Significant Support for Tightened Supply Chain Regulations Among the Majority of Citizens
In a recent study conducted by researchers at the University of Kassel, it has been revealed that a significant majority of the German population supports an expansion and tightening of the Supply Chain Due Diligence Act (LkSG). The study, accessible online at https://www.uni-marburg.de/en/fb02/research-groups/economics/macroeconomics/research/magks-joint-discussion-papers-in-economics/papers/2025-papers/09-2025.pdf, found that 68% of respondents agree with extending the LkSG to all companies selling products in Germany.
The LkSG, which came into effect on January 1, 2023, for companies with at least 3,000 employees and will apply to companies with at least 1,000 employees from January 1, 2024, requires companies to monitor their supply chains for compliance with labor standards, human rights, and environmental regulations.
However, conservative and liberal parties in Germany have expressed reservations about stricter supply chain laws, largely due to concerns about economic competitiveness and the burden on companies. Chancellor Friedrich Merz, among other conservative voices, has advocated for the repeal or weakening of supply chain regulations, fearing they could impose costly obligations on businesses and lead to trade disadvantages.
The study found no evidence that people with conservative or liberal political self-identification are less likely to support stricter legal regulations on average. Critics argue that relaxing these regulations risks letting human rights abuses and environmental harm persist unaddressed, particularly in complex global supply chains involving child and forced labor.
The economic context includes new EU-US trade agreements imposing tariffs on German exports, such as 15-50% tariffs on sectors like automotive and steel, which intensify concerns about competitiveness and profit margins. This has encouraged conservative and liberal parties to prioritize protecting business interests over stricter laws perceived as burdensome.
The study, which was conducted as part of an interdisciplinary research project funded by the University of Kassel, involved a survey of 507 representative participants in July and August 2023. Participants had to choose between two legal variants six times each: the status quo of the LkSG and a hypothetical, tightened variant.
A symbolic image of a container terminal or freight airport would be suitable for illustration. The survey results indicate a contradiction between party policy and voter will, with the majority of the population supporting stricter oversight of supply chains to ensure human rights and environmental standards, while political parties prioritise maintaining Germany's industrial competitiveness and avoiding additional costs for companies.
It is worth noting that the European Union adopted a supply chain law in 2024, with the deadline originally planned for early 2025 but now postponed to June 26, 2028. At 78%, there is also strong support for the possibility of civil law damages claims.
Prof. Dr. Andreas Ziegler from the Institute of Economics at the University of Kassel emphasizes this broad support for stricter supply chain laws. The study's results suggest that the rejection of stricter supply chain laws by conservative and liberal parties does not align with the attitudes of their own potential voters. This creates a divergence between political-economic interests and popular opinion supporting stricter laws.
- The study conducted by researchers at the University of Kassel revealed that a majority of the German population, regardless of political affiliation, supports an expansion and tightening of the Supply Chain Due Diligence Act (LkSG), including civil law damages claims, in line with a stricter oversight of supply chains to ensure human rights and environmental standards.
- The study found that concerns about economic competitiveness and the burden on companies, often expressed by conservative and liberal parties in Germany, may not be shared by the general public, as 68% of respondents agreed with extending the LkSG to all companies selling products in Germany.
