SEOUL, South Korea — Nexen Tire Corp. has joined the natural rubber value-chain, the Global Platform for Sustainable Natural Rubber (GPSNR), as part of an effort to increase the sustainability of its supply chain.
"We are exerting our full efforts to increase the quality of life for the members of the value chain through management of sustainable supply chain and resources," said Nexen in its first sustainability report, published in September.
The company said it joined GPSNR in 2020 as part of its work towards a "responsible supply chain management."
The concept, Nexen said, involves raising awareness among suppliers, identifying human rights and business risks across the supply chain, inspecting sites and carrying out due diligence.
The process also involves the establishment of "improvement plans" as the results of surveys are shared with suppliers.
In addition to the natural rubber supply chain, the initiative also covers the procurement of "conflict minerals," according to Nexen.
Such materials include tin, tantalum, tungsten and gold, which are mainly produced by the Democratic Republic of Congo or neighboring countries where conflicts occur.
In conflict regions, Nexen said, human rights abuses issues such as child or forced labor, as well as the militarization of mining could take place.
To address that, Nexen has established a conflict minerals policy to ensure that such materials are not included in its supply chain.
Here, the tire maker said it would "closely monitor" its suppliers' supply chain of tin, conduct on-site audits and "take timely measures."
"Based on our 78 years' experience, we are committed to implementing CSR activities and creating social value through continuously innovating and challenging ourselves," Nexen Tire CEO Travis Kang said.
Publication of the firm's first sustainability report stresses Nexen's three core values — challenge, creativity and collaboration — to achieve its corporate philosophy.
Nexen is the 14th tire maker to join the GPSNR, which was established in 2017 as an offshoot of the Tire Industry Project of the World Business Council for Sustainable Development. Its mission is to lead improvements in the socio-economic and environmental performance of the natural rubber value chain.