On Wednesday, Entreprise Générale du Cobalt (EGC) reaffirmed its commitment to ethical and transparent practices in artisanal cobalt mining in the Democratic Republic of Congo (DRC).
This statement follows the U.S. Department of Labor’s inclusion of Congolese cobalt on its 2024 list of goods produced using child labor or forced labor.
In a press release, EGC highlighted its efforts since its establishment in 2019 to formalize artisanal cobalt mining and improve local communities’ living conditions.
The public company has launched pilot sites to create a model of ethical and responsible artisanal mining, collaborating with the Congolese government and international organizations such as Cobalt for Development and the Fair Cobalt Alliance.
“The formalization of the artisanal sector ensures dignified and safe working conditions, while a traceability system guarantees a transparent supply chain that meets international ethical standards,” the statement emphasized.
Implications of Inclusion on the TVPRA List
The addition of Congolese cobalt to the Trafficking Victims Protection Reauthorization Act (TVPRA) poses significant implications for the DRC’s mining industry.
While this does not automatically block cobalt imports at the U.S. border, it raises the likelihood of increased scrutiny from U.S. and European authorities due to forced labor bans.
This development could hinder Congolese exports and affect the competitiveness of cobalt-based products in international markets, particularly within the electric vehicle, battery, and advanced technology sectors.
Companies along the supply chain must enhance their sourcing practices to comply with international standards by implementing rigorous human rights due diligence mechanisms.
EGC has stated that it is working closely with the U.S. Department of Labor, including through a traceability program with Elevate.
The company is also preparing strict measures to strengthen the regulatory framework for the mining sector, particularly regarding strategic minerals, under the oversight of the Regulatory and Control Authority for Strategic Mineral Substances Markets (ARECOMS).
Founded in 2019 as a subsidiary of Gécamines, EGC is tasked with rationalizing artisanal mining in the DRC, a nation that holds approximately 70% of the world’s cobalt reserves, crucial for the energy transition and advanced technologies.
