CSDDD

ESG

Corporate Sustainability Due Diligence Directive — EU law requiring large companies to conduct human rights and environmental due diligence throughout their value chains.

Common questions

What is the EU Corporate Sustainability Due Diligence Directive (CSDDD)?

CSDDD (also called CS3D) requires large EU companies to conduct due diligence on human rights and environmental impacts throughout their value chains — including their Indian suppliers. Scope as adopted: 1,000+ employees and EUR 450M+ global turnover; 2025-2026 EU "Omnibus" amendments narrowed scope to the largest companies and pushed application to 2028-2029, not 2027. Obligations include: (1) map supply chain impacts, (2) prevent/remedy human rights and environmental harms, (3) establish complaint mechanisms, (4) report annually. Indian exporters to large EU companies should prepare for supplier assessments and compliance-evidence requests.

Related terms

• Carbon Footprint
• Circular Economy
• Environmental Social Governance
• Fair Trade Certification
• GOTS Certification
• Life Cycle Assessment

From the AJG lexicon archive (July 2026). FAQ sources: EUR-Lex — Directive (EU) 2024/1760.