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Volvo Cars does not currently source battery raw materials directly. However, we recognise that raw materials of concern (RMoC), such as nickel, are linked to significant environmental, social and governance (ESG) risks, particularly in high-risk geographies. This is why supply chain traceability, third-party audits, and stakeholder engagement are key pillars of our responsible sourcing approach.

Since 2019, we have collaborated with Circulor to implement blockchain traceability for cobalt, and have expanded this to include nickel, lithium, graphite and mica. In 2024, we became the first carmaker to launch a battery passport, ahead of EU Battery Regulation requirements. This passport provides information on the country of origin of key battery materials, including nickel, and is accessible to consumers through the Volvo Cars app and vehicle QR code.

We can confirm that one of our vehicle models currently on the market contains nickel sourced from Indonesia. This site underwent an independent third-party on-site audit in 2023, with a follow-up audit conducted in spring 2024 by RCS Global. In parallel, personnel from the mine participated in Volvo Cars’ supplier training program during the same period, which focuses on compliance with the OECD Due Diligence Guidance, IRMA standards, and our own sustainability requirements.

Additionally, in 2024, representatives from Volvo Cars joined a field trip to Indonesia coordinated by Drive Sustainability and IndustriALL. The visit included engagement with nickel mining sites, processing facilities, rightsholders, and governmental actors, further informing our due diligence efforts and understanding of local impacts and concerns.

While we are not the operator of the IWIP or the mine in question, we take the findings raised in the report seriously and will follow up with our direct suppliers and relevant stakeholders to seek further clarity and assess potential gaps. We believe that addressing these issues collaboratively is essential to driving improvement in the battery supply chain.

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