澜起科技：Montage Technology2023ESG Report

Montage Technology Co., Ltd.STOCK CODE: 688008

2023Environmental, Social and Governance (ESG) Report

CONTENTS

About This Report 01Letter from Our Chairman 02Company Profile 03Major Products 05Corporate Philosophy 07Milestones of Montage Technology 08Honors in 2023 09

01 Governance ResponsibilityPractitioner of Sustainable ManagementStandardized operation of the Shareholders'Meeting, Board of Directorsand Board ofSupervisors 23Legal compliance disclosure 25

26Investors-centricComprehensive risk control 27

31 32 33 34 36

02 Product ResponsibilityPioneer of Exploration and Innovation

03 Partner ResponsibilityPractitioner of Common Growth withthe IndustryResponsible sourcing 42Working with industry partners 45

04 Environment ResponsibilityAdvocate of Green Operation

Comprehensive environmental governance51Green operation environment 53Response to climate change 55Focus on biodiversity 57

60 63

05 Employee ResponsibilityPeople-oriented Employer

Employee attraction and incentiveEmployee retention and developmentEmployee care and protection 64

06 Community ResponsibilityCreator of Social Value

Participation in social welfare activities 69Deepening university-enterprise cooperation 70

Four Pillars of ESG ManagementFour pillars of ESG management2023 ESG performance

SDGs fulfillment and responseStakeholder communicationIdentification of material issues

R&D and innovationLead on innovation resultsClean technology opportunitiesProprietary intellectual property rightsProduct quality firstStrict adherence to information security

Reporting Period

This Report covers the period from January 1 to December 31, 2023. To enhance the comparabilityof this Report, part of the content is extended beyond the above time frame appropriately. Organizational Scope

This Report mainly covers Montage Technology Co., Ltd. (hereinafter referred to as "MontageTechnology", "Company", "Our Company", "We"). Unless otherwise specified, the scope of thisReport is consistent with that of the Company's annual report. ReleaseThis is the second Environmental, Social and Governance (ESG) report issued by Montage Technol-ogy.

Basis of PreparationThis Report is prepared mainly according to the Shanghai Stock Exchange STAR Market ListingRules, Guidelines No. 1 of the Shanghai Stock Exchange for the Self-regulation of Listed Companieson the STAR Market – Standardized Operation, CASS-ESG 5.0 of the Research Center for Corpo-rate Social Responsibility, Chinese Academy of Social Sciences, GRI Standard 2021 of the GlobalReporting Initiative, United Nations Sustainable Development Goals (SDGs) and other guidelines orrules.

Confirmation and ApprovalThis Report has been confirmed by the management and approved by the Board of Directors on April 8,2024.

Release of This Report

This Report is released in electronic form, and accessible on Shanghai Stock Exchange's website: http://w-ww.sse.com.cn. Source of InformationThe qualitative and quantitative information used in this Report comes from Montage Technology's publicinformation, internal documents and relevant statistical data.

About This Report

Montage Technology Co., Ltd.2023 Environmental, Social and Governance (ESG) Report

Letter from Our Chairman

strive to create a positive and inclusive work environment. We encourage employees to thinkinnovatively, uphold the spirit of craftsmanship, and emphasize equality and respect amongteam members to promote mutual growth for both employees and the Company. To attractand retain talents, we offer competitive compensation and benefits, and implement the all-em-ployee stock ownership program to deepen the alignment of interests between shareholders,Seizing the opportunities in the AI era, and pursuing innovation and high-qualitydevelopmentInnovation is the first driving force for the development of science and technology enterprisesMontage Technology strives for is "valuable innovations".We believe that in the field of appliedtechnology,true innovation should be dedicated to effectively solving practical problems inreal-world applications.Through a continuous process of innovation, qualitative leaps can beachieved, enabling "acceleration" through "innovation."Based on the focus and innovation inthe field of memory interface chips, Montage Technology continues to lead the world in theDDR5 generation. We continue to explore effective solutions to new problems in the field ofapplied technology. Through continuous accumulation and innovation, we naturally achieve an"acceleration" in related technology fields: In the PCle technology field, Montage Technology'sself-developed PCle SerDes IP has been successfully integrated into PCle 5.0/CXL 2.0Retimer chips and achieved mass production, with relevant technical parameters leading theworld; and in the CXL technology field, Montage Technology has released the world's first CXLMXC chip, which will be applied to future memory expansion and memory pooling.The growth of enterprises is often closely linked to seizing historical opportunities. Lookingback, we accurately grasped the opportunity of the rise of cloud computing and data centers,established a global leading position in the memory interface chip industry. Looking ahead, weare standing at a new historical starting point, witnessing the world's transformation fromcomputing to intelligent computing. Artificial intelligence will reshape the technology industryand profoundly affect people's lives. Strong Al infrastructure is the cornerstone of the develop-ment of the Al industry, covering the three key elements of computing, memory/storage and da-ta-moving. With the advancement of AI application, the demand for computing and mem-ory/storage is growing rapidly, and there are higher requirements for data-moving.We recognize the huge market potential for high-performance data-moving solutions in theAI era. It is exactly the technology field where Montage Technology has focused its innovat-ion efforts for many years. We have accumulated rich technical technical expertise in t-he high-speed interconnect chip field for data-moving and continuously achieved breakthroug-hs in core technologies. Montage Technology has deployed a series of high-performance data-mov ing s olutions, including P Cle R etimer, M RCD/MDB, C KD, a nd M XC c hips. T hese c hipseffectively enhance the entire system data-moving and will play a crucial role in the AI era. Inthe future, we will seize the historical opportunity brought by the intelligent computing of the AIera, continue to team structure establishing uphold the "engineer culture" and "the spirit ofcraftsmanship" of Montage Technology, devote ourselves to research and development, andcontinue to make innovations, so as to build a "technical moat" of the Company.Focusing on team training and talent echelon construction, and cultivating excellenttalents to promote the development of Montage TechnologyAs a "high technology" enterprise dedicated to research and development, Montage Technolo-gy recruits outstanding research, technical and managerial talents worldwide to build a teamwith an international vision. This is the core of our ability to maintain technological leadershipand global competitiveness. We know that talents are the most valuable asset of a company.Whether considering past achievements or future development planning, talents are always ourunwavering focus. We continuously enhance our talent management system to align withMontage Technology's unique characteristics, and provide our research and development teamwith challenging and world-leading technology projects, aiming to build a stage where employ-ees can fully showcase their talents. We not only focus on technological innovation, but also

the Company and employees.As our workforce grows and business expands, Montage Technology will continue to regardemployees as strategic resources, continuously strengthen team building and enhancemanagement efficiency. We will persist in advancing the talent incentive program, tap into andstimulate the potential of employees, enhance team vitality, and closely align the interests ofemployees, the Company and shareholders, so as to strengthen employees' sense of respon-sibility and mission for the Company's sustainable development, and lay a solid foundation forthe Company's long-term, continuous, and healthy growth.

Facilitating the Company to achieve steady and sustained development with theconcept of sustainable development

Adhering to the core philosophy of long-term and sustainable development, Montage Technol-ogy continues to focus on environmental, social and corporate governance (ESG). We arecommitted to improving the compliance and efficiency of corporate governance to promote thehigh-quality development of the Company; we actively undertake corporate social responsibili-ty, respect and protect the rights and interests of shareholders, employees, customers,suppliers and other stakeholders; based on the characteristics of the integrated circuitindustry, we strive to reduce the energy consumption through research, development andinnovation, thus contributing to the realization of "carbon peaking and carbon neutrality" goals.During the reporting period, we disclosed carbon emissions data systematically for the firsttime and obtained certification for the Information Security Management System ISO 27001,further enhanced our ESG management system, identified areas for improvement in ESG andimplemented targeted optimization measures in supplier management, institutional develop-ment and other aspects. At the same time, we actively engaged in public welfare activities.The "Montage Comprehensive Building" donated by the Montage Cultural and EducationalSpecial Fund,was officially put into use at Fengshan Primary School. We mobilized employeesto donate books and supplies to support the development of rural education. MontageTechnology's ESG performance has been recognized by international authoritative ratingagencies. Our MSCI ESG rating has been upgraded from CCC to BB, and we have won thetitles such as "Top 100 ESG Listed Companies". We will continue to learn from advancedexperience of international peers, refine and improve ESG systems and processes, furtherintegrate sustainable development-related risks and opportunities into our strategic planningand development goals, gradually carry out research on carbon emission policies, continuous-ly enhance ESG management, and strive to promote the harmonious coexistence and sustain-able development of the Company with society and the environment.Looking ahead, as the AI wave sweeps across the globe, Montage Technology, an IC designcompany providing hardware support for the AI era, will continue to focus on high-performancedata-moving and computing solutions, striving to provide users with chip products that featurehigh performance, high security and high reliability. We firmly believe that with the joint effortsof all employees at Montage Technology, we will open a new chapter of Montage Technology in the AI era and create a brighter future!

2023 Environmental, Social and Governance (ESG) Report

Dr. Howard Yang

Chairman of the Board/CEO,Chief Scientist of Montage TechnologyAs time flies, Montage Technology celebrates its 20th anniversary in 2024.Since its inception, Montage Technology has had an "engineer culture"etched into its genes and a "craftsman spirit" running through its veins. Thephilosophy of "accelerating with focus and innovation" has continuallyinspired us to forge ahead with innovation in the field of integrated circuitdesign.Over the past two decades, we have witnessed together many importantmilestones for Montage Technology: from successfully mass producing ourfirst chip, obtaining our first granted invention patent, to passing customercertification for our memory interface chips and achieving steady marketshare growth; from being a follower in the industry, to becoming a leadingdeveloper of relevant international standards and a global leader; frombeing a champion in a niche field, to continuously innovating and keepingup with the times by launching innovative products such as PCIe Retimerchips, CXL Memory eXpansion Controller (MXC) chips, and more. It's theunremitting pursuit of technological innovation that has driven MontageTechnology to gradually become a world-leading data-processing andinterconnect IC design company.

Montage Technology Co., Ltd.

CompanyProfile

Founded in 2004, Montage Technology is a leading data-processing and interconnect IC designcompany dedicated to providing high-performance and low-power IC solutions for cloudcomputing and artificial intelligence markets, and has two primary product lines—interconnectchips and Jintide

?server platform.In the AI era, there is a rapid increase in demand for both computing and memory/storage andsystems have higher requirements for data-moving. As a company that provides high-perfo-rmance data-moving for computing and intelligent computing, Montage Technology producesa variety of high-speed interconnect chip products that can effectively improve the data-movi-ng of systems, which will play an important role in the future AI era.The Company was listed in July 2019 among the first batch of companies on SSE STAR Market(Stock code: 688008.SH). Headquartered in Shanghai, the Company has branches in Kunshan,Beijing, Xi'an, Macao, the US and South Korea.

Shanghai (Headquarters)US

BeijingMacao

South KoreaKunshan

Xi'an

Headquarters Shanghai Branches Kunshan Beijing Xi'an Macao the US South Korea

2023 Environmental, Social and Governance (ESG) Report

Montage Technology Co., Ltd.

The Company's memory interface chips, serving as the"expressway" connecting the CPU and memory, are anessential component of server memory modules. Theyhave successfully entered the international mainstreammemory, server, and cloud computing markets, withproduct performance and quality highly recognized bythe market and industry, and occupying significantmarket shares worldwide.The Company is a member of the Board of Directors ofJoint Electron Device Engineering Council (JEDEC) , aglobal organization developing open standards for themicroelectronics industry. The Company actively partici-pates in the formulation of industry standards and is aleading contributor to the international standards forDDR5 memory interface chips (RCD, MDB).In recent years, Montage Technology has launchedseveral globally pioneering or leading products, includingthe CXL Memory eXpander Controller (MXC) chips, PCIe

4.0/5.0 Retimer chips, and Clock Driver (CKD) chips.

These products, built upon the Company's extensiveexpertise in high-speed interconnect chips, representnew directions for the future development of servers anddata centers. Montage Technology will continue touphold its corporate culture of accelerating with focusand innovation, and keep stimulating the vitality ofinnovation to drive extraordinary growth.

Global Leading Memory Interface Chip Vendor

Member of JEDECBoard of Directors

JEDEC SPEC ownerof DDR5 RCD and MDB

Leading the Industry in the

Trial Production ofClock Driver Chips (CKD)

Delivered the World's First

CXL Memory ExpansionController Chip (MXC)

Global LeadingPCIe 5.0 /CXL 2.0Retimer Chip Vendor

Industry Status

2023 Environmental, Social and Governance (ESG) Report

Montage Technology Co., Ltd.

MajorProducts

Montage Technology's high-performance data-moving solutionsMontage Technology's computing solutions

Intelligent computing

data-moving

memory/storage

computing

Jintide?

CPU

Montage Technology's Jintide

?CPU is an x86processor family with Pre-check (PrC) or

AI Chips

Now the Company is developing a new generation of AI chips, aiming to provide stable, user-friendly and

aiming to address the challenges of demandingworkloads of AI, HPC, data services, network-ing/5G and storage through the performance

Dynamic Security Check (DSC) functions foruse on Jintide

?

or other general serverplatforms.In 2023, the Company launched a new 4

thGenJintide

? CPU and a new 5

th Jintide?CPU,

optimization in multiple aspects.high-performance AI computing solutions for both training and inference applications.

GPU BOX

PCIeSwitchMRDIMM

CXL DRAM

CUDIMM/CSODIMM（AI PC）

CKD

CPU

GPUPCIe Retimer

GPUPCIe Retimer

DRAM

DRAM

MRCD/MDBSPD/TS/PMICDRAM

Montage Technology Co., Ltd.

CXL MXC

Computing

2023 Environmental, Social and Governance (ESG) Report

PCIe RetimerAs an ultra-speed Retimer chip meetingthe PCIe high-speed data transmissionprotocol, the PCIe Retimer has becomeone of the essential components forhigh-speed circuits and mainly solves theproblems such as misaligned timing,severe loss and poor integrity when datais transmitted at high speed or over longdistances in a data center. It can be usedin typical application scenarios such as AIservers, NVMe SSDs, and Riser cards.With the continuous growth in demand forAI servers, PCIe Retimer chips arebecoming increasingly important.The Company has successfully massproduced PCIe 5.0/CXL 2.0 Retimer,providing scalable high-performance PCIeinterconnect solutions for applicationssuch as servers, storage devices, andhardware accelerators.

CKD

CKD chips are used in PC memory modules suchas UDIMMs for desktops and SODIMMs forlaptops. When DDR5 data rates reach 6,400MT/sand above, a dedicated clock driver chip (CKD) isrequired to buffer and re-drive the clock signalson the memory module, so as to ensure theintegrity and reliability of high-speed clocksignals. AI PCs require higher bandwidth memoryto improve overall computing performance. CKDchips will play a more important role in AI PCs.The industry's first engineering sample of Gen1DDR5 CKD, launched by the Company, supportsdata rates up to 6,400MT/s and low-powermanagement modes. The Company continues tofocus on research, development and innovationin memory interface products in order to providememory vendors with comprehensive and superi-or memory interface solutions.

Memory Interface ChipsAs the core logic devices of server memory modules,memory interface chips are mainly used to increasethe speed and stability of memory data access, andmeet the ever-growing demand of server CPUs forhigh-performance and high-capacity memory modules.The Company has successfully launched DDR2-DDR5 memory interface chips.The Company has successfully mass-produced itsGen1 and Gen2 DDR5 memory interface chips andstarted producing Gen3 DDR5 RCDs in the reportingperiod.

MXC

MXC chips are CXL memory expansion controllerchips that provide high-bandwidth, low-latency,high-speed interconnect solutions for CPUs andCXL protocol-based devices . This enablesmemory sharing between the CPU and variousCXL devices, significantly enhancing systemperformance while reducing the complexity of thesoftware stack and the total cost of ownership ofdata centers. In the AI era, there is an urgentneed for memory platforms that support rapidinterfaces and scalability, and new CXL-basedmemory modules will be one of the most promis-ing memory solutions.The world's first CXL Memory expander Control-ler (MXC) chips launched by the Companyenable significant expansion of memory capacityand bandwidth to meet growing demand forhigh-performance computing, artificial intelli-gence and other data-intensive applications.

MRCD/MDB ChipsThe new high-bandwidth memory modulefor servers, MRDIMM, will use an archi-tecture of "1 MRCD chip and 10 MDBchips".The Gen1 DDR5 MRCD/MDB chipsdeveloped by the Company support datarates of up to 8800MT/s. It is anticipatedthat there will be great demand for thesechips in applications such as high-perfor-mance computing and AI that are sensi-tive to memory bandwidth.

Memory Module Supporting Chips

The DDR5 memory module requiresthree supporting chips, namely SerialPresence Detect (SPD) EEPROMwith Hub, Temperature Sensor (TS)and Power Management IC (PMIC).The Company has successfully devel-oped the DDR5 memory module sup-porting chips,working with partnersand achieved the mass productionand shipment.

Montage Technology's high-performance data-moving solutions2023 Environmental, Social and Governance (ESG) Report

Montage Technology Co., Ltd.

CorporatePhilosophy

Corporate VisionTo become an innovative international ICdesign company focusing on data-pro-cessing and interconnect chips

Corporate MissionTo make data transfer more efficient anddata computing more secure

Corporate CultureAccelerating with focus and innovation,adhering to the spirit of craftsmanship,driving extraordinary growth with constantinnovation

Be the best at what you do

"Don't get involved in other fields untilyou have ranked among the top twoin your own field."

Make "valuable" innovationsInnovation in applied technology refers toeffectively solving problems encounteredin practical applications.

Achieve a qualitative leap

"Acceleration" is a naturalresult of "focus" and continuous"innovation".From computing to intelligent computing, Montage Technology's "acceleration" with "focus" and "innovation"We focus on the field of memoryinterface technology and continueto make innovations, leading theworld in the DDR5 generation.

We continue to explore effectivesolutions to new problemsarising in the field of appliedtechnology.

We uphold the spirit of craftsmanshipwith the pursuit of excellence, andachieve an acceleration in PCle, CXLand other new fields through years oftechnical accumulation.

FocusInnovationAcceleration

2023 Environmental, Social and Governance (ESG) Report

Montage Technology Co., Ltd.

Milestonesof Montage Technology

Founded

DDR2 AdvancedMemory Buffer(AMB) chipswere certified

DDR4 Register-ing Clock Driver(RCD) and DataBuffer chips werecertified

Won the GSA Awardfor Best FinanciallyManaged Semicon-ductor Company

Jointly developed anew general-purposeprocessor with Tsing-hua University andIntel

Started the massproduction of PCle

?

4.0

Retimers

Started the massproduction of Gen1Jintide? CPUListed as one of thefirst batch of listedcompanies on theSSE STAR Market

Recognized as Single ChampionModel Enterprise in ManufacturingIndustry and National TechnologicalInnovation Demonstration EnterpriseThe cumulative shipped quantity ofJintide?CPU exceeded 100,000 pcsStarted the mass production andshipment of Gen1 DDR5 memoryinterface chips and module support-ing chips

Started the mass production ofPCle?

