On the Necessary Adoption of the CSDDD by the EU Council

We research, teach, and consult on issues relating to the sustainable transformation of the economy in various disciplines. We are very concerned about the current plans against the adoption of the EU supply chain regulation (Corporate Sustainability Due Diligence Directive—CSDDD) agreed in the trilogue by the EU Council, initiated by the German Ministries of Finance and Justice (Christian Lindner and Dr. Marco Buschmann). They not only call into question the success of the CSDDD, but also the sustainability transformation of the EU economy following the EU Green Deal project. We believe that the CSDDD is not just a burden, but also provides legal certainty for companies with international supply chains.

In addition to strengthening human rights and decent working conditions (eg, prevention of child and forced labor), the aim of the EU Green Deal is to achieve a climate-neutral economy by 2050. This requires, among other things, the implementation of a corporate climate strategy in line with the Paris Agreement and corresponding incentive systems at company management level. The statement that the requirements of the CSDDD are not compatible with the function of the supervisory bodies and represent a serious interference in corporate governance is therefore open to criticism. In any case, sustainability aspects must be reported in future in accordance with the Corporate Sustainability Reporting Directive (CSRD). This also includes the value chain. The informative value of future sustainability reporting and the overarching objectives of climate neutrality and strengthening human rights in the EU would be at risk without the CSDDD.

The argumentation of Ministers Lindner and Buschmann also calls into question the German Supply Chain Act (LkSG), which already came into force on 1 January 2023, as a lack of EU harmonization through the CSDDD is likely to significantly worsen the competitive situation of the German economy in international trade. We strongly oppose the statement that the CSDDD 'also threatens to worsen the situation in terms of human rights and ecology' through reshoring.

Compared to other national supply chain acts within the EU, eg, in Germany, the CSDDD will only result in selective additional administrative work for domestic companies (eg, risk-based approach, no significant additional reporting obligations). The CSDDD would create the necessary level playing field in Europe for the benefit of the German and European economy. This important contribution of the European regulation must now be defended through political unity. We therefore call on the German Federal Government and the members of the Committee of Permanent Representatives (COREPER) to actively advocate the adoption of the CSDDD.

In alphabetic order: 

