ESG: Supply Chain Due Diligence

ESG: Supply Chain Due Diligence
Content Overview

Due diligence is the process by which undertakings identify, prevent, mitigate and account for actual and potential adverse impacts on human rights, including forced labor, and the environment in the company’s own operations, its subsidiaries and in its value chains. 

Due diligence requirements typically require undertakings to:

• Integrate due diligence practices in their corporate policies, 
• Identify actual and potential adverse impacts on human rights and the environment, 
• Prevent and mitigate potential adverse impacts, bringing actual adverse impacts to an end and minimizing their extent, 
• Establish and maintain a complaints procedure, 
• Monitor the effectiveness of their due diligence policy and measures
• Report and publicly communicate on due diligence.

ESG: Supply Chain Due Diligence
Coverage Included

Our regulatory content in C2P is historically comprehensive with a robust QA process to ensure quality, consistency and accuracy. Below is a high level summary of our coverage for this content area:

• EU: Corporate Sustainability Due Diligence (CSDDD), Directive (EU) 2024/1760
• EU: Sustainability Reporting Standards (ESRS), Regulation 2023/2772
• EU: Corporate Sustainability Due Diligence: How to Integrate Human Rights and Environmental Concerns in Value Chains, Briefing, May 2023
• EU: Corporate Sustainability Due Diligence (CSDDD), Directive (EU) 2024/1760 and Others – Proposed Amendment – (on postponement of deadlines for corporate sustainability reporting and due diligence requirements) Draft Directive, February 2025 (EU Omnibus Proposal)
• EU: Corporate Sustainability Due Diligence (CSDDD), Directive (EU) 2024/1760 and Others – Proposed Amendment – (on reducing companies in scope and deleting sector specific ESRS requirement) Draft Directive, February 2025 (EU Omnibus Proposal)
• EU: Omnibus Package, Q&A Document, February 2025
• France: Duty and Vigilance of Parent and Subcontracting Companies, Law No. 2017-399
• Germany: Corporate Due Diligence In Supply Chains Act, BGBl. 2959, 2021
• GRI: Corporate Sustainability Due Diligence Policies and Sustainability Reporting, Report, March 2023
• Netherlands: International Corporate Responsibility, Draft Act, November 2024
• Norway: Business Transparency and Work on Fundamental Human Rights and Decent Working Conditions, Act No. 99, 2021
• Sweden: Due Diligence in the Supply Chain, Regulation SFS 2020:1187
• Switzerland: Due Diligence Obligations and Transparency Regarding Minerals and Metals from Conflict Areas and Child Labour, Ordinance, December 2021
• California (USA): Fashion Environmental Accountability, Assembly Bill 405, 2025
• South Korea: Human Rights and Environmental Protection for Corporate Sustainable Management, Draft Law, September 2023
•  Canada: Fighting Against Forced Labour and Child Labour in Supply Chains Act, c. 9, 2023
• USA: Prevention of Forced Labor in Xinjiang Uyghur (UFLPA), House Bill 6256 Enacted, 2021