The ESG register · EU

Corporate Sustainability Due Diligence Directive (CSDDD)

Due diligence in operations and in the chain, with a transition plan, a complaints channel and civil liability.

Identifier

Direktiv (EU) 2024/1760 — CELEX 32024L1760

Status

phased

Applies

2027-07-26

Supervisor

Nationella tillsynsmyndigheter utsedda enligt direktivet

Who is covered

Large companies above the directive thresholds, third-country companies counted on union turnover.

Requirements in the text

• Artikel 8

  Identify and assess adverse impacts

  The company must map its own operations, subsidiaries and business partners in the chain of activities to identify actual and potential adverse human rights and environmental impacts. The mapping draws on quantitative and qualitative information, including independent sources, and is updated continuously. Where impacts cannot all be addressed at once, prioritisation follows severity and likelihood and must be reasoned.

  Example — A furniture maker maps three tiers back in the timber chain, prioritises two sawmills in a high-risk area after a severity assessment, and documents why low-risk Nordic suppliers are handled in the next cycle.

• Artikel 22

  Climate transition plan

  The company must adopt and put into effect a climate transition plan compatible with the 1.5 degree goal and with climate neutrality by 2050. The plan states time-bound targets, described actions, allocated investment and the role of the board. It is aligned with the climate plan already given in sustainability reporting.

  Example — A chemicals group adopts a plan with 2030 and 2040 milestones, allocates 1.2 billion kronor to electrify two plants and puts follow-up as a standing item on the board agenda.

• Artikel 29

  Civil liability

  Member states must ensure the company can be held liable in civil law where it intentionally or negligently failed its duties and damage resulted. A harmed person is entitled to full compensation, and the limitation period may not be shorter than the article states. Liability does not extend to damage caused solely by a business partner in the chain.

  Example — A group of workers at a subcontractor brings a claim after a factory accident, arguing the buyer failed to act on a known fire risk report for two years.

Counterpart in the other regime

• UFLPA · United States · Public Law 117-78 (2021)
• California SB 261 · United States · Health & Safety Code § 38533 (SB 261, 2023)

Official source — EUR-Lex, direktiv (EU) 2024/1760 · read 2026-09-01 · Value chain and due diligence