Zoomlion Heavy Industry Science and Technology Co., Ltd.
Climate Impact & Sustainability Data (2022, 2023)
Reporting Period: 2022
Environmental Metrics
Total Carbon Emissions:173,047.25 tCO2e/year
Scope 1 Emissions:50,885.29 tCO2e/year
Scope 2 Emissions:122,161.96 tCO2e/year
Total Energy Consumption:19,032.00 10,000 kWh/year
Water Consumption:286.12 10,000 m3/year
Waste Generated:3,063.7 tons/year
Carbon Intensity:4.16 tonnes per million revenue in Renminbi in 2022
ESG Focus Areas
- Emission of exhaust gases
- Emission of greenhouse gases
- Emission of waste water
- Emission of hazardous waste
- Direct energy
- Indirect energy
- Water resources
- Employment and labour regulations
- Occupational health and safety
- Development and training
- Employees’ rights and standards
- Supply chain management
- Product health and safety
- Advertisement and labels of products and services
- Client privacy
- Anti-corruption
Environmental Achievements
- Actively promoted “one enterprise, one policy” based on the “self-inspection, online monitoring and special monitoring” system.
- Industrial parks in Changsha, Changde and other regions were named “Advanced units, green plants”.
- Organised training on the implementation of the dual carbon strategic plan and accounting guidelines, attracting a total of 137 participants.
- Developed 127 major new products, and conducted 330 research projects on key core technologies. “Digitalisation, intelligence and greening” technologies accounted for 77% of the research projects.
- Multi-dimensional original innovations in the fields of lithium batteries, electric propulsion, hydrogen fuel and complete machine have fully opened up the three technology chains of new energy, creating a new green landscape.
Social Achievements
- Regular updates of Company systems to protect the rights and interests of employees
- Emphasis on employee care, empowering employees
- Deepening staff care to create a happy corporate atmosphere
- Recruited nearly 4,287 new employees
- Provided a variety of training camps for sales and service personnel, attended by 2,841 participants.
- Improved the Adjustment Plan on Professional Development Paths of After-sales Service Teams
Governance Achievements
- Optimised its ESG governance structure under the leadership of the Board, by specifying the responsibilities of the Board Secretary Office for ESG matters and establishing an ESG special group under the Board Secretary Office.
- Revised the Code for Executives, the Eight No’s for Management Teams, Assessment Methods for Senior Management, etc.
- Organised 12 sessions of large-scale integrity alertness education.
- Focused on investigating and handling cases of violations of law and discipline
Climate Goals & Targets
Environmental Challenges
- Decline in the number of infrastructure projects and real estate projects under construction.
- Decline in sales volume and rise of raw materials prices.
- Decrease in government grants received.
Mitigation Strategies
- Accelerated the transformation and upgradation of digitalisation, intelligentisation and eco-friendliness.
- Sped up making an overall arrangement for emerging sectors.
- Promoted the expansion of overseas markets.
- Strengthened risk control, kept on improving its supply chain, after-sales service and human resource management level.
Supply Chain Management
Responsible Procurement
- Focus on suppliers’ sustainable development, safety, environmental protection, occupational health, etc.
Climate-Related Risks & Opportunities
Physical Risks
- Disruptions in production, transportation and supply chains due to extreme weather
Reporting Standards
Frameworks Used: HKEX Listing Rules
Sustainable Products & Innovation
- Series of new energy products including truck cranes, crawler cranes, truck-mounted concrete pumps and MEWPs.
- First 220-tonne hybrid all-terrain crane, the first 40-tonne pure electric off-road tyre crane, and the largest 125-tonne hydrogen fuel-cell off-highway wide-body dump truck in the world.
Reporting Period: 2023
Environmental Metrics
Total Carbon Emissions:206,881.91 tCO2e/year
Scope 1 Emissions:58,458.41 tCO2e/year
Scope 2 Emissions:148,423.50 tCO2e/year
Total Energy Consumption:23,676.90 thousand kWh/year
Water Consumption:312.28 thousand m3/year
Waste Generated:4,172.38 tons/year
Carbon Intensity:4.39 tons per million of revenue in Renminbi
ESG Focus Areas
- Exhaust gas emission
- Greenhouse gas emission
- Wastewater discharge
- Hazardous waste discharge
- Direct energy
- Indirect energy
- Water resource
- Employment and labour regulations
- Occupational health and safety
- Development and training
- Employee’s rights and code
- Supply chain management
- Product health and safety
- Advertisement and label of products and services
- Customer privacy
- Anti-corruption
- Use of packing materials
- Potential impact of environment and natural resources on the Company
- Community investment
- Potential impact of other social aspects on the Company
- Relevant Non-hazardous waste discharge
- Materials
- Potential impact of other environmental aspects on the Company
Environmental Achievements
- No environmental pollution accidents, nor was it subject to any government enquiry or penalty in 2023
- Developed and launched 49 renewable energy products in 2023
- Completed the construction of the hydrogen energy test centre and battery pack environmental performance test platform in 2023
Social Achievements
- Maintained safe production throughout the year, without any serious injuries or fatal accidents occurring in 2023
- Won the titles of “National Youth Safety Production Demonstrative Post”, “Hunan Province Safety Culture Construction Demonstrative Enterprise”, and “Hunan Health Enterprise”, among others in 2023
- Employee complaint platform handled 512 employee complaints, with an satisfaction rate of 97% in 2023
- Canteen meal satisfaction rate has been more than 90% in 2023
Governance Achievements
- No incidents of child labour employment, nor do we have any discriminatory or harassment incidents in the aspect of recruitment in 2023
- No corruption acts committed by anyone in the Company in 2023
Climate Goals & Targets
Environmental Challenges
- Sustained downturn in the domestic real estate market
- Disruption in production, transportation and supply chains due to climate change
Mitigation Strategies
- Accelerated the transformation and upgradation of digitization, intelligentisation, and eco-friendliness
- Sped up the development of emerging business sectors
- Promoted the expansion of overseas markets
- Incorporated the foreseeable risks of climate change, extreme weather and climate events into the Board of Directors’ sustainability considerations
Supply Chain Management
Responsible Procurement
- Established a company-level supplier admissions process and standard focusing on sustainable development, safety, environmental protection, and occupational health of suppliers
Climate-Related Risks & Opportunities
Physical Risks
- Disruption in production, transportation and supply chains due to extreme weather
Opportunities
- Development of energy-efficient products
Reporting Standards
Frameworks Used: Appendix C2: Environmental, Social and Governance Reporting Guide of the Main Board Listing Rules of the Hong Kong Stock Exchange
Sustainable Products & Innovation
- 49 renewable energy products
Awards & Recognition
- “National Quality Benchmark”, “Gold Award in National Machinery Product Quality Innovation Competition”, and “National Machinery Quality Team Construction Award”