Qatar Warns It May Restrict Gas Exports to Europe Over EU Sustainability Law

The government of Qatar has issued a stark warning that it may limit exports of liquefied natural gas (LNG) to Europe unless the Corporate Sustainability Due Diligence Directive (CSDDD) is modified. The directive, adopted by the European Union in 2024, mandates that large companies operating in or supplying the bloc must identify and act on human-rights and environmental risks in their supply chains. Violations may incur fines up to 5% of global turnover. The Qatari Energy Minister stated that the current form of the law “poses a real threat” to the continued supply of LNG to the EU, emphasising that his country “cannot supply gas to a region that would impose a fine of 5% on our global turnover.” This concern stems from Qatar’s status as one of Europe’s major LNG suppliers, supplying an estimated 12-14% of the continent’s LNG since the upheaval following the Russian invasion of Ukraine. In response, Qatar and the United States have jointly urged the EU to amend or repeal the directive’s extraterritorial and liability-based provisions, warning that failure to do so could undermine energy security, investment flows and relations with key export partners. The situation underscores growing tensions between Europe’s sustainability ambitions and its reliance on external energy suppliers.