Climate Change Data

Haina Intelligent Equipment International Holdings Limited

Climate Impact & Sustainability Data (2020, 2022)

Reporting Period: 2020

Environmental Metrics

Total Carbon Emissions:2,278.40 tCO2e/year
Scope 1 Emissions:63.33 tCO2e/year
Scope 2 Emissions:2,215.07 tCO2e/year
Total Energy Consumption:2,985.30 MWh/year
Water Consumption:7,030.00 m3/year
Waste Generated:154.58 tons/year
Carbon Intensity:4.80 tCO2e/million revenue

ESG Focus Areas

  • Emissions Control
  • Equal Opportunities and Anti-discrimination
  • Community Investment
  • Anti-corruption
  • Privacy Protection

Environmental Achievements

  • Awarded ISO14001:2015 environmental management system certification
  • Implemented measures to reduce exhaust gas emissions, GHG emissions, and non-hazardous waste
  • No material non-compliance with environmental laws and regulations

Social Achievements

  • Complied with all laws and regulations related to remuneration and dismissal, recruitment and promotion, working hours, holidays, equal opportunities, diversity, anti-discrimination and other benefits and welfare.
  • Provided occupational safety education and training to enhance employees’ safety awareness.
  • No record of any fatality related to work due to accidents in each of the past three years including 2020.
  • Awarded ISO9001:2015 quality management system certification
  • Provided 8 directors with a total of 8 hours of anti-corruption training.
  • Donated RMB2.28 million to Jinjiang Charity Federation and RMB100,000 to the Beijing Zhixing Charity Foundation

Governance Achievements

  • Established ESG task force reporting to the board of directors
  • Complied with the “Comply or Explain” provisions set out in Part C of the Environmental, Social and Governances Reporting Guide
  • Adopted a board diversity policy
  • Implemented measures to prevent corruption and fraud
  • Complied with all relevant laws and regulations concerning the prevention of bribery, extortion, fraud and money laundering

Climate Goals & Targets

Short-term Goals:
  • Reduce paper usage by 5% next year

Environmental Challenges

  • Potential environmental impacts from GHG emissions, sewage discharge, solid waste emissions, and noise pollution during construction and production.
  • Temporary decline of market demand for disposable hygiene product machinery due to the shift of capacity by downstream disposable hygiene product towards production of disposable medical face masks in the midst of outbreak of coronavirus disease 2019.
  • Potential conflict and competition between Jinjiang Haina and Hangzhou Haina.
Mitigation Strategies
  • Formulated the Environmental Protection and Safety System to effectively control and orderly manage solid wastes and noise pollution.
  • Implemented measures to reduce emissions from vehicle exhaust and actively adopted electricity conservation and energy-saving measures to reduce GHG emissions.
  • Implemented measures to reduce noise levels.
  • Implemented measures to protect the interests of the Shareholders as a whole after Listing.
  • Hangzhou Haina became an indirectly wholly owned subsidiary of the Company on 16 March 2021.

Supply Chain Management

Responsible Procurement
  • Established a rigorous and regulated procurement system and supplier selection procedures; formulated Purchasing Management Process requiring suppliers to bring a positive impact on environmental and social matters.

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: Appendix 27 to the Main Board Listing Rules of the Stock Exchange of Hong Kong Limited

Certifications: ISO14001:2015, ISO9001:2015, GB/T 29490-2013

Reporting Period: 2022

Environmental Metrics

Total Carbon Emissions:2,062.49 tCO2e/year
Scope 1 Emissions:82.42 tCO2e/year
Scope 2 Emissions:1,980.07 tCO2e/year
Total Energy Consumption:3,583.59 MWh/year
Water Consumption:14,476.50 m3/year
Waste Generated:371.68 tons/year
Carbon Intensity:5.18 tCO2e/revenue RMB million

ESG Focus Areas

  • Health and Safety
  • Anti-corruption
  • Emissions
  • Climate change
  • Community Investment
  • Development & Training
  • Employment
  • Environment and natural resources
  • Labor guidelines
  • Product liability
  • Supply chain management
  • Use of Resources

Environmental Achievements

  • Awarded ISO14001:2015 environmental management system certification
  • Paper usage decreased by 38.13% during the Reporting Period compared to that in the previous year.

Social Achievements

  • Awarded ISO45001: 2015 (Occupational Health and Safety Management Systems Certificate)
  • Employee turnover rate of approximately 5% (2021: 23%)
  • 28% of employees participated in training, completing an average of 22 hours.

Governance Achievements

  • Established ESG task force reporting to the board
  • Implemented Employee Feedback, whistle-blowing, and Anti-fraud and Conflict of Interest Procedures

Climate Goals & Targets

Short-term Goals:
  • Reduce energy and water consumption by 3% by 2023

Environmental Challenges

  • Significant increase in cost of raw materials
  • Inability to fully transfer increased production costs to customers
  • Disruption of goods delivery and increased transportation costs due to COVID-19
  • Deterioration in production efficiency due to supply chain disruptions
  • Complex and unstable world economic environment due to COVID-19 and Monkeypox pandemics
  • Increased cost of raw materials and labor, fluctuating foreign exchange market
Mitigation Strategies
  • Strengthening cost control, adjusting cost structure, implementing cost reduction strategy
  • Investment in digital plants to improve energy conservation and efficiency
  • Intensified advertising efforts on various platforms to enhance brand exposure and awareness
  • Cooperation agreement with an agency company for equipment sales in South America
  • Developing “5G+ Intelligent Platform for Equipment Operation and Maintenance Services” to accelerate digital transformation

Supply Chain Management

Responsible Procurement
  • Formulated Purchasing Management Process covering legal compliance, human rights protection, employee safety and health, social responsibility, business ethics and environmental protection

Climate-Related Risks & Opportunities

Physical Risks
  • Typhoons
  • Heavy rain
  • Flooding
  • Thunder and lightning
  • Extremely hot weather

Reporting Standards

Frameworks Used: Appendix 27 to the Main Board Listing Rules of the Stock Exchange of Hong Kong Limited

Certifications: ISO14001:2015, ISO45001: 2015, ISO9001:2015, GB/T 29490-2013

Awards & Recognition

  • National Intellectual Property Advantage Enterprise
  • 2022 Quanzhou Municipal Industrial Leading Enterprise