The German Supply Chain Act, also known as the "Lieferkettengesetz," is a law that was passed in 2017 to regulate companies' supply chains and ensure that they do not contribute to human rights abuses or environmental damage.

The law includes provisions related to sustainability and carbon emissions, and requires companies with more than 3,000 employees to disclose information about their supply chains and to take steps to address potential risks and violations. This is important because it helps to hold companies accountable for the impact of their business practices on workers and the environment, and encourages them to take a more responsible and sustainable approach to their supply chains. By requiring companies to report on their efforts to reduce carbon emissions, the law promotes more sustainable business practices in Germany and helps to mitigate the effects of climate change.

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