5.0/CXL? 2.0 RetimerReleased Gen4 Jintide

?CPUand Gen5 Jintide

?CPUListed as a compliant MXCchip supplier on the CXLofficial websitePioneered trial production ofGen3 DDR5 RCD chipsReleased the world's firstCXL Memory eXpanderController (MXC) chipPioneered trial productionof Gen2 DDR5 RCDchips, and released theindustry's first engineer-ing sample of Gen3DDR5 RCD chipsReleased the industry'sfirst engineering sampleof Gen1 DDR5 CKDchips

DDR3 Register Bufferand Memory Bufferchips were certifiedSince its cumulativeprofit turned positive in2011, Montage Technol-ogy has been profitablefor 13 consecutiveyears

Started mass production ofits first chipObtained its first grantedinvention patent

2023 Environmental, Social and Governance (ESG) Report

Montage Technology Co., Ltd.

Honors in2023

National Intellectual Property

Advantage Enterprise

The 14th "Tianma Award for Investor Relations"and "Outstanding Secretary of the Board for Investor Relations"

PCle 5.0/ CXL 2.0 RetimerThe 2023 China Chip Award of AnnualSignificant Innovation and Breakthrough Product

Shanghai Brand Leading

Demonstration Enterprise

Forbes"2023 China Top 50 Innovative Companies List"

Rated Level A (excellent) in theinformation disclosureassessment of listed companies inShanghai Stock Exchange from 2022 to 2023

SK hynix"Best Supplier Award"

EY Entrepreneur of the Year 2023

Chairman Howard Yang

(3rd from the right)

won the award

Micron Technology"Outstanding SupplierPerformance Award"

2023 Shanghai Magnolia Silver AwardPresident Stephen Tai won the award

2023 Environmental, Social and Governance (ESG) Report

Montage Technology Co., Ltd.

ESG for ChipsMontage Technology adheres to the concept of sustainable development, continuously strengthens its sense of responsibility, continues to implementits ESG management and integrates the ESG management principles into its development strategy, business process, and daily operation.Four pillars of ESGmanagement

2023 ESGperformance

SDGs fulfillmentand response

Stakeholdercommunication

Identification ofmaterial issues

Four Pillars of ESG ManagementMontage Technology attaches great importance to the implementation of ESG management, clarifies that the Board of Directors serves as the highest decision-making organization and further refines theresponsibilities at each tier based on a three-tier ESG governance structure comprising "Board of Directors - ESG Working Group - Board of Directors Office".

ESG governance structure of Montage Technology

Governance

Responsible for formulating ESG-related strategies and objectives, approving and monitoring ESG-relatedissues, as well as promoting the implementation of ESG management policies and strategies

Responsible for guiding the implementation of ESG strategies and managing ESG-related issues,providing sustainable development advice to the Board of Directors, and formulating ESGobjectives and action paths while considering the concerns of various stakeholders

Working closely with stakeholders to advance the specific implementation of ESG work,communicating and cooperating with stakeholders closely, and establishing and optimizingrelevant risk management mechanisms

Board of DirectorsDecision-makingESG Working GroupManagement

Board of Directors OfficeBusiness lines and functional departments

Execution

Approval and Monitoring

Guidance and Monitoring

Proposal

Report

2023 Environmental, Social and Governance (ESG) Report

ESG for Chips

Montage Technology firmly seizes opportunities for industrial development, takes high-quality innovation as a strategic focus,and implements sustainable development strategies, trying to build a sustainable advancedchip industry according to globalenvironmental protection requirements.

Talent Development and Team BuildingMontage Technology values talent training and team building, andconsiders talents as a core element of corporate innovation.In order to attract and retain excellent talents, Montage Technologycreates a good working environment and atmosphere for itsemployees, and provides them with a good career developmentplatform, competitive salaries and benefits and a variety of incen-tives.Montage Technology has established a three-dimensional trainingsystem for the management and employees at all levels to compre-hensively improve their professional skills and personal compre-hensive abilities. The Company has also established a systematicrank system and promotion standards, and improved its humanresource management process from multiple dimensions, to ensureits efficient operation in personnel management, team cooperation,performance evaluation and organizational development, thus tosupport the talent echelon construction in each business depart-ment and the steady development of its business.

Compliance operations and

sustainable development

Montage Technology adheres to its respon-sibility for stakeholders and regards abidingby business ethicslaws and regulations asa basic principle of business operation. TheCompany is committed to providing custom-ers with high-performance, low-power chipsolutions to promote its growth; and mean-while, the Company continues to strengthenits business risk management to facilitate ahealthy and long-term business develop-ment.

Social responsibility

Montage Technology pays atten-tion to social responsibility,adheres to the original aspirationof giving back to society, organizesand participates in various volun-tary activities, sets up a charityfoundation, and actively engagesin public welfare undertakings. Atthe same time, in order to contrib-ute to the realization of "carbonpeaking and carbon neutrality"goals, as a fabless IC designcompany, the Company focuseson controlling carbon emissions inthe process of office operation toreduce the impact on the environ-ment.

Innovation-driven development

Montage Technology conducts product research and development inglobal frontier technology areas. In view of the rapid iteration ofrelevant technologies, and the coexistence of opportunities and risks,enterprises need to constantly make innovations to cope with thechanging market.Montage Technology has its own integrated circuit design platform,covering digital signal processing technology, memory managementand data buffering technology, analog circuit design technology,high-speed logic and interface circuit design technology, andlow-power design technology. With high integration, the solution caneffectively enhance system efficiency and product performance.Montage Technology actively develops related technologies forhigh-performance interconnect chips and participates in the formula-tion of related chip standards. Now the Company has accumulatedrich technologies in the fields of memory interface chips, memorymodule supporting chips, PCle Retimer chips, MXC chips, etc.,building a world's leading "technical moat".

Strategy2023 Environmental, Social and Governance (ESG) Report

ESG for Chips

CategoryItem

ImpactintensityDescription of risks and opportunitiesCountermeasures

Product R&DRisk/OpportunityLarge

(1) The Company's new product development is

characterized by a long cycle and large capitalinvestment. During the product planning, there isa risk of market demand misjudgment, whichmay lead to product positioning mistakes.

(2) Due to the highly technical content of the

product, there is a risk that the Company makeswrong judgments on its own technical develop-ment capabilities, resulting in the failure to realizethe research and development project or aprolonged project cycle.Due to the importance of being first to market inoccupying market share for the Company'sproducts, if competitors steal a march on theCompany in the design and production of a nextgeneration products during product iterations, theCompany may lose its market share, therebyaffecting its subsequent development.

(1) Montage Technology continues to dynamical-

ly track new technologies and new demands inthe industry and strengthen its study andanalysis of market needs.

(2) Montage Technology has joined various

industry standardization organizations, andactively participated in and even led thedevelopment of relevant new product standards,maintaining its research and developmentleadership, and consequently reducing the risksof product research and development.

Technology leakageRiskMediumThere is a risk ofleakage of theCompany's coretechnology due tothe outflow of keytechnical person-nel, technicalleakage, orinadequate patentprotectionmeasures.

Montage Technolo-gy attaches greatimportance to theconfidentiality ofcore technologies,applies for patentson research anddevelopment resultsin time, andestablishes a strictand perfect internalcontrol system toensure the confiden-tiality of coretechnologies.

SupplierRiskMedium

(1) There is a potential risk of

insufficient supply or supplydelay due to the outsourcingfactory's busy productionschedule or the outsourcingfactory's production processesfailing to meet the Company'srequirements.

(2) Given the high concentra-

tion of suppliers of the Compa-ny, in case of emergencies ortight production capacity due tostrong market demand, theircapacity for foundry servicesand package test may not meetthe Company's requirements,which will have a certainadverse impact on the Compa-ny's operating performance.

(1) Since its establishment,

Montage Technology hasestablished a stable and soundcooperative relationship withoutsourcing manufacturers whocomplete part of the work instrict accordance with theCompany's design drawingsand specific requirements.

(2)Relying on the global

strategic layout, MontageTechnology can meet thediversified needs of domesticand foreign customers forsupply chains.

Product quality

Risk/Opportunity

Large

The product quality ofthe Company dependsboth on the Company'sR&D capabilities andon the productionmanagement of theoutsourcing factories.Any defects in theCompany's productdesign or productquality incidentscaused by insufficientproduction manage-ment of the outsourcingfactories will result ineconomic losses of theCompany.Montage Technologyhas formulated qualitymanagementdocuments such asQuality Manual andNew Product Develop-ment Process,established productquality assurancemeasures in the wholelife cycle of chips,including projectinitiation, design,production, verificationand delivery, andimplemented thewhole-process qualitycontrol.

Geopolitical risk

RiskSmall

In recent years, geopoliticalrisks and uncertainties haveincreased. Although they havenot had a significant adverseimpact on the Company'soperation so far, in view of thefact that the integrated circuitindustry is a typical example ofglobal division of labor andcooperation, further escalationof geopolitical risks may lead toincreasing transaction costs ofthe upstream and downstreamindustrial chain, restricteddemand, and disruptedupstream supply, therebyadversely affecting the Compa-ny's operation.Montage Technology hasalways attached importance toglobal layout and complianceoperation. The Company willcontinue to focus on the updateof relevant rules and activelytake countermeasures.

Intellectual property

RiskSmall

Competitors or the third partiesmay attempt to hinder the Compa-ny's market expansion throughmalicious litigation or illegally profitby stealing the Company's intellec-tual property.

Montage Technology has alwaysadhered to the research anddevelopment strategy of indepen-dent innovation, done a good job inthe application and protection of itsown intellectual property rights, andpurchased necessary third-partyintellectual property rights whenneeded to avoid infringing uponothers' intellectual property rights.Additionally, under the JEDECframework, some of the Company'scurrent intellectual properties canbe shared with JDEDC's patents.Since its listing, the Company hasnever been involved in any litigationor disputes related to intellectualproperty.

AIOpportunity

Large

In the AI era, the rapiddevelopment of AI-relatedapplications will drive a rapidgrowth in demand forcomputing and memory/storage. Systems requirehigher and stronger comput-ing, as well as higherbandwidth and largermemory capacity. Alongsidethe growth in computingand memory/storage, there isalso an increased demandfor data-moving. Systemsrequire greater transportcapacity, higher bandwidth,and faster transmission.In recent years, MontageTechnology has been deeplyengaged in high-speedinterconnect technologies,including high-bandwidthmemory interconnect, PCleinterconnect and CXLinterconnect technologies,and has developedworld-leading high-perfor-mance data-moving soluti-ons, including MRCD/MDB,CKD, PCle Retimer, andMXC chips. These chipswill play an importantrole in the future eraof artificial intelligence.

Outflow of talents

RiskLarge

Competitors may attracttechnical talents of theCompany with moreattractive incentives orthe Company is facedwith a loss of technicaltalents because of otherfactors. This may havean adverse impact onthe Company's researchand development of newproducts as well as itsreserve of technicalcapabilities.

(1) Montage Technology

provides its employeeswith rich career develop-ment opportunities: (i) Agood career developmentplatform; (ii) Competitivecompensation andbenefits; and (iii) A goodworking environment andatmosphere.

(2) Montage Technology

implements a variety ofincentives, includingpatent awards and equityincentives, to attract andretain talents.

Impact, risk and opportunity management2023 Environmental, Social and Governance (ESG) Report

ESG for Chips

Upholding the concept of sustainable development, the Company insists on integrating the ESG concept into its development strategy and business management, aiming for a sustainable and high-qualitydevelopment.

Governance

GreendevelopmentR&DQualityassurance

Employees

IndicatorOur goalsTermProgress in the reporting periodSustainable development goals and progress During the reporting period2023 Environmental, Social and Governance (ESG) Report

Improve the ESG governance framework, and establish identification mechanisms, governance processes and control measuresfor sustainable development risks and opportunities.Independent directors account for 1/3 of the Board of Directors. They actively play their role in decision-making, supervision,check and balance, and professional consultation.Promote diverse governance, inspire "she" power, and shape female leadership.Constantly enhance the quality of information disclosure, improve the transparency of information disclosure, so that investorsfully and accurately understand the value of the Company.Attach importance to the protection of investors' interests, strengthen communication with investors, and provide them withstable and reasonable investment returns.Take "low energy consumption" as a goal of the Company's product development, assist end-users in reducing energyconsumption, and promote energy-saving and carbon reduction throughout the industrial chainReasonably control per capita greenhouse gas emissions, and gradually carry out the carbon footprint verification of productsContinue to improve energy efficiency and energy management, and keep per capita energy consumption under reasonablecontrolContinue to expand the size of the R&D team, enhance the strength of the R&D team, and reduce the turnover rate of keytalentsPay attention to R&D investment, and constantly enhance the core competitivenessPromote product update and iteration to maintain a leading positionFocus on improving customer satisfaction and set annual customer satisfaction targets (≥90)Set quality and reliability management goals, and require product DPPM not to exceed 100Implement responsible sourcing, and ensure that the Company and its supply chains will not use any minerals from conflictareasEnsure there are no major product quality incidentsEnsure customer information security, and complete the information security management system ISO27001 certificationDevelop the annual training plan for employees, and ensure the annual training coverage exceeds 90%Continue to provide its employees with rich and effective incentives to encourage innovation and creativityProvide employees with basic support in accordance with laws and regulations, and provide a variety of other benefits to reflectthe Company's care for employees

The Company established the ESG governance structure, identified sustainable development risks and opportunities, and initiallyworked out countermeasuresThe Company formulated the Code of Business Conduct to clearly stipulate the rules and regulations that employees shouldabide by in terms of anti-unfair competition and anti-monopolyThere are 4 independent directors, accounting for 44%. They fully assumed the responsibilities of independent directors topromote the standardized operation of the CompanyFemale directors, supervisors and senior executives account for 43%, up 7 percentage points from 2022The Company was rated Level A (excellent) in the information disclosure assessment of listed companies in Shanghai StockExchange from 2022 to 2023The estimated cash dividend and share repurchase amount for the year 2023 reached about 639 million yuan, representing 142%of the net profits for 2023The Company received 103 investors, answered 102 questions on the SSE E-Interaction platform, held 3 results briefings, anddisclosed 24 investor activity record formsAt the same rate, the power consumption of Gen3 DDR5 products decreased by 15-20% compared to the Gen1 productsGreenhouse gas emission intensity: 3.09 tons carbon dioxide equivalent per person, 0.51% lower than 2022Comprehensive energy consumption intensity: 5.54 MWh per person, 0.54% lower than 2022There are 587 R&D technicians, an increase of 119 over the previous year, accounting for 77% of the total number of employeesThe staff turnover was below the industry averageThe R&D investment reached 682 million yuan, an increase of 21% over 2022, with a compound growth rate of 31% for the pastthree yearsThe Company achieved the mass production of PCle 5.0/CXL 2.0 Retimer and pioneered trial production of Gen3 DDR5 RCDchipsThe customer satisfaction exceeded 90%. The indicator has remained above 90% for consecutive yearsWith the DPPM of no more than 100, the Company realized the set goals with high qualityThe review of supplier responsible mineral sourcing was 100%. No suppliers were found getting involved in conflict mineralsduring the reporting periodThere were no major product quality incidents. There was no product recall due to quality defects in mass-produced productsThe Company passed the information security management system ISO27001 certificationThe Company achieved the annual training coverage of 100%The Company held 86 training sessions for employees, with 3,476 persons receiving various training, totaling 16,459 hours, 23.38hours per person averagelyThe Company adopted a new equity incentive plan, implemented the first phase of the employee stock ownership plan, andcompleted the vesting for the incentive recipients for six times. The comprehensive coverage of equity incentives was more than95%. 71 employees received patent awards and 12 employees obtained outstanding employee awardsThe labor contract signing rate and the coverage of the social insurance and the housing provident fund were both 100%. Thecoverage rate of supplementary commercial insurance paid by the Company for its employees and their children was 100%.

Mediumandlongterm

MediumandlongtermShortterm

ESG for Chips

2023 ESG Performance

GovernanceGreen developmentR&D

Quality assurance

43 % 3.09 tons carbon dioxide equivalent per person

Giving back to society

2023 Environmental, Social and Governance (ESG) Report

Proportion of female directors,supervisors and senior executives

Information disclosure assessment of listed companies

Level A (Excellent)in Shanghai Stock Exchange from 2022 to 2023

≤100DPPM

>90 %Customer satisfaction

304 hoursTotal time spent on voluntary activities"Montage Multipurpose Building" donated to FengshanPrimary School was put into use

1.14 million yuan Cash donation

Employees>95 %

Comprehensive coverageof equity incentives

100 %

Coverage of employee training100 %Labor contract signing rateand coverage ofcommercial insurance

23.38 hours

Average training hoursper person

NoneSourcing ofconflict minerals

100 %Coverage of the review of supplier responsible mineralsourcing

100 %Products met therequirements of ROHS,REACH and TSCA standards

682 million yuanR&D input

R&D technicians

44 %Proportion of independentdirectors639 million yuanAmount of cash dividend and share repurchase to be issued in 2023

Down by

0.51 %

Greenhouse gasemission intensity

5.54 MWh per person

Down by 0.54 %

Comprehensive energyconsumption intensityDown by15-20%

Comparison of power consumption between Gen3 DDR5 products and Gen1products at the same rate

Four high-performance data-moving solutions

enabling AI infrastructure constructionAchievedISO27001 certification for

security management system

ESG for Chips

MSCI ESG ratings: BBTwo levels up from 2022Ranked among the top semiconductor

companies in domestic ratings

Wind-ESG ratings: ARanked 4

th

in the "Semiconductors & Semiconductor

Equipment" category by Wind

Third-party recognition wereceived for our ESG e?orts in 2023Ranked among the list of "2023 Top 100 ESGListed Companies in China"and o?cially included

as a constituent stock in the "Securities Times ESG Top 100 Index"

2023 Environmental, Social and Governance (ESG) Report

Wind ESG ratings

Rating trend

No dataSemiconductors &

SemiconductorEquipment …

Industry rating distribution (Semiconductors …

ESG for Chips

SDGs Fulfillmentand Response

The United Nations Sustainable Development Goals emphasize economic, ecological andsocialsustainability. Starting from the requirements of SDGs, Montage Technology activelycopes with challenges and opportunities to promote sustainable development in an orderlymanner.

