Our Responsible Minerals Management

We focus on raising awareness of responsible minerals issues, conducting inspections on the status of responsible minerals use, and identifying and remedying risk factors in relation to all of our mass-produced materials suppliers based on the OECD Due Diligence Guidance for Responsible Supply Chains of Minerals from Conflict- Affected and High-Risk Areas. We block the inflow of materials that are not sourced in compliance with our responsible minerals policy from the initial point of purchase.

* OECD Due Diligence Guidance for Responsible Supply Chains of Minerals from Conflict-Affected and High-Risk Areas

Lower-tier suppliers/Smelters, Suppliers, Collaborate with RBA, RMI, EPRM, OECD and use their standards to manage responsible minerals(Raise suppliers's awareness, Inspect the use of conflict-affected and high-risk minerals along the supply chain, Conduct reasonable due diligence and verification on inspection outcomes, Verify and assess risk factors within the supply chain, Develop improvement plans for risk and report relevant data), Clients·external stakeholders

1) G-SRM: Global Supplier Relationship Management System

2) RBA: Responsible Business Alliance

3) RMI: Responsible Minerals Initiative

4) EPRM: European Partnership for Responsible Minerals

Using the RMI’s templates on conflict and responsible minerals, including but not limited to the Conflict Minerals Reporting Template (CMRT), Extended Minerals Reporting Template (EMRT), and Pilot Reporting Template (PRT), we collected data from all suppliers that we conduct business with through our Global Supplier Relationship Management (G-SRM) system on conflict and responsible minerals as well as other information on smelters within the supply chain. In addition, we required our suppliers to extend the ban on conflict minerals to their own suppliers in accordance with our conflict minerals policy.

(Unit : Number of cases)

Table about Category, Status from 2017 to 2021
Category	2019	2020	2021	2022	2023
Tantalum	40	38	38	36	42
Tin	76	53	55	59	67
Tungsten	41	42	40	39	33
Gold	104	107	107	99	91
Cobalt	30	27	35	42	42
Mica	-	-	10	19	26
Lithium	-	-	16	11	8
Copper	-	-	-	33	90
Nickel	-	-	-	22	30
Aluminum	-	-	-	-	27
Silver	-	-	-	-	10

* We acquired 100% RMAP certification for conflict minerals tantalum, tin, tungsten, gold, and responsible mineral cobalt, with other minerals to be expanded through joint action with RMI.
** Pilot survey of responsible minerals such as lithium, copper, nickel, aluminum, and silver has been conducted among Korean suppliers, and is scheduled to be expanded to all global suppliers starting in 2024.

List of smelters and refiners

We internally review all our suppliers’ data upon submission, perform additional audits in relation to the submitted data, and sort suppliers that require follow-up monitoring. In 2023, we audited the credibility of data submitted by 315 suppliers around the world and their conflict minerals policy implementation status.

(Unit : Number of cases)

225 in 2019, 427 in 2020, 493 in 2021, 438 in 2022, 315 in 2023

* From 2020 to 2022, inspections were performed in a contact-free manner via document review due to the COVID-19 pandemic.
* In 2023, we resumed on-site audits of our suppliers, in accordance with the post-COVID-19 pandemic transition process.

Through such efforts, we are able to screen out conflict minerals illegally mined from 10 African countries including the Democratic Republic of the Congo and only use minerals sourced from smelters certified by globally recognized third-party accreditation entities. In addition to conflict minerals, we continually monitor minerals that entail human rights violations and environmental destruction issues during the mining process and take necessary steps in cooperation with other global organizations.

Responsible Minerals Report

Responsible Minerals Management System

Number of Smelters and Refiners within Our Supply Chains

Number of on-site inspections