Due diligence legislation versus trade policy
/In February 2022 the European Commission launched a proposal for an EU corporate sustainability due diligence directive (‘CSDDD proposal’). Companies will be mandated, under threat of sanctions, to monitor adverse impacts that may arise throughout their value chain from violations of a series of sustainability treaties: that is, treaties on human rights, labor and the environment. These treaties are listed in a comprehensive Annex. This due diligence obligation applies globally; no distinctions are made depending on the countries where the value chain operates.
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