As the Corporate Sustainability Reporting Directive (CSRD) takes effect, U.S. companies with operations in the EU face a transformative moment.
This ambitious directive, which replaced the Non-Financial Reporting Directive (NFRD) in January 2024, expands reporting requirements to include a broader scope of businesses. Last week, CSRD faced additional changes due to the announcement of the EU Omnibus Simplification Packages. For American companies, the CSRD is not just about compliance—it’s an opportunity to integrate sustainability into their core operations and unlock competitive advantages in a rapidly evolving global market.
Here’s what U.S. companies need to know about the CSRD, its recent change in requirements, and how they can prepare.