Volvo will use blockchain authentication to ensure that its cobalt was not sourced using child labor. In order to source cobalt, the company will work with both CATL and LG Chem. However, Volvo will also work alongside blockchain companies to ensure materials were ethically sourced. Volvo's new blockchain authentication agreement will span a decade.
Martina Buchhauser, the Volvo Head of Procurement, spoke on Volvo's new use of blockchain, stating "With blockchain technology, we can take the next step towards ensuring full traceability of our supply chain and minimizing any related risks, in close collaboration with our suppliers."
Cobalt is commonly used in the production of lithium-ion batteries, and often times cobalt mines use child labor. As Volvo is rapidly expanding its EV production, it is also ensuring its materials are sourced ethically.
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