Climate Change Data

Environmental Metrics

ESG Focus Areas

• Company Governance
• Environmental Protection
• Social Responsibility

Environmental Achievements

• Several wastewater treatment projects made substantial progress, and multiple production bases achieved the target of reducing unit product waste by ≥ 20% compared to 2022.
• TINCI Jiujiang passed the ISO 14064-1:2018 greenhouse gas verification declaration system certification for 2022.
• TINCI Jiujiang was designated as a national-level green factory.
• Residue rate of silicone products D4, D5 and D6 <1% down to <0.1%
• Wastewater discharge compared with 2022 decreased by 12%
• Recycling rate of general solid waste reaches 99.83%
• QCC energy-saving and consumption-reducing projects amount to 140, Compared with 2022 Increase by 30%

Social Achievements

• Achieved zero occupational illnesses.
• Cumulative donations during the reporting period over 1.89 million yuan.
• Engaged in discussions with downstream customers regarding safety issues related to personal care products and battery material products, seeking alternative production schemes and process improvements to reduce the use of toxic substances.
• The proportion of female directors is 22.2%. In 2023, female employees accounted for 27.50% of the total company workforce.
• Employee satisfaction survey: average satisfaction rate is 80%

Governance Achievements

• Added ESG management functions to the Strategy Committee, renaming it the Strategy and Sustainable Development Committee.
• Established and perfected the relevant management system and anti-fraud mechanism, optimizing the company's authority control, process control, etc. and organizing training on business ethics.
• Completed four offline integrity trainings, focusing on real-life cases.
• Supplemented and revised the Subsidiary Management System, the Related Transaction Management System, and the Remuneration and Performance Assessment Management System for Directors, Supervisors and Senior Management Personnel.
• For three consecutive years, the company has received the highest rating of “A” in the Shenzhen Stock Exchange’s information disclosure evaluation.

Climate Goals & Targets

Environmental Challenges

• New energy industry chain's supply and demand pattern of staged imbalance, superimposed on the significant fluctuations in the price of lithium carbonate and other raw materials.
• Electrolyte market price continued to decline, plate profitability was squeezed.
• Frequent natural disasters and man-made accidents both internationally and domestically, increasing uncertainty and risks in business operations.

Mitigation Strategies

• Continuously improving the core raw materials such as Lithium hexafluorophosphate (LiPF6), Lithium bis(fluorosulfonyl) imide (LiFSI), Lithium difluoro(oxalato) borate (LIODFB) and additives to build up the competitiveness of the products.
• Practices high-end, intelligent, and green development in manufacturing, accelerating the construction of a green manufacturing and service system.
• Strengthened its business continuity management by adopting the management principles of ISO 22301 Business Continuity Management System.
• Improved formulations and upgraded processes to reduce residual levels of D4, D5, and D6 in personal care products.
• Implemented automated operations to reduce steam consumption and filter press reconstruction project to reduce electricity consumption.

Supply Chain Management

Supplier Audits: 4 supplier price inquiry audits in 2023

Responsible Procurement

• Sustainable development requirements imposed on key raw material suppliers, requiring them to sign a “Social and Environmental Responsibility Commitment.”
• New suppliers must sign the “Environmental Management Hazardous Substance Non-Use Certificate.”
• 97.55% of raw material suppliers come from China

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: GRI Standards 2021, Shenzhen Stock Exchange's Guidelines on Social Responsibility of Listed Companies (2006), Measures for the Examination of Information Disclosure Work of Listed Companies on the Shenzhen Stock Exchange (revised in 2020)

Certifications: ISO 14001, ISO 14064-1:2018, ISO 9001:2015, IATF 16949:2016, ISO/IEC 17025:2017, ISO 22301, ISO 45001, EFfCI GMP

Third-party Assurance: SGS

UN Sustainable Development Goals

• Goal 1: No Poverty
• Goal 4: Quality Education
• Goal 5: Gender Equality
• Goal 7: Affordable and Clean Energy
• Goal 8: Decent Work and Economic Growth
• Goal 9: Industry, Innovation and Infrastructure
• Goal 12: Responsible Consumption and Production
• Goal 13: Climate Action

The company's initiatives contribute to these goals through various actions detailed in the report, such as public welfare activities, talent cultivation, gender equality promotion, energy conservation, resource recycling, and carbon emission reduction.

Awards & Recognition

• Corporate Governance Compliance Demonstration Enterprise
• Good Practice Award for Sustainable Development
• New Energy Materials Most Growing Listed Company
• 2023 Best Practices Creation Campaign for Boards of Directors of Listed Companies - Examples of Excellent Practices
• 2023 Enterprise of the Year - Gaogong Golden Globe Award
• 2023 Zero Carbon Transition Pioneer - Gaogong Golden Globe Award
• 2023 China Top 100 Fine Chemical Enterprises
• 2023 China Top Ten Fine Chemical Innovation and Development Enterprises
• 2023 Forbes China Lithium Industry Chain Top 100
• 2023 Forbes China Lithium Industry Chain Innovation Award
• National Intellectual Property Demonstration Enterprises
• National Intellectual Property Advantageous Enterprises
• Typical Cases of Quality Change and Innovation by Chief Quality Officers of Guangdong Enterprises
• Guangzhou Green Supply Chain Management Enterprises
• 2023 Wangcai Material Lithium “Golden Plume Award” Best Green Material Enterprise
• 2023 Global Lithium Resource Exploitation Awards
• 2023 Outstanding Battery Recycling and Recovery Company