Map of Country-specific Supply Chain Regulations

14th August 2023

Logistics BusinessMap of Country-specific Supply Chain Regulations

As new supply chain due diligence regulations – such as the EU’s Corporate Social Responsibility Directive – continue to evolve, global businesses face the challenge of staying up-to-date with regional legislation and the implications for their operations.

In response, LRQA, a leading global assurance partner, has published an online Responsible Sourcing Regulation Map. Featuring real-time updates on active and upcoming legislation, this interactive tool provides a comprehensive breakdown of the most significant supply chain due diligence regulations impacting businesses worldwide.

Kevin Franklin, LRQA Advisory Managing Director, said: “Navigating global supply chain compliance is an increasingly complex endeavour but becoming all the more urgent as a result of powerful new legislation, particularly in the EU and US. Our Responsible Sourcing Regulation Map offers a clear view into the intricate web of supply chain due diligence regulations. It will serve as a vital tool for business leaders and senior management, enabling them to make informed operational decisions while remaining fully aware and compliant with diverse, fast-changing regulations across nations.”

LRQA’s map shows the due diligence landscape in at least 18 countries, highlighting nearly 30 regulations that are either in effect or proposed. The trend is expected to continue growing in the future, as evidenced by at least 22 of these measures being either proposed or enacted in the past two years alone.

These regulations are specifically related to supply chain due diligence and understanding and complying with these laws are crucial for sustainable growth and success. Interestingly, countries that have weaker due diligence laws such as the USA, China, India, Brazil and Mexico have been found to be at a higher risk for supply chain violations. Without learning about these complexities, businesses can potentially and unknowingly put themselves at risk for a plethora of environmental and labour violations.

In an uncertain geopolitical environment, disrupted by events such as the Russia / Ukraine conflict, LRQA’s map empowers organizations to transition from traditional sourcing practices to ethical and responsible ones. With new suppliers increasingly sought at short notice, the map can help to safeguard against risk from the dynamic regulatory landscape.