?? Last round of CSDDD trialogue negotiations ??

As negotiations on the EU Corporate Sustainability Due Diligence Directive (CSDDD) enter their final round, a potential deal is on the horizon for next week.

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Tomorrow, Wednesday, 13th December, the European Parliament, EU Member States, and the Commission will come together for a groundbreaking trialogue negotiation meeting. Currently, four different proposals lie on the table. The focus? Discussing and agreeing on the company and industry scope targeted by the CSDDD.

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The CSDDD mandates companies to identify, prevent, mitigate, and report environmental harms and human rights violations across their value chains. An ambitious directive aiming to ensure effective management of sustainability impacts and risks. However, recent developments, particularly the exclusion of financial companies from the due diligence framework, have added complexity to the negotiations.

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In November, some EU Member States, primarily led by France, advocated omitting financial institutions from the due diligence framework in their negotiation mandate due to mounting industry pressure. The initiative received counterpressure from the Netherlands, Germany and other member states stating that the exclusion of this core sector erodes the fundamental purpose of the directive. Taking into consideration, that the financial sector facilitates and drives investments within the EU, the pivotal question for tomorrow remains:

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?? Will the financial sector be included in the CSDDD scope?

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Follow along for more CSDDD updates and stay tuned for the outcome ??

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#CSDDD #Lieferkettengesetz #supplychain #inloop