Europe’s conflict minerals regulation would allow a deadly trade to continue

In certain countries and especially those rich in resources, the extraction and trade of minerals, gas, oil or wood are financing armed groups who commit serious violations of human rights, rather than contributing to human development. To stop this circle of suffering, the U.S. Securities and Exchange Commission passed in 2012 the section 1502 of the Dodd Franck Act, requiring U.S. and certain foreign companies to report and make public their use of so-called “conflict minerals” from the Democratic Republic of the Congo (DRC) or adjoining countries in their products. Following this legislation, companies must certify that 4 minerals (Tungsten, Tin, Tantalum and Gold, the “3TGs”) extracted in DRC and neighboring countries did not contribute to fund armed groups. Through this certification system, American consumers have stronger guarantees that their purchases of electronic products containing 3TGs did not contribute to human rights violations.

Reacting to this problem, the European Commission proposed the “conflict minerals” regulation in March 2014. The proposal was disappointing in many ways: it consisted of a self-certification system that companies could voluntarily join, and it only applied to 19 smelters and refiners based in the EU (while not covering all products entering the EU market that contain the targeted minerals).

read more