Partner responsibility · Practitioner ofcommon growth with the industryImplement the classified supplier management topromote suppliers to continuously improve theirperformanceFocus on suppliers' ESG-related performanceNever use conflict mineralsUse its own advantages to lead partners to jointlypromote industrial development and advance techno-logical innovation in the semiconductor field

Governance responsibility · Practitioner ofsustainable managementOptimize the governance mechanismPromote a diversified governance structureImprove internal control and risk management, andeliminate commercial briberyConduct business with integrityStrengthen investor relations

Product responsibility · Pioneer of explorationand innovationUphold the concept of green design, pay attention tothe energy consumption of product development,design and launch new technologies to meet themarket demandNew products, focus on quality controlTake a positive attitude of responsible marketing

Environment responsibility · Advocate of green operation

Practice green and low-carbon office, reduce office energyconsumption and electricity expensesComply with the current national green building standardsFocus on the impact of climate change on the Company's opera-tion and carry out the strategy of greenhouse gas emissionreductionPay attention to the impact of environmental education on themanagement and employees, and organize special environmen-tal training sessionsFocus on the protection of biodiversity combined with the keylinks of its own business developmentEmployee responsibility · People-oriented employer

Pay attention to the occupational health and safety of employ-ees, regular safety education and fire drills, to create a goodwork environment for employeesEstablish smooth promotion channels and a two-way communi-cation mechanismEstablish and improve the vocational training system andcompensation incentive mechanismOrganize various training courses and free-time activities andcreate a harmonious and positive working atmosphereCommunity responsibility · Creator of social value

Fund the construction of schools, and actively promote thepopularization and development of educationPromote the cooperation between schools and enterprises tofacilitate scientific research development

2023 Environmental, Social and Governance (ESG) Report

No Poverty

ZeroHungerGoodHealth andWell-being

QualityEducationGenderEqualityClean Waterand SanitationFacilityAffordable andClean EnergyDecent Workand EconomicGrowthIndustry,Innovation,andInfrastructureReducedInequalitiesSustainableCities andCommunitiesResponsibleConsumption andProductionResponse toClimateChangeLife BelowWaterLife on LandPeace, Justice,and StrongInstitutions

Partnershipsfor the Goals

ESG for Chips

StakeholderCommunicationThe Company attaches great importance to communicationswith stakeholders, and has established efficient and smoothcommunication channels with stakeholders to understandreasonable demands of stakeholders and respond to theirconcerns in time, so as to constantly improve its influence andmarket image.

2023 Environmental, Social and Governance (ESG) Report

StakeholdersGovernment/Regulators

Customers

Employees

Partners/SuppliersShareholders/Investors

Community/

Public

Shareholders/Investors? Product quality?Innovation, R&D? Business ethics? Business performance

? Shareholders meeting? Results release? Information disclosure? Roadshow and investor meeting

? Ensure product quality and stability? Pay attention to technologicaldevelopment? Improve profitability? Optimize internal control and riskmanagement? Strengthen corporate governance? Improve the quality of informationdisclosure

Government/Regulators? Business performance? Product quality? Innovation management? Business ethics

? Information disclosure? Reception research? Document exchange? Policy implementation? Daily communication? Subject to supervision

? Pay taxes in full and on time? Conduct anti-corruption management? Actively implement relevant policies? Actively assume social responsibility? Contribute to technologicaldevelopment? Fulfill the responsibility of pollutionprevention and control

? Customer service? Business ethics? Innovation management? Supply chain managementPartners/Suppliers

? Promote daily communication? Carry out project cooperation? Eliminate supply chaincorruption? Practice the contract accordingto the law? Conduct the supplier evaluation? Focus on technologicaldevelopment? Industry seminars? Suppliers' conferences? Supplier training? Supplier evaluation? Complaints channel

? Human capital? Employee rights and benefits? Occupational health? Business ethicsEmployees

? Sound careerpromotion mechanism? Competitivecompensation andbenefits? Equal communicationand complaintmechanism? Career planning? Compensation andbenefits? Staff activity? Training & education? Complaints scheme

? Win-win cooperation? Product quality? Green products? Business ethics? Information securityCustomers

? Carry out industry cooperation? Ensure product quality andstability? Improve the informationsecurity system? Improve product design? Carry out whole life cyclemanagement? Customer visit? Customer servicefeedback? Online communication? Special session? Technical discussion

? Community engagement? Environmental protection? Win-win cooperation

? Community activities? Public welfare undertakings? Educational support

Community/Public

? Engage in charity work? Adhere to green operation? Promote social progress? Share development results

Communicationchannels

Response

Expectationsanddemands

ESG for Chips

With reference to capital market ESG ratings such as MSCI, S&P DJSI, CDP, Morn-ingstar, Wind, Sino-Securities Index and other relevant assessment factors, and incombination with international standards and goals in sustainable developmentmanagement such as GRI standards, UN SDGs, SASB, etc., as well as materialissues identified by peer companies, we identified key material issues concerningsustainable development in the industry, and establish a repository of issues.

Process of materiality identificationIdentification ofMaterial IssuesIn order to gaindeeper and more accurate insights into the expectations and demands ofstakeholders, and to enhance the professionalism, relevance and substance of the report, theCompany invited various stakeholders, including employees, customers, investors, andpartners, to score the importance of material environmental, social and governance issuesrelevant to the Company through a questionnaire survey.As of the disclosure date of the report,we collected dozens of valid questionnaires, and identified a total of 29 relevant issues, including10 issues of high materiality, 13 issues of moderate materiality and 6 issues of low materiality.

2023 Environmental, Social and Governance (ESG) Report

relevant issues

issues of highmateriality

issues of moderatemateriality

issues of lowmateriality

Identification of

issues andestablishment ofissue repository

We conducted multiple interviews to gather feedback and suggestions from variousstakeholders on our sustainability practices, as well as their opinions on the strate-gies of future sustainable development.We formulated online survey questionnaires for materiality assessment of ESGissues from the environmental, social, and governance dimensions, and invitedvarious stakeholders to rate the materiality of corresponding ESG issues.

Stakeholdercommunication andsurvey

We made statistics based on the questionnaire results, sorted the materiality ofissues in accordance with the opinions of internal management and external expertsfrom two dimensions: “materiality to Montage Technology's science and technologydevelopment" and "materiality to stakeholders", and formed a materiality matrix.

Materiality

assessment

ESG for Chips

Talent attraction and retentionProduct safety and qualityCompliance operationInformation disclosure and transparencyOccupational health and safety

R&D and innovationIntellectual property protectionSustainable profitabilityEmployee rights and interestsStaff diversity and inclusiveness

Note Environmental Social Governance

Materiality Matrix

Issues of high materiality

Issues of moderate materiality

Issues of low materiality

Material Issue Matrix of Montage Technology

Materiality to stakeholders

Investor relationsmanagementGreen procurement and greensupply chain managementCon?ict minerals

Water resources useand management

Community engagement and public-welfare activities

Responsiblemarketingand promotion

Green o?ce and operationStakeholdercommunication andcollaboration

ESG governance

Waste and hazardous materials managementInformation security and data privacyIndustry cooperation and development

Green products

Business ethicsandanti-corruption

Sustainablepro?tability

Product safety and quality

Intellectualproperty protectionR&D andinnovationCompliance operation

Talent attractionand retention

Employee rights andinterestsSta? diversityand inclusivenessRisk managementand internal control

Occupationalhealth andsafety

Energy saving andconsumption reductionIndustry-university-research institute cooperation

Sustainable raw materials and design

Information disclosureand transparency

Response to climate change and carbonemission reduction

2023 Environmental, Social and Governance (ESG) Report

Materiality to Montage Technology's science and technology development

Business ethics and anti-corruptionGreen productsInformation security and data privacySustainable raw materials and designGreen office and operationGreen procurement and green supply chainmanagementIndustry cooperation and development

Investor relations managementESG governanceRisk management and internal controlWaste and hazardous materials managementStakeholder communication and collaborationConflict minerals

Water resources use and managementResponsible marketing and promotionResponse to climate change and carbonemission reduction

Energy saving and consumption reductionIndustry-university-research institutecooperationCommunity engagement and public-welfareactivities

ESG for Chips

Montage Technology runs business with integrity in accordance with the laws and regulations, continuously improves its corporate governance structure, optimizes itsinternal management, improves its risk control mechanism, maximizes shareholders' benefits and corporate value, and creates goo

01 Governance ResponsibilityPractitioner of Sustainable Management

d economic and social benefits.Standardized operation of the Shareholders' Meeting, Board of Directors and Board of Supervisors

Legal compliancedisclosure

Investor-centricComprehensive

risk control

FocusResults in the reporting period

Three shareholders' meetings with 100% attendance by directors andsupervisors.11 meetings of the Board of Directors and 9 meetings of the Special Committees, with100% attendance by directors11 meetings of the Board of Supervisors, with 100% attendance by supervisorsSound corporategovernance

Shareholders' Meeting

Diversified governance

The Company maintained a diversified governance structure and continued to improve itAmong directors, supervisors and senior executives, 43% held a PhD degree, up 7 percentage points from 2022; and 43%are women, up 7 percentage points from 2022Shareholder returns

According to the 2023 annual profit distribution plan, the proposed cash dividend of 339 million yuan was distributed; theshare repurchase plan was implemented in 2023, and the amount reached about 300 million yuanThe amount of the above mentioned cash dividend and share repurchase reached about 639 million yuan, accounting for142% of the net profit in 2023Smooth investorcommunication

The Company was honored with the 14th "Tianma Award for Investor Relations" and “Outstanding Secretary of the Board forInvestor Relations" and was rated Level 4A in the performance assessment of the Secretary of Board of Directors by theChina Association for Public CompaniesThe Company held 103 investor receptions, including 53 receptions for foreign investors, answered 102 inquiries on the SSEE-Interaction platform, held 3 results briefings, and disclosed 24 investor activity record forms

Effective risk control

The correction rate for internal control-related problems reached 100%The Company formulated the Code of Business Conduct to clearly define the regulations that employees should abide by interms of anti-unfair competition and anti-monopolyThe whistle blower protection mechanism was defined

High-qualityinformation disclosure

The Company was rated Level A (excellent) in the information disclosure assessment of listed companies in Shanghai StockExchange for the years 2022 to 2023

Board of Directors andSpecial CommitteesBoard of Supervisors

100%

Attendance at the shareholders'meeting, and meetings of theBoard of Directors and Board ofSupervisors44%Proportion of independent directors43%Proportion of directors, supervisors andsenior executives with a PhD degree43%

Proportion of female directors, supervisorsand senior executives142%Proportion of proposed cash dividend andshare repurchase amount to the net profitof 2023

investor receptionsLevel A (Excellent)Information disclosure assessment

2023 Environmental, Social and Governance (ESG) Report

Governance responsibility · Practitioner of sustainable management

In accordance with the requirements of the Company Law of the People's Republic of China, the Securi-ties Law of the People's Republic of China, the Code of Corporate Governance for Listed Companies andother relevant laws, regulations and normative documents, Montage Technology has established a corpo-rate governance structure consisting of the Shareholders' Meeting, the Board of Directors, and the Boardof Supervisors. The Board of Directors has three committees, including the Audit Committee, the Remu-neration and Appraisal Committee and the Nomination Committee. The Company has established arelatively sound corporate governance system.The Shareholders' Meeting, the Board of Directors, and the Board of Supervisors are respectively thehighest authority, executive body and supervisory body of the Company. Together with the seniormanagement, they have established an operating mechanism with a clear division of labor, mutual coop-eration and checks and balances.

Standardized the Operations of the Shareholders' Meeting,Board of Directors and Board of Supervisors

Revision of systems

Howard YangStephen Tai

Yi ShiWang RuiRongxin LiZhiyao YinChangjiang LvJingdong Liu

Bo Yu

MaleMaleFemaleFemaleMaleMaleMaleMaleMale

√√√

√√√

√

√√

PositionNameGenderAuditCommittee

Remuneration andAppraisal Committee

NominationCommitteeSpecial Committees

According to the latest laws and regulations, and based on the Company's actual situation, werevised the Articles of Association, Rules of Procedure for the Shareholders' Meeting, Rules of Proce-dure for the Board of Directors, Rules of Procedure for the Board of Supervisors, Related TransactionSystem, External Guarantee System and other systems.

2023 Environmental, Social and Governance (ESG) Report

ChairmanEmployeeDirectorsNon-employee

DirectorsIndependent

Directors

Shareholders' MeetingBoard of Directors

General Manager(Management Team)

Nomination Committee

Remuneration andAppraisal Committee

Audit CommitteeBoard of Supervisors

Office of theBoard of Directors

Governance responsibility · Practitioner of sustainable management

The Shareholders' Meeting is the highest authority of the Company. The Articles of Association of MontageTechnology provides clear rules of procedure for the organization, proposals and notices, holding, voting, andresolutions of the shareholders' meeting.During the reporting period, MontageTechnology held 3 shareholders'meetings, including 1 annual generalmeeting and 2 extraordinary generalmeetings, all convened by the Boardof Directors. The three general meet-ings were all held both online andoffline, and a total of 18 proposalswere deliberated.

Montage Technology has established the Board of Supervisors strictlyaccording to the Company Law of the People's Republic of China,Articles of Association and other laws and regulations, to independentlyexercise the power of supervision in accordance with the laws, supervisethe daily operation activities and protect the rights and interests of share-holders and the Company. During the reporting period, the secondsession of the Board of Supervisors was composed of three supervisors,including one employee representative supervisor.During the reporting period, the Board of Supervisors held 11 meetingsand deliberated 29 proposals.Montage Technology established a diversified governance structure, to effectively mobilize resources fromvarious channels to promote synergies and continuously improve corporate governance.The second session of the Board of Directors of Montage Technology consists of 9 directors, including 4 indepen-dent directors, accounting for more than 44%, to effectively protect the overall interests of the Company and playan active role in protecting small and medium investors.The Board of Directors has three special committees, including the Audit Committee, the Remuneration andAppraisal Committee, and the Nomination Committee. The members are all directors and most of them areindependent directors. Each committee, in accordance with the articles of association and regulations, gives fullplay to their professional advantages based on their duties and authority, and makes professional opinions andrecommendations in financial accounting, business operation and risk management, so as to provide strongsupport for the scientific decision-making of the Board of Directors.During the reporting period, the Board ofDirectors held 11 meetings and deliber-ated 48 proposals; the Audit Committeeheld 6 meetings and deliberated 13proposals; the Remuneration andAppraisal Committee held 2 meetings ofand deliberated 7 proposals; and theNomination Committee held 1 meetingand deliberated 1 proposal. All the meet-ings were attended by directors with a100% attendance rate.

Board of Supervisors

Board of Directors

Shareholders' Meeting

Diversi?cation

2023 Environmental, Social and Governance (ESG) Report

3 shareholders' meetings

annual general meeting

meetings bythe Board ofDirectors

meetings by

the AuditCommittee

meetings by theRemunerationand Appraisal

Committee

meeting by the

NominationCommittee

extraordinary general meetings

meetings by theBoard of Supervisors

100%

Attendance of supervisors

OfflineOnlineTotally18 proposalswere deliberated

Attendance of directors100%

directors, supervisors and senior executives

Educational background

Genderdistribution

Professionalbackground

Age

distribution

PhDMasterBachelorFemale Male

InvestmentLawFinance andAccounting

Above 60years old

Industry

Governance responsibility · Practitioner of sustainable management

Strictly according to the Company Law, Securities Law,Administrative Measures for the Disclosure of Informationof Listed Companies, Shanghai Stock Exchange STARMarket Listing Rules, Guidelines No. 1 of the ShanghaiStock Exchange for the Self-regulation of Listed Companieson the STAR Market – Standardized Operation, Articles ofAssociation of Montage Technology and other regulations,Montage Technology has formulated and improved institu-tional documents such as the Information DisclosureSystem, Information Disclosure Suspension and BusinessExemption Management System, and Insider InformationRegistration Management System, clarifying the procedureof information disclosure and standardizing and refining therequirements related to information disclosure.Adhering to the principle that the information disclosed is"true, accurate, complete, timely, fair, concise, clear andeasy to understand", the Company discloses informationthrough designated media to ensure that all stakeholders ofthe Company have fair access to company information.

2023

Information disclosure ratingIn October 2023, the ShanghaiStock Exchange announced theassessment results of informa-tion disclosure for listed compa-nies in Shanghai for the years 2022 to 2023. It's the first time theShanghai Stock Exchange conducted information disclosure ratingsfor companies listed on the STAR Market. Montage Technologyobtained the highest rating of Level A in the assessment.Penalties for information disclosure violations: None

Level A

Legal ComplianceDisclosure

Montage Technology's information disclosure procedure

2023 Environmental, Social and Governance (ESG) Report

Information review andsubmission by personsin charge of relatedaffairs

Compliance checks andannouncement prepara-tion by the Secretary ofthe Board of Directors

ReviewDisclosure

disclosure reports

regular reports

interim reports

Governance responsibility · Practitioner of sustainable management

Investor-centric

investorreceptions

receptions forforeign investors

replies to inquirieson the SSEE-Interaction platform

resultsbriefings

answering investorhotlines

investor activityrecord forms

Estimated annual cash dividends to

be distributed339 million yuan

Montage Technology attaches great importance to the protection of theinterests of investors. In order to strengthen the communication withinvestors, effectively safeguard the legitimate rights and interests ofinvestors, and promote the establishment of a long-term, stable andbenign relationship between the Company and investors, MontageTechnology has formulated the Investor Relations Management System,clarifying the content, methods, organization and implementation of inves-tor relations management and other management standards, so as tobuild harmonious investor relations based on mutual trust.During the reporting period, the Company was honored with the 14th"Tianma Award for Investor Relations" and "Outstanding Secretary of theBoard for Investor Relations".

In order to allow investors to better understand the Compa-ny's operational status, we address investors' concernsthrough various channels, including holding investor recep-tions, answering investor hotlines, replying to inquiries via theIR email and questions on the SSE E-Interaction platform,and organizing results briefings. Additionally, the Companyregularly published the Investor Relations Activity RecordForm on public platforms, summarizing the interactionsbetween investors and the Company across different chan-nels. The Company not only ensures equal access of allshareholders to company information, but also emphasizesinvestors' understanding and acceptance of announcements.For highly professional announcements related to researchand development, the Company uses plain and simple termsas much as possible to make it easier for investors to under-stand.

The Company has implemented dividend distributions for fourconsecutive years since its listing. According to the Company's2023 annual profit distribution plan, a cash dividend of 3 yuan(tax included) was distributed to all shareholders for every 10shares, and the proposed cash dividend was about 339 millionyuan.

Cumulative amount of share repurchases in 2023

300 million yuanSince its listing, the Company has launched three share repur-chase programs. During the reporting period, 5,735,800 shareswere repurchased, with a repurchase amount of about 300million yuan.

Proportion to thenet profit of 2023

142 %

Estimated amount of cashdividends to be distributedand share repurchases

639 million yuan

The amount of the above mentioned cash dividend and sharerepurchase reached about 639 million yuan, accounting for142% of the net profit in 2023.

