The groups behind the report demanded that Assa Abloy stops all investments in the production plant in Ariel, and that the plant be moved to Israel. The same day Assa Abloy issued a public statement that the company was going to move the factory out of the West Bank.

Ethix SRI Advisors commends Assa Abloy’s prompt response to the concerns raised in the report and the ensuing debate in Swedish media. At the same time, Ethix SRI Advisors contends that it is important to appreciate the broader context of corporate involvement in the Occupied Palestinian Territories.

Ethix SRI Advisors has assessed the operations of four listed companies in connection with Israeli settlements. These companies raise concerns similar to the case of Assa Abloy’s lock factory in the West Bank. However, of greater importance in comparison with Assa Abloy, the four companies provide infrastructure to the Israeli settlements—an activity assessed to be in direct violation with several UN Security Council resolutions.

This concern over the infrastructure projects has prompted a number of European banks, including ASN Bank, SNS Bank, Swiss Alternative Bank and Sarasin, to look more critically at their investments in corporate involvement therein.

For more information on Ethix SRI Advisors’ assessment of companies’ activities related to the Israeli occupation, please see the article Swedish company Ethix serious about Responsible Investment.

Please feel free to contact Damien Fruchart if you have any questions.