Climate Change Data

Environmental Metrics

ESG Focus Areas

• Legal Operation
• Governance Compliance
• Anti-Corruption
• Product Quality Control
• Technology R&D and Investment
• Sustainable Procurement
• Green Governance
• Energy Management
• Water Conservation
• Three-Waste Discharge Reduction
• Public Welfare
• Employee Rights and Interests
• Employee Growth and Development
• Employee Health

Environmental Achievements

• Invested around 265 million Yuan in the management of VOC (Volatile Organic Compounds), resulting in over 80% VOC emission reduction and over 85% NOx emission reduction from boilers.
• Completed the process layout adjustment and automatic spraying process transformation of water-based primer/topcoat spray painting line, greatly reducing VOCs generation.
• Reduced water consumption by about 143,000 tons annually by canceling the acid pickling and phosphating process.
• Reduced sludge production by about 650 tons/year through sludge heat pump drying low-temperature dehumidification and sludge low-temperature vacuum drying integrated technologies.
• Planted 2,889 trees.

Social Achievements

• Helped 657 employees in difficulty, granting a relief fund of CNY 4,210,500 and allocating a subsidy of CNY 693,100 to help children of 32 employees enter universities.
• Provided interest-free loans of CNY 585,000 and interest-bearing loans of CNY 1.29 million to help 21 employees overcome economic difficulties.
• Carried out more than 20 public welfare activities, donating nearly CNY 36 million.
• Held more than 7,000 training sessions for domestic customers, with 26,800 participants.
• Conducted training sessions for more than 2,400 overseas end customers, with nearly 5,000 participants.

Governance Achievements

• Established a full-time “discipline inspection unit” to focus on the whole-chain control of prevention, supervision and punishment.
• Joined the China Enterprise Anti-Fraud Alliance and the Trust and Integrity Enterprise Alliance.
• Improved the integrity education by level and category, and revised relevant rules.
• Punished a number of violations, fired 30 people with misconduct, and recovered economic losses of more than CNY 4 million.

Climate Goals & Targets

Environmental Challenges

• Impact of industrial downturn and intensified geopolitical conflicts.

Mitigation Strategies

• All Yutong staff united as one to drive forward, improving product competitiveness, brand influence and overall strength.

Supply Chain Management

Supplier Audits: 117 suppliers reviewed in 2022

Responsible Procurement

• Supplier Manual covering social responsibility, EHS, environmental protection, and incorruptible cooperation requirements.
• Sunshine procurement policy.
• Green audit standards for suppliers.

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: GRI Standards 2021, Shanghai Stock Exchange Self-Regulatory Guidelines for Listed Companies No. 1 - Standardized Operation

Certifications: ISO 9001, IATF 16949, ISO 14001, ISO 50001:2018, ISO/IEC 27001, ISO/IEC 27701

Third-party Assurance: SGS

Sustainable Products & Innovation

• New energy buses

Awards & Recognition

• Green Factory
• Green Supply Chain
• Green Product
• National Demonstration Enterprise for Green Design of Industrial Products
• Outstanding Contribution Award of Three-year Action Plan for Pollution Prevention and Control in Zhengzhou
• VOCs Training Base

Environmental Metrics

ESG Focus Areas

• Lawful Operation
• Compliance Governance
• Anti-corruption and Honest Administration
• Product Quality Control
• Employee Well-being
• Customer Satisfaction
• Industry Contribution
• Sustainable Procurement
• Environmental Governance
• Public Welfare
• Stakeholder Engagement

Environmental Achievements

• Achieved 'Waste-free Factory' rating by Zhengzhou Municipal Bureau of Ecology and Environment.
• Reduced VOCs emissions by more than 80% after transformation projects.
• Reduced NOx emissions by more than 85% after boiler transformation.
• Cumulative photovoltaic generation capacity of 6,643,400 kWh, reducing CO2 emissions by 3,789 tons.
• Purchased 2,284 MWh of green electricity.

Social Achievements

• Distributed RMB 3.43 million to 633 impoverished employees due to illness.
• Contributed RMB 1.107 million to help 56 employees' children go to college.
• Provided interest-free loans of RMB 1.58 million to 23 employees.
• Conducted more than 16,000 training sessions for customers domestically.
• Conducted 32 "Xiaoyu Training Courses" covering 34 administrative regions across China.
• Conducted more than 940 management and maintenance training sessions overseas, exporting more than 6,130 professional talents.

Governance Achievements

• Established a three-level discipline inspection commission organization.
• Implemented several initiatives to expand reporting channels, deploy inspectors to critical units, and establish an anti-fraud incentive mechanism.
• Added a section of "Yutong Compliance Statement" on the official website.
• Organized more than 700 suppliers to re-sign Yutong Integrity Agreement.

Climate Goals & Targets

Environmental Challenges

• Pressure and challenges from complex international political environment, slow global economic recovery, and intensified geopolitical conflicts.
• Potential patent risks from the entire process of production, supply, research, and sales.
• Environmental risks from suppliers.
• Potential soil and groundwater pollution hazards.

Mitigation Strategies

• Improved risk management and control system.
• Formulated country-specific compliance guidelines.
• Implemented a systematic patent risk management and control mechanism.
• Formulated green audit standards for suppliers.
• Implemented investigation and rectification of potential soil pollution hazards.

Supply Chain Management

Supplier Audits: 100 suppliers/year

Responsible Procurement

• Supplier Handbook
• Sustainable procurement training for 97.4% of procurement personnel
• 90% of procurement contracts include supplier codes of conduct and environmental, labor, human rights, and ethical requirements.

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: GRI

Certifications: ISO 9001, IATF 16949, ISO 14001, ISO 45001, ISO 27001, ISO 27701, UN R155, GDPR

Sustainable Products & Innovation

• New energy buses
• Intelligent connected buses
• Fuel-cell buses

Awards & Recognition

• National Quality Leading Enterprise in Bus Industry
• China Bus Industry Brand Achievement Award
• China's Top 500 Most Valuable Brands
• China Innovation Demonstration Enterprise for Global Vehicle Outreach
• No. 1 in 2023 CAACS Survey on Bus Brands
• COACH Label of Excellence DESIGN 2023
• COACH Label of Excellence ECOLOGY 2023
• TopBrand 2023
• People's Corporate Social Responsibility Award-Building the Future Award
• Typical Case for Brand Credit Building
• Henan Charity Award