EU due diligence · value chain · 2029
CSDDD software: a narrow market, a long runway
CSDDD software supports the human rights and environmental due diligence the EU Corporate Sustainability Due Diligence Directive requires.
After two amendments, very few companies are in scope, and the rules apply from 2029.
The directive is explained on the CSDDD guide.
Scope
Who needs CSDDD software after Omnibus I?
The consolidated directive reaches companies with more than 5,000 employees on average and net worldwide turnover above €1.5 billion, both in the last financial year (Directive (EU) 2024/1760 Art 2).
Member states must adopt their laws by 26 July 2028 and apply them from 26 July 2029; the phase-in was abolished (Art 37).
Suppliers
What will CSDDD software ask of UK suppliers?
In-scope companies will ask suppliers for information to assess risk, but the directive limits requests to companies with fewer than 5,000 employees.
Do not confuse that with CSRD’s value-chain cap, which is 1,000 employees.
For UK duties that already apply, see modern slavery reporting software and EUDR software.
The tools
What should CSDDD software do?
Map the chain of activities, assess and prioritise risks, record prevention and remediation steps, run a complaints procedure and monitor effectiveness.
Most tools build on supply chain risk platforms; see supply chain risk management software and SMETA and Sedex software.
The demonstration
What should you test before buying?
Ask the vendor to map one product line’s chain of activities.
Software demo · evidence check
CSDDD demo coverage
Tick a test only when the vendor has demonstrated it with a representative record and shown the evidence or export.
0 of 5 tests demonstrated (0%). This is a checklist result, not a score for the vendor.
Still to test: Test the company against the 5,000 employee and €1.5bn scope; Map tier 1 and known tier 2 suppliers with risk ratings; Record a prevention or remediation step and its evidence; Send a supplier information request that respects the 5,000 cap; Export the due diligence record.
Frequently asked
CSDDD software, answered
What is CSDDD software?
Software that maps a company’s chain of activities, assesses human rights and environmental risks, records prevention and remediation steps, and holds the evidence the EU due diligence directive asks for.
Which companies are in scope of CSDDD now?
After Omnibus I, companies with more than 5,000 employees on average and net worldwide turnover above €1.5 billion, both in the last financial year.
When does CSDDD apply?
Member states must apply their national rules from 26 July 2029.
The earlier phase-in was abolished, so there is one date for everyone.
Will a UK supplier be affected?
Indirectly.
In-scope companies will ask suppliers for information, but the directive caps information requests to companies with fewer than 5,000 employees.
Sources
Primary sources
Every figure, date and status on this page traces to the instrument’s owner.
Secondary commentary is never the source for a number.
- EUR-LexDirective (EU) 2024/1760 (CSDDD), consolidated 18 March 2026
- EUR-LexDirective (EU) 2025/794 ("stop the clock")
- EUR-LexDirective (EU) 2026/470 (Omnibus I)
- EUR-LexDirective 2013/34/EU, consolidated 18 March 2026
- LegislationModern Slavery Act 2015, section 54
- OECDOECD Due Diligence Guidance for Responsible Business Conduct
- UNGuiding Principles on Business and Human Rights
- SedexSMETA audit