Diversified and smoothcommunication channels

Sound and reasonable returnon investment

Tianma Award for Investor RelationsOutstanding Secretary of theBoard for Investor Relations

2023 Environmental, Social and Governance (ESG) Report

Governance responsibility · Practitioner of sustainable management

Improve internalcontrol

Montage Technology attaches great impor-tance to the construction of the internalcontrol system, and continues to improvethe Internal Control Management Manualand other relevant systems. In terms of riskprevention and control system construc-tion, the Company established a three-levelrisk management structure composed ofthe Board of Directors, the Audit Commit-tee and the Internal Audit Department.During the reporting period, MontageTechnology conductedone internal

control self-assessment andfour special

audits. After the internal control self-as-sessment and inspection and supervision,there were no major internal controldeficiencies within the Company. For thegeneral internal control defects found, theCompany adopts a "to discover and rectifyimmediately" strategy and instructsrelevant departments to formulate rectifica-tion plans to rectify the issues in a timelymanner. As by the end of the reportingperiod, all identified issues have beencorrected, with a completion rate of100%.

The Board of Directors issued the 2023Internal Control Assessment Report, andErnst & Young Hua Ming (Special GeneralPartnership) issued the Internal ControlAudit Report for the Company.

Level 1: As the highest responsible party for internal control and riskmanagement, the Board of Directors provides overall management ofthe risk management and internal control system, plays an upper-levelrole and oversees the implementation of the results of the comprehen-sive risk management system and internal control system;Level 2: The Audit Committee is responsible for supervising the imple-mentation of the internal risk management and supervision mecha-nisms and is responsible to the Board of Directors;Level 3: The Internal Audit Department performs the responsibilities ofinternal control and risk control, actually implements various internalcontrol systems within the Company, monitors the progress of internalcontrol and risk control, and assists the Board of Directors and theAudit Committee to fulfill their responsibilities including:

Reviewing and evaluating the reliability, effectiveness and integrity ofthe Company's internal monitoring mechanisms;Reviewing and evaluating the appropriateness of the Company'sorganizational structures, systems and procedures;Reviewing and evaluating the security and integrity of assets;Understanding and evaluating the possibility of significant risks to theCompany, and helping the Company to improve risk management, etc.

Organizational Structureof Internal Audit and

Risk Management

Montage Technology's Organizational Structure

of Internal Audit and Risk Management

MainRisks

Comprehensive Risk Control

Reporting lineBoard of Directors

Audit CommitteeInternal AuditDepartment

CustomerConcentration Risk

QualityRisk

SupplierRiskR&DRiskTalentLossRiskTechnologyLeakageRiskIPRisk

Development of annual plan forinternal audit

Pre-audit investigationof the auditee

Implementationof the audit

Preparation of internal audit reportbased on audit opinions or decisions

Preparation of audit files basedon relevant materialsFollow-up audit on the implementationof rectification measuresSubmission to the Company's Audit Committeeor the Board of Directors for review

2023 Environmental, Social and Governance (ESG) Report

Governance responsibility · Practitioner of sustainable management

Upholding business ethicsMontage Technology attaches great importanceto business ethics management, adheres to thebusiness principle of integrity and legal compli-ance, strictly abides by the Law Against UnfairCompetition of the People's Republic of China,the Interim Provisions on Prohibition of Commer-cial Bribery and other relevant provisions, andalways takes anti-corruption and anti-commercialbribery as the focus of internal risk managementand control.

During the reporting period, in order to continuously build acompliance culture, we organized a total of 5 trainingsessions on compliance topics such as corporate legalsystem and corporate contract management throughout theyear. In addition, in order to reduce operational risks andensure healthy and sustainable development of the Compa-ny, the Company actively participated in trainings related toexport control and sanctions compliance management. Forexample, the Company participated in the special trainingsession of "Semiconductor Industry Export Control Compli-ance and Risk Response" held by Shanghai IntegratedCircuit Association, and actively responded to the changinginternational trade policy environment.

Fostering a compliance culture

No fraud was reported duringthe reporting period

No violations occurred during the reporting period

The Company has establishedand improved the Anti-fraudManagement System and otherprocedures related to businessethics. The Code of BusinessConduct was developed duringthe reporting period.

The Audit Committee of theBoard of Directors is the respon-sible body, and the GeneralManager's Office is the execu-tive body in charge of the estab-lishment and improvement ofinternal anti-fraud mechanism,identification of sensitivepositions, handling of reportsand other related matters.

The Company activelycarries out anti-corruptiontraining and education invarious forms. During thereporting period, it held theanti-corruption trainingcovering all employees tofurther strengthen employ-ees' awareness of integri-ty, and enhance theirsensitivity to fraudproblems.

Employees at all levels of the Company or external parties couldreport business ethic issues to the General Manager's Office in realname or anonymously through reporting hotlines, emails, letters,and other means.The reported information would be reported to the General Manag-er within 10 working days, and the investigation results or handlingresults would be notified to the reporter within three months.Montage Technology requires employees with highpotential fraud risks to sign an Anti-fraud Pledgeand an Anti-Bribery Statement. It strictly investi-gates internal corruption, bribery, fraud, moneylaundering, improper trading and other businessethics incidents.In addition to supplier background investigations,the Company also incorporates anti-bribery clausessuch as the Anti-Bribery Statement into standardcontract templates and requires anti-bribery clausesto be signed in relevant business cooperation.

Montage Technology's code of business conductIn 2023, Montage Technology developed the Code of Business Conduct, providing strong support for ethical andresponsible business conduct. The Code of Business Conduct explicitly requires employees, managers, anddirectors to abide by laws and regulations. It provides clear provisions on anti-unfair competition, anti-monopoly,anti-bribery and fraud, anti-money laundering, prohibits the use of inside information for trading, and clearlydefines the regulations concerning business ethics.

Whistle blower protection mechanismThe Code of Business Conduct explicitlydefines a whistle blower protection mecha-nism. Any manager or employee found retaliat-ing against an employee who reports suspect-ed violations or other issues would be subjectto disciplinary actions and even be fired.

Institutionalimprovement

Structurebuilding

Conceptpublicity

Managementpromotion

Reportingmechanism

Governance responsibility · Practitioner of sustainable management2023 Environmental, Social and Governance (ESG) Report

02 Product ResponsibilityPioneer of Exploration and InnovationScience and technology innovation is the key force that leads enterprises to move forward and build core competitiveness. Montage Technology fully implements itsinnovation-driven development strategy, aiming for high-quality development through innovation. It continues to explore opportunities in clean technology, adjusts andoptimizes its product R&D system, strengthens intellectual property protection, rigorously controls product quality, and accelerates the cultivation of new qualityproductive forces, to stimulate new drivers for high-quality development.

R&D and innovationClean technology

opportunitiesLeading innovationresults

Proprietary intellectualproperty rights

Productquality first

Strict adherence toinformation security

R&D expenses were 682 million yuan, an increase of 21% over 2022, with a compound growth rate of 31% in the pastthree yearsThere were 587 R&D technicians, an increase of 119 over the previous year, accounting for 77% of the total number ofemployees. Among the R&D technicians, 67% had a master's degree or aboveR&D inputs supportingtechnological innovation

At the same rate, the power consumption of the Gen3 DDR5 products decreased by 15-20% compared to the Gen1 productsCXL high-speed interconnect technology can reduce the energy consumption of data migration. Montage Technologyreleased the world's first CXL MXC chip and continued to invest in CXL technology researchClean technology opportunitiesand green product design

The Company was granted 20 invention patents, with 164 invention patents granted in totalThe Company was included in the Forbes "2023 China Top 50 Innovative Companies List", and its PCle 5.0/CXL 2.0Retimer chip won the 2023 China Chip Award of Annual Significant Innovation and Breakthrough ProductProtection of R&Dinnovation results

The customer complaint handling rate was 100%, and the customer satisfaction rate was greater than 90%Prompt response tocustomer feedback

The Company obtained the information security management system ISO27001 certificationStrict adherence toinformation security

There was no major quality accident

There was no product recall due to quality defects in mass-produced products

With the DPPM of less than 100, the Company realized the set goals with high quality

The Company obtained the SK hynix "Best Supplier Award" and Micron Technology "Outstanding Supplier Perfor-

mance Award"Strict control of productquality

FocusResults in the reporting period

682million yuanR&D expenses

R&D technicians

DPPM≤100

Products launched

100%Customer complainthandling rate

>90%CustomersatisfactionISO27001 certification

Down by 15%-20%Power consumption comparison betweenthe Gen3 DDR5 products and the Gen1ones at the same rate

Newly grantedinvention patents

Accumulatednumber of inventionpatentsInnovative productsempowering the constructionof AI infrastructure

The Company successfully mass-produced PCle 5.0/CXL 2.0 Retimer chips, and completed the research and

development of the mass-produced version of MRCD/MDB chips, MXC chips and CKD chips. The above four types

of high-performance data-moving solutions empowered the construction of AI infrastructure

2023 Environmental, Social and Governance (ESG) Report

Product responsibility · Pioneer of exploration and innovation

Age structure of the R&D staff

R&D and Innovation

During the reporting period, we maintained a high level of R&D investment, promoted the research anddevelopment of new products and continued to advance the iterative upgrades of existing products.

We recruits outstanding R&D technical talents,continuously expands the scale of R&D team,and provides competitive compensation andbenefits to further stimulate the enthusiasm andcreativity of R&D personnel. As an IC designcompany "focusing on R&D, talents andtechnology", we strive to foster a R&D teamwith great scientific research strength andcreativity and build a "moat" for the Companywith talents.

Improving the R&D system

Continuing to increase R&D investment

MontageTechnology R&DProcess

R&D expenses682 million yuan

Proportion to the operatingrevenue30%

Compound growth rate ofR&D expenses in the pastthree years

31%

Building the R&D team

Annual R&D expenses (100 million yuan)

202120222023

An increase of119 over 2022

R&D techniciansProportion of those with aMaster's degree or above to thetotal number of R&D techniciansProportion of R&D techniciansto the total number of employees

77%67%

Year-on-year increasein R&D expenses21%

2021

3.70

2022

5.63

2023

6.82

The Company has established a product innovation systemof "Technological Reserves - R&D - Mass Production".

Project establishment markedby the signing of the NPA

Reliability assessment andrisk-based trial productionSystem architecture,modules, integration andlayout designSample tape-out andpackaging

Sample testing and verification

QualitycertificationOfficial massproduction

Aged 30 belowAged 30-40Aged 40-50

Aged 50-60Aged 60 andabove

2023 Environmental, Social and Governance (ESG) Report

Product responsibility · Pioneer of exploration and innovation

Incubating innovative products

Lead on Innovation Results

PCle Retimer chips

ApplicationA stable and reliable high-bandwidth andlow-latency interconnect solution for typicalapplication scenarios such as AI servers

Market potentialAn AI server equipped with eight GPUsrequires eight or sixteen PCIe 5.0 RetimerchipsAdvantages of Montage Technology

Montage Technology has developed Serdes IPindependently, with competitive advantages inshould be "transmission latency" and channeladaptability

Progress in the reporting period

Montage Technology achieved the massproduction of PCle 5.0/CXL 2.0 Retimer chips

Application

Used for high-bandwidth memory moduleMRDIMM of serversMarket potentialIt is expected that there will be greater demand inapplications that are sensitive to memory band-width such as high-performance computing and AI

Advantages of Montage Technology

The Company leads the development of interna-tional standards for MDB chips, and has main-tained leadership in the industry in terms ofrelated technologiesProgress in the reporting periodMontage Technology completed the research anddevelopment of the mass-produced version offirst-generation DDR5 MRCD/MDB chips

ApplicationUsed for memory expansion and memory poolingMarket potentialThe new CXL-based DRAM module will be one of themost promising memory solutions in the future AI eraAdvantages of Montage TechnologyThe Company has launched the world's first MXCchip, and become the first MXC chip manufacturer onthe CXL compliant supplier listProgress in the reporting periodThe Company completed the research and develop-ment of the mass-produced version of first-generationMXC chips

ApplicationUsed for PC memory modules (CUDIMM/CSODIMM/-CAMM)

Market potentialSince AI PCs require memories with higher bandwidthto improve the overall computing performance, theapplication of CKD chips will be acceleratedAdvantages of Montage TechnologyThe Company has launched the industry's first CKDchip engineering sample, with the research and devel-opment leading the industryProgress in the reporting periodThe Company completed the research and develop-ment of the mass-produced version of first-generationDDR5 CKD chips

MXC chipsMRCD/MDB chipsCKD chips

Empowering the construction of AI infrastructure with newproducts of high-performance data-moving solutions2023 Environmental, Social and Governance (ESG) Report

Product responsibility · Pioneer of exploration and innovation

With the performance improvement and expansion of computersand servers, high power consumption of related products hasgradually become a prominent issue. In light of this, MontageTechnology takes clean technology opportunities as one of theimportant issues for the Company's sustainable development,and integrates the concept of "low energy consumption" into itsoverall development strategy.Montage Technology values the product energy efficiencyperformance in all stages of product development. At theproduct definition stage, the Company focuses on the balancebetween performance and power consumption and defines lowpower consumption products; at the product design stage, itchooses advanced circuit technology to improve the energyefficiency of products by optimizing the design; at the productuse stage, it indirectly reduces customers' requirements for heatdissipation and power supply capacity, effectively reducesproduct power consumption, helps end users reduce energyconsumption, and contributes to the energy saving and carbonreduction of the entire industrial chain.

Clean Technology Opportunities

Case 2

In the existing computing architecture, data migration for a simple computing consumes a lot of energy. CXL high-speed interconnect technology canreduce the energy consumption of data migration by cache coherence and data sharing.

According to related industry analysis, ChatGPT may consume more than500,000 kW/h of electricity per day to respond to about 200 millionrequests from customers, while a household uses about 29 kW/h ofelectricity per day on average, so ChatGPT's daily electricity consumptionis more than 17,000 times that of a household.CXL high-speed interconnect technology will improve the overall comput-ing efficiency of the whole system, thereby reducing energy consumption.In 2022, Montage Technology released the world's first CXL MXC chip.The MXC chip is primarily used in the fields of memory expansion andmemory pooling, which can significantly expand memory capacity andbandwidth, and meet the growing demands of high-performance comput-ing, AI, and other data-intensive applications.The Company has actively cooperated with CPU manufacturers, memorymanufacturers, cloud service manufacturers and server OEMs, tried tostay at the forefront of technological development, constantly promotedproduct update and iteration, and committed itself to contributing to therealization of a mature and perfect CXL ecosystem and the wide applica-tion of CXL technology.

In 2023, the DDR5 penetration rate further rose, and the shipments of Montage Technology's DDR5 memory interface chips continued to increase.

Source: Chip Hot 2023

Case 1

According to relevant studies, every 1W reduction in the power consumption of semiconductor devices will result in a 2-3W reduction in the overall powerconsumption of the data center.In October 2023, the Company took the lead in the industry in the trial production of the Gen3 DDR5 RCD chips, supporting the data transmission rate of6,400MT/S. At the same rate, the power consumption of the Gen3 DDR5 products decreased by about 15-20% compared to the first-generation ones.

2023 Environmental, Social and Governance (ESG) Report

Product responsibility · Pioneer of exploration and innovation

Proprietary Intellectual Property RightsWith an emphasis on owning proprietary intellectualproperty rights as the core, Montage Technologyfocuses on intellectual property protection and thecommercialization of intellectual property achieve-ments. It has gradually developed a planned andstrategic patent portfolio layout, driving the realizationof the Company's intellectual property strategy goals.

Montage Technology attaches great importance tointellectual property protection. It has established acomprehensive intellectual property managementsystem, including the Patent Management Measures,Technical Secret Management Measures, IntegratedCircuit Layout Design Management Measures, Trade-mark Management Measures, Technology ContractManagement Measures, and Patent ApplicationProcess. This provides clear guidelines to achievefull-cycle management of intellectual property.

During the reporting period, there were noviolations or litigation cases related tointellectual property.

Setting up an intellectual propertycommittee composed of heads of theR&D departments and a dedicatedintellectual property managementdepartment.

Protection of intellectualproperty rights

Setup of managementorganizations

Carrying out work related to patentapplication and maintenance, registra-tion of integrated circuit layout designsand software copyrights, trademarkregistration and maintenance, andprotection of trade and technical secrets.

Intellectual propertyrights application

Informationmanagement toolPurchasing professional intellectualproperty rights management softwareand patent search platform services,subscribing to professional journalsand purchasing related membershipservices for R&D personnel.

Formulating the Intellectual PropertyTraining Measures, holding intellectualproperty related training sessions(employee orientation training andspecial intellectual property training),and organizing intellectual propertytests and assessments.

Signing agreements with employeeson confidentiality, non-competitionand ownership of invention rights toavoid intellectual property disputes.

Signing ofcon?dentialityagreements

Capacity andawareness training

2023 Environmental, Social and Governance (ESG) Report

Product responsibility · Pioneer of exploration and innovation

In order to promote the transformation of intellectual property innovationresults, Montage Technology formulated the Measures for Formulating andAssessing the Annual Patent Application Plan. The Company makes patentapplication plans for relevant departments annually, sets assessment andevaluation indicators and conducts assessment every half year.In order to encourage its employees to innovate independently and create apositive atmosphere for invention and creation, Montage Technology formu-lated the Incentive Measures on Intellectual Properties, clarifying that inven-tors and creators of inventions, as well as whistle blowers who report athird-party infringement of the Company's intellectual property rights shouldbe rewarded. For patents which are not suitable for patent application for thetime being but need to be protected in the form of proprietary technology asan innovative solution of the Company, a one-off reward should also begranted.

Note 1: For details of intellectual property rights, please see the 2023 Annual Report of Montage Technology.Note 2: Invention patent applications include 3 Patent Cooperation Treaty applications, and cumulative invention patent applicationsinclude 5 Patent Cooperation Treaty applications.Note 3: The above table shows the data of the Company's exclusive intellectual property rights. In addition, the Company has also appliedfor 10 Chinese patents (under substantial examination, not yet granted) together with its partners.

Intellectual property achievements

Invention patentUtility model patentDesign patentSoftware copyrightLayout designTotal

Patent application

Authorized patents

Patent application

Authorized patents

National Intellectual Property Advantage Enterprise

New patents in the yearCumulative

2023 Environmental, Social and Governance (ESG) Report

Product responsibility · Pioneer of exploration and innovation

The Company developed the Reliability Qualification Requirement, defining the quality assessment process and standards for the produc-tion process/product packaging during the product certification stage, such as reliability assessment based on the Solid State TechnologyAssociation (JEDEC) standards. During the product testing and mass production, the Company kept improving the product quality byregular collection of critical process capability indices, establishment of product testing process, failure analysis and other measures.

Using a fabless operating model, Montage Technologyfocused on chip design and research, while the manufactur-ing, packaging, and testing of chips were outsourced.Montage Technology established perfect product qualityassurance measures in the whole life cycle of the chip, includ-ing project initiation, design, production, verification anddelivery, implemented the whole-process quality control, andanalyzed potential quality risks, to improve the qualitymanagement.DPPM refers to the number of defects per million inspections.It is a direct reflection of chip quality reliability and stability. In2023, Montage Technology set a quality and reliabilitymanagement goal of DPPM≤100, and achieved it with highquality.

