Approximately 1,200 publicly traded companies filed Conflict Minerals Reports with the SEC this year, in accordance with Dodd-Frank Section 1502 (Conflict Minerals Rule).
Source Intelligence has analyzed data collected from the 2015 filings, and mined meaningful insights for companies to utilize for the 2016 reporting year. Key findings demonstrate differences and similarities between industries, trends from past reporting years, and new findings from 2015.
On Wednesday, June 15th, The European Union (EU) agreed to outline a deal to facilitate a focus on transparency in the supply chain. This legislation concerns the sourcing of conflict minerals, not just in the Democratic Republic of the Congo, but from high-risk regions, worldwide.
"We need to step up to our responsibilities and finally break the vicious cycle of the trade in minerals and the financing of conflict," - EU Trade Commissioner Cecilia Malmstrom
Since the inception of the Dodd Frank Act in 2012, the situation in the Democratic Republic of Congo has been messy. Dodd Frank section 1502 requires companies to identify whether the minerals tin, tungsten, tantalum and gold (3TG) in their supply chain originate from the Democratic Republic of Congo (DRC). Unless the 3TG comes from a certified mine of origin, DRC sourced minerals are considered to be “conflict minerals”.
A recent admission by the US Commerce Department acknowledged that it was unable to distinguish between conflict free smelters and ones that employ DRC minerals.The government demonstrated how hard it is to track conflict minerals. This has proven the ineffectiveness of the government on regulating conflict minerals, but the private sector has utilized databases to identify smelters that are conflict free and ones that are not. Source Intelligence has proven to amass the largest collection of smelters and refineries to determine their role in the DRC.
Awareness campaign launched in response to global automotive survey results
Multimedia with summary
To accelerate industry action on the issue of Conflict Minerals, AIAG launched today a conflict minerals awareness campaign with a microsite that simplifies this complex issue. It's the latest of AIAG’s industry-leading tools that provide automotive OEMs and suppliers unlimited access to the resources and best practices needed to ensure that global vehicle production does not support armed conflict in central Africa, where conflict minerals are often mined.
AIAG Offers Assessment of Progress, and Plans for Future
Southfield, Mich., May 30, 2014 /3BL Media/ – With thousands of automotive, electronics and manufacturing companies facing a May 31 deadline to file a Conflict Minerals Report with the U.S. Securities and Exchange Commission, the Automotive Industry Action Group (AIAG) today announced an assessment of industry progress on the issue in the first reporting year, and outlined plans for increased collaboration in the years ahead.
Conflict Minerals Awareness Campaign Launched in Response to New Global Auto Survey
Southfield, Mich., April 10, 2014 – At a corporate responsibility summit for global automakers and suppliers near Detroit, the Automotive Industry Action Group (AIAG) today announced an initiative to accelerate action on conflict minerals, which was identified in a new survey as the most significant issue facing the industry this year.
Andrew Forrest, philanthropist and mining billionaire addressed a long standing issue with the Japanese gaming tycoon Nintendo on ethical mining regarding Conflict Minerals. The raw materials have accounted for extreme conflict in the Democratic Republic of the Congo hence the name, as guerilla groups execute sexual terrorism, recruitment of child soldiers and death by the millions. The grave human rights abuses have raised the attention of what Conflict Minerals are and what their role is in industry supply chains.
According to the rule, an estimated 5,994 public companies that file with the SEC will have to provide new disclosures. Moreover, approximately 275,000 private companies that are part of issuers’ supply chains will also be expected to provide conflict minerals due diligence to their public customers. Furthermore, a 2011 study by Tulane University, assessed the costs of implementing the Dodd-Frank conflict minerals regulation to be $7.93 billion — more than one hundred times greater than the initial estimate prepared by the U.S.