A U.S. congressional watchdog has revealed that the 2012 Securities and Exchange Commission (SEC) rule on conflict minerals has not succeeded in reducing violence in the Democratic Republic of Congo (DRC). The U.S. Government Accountability Office (GAO), in a detailed report released on Monday, found no concrete evidence that the rule, aimed at curbing the use of minerals such as tantalum, tin, tungsten, and gold, has led to a decline in violence in the eastern regions of the DRC. Armed groups continue to battle for control of the area’s lucrative mining operations.
Despite its intent to mitigate conflict by regulating the use of these critical minerals, the rule appears to have had limited influence on improving stability. The GAO’s report noted that violence remains particularly prevalent around informal and small-scale gold mining sites, where gold — the hardest mineral to trace and most easily smuggled — has fueled ongoing conflicts.
While the rule also applies to companies operating in neighboring countries, its impact in reducing conflict across the Central African region has been similarly minimal, according to the watchdog.
The DRC, as the world’s largest producer of tantalum, plays a crucial role in global supply chains. However, the SEC raised concerns over the GAO’s findings, disputing some conclusions due to methodological issues and factual inaccuracies. According to the SEC, the GAO’s report contained unsupported assumptions, leading to conclusions that do not align with available data.
This report comes alongside a recent United Nations revelation that M23 rebels in eastern Congo are earning an estimated $300,000 per month from controlling coltan mining areas they seized earlier this year. Furthermore, the GAO had previously pointed out that some U.S. companies sourcing minerals from the DRC and neighboring countries were not fully complying with the SEC’s disclosure rules.