EU Parliament Votes to Cut ESG Rules After US Pressure Campaign

The European Parliament has voted to dramatically wind back the bloc’s ESG rules following intense pressure from US business associations and state attorneys general.

The development means that more than 90% of companies originally in scope of environmental, social and governance reporting requirements will no longer need to comply. Other planks of the rulebook that emerged as a sticking point for the US have been dropped entirely. After Thursdays vote, the legislation now heads for approval by the European Union’s member states.

The EU responded to concerns raised by America’s fossil-fuel industry and the American Chamber of Commerce, said Pascal ...