EU strikes provisional deal to simplify the CSDDD
On 8 December 2025, negotiators reached a provisional agreement to streamline the Corporate Sustainability Due Diligence Directive (CSDDD) and the Corporate Sustainability Reporting Directive (CSRD). The agreement was publicly announced on 9 December 2025, by the Council of the European Union and the European Parliament.
Background
This legislative process dates to February 2025, when the EU announced its first Omnibus package to amend the CSRD and CSDDD through a single legislative process. This initiative formed part of the EU’s broader simplification agenda, driven by concerns that slow economic growth, high compliance costs for companies and reduced competitiveness in the EU are partly attributable to overly complex regulatory requirements.
While the Council adopted its negotiating mandate – its proposed set of amendments – as early as June, it took longer for the European Parliament to agree on a final negotiating position. On 22 October 2025, Parliament rejected, by secret ballot, an accelerated negotiating mandate on the Omnibus I simplification package. However, the proposed amendments returned to plenary on 13 November 2025, when Parliament finally adopted its position, thereby initiating Trilogue negotiations.
What happens now?
Although the co-legislators have reached a provisional agreement on the revisions to the CSDDD and CSRD, the text must still be formally endorsed by both the Council and the European Parliament. This is expected to take place during the week commencing 15 December 2025. Following formal approval, the legislation will be published in the Official Journal of the European Union and will enter into force 20 days later.
How will CSDDD be amended?
Caution is advised in assuming that the remaining steps towards adoption are a fait accompli. Nevertheless, the provisional agreement confirms a high degree of alignment between the amendments proposed by the European Commission (EC), Council and the European Parliament (EP).
For a detailed breakdown of the provisional agreement, read our technical brief.
This document covers the specific Omnibus I amendments to the CSDDD included in the provisional agreement, together with explanatory notes.
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