Being one of the members of Responsible Minerals Initiative (“RMI”), Hon Hai Technology Group has made its commitment to responsible mineral procurement management. As a member of the Hon Hai Technology Group, the Group has formulated “FIH Social Accountability Management Manual” and “Environmental Protection and Social Responsibility Commitment” to outline management requirements for responsible mineral procurement. The “FIH Social Accountability Management Manual” pledges FIH’s commitment to adhering to international and industrial provisions on conflict minerals, provides definitions of the Group’s identified conflict minerals, and illustrates its requirements on suppliers regarding minerals traceability and due diligence. Additionally, the Group has issued the “Supplier Responsible Mineral Sourcing Management Process” and has introduced management processes for sourcing responsible minerals.
The Group conducts a due diligence process on suppliers following Conflict Minerals Reporting Template (“CMRT”) and Cobalt Reporting Template (“CRT”) and requires new suppliers to use smelters or refineries that adhere to the Responsible Minerals Assurance Process (“RMAP”). Our suppliers need to trace the origin of products that may contain conflict minerals, such as gold (Au), tantalum (Ta), tin (Sn), and tungsten (W), and provide us with comprehensive information about the sources of these minerals to avoid sourcing minerals from regions fraught with high-risk conflict and human rights crises, such as the Democratic Republic of Congo and its surrounding conflict-prone areas. New suppliers must sign the “Environmental Protection and Social Responsibility Commitment” form, pledging to comply with the Group’s responsible mineral procurement policies, and submit verified CMRT reports before becoming a qualified Group supplier.
During the Reporting Period, 151 suppliers completed conflict minerals investigations through our conflict minerals management platform and no supplier was found to use any conflict minerals. The Group requires our suppliers to encourage non-RMAP smelters/refineries discovered during these investigations to achieve RMAP compliance within a specified timeframe or face elimination from the supply chain. The Group did not identify any supplier products containing tantalum, tin, tungsten, gold, or cobalt from conflict countries and surrounding areas.