> ## Documentation Index
> Fetch the complete documentation index at: https://docs.rootkey.ai/llms.txt
> Use this file to discover all available pages before exploring further.

# CSDDD - EU Supply Chain Due Diligence

> How ROOTKey helps companies meet the supply chain provenance, traceability, and due diligence documentation requirements of the Corporate Sustainability Due Diligence Directive.

## Overview

The **Corporate Sustainability Due Diligence Directive** (CSDDD, EU 2024/1760) requires large companies operating in the EU to identify, prevent, mitigate, and account for adverse human rights and environmental impacts across their entire supply chain - not just their direct suppliers.

The operative word is **account for**: companies must document that due diligence was conducted, that suppliers were assessed, and that the supply chain can be traced to its origin. That documentation must be audit-ready.

ROOTKey provides the cryptographic traceability infrastructure that makes that documentation tamper-evident, multi-party verifiable, and independently auditable.

***

## Scope

| Phase            | Timeline             | Applies to                                                      |
| ---------------- | -------------------- | --------------------------------------------------------------- |
| Phase 1          | From 2027            | Companies with >5,000 employees and >€1.5bn global net turnover |
| Phase 2          | From 2028            | Companies with >3,000 employees and >€900m global net turnover  |
| Phase 3          | From 2029            | Companies with >1,000 employees and >€450m global net turnover  |
| Non-EU companies | Same phased timeline | Non-EU companies meeting turnover thresholds in the EU market   |

***

## CSDDD Due Diligence Obligations and ROOTKey

### Obligation 1 - Integrating Due Diligence into Policy

CSDDD requires companies to have a due diligence policy that is updated annually and describes the approach to supply chain assessment. ROOTKey anchors:

* Policy documents at each version approval - tamper-evident proof that the policy existed and was approved at the stated time
* Supplier code of conduct documents - verifiable proof of the terms communicated to suppliers

### Obligation 2 - Mapping the Supply Chain and Identifying Risks

Companies must identify actual and potential adverse impacts across operations, subsidiaries, and business partners. ROOTKey supports:

* Anchoring supplier assessment records - proof that assessments were conducted and when
* Multi-tier supply chain mapping - vaults that span multiple supply chain parties, creating a shared tamper-evident record of the supply chain structure

### Obligation 3 - Preventing and Mitigating Adverse Impacts

Where impacts are identified, companies must take preventative and corrective actions and document them. ROOTKey provides:

* Anchored corrective action plans - proof of what was committed and when
* Follow-up audit records - immutable evidence that remediation was conducted and its outcome

### Obligation 4 - Establishing a Complaints Procedure

Companies must provide a complaints mechanism for affected parties and business partners. ROOTKey can anchor:

* Complaint receipt records - independently timestamped, preventing dispute over whether a complaint was received
* Response and resolution records - complete audit trail of the complaints lifecycle

### Obligation 5 - Monitoring the Due Diligence Framework

Companies must monitor the effectiveness of their due diligence measures. ROOTKey's Analytics API supports continuous monitoring of anchoring activity - detecting gaps in coverage that might indicate lapses in due diligence documentation.

***

## Multi-Party Supply Chain Architecture

CSDDD compliance requires documentation that crosses organisational boundaries - your Tier 1 suppliers, their Tier 2 suppliers, and beyond. Traditional documentation systems require trust in each party's records.

ROOTKey vaults can accept anchors from multiple parties, building a shared, tamper-evident chain of custody that no single participant controls:

```mermaid theme={null}
flowchart LR
    A[Your Organisation\nPolicy & onboarding] -->|Anchor| V
    B[Tier 1 Supplier\nAssessment & audit] -->|Anchor| V
    C[Tier 2 Supplier\nCompliance docs] -->|Anchor| V
    D[Origin Producer\nOrigin certificate] -->|Anchor| V
    V[(Shared Vault\nPolygon / EBSI)] --> E[Auditors & Regulators\nFull chain independently verifiable]
```

→ See also: [Supply Chain Traceability use case](/use-cases/supply-chain)

***

## Compliance Mapping

| CSDDD Obligation              | ROOTKey capability                                                  |
| ----------------------------- | ------------------------------------------------------------------- |
| Policy documentation          | Anchored policy versions - tamper-evident, timestamped              |
| Supplier assessment records   | Anchored assessment documents per supplier                          |
| Corrective action plans       | Anchored commitments with verifiable timeline                       |
| Complaints procedure evidence | Timestamped complaint receipt and resolution records                |
| Supply chain traceability     | Multi-party vault - custody chain verifiable by auditors            |
| Annual reporting evidence     | Full audit trail of due diligence activity for the reporting period |

***

## Connection to Other EU Frameworks

CSDDD overlaps with other EU supply chain and sustainability obligations:

| Framework                              | Connection to CSDDD                                                                                                                             |
| -------------------------------------- | ----------------------------------------------------------------------------------------------------------------------------------------------- |
| **EU Deforestation Regulation (EUDR)** | Supply chain traceability to point of production required - same ROOTKey architecture applies                                                   |
| **EU Batteries Regulation**            | Due diligence and carbon footprint documentation for battery supply chains                                                                      |
| **CSRD**                               | Corporate Sustainability Reporting Directive - CSDDD due diligence feeds CSRD sustainability disclosures; anchored evidence supports CSRD audit |
| **NIS2**                               | ICT supply chain security (Art. 21(2)(d)) - CSDDD adds human rights and environmental dimensions to the same supply chain                       |

***

<CardGroup cols={2}>
  <Card title="Request a CSDDD implementation review" icon="calendar" href="https://rootkey.ai/contact?utm_source=api_docs&utm_medium=compliance_csddd&utm_content=demo_cta">
    We'll design a multi-party vault architecture tailored to your supply chain topology and CSDDD documentation obligations.
  </Card>

  <Card title="Supply chain traceability use case" icon="route" href="/use-cases/supply-chain">
    Full implementation guide for CSDDD-ready multi-party supply chain traceability.
  </Card>
</CardGroup>
