Climate Change Data

Environmental Metrics

ESG Focus Areas

• Environmental Protection
• Occupational Safety

Environmental Achievements

• Jiangsu Lee & Man Chemical Limited named “2019 Environmental and Social Responsibility Enterprise” by China Environment News.
• Jiangxi Lee & Man Chemical Limited included in the “List of Second Batch of Green Manufacturers of Jiangxi Province”, identified as a provincial “green factory”.
• Reduced pollutant emissions and saved energy effectively through ultra-low emission transformation of boilers.
• Achieved zero emission of carbon tetrachloride.
• Improved energy use efficiency and lower energy consumption through recycling steam or hot water.
• Reduced wastewater discharge through comprehensive recycling and use of wastewater.

Social Achievements

• No violation of law or any fatal accidents in the aspect of safe production.
• Provided free-of-charge body checkup to employees.
• Established a comprehensive training system for employees.
• Created a comfortable and clean environment for employees.
• Established a research institute with a research and development team.

Governance Achievements

• Complied with The Corporate Governance Code and Corporate Governance Report.
• Established a risk management framework.
• Implemented a comprehensive supply chain management program.
• Formulated a clear and quantifiable sustainable development goals for environmental protection and occupational safety.

Climate Goals & Targets

Environmental Challenges

• Sino-US trade conflicts led to higher volatility in market demand for chemical products and a gradual fall in market prices.
• Stringent industrial safety and environmental protection requirements from the PRC government.

Mitigation Strategies

• Proactively enhanced occupational safety measures and made significant investments in modern technologies and holistic staff training.
• Improved internal control standards.
• Promoted green manufacturing and practiced clean, efficient, and low-carbon development management.
• Exploring sources of business growth while maintaining cost-effective operation.

Supply Chain Management

Supplier Audits: Annual

Responsible Procurement

• Stringent entry assessment, in-service supervision, regular review and exit procedures for suppliers.

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: Appendix 27 “Environmental, Social and Governance Reporting Guide” to the Main Board Listing Rules of Hong Kong Stock Exchange

Certifications: GB/T36132 green factory evaluation, ISO50001 energy management system certification, ISO9001:2015, ISO14001:2015, ISO45001:2018, UL (Underwriter Laboratories Inc.) product certification, American NSF (National Sanitation Foundation) certification

Awards & Recognition

• 2019 Environmental and Social Responsibility Enterprise
• Green factory
• water-saving Enterprise in Jiujiang
• Demonstration Center of Circulating Fluidized Bed Boiler with Ultra-low Emission

Environmental Metrics

ESG Focus Areas

• Not disclosed

Environmental Achievements

• Not disclosed

Social Achievements

• Not disclosed

Governance Achievements

• Not disclosed

Climate Goals & Targets

Environmental Challenges

• Weak overall sentiment of the manufacturing industry in China with low prices of industrial raw materials, serious fluctuation in lithium-ion battery raw materials prices leading to decreased selling prices of lithium-ion battery additives.
• High interest rates eating into profits and dampening investment desire.

Mitigation Strategies

• Promoting Automated Production Control to improve production efficiency and cost-effectiveness.
• Maintaining a low borrowing level to protect operating profit.
• Investing in R&D of high value-added chemical products and pushing for vertical integration.
• Enlarging market shares of battery material-related products and revisiting future development plans.
• Adjusting the purpose of newly acquired land in Jiangxi to develop high-end fluoropolymers.
• Improving production processes, raising energy efficiency, conserving water, and reducing carbon emissions.

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Not disclosed

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Not disclosed

Opportunities

• Not disclosed

Reporting Standards

Frameworks Used: Null

Certifications: Null

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Not disclosed

Awards & Recognition

• Not disclosed