Prof. Dr. Michael K. Addo, University of Notre Dame London

Prof. Dr. Heribert M. Anzinger, Universität Ulm

Prof. Dr. Alessio Bartolacelli, University of Modena

Dr. Julia Bartosch, Radboud Universität Nijmegen

Prof. Dr. Anna Beckers, Universität Maastricht

Prof. Dr. Lucia Bellora-Bienengräber, Universität Groningen

Dr. Nadia Bernaz, Wageningen University

Dr. Matthias Birkholz, lindenpartners

Prof. Dr. Judith Brockmann, Universität Kassel

Prof. Dr. Lisa Carstensen, Universität Kassel

Christophe Clerc, Descartes Legal Paris

Prof. Dr. Martina Deckert, Universität Kassel

Prof. Dr. Laura Marie Edinger-Schons, Universität Hamburg

Dr. Klaas Hendrik Eller, Universität Amsterdam

Prof. Dr. Olivier Favereau, Université Paris Nanterre

Prof. Dr. Andreas Fischer-Lescano, Universität Kassel

Prof. Dr. Martin Franz, Universität Osnabrück

Tonio Friedmann, Johannes Gutenberg-Universität Mainz

Dr. Nicola Gundt, Universität Maastricht

Prof. Dr. Malte-C. Gruber, Justus-Liebig-Universität Gießen

Prof. Dr. Dr. Stefan Grundmann, Humboldt-Universität zu Berlin

PD Dr. Markus Helfen, Hertie School Berlin’s University of Governance

Prof. Dr. Isabell Hensel, Universität Kassel

Prof. Dr. Markus Kaltenborn, Ruhr-Universität Bochum

Prof. Dr. Eva-Maria Kieninger, Julius-Maximilians-Universität Würzburg

Dr. Judith Kopp, Universität Kassel

Prof. Dr. Markus Krajewski, Friedrich-Alexander-Universität Erlangen-Nürnberg

Prof. Dr. Malte Kramme, TU Bergakademie Freiberg

Dr. Nora Lohmeyer, Radboud Universität Nijmegen

Prof. Dr. Bertram Lomfeld, FU Berlin

Prof. Dr. Antoine Lyon-Caen, Université Paris Ouest Nanterre La Défense

Prof. Dr. Timo Meynhardt, HHL Leipzig Graduate School of Management

Prof. Dr. Caroline Meller-Hannich, Martin-Luther-Universität Halle-Wittenberg

Prof. Dr. Hans-W. Micklitz, Europäisches Hochschulinstitut

Prof. Dr. Anne-Christin Mittwoch, Martin-Luther-Universität Halle-Wittenberg

Prof. Dr. Guido Möllering, Universität Witten/Herdecke

Prof. Dr. Florian Möslein, Philipps-Universität Marburg

Prof. Dr. Martin Müller, Universität Ulm

Sean Needham, Helmut-Schmidt-Universität. Universität der Bundeswehr Hamburg

Prof. Dr. Jens Newig, Leuphana Universität Lüneburg

Prof. Dr. Dr. Maximilian Pichl, Hochschule RheinMain

Prof. Dr. Irina Parachkévova-Racine, Université Côte D’Azur

Prof. Dr. Gaetano Piepoli, Università degli Studio di Bari Aldo Moro

Prof. Dr. René Repasi, Erasmus Universität Rotterdam

Prof. Dr. Jean Philippe Robé, Sciences Po Paris

PD Dr. Martin Rohleder, Universität Augsburg

Prof. Dr. Giesela Rühl, Humboldt-Universität zu Berlin

Prof. Dr. Andreas Rühmkorf, Westfälische Hochschule

Dr. Miriam Saage-Maaß, ECCHR

Dr. Tatiana Sachs, Université Paris Nanterre

Prof. Dr. Anne Sanders, Universität Bielefeld

Dr. Philipp C. Sauer, EM Strasbourg Business School

Dr. Christian Scheper, Universität Duisburg-Essen

Prof. Dr. Dr. h.c. Stefan Schaltegger, Leuphana Universität Lüneburg

Prof. Dr. Frank Schiemann, Otto-Friedrich-Universität Bamberg

Dr. Christian Schliemann-Radbruch, ECCHR

Prof. Dr. Thomas Schomerus, Leuphana Universität Lüneburg

Prof. Elke Schüßler, Leuphana Universität Lüneburg

Prof. Dr. Julia Schwarzkopf, Hochschule für Technik und Wirtschaft (HTW) Berlin

Prof. Dr. Stefan Seuring, Universität Kassel

Prof. Dr. Beate Sjåfjell, University of Oslo

Prof. Dr. Lucia Sommerer, Martin-Luther-Universität Halle-Wittenberg

Prof. Dr. Tobias Steindl, Universität Regensburg

Prof. Dr. Jörg Sydow, FU Berlin

Prof. Dr. Hannah Trittin-Ulbrich, Leuphana Universität Lüneburg

Prof. Dr. Patrick Ulrich, Hochschule Aalen

Prof. Dr. Laura Valle, Freie Universität Bozen-Bolzano

Prof. Dr. Patrick Velte, Leuphana Universität Lüneburg

Prof. Dr. Stephane Vernac, Université de Picardie Jules Verne

Dr. Dr. Carolina Vestena, Universität Kassel

Dr. Anne-Marie Weber, Universität Warschau

Prof. Dr. Stefan C. Weber, StB, Fachhochschule Wedel

Prof. Dr. Marc-Philippe Weller, Universität Heidelberg

Prof. Dr. Christopher Wickert, Vrije Universiteit Amsterdam

Prof. Dr. Inge Wulf, Technische Universität Clausthal

Dr. Anil Yilmaz-Vastardis, University of Essex

Anne-Christin Mittwoch is a Professor of Civil Law at Martin-Luther-Universität Halle-Wittenberg.

Patrick Velte is a Professor of Business Administration at Leuphana Universität Lüneburg.

Matthias Birkholz is a Partner at lindenpartners.