Understanding the EU CSRD

What It Means for Your Business and How CocoonCarbon® Can Help?

The European Union’s Corporate Sustainability Reporting Directive (CSRD) is reshaping how businesses disclose their environmental, social, and governance (ESG) impact. Designed to increase transparency and accountability, the directive initially targeted over 50,000 companies across the EU. However, recent developments have led to adjustments in scope and reporting requirements.

Latest Updates on CSRD Implementation

To ease compliance pressures and ensure competitiveness, the European Commission proposed key modifications in early 2025. These changes primarily focus on reducing reporting burdens for smaller businesses while maintaining robust ESG disclosures for larger corporations. The most notable updates include:

• Narrowed Scope: The CSRD will now apply only to companies with over 1,000 employees, reducing the regulatory burden on small and medium-sized enterprises (SMEs).
• Refined Reporting Standards: Companies within the scope must still provide detailed disclosures on how their operations affect the environment and society, aligning with the EU’s sustainability goals.

These adjustments reflect the EU’s attempt to balance ambitious climate goals with economic realities.

Revised Timeline for Compliance

Companies affected by the CSRD must adhere to the following reporting schedule:

• 2025: Reporting begins for companies with over 1,000 employees based on 2024 data.
• 2026: Large EU-based companies meeting two or more of the following criteria must report based on 2025 data:
  • €25 million+ in total assets
  • €50 million+ net turnover
  • 250+ employees
• 2027: Listed SMEs on EU-regulated markets begin reporting on 2026 data.
• 2029: Non-EU parent companies with €150 million+ in annual EU revenue must report on 2028 data.

What This Means for Your Business

While the revisions offer relief for some SMEs, many freight forwarders and logistics businesses still fall within the CSRD framework. Accurate carbon emissions tracking is more critical than ever, as businesses must demonstrate compliance with sustainability regulations and investor expectations.

How CocoonCarbon® Simplifies Compliance

CocoonCarbon® is designed to take the complexity out of emissions reporting for freight forwarders. By leveraging automated data collection and advanced analytics, our platform helps businesses:

• Track and Report Carbon Emissions: Ensure precise, real-time emissions data that meets CSRD requirements.
• Prepare for Regulatory Changes: Stay ahead of evolving EU regulations with automated compliance updates.
• Improve Sustainability Performance: Identify areas for carbon reduction and enhance environmental strategies.

With the regulatory landscape shifting, having a reliable emissions reporting solution like CocoonCarbon® ensures your business remains compliant while positioning itself as a leader in sustainability.

Stay Ahead of CSRD Changes

The CSRD is evolving, and companies must remain informed to avoid non-compliance risks. Whether your business is directly impacted now or will be in the coming years, adopting a proactive emissions reporting strategy is essential. CocoonCarbon® equips you with the tools needed to navigate these changes seamlessly.

Are you ready to simplify your sustainability reporting? Contact us today to see how CocoonCarbon® can help your business comply with CSRD while optimising carbon efficiency.