R&D stage: First, the design code was validated. After the genera-tion of samples, they were tested in the laboratory environment first,then in the actual application environment, followed by reliability andlife cycle experiments, and conformity and process deviationassessment. Only after the samples passed the assessment, couldthe mass production start.Outsourced production and sales stage: The Company imple-mented the supplier management strictly, defined the responsibilityassignment and performance mechanism for product quality, estab-lished quality requirements and certification systems for wafer andpackaging suppliers, and strengthened the standardized manage-ment of supplier product quality; before the products left the factory,they had to be fully tested and then sampled for testing. No productscould be delivered until the test results were qualified.

Montage Technology had acomplete quality managementsystem, and received the ISOquality system certification. Nomajor quality accidents occurredduring the reporting period.quality systemcertificationMajor qualityaccidents

Product Quality First

Montage Technology established a sound and standardized quality manage-ment system, formulated a series of quality management documents such asthe Quality Manual and New Product Development Process, strengthenedthe quality control of integrated circuit design, development, outsourcing,manufacturing and sales and other links, and constantly made improvementsand updates according to the actual implementation, ensuring the quality ofthe whole process at the institutional level.

Quality management system

Process quality control

Montage Technology's quality management systemAs its product quality was highly recognized by customers, theCompany obtained the SK Hynix "Best Supplier Award" and wasonce again honored with the Micron Technology "Outstanding Suppli-er Performance Award".

The Company completed the annualinternal audit of GB/T 19001-2016/ISO9001:2015 quality system, andcorrected the risk problems andimproved the risk management foundin the internal audit.

"Assembly Subcontractor Quality Requirement"

"Quality Manual"

"Subcontractor Selection Management"

"Plastic Package Quali?cation Procedure"

"Wafer Subcontractor Quality Requirements""Electrical Test Subcontractor Quality Requirement""Reliability Quali?cation Requirement"

ISO 9001

2023 Environmental, Social and Governance (ESG) Report

Product responsibility · Pioneer of exploration and innovation

Improving service quality

Montage Technology attaches great importance to producttraceability management, establishes the product tracing andrecall system, clarifies the handling process and importantnodes of product recall, develops the disposal plan of recalledproducts, carries out the whole-process management ofproduct tracing and recall, including the demand identification,risk assessment, impact judgment, recall implementation,cause analysis and improvement, ensures the effectivenessand feasibility of product recall procedures, and fully protectsthe rights and interests of customers.Currently, the Company's product recalls are mainly attributedto product update and iteration, and a small number ofoverstocked products from the inventory of customers as aresult of market downturn.

While strengthening thequality management of thewhole life cycle, MontageTechnology vigorouslypromotes the constructionof quality culture, andhelps its employees fosterthe concept of qualitymanagement and learnprofessional knowledgeand skills. MontageTechnology regularlycarries out trainings onquality managementsystem, quality manage-ment responsibility, qualityacceptance process andother related content.During the reportingperiod, Montage Technolo-gy implemented thetraining policy of senioremployees guidingnewcomers, and conduct-ed ISO9000 andISO27000 system educa-tion and training for newemployees.

Montage Technology focuses on the demand ofcustomers, attaches importance to customers’opinions and suggestions, carries out customersatisfaction surveys every six months, compre-hensively assesses products from five dimen-sions of delivery, technology, quality, serviceand price, and tracks customers whose annualsales amount exceeds 90%. At the same time,the Company takes the feedback results as thestarting point to actively explore solutions tocustomer demands. For some price-sensitivecustomers, the Company will consider morecost factors while iterating product technologyin the future, and seek innovation while takinginto account cost reduction, to provide custom-ers with more satisfactory and competitiveproducts.Montage Technology always abides by the relevant laws andregulations of responsible marketing, establishes the corre-sponding responsible marketing mechanism and codes ofconduct, and carries out marketing promotion activities in arigorous and objective manner.In terms of the awareness of responsible marketing, theCompany carries out trainings on responsible marketing toensure that the marketing work complies with laws and regula-tions; in terms of brand management, in order to ensureaccurate and clear transmission of relevant information undervarious corporate brand portfolios, the Company follows theVisual Identity (VI) media publicity system manual and designsvarious corporate brand portfolios; and in terms of trademarkmanagement, the Company requires customers to sign theCommitment on the Use of Company Logo to strengthen thelegal and compliant use of relevant trademark information inproduct promotion activities.

Qualityculturalconstruction

Improving customer service

Product tracing and recallPracticing responsible marketing

Focusing on customer satisfaction

Average length of time to resolvecustomer complaints

<14days

Customer complaint handling rate

100%

Average customersatisfaction rate

>90%Product recall due to quality defects of mass-produced products

Carry out self-risk preven-tion and control in timebased on the problems ofother suppliers reported bycustomers, and assistcustomers in solvingrelated problems caused bythe problems of othersuppliers.

Ex-ante risk consulting

Based on the needs ofcustomers, regularlyconduct two-way communi-cation through QuarterlyBusiness Review (QBR)meetings, special meet-ings, routine meetings, andweekly meetings.

In-process regularcommunication

Carry out failure analysis in time.According to practices, most failuresare not caused by Montage Technol-ogy's products. Montage Technologyconducts technical analysis of allfailure cases, summarizes the casesand shares them with relevantcustomers to improve customers'satisfaction with its product quality.

Ex post risk management

2023

2023 Environmental, Social and Governance (ESG) Report

Product responsibility · Pioneer of exploration and innovation

Strict adherence to Information Security

Information security is one of Montage Technology's key focus areas. The Company understandsthe importance of protecting the confidentiality, integrity and availability of customer and corporatedata in the current digital age.The Company strictly follows the Cybersecurity Law of the People’s Republic of China and otherrelevant laws and regulations, and has established complete and strict data access controlmanagement systems such as Network Partition Management, Terminal Equipment NetworkAccess Control, High Security Level Data Access Strategy, Document Access Control Strategy,and Power Outage and Fire Emergency Plan for Various Computer Rooms. The Company’s ITdepartment is fully responsible for its information security management. During the reportingperiod, the Company started the construction of ISO27001 information security managementsystem and successfully received the certification.In order to standardize the emergency handling procedure in case of system failure and ensuretimely response and correct disposal, the Company has formulated the Business ContinuityManagement Plan and established an information security organizational structure composed ofthe Information Security Committee and the Core Working Group of Information Security.

Management strategy

Organizational structure

Information SecurityCommittee

In terms of emergency response, the Company has established a sound emergency response mechanism for informationsecurity incidents, regularly performed emergency drills, and actively carried out information security emergency drills andnetwork security publicity and training activities.

Data Backup SystemEmergency Plan forNetwork InterruptionEmergency Plan for theIT Server RoomEmergency Plan for theComputer Room PowerSupply

Back up data regularly to prevent data loss.Organize 6 information security emergency drills.Clarify emergency response process, quickly resumesystem operation to avoid data leakage and loss.Establish an IT system operation status monitoring system,so that the system will send an early warning through emailand screen prompts when related equipment fails.

Montage Technology’s information security emergency drills in 2023The Company carried out emergency drills for internal and external network firewall, telecommunication broadband, ERPsystem, core switch, main domain control server and other systems or functions by practical operation or deduction. Thedrill was successfully completed and the expected goals were achieved.

Emergency response

Core Working Group of Information Security

Top management

Members of the core working groupConsultantsand auditors

IT managerInformation security officers in various departments

Management representative

2023 Environmental, Social and Governance (ESG) Report

Product responsibility · Pioneer of exploration and innovation

Management measuresIn order to protect IT assets from unautho-rized access or attack, and to maximize theprecaution against various information riskfactors, the Company has taken a series ofmeasures to ensure that the resources,technology, management and other factorsrelated to information security are undercontrol.

Enable the dual-line telecommunica-tion service to increase availabilityand stability of the corporatenetwork.Use NetAPP and Synology NASsystem for centralized data storageand backup.Use CVS, SVN, Alfresco, GitLab toshare internal enterprise data andenforce strict permission control.As for core data departments such as R&Ddepartment, the Company continues toimprove the strategies and mechanismsrelated to core data protection:

Sensitive data can only be accessedindirectly through secure access terminalsand virtual terminals.Set more stringent access permissions forspecial documents that require enhancedconfidentiality protection.Further strengthen the confidentiality controlof the document transmission process.

External audits of information security

Coverage of information security training

100%

Training length of information security1164 hours

During the reporting period

Core data security protection mechanism

Provide system supportfrom multiple levels

Clarify the permissionapplication process, followthe "minimum permission"principle, and strictly limitthe permission grant.Strengthen thepermission management

Use a large number of redundant devices inIT architecture to ensure safe and reliabledata transmission and storage.Deploy a variety of network security devicesto prevent critical design data leakage andnetwork intrusion.Adopt a heterogeneous firewall architectureand minimize external ports. For theprotocols that really need to be developed,encryption, firewall authentication, two-factorVPN authentication and other ways are usedto restrict unauthorized access.Set the software to automatically update theserver and periodically install security patch-es on the server.

Ensure the firewall enablesmalicious code filtering,antivirus, and anti-attackfunctions, and automaticallyupdates data regularly.Ensure the mail serverenables related protectionfunction modules to filtermalicious code emails andphishing emails.Enable the anti-virus functionon the server and closenon-essential high-risk portsto prevent worm transmission.

Upgrade networksecurity devices

Design and plan data access rulesand VLAN network segments withdifferent security levels according tothe definition of security levels ofinformation system assets. By default,different network segments are prohib-ited from accessing each other.Use firewalls to restrict users fromaccessing network resources with highsecurity levels.Systems storing sensitive informationcan only be accessed through certainterminals, and content transfers arestrictly restricted.

Carry out internalnetwork isolation

Carry out internal audit of theinformation system (accountpermissions, computer roomaccess logs, system operationlogs, firewall logs, etc.) everymonth, find problems and makecorrections immediately, andrecord test conclusions in time.Regularly conduct external auditsand cooperate with third-partyaudits.

Strengthen the daily review ofinformation security protection

Promote network security awareness forall employees.Regularly send email cases and phishingemails to employees to remind them topay attention to email security.Hold training sessions regularly ondifferent topics, including but not limited toprecautions for office network use, securi-ty management of passwords and import-ant data files, virus prevention, and othersecurity and confidentiality measures andawareness.

Strengthen the information securitypublicity and implementation

Regular internaland external auditsMeasures toimprove data backup

Measures to strengtheninformation isolation

Measures to preventinformation leakage

Construction of aninformation securityculture

2023 Environmental, Social and Governance (ESG) Report

Product responsibility · Pioneer of exploration and innovation

03 Partner ResponsibilityPractitioner ofCommon Growth with the Industry

Adhering to the principle of win-win cooperation, Montage Technology actively seeks to establish long-term cooperative relations of mutual trust and mutual benefitwith relevant parties in the industrial chain, and share the results of sustainable development with domestic and foreign partners.

Responsible sourcingWorking with industry partners

The Company carried out performance evaluation of main suppliers, and the coverage rate was 100%The coverage of core suppliers with quality management systems (such as ISO9001, etc.) was 100%The Company adopted the "leading supplier + double/triple backup mechanism" to ensure supply chain stability andreduce related risksThe Company 100% achieved its set goal of avoiding sourcing of controversial raw materialsThe Company paid attention to the risks associated with supply chain sustainability by incorporating ESG relatedcontent in the annual review of suppliersThe products produced by the suppliers met the requirements of ROHS, REACH and TSCA standardsThe Company continued to be committed to the construction of the Jintide

? ecosystemAs a contributor to hardware compatibility and adaptability, Montage Technology received the Outstanding ContributionEnterprise certificate from the OpenCloud communitySamsung Group worked with Montage Technology to release a white paper on high-performance signal integritysolutions based on Samsung’s PCle Gen5 NVMe SSD (PM1743) and Montage Technology’s PCle 5.0/CXL 2.0Retimer (M88RT51632)Jintide

?

CPU was adapted to a number of H3C server products in terms of performance and security, and the applicationand solutions based on the Jintide? series products were promoted in many industries such as finance, transportation,and government affairs

Supplier quality controlSupply chain stability

Contribution to the formationof synergistic advantagesin the industry

Responsible mineralmanagementSupplier ESG assessment

Contribution to high-qualitydevelopment of digital economy

Performance evaluationcoverage of main suppliers100%

Coverage of core suppliers withquality management systems

100%

Realization rate of the goal of avoidingsourcing of controversial raw materials

100%

Products met ROHS,REACH and TSCA standards100%

2023年度环境、社会与公司治理报告

FocusResults in the reporting period

Partner responsibility · Practitioner of common growth with the industry

The Company continues to optimize the Supplier Management System and other internal policies, improves thesupplier management system and management process, maintains stringent control over the entire supplier lifecycle from admission to elimination/exit, and regularly carries out supplier audits to promote the establishment of asupply chain environment characterized by fair competition, integrity, transparency, and robust traceability.

Also, the Company develops and continuously improves the supplier audit and evaluation system,evaluates the quality, technology, delivery and service of qualified suppliers on a quarterly basis,introduces the original production data of suppliers in time, monitors and analyzes the performance ofsuppliers in real time, and adjusts the mode and intensity of cooperation with suppliers according tothe performance evaluation results.During the reporting period, the Company carried out the performance evaluation of mainsuppliers, and the coverage rate reached 100%.

Coverage of core suppliers with qualitymanagement systems (e.g. ISO9001)

100%

Performance evaluation results

ExcellentNot good

Bad

Cooperation strategies

Responsible SourcingHaving a sustainable supply chain is a core competence of Montage Technology. In close cooperation with supplychain partners, the Company has established standardized processes concerning supplier introduction, evaluation,etc. and implemented classified management to promote suppliers to improve their performance continuously. Inaddition, the Company has adhered to the concept of sustainable development, incorporated ESG related factorssuch as product quality management, environmental protection and social responsibility management into theevaluation of suppliers, and insisted on not using conflict minerals to promote the sustainable development of thesupply chain throughout the industry.Whole-process dynamic management

When selecting suppliers, the Company adheres to the philosophy of"responsible sourcing". Suppliers need to be subject to the qualitysystem survey and on-site audit, sign the Quality Agreement andother documents, and pass the final supplier audit and review,before completing the admission procedure.

Supplier management process

Supplier management process

ItalicAnti-bribery Statement

On-site auditInterview surveyRegular meeting

Basic surveySigning ofagreements

Audit and review

Letter ofIntent

Qualification

Review

Selection &Admission

Collaboration

ContinuedCooperationElimination/

Exit

PerformanceEvaluation

Classification

SupplierManagement

Business licenseCertifications ofISO9000 or ISO14000Qualification certificateSafe production license

Implement incentive measures such as strengthen-

ing cooperation with themRequire suppliers to shore up their weakness and

provide relevant guidanceReduce or even cancel cooperation

2023 Environmental, Social and Governance (ESG) Report

Partner responsibility · Practitioner of common growth with the industry

Montage Technology and its suppliers set up a variety of communication channels, including email,telephone communication, teleconference, interview, quarterly supplier conference, etc., to jointly createa responsible supply chain with a high level of information sharing. We update the material purchaseplan according to the actual use needs, coordinate with suppliers on material return and exchange ordelayed arrival promptly, meet with suppliers who are in shortage of goods in time and explore solutions,so as to ensure the optimal reserve and stable supply of materials.

Joint promotion of supply chain stability

While ensuring the compliance of the supply chain, Montage Technology actively pays attention to the performanceof suppliers in the three aspects of economy, environment and social responsibility, as well as the acquisition ofrelevant management certifications. Besides, it also incorporates ESG related content (reducing energy consumptionand carbon emissions, etc.) in the annual evaluation of suppliers and pays attention to sustainability risks of thesupply chain.Montage Technology strictly complies with international regulations such as the European Union’s Restriction of theUse of Certain Hazardous Substances in Electrical and Electronic Equipment (ROHS) and the Registration, Evalua-tion, Authorization and Restriction of Chemicals (REACH). The Company explicitly requires suppliers to comply withrelevant environmental protection indicators in terms of raw materials, production, packaging, transportation, loadingand unloading of products.Through strict self-regulation, the Company ensures that its products meet the requirements of ROHS, REACH andTSCA standards, providing global customers with green, toxin-free, safe and reliable products.

Supplier ESG assessment

MeetROHSMeetREACHMeetTSCA

Regarding the supplyinterruptionprevention andemergency plan ofraw materials andfinished products, theBusiness ContinuityPlan (BCP) isadopted, so that allrelevant departmentscan effectivelyidentify risks and takeactive measures in asystematical, logicaland standardizedway, thus to ensure asteady andsustainable businessdevelopment of theCompany.

Adopt the"leading supplier+ double/triplebackupmechanism".Namely, selectleadingsuppliers of theindustry andadopt adouble/triplesupplier backupsystem for keylinks (such aswafer andpackagetesting).

TheCompanyprioritizescoresupplierswithbusinesscontinuitycertifica-tion.

Adopt adual-auditmecha-nism forsuppliers,that is,suppliersevaluatethem-selvesfirst andthen theCompanyconductsan audit.

Adopt a riskpreventionmechanism.If a suppliercomes with arisk,MontageTechnologywill take it asa case toremind othersuppliers totakepreventivemeasuresand makeimprove-ments inadvance.

Measures for supply chain stability

Standards

2023 Environmental, Social and Governance (ESG) Report

Partner responsibility · Practitioner of common growth with the industry

Montage Technology promises not to support or source any metals from minerals mined in armed conflict, illegally or from inferior workingenvironments, that is, "conflict minerals", and explicitly prohibits the sourcing of raw materials from regions that do not respect human rights,trade illegally and finance violence. The Company has established a risk-based responsible mineral management system and a well-struc-tured governance mechanism that align with the Due Diligence Guidance for Responsible Supply Chains of Minerals issued by the Organiza-tion for Economic Cooperation and Development (OECD). Our departments such as Quality Control Department are entrusted with the tasksof gathering, organizing, and evaluating conflict minerals standards and developing the Conflict Minerals Management Policy. This policydetails explicit requirements for the identification and management of conflict minerals. Furthermore, we provide our Statement on the Prohibi-tion of Conflict Minerals for our clients, pledging to collaborate with our supply chain to foster a responsible mineral sourcing environment.

As a fabless company that formal does not directly source minerals,we try our best to ensure that our suppliers adhere to conflict-freeminerals sourcing, as part of our commitment to responsible sourcing.In the new supplier introduction and daily management, we use theConflict Minerals Reporting Template (CMRT) issued by the RMI toconduct the supply chain due diligence for 3TG and identify thesource information of minerals and smelters in the supply chain.

Never use conflict minerals

The Company 100% completed the conflict minerals investigation of suppliers in all productionprocesses. Suppliers all obtained minerals from audited Responsible Minerals Initiative (RMI)smelters. All sourced minerals were from smelters with the Responsible Minerals AssuranceProgram (RMAP) certification. No supplier was found to be involved in conflict minerals.

