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EU acknowledges shortcomings of Conflict Minerals Regulation: What next?

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The European Union’s ‘Conflict Minerals’ Regulation (CMR), which came into effect in January 2021, aims to prevent the trade in minerals that finance armed conflict and human rights abuses. By imposing due diligence obligations on EU importers of tin, tungsten, tantalum, and gold (3TG) from conflict-affected and high-risk areas (CAHRAs), the regulation seeks to reduce the role of these minerals in fueling violence. However, both a formal evaluation by the European Commission and one conducted by civil society (IPIS/PAX, 2023), highlight significant shortcomings in the implementation and impact of the ‘Conflict Minerals’ Regulation. These findings show that the Regulation’s overall impact remains limited, primarily due to the insufficient engagement with stakeholders in producing countries, the lack of transparency in supply chains, and inconsistent enforcement across Member States. This policy paper explores these findings and offers recommendations to enhance the regulation’s effectiveness, addressing the ongoing challenges in the trade of the so-called ‘conflict minerals’ and highlighting the potential role of the Corporate Sustainability Due Diligence Directive (CSDDD) in improving due diligence and supply chain transparency.

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This document has been produced with the financial assistance of the European Union. The contents of the document are the sole responsibility of IPIS and can under no circumstances be regarded as reflecting the position of the European Union