Tesla Shares its Latest Conflict Mineral Report With the SEC
“Tesla is committed to sourcing only responsibly produced materials,” says a Conflict Mineral report for the calendar year ended December 31, 2019, that the company has just filed with the U.S. Securities and Exchange Commission (SEC), notes Teslarati.
Tesla is aiming to support and accelerate a global transition towards sustainable energy, but the company is fully committed to doing so without cutting any corners.
The report stresses Tesla’s determination to source humanely mined minerals and outlines the policies and processes put in place to ensure safe, humane working conditions and compliance with international regulations throughout its supply chain.
Tesla is mainly focused on making sure that the minerals it uses to manufacture its products are “DRC Conflict Free”, meaning that they do not in any way benefit “armed groups in the Democratic Republic of the Congo, or any adjoining country”, and have been obtained in ways that do not involve human trafficking, child labor, slavery, or any other violations of human rights.
The following is a list of Conflict minerals Tesla uses as raw materials, and therefore sources through “conflict free” channels:
- Columbite-tantalite (Tantalum)
- Cassiterite (Tin)
- Gold
- Wolframite (Tungsten)
- Any derivatives of the above
In the report, Tesla details comprehensive operating procedures that it adheres to when dealing with suppliers to ensure compliance and humane, sustainable conditions throughout the supply chain because of its downstream position.
In addition, Tesla also outlines how it performs Due Diligence on its supply chain:
- Step 1: Establish Strong Company Management Systems
- Step 2: Identify and Assess Risk in the Supply Chain
- Step 3: Design and Implement a Strategy to Respond to Identified Risks
- Step 4: Perform Independent Third-Party Audit of Supply Chain Due Diligence
Tesla has an explicit affinity for sustainably and humanely mined raw materials, which the company also exhibited in its search for ethical nickel miners last year. And since that call was answered by many mining companies that fit the bill, Tesla won’t go hungry for suppliers anytime soon.
The full Tesla Conflict Mineral report can be found here.