FiatChrysler Automobiles (FCA) and mining firm Glencore have become the latestentrants to join the Responsible Sourcing Blockchain Network (RSBN), anindustry collaboration which uses blockchain technology in order to supportsustainable, responsible sourcing and production practices from mine to market.
Accordingto Fiat Chrysler, the company will jointly work with the network for the launchof a global audit and trace of cobalt in its supply chain. By 2022, theautomaker is planning to launch more than 30 electrified nameplates and theconsortium will play an important role in enabling a responsible supply chainof cobalt which is being used in lithium-ion batteries to power electricvehicles.
Glencoresees RSBN as playing a ‘key role in advancing the sustainable partnershipbetween the producers of commodities that will enable the transition to alow-carbon economy’, in the words of copper and cobalt head of marketing NicoParaskevas.
Downstreamautomakers are among the keenest stakeholders to sign up, with Ford, Volkswagenand Volvo already members. Volvo’s signature, as this publication reportedlast month, meant it became the first company in the consortium which fullyapplied the RSBN solution in its LG Chem supply chain.
CarlSmiley, chief purchasing and supply chain officer at FCA said: “Our commitmentto the responsible procurement of raw materials is vital to the integrity andsustainability of our supply chain, especially as our electrification strategyramps up. Embarking on this journey together with technology and industryleaders will propel our ability to have visibility into artisanal and small-scalemines, allowing us to better manage the social and environmental impacts of ourbusiness.”
The Responsible Sourcing Blockchain Network is set to become commercially operational by spring 2020.
