TO meet the EU Sustainability Reporting Directive (CSRD) this year - 2025 - shipping companies, freight forwarders and shippers must align themselves with sustainability reporting requirements.

Companies must first assess whether they fall under the CSRD's scope. This includes businesses with more than 250 employees, and revenues of more than EUR40 million (US$44.6 million) and assets of EUR20 million.

Shipping companies must calculate their CO2 emissions, which includes greenhouse gases like methane and nitrous oxide. This involves tracking emissions from fuel consumption, cargo operations, and logistics.

The CSRD also requires companies to report on their environmental, social, and governance (ESG) performance using the ESRS (European Sustainability Reporting Standards) framework. This includes disclosing risks, impacts, and mitigation strategies related to climate change.

The ESRS aligns with international frameworks like the Global Reporting Initiative (GRI) and the International Sustainability Standards Board (ISSB) to reduce duplication and ensure global interoperability.