The International Sustainability and Carbon Certification (ISCC) released a revised draft on April 5, 2026, mandating chemical exporters seeking ISCC PLUS certification to provide full-chain carbon footprint and traceability data starting from raw material farms. This requirement will significantly impact suppliers in the EU, Southeast Asia, and Latin America markets.

Event Overview

On April 5, 2026, ISCC officially published its updated certification draft. The new rules require exporters of key chemical intermediates—such as MDI, TDI, ethylene oxide, and polyester polyols—to submit comprehensive carbon data traceable to the farm level. This move aims to enhance supply chain transparency and sustainability compliance.

Impact on Key Industries

Chemical Manufacturers

Producers of MDI, TDI, and other listed intermediates must now integrate farm-level carbon tracking into their supply chains. This may increase compliance costs and require closer collaboration with raw material suppliers.

Agricultural Suppliers

Farms providing bio-based feedstocks will face new data reporting demands. Their ability to document sustainable practices will directly affect downstream chemical exports.

Export Trade Enterprises

Companies trading ISCC-certified chemicals to EU and Southeast Asian markets must verify suppliers' full-chain carbon data. Non-compliance could disrupt existing trade relationships.

Key Focus Areas and Recommended Actions

Monitor Policy Developments

Companies should track ISCC's final implementation guidelines, expected within 12 months, to understand specific reporting formats and timelines.

Prioritize High-Risk Products

Focus first on MDI and TDI supply chains, which face immediate EU market access challenges under the new rules.

Strengthen Supplier Audits

Implement systems to collect and validate farm-level data from upstream partners, particularly for bio-based raw materials.

Industry Perspective

From an industry standpoint, this draft signals ISCC's push for granular carbon accountability. While not yet finalized, the requirements suggest a clear trajectory toward farm-to-export sustainability verification. Chemical companies should view this as a strategic compliance priority rather than a temporary adjustment.

Conclusion

The ISCC update represents a significant step in global sustainability standards for chemical exports. While implementation details remain pending, affected businesses should begin assessing their data collection capabilities and supply chain partnerships to prepare for the coming changes.

Source

International Sustainability and Carbon Certification (ISCC) official release, April 5, 2026. Final implementation guidelines pending.