During a major decision on Wednesday, European Parliament members decided by a margin of 355-247 to restrict product terms including "steak" and "schnitzel" exclusively for animal-derived foods.
If the measure becomes law, common plant-based items like veggie burgers, soy steak, and cauliflower schnitzel could need to be renamed across EU markets.
However, before the ban to be enforced, it needs to gain support from most of the EU's 27 countries, which is uncertain.
Proponents argue that consumers need clear labeling and while meat terms must only refer to products derived from livestock.
"An escalope and sausages represent goods from animal farming: not synthetic production or vegetable sources," said France's MEP Céline Imart.
Opponents, led by environmental lawmakers, described the decision political tactics.
"Veggie burgers, wheat schnitzel and tofu sausage don't mislead shoppers, only certain lawmakers," declared Austria's Green MEP Thomas Waitz.
This isn't the first attempt to regulate such names. The European parliament voted down a comparable ban in 2020.
The French government previously introduced a national ban on meat terms for vegetarian products in recent years, but the European court of justice determined it invalid under European legislation in this year.
Leading Germany's supermarkets including Aldi and Lidl oppose the proposal, warning that altering familiar terms would mislead shoppers.
Advocacy organizations point to surveys indicating that the majority of shoppers understand these names as long as items are properly identified as vegan.
"Almost seventy percent of shoppers understand the terminology provided items are clearly labelled plant-based," said Irina Popescu, a consumer expert at BEUC.
The legislative measure now faces review by EU member states, where it must secure broad approval to be enacted.
Given the divided views among both lawmakers and the public, the future of the proposal is still unclear.