Does Volkswagen’s China sourcing announcement mean ESG is over?
Volkswagen’s (VOW) announcement in late-March that it had signed a nickel and cobalt procurement agreement for its Chinese operations with Tsingshan Group and Huayou Cobalt Co. Ltd delighted many people involved with the EV market and shocked others. Many auto analysts were delighted by the announcement because VOW had finally tied up a long-term source of nickel and cobalt supply. But those closer to the raw materials end of the market (like ourselves) were shocked. Why had VOW, one of the biggest proponents of sustainable supply chains, signed up to a supply agreement with some of the least environmentally friendly...
Zhejiang Huayou Cobalt