Lobbying Governance
Overall Assessment | Analysis | Score |
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Moderate |
Kia Corp’s disclosures reveal a structured process for overseeing financial contributions to trade associations with climate-related agendas but do not extend this governance to the company’s own direct advocacy activities. The company affirms a “public commitment” to align engagement with the Paris Agreement, responding “Yes” when asked if it conducts engagement activities in line with those goals. It describes that “when financial contributions are made on associations, Kia manages nature of the organization, details/purpose of expenditure, and activities that meet the purpose of the expenditure with the Finance and accounting division for association expenses that the company spends,” and that these “expenditures are thoroughly reviewed and managed through the department that executes the contribution > general management department > management level > board of directors,” indicating multi-tiered approval and board oversight. It also monitors “the status of ESG agendas of associations, including activities related to climate change” and can “ask [an] association to conduct corrective actions” if its positions diverge, showing an active alignment mechanism for indirect lobbying. However, the Sustainability Management Committee’s detailed reporting to the Board of Directors (“management performance, including climate change and carbon neutrality, as well as related plans, are reported to our board”) focuses on risk and transition planning rather than on political advocacy oversight, and the company does not disclose any governance process for its direct lobbying efforts or any dedicated individual responsible for reviewing its lobbying alignment beyond board-level involvement.
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