A conflicted mineral

In certain regions of the world, mining activities and mineral trade have been associated with conflicts and violent scenarios. Particularly, in the Democratic Republic of Congo (DRC), where extractive activities have been responsible for serious and prolonged Human Rights violations for decades. These include crimes such as money laundering, sexual violence, child labor and, slavery committed by armed groups that fight over the control of several resources in a country which is rich in minerals. It is worth mentioning that the DRC accounted for 6.5% of tin mined in 2022².

To address the problems affecting the global mining industry, governments and international organizations strengthened regulations that bind companies of the largest world economies to verify that the provenance of tin ore and other minerals used in their supply chain, do not contribute to violent conflicts or illegal activities.

² U.S. Geological Survey (2023).

 

Since 2012, the Securities and Exchange Commission (SEC) establishes that both national and foreign companies listed in the US Stock Exchange must disclose if any minerals used in their products are sourced in countries covered by the Dodd-Frank Act’s scope. In addition, the London Mineral Exchange (LME) announced in 2019, the requirements for a responsible supply, which included: implementing a due diligence process under the OECD standards.

International regulations and standards promote the implementation of databases that make it easier to monitor and independently audit chains of custody, from the mine to the final manufacturer and in the supplying processes of globalized industries, especially in those related to computer and technology components.

Source: Indicative, non-exhaustive list of Conflict Affected
and High-Risk Areas under Regulation (EU) 2017/821 – Unión Europea.