The Corporate Sustainability Due Diligence Directive (CSDDD) was published in the Official Journal of the European Union on July 5, 2024, and requires EU member states to transpose it into national law by July 26, 2026. The directive mandates companies to adopt climate transition plans with time-bound emission reduction targets for 2030 and in five-year steps until 2050, including absolute greenhouse gas emission reduction targets across scopes 1, 2, and 3, as well as decarbonization strategies and investment plans aligned with efforts to limit global warming to 1.5°C.

Directive (EU) 2026/470 amends (EU) 2024/1760 (CSDDD) as regards corporate sustainability reporting and due diligence requirements. It adjusts the scope, timing and certain reporting and assurance provisions within those acts, thereby modifying how sustainability reporting and due diligence obligations are applied under EU law.