Conflict minerals procurement policy
"Conflict minerals procurement Policy"
KCINDUSTRIAL's will actively participate in international efforts to ban the use of conflict minerals together with its suppliers and customers, thereby fulfilling its social responsibility to protect the human rights of the Democratic Republic of Congo and neighboring countries.
▣ Conflict Minerals Overview
Conflict minerals refer to tantalum, tungsten, tin, and gold originated in the Democratic Republic of the Congo and its adjoining countries (“Covered Countries”). There are concerns that the conflict minerals fund armed forces of the Covered Countries causing many deaths of their own people and infringement of human rights in the course of mineral excavation such as forced labor and abuse of women and children. In response to these concerns, the United States Congress enacted the Dodd–Frank Wall Street Reform and Consumer Protection Act (the “Dodd-Frank Act”). Section 1502 of the Dodd-Frank Act (“Conflict Minerals Rule”) requires manufacturing companies listed in U.S. stock exchange to disclose whether the products they manufacture or contract to manufacture contain conflict minerals.
▣ Conflict Minerals Procurement Policy (Effective Date: June 01, 2020)
▶ We do not use conflict minerals (tin, tantalum, tungsten and gold) produced by anti-human acts in the Democratic Republic of Congo and adjacent disputed areas.
▶ We complies with general regulations on anti-bribery, anti-corruption and anti-money laundering based on honesty and transparency.
▶ In accordance with our Conflict Minerals Policy, we do not support or seek profits from violations of international humanitarian law, such as torture, abuse, human rights abuses, and forced labor, which violate freedom and human rights.
▶ We will implement the following items in accordance with the Conflict Minerals Procurement Policy.
- Establish a supply chain due diligence process for identifying the source of conflict minerals based on the OECD Due Diligence Guidance and when necessary, perform due diligence on suppliers’ source and chain of custody of conflict minerals.
- We provide due diligence information and look forward to suppliers' cooperation in providing such information to prove that minerals sourced from conflict zones within the supply chain do not support conflict.
- Efforts are made to immediately halt transactions with suppliers that have the risk of supporting disputes.