Europe Embraces ESG Rules to Drive Sustainability Goals

The EU's Corporate Sustainability Due Diligence Directive (CSDDD) is under pressure as American business groups push to weaken its impact. The directive requires companies with over €450 million in EU turnover to ensure due diligence across their value chains for environmental and human rights concerns, with penalties for non-compliance. US industry groups, backed by the incoming Trump administration, argue that the directive's extraterritorial reach harms American competitiveness and could divert resources from domestic investment. Lobbying by US companies and banks has influenced the EU's sustainability goals, raising concerns that opposition to the directive might lead to concessions. As the EU strives to simplify its regulations, critics worry it may weaken the directive’s effectiveness, risking setbacks in climate and human rights protections.

https://senecaesg.com/insights/europe-embraces-esg-rules-to-drive-sustainability-goals/