Amsterdam, Hong Kong, Oakland (CA) – May 20, 2026: The global regulatory landscape for sustainability reporting and corporate due diligence is becoming increasingly complex as governments worldwide continue shifting from voluntary guidance to mandatory requirements. To help companies in the consumer goods value chain navigate these developments, Cascale has released a new 2026 Global Due Diligence and Sustainability Reporting Legislation Report, analyzing the most relevant adopted and emerging laws related to human rights and environmental due diligence and sustainability reporting.

The report examines 21 legislations across Europe, the United States, the broader Americas, and Asia-Pacific, offering companies a region-by-region overview of current and upcoming obligations. It also identifies where the Higg Index suite of tools may help companies strengthen data, governance systems, and performance measurement practices that are increasingly expected by regulators, investors, business partners, and consumers.

Key Takeaways

• New report analyzes 21 sustainability reporting and due diligence legislations across Europe, the Americas, and Asia-Pacific.
• The report outlines where the Higg Index may help companies prepare for evolving regulatory expectations.
• Analysis highlights growing momentum toward mandatory due diligence, climate disclosures, and transparent sustainability reporting.
• Guidance is designed for apparel, footwear, and adjacent consumer goods companies navigating increasingly complex global requirements.
• Report identifies where legislation aligns with Cascale’s strategic pillars on decent work, climate action, purchasing practices, and environmental performance.

Navigating a Rapidly Evolving Regulatory Environment

While some regulatory frameworks have narrowed in scope in recent years, including revisions to the European Union’s Corporate Sustainability Reporting Directive (CSRD) and Corporate Sustainability Due Diligence Directive (CSDDD), the broader global trajectory continues toward greater transparency, more rigorous sustainability disclosures, and stronger due diligence obligations.

At the same time, countries including Canada, Australia, and jurisdictions across the United States and Asia-Pacific continue strengthening climate reporting, human rights due diligence, and supply chain transparency requirements, often aligning with international standards such as the International Sustainability Standards Board (ISSB), Global Reporting Initiative (GRI), and OECD Guidelines for Responsible Business Conduct.

For companies operating global value chains, these changes are creating growing pressure to understand not only what is mandatory today, but also where regulation is heading and how expectations differ across markets.

“The regulatory landscape is no longer moving in one direction — we’re seeing the EU narrow parts of CSRD and CSDDD at the same time as markets like Canada, Australia, and parts of Asia-Pacific continue strengthening sustainability reporting and due diligence requirements. That creates a genuinely complex operating environment for companies managing global value chains,” said Gabriele Ballero, manager, public affairs, Cascale. “What this report makes clear is that companies cannot approach this through fragmented, jurisdiction-by-jurisdiction compliance strategies alone. The real challenge is building governance systems, data capabilities, and due diligence practices that work across multiple frameworks at once. Companies that invest early in that kind of operational readiness will be far better positioned to absorb what’s coming next.”

Supporting Readiness Through Credible Data

The report emphasizes that while the Higg Index tools are not compliance instruments, they may help companies access credible, standardized, and scalable data that supports preparedness for emerging legal obligations and broader sustainability strategies.

The analysis maps legislative requirements against relevant sections of the Higg Index, helping companies identify where they may already have access to information that can support due diligence processes, risk assessments, governance practices, environmental performance tracking, and sustainability disclosures.

“Companies increasingly need robust data that can support both operational improvements and external disclosure expectations,” said Maravillas Rodriguez Zarco, vice president, tools & data, Cascale. “By helping organizations connect regulatory expectations with practical implementation tools, this report highlights how standardized approaches and credible data systems can support continuous improvement across complex global value chains.”

Key Findings Across Global Markets

The report identifies several major trends shaping the future of corporate sustainability regulation:

• Mandatory due diligence obligations are expanding globally, with growing expectations for companies to identify, prevent, mitigate, and address risks across their value chains.
• Climate disclosure requirements are becoming more detailed, standardized, and enforceable, with many markets aligning with TCFD and IFRS S2 frameworks.
• Even where legislative thresholds have narrowed, stakeholder expectations for transparent environmental, social, and governance data remain high.
• Companies investing early in structured governance systems, data collection, and continuous improvement processes are likely to be better positioned for future regulatory requirements.

The report also assesses how legislation aligns with Cascale’s strategic pillars and core areas of work, including fair purchasing practices, streamlined audits, supply chain decarbonization, and foundational environmental performance.

Helping the Industry Prepare for What’s Next

Designed for both Cascale members and non-members, the report serves as a practical reference guide for apparel, footwear, textiles, and adjacent consumer goods companies seeking to better understand evolving sustainability obligations across jurisdictions.

The report also clarifies that the Higg Index overlap assessment is intended to identify where relevant information may exist within the tools and does not constitute legal advice or guarantee compliance.

“Asia-Pacific is home to some of the most complex and critical nodes in global apparel and footwear supply chains, and the regional regulatory landscape is becoming significantly more demanding. Major markets, including Japan and several others, are adopting mandatory climate disclosure frameworks aligned with TCFD and ISSB standards like IFRS S2 — and that’s just one part of a broader shift. What we’re hearing from members across regions is that policy ambition needs to be matched with practical implementation pathways, ” said Howard Kwong, senior manager, public affairs APAC, Cascale. “The direction is clear worldwide: expectations for transparency, accountability, and measurable sustainability performance continue to grow. Companies that begin strengthening governance, data systems, and risk-based due diligence practices now will be better equipped to respond — wherever they operate.”

About the Report

Cascale’s 2026 Global Due Diligence and Sustainability Reporting Legislation Report focuses on adopted and mandatory legislation, or legislation expected to become mandatory in the near future, related to sustainability reporting and human rights and environmental due diligence. Legislative proposals, voluntary frameworks, and international guidelines are referenced separately to provide additional context.

The analysis focuses primarily on apparel, footwear, textiles, and adjacent consumer goods sectors, where the Higg Index is most established, while also recognizing broader relevance across global value chains.

Media Contact: Forster Communications, cascaleforster@forster.co.uk