Tesla, BYD and VW use EV battery minerals with history of human rights abuse allegations

Mining minerals used to make EVs and batteries is fraught with abuse allegations, the latest report of the non-profit Business & Human Rights Resource Center (BHRRC) programs. And automakers continue to source materials from some of the worst offenders, On the edge finds.

The BHRRC has documented 631 allegations of human rights violations since 2010 regarding seven essential minerals used in electric vehicles, rechargeable batteries and renewable energy technologies. Many of the accusations were made against a small group of companies, which On the edge managed to connect with three of the largest electric vehicle manufacturers in the world: Volkswagen Group, Tesla and BYD.

“Things are not getting better,” said Caroline Avan, head of natural resources and just transition at the BHRRC. The need for more renewable energy and clean transportation is clear, but these technologies should not come at the expense of people who live and work in places where companies source their raw materials, she said.

“The fight against climate change is a human rights imperative right now, but it should not be seen as a license to simply disregard human rights in mining operations,” said Avan.

An electric vehicle requires about six times as many minerals as a typical gas-guzzling car. Demand for critical minerals used in electric vehicles and battery storage for renewable energy could grow tenfold by 2040 under a conservative I estimated by the International Energy Agency. Fighting to protect all these minerals without taking the time to ensure they are extracted humanely is where the problems arise.

The BHRRC’s latest report includes potential abuses linked to the mining of seven minerals: bauxite, cobalt, copper, lithium, manganese, nickel and zinc. It has been tracking these allegations since 2019 using publicly available recordsincluding court documents and regulatory resources, as well as reports from other non-governmental organizations and media outlets.

It found 91 more allegations last year alone, including a “sharp increase in labor rights violations and worker deaths” that accounted for about 40 percent of new allegations in 2023. Across its data set dating back to 2010, the Labor violations, including 53 work-related deaths represent a quarter of all allegations. For 2023, alleged attacks against human rights defenders, water pollution and threats to access to water are also clear issues.

Since 2010, more than half of the charges have been brought against just 10 companies. State-owned China Minmetals now leads the pack, overtaking Swiss multinational mining giant Glencore, which has achieved the best rating for the past two years.

Analyzing sustainability reports and media coverage from the world’s three leading electric vehicle manufacturers, On the edge found a business history with Glencore and China Minmetals.

To boost its EV ambitions, Volkswagen entered into an agreement with Glencore and battery maker Contemporary Amperex Technology Co Ltd (CATL) in 2017, Reuters reported. Under the agreement, CATL would purchase 20,000 metric tons of cobalt products from Glencore for Volkswagen’s EV batteries.

In 2023, VW PowerCo’s battery division will initially agreed to support a SPAC deal alongside Glencore and Stellantis to buy nickel and copper mines in Brazil – although the deal reportedly fell through later that year due to price disputes. Volkswagen also identified gold purchased by Glencore in its supply chain, according to its 2023 report Responsible Raw Materials Report. The company declined to comment on the BHRRC’s findings, but he said which is working to fulfill Germany’s new Supply Chain Due Diligence Law.

Tesla buys nickel from a Glencore mine in Australia and cobalt from two Glencore mines in the Democratic Republic of Congo, according to the company’s report. 2021 It is 2022 impact reports. In 2022, workers at one of these cobalt mines spoke to On the edge about unsafe working conditions, without water or adequate breaks and little food or pay. Cobalt is often called “the blood diamond of batteries”Because of the dangers workers face in mining.

Neither Tesla nor Glencore immediately responded to requests for comment from On the edge. Tesla’s 2022 impact report explains that the company conducts audits of its suppliers to improve working conditions at each location and ensure “corrective actions” are taken to resolve any issues. He touts “working with suppliers where problems are found, rather than walking away.”

The year that followed, China’s BYD overtook Tesla to become the world’s biggest seller of electric vehicles – despite its vehicles not being available in the US due to high tariffs. China Minmetals also overtook Glencore this year, racking up more abuse allegations than any other company in the BHRRC report.

BYD does not name its more than 10,000 suppliers in its CSR 2023 report (Tesla and Volkswagen only provide a partial list in their reports). But the China Minmetals subsidiary Hunan Changyuan Lico is supposedly one of BYD Lithium Battery Material Suppliers. BYD did not immediately respond to a request for comment.

A separate report from environmental and human rights groups published in February ranked car companies based on the progress they made in eliminating environmental damage and human rights abuses. Tesla came in third place, behind Ford and Mercedes-Benz, in this assessment. Volkswagen came in sixth place and BYD came in 16th of 18 companies.

Automakers are certainly not the only industry with a lot of work to do to prevent abuses along their supply chains. The rechargeable batteries that power many of the gadgets we use in our lives are made from many of the same materials cited in these reports.

Governments, mining companies and the manufacturers who buy their products need to take action to end abuses, says BHRRC’s Avan. This includes adopting policies that make human rights a priority and that empower people to have a say in projects that may affect their communities.

“[When it comes to] Lots of blatant and gross negligence in occupational health and safety on mining sites, this is not rocket science. These things can be fixed,” says Avan. “What [manufacturers] What they should be doing is engaging with the mining sector, asking questions and presenting them with the requirements and expectations for better protection of human rights”.

On the edge sought comments for each of the 10 companies listed by the BHRRC as having the highest number of human rights allegations against them. Three of them responded saying they respond to allegations of abuse and implement appropriate changes, including Freeport-McMoRan, Solway Group and Tenke Fungurume Mining.

Neither China Minmetals nor Glencore responded immediately On the edgerequest for comment. But a Glencore spokesperson commented on the BHRRC report last year in an email to On the edge to say“Our assets are located in diverse contexts, some… in more challenging socio-political circumstances, with a history of conflict, limited basic services and a weak rule of law… we work in partnership with government, civil society and law enforcement agencies. development to share knowledge, develop capabilities and contribute to lasting social and economic results.”