Dick Walraven

The die is cast: The Corporate Sustainability Due Diligence Directive (CSDDD), also known as CS3D, has been adopted by the European Union on 15 March. But what does this mean for your corporation, and how does it relate to the Corporate Sustainability Reporting Directive (CSRD)?

The Directive on Corporate Sustainability Due Diligence, also known as CSDD, is part of the ‘Fit for 55’-package and the European Green Deal. The CSDD has a very close link with the CSRD. According to the CSRD, a company must establish processes to properly collect information for reporting purposes. This obligation is closely related to the due diligence obligation established under the CSDD directive to identify negative impacts. Furthermore, companies falling within the scope of both directives must report (CSRD) on their due diligence obligations (CSDD). The proposed directive will result in more complete and effective reporting by companies under the CSRD directive.