POSCO Chemical to Manage ESG for Both Anode and Cathode Material Raw Materials

First Domestic Battery Material Company to Publish 'Responsible Minerals Report'
100% Use of Responsible Minerals in Battery Material Raw Materials

[Asia Economy Reporter Hwang Yoon-joo] Posco Chemical has become the first domestic battery material company to publish a Responsible Minerals Report, revealing achievements in strengthening raw material supply chain management.

On the 16th, Posco Chemical published a Responsible Minerals Report that systematically organizes supply chain policies and processes from an ESG (Environmental, Social, and Governance) perspective, as well as the status of responsible mineral procurement. In the report, Posco Chemical stated that it has built a sustainable supply chain in line with global standards and enhanced overall raw material competitiveness.

Posco Chemical uses 100% responsible minerals as raw materials for battery cathode and anode materials. For conflict minerals such as cobalt and tungsten, which carry risks during the mining process, the company only sources from mines and raw material companies officially certified by the Responsible Minerals Initiative (RMI), a global responsible minerals coalition, as free from human rights violations, environmental destruction, and funding of armed groups.

Additionally, Posco Chemical has expanded its management targets beyond conflict minerals to include lithium, nickel, manganese, and graphite. This is to proactively secure the soundness of the supply chain for core battery raw materials whose usage is rapidly increasing.

To efficiently implement responsible mineral policies and assess and manage potential risks, Posco Chemical has established its own 'Responsible Minerals Council' and is promoting various procurement policies and programs.

When registering new suppliers, they are required to undergo third-party audits through the Responsible Minerals Assurance Process (RMAP) created by RMI. Furthermore, when supplying raw materials from 211 high-risk areas across 25 countries designated by Posco Chemical, the company has established management policies to prevent ethical issues and mandates improvement reporting for any risks identified.

To enhance supply chain transparency, Posco Chemical is also promoting the adoption of a system that records key data throughout the entire process from raw material mining to the consumer using blockchain technology, which prevents data tampering. Once completed, this system will enable efficient risk management across the entire supply chain, from raw material mining to finished vehicle manufacturing.

Yoon Young-joo, Head of Energy Materials Strategy at Posco Chemical, stated, "In a situation where demand for battery materials is increasing, business competitiveness depends on establishing a stable and sustainable raw material supply chain. We will build a transparent supply chain that considers the environment and human rights and leap forward as a global leader in secondary battery materials."

This content was produced with the assistance of AI translation services.