EU moves to slow AI Act rollout under Omnibus VII

The EU’s Council of Ministers and Parliament have agreed changes under the Omnibus VII package that would adjust how the EU’s Artificial Intelligence Act is applied. The package continues a broader EU shift toward simplifying regulation, slowing implementation and reducing burdens for smaller sized companies.

The changes also seek to avoid double regulatory requirements where obligations already exist under other EU laws. Similar burden-reduction moves have previously targeted ESG rules under the Corporate Sustainability Reporting Directive, Corporate Due Diligence Directive and the EU Deforestation Regulation. Adoption is expected imminently because deadlines the package aims to delay otherwise begin in August.

For high-risk AI products, the EU approach relies on the familiar conformity assessment and CE marking framework used across many consumer products in the EU market. The package is expected to clarify overlaps with sector-specific safety laws, including the Machinery Regulation, offering more certainty to companies building AI products, using AI as a safety component, or entering AI-enabled manufacturing.