Special cases for materials: Bamboo and cardboard packaging under the EUDR - What applies?

Executive Summary

Bamboo and cardboard are among the materials for which the EUDR causes uncertainty in practice. Bamboo is botanically not wood, but a woody grass and is therefore not currently covered by the EUDR wood regulations. It only becomes relevant for mixed materials with wood content, where more precise material testing is required.

Cardboard packaging is exempt under certain conditions, particularly if it is used purely as packaging or is made from recycled material. However, if they are placed on the market as independent commercial goods, EUDR obligations may apply. Correct customs classification is crucial in both cases: companies should not rely on material names, but should check classifications precisely, document them and coordinate them closely with suppliers and the internal customs department.

EUDR and the list of raw materials concerned

The central raw materials of the EUDR

The European Deforestation Regulation aims to reduce the risk that products made available in the EU may be associated with global deforestation or forest degradation. The scope of the regulation is defined on the basis of a list of raw materials and their derivatives, which are explicitly listed in Annex I of the EUDR. The main raw materials include soy, beef, palm oil, coffee, cocoa, rubber and, above all, wood. Wood and its derivatives are of particular importance, as they play a fundamental role in numerous products and production processes.

The EUDR lists a large number of specific HS codes (Harmonized System, or CN headings for the customs tariff), which companies can use to check whether their goods are subject to declaration or documentation. For example, in addition to raw timber and construction timber, wood pulp, paper and paper products are also explicitly named with specific customs codes. The clear naming of these codes provides security. But what about products that cannot be clearly subsumed under these categories in practice?

How to deal with materials not explicitly mentioned?

Actual uncertainties arise for companies time and again when the materials used have wood-like properties or are similar in function to other raw materials, but are not explicitly mentioned in the Annex to the EUDR or when their botanical or chemical origin is not clear. This is particularly relevant for substitute materials such as bamboo or composite materials, but also for classic secondary products such as cardboard. The question of whether such materials fall under the EUDR determines whether due diligence obligations, including verification, due diligence declarations and supply chain audits, must be fulfilled. Against this background, this article specifically analyzes the cases of bamboo and cardboard or paper packaging. These are two groups of materials that, for different reasons, regularly trigger the need for audits in business practice.

Case study 1: Bamboo

Botanical classification: Bamboo is not a tree

In order to enable the EUDR legal assessment of bamboo, a botanical clarification is first necessary. Botanically speaking, bamboo belongs to the sweet grass family (Poaceae). It is not a tree, but a woody grass that often reaches impressive sizes in tropical and subtropical regions and is of growing importance as a raw material in many branches of industry. Its ecological characteristic of growing quickly and taking up comparatively little space makes bamboo particularly attractive from a sustainability perspective and in bioeconomic cycles. Accordingly, bamboo is particularly in demand as a substitute for wood in areas such as furniture making, construction, packaging and consumer goods.

From a customs tariff perspective: Is bamboo treated like wood?

For the customs assessment, it is necessary to check under which HS heading bamboo and products made from it are classified. In fact, the EU customs tariff differentiates between "wood" (Chapter 44) and other woody plants. Bamboo is usually not part of the wood chapter, but runs under separate codes, for example "bamboo" under HS heading 1401 10. However, depending on the processing and product type, bamboo products can also appear in paper chapters or as finished goods under specific headings.

Consequences for the EUDR

According to the FAO, bamboo is regarded as another forestry product and therefore does not fall under the raw material wood. The key message for companies is therefore: According to the current interpretation of the EUDR, bamboo, as a botanically and customs-wise independent group of raw materials, does not fall under the explicitly named wood raw materials or derivatives subject to EUDR. This applies both to raw bamboo material and to products made of bamboo (e.g. chopping boards, furniture, bamboo parquet or disposable bamboo tableware). Companies that import, process or distribute bamboo products are currently not obliged to comply with the EUDR due diligence obligations for wood products (such as providing evidence of deforestation-free production).

However, there are gray areas in practice: According to Article 1 (1) of the EUDR, "relevant products" only apply to those that contain or are manufactured with relevant raw materials - this includes wood. So if a product contains a material mix of bamboo and classic wood, the respective tariff classification is decisive. The CN heading under which the end product is declared is always decisive. If, for example, a bamboo composite material contains a relevant proportion of wood and falls under a wood-related HS code, the EUDR obligation may apply again. In the case of material mixtures or processed goods, companies must therefore individually check which CN headings are used for declaration and how the underlying material content is to be verified.

Deviating future interpretations by national authorities or the European Commission are also possible. Companies that trade in bamboo on a large scale should therefore keep a constant eye on relevant legal developments and any amendments to the technical implementing regulations of the EUDR.

Case study 2: Cardboard packaging

HS code 48191000 - what does this mean?

