TREE Act

The TREE Act prohibits the import and sale in the U.S. of goods linked to deforestation, starting in 2029, and directly affects companies that trade or sell commodities like cattle, soy, palm oil, and wood. To enforce this ban, the bill requires importers to submit detailed due diligence statements proving their products are deforestation-free, while also mandating increased customs inspections for goods from countries categorized as high or moderate risk. The U.S. Trade Representative will annually assess and rank countries based on their deforestation rates and environmental laws, with higher-risk nations facing stricter scrutiny and potential trade restrictions. Additionally, the law establishes civil penalties for violations and directs half of the collected fines toward providing financial assistance to developing countries for forest management.