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Drive Sustainability Partners with the European Commission to Explore Lithium Extraction Impact in Latin America

In recent years, Argentina has emerged as a crucial player in the global lithium value chain, experiencing a remarkable upsurge in lithium mining activities, notably concentrated in regions like Jujuy and Salta. Lithium, a key component in the production of batteries for electric vehicles and renewable energy storage systems, has become instrumental to the transition towards a greener economy. Nonetheless, the extraction of this mineral has triggered concerns regarding its potential environmental and social repercussions.

In May, CSR Europe and its leading automotive partnership, Drive Sustainability, joined the technical mission organised by the European Union’s Delegation to Argentina's lithium provinces to understand how this booming industry is striving to align with ESG practices and standards.

On 22-22 May, CSR Europe took part in the 2023 EU-Latin America Convention on Raw Materials in Buenos Aires. Luciana Rendace, Senior Project Manager in Drive Sustainability, spoke at the session “Developing sustainable raw materials value chains between the EU – LATAM”, highlighting the importance of stakeholder engagement and collaborative action, as well as the need to apply the highest sustainability standards both in new lithium projects and traditional mining, such as copper and Iron Ore.

As part of the mission, CSR Europe and Drive Sustainability also visited mining projects at different stages of development, including notable sites like Eramine Sudamerica in the Centenario Ratones salt flat and Lithium Americas' project in the Pastos Grandes Basin. This immersive experience offered valuable insights into the industry's efforts to reduce its environmental footprint by optimizing the usage of water resources, implementing recycling systems, and adopting innovative water management strategies.

Beyond environmental concerns, the social impact of lithium mining holds significant weight in the realm of sustainable sourcing. It is imperative for companies operating in Argentina's lithium mines to actively engage with local communities and foster contributions to local economic development. In this context, the mission undertaken by CSR Europe and Drive Sustainability proved invaluable, as it provided a platform for exchange with the local community of Tolar. This interaction allowed for a deeper understanding of the experiences and perspectives of indigenous communities directly affected by mining operations.

With the global shift towards renewable energy and electric mobility in full swing, the demand for lithium is poised to skyrocket. Recognizing this pressing need, CSR Europe and Drive Sustainability are steadfastly dedicated to promoting a sustainable approach to lithium mining.

Boasting over a decade of collaborative efforts, the Drive Sustainability partners - BMW Group, Daimler Truck, Ford Motor Company, Geely, Honda, Jaguar Land Rover, Mercedes Benz, Scania, Toyota Motor Europe, Volkswagen Group, Volvo Cars, Volvo Group - have assessed a staggering 107,000 suppliers and provided training activities to more than 3,000 suppliers. In 2020, the partnership unveiled its long-term strategy, expanding its scope of work to address four pivotal sustainability challenges: sustainable raw material sourcing, workforce wellbeing, carbon-neutral supply chains, and circular value chains. Furthermore, in 2021, Drive Sustainability launched Raw Material Outlook, a data-driven platform offering an in-depth analysis of the Environmental, Social, and Governance (ESG) risks and impacts associated with materials used in automotive value chains. This valuable resource empowers Drive Sustainability's Original Equipment Manufacturers (OEMs) with actionable insights to enhance the efficacy of their risk and impact management strategies and processes.

For more information:

Luciana Rendace

Senior Project Manager, Drive Sustainability

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UPCOMING EVENTS

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