Conflict Minerals Management Process

The Company requires suppliers tomeet its conflict minerals policy

Based on the latest version of the CMRTQuestionnaire released, the Company screenssuppliers that may offer 3TG and cobalt products

Eliminate unqualified suppliers andsmelters in the supply chain, and outputthe Company’s CMRT Questionnaire

Distribute the CMRT Questionnaire to suppliers and ask them tofill it out to collect and summarize supplier feedback

Concept promotion

Survey plan

Survey implementationSurvey results

New supplierintroductionmanagement

The Company annually identifies and reviewssuppliers of conflict minerals, specifically tin, tanta-lum, tungsten, gold (3TG), and cobalt by using theConflict Minerals Reporting Template (CMRT)Questionnaire.The Company requires its suppliers to conductmineral traceability investigations at each level toidentify the source smelters. These smelters areprohibited from using minerals from Conflict-Affect-ed and High-Risk Areas (CAHRA).

Suppliers involved in manufac-turing are mandated to strictlyfollow our Conflict MineralsManagement Policy. TheCompany performs reasonabledue diligence in our supplychain to ensure that sourcedminerals are from smelters thatcomply with the ResponsibleMinerals Assurance Program(RMAP) certification.During the reporting period, the Company 100% achieved its set goal of avoiding sourcingof controversial raw materials.

Daily management

2023 Environmental, Social and Governance (ESG) Report

Partner responsibility · Practitioner of common growth with the industry

Jintide? platform ecosystemsServersOperating systems

Cloud service

Working withIndustry Partners

Industrial ecological construction

Industry Association Participation

Montage Technology actively develops its advantages insemiconductor chip design and other industrial fields. It iscommitted to building advantages of industrial synergy,leading partners to promote the industrial developmentjointly, and driving technological innovation in the semicon-ductor field by participating in industrial ecologicalconstruction and attending industry summits.Leveraging cutting-edge technology, Montage Technology collaborates with variousparties to develop solutions for intelligent upgrading of the industry. At the same time, weshare innovative ideas with our partners through active participation in exchangeseminars, joint innovation and other ways, thereby driving industrial development,technological innovation, promotion and application.In 2023, the Company actively participated in the software developer community activitywith Jintide

?CPU products, and obtained the hardware and operating system mutualcompatibility certification. At the same time, as a hardware compatibility and adaptabilitycontributor, Montage Technology was awarded the Outstanding Contribution EnterpriseCertificate by the OpenCloud community.Databases, storage systems, other software

Components and peripherals

2023 Environmental, Social and Governance (ESG) Report

JEDEC Solid State Technology Association Board MemberPCI-SIG Alliance MemberCXL Alliance MemberShanghai Integrated CircuitAssociation Vice President Unit

China Integrated Circuit DesignInnovation Alliance Council Member

Dell (China)H3CLenovoKunqianPowerLeaderSuperCloudWuzhouxFusionChina Mobile (SuZhou) Software Technology

KylinsecKylinSoftLinx SoftwareOpenAnolisopenEulerSuperRed Technology

CECloudDaoCloudEasyStackQingCloudSANGFORXSKYZStack

Dameng DatabaseTranswarpMacrosanSandStoneVastdata TechnologyAISHUGBaseDapuStorDenglin TechnologyLongsys

UnionTechVMwarexFusionNFS ChinaRedflagOpenCloudOSTencentOS

Partner responsibility · Practitioner of common growth with the industry

With the growth of big data, cloud computing, 5G and other technologies, the demand for data computing and efficient storage is growingexponentially, and more terminal devices require high-bandwidth, strong and stable data transmission, thus PCle has become the main-stream solution for server buses with its high transmission speed. Currently, the transmission rate of the PCle bus has increased from

2.5GT/s in the first generation to 32GT/s in the fifth generation and PCIe Gen5-enabled devices can be more in line with the current needs

of data centers and enterprise-level applications. At the same time, PCle Gen5-related products have been launched gradually in variousfields. Montage Technology started mass production of PCle5.0/CXL2.0 Retimer in January 2023. PCle Gen5 enterprise-level servers fromdifferent vendors have been released one after another. It is foreseeable that PCle Gen5 will dominate the global market in the next fewyears, and the era of PCle Gen5 will soon arrive in full swing.In November 2023, Samsung and Montage Technology jointly released a white paper on high-performance signal integrity solution basedon Samsung’s PCle Gen5 NVMe SSD (PM 1743) and Montage Technology’s PCle 5.0/CXL 2.0 Retimer (M88RT51632). This white paperintroduces the main hardware devices of the solution, and verifies the link stability and read/write performance regarding the solutionaccording to its test configuration and test results in the PCle Gen5 server platform.The results show that this solution can satisfy the current requirements of high bandwidth and low delay, fully guarantee the link stability andsignal integrity, enhance the data transmission quality during the reading and writing process of NVMe SSD, and increase the effectivetransmission distance of high-speed signals.

Working with customers for innovation

Development of industry standards

The Company has led the development of international standards forDDR5 RCD chips and MDB chipsThe Company has actively participated in the development of interna-tional standards for DDR5 CKD chips and DDR5 memory modulesupporting chipsThe "1+9" distributed buffer memory subsystem architecture invented bythe Company has been adopted by the JEDEC international standard,and evolved into a "1+10" architecture in the DDR5 generation, whichcontinues to serve as an international standard for LRDIMM, and furtherbrings about an international standard for MRDIMM as an infrastructure

2023 Environmental, Social and Governance (ESG) Report

Jointly releaseHigh-performance signalintegrity solutionWhite paper

Partner responsibility · Practitioner of common growth with the industry

Deepening industry exchangesMontage Technology actively participates in variousindustry conferences to broaden the industry informationexchange channels. In June 2023, Tsinghua Unigroupand H3C hosted the Navigate Summit 2023 with thetheme of "Dedication for a Smarter Future". As an import-ant strategic partner of H3C, Montage Technology wasinvited to attend the summit and show the achievementsof cooperation and innovation between H3C and it overthe years and its latest products and technologies.

H3C values Jintide

?CPU’s advantages in performance and security. Since the launch ofJintide?CPU, H3C has maintained close cooperation with Montage Technology. A numberof server products, including H3C UniServer R4900, have been adapted to it, and theapplication and implementation of Jintide?-based products have been promoted in finance,transportation, government service and other industries.High-performanceserverCPU – Jintide

?

Relying on its own technical advantages, ecological accumulation and leading position inmemory interface chips, Montage Technology has gradually extended to othercutting-edge technology areas of interconnect chips, successfully mass-produced PCle

4.0/5.0 Retimer series chips, and launched the world's first CXL memory expansion

controller chip. With the increasingly rich product layout, the Company is working withH3C to start a new round of strategic cooperation in emerging technologies.

In the future, Montage Technology will work with H3C togive full play to their respective advantages in technology,products and solutions, continue to expand cooperationareas and increase cooperation efforts to providehigh-performance, high-security hardware infrastructurefor the digital and intelligent transformation of variousindustries in China, and contribute to the high-qualitydevelopment of China’s digital economy.

2023 Environmental, Social and Governance (ESG) Report

Cooperation areas

Interconnectchips

Partner responsibility · Practitioner of common growth with the industry

In order to deepen upstream and down-stream partners’ understanding of theCompany and its products, MontageTechnology actively participated in the2023 China (Shanghai) CommercialCryptography Exhibition and SummitForum, Flash Memory Summit, and OpenData Center Summit, jointly organizedabout 20 market activities together withits partners, and received positive marketresponses.

2023 Environmental, Social and Governance (ESG) Report

2023 China (Shanghai) CommercialCryptography Exhibition and Summit Forum

Flash Memory Summit

Open Data Center Summit

NAVIGATEPartner Exchange ConferencePartner Exchange ConferencePartner Exchange Conference

Partner responsibility · Practitioner of common growth with the industry

04 Environment Responsibility Advocate of Green OperationIn view of the increasingly severe problem of climate change, Montage Technology actively responds to environmental challenges, attaches great importance to itsenvironmental performance, seeks progress in stability, continuously improves its environmental protection management system, and works with all sectors of societyto promote green development. In 2023, we gradually realized our goal of green and energy-saving operation by means of implementing energy-saving projects,promoting green office and so on, aiming to build a green and low-carbon enterprise.

Comprehensiveenvironmental governance

Green operationenvironment

Response to climatechange

Focus onbiodiversity

GHG emission intensity

Down by

0.51 %

Down by 27 %

18.65 MWH

Exhibition equipment made

of reusable materials100 %

Per capita consumption of office paper

Down by3 %

Water consumption intensity

9.30 tons per person

Direct energyconsumption

Down by

0.54 %

5.54 MWH/person

Comprehensive energyconsumption intensity

2023 Environmental, Social and Governance (ESG) Report

FocusResults in the reporting period

Direct energy consumption: 18.65 MWH, 27% lower than 2022Comprehensive energy consumption intensity: 5.54 MWH/person, 0.54% lower than 2022We regularly conducted statistical analysis of the energy consumptionWe used printing and copying equipment with sleep mode to save electricity; replaced old equipmentwith efficient and energy-saving equipment in timeImprove energymanagement

Water consumption intensity: 9.30 tons per personWe checked and maintained water equipment regularly and reported water leakage in time

Save water resources

We used reusable materials for exhibition equipment, with a utilization rate of 100%, theoverall recycling rate of the exhibition booth was 80% to 90%Use recycled materials

GHG emission intensity: 3.09 tons of carbon dioxide equivalent per person, 0.51% lower than 2022The Company actively promoted renewable energy (such as the use of solar energy) for the MontageCircle Project in Lingang, ShanghaiFor Scope 3, the Company strengthened energy management, improved intelligent operations, andachieved efficient transportation and distribution, thereby reducing GHG emissions

Reduce GHG emissions

Per capita consumption of office paper decreased by 3%We upheld paperless, information-based, intelligent office, conducted waste sorting, and recycled usedbatteriesWe made energy saving and environmental protection videos which were played on a loop in the office areaCultivate the environmentalawareness of all employees

tons of carbon dioxideequivalent per person

3.09

Environment responsibility · Advocate of green operation

Montage Technology strictly abides by the Energy Conservation Law of the People's Republic of China and other laws and regulations, clearly clarifies the responsibili-ties of relevant departments of energy management, attaches importance to energy management during the operation, and continuously improves the existing energymanagement system.The Company’s total energy consumption was 3,901.78 MWH in 2023, an increase of 650.40 MWH from 2022, mainly due to the increase in the number ofemployees and the expansion of office space; the comprehensive energy consumption intensity in 2023 was

5.54 MWH per person, a decrease of 0.54% from 2022.

In 2023, the Company achieved significant results in gas saving. The gas consumption decreased by 27% compared to 2022.

Note: The Company’s per capita water consumption intensityincreased by 9% in 2023 compared to 2022, mainly due to theexpansion of office space in 2023 and the implementation ofthe work from home policy in 2022 which led to lower waterconsumption in the office area. If the data is back tested basedon the unified on-the-spot office hours, the per capita waterconsumption intensity in 2023 decreased by about 14%compared to 2022.

Comprehensive EnvironmentalGovernanceEnergy consumption tracking analysis

Scientific management system

Montage Technology attaches great importance to itscorporate responsibility for environmental protection,and strictly implements laws and regulations such asthe Environmental Protection Law of the People'sRepublic of China, the Water Pollution Prevention andControl Law of the People's Republic of China, andthe Law of the People's Republic of China on thePrevention and Control of Atmospheric Pollution, theLaw of the People's Republic of China on the Preven-tion and Control of Solid Waste Pollution.During the reporting period, there were neitherpollution accidents or ecological environment damageincidents, nor penalties from the environmentalauthorities.

Montage Technology's key performance of energy consumption in 2023

Pollution accidents or ecologicalenvironment damage incidentsPenalties from the environmentalauthorities

Energy use

Gas consumptionUse of purchased electricityComprehensive energy consumptionDirect energy consumptionIndirect energy consumptionComprehensive energy consumption intensity

20232,1043,883.133,901.78

18.65

3,883.13

5.54

Unit

LiterMWHMWHMWHMWHMWH per person

Direct energy consumption in 2023Down by 27%

Comprehensive energyconsumption intensity in 2023

Down by 0.54%

During the reporting periodTotal water consumption

6548.57 tons

Water consumption intensity

9.30 tons per person

2023 Environmental, Social and Governance (ESG) Report

Environment responsibility · Advocate of green operation

Overall planning of the treatment of three wastes

Montage Technology continues to optimize and strengthen the management of emissions. The three types ofwastes mainly come from the Company’s daily office operations. We establish relevant systems according to therequirements of international environmental standards, and clarify the responsibilities and functions of variousdepartments; establish a series of control procedures concerning wastes, environmental health and safety monitor-ing and measurement, and formulate corresponding management documents and process specifications based onthe actual needs of external stakeholders (customers, suppliers, etc.).

Actively promote the use of new energyvehicles to reduce vehicle exhaustemissions; use the exhaust purificationtechnology.It is converted into reusable waterresources through the municipal sewagenetwork system, after being treated bythe water reclamation plant. According tothe monitoring of professional institutions,the wastewater discharged by theCompany meets the Integrated Wastewa-ter Discharge Standard of Shanghai City(DB31/199-2018).Effectively recycle and reuse recyclablewaste. For example, we have dedicatedrecycling bins for waste such as usedbatteries.Hazardous waste is subject to 100%harmless treatment by qualified propertymanagement companies.

28.86 tons

General waste generated

2.27 tons

Recyclable waste generated

Pollution categorySource and type of emissionsManagement measuresMainly from vehicleexhaust and diesel gener-ators

Mainly from various typesof waste generated in theoffice area

Mainly from domestic sewage

Waste gas

Waste water

Solid waste

Montage Technology’s Key Performance

of Waste Discharge in 2023

General waste generatedRecyclable waste generated

Type of waste

2023 Environmental, Social and Governance (ESG) Report

Environment responsibility · Advocate of green operation

Safety anddurability

Convenienceof life

Livableenvironment

Green building

0153

Green building management measuresMontage Technology follows the current national green building standards, and focuses on the five aspects of safety and durability, health and comfort, convenience of life, resource saving and livable environment, aiming to provide itsemployees with healthy, usable and efficient space during the whole life cycle of the building.Green Operation Environment

Select products and pipeswith corrosion resistance,aging resistance and lowconsumption.

Equip the underground garage with carbon monoxideconcentration monitoring devices linked with the exhaustequipment and install damping devices for large equipmentto optimize the acoustic environment of buildings.

Use soil and vegetationadapted to the localclimate, and ensure agreening rate of30%.

Set up a certain proportionof electric vehicle, accessi-ble vehicle and non-motorvehicle parking lots.Set up accessible ramps,accessible toilets, andaccessible elevators.

Use finished water tanks and water-saving appliances.The air conditioner is equipped with a centralized controlsystem and a thermal environment regulation device thatallows on-site independent control.100% use of energy-saving lighting system.

Sub-metering of energy consumption of energy, transmis-sion and distribution, and lighting systems.Solar water heating (Montage Circle in Lingang).

Health and comfort

Resource saving

Safety anddurability

Convenienceof life

Livableenvironment

Use the design that separates vehicles from pedes-trians.

Adopt the modes of roof greening and multi-layergreening, with a greening rate of20%.Sponge city application: Adopt the permeable pave-ment and concave green space design to effectivelycontrol the annual rainwater runoff of up to 75%.Use the reclaimed water system for cleaning outdoorspaces and waterscape.

Set up a certain proportion of electric vehicle, acces-sible vehicle and non-motor vehicle parking lots.Run dedicated shuttle buses between office premisesand public transport stations.ProjectsCompany building atNo. 181, Caobao Road

Montage Circle in Lingang

2023 Environmental, Social and Governance (ESG) Report

Environment responsibility · Advocate of green operation

Montage Technology hasalways adhered to theconcept of "green office andlow-carbon life", advocatedpaperless, informa-tion-based, intelligent office,and actively integrated thespirit of environmentalprotection into its dailybusiness and corporatecultural construction. TheCompany encourages itsemployees to actively partic-ipate in the green officeaction, and save water andenergy to contribute tosustainable development.

Guided by the Guidelines for Green Exhibition Operation (GB/T 42496-2023), we actively participate in the BetterStands Program, advocate the concept of "green exhibition", and promote the recycling of materials to realizegreen and low-carbon exhibition.Green office measures

In 2023, the tools and materials used byMontage Technology at exhibitions wereall recyclable, such as booth back wall,LED screen, booth lamps and so on. Theoverall recycling rate of our booth was ashigh as 80% to 90%. While we presentedour products, we also spread our philoso-phy of environmental protection.

Green officeGreen communication

Formulate the Office Supplies System, post slogans onenergy saving and carbon reduction, and establish theconcept of water saving, electricity saving and materialsaving.Institutionalguarantee

Actively promote paperless office and used paper reprinting,and encourage the use of OA system.During the reporting period, 409,800 sheets of paper wereused in the Company, and the paper consumption per capitawas 580 sheets,down 3% from 2022.Paperlessoffice

The new base provides shuttle buses to bus stations and isequipped with charging facilities for new energy vehicles.

Greentravel

The tea room of the office building is equipped with dry andwet waste bins and recycling bins for waste batteries andpaper supplies to ensure effective sorting and recycling ofwaste.Wastesorting

Environment responsibility · Advocate of green operation

2023 Environmental, Social and Governance (ESG) Report

Case: Montage Technology's green

recyclable booth

Indicators

0155

The Company’s GHGs mainly come from energy consumption during officeoperations. The GHG emissions during the reporting period are as follows:

Note: GHG emissions of various Montage Technology operating locations are calculated inaccordance with the rules applicable to the specific country where the office operates. Forexample, the office of Montage Technology (China) calculated GHG emissions according to theGuidelines for Greenhouse Gas Emissions Accounting Methods and Reporting for Enterprises inOther Industrial Sectors (Trial) issued by the National Development and Reform Commission ofChina, the Research on Carbon Dioxide Emission Factors of China’s Regional Power Grids (2023)issued by the Ministry of Ecology and Environment of China, and the Notice on Doing a Good Jobin 2023-2025 Reporting and Management of Greenhouse Gas Emissions of Power GenerationEnterprises issued by the Ministry of Ecology and Environment of China; and the office of MontageTechnology (the US) calculated GHG emissions according to the Emission Factors forGreenhouse Gas Inventories issued by the US Environmental Protection Agency.

Response to Climate ChangeIn order to address the challenges brought by global climate change to the development of enterprises, and actively respond to the majorstrategic decision and deployment of the country on carbon peaking and carbon neutrality, the Company took actions to mitigate and adapt toclimate change and continuously reduced carbon dioxide emissions from the source during the reporting period, to promote its comprehensivegreen transformation.

Risk type

CountermeasuresCountermeasures

In case of extreme weather such astyphoon and blizzard, the enterpriseshould develop a work from homeplan for employees to make employ-ees' commute safe in such weather.Install power generation equipmentand conduct regular inspections toensure the normal operation of majorservers at critical times.Strengthen the security of datarooms and store important data in ascattered way.Back up the key data stored in theserver, and set up backup locationsin the inland area with stable climate.

