IKEA Emphasizes Traceability, Affordability
IKEA is responding to new European regulations on timber traceability, bolstering the sustainability credentials of its wood products reported.
IKEA's commitment to sustainability is being tested by the EU's Deforestation Regulation (EUDR), which requires companies to prove their timber isn't linked to post-2020 deforestation. This regulation demands geolocation data and stricter due diligence, potentially exceeding the rigor of existing certifications. While IKEA states that 96.5% of its wood is Forest Stewardship Council (FSC)-certified or recycled, investigations have revealed issues with some suppliers in Romania. These investigations showed clear-cutting in protected areas and fraud in wood transport reporting, with some of the timber ending up in IKEA's supply chains. The EUDR, set to fully take effect in December 2025, will replace the EU Timber Regulation (EUTR). The new regulation means that timber and timber products must be deforestation-free and produced in compliance with the relevant legislation of the country of production. Companies that fail to provide the required information risk having their goods blocked by EU customs authorities.
