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The global nature of modern supply chains means that natural resources that have fuelled some of the world’s most brutal conflicts are bought and traded internationally, including by companies operating in the European Union (EU). EU-based companies using natural resources must do more to prevent their operations from directly or indirectly causing harm. A legislative framework is needed to clarify the responsibilities of European companies and to provide the basis for appropriate oversight by regulators, markets and consumers.

We recommend that the European Commission introduce legislation that creates a legally binding obligation on business to conduct supply chain due diligence to identify and mitigate the risk of conflict financing and human rights abuse.