As for brand reputation, the Compa-ny’s good performance inzero-carbon transformation andlow-energy product research anddevelopment may enhance its brandimage.Carbon reduction technology isbecoming more mature andmarket-oriented. We should increaseour investment in scientific research,develop a complete set of low-carbonprocess technology, improve the levelof clean technology, promote thegreen and low-carbon transformationof the semiconductor design industry,and reduce operating costs.China strongly supports the develop-ment of the low-carbon industry andpromotes the continuous decline inthe average emission factor of thepower grid, which may contribute tothe realization of "passive" reductionof enterprise electricity consumption.

2023

4.75 tons of carbon dioxide equivalent

GHG emissions (Scope 1)

Down by 27%GHG emissions (Scope 1)Down by 0.51%GHG emission intensity

2,173.44 tons of carbon dioxide equivalentGHG emissions (Scope 2)

3.09 tons of carbon dioxide equivalent per person

GHG emission intensity2,178.19 tons of carbon dioxide equivalentTotal GHG emissions

2023 Environmental, Social and Governance (ESG) Report

Physical risks and opportunities

Transformation risks and opportunities

Environment responsibility · Advocate of green operation

Key measures

Energy saving andcarbon reductionmonitoring andstatisticsGHGemissionreduction

0156

Montage Technology is committed to reducing the environmentalimpact of its operations and attaches great importance to energysaving and carbon reduction. To this end, the Company activelypromotes the implementation of energy saving and carbonreduction monitoring, measurement, statistics and other relatedwork, trying to build an environmentally friendly company.

Case 1We use an intelligent air conditioningsystem in the office for cloud controland air conditioning use planning, toreduce resource waste and achieveenergy saving and environmentalprotection.

Case 2

By using used paper, we can reducethe demand for natural resources,lower energy and water consumption,and reduce air pollution and GHGemissions.

2023 Environmental, Social and Governance (ESG) Report

Actively promote renewable energies (such as the use of solarenergy resources) in the Montage Circle Project in Lingang,Shanghai to reduce the consumption of fossil energy.Promote energy saving and consumption reduction at the productside, encourage low-carbon travel, achieve efficient transportationand distribution, and reduce GHG emissions in Scope 3.A number of optimization measures have been taken for highenergy-consumption equipment such as air conditioning andlighting in office areas to reduce indirect energy consumption andelectricity costs.Strengthen environmental protection publicity, improve staffawareness of environmental protection through trainings, andcreate an atmosphere of energy saving and carbon reduction.

Key measuresImprove the institutional systemEstablish and improve the institutional system of energy monitoringand measurement, clarify the responsibilities and tasks of variousdepartments and regions, and ensure the legality and standardizationof monitoring and measurement.Improve the monitoring and measurement levelsEstablish and improve the energy consumption monitoring system,monitor all kinds of energy consumption equipment of the Companyin real time, and optimize and upgrade old equipment in time.

Establish and improve the data management system

Strengthen the collection, collation and analysis of environmental andenergy-related data, establish a sound data management system,and ensure the authenticity, integrity and timeliness of data.Discover the potential of energy saving and carbon reductionRegularly carry out statistical analysis of the Company’s energyconsumption, identify the areas of weaknesses in energy consump-tion, and provide improvement directions for guiding all departmentsto consciously carry out energy-saving transformation, andenergy-saving and carbon reduction.

Environment responsibility · Advocate of green operation

Focusing on BiodiversityOn May 22, 2023 marks the 23rd International Day for Biological Diversity. In order to improve the level of biodiversitygovernance, accelerate the modernization of harmonious coexistence between man and nature, and furtherpromote the implementation of the Convention on Biological Diversity (CBD), the Company gradually fosters theconcept of biodiversity protection and focuses on work in the area of biodiversity protection.In order to promote the biodiversity protection in the areas where the Company operates, the Company will assess theimpact on biodiversity when planning and siting new projects to minimize the possible anthropogenic impact on anddestruction of biological habitats. Our staff also actively participate in a series of activities organized by relevantdepartments, such as "the 9th Shanghai International Nature Conservation Festival", "World Wildlife Day" and "International Day for Biological Diversity", to improve their awareness and ability to protect wildlife.

0157

2023 Environmental, Social and Governance (ESG) Report

Environment responsibility · Advocate of green operation

05 Employee ResponsibilityPeople-oriented Employer

Montage Technology knows that employees are the inexhaustible driving force to promote the sustainable development of enterprises, and talent growth is thedriving force for business development. The Company adheres to the "people-oriented" management philosophy and attaches great importance to the protection ofemployees’ rights and benefits; meanwhile, the Company actively sets a clear and flexible growth path, establishes an organizational system to promote talentgrowth, helps employees maximize their personal value, and is committed to achieving common growth of the Company and its employees.

Employee attraction and incentivesEmployee retention and developmentEmployee care and protection

0159

Employeetraining coveragerate100%

Patent awards71employees

Comprehensivecoverage of equityincentives＞95%

Employeerecognition awards55employees

Outstandingstaff awards12employees

Coverage of performance evaluationand career development assessment

100%

Training hours

16459hours

Safety productiontraining

＞800employees

Coverage

100%

FocusResults in the reporting period

Labor contract signing rate and thecoverage of the social insurance andthe housing provident fund100%

2023 Environmental, Social and Governance (ESG) Report

71 employees received patent awardsThe Company adopted a new equity incentive plan, implemented an employee stock ownership plan, andcompleted the vesting for the incentive recipients six times. The comprehensive coverage of equity incentiveswas more than 95%All employees received performance evaluation and career development assessmentA total of 55 employees obtained the 5th, 10th, 15th and 20th anniversary employee recognition awards12 employees obtained outstanding staff awardsMotivate employees

The Company held 86 training sessions for employees, with 3,476 persons receiving various training,totaling 16,459 hours, 23.38 hours per person averagely. The training coverage rate was 100%Improve the vocationaltraining of employees

Adhere to lawful employmentand protect the legitimaterights and interests ofemployees

The labor contract signing rate and payment rate of the social insurance and the housing provident fund wereboth 100%The coverage rate of supplementary commercial insurance paid by the Company for its employees and theirchildren was 100%

Focus on occupationalhealth and safety

In the Montage Circle Project in Lingang, Shanghai, we provided more than 24,000 hours of safety productiontraining for project construction personnel, and more than 800 people received the training, with a coverage rateof 100%; we also conducted potential safety risks identification and rectification twice a week

Employee responsibility · People-oriented employer

Diversity and equal opportunities

Employee Attraction and Incentive

Montage Technology insists on building a high-level, high-potential and energetic staff team tocontinuously improve its core competitiveness. In terms of talent introduction, the Companyevaluates candidates comprehensively from the aspects of character, ability, experience andjob qualification requirements, so as to select high-quality talents and promote theCompany’s steady development; In terms of compensation and benefits, the Companyprovides higher returns for those who work hard or make great contributions to the Companythrough compensation, benefits and incentive mechanisms.Montage Technology strictly abides by the Labor Law of the People’s Republic of China, theLabor Contract Law of the People’s Republic of China and other relevant laws andregulations, as well as the policies and regulations of the place where the Company operates,and formulates and continuously improves the human resource management rules and regula-tions such as the Employee Manual and Recruitment System.We adhere to the principles of openness, equality, competition and choosing the best. Accord-ing to job requirements, we attract and cultivate outstanding talents from all over the worldthrough multiple channels such as social recruitment (overseas recruitment channels linkedin,Zoho Recruit and employee recommendation, etc.), campus recruitment, university-enterprisejoint training, etc. At the same time, we strictly prohibit any employment and use of child laborand forced labor. All employees sign labor contracts with the Company on a voluntary basis.Employees are treated equally in the recruitment, training, promotion and salary systems,regardless of their country, nationality, age, gender and religious belief.

按受教育程度分类

The statistics of employees according to gender, age, nationality, position and education level are as follows:

As of the end of the reporting period, the Company had a total of 767 employees.

28.9%

71.1%

Male employeesFemale employees

59.8%

7.6%

32.6%

30 and below31-50

51 and above

76.6%

14.7%

8.7%

55.1%

39.4%

0.7%

R&D techniciansManagement personnelMarketing and sales personnel

PhDMaster’s degreeBachelor’s degree

Junior college degreeHigh school degree and below

2.7%

2.1%

0160During the reporting period, there were no human rights violations such aschild labor, discrimination, harassment or forced labor.

2023 Environmental, Social and Governance (ESG) Report

Total number ofemployeesClassification by gender

Classification by positionClassification by education level

Classification by age

8.3%

91.7%

Chinese employees (including Hong Kong, Macao and Taiwan)Foreign employees

Classification by nationality

Employee responsibility · People-oriented employer

Compensation systemMontage Technology has established an operating mechanismintegrating duties, rights, responsibilities and benefits and asalary system that is "fair internally and competitive externally".The Company implements a compensation system where wagesare set based on positions and levels. Namely, the Companydetermines the basic annual wage of employees according totheir positions, abilities, performance and other factors. Employ-ees are paid no less than the minimum wage standard set by thelocal government.In addition, in order to stimulate the enthusiasm of employees,the Company has established and improved a compensationplan that combines basic compensation and variable compensa-tion, and adjusted the variable compensation of employeesaccording to their performance evaluation results and workresults, together with their actual work performance.Benefits systemIn order to convey its corporate culture and values, and reflect itshumanistic care for employees, Montage Technology providesemployees with legal benefits in accordance with local laws andregulations. Besides, it also provides employees with diversifiedbenefits such as health security benefits, life support benefits,incentive benefits, holiday benefits and cultural constructionbenefits.

The Company implements two systems of working hours foremployees based on its business needs and the nature of jobs:

system of standard working hours and system of flexible workinghours. The labor contract signed between the Company andemployees or the employee handbook specifies the specificsystem of working hours suitable for the employee’s position.

Compensation and benefits system

0161

2023 Environmental, Social and Governance (ESG) Report

System of flexible working hours

In addition to statutory holidays, paid annual leave, personalleave, paid sick leave, marriage leave, maternity leave, paternityleave, breastfeeding leave, funeral leave, etc., the Company alsoprovides employees with additional paid leaves as a supplement,aiming to provide effective support for employees to strike abalance between work and life.

Holiday benefits

In addition to social insurance and housing provident fund, theCompany also pays supplementary commercial insurance for itsemployees and their children, including critical illness insurance,accident insurance and medical insurance, etc., to comprehen-sively protect the well-being of employees’ families and solve theirworries.

Supplementary commercial insurance

Female employees: The Company has set up a nursing room, established a corresponding maternity leave system, and flexibly adjust thelength of breastfeeding leave according to individual employees’ actual needs.Foreign employees: The Company takes into account the various difficulties of foreign employees in language, work and life, and hastaken a series of actions to care for them, including but not limited to providing more suitable commercial insurance for foreign employeesto meet their language needs; providing them with convenient and comfortable short-term apartments; preparing the Guidebook for LegalSeal Application Process to help foreign employees improve the process efficiency.

Special care

The Company holds celebrations on major holidays and festivalsand provides holiday allowances and benefits to employees.

Festival benefits

Employee responsibility · People-oriented employer

Reward mechanism

Montage Technology has set up a varietyof incentive mechanisms on the basis ofthe basic salary and performance bonus topromote the common growth and develop-ment of the Company and employees.

Recognizing employees' innova-tive contributions, MontageTechnology directly links innova-tion to income, enablingemployees involved in innova-tion to share the benefits oftechnological advancementsfairly and reasonably.

The Company promotes the corporate culture offull-employee stock ownership, in order tofurther improve its long-term incentive mecha-nism, attract and retain outstanding talents, fullymobilize the enthusiasm of its employees, andeffectively combine the interests of sharehold-ers, the Company and employees.

The Company recognizesthe loyalty and long-termcontribution of employeesaccording to their length ofservice to enhance theirrecognition of the companyand sense of honor.

55employeesobtained the 5th, 10th, 15thand 20th anniversaryemployee recognitionawards

The Company commendsthe grass-roots employeeswho have made outstand-ing contributions to theCompany in the year.

12employeesobtained outstandingstaff awards71employeesReceived patent awards

＞95%

Comprehensive coverage of equityincentives

The Company newly implemented anequity incentive plan, and 187 employeesreceived the incentives; the Companynewly launched an employee stockownership plan, and 45 employees partic-ipated in it; stock options were exercisedsix times under the incentive plan, and atotal of 558 employees were involved.

Intellectualpropertyincentives

0162

2023 Environmental, Social and Governance (ESG) Report

Equity incentiveand stockownership plan

The 5th, 10th,15th and 20thanniversaryemployeerecognitionawards

Outstandingstaff awards

Employee responsibility · People-oriented employer

0163

Opening up the growth channelThe Company has set comprehensive promotion and assessment factors, established anemployee promotion mechanism with fair competition, and provided a long-term career devel-opment path for its employees, to give better play to their potential. During the reportingperiod, based on job requirements and the actual situation of employees, the Companyoptimized the multi-matrix promotion channel in real time, improved the promotion path andprocess, strengthened the management of employee promotion and internal transfer, andprovided employees with sufficient growth space and development opportunities.

Focusing on talent trainingCentering on our strategic development goals and business needs, we continue to improvethe vocational training mechanism for employees, and actively and efficiently carry outvarious talent training programs. We also create personalized training programs according toemployees’ career stages and abilities and quality required for different job. During the report-ing period, the Company held 86 face-to-face training sessions, with 3,476 persons receivingvarious training, totaling 16,459 hours. The training coverage was 100%.

Employee Retentionand Development

Montage Technology deeply understands the importance of talents for its sustainable devel-opment,always adheres to the strategy of developing the enterprise with talents, strives tocreate an environment where talents are respected and their development is benefited, toprovide employees with diversified development platforms. Meanwhile, the Company attach-esgreat importance to the study and growth of employees, continues to improve theconstruction of staff training system, and supports its employees to strengthen their reserve ofprofessional knowledge, so as to enhance their professional competence and promote theircareer growth.

Type of trainingObjects of trainingMain contentResults

Systematic training forall staff

Occupationalbasictraining

Professionalskillstraining

GeneralskillstrainingMontageYouthProgram(Internal routinetraining)MontageFreshmenProgramMontageStar ProgramMontageChip ProgramSales skillstraining

MiddlemanagementSalespersonnel

4 actual work cases, atraining on ProfessionalSales Skills Review andCase Study

A training on Administra-tive Role Cognition,attended by a total of 30heads of departments

6 months, 51 partici-pants in total5 sessions, 91 partici-pants in total

557 participants in total

6 general skills trainingsessions, with 218 partic-ipants in totalAll employees

Newemployees2023 freshgraduates

Face-to-facetraining sessions

3476 traineesVarious training

16459Training hours

100%Staff trainingcoverage

2023 Environmental, Social and Governance (ESG) Report

Problem analysis and solutionEfficient communicationClock Domain Crossing, Basic Setting andApplication Sharing of Oscilloscope,Patent Mining and Technical Disclosure,Information Security Officer Training,Administrative and Fire Safety TrainingFace-to-face learning:

product knowledge and categoriesOnline learning: Online courses relatedto administration, finance, etc.One-week intensive training: project goalsetting, skills and general competencytraining, book club and regular communica-tion coachingHelp define the responsibilities of managersand leaders, improve the effectiveness ofmanagement, enhance leadership, clarifymanagement methods and key points ofcommunication with subordinatesDiscuss topics centering on actual salesscenarios, analyze the actual problems,and provide solutions

Employee responsibility · People-oriented employer

0164

Employee activities

The Company is committed to creating a positive, harmonious and warm working environment, providingemployees with a rich variety of cultural experience and recreational activities.Montage Annual Conference

Family Day

Spring Outing & Team Building

Birthday Party

Club Activity

2023 Environmental, Social and Governance (ESG) ReportEmployee Care andProtection

Montage Technology has established a sound employee care system. It encourages its employees todevelop interests and strengthen their physical fitness, actively organizes various staff activities, andresponds to employees’ needs in time to improve their sense of belonging and identity to the Companywith practical actions.

Employee responsibility · People-oriented employer

2023 Lingang R&D Center Project

Safety cultureAll new employees are required to complete occupationalhealth and safety training. Those who have not finished thetraining are not allowed to start work.The Company regularly carries out occupational health andsafety training for key safety factors, including fire knowledgeand skills training, to strengthen the safety awareness ofemployees.The Company regularly organizes fire drills to improve employ-ees’ ability to respond to emergencies.

Daily supervision

The Company provides physical check-ups to all employeesevery year.The Company has a first aid kit which contains commonly useddrugs.The Company improves the health care of employees andpurchases additional commercial insurance for employees.

Work-related accidents: 0Number of deaths caused by work-related accidents: 0Working hours lost due to work-related accidents: 0Inputs: The costs of safe and civilized construction measures are about6 million yuan.Training: The company has conducted more than 24,000 hours ofsafety training, with more than 800 trainees, and a coverage rate of100%.Investigation: The Company conducts safety hazard investigation andrectification twice a week.

Occupational healthMontage Technology attaches great importance to the occupa-tional health and safety of its employees, strictly abides by theLaw of the People’s Republic of China on Prevention andControl of Occupational Diseases, the Guidelines for Occupa-tional Health and Safety Management System and otherrelevant laws and regulations, and establishes an occupationalhealth and safety management system to ensure the healthand safety of its employees. The Company pays attention to itsemployees’ safety awareness and conducts safety educationand fire drills on a regular basis.

Case 1: Fire safety training

In September 2023, the Compa-ny invited professional firefight-ers from Hongmei Fire Station toconduct fire safety training for 44department representatives anddemonstrate how to use fireextinguishers.

Case 2: Evacuation drillIn November 2023, the Companyorganized all employees to partici-pate in the office building safetyevacuation drill. All personnel in thebuilding were evacuated to the desig-nated area according to the instruc-tions of the building broadcast. Theparticipation rate reached 100%.

Number of work-relatedaccidentsAbout6million yuanInputs in the costs of safe and civilized constructionmeasures＞24000

Hours of safety training

Working hours lost due to work-related accidents

Number of trainees＞

0165

2023 Environmental, Social and Governance (ESG) Report

Employee responsibility · People-oriented employer

Coverage 100%

Democratic management

By holding staff congresses regularly, we conduct two-way communications with the majority of employees,encourage employees to put forward reasonable suggestions for the development of the Company, and protectemployees’ right to know, participate, vote and supervise. Also, the Company has established a variety of report-ing and complaint channels to protect the legitimate rights and interests of employees. The Company clearlytakes a zero-tolerance attitude towards any form of discrimination and harassment.

Montage Technology pays great attention toemployees’ opinions and suggestions oncorporate development, attaches great impor-tance to employee satisfaction survey, andpromotes the improvement of internal manage-ment. The communication and investigationresults show that employees’ working environ-ment, sense of accomplishment, corporateculture and so on have been significantlyimproved.

