Germany Supply Chain Due Diligence Act (LkSG)

German companies lacked accountability for supply chain human rights abuses.

Key Obligations

Human rights and environmental due diligence, risk analysis, preventive measures, complaints mechanism

Penalty Ranges

Up to €8M or 2% of global annual turnover; exclusion from public procurement

Mandatory Deadline: 2023-01-01

Affected HS Codes: All sectors for in-scope companies

Issuing Authority: Federal Office for Economic Affairs and Export Control (BAFA)

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