Electric vehicle giant Tesla recently released its annual Conflict Minerals Report for the full year 2022. The document noted that the scope ended exactly on December 31 last year.
What’s the big deal?
Tesla’s Conflict Minerals Report presents the company’s strong commitment to hastening the world’s shift to sustainable energy by exclusively sourcing “responsibly produced materials.”
“Our mission is to accelerate the world’s transition to sustainable energy. We believe that this mission, along with our engineering expertise, vertically integrated business model and focus on user experience differentiate us from other companies.”
Tesla
To put it simply, Tesla strives to provide a safe and humane working environment across its supply chain, guaranteeing that all its employees are respected.
All that said, Tesla stated that it employed a stringent Supplier Code of Conduct. The company also has Global Human Rights and Responsible Sourcing policies, which specify its expectations from all the suppliers and partners.
What does “conflict minerals” mean?
Tantalum, tin, gold, tungsten, and any of their derivatives (3TG materials) are the “conflict minerals” mentioned in the report.
To guarantee that 3TG materials are procured properly, Tesla executed rigorous standards on its suppliers in 2022.
For starters, Tesla provided training to its Supply Chain Organization staff members on 3TG supplier engagement and responsible mineral sourcing. It highlighted Tesla’s policies, supplier expectations, and ways staff members can aid the company’s efforts in sourcing responsibly.
Apart from that, employees of Supply Chain Organizations can now enroll in a new hire training program. The course material was the same as that in the general training program. However, it was customized for the particular duties of new workers.
Remarkably, Tesla also stated that it made significant attempts to comprehend the number of conflict minerals used in its vehicles. The company’s strategy for ethical procurement of 3TG materials was subsequently guided by IMDS’ data that was utilized to build an internal dashboard.
Furthermore, Tesla’s social and environmental compliance audits, which adhere to the recommendations of the Responsible Business Alliance, are in their fifth year as of 2022, the company further noted.
“Through this program, Tesla assesses certain suppliers on issues including their management systems for responsible sourcing of minerals by commissioning third-party audits to assess conformance with the Code. We greatly expanded the scope of our audits in both the number and geographic location of suppliers who underwent these audits… In 2022, we also began piloting a Supplier Self-Assessment Questionnaire, which further includes questions related to minerals and materials in the supply chain.”
Tesla
See Also:
- Tesla may soon develop a new battery production plant in the US with its major supplier CATL
- US and Japan partner on EV battery minerals to lessen reliance on China
- Magnis Energy to supply Tesla with a minimum of 17,500 tonnes of AAM
- Tesla is reportedly planning to bid for Sigma, boosting the lithium miner’s stocks
- Tesla-funded researchers reported remarkable discoveries about li-ion battery discharges
Tesla is undoubtedly leading the world’s transition to clean mobility. With these significant initiatives, the automaker ensures that its operations and activities align with its mission.
You can access Tesla’s complete 2022 Conflict Minerals Report here.