Supply Chain Sustainability

Our Priorities

Suppliers play a key role in managing our global supply chain in a responsible manner. We expect our suppliers to comply with the laws and regulations in the areas where they operate and to follow Autoliv’s policies and procedures, including our Supplier Code of Conduct. We work with our suppliers to improve the traceability of minerals and ensure responsible sourcing of components.

Our Policy

The Supplier Code conveys our expectation that suppliers will uphold our social, ethical, and environmental standards in conducting their businesses, including human rights and working conditions, environment, and business conduct and ethics.

Supply Chain Audits

Autoliv has dedicated teams responsible for the quality management of our supply base, including mandatory steps such as pre-qualification audits for new direct material suppliers. Sustainability criteria are included as a module in these pre-qualification audits and must be met before becoming an Autoliv supplier. These audits ensure that our suppliers adhere to Autoliv’s standards as well as to applicable local laws and regulations, and establish a process for working with suppliers that fail to meet our policies and standards. If audited suppliers don’t meet our requirements, an internal escalation process is in place to ensure that non-conformities are corrected.

 

Conflict Minerals

Autoliv’s policy on Conflict Minerals (the “Conflict Minerals Policy”) provides further clarification to the principles of the Standards of Business Conduct and Ethics regarding the illegal trade of natural resources, in particular certain minerals, known as “conflict minerals”. Pursuant to SEC rules, conflict minerals include certain minerals that originated in the Democratic Republic of Congo or an adjoining country and are sold to benefit groups financing armed conflicts in those regions. As part of our supply chain processes, we work with our suppliers to improve traceability of minerals and ensure responsible sourcing of components, parts, or products containing tin, tantalum, tungsten, and/or gold. We have incorporated the principles of this policy into the requirements of our contractually binding Supplier Manual and we work with our suppliers to increase transparency in the supply chain. We support industry initiatives, such as the Responsible Minerals Initiative (RMI), and utilize external expert guidance to validate that the metals used in our products do not contribute to conflicts and come from sustainable sources.”