EU AI Act Reform Talks Stall Over High‑Risk AI Rules
Negotiations on the proposed reform of the EU Artificial Intelligence Act have stalled after the European Parliament and the Council failed to agree on a common position during a 12‑hour trialogue that ended in the early hours of 29 April. Talks will resume next month. The delay directly affects the European Commission’s Digital Omnibus on AI, introduced on 19 November 2025, which aims to simplify and adjust the implementation timeline of the AI Act’s most burdensome obligations.
At stake is the timing of compliance for high‑risk AI systems. Before trilogues began, lawmakers and member states aligned on postponing obligations for Annex III high‑risk AI systems to 2 December 2027, and for AI embedded in regulated products under Annex I to 2 August 2028. With negotiations now paused, there is a real risk that Annex III systems will remain subject to the original compliance deadline of 2 August 2026, creating legal uncertainty for companies preparing for rollout and conformity assessments.
The core disagreement centers on AI embedded in regulated products such as medical devices and toys. The European Parliament has pushed to move certain sectoral legislation from Annex I Section A to Section B, effectively shifting how these systems are regulated under the AI Act. The Council has resisted, warning against fragmentation and legal complexity. Industry voices, particularly from Germany, argue that many industrial AI systems are already adequately governed by sectoral laws and that reforms must avoid double regulation. Estimates cited by industry suggest unnecessary compliance costs could reach €31 billion.
Politically, the delay has exposed tensions within the Parliament, with Greens criticizing cooperation between the European People’s Party and right‑leaning groups, while EPP representatives insist simplification is essential for competitiveness. Former negotiators and legal experts warn that prolonged uncertainty could undermine both the AI Omnibus and Europe’s standardization strategy. According to sources cited by Reuters, negotiations are expected to resume within two weeks, leaving a narrow window to reconcile simplification with the AI Act’s horizontal regulatory structure.