Respect trade control laws

We trade responsibly and in compliance with all applicable trade control laws.

person computer

BHP respects and follows the international trade laws, sanctions, and export controls that govern our transactions and complies with all applicable trade control laws. This includes export controls that impose restrictions of licensing requirements on exports of goods or technology. It also includes trade and financial sanctions that prohibit or restrict transactions with certain individuals, entities, vessels, countries or regions, and anti-boycott laws. BHP is committed to actions that ensure the activities within our control do not facilitate money laundering or terrorist financing. 


Our compliance with trade control laws safeguards our reputation and avoids the risks of criminal penalties and interruption to our business. 

Respect trade control laws
What it means for you

When transacting with third parties, we carefully follow onboarding and due diligence processes – this enables us to comply with trade controls programs that are often subject to change. 

 

If our customers are on-selling BHP commodities, we obtain assurances these are not being on-sold to sanctioned parties, countries or territories. 

 

We stay alert to suspicious activities and transactions – such as transactions involving sanctioned parties or countries, and transactions that don’t make economic sense or seem overly complex – and we get help from our Compliance teams to resolve the issue before proceeding with the transaction. 

 

Following trade control laws protects our business and our people.

How you make an impact
You understand and comply with trade control laws, follow onboarding and due diligence processes, follow the Business Conduct Global Standard and raise concerns or potential violations with Compliance immediately. 
Resources
Business Conduct Global Standard
img

Always

• Follow BHP due diligence requirements for suppliers, customers, vessels and any other third parties with whom we transact.

• Obtain any necessary export control licences or approvals before proceeding with a transaction.

• Understand the intermediate and ultimate destinations of goods, software, technology and other items or associated technical assistance we provide to third parties, and the source (including country of origin and country of export) of goods, services and other items that third parties are providing to us.

• Understand whether your customer is on-selling BHP commodities. Obtain assurances that such goods are not being on-sold to sanctioned parties, countries or territories.

• Investigate any trade controls red flag in a transaction and do not proceed with the transaction until the issue has been resolved.

• Promptly notify Compliance of any suspected boycott requests received, and any third-party or government inquiries or communications related to compliance with trade control laws and regulations and await guidance on how to proceed.

img

Never

• Undertake any business activity with a party that is sanctioned or owned by or operating from a sanctioned country or territory without prior approval from Compliance.

• Proceed with a business transaction without prior approval from Compliance if there is any doubt as to whether the transaction might breach trade control laws.

• Conceal the true identity of the counterparty or other relevant facts of a transaction, or otherwise take any action to evade or avoid trade controls restrictions.

orange gradient
Hypothetical scenarios
Q: My team is looking to engage a new maritime freight provider to transport a spot cargo from different countries. The provider is not incorporated in a country affected by comprehensive trade sanctions, and neither the origin nor the destination country are sanctioned. Can I forego sanctions screening procedures in the circumstances?
A: No. Sanctions may be imposed against individuals, entities and vessels that are nationals of countries that are not affected by comprehensive (country/territorywide) sanctions. Sanctions may also apply in a wide range of circumstances including in connection to the party ultimately using the cargo (the end user) or how the cargo is ultimately to be used (the end use). As a result, it is essential that BHP’s sanctions screening procedures are always followed. In these particular circumstances, it is important to note that maritime freight service providers that have facilitated transactions with Iran and North Korea have been particular targets of sanctions.

 

Q: I have been involved in the engineering design for a development project in Chile and am interested in purchasing drones from the United States to conduct testing at the site. I have also received a document from a French vendor for my signature confirming we will comply with export control requirements following receipt of a part. What do I need to do?

A: The United States’ export controls regimes are broad and far reaching. It is necessary to determine the export classification of the drones to assess any licensing requirements and ongoing compliance obligations before agreeing to purchase the drones. Similarly, the French export control certification may commit BHP to significant ongoing obligations (including, potentially, restrictions on retransferring or re-exporting the items in question).

 

You must understand the nature of documents that you sign at a vendor’s request and how items you plan to move cross-border are classified for export. In both of these instances, you must always contact our Ethics and Compliance team to gain the necessary approvals and licences before proceeding.

Q: One of my colleagues has asked if I can share a technical manual related to a new automated piece of equipment with them. My colleague is in Chile and I am in Australia. I have a copy of the manual saved to my computer so can I email it to them directly?

A: It is possible that the manual contains technical information that may be controlled for export purposes. Prior to emailing it to a colleague in a different country, confirm the manual is not controlled for export to that country. This may be indicated by an export control legend or marking on the document.

 

If you are unsure if or how the document is controlled, please consult the Our Requirements for Business Conduct standard for initial guidance on whether the item you intend to send via email could be subject to controls or contact the Compliance team before sending the information to your colleague.

Q: I am working with a new supplier who wants to subcontract part of the work to another company. The supplier refuses to provide the name of the company or to tell me where it is located. Is this a problem?
A: It may be a trade controls red flag. We should know the identity of those are providing goods and services to us, directly or indirectly, and should be able to confirm if they are sanctioned, organised under the laws of, or operating from a sanctioned jurisdiction or using sanctioned country goods or services in what they are providing. Try to obtain more information, follow required processes and consult with the Compliance team before proceeding.
Q: I am responding to a tender and have been asked to confirm we will not use any restricted list, blocked or boycotted parties in providing the goods or services. Can I confirm this?
A: You should promptly contact the Compliance team for guidance on how to address this provision. The request could be prohibited/penalised by anti-boycott laws and may be reportable to the United States government.
View more hypothetical scenarios

English

español

Chinese

Portuguese

Malay