On Sept. 18 the House Ways and Means Committee approved H.R. 10346, the Stop China’s Exploitation of Congolese Children and Adult Forced Labor through Cobalt Mining Act, in a bipartisan vote, putting cobalt in DC’s crosshairs. The bill, introduced by Rep. Chris Smith, R-N.J., now waits for full House consideration.
The bill targets cobalt sourced from the Democratic Republic of the Congo, a key ingredient in lithium-ion batteries used in smartphones, laptops, and electric vehicles. Cobalt also appears in aerospace applications, alloys, cemented carbide, magnets, medical devices, and other products.
Chinese entities reportedly hold stakes in 15 of the DRC’s 19 cobalt mines, and 15 to 30 percent of DRC cobalt production comes from artisanal and small-scale mining, where an estimated 40,000 of 255,000 miners are children.
Section 307 of the Tariff Act of 1930 bans U.S. imports made wholly or in part with forced labor. H.R. 10346 would direct the Forced Labor Enforcement Task Force to investigate DRC cobalt supply chains, identify priority products and sectors, and examine whether cobalt-linked goods are being transshipped or reentering the U.S. market through downstream products.
Because the House has adjourned until after the November elections, the bill will not move before then. But companies should not treat that as a compliance snooze button. The FLETF could act on its own and prompt U.S. Customs and Border Protection to issue withhold release orders covering imports containing DRC cobalt.
Companies are often encouraged to map their supply chains from “dirt to shirt,”but that need is becoming ever more critical. Congress may be stuck in park for now, but forced labor enforcement is still in drive.
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