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Company Response

27 Apr 2016

Author:
Daimler

response by Daimler

Export Controls

•             For Daimler, the correct export of products in conformance with the law is a fundamental principle of responsible entrepreneurial activity.

•             Daimler has drawn up a comprehensive corporate policy on the subject of export controls to effectively prevent the risk of export control laws being broken.

•             We generally adhere to the strict restrictions of applicable law for supplying military goods. In addition, we give due consideration to the assessments of the German government on political situations in the countries concerned. Export licenses are only applied for when those assessments are positive.

•             In this context, we would like to point out that the German Government sets strict standards for export licenses and does accordingly not give export licenses for the delivery of military vehicles in crisis- or war areas.

Petronas

•             We take the accusations against the Petronas shareholdings and consortia in South Sudan regarding environmental pollution and human rights abuses very seriously.

•             Sustainability and integrity are integral components of our corporate culture. When selecting our direct business partners, we make sure they comply with laws and follow our ethical principles.

•             Daimler is not the perpetrator of the incidents in South Sudan, and we have no direct influence on the prevention thereof. Nonetheless, since learning of the accusations, we have exercised our influence and initiated a continuous dialog process with all involved parties.

•             The objective of this dialog is to strongly express our expectations towards the concerned parties regarding sustainable conduct and the improvement of the drinking water supply on site.

•             We have received commitments by Petronas to carry out direct discussions with the concerned and responsible parties on site, to collaborate on the clarification of interdependencies and responsibilities, and to introduce the potentially necessary steps for the improvement of the situation in South Sudan.

•             According to Petronas, this process has been massively impeded and delayed due to the civil war situation in South Sudan and the necessary associated evacuation of the Petronas-affiliated location in question in December 2013. It is currently not foreseeable if and when the political situation in the civil war-affected area will allow for a return to the facilities. 

Contracts for work and services and outsourcing

•             Contracts for work and services are an essential tool for any successful commercial organization in Germany. The question as to what tasks should be outsourced and what should be manufactured inhouse is one of the most basic decisions a business will have to make. We use contracts for work and services to commission particular activities that are not part of our core business or which specialists can carry out more efficiently than we would be able to ourselves.

•             In October 2013 we established a set of social principles for third-party companies that operate on our plant site and founded a team of experts that has been auditing contractors to see how aspects such as employment relationships and pay are actually governed. Our standards go far beyond existing legal and contractual regulations; Daimler has in this respect assumed a lead role in the German economy.

Timeline