly 74% of deforestation linked to the EU’s demand for seven commodities (the six above plus timber) occurs in just six countries.Where the EU’s Deforestation Footprint LiesThe EUDR covers the seven commodities most closely linked to the EU’s deforestation exposure: cattle, oil palm, soy, cocoa, coffee, rubber and timber, as well as products made from them. The regulation requires companies to demonstrate that any covered commodities sold in or exported from the EU market were not produced on land that was deforested nor did they contribute to forest degradation after Dec. 31, 2020. The regulation will apply from Dec. 30, 2026 for large companies and June 30, 2027 for smaller ones. To understand where the EU’s deforestation exposure is concentrated — and where EUDR implementation could have the greatest reach — WRI analyzed Trase data on EU-linked commodity supply chains. The analysis incorporates WRI’s Tree Cover Loss data alongside information on crops, land uses and dominant deforestation drivers. It identifies the six countries with the greatest deforestation exposure linked to EU demand and examines the commodities driving that exposure. About the analysisTrase’s broader analysis looked at the EU’s links to deforestation through imports of more than 150 agricultural commodities. We focused on the seven commodities covered by the EUDR to understand where the regulation could address the largest share of the EU’s deforestation exposure.The analysis uses a broader definition of deforestation than the EUDR does in some cases. For example, it considers certain forestry activities, including the conversion of natural forests into forest plantations, as deforestation. Timber production is treated slightly differently under EUDR. These distinctions are important when interpreting the findings. Where is the EU’s deforestation exposure concentrated? The map below shows the six countries with the strongest links to EU demand for EUDR-covered commodities — and the commodities driving forest loss in each. All seven commodities drive forest loss in these countries, but five — cocoa, oil palm, coffee, cattle and soy — are the most significant. Cocoa in Côte d’Ivoire and GhanaThe EU is the world’s largest cocoa importer. Côte d’Ivoire accounts for more forest loss linked to EU demand than any other country in the world, with its cocoa alone representing 40% of the EU’s global deforestation footprint in EUDR-covered commodities. Ghana ranks fifth when considering only these commodities.Cocoa production is also associated with forest loss in protected areas. In Côte d’Ivoire, 37% of forest loss associated with cocoa cultivation occurred in protected areas, compared with more than 13% in Ghana. Soy and Cattle in BrazilBrazil accounts for 25% of deforestation linked to EU demand for EUDR-covered commodities, primarily through soy and cattle. Nearly half of soy-driven deforestation in South America happened in the Brazilian Cerrado, one of the world’s most biodiverse savannas. Soy is closely linked to cattle production, where pasture is often converted to soy. Oil Palm in Indonesia and MalaysiaIndonesia and Malaysia rank third and fourth for deforestation linked to EU demand for commodities. In both cases, oil palm is the major commodity.Together, the two countries account for 67% of the global area used to grow oil palm, with hotspots in Borneo, Sumatra and the Peninsular Malaysia. Cocoa, coffee and palm oil in PeruPeru is the sixth-largest source of the EU’s deforestation exposure from EUDR-covered commodities. More than half of deforestation linked to the EU in Peru comes from cocoa, coffee and oil palm. Peru experienced the fifth-highest primary tropical forest loss globally in 2025, with much of the loss driven by cocoa and oil palm. Roughly 40% of Peru’s cocoa and coffee exports are destined for the EU. The Role of Market Pressure, Voluntary Commitments and Policy Thanks to market pressure, voluntary commitments and preparation for the EUDR, deforestation linked to EU consumption has already seen a decline. It reduced from 260,000 hectares in 2016 to 92,000 in 2023.Some companies have already put traceability mechanisms aligned with the EUDR’s requirements in place. Among the 500 companies assessed, 14% of the assessed companies (68 companies) publicly cite the EUDR as the reason behind establishing traceability, conducting risk assessments and publishing deforestation commitments. However, one-third of the 500 companies have no zero-deforestation or conversion commitments for any commodity at all. These are among the most exposed companies in the most relevant supply chains, suggesting that voluntary market pressure has not reached them. The EUDR will play a key role in closing that gap. Related Forests What Is the EU Deforestation Regulation? 8 Key Questions, Answered Insights May 15, 2026 Regulations Enable ChangeThe EUDR is a promising solution to reducing a significant portion of the EU’s deforestation exposure. Other policies have already proven to be successful and show how policies and enforcement are central to reducing forest loss.In Brazil, for example, the relaunch of PPCDAm, a government’s anti-deforestation policy framework, alongside stronger law enforcement, helped reduce tropical forest loss since 2023. Non-fire primary forest loss dropped to 570,000 hectares in 2025, some of the country’s lowest to-date. Other examples show that commodity production and forest conservation don’t have to be at odds. Indonesia and Malaysia have also seen primary forest loss fall substantially from their early 2010s peaks, even as oil palm production continues to grow. Government moratoriums on new permits, stronger palm oil certification standards and voluntary corporate no-deforestation commitments are key factors in this fall.Indonesia experienced 282,900 hectares of non-fire related primary forest loss in 2025, a slight uptick from 2024, but down from a staggering high of 794,350 hectares in 2012. Between 2020 and 2025, Malaysia non-fire primary forest loss averaged 70,000 hectares per year, roughly 3 times less than the country’s peak loss (239,065 hectares) in 2012. Building Deforestation-Free Supply ChainsConditions in producer countries can change, and markets in importer countries will keep evolving. Experience from producer countries shows that regulation, enforcement and market pressure, aimed at the right supply chains, can help bend forest-loss trends. Instruments such as the EUDR can play a central role in addressing deforestation related to its own consumption. And with 11 football fields of tropical primary forest lost every minute in 2025, the need for action is more important than ever.

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