weighted score 4.4 · nine dimensions
Country Risk Profile
Mongolia
Sourcing risk, regulatory exposure and audit intelligence for Mongolia-origin supply chains.
Forced & child labour
4
TVPRA fluorspar (CL). Artisanal gold mining involves child labour. Large-scale mining operations (Oyu Tolgoi) maintain international standards.
Worker rights & FOA
4
ILO core conventions ratified. Freedom of association legally protected. Labour inspection capacity limited, particularly in artisanal mining and informal sectors.
OHS & audit transparency
5
Occupational safety in artisanal mining is a significant concern — mercury use, tunnel collapse risk. Large-scale operations maintain international OHS standards. Audit ecosystem limited.
Food & product safety
4
Food safety regulation developing. Meat and dairy are significant exports but SPS compliance with EU standards remains a challenge. Limited food processing infrastructure.
Environmental & regulatory
3
Environmental regulation exists but enforcement is uneven. Cashmere overgrazing and artisanal mining mercury use are significant environmental concerns. No active IUU card.
Governance & anti-corruption
7
TI CPI 35/100 — significant corruption risk. Resource nationalism and contract renegotiation history. Political interference in mining sector governance documented.
Tariff & preferential access
4
Standard GSP access to EU and US. No comprehensive FTA with major trade blocs. Landlocked geography adds effective trade barriers through transit costs.
Non-tariff barriers
4
SPS compliance with EU standards remains challenging for agricultural products. Technical barriers moderate. Transit dependency on China and Russia creates non-tariff vulnerabilities.
Supply chain traceability
5
Traceability in artisanal mining is effectively non-existent. Large-scale mining operations maintain chain-of-custody systems. Cashmere traceability improving but not yet systematic.
Labour & Social Risk
Labour & Social Risk
- TVPRA listings
- Fluorspar is listed on the US Department of Labor TVPRA List of Goods Produced by Child Labor (CL indicator). Artisanal and small-scale gold mining involves documented child labour concerns, though gold is not currently TVPRA-listed for Mongolia.
- Artisanal mining
- Artisanal gold mining (ninja mining) involves an estimated 60,000+ informal miners, including children. Working conditions are hazardous — mercury use, tunnel collapse risk, and no occupational safety standards. This is the primary forced and child labour concern.
- International standards
- Oyu Tolgoi (Rio Tinto) operates to IFC Performance Standards and international labour and safety benchmarks. Large-scale mining operations generally maintain higher labour standards than artisanal operations.
Governance & Trade Access
Governance & Trade Access
- Governance
- TI CPI 2024: 35/100 — reflecting significant corruption concerns. Resource nationalism and political interference in mining contracts are documented risks. The Governance score of 7 reflects this elevated risk level.
- Trade access
- Mongolia has standard GSP access to the EU and US markets. No comprehensive FTA with major trade blocs. Tariff score of 4 reflects modest preferential access without the depth of an FTA framework.
- Resource nationalism
- Mongolia has a history of renegotiating mining contracts and investment agreements — most notably the extended Oyu Tolgoi negotiations with Rio Tinto over tax, royalties, and government equity. This creates regulatory and contractual uncertainty for foreign investors.