--- title: "EU CSDDD Scope Thresholds and In Scope Groups" canonical_url: "https://www.sorena.io/artifacts/eu/csddd/scope-thresholds-and-in-scope-groups" source_url: "https://www.sorena.io/artifacts/eu/csddd/scope-thresholds-and-in-scope-groups" author: "Sorena AI" description: "Review the current CSDDD scope thresholds, in scope company groups, franchising and licensing rules, non-EU turnover triggers." keywords: - "EU CSDDD thresholds" - "CSDDD in scope groups" - "CSDDD 1000 employees 450 million" - "CSDDD royalties 22.5 million 80 million" - "CSDDD 2028 2029 waves" - "EU CSDDD" - "Scope thresholds" - "In scope groups" - "Directive (EU) 2025/794" - "Applicability" --- **[SORENA](https://www.sorena.io/)** - AI-Powered GRC Platform [Home](https://www.sorena.io/) | [Solutions](https://www.sorena.io/solutions) | [Artifacts](https://www.sorena.io/artifacts) | [About Us](https://www.sorena.io/about-us) | [Contact](https://www.sorena.io/contact) | [Portal](https://app.sorena.io) --- # EU CSDDD Scope Thresholds and In Scope Groups Review the current CSDDD scope thresholds, in scope company groups, franchising and licensing rules, non-EU turnover triggers. *EU CSDDD* *Scope* ## EU CSDDD (Directive (EU) 2024/1760) Scope thresholds and in scope groups This page is for the exact thresholds and group categories, not the general summary. Use it to build the scope section of your legal memo and the cover sheet for the due diligence program. The Directive creates three main scope routes that matter in practice: the main EU company threshold, the non-EU Union turnover threshold, and the franchising or licensing route. The current rollout dates also depend on which threshold band the company falls into. ## Main scope cohort: EU companies and EU headed groups The general EU threshold is more than 1000 employees on average and more than EUR 450 million net worldwide turnover. The same logic can apply at ultimate parent group level where the group as a whole reaches the conditions. This is the default route most large operating groups will analyze first. - Employee threshold: more than 1000 on average. - Turnover threshold: more than EUR 450 million worldwide. - Relevant both for operating companies and certain ultimate parent structures. *Recommended next step* *Placement: after the scope or definition section* ## Use EU CSDDD (Directive (EU) 2024/1760) Scope thresholds and in scope groups as a cited research workflow Research Copilot can take EU CSDDD (Directive (EU) 2024/1760) Scope thresholds and in scope groups from clarifying scope and applicability with cited answers to a reusable workflow inside Sorena. Teams working on EU CSDDD (Directive (EU) 2024/1760) can keep owners, evidence, and next steps aligned without copying this guide into separate documents. - [Open Research Copilot for EU CSDDD (Directive (EU) 2024/1760) Scope thresholds and in scope groups](/solutions/research-copilot.md): Start from EU CSDDD (Directive (EU) 2024/1760) Scope thresholds and in scope groups and answer scope, timing, and interpretation questions with cited outputs. - [Talk through EU CSDDD (Directive (EU) 2024/1760)](/contact.md): Review your current process, evidence gaps, and next steps for EU CSDDD (Directive (EU) 2024/1760) Scope thresholds and in scope groups. ## Non-EU companies with sufficient Union turnover Third-country companies are tested by Union turnover rather than employee count. The main trigger is more than EUR 450 million net turnover generated in the Union in the relevant lookback period. This is why non-EU headquartered groups with strong EU sales should not assume the Directive is only for Union incorporated companies. - Employee count is not the decisive trigger here. - Union turnover methodology should be documented carefully. - Authorized representative obligations can follow. ## Franchising and licensing route The Directive separately captures companies and groups where franchising or licensing agreements in the Union create a common identity, a common business concept, and uniform business methods, with royalties above EUR 22.5 million and turnover above EUR 80 million. This route matters for consumer brand, retail, and network models that otherwise look smaller on an employee basis. - Royalties threshold: more than EUR 22.5 million. - Turnover threshold: more than EUR 80 million. - Check both the economic numbers and the contractual business model features. ## Current application waves after the 2025 amendment The amended timing now has a first wave from 26 July 2028 and broader application from 26 July 2029. The first wave covers the largest EU and non-EU turnover bands. The remaining in-scope categories follow from 26 July 2029. Use the amended dates in all planning documents and mark the original dates as superseded. - 26 July 2028: more than 5000 employees and more than EUR 1.5 billion turnover, and the matching non-EU EU-turnover band. - 26 July 2029: all other in-scope companies including the EUR 450 million band and the