CSDDD: what changes for supply chains in the logistics sector

Obligations, Risks, and Opportunities in the New EU Corporate Sustainability Due Diligence Directive

23 December 2025 — News

The new EU CSDDD (Corporate Sustainability Due Diligence Directive) introduces binding obligations for companies regarding human rights and environmental impacts across their value chains. For organizations operating in logistics, this means redefining processes, partner relationships, and operational strategies. This article explores what’s changing, the key risks to manage, and the competitive opportunities to seize.

Regulatory context: the CSDDD in brief

The CSDDD is part of a broader European legislative framework, alongside the Corporate Sustainability Reporting Directive (CSRD) and in line with the UN and OECD international guidelines. The European Commission clarifies that the goal is not to “guarantee the absence of negative impacts,” but rather to adopt adequate and proportionate measures to identify, prevent, and mitigate them.

The implementation timeline foresees a gradual rollout: from 2027 for companies with more than 5,000 employees and €1.5 billion in turnover, from 2028 for those with over 3,000 employees and €900 million in turnover, and progressively extending to a growing number of companies in subsequent phases, as illustrated by Skadden. Member States now have two years to transpose the directive into national law – making it all the more urgent for businesses to prepare in advance.

Main obligations for companies (focus on logistics)

The CSDDD defines a multi-stage process that companies must implement. Below are the key obligations that affect logistics and supply chain operations.

1. Integration of due diligence into corporate systems
   Incorporate due diligence into policies, codes of conduct, management systems, and operational procedures including logistics-related ones such as procurement and supplier selection.
2. Mapping,identification, and risk assessment
   Conduct risk analyses (environmental, social, and human rights) along the logistics chain – including transport, storage, intermodal management, and logistics service providers. This involves attention to aspects such as working conditions in transport fleets, fuel usage, emissions, terminal management, and warehouse safety standards.
3. Preventive and mitigating measures
   These measures may include:
   1. Contracts with logistics partners containing compliance clauses (codes of conduct), audits, and reporting mechanisms
   2. Investments in cleaner technologies (low-emission, electric, or biofuel-powered vehicles)
   3. Route optimization and load consolidation
   4. Training and engagement of logistics suppliers on ESG standards
4. Monitoring and effectiveness
   Periodically verify the effectiveness of the measures implemented (performance indicators, audits, improvement metrics) and update action plans accordingly.
5. Public communication
   Companies covered by the directive must publish a due diligence report detailing their organizational structure, identified risks, measures taken, and achieved results.
6. Complaint and remedy mechanisms
   Stakeholders affected by negative impacts must have access to complaint procedures (whistleblowing) and appropriate remedies.
7. Climate transition plan
   Companies must adopt a climate transition plan aligned with the EU objective of limiting global warming to 1.5°C, including intermediate targets and measurable metrics.

Risks and opportunities

Non-compliance can have significant consequences. National authorities may impose fines of up to 5% of annual turnover, while a company’s reputation could be severely damaged in cases involving labor conditions or environmental impacts along the logistics chain. Additionally, there are operational risks linked to updating fleets, infrastructures, and monitoring systems.

At the same time, the CSDDD also presents an opportunity to strengthen competitiveness. Enhancing due diligence processes means improving transparency and traceability, gaining access to markets and public tenders that require ESG standards, and achieving operational benefits through the adoption of more sustainable logistics solutions such as route optimization and low-emission transport.

Iglom’s approach

The new regulatory scenario confirms that sustainability is no longer optional – it is now a structural component of business management. In this context, Iglom places continuous attention to regulatory developments, process updates, and collaboration with qualified partners at the core of its operations.

Although Iglom is not yet directly subject to the CSDDD, the company is already actively engaged in its alignment process. Many of its clients are required to ensure that their entire value chain complies with specific standards on human rights and environmental sustainability. For this reason, Iglom supports its clients and partners in achieving compliance by promoting best practices, transparent processes, and increasingly responsible logistics.

This commitment strengthens Iglom’s competitiveness and credibility in the market, positioning it as a reliable and proactive partner in an evolving and highly regulated context.