At SigmaTron International, Inc. (“SigmaTron”), we are committed to service excellence. That translates to responsiveness to customer needs, transparency in what we do, high ethical standards, and compliance with the environmental and business regulations in the regions in which we do business. We expect our suppliers to have a similar commitment to those values.
Suppliers are measured on on-time delivery, ongoing quality performance and cost on a continuous basis. Performance is tracked by the production facility consuming the material. Suppliers of fabricated parts are audited as part of the qualification process. Audits are repeated if quality issues arise or the scope of the business changes.
Green Compliance Service Center
Our Green Compliance Service Center interfaces closely with component engineers and procurement professionals in our Taiwan International Purchasing Office (IPO) and our facility-specific procurement teams to gather necessary materials documentation from suppliers related to regulatory, social, and environmental legislative initiatives requirements such as RoHS, RoHS II, REACH, Conflict Minerals and California’s Proposition 65, as well as customer specific initiatives. We expect our suppliers to support all information requests.
Human rights violations by armed groups in the eastern Democratic Republic of the Congo (DRC) have led to concerns that proceeds from mining of materials in the DRC and adjoining countries may be used to fund continuing violence in that region. HR4173, the Dodd-Frank Financial Reform Bill Section 1502(b) requires all US stock listed companies and their suppliers to disclose the chain of custody usage of Conflict Minerals on company web sites and in filings with the Securities Exchange Commission (SEC). The first reporting year of the regulations is 2013 with initial reports due in May 2014.
Conflict Minerals are minerals or other derivatives (including gold, wolframite, casserite, columbite-tantalite and their derivative metals, which include tin, tantalum and tungsten) mined in the eastern provinces of the Democratic Republic of the Congo (DRC) and in the adjoining countries (Angola, Burundi, Central African Republic, the Republic of Congo, Rwanda, South Sudan, Tanzania, Uganda and Zambia).
All of the specified minerals are commonly used in the electronics industry. Most of the components SigmaTron’s customers specify in their Approved Vendor Lists contain one or more of these minerals, and SigmaTron uses tin in all its soldering systems.
SigmaTron’s Conflict Minerals Policy
SigmaTron shares concerns about the use of resources to fund armed conflict in the DRC, and is intent on making sure its activities are not contributing to the issue. SigmaTron is working to comply with this legislation and to assure that specified minerals which it uses in its products are conflict free. Further, SigmaTron is adopting reporting processes and obtaining chain of custody declarations from all SigmaTron-sourced and managed suppliers to ensure transparency in its supply chain.
Expectations for SigmaTron Suppliers
SigmaTron expects its suppliers to source materials from socially responsible suppliers. This means that SigmaTron will not only source from regular suppliers using sources from regions other than the DRC and its adjoining countries, but also source with suppliers who have confirmed conflict free sources even if those sources do come from the DRC and its adjoining countries.
SigmaTron expects suppliers to familiarize themselves and comply with the Dodd-Frank regulations, to implement Conflict Mineral policies that are consistent with this policy and provide all necessary declarations. Additionally, suppliers must:
- Pass all of these requirements on to their supply chain if they don’t source directly from smelters and determine the source of specified minerals.
- Maintain reviewable business records for a period of not less than seven (7) years supporting the source of specified minerals.
- Provide to SigmaTron written certifications and other information concerning the source of specified minerals included in products and components supplied to SigmaTron and the supplier’s compliance with this policy generally, when requested.
Detailed instructions for SigmaTron’s reporting requirements may be found here.
Suppliers who are non-compliant to these requirements shall be reviewed by SigmaTron for future business. If there are any questions regarding Conflict Minerals, product compliance, or corporate social responsibility issues, please contact us fill out this form: