Responsible Mineral Procurement

Basic Policy

Based on the "Yokogawa Group Human Rights Policy" the Yokogawa Group, as a global company, will take part in human rights violations that may occur in connection with the mining, trading, and handling of minerals from conflict areas and high-risk areas. We work on responsible mineral procurement to prevent such serious risks.
The Democratic Republic of the Congo and its surrounding countries are examples of conflict areas and high-risk areas, and conflict minerals * 1 mined in these areas serve as a source of funds for armed groups and promote human rights violations and environmental destruction. There are concerns about the possibility.
To solve this international problem, the Yokogawa Group refers to the "OECD Due Diligence Guidance for Responsible Supply Chains of Minerals from Conflict-Affected and High-Risk Areas" (hereinafter referred to as OECD DD Guidance) of the Organization for Economic Co-operation and Development (OECD). In addition, we will establish a system as a group company, carry out mineral surveys and supply chain management across the supply chain, and prevent the purchase of products containing minerals related to risks such as human rights violations and bribery that occur in conflict areas and high-risk areas. We are working on activities to do.
When making a contract with a business partner, we ask for your support for the contents of the "YOKOGAWA Group Sustainable Procurement Guidelines for Business Partners" and cooperate in the investigation and information disclosure. In the unlikely event that the investigation reveals that it is the source of funds for armed groups, we will take measures to avoid its use, such as reviewing transactions in response to correction requests and correction situations from our business partners. I will proceed.
Yokogawa will continue to make every effort to procure minerals responsibly.

 

Our systems

With reference to 5 Steps described in OECD DD Guidance, roles are set according to the functions of each department, and the Yokogawa Group has established a system for initiatives. The outline is shown below.

Yokogawa Group has established a system

 

Product liability department: (Sales / Planning Department of products / solutions provided to customers)

  • Article 1502 of the US "Dodd-Frank Act" from customers * 2 We are responsible for responding to customers, such as accepting other survey requests and inquiries and responding to survey results to our customers.

Department managing product-related laws and regulations: (Investigation and management department of information on product law and regulation)

  • Confirmation by CMRT * 3 etc. and storage of confirmation results.
  • Participate as a member in the "Responsible Mineral Procurement Study Group" of the industry group JEITA, and strive to grasp the latest information while coordinating with the industry. Yokogawa Group companies strive to keep up with the latest news.
  • Standardize and develop procedures within the Yokogawa Group for information and investigations on conflict minerals.

 Production responsibility department: (Department that manufactures the products provided to customers and procures parts for them)

  • We will request surveys such as CMRT from our business partners and collect the answers.
  • In conducting the survey, we will convey the importance of sustainable procurement and expectations from the Yokogawa Group, and play a role in strengthening relationships with our business partners.

 

Procurement control department: (Department that formulates procurement strategies and controls globally)

  • Promote activities related to sustainable procurement and organize and disclose information related to procurement activities.
  • Cooperate and synchronize with the human rights initiatives of the Yokogawa Group.

 

* 1 Conflict minerals: Generally, tantalum, tin, tungsten, gold, etc. are produced in the Democratic Republic of the Congo or its neighboring countries, and are the source of funds for armed groups that are serious human rights infringers in the place of origin and its supply chain. It refers to the minerals that have become.
* 2 US "Dodd Frank Act" Article 1502: Listed companies in the US produce conflict minerals such as tin, tantalum, tungsten, gold (abbreviated as 3TG), and minerals designated by the Secretary of State. Companies are required to report annually to the US Securities and Exchange Commission (SEC) if they are not using them. Although the Yokogawa Group's US affiliates are not listed companies in the US, we will do investigations in response to customers who have to make such reports.
* 3 CMRT (Conflict Minerals Reporting Template): A Conflict Minerals Survey Form issued by RMI (Responsible Minerals Initiative).

 


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