Is a changing Regulatory Landscape affecting Supply Chain Sustainability in Asia?
On June 11, 2021, the German Parliament passed the Supply Chain Due Diligence Act. With this law, the German government aims for greater protection of people and the environment in the global economy. As outlined by the federal government, German companies will face a range of obligations.
German companies especially need to address these requirements in their overseas activities. Having a risk management system to detect human rights or environmental law infringements is one key element. Further key questions for your company might be: Do we have full transparency of our suppliers which fall under the Supply Chain Due Diligence Act? How do we ensure that neither human rights nor environmental standards are infringed in our supply chain? Is our risk management system strong enough to reduce liability and legal risks under the new act?
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