Cardboard boxes and paper packaging are categorized differently in the customs system. Boxes and cartons made of corrugated paper or cardboard, which are primarily used as packaging material for a wide variety of products, are listed under the HS code 48191000. The heading is relevant for importers and producers who use paper packaging of any kind for the packaging, storage and transportation of their goods. With regard to the EUDR in particular, the question arises as to whether paper packaging based on wood is subject to notification or whether it is an exception and remains excluded from the scope of the EUDR.

EUDR logic: paper products and wood raw materials

The EUDR not only covers pure wood or wood-based materials, but also explicitly a range of paper products. This applies in particular to products in Chapter 48 of the customs tariff (paper and cardboard and goods made from them). They are recorded on the basis of clearly named HS codes. For example, certain pulps (CN headings 4701-4706), paper and cardboard products (e.g. CN 4802, 4804, 4806) as well as printed products or semi-finished products made of wood (derivatives) are subject to documentation.

This exemption is based on the aim of the regulation to primarily protect against deforestation-relevant raw material flows, while packaging material in supply chains is not the focus. However, unpackaged paper goods or paper products as such are regularly covered by the EUDR, provided they belong to the product groups listed in Annex I.

It should also be noted that the Regulation does not apply to goods produced exclusively from material that has completed its life cycle and would otherwise have been disposed of as waste within the meaning of Article 3(1) of Directive 2008/98/EC. It shall not apply to goods produced exclusively from material that has completed its life cycle and would otherwise have been disposed of as waste. In such cases, no EUDR obligations apply. However, if a product contains non-waste-based or primary material, the EUDR obligations apply again to the product in scope. However, the obligations can be revived if the product contains non-recycled material.

Exceptional cases: When packaging can be relevant

However, companies should by no means assume that all cardboard packaging and EUDR paper packaging will remain exempt. In practice, there are several exceptions: If paper packaging is not traded or resold as a mere transport medium, but as a product itself, it may still be subject to the obligation to provide evidence. For example, the import of empty folding boxes under HS code 48191000 as an independent product, regardless of the non-wood-containing goods inside, may require an EUDR inspection.

The decisive factor is the function: packaging that exclusively supports, protects or carries another product is outside the EUDR scope, regardless of the CN/HS code. However, if packaging is provided as an independent product (e.g. empty folding boxes or gift boxes), it is subject to EUDR.

In some cases, it also depends on the type of paper raw materials: If the packaging does not exclusively contain end-of-life/waste material (e.g. mixtures of recyclate and primary fiber), it cannot fall under the recycling or waste exemption, in which case the EUDR obligations apply to the product placed on the market as a good in scope. Another special case exists for products where the packaging represents added value as part of the overall product, such as high-quality gift packaging or designer boxes that are themselves sold as goods. The EUDR can also be relevant here.

Recommendations for companies

Check tariff classification - do not rely on material names

One of the most common sources of error in practice is the hasty classification of raw materials or products based on their common name. Bamboo products, for example, are often treated as wood products across the board, although they must be considered separately from a customs tariff and botanical perspective. Companies should therefore always check the exact customs classification of their goods. The CN heading is always decisive, not the colloquial description. Particularly in the case of material mixtures, composite materials or special solutions such as impregnated cardboard packaging, a qualified check is recommended - ideally in close consultation with experienced customs or trade law experts and with the aid of the official nomenclature or binding tariff information.

Documentation of the test for later verification

The requirements of the EUDR go beyond mere knowledge of the classification of goods. In the event of liability, the company must be able to prove that it has carried out the correct classification and inspection with sufficient care. Complete, written documentation of every material-specific inspection is therefore essential. Whether it is a specific inventory of the HS codes used, a statement from a tax consultant or official customs information: only clean, documented evidence will protect companies against inspection authorities in the event of a conflict. Particularly in the case of critical materials such as bamboo (due to its proximity to traditional wood) or paper packaging (due to the exemption), every inspection should be recorded in a comprehensible manner.

Communication with suppliers and customs department

The success of effective EUDR compliance management stands and falls with transparent coordination along the supply chain. Companies should ask their suppliers specifically about the origin and composition of materials and, especially in the case of trading companies, obtain the exact customs tariff position and control documents. Internal coordination with the customs department or external service providers also minimizes the risk of incorrect entries in the import declaration. Especially in the case of complex materials or spontaneous market innovations, an interdisciplinary comparison must be ensured.

A practical case illustrates the importance of cooperation: a company was planning to introduce reusable food boxes made of bamboo. However, the customs department did not identify the HS item as wood, but as a product made of woody grass, which meant that there were no EUDR obligations. Without this reconciliation, additional evidence would have been wrongly requested, with additional bureaucratic work and outdated compliance processes.

Conclusion

As things stand at present, bamboo is not subject to the EUDR wood obligations. Cardboard boxes are generally exempt as packaging. However, if they are sold as a separate commodity, EUDR obligations may apply. Treating wood-like materials across the board as subject to EUDR is neither correct nor sensible.

The decisive factor is the CN heading. Companies should check the customs tariff classification of their products at an early stage, ideally during product development or purchasing planning. This avoids unnecessary expense, liability risks and gaps in supplier communication.