Manuel Suarez Senior Corporate Legal Counsel, Cisco Environmental Affairs Co-Chair Strategic Management Team (SMT), Cross-Industry Umbrella Project

ITI ELC Spring 2017 Meeting March 14, 2017

RoHS Exemptions: A Current Perspective

AGENDA

1. Introduction

2. Expanding Regulatory Landscape

3. Cross-Industry Umbrella Project

4. Updates

5. Summary

6. Q&A

Work

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The Network Powered By Cisco

Expanding Regulatory Landscape

RoHS

MCCP

Monitor

Advocate

Integrate

RoHS

Exemptions

Pb

Changes to Exemptions in RoHS 2

Maximum Validity Periods

Renewals on Request

Deadlines for Applications

Transitional Measures

And More!

Maximum Validity Periods

07/22/2011 – 07/21/2016*

Apply no later than 18 months before expiry

Exemptions valid until EU decision

If rejected 12-18 months transition

* EEE Categories 1-7, 10

Cross-Industry Umbrella Project

• From Early 2013 to Date WHEN

• 34+ Industry Associations Globally

HOW

• 14 Applications for Renewals* WHAT

Quick Facts

* Exemptions #4(f); 6(a)(b)(c); 7(a); 7(c)-I-II-IV; 8(b); 13(a)(b); 15; 34 & 37

Exemption # Description 4(f) Hg in other discharge lamps for special purposes

6(a) Pb as alloying element in steel for machining purposes and in galvanized steel ≤ 0.35% Pb by weight

6(b) Pb as alloying element in aluminium ≤ 0.4% Pb by weight

6(c) Cu alloy ≤ 4% Pb by weight

7(a) Pb in HMP solders (i.e. Pb-based alloys ≥ 85% Pb by weight)

7(c)-I Electrical and electronic components containing Pb in a glass or ceramic other than dielectric ceramic in

capacitors, e.g. PZT devices, or in a glass or ceramic matrix compound

7(c)-II Pb in dielectric ceramic in capacitors for a rated voltage of 125 V AC or 250 V DC or higher

7(c)-IV Pb in PZT based dielectric ceramic materials for capacitors being part of ICs or discrete semiconductors

8(b) Cd and its compounds in electrical contacts

13(a) Pb in white glasses used for optical applications

13(b) Cd and Pb in filter glasses and glasses used for reflectance standards

15 Pb in solders to complete a viable electrical connection between semiconductor die and carrier within IC FCPs

34 Pb in cermet-based trimmer potentiometer elements

37 Pb in the plating layer of high voltage diodes on the basis of a zinc borate glass body

Global Industry Leadership

Strategic Management Team

(SMT)

Partnering Associations’ Secretariats & Issue

Leaders

Exemption-Specific

Working Groups

(WGs)

Technical Experts from across Partnering

Associations

Project Recommendations to EU*

DATES

07/21/2021*

SCOPE

Only Targeted Adaptations where warranted

OTHER

Avoid Additional Splitting/Renumbering

* EEE Categories 1-7, 10

Updates

Application

for Renewal

EU

Prepares

Legislative

Proposals

Consultation

EU RoHS2

Expert

Group

Publication

in Official

Journal of

the EU

(OJEU)

EU 1st

Check &

Evaluation

Mandate to

External

Consultant

Public

Consultation

Consultant

Evaluation &

Recommen

dation

WTO

Notification

EU Public

Consultation

on Drafts

EU

Additional

Scrutiny

Pack 7

(# 13a&b)

Pack 9

(incl. 29 Exemptions)

No changes

possible

(approved or

rejected)

EU Process

Next steps

• EU (2 months) Additional Scrutiny shortly; and thereafter

• Publication in OJEU

Pack 7 (# 13a&b)

• WTO Notification + EU (4 weeks) Public Consultation on Drafts in Q2; and thereafter

• EU (2 months) Additional Scrutiny + OJEU Publication earliest September 2017

Pack 9 (incl. 29 Exemptions)

Today

2016 2017 2018 2019 …and beyond

07/21/2016*

[Exemptions not applied

for renewal expired]

~ Earliest End 2018 or beyond

[specific applications]

Formal review by EU Renewed Exemptions Valid

Unrenewed Expire

Timeline

* EEE Categories 1-7, 10

For Categories 1-7, 10

Exemption # Scope Dates

13(a) No changes 07/21/2021

13(b) Rewording + Split 07/21/2021

07(a) No changes 07/21/2021

07(c)-I No changes 07/21/2021

06(a) Rewording 07/21/2021

06(b) Rewording + Split 07/21/2021 where not intentionally introduced

~Earliest End 2020 for machining purposes [3 years after OJEU publication]

06(c) No changes ~ earliest End 2020 [3 years after OJEU publication]

24 No changes ~ earliest End 2020 [3 yeas after OJEU publication]

34 No changes 07/21/2021

* End 2016 EU Drafts – To Be Confirmed over next months

Early* EU Draft Legislative Proposals

EU End of Life Vehicles (ELV)

ELV’s Exemptions 8(e) & 8(g)

(RoHS Exemptions 7(a) & 15)

Completed

(Directive (EU) 2016/774)

7th ATP ELV’s Exemptions

2(c) & 3

(RoHS Exemptions 6(b) & (c))

04/18/2016 EU Consultant’s

Recommendation (Legislative

procedure kick off shortly)

8th ATP

Adaptations to Technical Progress (ATPs)

07/21/2024 Maximum Validity Period for Category 11 Exemptions

Deletes Deadline for EU’s Decision on Renewal of existing Exemptions

Other Issues

EU RoHS Scope Review Proposal

Summary

Exemptions applied for renewal valid until EU Decisions;

Decisions will include:

i) New Validity Date up to 07/21/2021*;

ii) 12-18 months Transition ~ earliest End 2018;

Umbrella Project continued engagement.

In Closing…

* EEE Categories 1-7, 10

Monitor

Advocate

Integrate

Expanding Landscape

• Additional Substances

• RoHS 2021 Review

• RoHS/REACH Globally

• Circular Economy

• And more!

Looking Ahead

• European Commission - RoHS http://ec.europa.eu/environment/waste/rohs_eee/index_en.htm

• European Commission - RoHS - Adaptation to technical and scientific progress http://ec.europa.eu/environment/waste/rohs_eee/adaptation_en.htm

• Draft legislative proposals are published online for feedback before adoption http://ec.europa.eu/info/law/better-regulation/share-your-views_en

• EU Expert Group for RoHS2 adaptation and enforcement http://ec.europa.eu/transparency/regexpert/index.cfm?do=groupDetail.groupDetail&groupID=2810&Lang=EN

Sources of Additional Information

Q&A

THERE’S NEVER BEEN

A BETTER

TIME