qualifying royalties route. - 26 July 2027 remains the transposition deadline, not the first company application date. ## Primary sources - [Directive (EU) 2024/1760 - Consolidated text as of 17 April 2025](https://eur-lex.europa.eu/eli/dir/2024/1760/2025-04-17/eng?ref=sorena.io) - Best source for the current operative wording after the 2025 timing amendment. - [Directive (EU) 2025/794 - timing amendment](https://eur-lex.europa.eu/eli/dir/2025/794/oj/eng?ref=sorena.io) - Current law for the postponed transposition deadline and postponed first wave of application. - [European Commission - Corporate sustainability due diligence](https://commission.europa.eu/business-economy-euro/doing-business-eu/sustainability-due-diligence-responsible-business/corporate-sustainability-due-diligence_en?ref=sorena.io) - Official implementation overview, including the status of the 2025 Omnibus proposals. ## Related Topic Guides - [EU CSDDD Applicability Test | Thresholds, Group Scope, and Start Dates](/artifacts/eu/csddd/applicability-test.md): Use this CSDDD applicability test to check the 1000 employee and EUR 450 million threshold, franchising and licensing triggers, non-EU EU-turnover rules. - [EU CSDDD Chain of Activities and Supplier Scope | Upstream, Downstream, and Boundary Rules](/artifacts/eu/csddd/chain-of-activities-and-suppliers.md): Map the CSDDD chain of activities correctly. This guide explains upstream and downstream coverage, direct and indirect business partners. - [EU CSDDD Checklist | Practical Due Diligence Checklist by Workstream](/artifacts/eu/csddd/checklist.md): Use this CSDDD checklist to move from scope to execution. - [EU CSDDD Climate Transition Plan | Article 22 Requirements and Practical Structure](/artifacts/eu/csddd/climate-transition-plan.md): Understand the Article 22 climate transition plan duty under the CSDDD. - [EU CSDDD Compliance Guide | Operating Model, Evidence, and Readiness](/artifacts/eu/csddd/compliance.md): Build a real CSDDD compliance program. This guide explains how to turn Directive (EU) 2024/1760 into a due diligence operating model across policy, mapping. - [EU CSDDD Deadlines and Compliance Calendar | Current Dates after Directive (EU) 2025/794](/artifacts/eu/csddd/deadlines-and-compliance-calendar.md): Track the current CSDDD rollout dates, including the 25 July 2024 entry into force, 26 July 2027 transposition deadline, 31 March 2027 reporting act deadline. - [EU CSDDD Due Diligence Steps Playbook | Articles 7 to 15 in Practical Order](/artifacts/eu/csddd/due-diligence-steps-playbook.md): Follow the CSDDD due diligence steps in the order teams actually need to execute them: policy, chain mapping, prioritization, prevention, corrective action. - [EU CSDDD FAQ | Current Answers on Scope, Dates, Complaints, Penalties, and Climate Plans](/artifacts/eu/csddd/faq.md): Get grounded answers to common CSDDD questions, including the current application dates, who is in scope, how the chain of activities works. - [EU CSDDD Grievance and Remediation Workflows | Articles 12 to 14 in Practice](/artifacts/eu/csddd/grievance-and-remediation-workflows.md): Design a CSDDD grievance and remediation workflow that fits Articles 12 to 14. - [EU CSDDD Liability and Penalties | Civil Liability, Fines, and Supervisory Action](/artifacts/eu/csddd/liability-and-penalties.md): Understand how Article 27 penalties and Article 29 civil liability interact under the CSDDD. - [EU CSDDD Penalties and Fines | Article 27 Explained Clearly](/artifacts/eu/csddd/penalties-and-fines.md): Focus on Article 27 of the CSDDD. This page explains how Member States must structure penalties, what the at least 5 percent maximum turnover cap means. - [EU CSDDD Requirements | Article by Article Requirement Map](/artifacts/eu/csddd/requirements.md): Map the main CSDDD requirements by article, including Article 7 policy, Article 8 identification, Article 9 prioritization. - [EU CSDDD Supplier Human Rights Risk Scoring Template | Severity and Likelihood Model](/artifacts/eu/csddd/supplier-human-rights-risk-scoring-template.md): Use this practical CSDDD risk scoring template to prioritize supplier and partner risk based on severity, likelihood, geographic factors, sector. - [EU CSDDD vs CSRD | Due Diligence Duties versus Sustainability Reporting](/artifacts/eu/csddd/csddd-vs-csrd.md): Compare the EU CSDDD and CSRD the right way. This guide explains how due diligence duties under Directive (EU) 2024/1760 differ from sustainability reporting. - [EU CSDDD vs German LkSG | Scope, Chain Rules, and Enforcement Differences](/artifacts/eu/csddd/csddd-vs-german-lksg.md): Compare the EU CSDDD with the German LkSG using official sources. --- [Privacy Policy](https://www.sorena.io/privacy) | [Terms of Use](https://www.sorena.io/terms-of-use) | [DMCA](https://www.sorena.io/dmca) | [About Us](https://www.sorena.io/about-us) (c) 2026 Sorena AB (559573-7338). All rights reserved. Source: https://www.sorena.io/artifacts/eu/csddd/scope-thresholds-and-in-scope-groups