US Conflict Minerals Law Not Reducing War in Congo, GAO Says

A US law that requires companies to report on their use of minerals linked to conflict in Democratic Republic of Congo hasn’t reduced violence in the country, the Government Accountability Office said Monday. 
Millions of people are displaced and fighting over minerals, particularly gold, has actually increased since the so-called conflict minerals law was passed in 2010, the GAO said in its annual report on the regulations. 
The law obliges US-traded companies to file so-called conflict mineral reports to the Securities and Exchange Commission on whether their products may include gold, tin, tantalum or tungsten from Congo or its nine neighboring countries.
The GAO “found the rule was associated with a spread of violence, particularly around informal, small-scale gold mining sites,” according to the report. “This may be partly because armed groups have increasingly fought for control of gold mines since gold is more portable and less traceable than the other three minerals.”
The rules, which came into effect in 2014, are meant to help sever the link between the illicit mineral trade and violence in Congo. They were originally part of the 2010 Dodd-Frank act.
Violence has persisted in eastern Congo for nearly three decades. More than 100 armed groups are active in the region, fighting for land, political representation and economic opportunity. Some groups support themselves by selling or taxing minerals. Under the US law, there are no sanctions if a company discovers its mineral purchases supported conflict in Congo; it’s simply required to report it.
The number of companies filing a report to the SEC increased slightly in 2023 to 1,017, but was still well below the 1,321 reports the commission received in 2014, according to the GAO.
The rule has encouraged companies to improve due diligence and transparency regarding their supply chains, though “many companies continued to report being unable to determine their minerals’ origins,” the GAO said. 
“Given the complexity and entrenched nature of conflict in eastern DRC, experts said they would not expect the SEC disclosure rule alone to meaningfully reduce violence,” according to the report. 
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