Qatar has threatened to cut off its natural gas supplies to the European Union in response to the bloc’s new Corporate Sustainability Due Diligence Directive (CSDDD), which addresses forced labor and environmental damage. The threat was detailed in a letter from Qatar to the Belgian government.
Qatar Cites EU Law as a Threat to Business Environment
In a letter dated May 21, Qatar’s Energy Minister Saad al-Kaabi stated that the country was reacting to the CSDDD, which requires large companies operating in the EU to identify and address human rights and environmental issues within their supply chains.
The letter explicitly warns that if further changes are not made to the CSDDD, Qatar and its state-owned energy company, QatarEnergy, “will have no choice but to seriously consider alternative markets outside the EU for our LNG and other products that offer a more stable and favorable business environment.”
Qatar is a crucial energy supplier, standing as the third-largest exporter of liquefied natural gas (LNG) globally, after the United States and Australia. It has supplied 12% to 14% of Europe’s LNG since Russia’s invasion of Ukraine in 2022.
A spokesperson for Belgium’s representation to the EU declined to comment on the letter, which was first reported by the German newspaper Welt am Sonntag. The European Commission also received a letter from Qatar and noted that EU lawmakers and member states are currently negotiating changes to the CSDDD.