EU Batteries Regulation due diligence threshold FAQ

When does Article 47 keep an operator outside Chapter VII battery due diligence?

• Check the operator's net turnover and, separately, whether its parent-subsidiary group has consolidated turnover exceeding EUR 40 million. An operator at exactly EUR 40 million does not meet the below-EUR-40-million exclusion.
• Treat the reuse, repurposing, and remanufacturing exclusion as battery-specific: it depends on whether the batteries were already placed on the market or put into service before the operation.
• Do not use an Article 47 out-of-scope result to dismiss other Batteries Regulation duties, such as product, labelling, producer responsibility, or waste-battery requirements.
• Do not treat an Article 47 exclusion as an exemption from separate EU conflict-minerals due diligence law; Article 47 says Chapter VII applies without prejudice to Union rules for minerals and metals from conflict-affected and high-risk areas.

Which batteries and raw materials matter if Chapter VII applies?

• Map battery models and categories that are placed on the market or put into service by the operator.
• Identify whether cobalt, natural graphite, lithium, nickel, or covered chemical compounds are present in the battery supply chain.
• Connect the materials review to sourcing, processing, and trading risks rather than treating the threshold as a one-time finance-only check.

What evidence should support the threshold decision?

• Turnover evidence: signed finance source, the financial year preceding the last financial year, group consolidation conclusion, approver, and next reassessment date.
• Battery exclusion evidence: original market-placement or put-into-service record and the later reuse, repurposing, or remanufacturing operation record.
• Materials evidence: bill of materials or supplier declaration for cobalt, natural graphite, lithium, nickel, and covered compounds.
• Supply-chain evidence: supplier identity, country of origin, transaction trail, raw-material quantities, and relevant third-party verification reports where Article 49 requires them.
• Retention evidence: Chapter VII documentation, verification reports, approval decisions, and audit reports kept for the period required by Article 48.

What is the verification and disclosure route after the threshold is met?

• Verification route: notified-body verification, report, approval decision where applicable, and periodic audit.
• Authority route: make verification, approval, audit, and recognised-scheme evidence available to market surveillance or national authorities when requested.
• Customer route: provide immediate downstream purchasers with relevant due diligence information, subject to business confidentiality and competitive concerns.
• Public route: annually review and publish the battery due diligence policy report, including significant adverse impacts and how they were addressed.
• Recycled-source route: publicly disclose conclusions in reasonable detail when Annex X raw materials in the battery are demonstrated to come from recycled sources.

Questions and answers