Suppliers

Suppliers are contracted on the basis of internal standards and national and international laws regarding the practice of purchasing. The Compliance Program provides for the assessment of the integrity (due diligence) of third parties and the application of mechanisms to detect possible conflicts of interest, tasks of responsibility of the Audit, Risks and Compliance Board. The contracts signed establish clauses to ensure the faithful and full compliance with internal rules, including the Anti-Corruption Law.

In the approval phase of suppliers, the Audit, Risk and Compliance Board makes a rigorous assessment from the respective CNAES (National Classification of Economic Activities). Both the CNPJ and the CPF of the respective partners are evaluated in order to identify possible involvement in corruption, fraud, complaints, environmental crime, slave and/or child labor, procedural history, national and international restrictive lists, such as: OFAC (Agency for Control of Foreign Assets), European Union, IBAMA (Brazilian Institute for the Environment and Renewable Natural Resources), and possible embargoes.

In 2022, CSN developed an ESG Assessment for its most relevant suppliers. This assessment measures the risk of these suppliers concerning ESG aspects: health and safety management, engagement with communities, diversity and inclusion, whistleblower channel, code of ethics, certifications, climate risk management, water, and biodiversity, among others.

As of 2023, these suppliers will respond to the assessment periodically. The diagnosis helps CSN assess and manage potential socio-environmental and image risks and influences its supply chain in adopting the best market practices.