Electric car makers blasted in battery material mining report

170,000 tonnes of cobalt are mined in the DRC each year
Demand for EV battery minerals is expected to increase ninefold between now and 2050

Close

News

4 mins read

5 December 2024

The world’s largest electric car manufacturers are neglecting human rights by not addressing supply chain risk, according to Amnesty International.

The not-for-profit organisation’s findings, published as part of a 102-page report, say a failure by car makers to tackle risk in their mineral supply chains has potentially left communities living closest to mines, where cobalt, lithium, nickel and copper are extracted, “exposed to exploitation, health risks and environment harm”.

As part of the study, Amnesty International evaluated the human rights due diligence policies of 13 EV makers. It issued each one with a scorecard, which ranked them on their “human rights policies, risk identification process, supply chain mapping and reporting and mediation”, marking them on a scale from one (worst) to 90 (best).

The top mark, which Amnesty International awarded to Mercedes-Benz, was 51. Tesla scored 49 and Stellantis amassed 42 points. The Volkswagen Group, BMW and Ford were all awarded 41 marks.

At the lower end of the spectrum, Amnesty International gave Chinese car maker BYD 11 points, while Mitsubishi (13) and Hyundai (21) also scored poorly.

Amnesty International secretary general Agnès Callamard called the scores “a massive disappointment” and added that BYD’s disclosures “show a serious lack of transparency on human rights diligence in its battery supply chains”. She noted that Hyundai and Mitsubishi “lack the necessary depth and information about implementation across key human rights due diligence areas”.

While Amnesty International gave each car maker the opportunity to reply and published their responses in full in the report, to ensure balance Autocar also contacted the manufacturers involved.

Back to top

In a statement, Hyundai said it “acknowledged receipt of Amnesty International’s assessment” and “is committed to a sustainable, ethical supply chain that upholds human rights, environmental protection, and safety”.

Mitsubishi stated that "we commit to conducting business activities that respect the human rights of our stakeholders," adding that "we take the recent concerns seriously".

A statement said: "We understand that the evaluation results are based on disclosures as of 2023, but we have initiated numerous efforts since then, to address these issues promptly."

The Japanese manufacturer pointed to its Human Rights Policy that includes new initiatives such as indentifying human rights risks to mitigating, preventing and ending them.

BYD declined to provide a statement in response to the findings, either to Autocar or Amnesty International. In an attempt to improve supply chain visibility, the European Union will launch a battery passport from 1 February 2027, needed for all EV batteries over 2kWh.

Gavin Harper, a critical materials research fellow at the University of Birmingham, said of the battery passport: “The EU is a significant market for vehicles around the world [so] it will undoubtedly shape and impact manufacturers wishing to sell into the European market.”

The report comes at a time when several of the world’s leading marques are actively stepping up their efforts to promote transparency, traceability and accountability in their mineral supply chains.

Volvo, for instance, which is not listed in Amnesty International’s report, is using blockchain to trace the origin of all cobalt entering its supply chain as part of an agreement with suppliers CATL and LG Chem. As a result, Volvo says it will introduce a battery passport for all its BEV and PHEV cars by 2027 “to meet the deadline of the requirements of the battery passport regulation”.

From a compliance perspective, Mercedes has been working with RCS Global, a leading environmental, social and governance auditor, since 2018 to scrutinise its mineral supply chain. Elsewhere, BMW is actively engaged in the Responsible Cobalt Initiative to identify and eliminate social and environmental risks in its cobalt supply chain. Meanwhile, Volkswagen decrees that all its suppliers comply with The Initiative for Responsible Mining Assurance standards.

Back to top

The wider cost of cobalt mining's dark side

The Democratic Republic of Congo (DRC) produces around 70% of the world’s cobalt, with major suppliers all using material dug up from the African country by mining companies.

However, according to campaign group Rights and Accountability in Development (RAID), the mines are exacting a devastating toll on thousands of adults and children as well as the environment.

Its director, Anneke Van Woudenberg, said: “Cobalt mining has contaminated water supplies. We found that the pollution has af fected the gynaecological and reproductive health of women and girls, while in some cases the pollution has become so endemic that fishermen and farmers can no longer make a living.”

She also said RAID’s research reveals that cobalt destined for EV batteries “is largely based on a system of cheap labour and the exploitation of thousands of Congolese workers”. That claim is disputed by mining firms, which in their responses to the Amnesty International report said their processes are “clean”, “sustainable” and “ free from the human rights abuses”.

James Gordon