EU Corporate Sustainability Due Diligence Directive (CSDDD) Summary

June 27, 2024

In May 2024, after months of negotiations, the EU Corporate Sustainability Due Diligence Directive (CSDDD) was approved by the European Parliament, two years after its proposal by the European Commission.

The CSDDD applies to EU companies with more than 1,000 employees and a net worldwide turnover of over €450 million, as well as to non-EU companies with at least €450 million net turnover generated in the EU. These companies must investigate and address potential negative impacts on human rights and the environment throughout their value chain.

Impact on out-of-scope companies

While primarily targeting large companies, the directive also affects their suppliers and business partners, including those that are not directly in scope. In-scope companies must ensure their entire supply chain adheres to sustainability standards, increasing scrutiny and requirements for all involved. LC Packaging, for example, already has a robust due diligence process in place, which will be further optimised.

Companies without proper due diligence processes may face significant consequences under this directive, including fines of up to 5% of global net revenue for issues such as child labour, low wages, extreme working hours, and pollution.

CSDDD Summary

To support our customers, LC Packaging has created a CSDDD Summary document. This summary includes the directive’s key requirements and the measures LC Packaging has implemented to ensure compliance. Download the LC Packaging Summary of CSDDD for detailed information.

CSDDD Summary

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EU Corporate Sustainability Due Diligence Directive (CSDDD) Summary

Impact on out-of-scope companies

CSDDD Summary

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