Battery Supply Chain Tesla’s engagement in the DRC and the Fair Cobalt Alliance (FCA) #3 Risk Mitigation and Positive Impact The DRC is an important source of cobalt for Tesla batteries. We will continue supporting sourcing from the DRC provided our responsible sourcing standards are met. While Tesla does not source cobalt from Artisanal and Small-Scale Mining (ASM), we recognize the importance of ASM for local livelihoods. This is why Tesla provides funding to, and sits on, the Steering Committee of the Fair Cobalt Alliance (FCA), a multi-stakeholder initiative to support the improvement of conditions in communities impacted by artisanal mining through the following activities: • Occupational health and safety awareness raising campaign for mine workers • First aid training for mine workers and selection of safety captains • Distribution of protective equipment to washer women • Creation of savings groups for mining community members paired with financial literacy training • Development of referral system for children engaged in mining activities, including child labor notification protocol, remediation solution packages, and guidelines for case managers on remediation steps, in collaboration with the NGO, Save the Children • Trainings related to child rights • Electrification of five schools covering students through the distribution of solar-chargeable portable lamps • A marketplace and football field selected for the placement of lighting poles Attendees of a first aid training organized by the FCA in the DRC 109
Tesla 2021 Impact Report Page 108 Page 110