The Company regularly (twice a year) collects opinionsfrom all employees, always pays attention to employees’suggestions and demands for the development of theenterprise and their own; At the same time, it alsoconducts probation interviews with new employees todiscuss and record the challenges they face at work, thesupport they need and their suggestions, so as to furtherimprove employee satisfaction.

Held a staff congress to collect theopinions of staff representatives onthe employee stock ownership plan tobe implemented by the Company in2023.

The Company communicates with thesub-district and learns the policiesrelated to democratic management.

Employees can make a complaint or report via thecomplaint email. The Company strictly protects theprivacy of whistle blowers and prevents any formof retaliation.

Continued to optimize the performance feedback and improve-ment mechanism. The Company implements a two-waycommunication mechanism. Namely, employees can learnabout their performance matters from the HR Department, andsupervisors and the HR Department can also communicate withthe assessed employees on performance in time.

Complaintprocedures

The Companyencourages employeesto lodge complaints tothe Company in a reason-able manner throughmultiple channels, includingbut not limited to submittingappeals to the Company viatelephone and email, explain-ing the unfair treatment theyreceived and expectedresults, and providing relevantsupporting materials, as wellas the name and contactinformation of the witness.

The HR depart-ment should dealwith the complainttogether with thesuperior of the employ-ee filing the complaintin a timely manner,inform the employee ofthe results, and keepthe document formanagement.

Reporting [e-mail]

Focusing on employee satisfaction

0166

Reporting hotline

021-54679037Held a staff meeting to answerand explain the questions andsuggestions of employees in acentralized way.

The Company encourages employees tocommunicate directly with their superiors viaemail, and relevant personnel respondpositively and give feedback in time.010305

020406

Democratic management measures

2023 Environmental, Social and Governance (ESG) Report

Employee responsibility · People-oriented employer

06 Community Responsibility

Creator of Social Value

Montage Technology continues to pay attention to social welfare, actively fulfills its own social responsibilities, and gives back to society based on its devel-opment achievements.

Participation in social welfare activitiesDeepening university-enterprise cooperation

0168

FocusResults in the reporting period

Total time spent on voluntary activities

304 hours

Amount of cash donation

1.14 million yuan

Number of employeesparticipating in voluntary activities

Donated to Fengshan Primary School

More than 700 books

University-enterprise joint training

3 doctors6 masters

The total time spent on voluntary activities reached 304 hours106 employees participated in voluntary activitiesThe cash donation amounted to 1.14 million yuanOrganize and carry outvoluntary public welfareactivities

The "Montage Comprehensive Building" donated by the Company in Fengshan Primary School, Baoxiu Town,Shiping County, Yunnan Province was put into useThe Company organized employees to actively donate more than 700 books and 60 kilograms of clothing to Feng-shan Primary SchoolThe Company conducted science popularization about chips to the students of Fengshan Primary SchoolSupport the developmentof education

The Company donated umbrellas, masks and other supplies to Hongmei Sub-district,Xuhui, Shanghai to support the elderly and the disabled

Care for the elderlyand the disabled

The Company and Shanghai Jiao Tong University established the "Joint Laboratory for Frontier Technology of ICDesign", co-published 6 papers, and jointly trained 3 doctors and 6 masters

Carry outindustry-university-researchinstitute cooperation

2023 Environmental, Social and Governance (ESG) Report

Community responsibility · Creator of social value

Voluntary blood donationMontage Technology has long been and willalways be committed to public welfaresupport. Montage Technology takes theinitiative to fulfill its corporate social respon-sibility, actively participates in public welfareundertakings, and transmits positive socialenergy. We continue to invest in the healthcare and education development of youngpeople to give back to the community withconcrete actions; at the same time, weadvocate employees to participate in publicwelfare activities, and vigorously developdiversified public welfare and charity activi-ties to pass on love and kindness:

Voluntary activities

Number of employeesparticipating in voluntary activities

304hours

Total time spenton voluntary activities

1.14hours

Amount of cash donation

In 2022, the Company inaugurated the "MontageCultural and Educational Special Fund" under theauspices of the Shanghai Charity Foundation. Thisfund is exclusively earmarked for the construction ofthe comprehensive building at Fengshan Elementa-ry School, located in Baoxiu Town, Shiping Countyin the Honghe Prefecture of Yunnan Province. InJanuary 2023, the construction of the comprehen-sive building started, covering a construction area of

567.5 square meters. The comprehensive building

includes Heguang Classroom and Zhou RonghuaLibrary, which were officially put into use in Septem-ber. The company also organized employees toactively donate books to the primary school.

During the reporting period, MontageTechnology (Kunshan) organized avoluntary blood donation activity.This activity received a positiveresponse from employees, and lotsof employees took the initiative toparticipate in the blood donationactivity.

Montage Comprehensive Building, Fengshan Primary School was put into use

综合楼启用仪式

澜起员工为凤山小学捐书

0169

Participation in Social Welfare Activities

传递爱心,投身公益,澜起一直在行动!

借一臂之力、传递爱“芯”澜起电子科技(昆山)有限公司无偿献血活动

2023 Environmental, Social and Governance (ESG) Report

Community responsibility · Creator of social value

Led by scientific and technological innovation, we constantlystrengthen systematic thinking, actively promote top-leveldesign, and consolidate the innovation in university-enterprisecooperation. Since 2021, the "Joint Laboratory for FrontierTechnology of IC Design" established by the Company andShanghai Jiao Tong University has served as an importantplatform for cooperation between the two sides, and promotedthe comprehensive development of IC and AI fields, driven bythe demand, and starting from the source of scientific researchand talent training.In 2023, the Company continued to provide financial support forthe project, advanced the university-enterprise cooperation injoint talent training and scientific research, implemented the"Pilot Reform in Nurturing Masters and Doctors of Engineering"jointly, co-published 6 papers, and jointly trained 3 doctors and 6masters.

Co-published papers

Doctors

Masters

0170

Joint contribution and sharedbenefits of the Joint Laboratory for

Deepening University-Enterprise Cooperation

Frontier Technology of IC Design

2023 Environmental, Social and Governance (ESG) Report

Community responsibility · Creator of social value

Appendix 1: Key Performance Indicators (compared with 2022)

2023 Environmental Key Performance Indicators

Key Performance IndicatorsGasoline consumptionPurchased electricity usageComprehensive energy consumption

Direct energy consumptionIndirect energy consumptionComprehensive energy consumption intensity

Total GHG emissionsScope 1Scope 2GHG emissions intensityTotal water consumptionWater consumption intensityGeneral solid waste generation

Office paper consumption

2022

2,8883,225.783,251.38

25.60

3,225.78

5.57

1,815.18

6.52

1,808.66

3.11

4,973.41

8.52

25.71

35.07

20232,1043883.133,901.78

18.65

3883.13

5.54

2,178.19

4.75

2,173.44

3.09

6,548.57

9.30

28.86

40.98

UnitLiterMWhMWhMWhMWhMWh/PersonTons of CO

eTons of CO

eTons of CO

eTons of CO

e/PersonTonsTons/PersonWasteTonsTen thousand sheetsNote:

1: The main direct energy source involved in the Company is gasoline, and the main indirect energy source is purchased electricity.2: Comprehensive energy consumption is calculated according to the conversion factor in the national standard General Rules for Calculation of the Comprehensive Energy Consumption (GB/T2589-2020).3: GHG emissions of various Montage Technology operating locations are calculated in accordance with the rules applicable to the specific country where the office operates. For example, the office of Montage Technology (China) calculated GHG emissions according to the Guidelines forGreenhouse Gas Emissions Accounting Methods and Reporting for Enterprises in Other Industrial Sectors (Trial) issued by the National Development and Reform Commission of China, and the Research on Carbon Dioxide Emission Factors of China's Regional Power Grids (2023) issuedby the Ministry of Ecology and Environment of China; and the office of Montage Technology (the US) calculated GHG emissions according to the Emission Factors for Greenhouse Gas Inventories issued by the US Environmental Protection Agency.

Energy Use

GHG Emissions

Water Resources

Waste

2023 Environmental, Social and Governance (ESG) Report

Appendix 1: Key Performance Indicators (compared with 2022)

2023 Social Key Performance Indicators

IndicatorsSigning rate of labor contractsCommercial insurance coverage

Total number of employees

Full-time employeesPart-time employeesMaleFemale30 years old and below

31 to 50 years old51 years old and aboveR&D

MarketingManagement

PhDMaster's degree

IndicatorsBachelor's degreeJunior college degreeHigh school degree and belowNumber of work-related incidentsNumber of deaths caused by work-related accidents

Working hours lost due to work-related accidents

Absence rateProportion of trained employeesAverage training hoursAverage training hours for male employeesAverage training hours for female employees

Patent awardsComprehensive coverage of equity incentivesPercentage of employees receiving regular performance and career development assessment

Supplier responsible mineral sourcing survey coverage

2022

70.83

29.17

29.64

41.12

6.24

2023

71.06

28.94

32.59

59.84

7.57

Unit

%%PersonPersonPerson%%%%%%%%%%

2022

22.75

24.96

10.45

2023

23.38

23.09

24.09

Unit%%%PersonHour%%HourHourHourPerson%%%

Employment

Employee RatioFull-time and Part-time Employees

By AgeBy FunctionBy Education Level

By Gender

Health and Safety

Employee Training

Compensation IncentivesPerformance Evaluation and Career Development Assessment

Suppliers

2023 Environmental, Social and Governance (ESG) Report

Appendix 1: Key Performance Indicators (compared with 2022)

Case

Appendix 2: Index

2023 Environmental, Social and Governance (ESG) Report

Appendix 2: IndexGRIStandard

DisclosureGRI2: General Disclosures 2021The organization and its reporting practices

Activities and workers

Governance

Strategy, policies and practices

Stakeholder engagementGRI3: Material Topics 2021

Chapter Index2-12-22-32-4

Organizational detailsEntities included in the organization's sustainability reportingReporting period, frequency and contact pointRestatements of information

About Montage Technology – Company Profile

About This Report

About This Report

Including information re-statement2-62-72-92-102-112-122-132-142-162-192-20

Governance structure and compositionNomination and selection of the highest governance bodyChair of the highest governance bodyDelegation of responsibility for managing impactsRole of the highest governance body in sustainability reportingCommunication of critical concernsRemuneration policiesProcess to determine remuneration

ESG for Chips — Four pillars of ESG management

ESG for Chips — Four pillars of ESG management

ESG for Chips — Four pillars of ESG management

ESG for Chips — Four pillars of ESG management

ESG for Chips — Four pillars of ESG management

Activities, value chain and other business relationshipsEmployees

About Montage Technology – Major products

2-222-23

2-242-252-262-27Compliance with laws and regulations2-28Membership associations2-292-303-13-23-3

Processes to remediate negative impacts

Approach to stakeholder engagementESG for Chips - Four pillars of ESG managementCollective bargaining agreementsProcess to determine material topicsList of material topics

ESG for Chips — Identification of material issuesESG for Chips —- Identification of material issuesManagement of material topics

Statement on sustainable development strategyPolicy commitments

Embedding policy commitments

ESG for Chips — Four pillars of ESG management

Employee responsibility · People-oriented

employer — Employee attraction and incentives

Appendix 1: Key Performance Indicators

ESG for Chips – Stakeholder communication

Governance responsibility · Practitioner of

sustainable management — Investors first

Employee responsibility · People-oriented

employer — Employee attraction and incentives

Governance responsibility · Practitioner of sustainablemanagement — Comprehensive risk controlPartner responsibility · Practitioner of common growth with theindustry — Responsible sourcingEmployee responsibility · People-oriented employer — Employeeattraction and incentivesProduct responsibility · Pioneer of exploration and innovation —Product quality firstGovernance responsibility · Practitioner of sustainablemanagement — Comprehensive risk control

Mechanisms for seeking advice and raisingconcerns

Partner responsibility · Practitioner of common growth with theindustry — Responsible sourcingEmployee responsibility · People-oriented employer — Employeeattraction and incentivesProduct responsibility · Pioneer of exploration and innovation —Product quality firstProduct responsibility · Pioneer of exploration and innovation —Product quality firstGovernance responsibility · Practitioner of sustainablemanagement — Comprehensive risk controlGovernance responsibility · Practitioner of sustainablemanagement — Comprehensive risk controlPartner responsibility · Practitioner of common growth with theindustry — Working with industry partnersEmployee responsibility · People-oriented employer — Employeeattraction and incentives

Employee responsibility · People-oriented

employer — Employee attraction and incentives

Role of the highest governance body in overseeing themanagement of impacts

ESG for Chips — Four pillars of ESG management

ESG for Chips — Identification of material issuesESG for Chips — Four pillars of ESG managementESG for Chips — Stakeholder communication

305-2305-4305-5

304-2303-5303-2302-3302-1301-2205-3205-2

Energy indirect (Scope 2) GHG emissionsGHG emissions intensityReduction of GHG emissions

Significant impacts of activities, products, and serviceson biodiversityWater consumptionManagement of water discharge-related impactsEnergy intensityAppendix 1: Key Performance Indicators

Appendix 1: Key Performance Indicators

Appendix 1: Key Performance IndicatorsAppendix 1: Key Performance IndicatorsAppendix 1: Key Performance Indicators

Energy consumption within the organizationRecyclable materials usedConfirmed incidents of corruption and actions takenCommunication and training about anti-corruptionpolicies and procedures

3-3

201-1201-2201-3203-2

Direct economic value generated and distributedFinancial implications and other risks and opportunitiesdue to climate changeDefined benefit plan obligations and other retirement plansSignificant indirect economic impactsCommunity responsibility · Creator of social value

2023 Environmental, Social and Governance (ESG) Report

Appendix 2: Index

Management of material topics

Governance responsibility · Practitioner of sustainablemanagement — Comprehensive risk control

Governance responsibility · Practitioner of sustainablemanagement — Comprehensive risk controlGovernance responsibility · Practitioner of sustainablemanagement — Comprehensive risk control

Environment responsibility · Advocate of green operation —Comprehensive environmental governanceEnvironment responsibility · Advocate of green operation —Comprehensive environmental governanceEnvironment responsibility · Advocate of green operation —Comprehensive environmental governanceEnvironment responsibility · Advocate of green operation —Focusing on biodiversityEnvironment responsibility · Advocate of green operation —Response to climate changeEnvironment responsibility · Advocate of green operation —Response to climate changeEnvironment responsibility · Advocate of green operation —Response to climate change

Environment responsibility · Advocate of green operation —Green operation environmentAppendix 1: Key Performance Indicators

Employee responsibility · People-oriented employer —Employee retention and developmentEmployee responsibility · People-oriented employer —Employee care and protectionCommunity responsibility · Creator of social valuePartner responsibility · Practitioner of common growthwith the industry — Responsible sourcingPartner responsibility · Practitioner of common growthwith the industry — Working with industry partnersEnvironment responsibility · Advocate of greenoperation — Comprehensive environmental governanceEnvironment responsibility · Advocate of greenoperation — Focusing on biodiversityEnvironment responsibility · Advocate of greenoperation — Green operation environmentEnvironment responsibility · Advocate of greenoperation — Response to climate changeProduct responsibility · Pioneer of exploration andinnovation — Product quality firstProduct responsibility · Pioneer of exploration andinnovation — R&D and innovationProduct responsibility · Pioneer of exploration andinnovation — Strict adherence to information securityGovernance responsibility · Practitioner of sustainablemanagement — Comprehensive risk controlGovernance responsibility · Practitioner of sustainablemanagement — Investors firstGovernance responsibility · Practitioner of sustainablemanagement — Legal compliance disclosureEmployee responsibility · People-oriented employer —Employee attraction and incentivesEnvironment responsibility · Advocate of greenoperation — Response to climate changeEmployee responsibility · People-oriented employer —Employee attraction and incentivesGRI203: Indirect Economic Impacts 2016

GRI205: Anti-corruption 2016EnvironmentalGRI301: Materials 2016GRI302: Energy 2016

GRI303: Water Resources and Effluents 2018

GRI304: Biodiversity 2016GRI305: Emissions 2016GRI201 Economic Performance 2016Economic

306-3308-1

306-2

Waste generated

Appendix 1: Key Performance Indicators

Appendix 1: Key Performance Indicators

Management of significant waste related impacts

404-1404-2404-3405-1405-2406-1408-1401-1401-2

New suppliers that were screened using environmental criteria

New employee hiring rate and employee turnover rateBenefits provided to full-time employees that are not provided to temporary or part-time employees

409-1413-2414-1416-1417-1

Average hours of training per year per employeePrograms for upgrading employee skills and transitionassistance programsPercentage of employees receiving regular performanceand career development assessmentDiversity of governance bodies and employeesRatio of basic salary and remuneration of women to menIncidents of discrimination and corrective actions takenOperations and suppliers at significant risk for incidents of child laborOperations and suppliers at significant risk for incidentsof forced or compulsory laborOperations with significant actual and potential negativeimpacts on local communitiesNew suppliers that were screened using social criteriaAssessment of the health and safety impacts of product and service categoriesRequirements for product and service information and labeling

2023 Environmental, Social and Governance (ESG) Report

Appendix 2: IndexEnvironment responsibility · Advocate of green operation —Comprehensive environmental governance

Employee responsibility · People-orientedemployer — Employee retention and developmentAppendix 1: Key Performance IndicatorsEmployee responsibility · People-orientedemployer — Employee retention and developmentEmployee responsibility · People-orientedemployer — Employee attraction and incentivesEmployee responsibility · People-orientedemployer — Employee attraction and incentivesEmployee responsibility · People-orientedemployer — Employee care and protectionEmployee responsibility · People-orientedemployer — Employee attraction and incentivesEmployee responsibility · People-orientedemployer — Employee attraction and incentives

Partner responsibility · Practitioner of commongrowth with the industry — Responsible sourcingProduct responsibility · Pioneer of exploration andinnovation — Product quality firstProduct responsibility · Pioneer of exploration andinnovation — Product quality first

Appendix 1: Key Performance Indicators

Community responsibility · Creator of social value

Environment responsibility · Advocate of green operation —Comprehensive environmental governance

Environment responsibility · Advocate of green operation —Comprehensive environmental governanceEnvironment responsibility · Advocate of green operation —Comprehensive environmental governance403-1Occupational health and safety management system

Employee responsibility · People-oriented employer —Employee care and protection403-3Occupational health services

Employee responsibility · People-oriented employer —Employee care and protection403-5Employee training on occupational health and safety

Employee responsibility · People-oriented employer —Employee care and protection403-6Promotion of occupational healthEmployee responsibility · People-oriented employer —Employee care and protection403-7

Prevention and mitigation of impacts on occupationalhealth and safety directly linked by business relationships

Employee responsibility · People-oriented employer —Employee care and protection403-9Work-related injuries

Employee responsibility · People-oriented employer —Employee care and protection403-10Work-related ill health

Employee responsibility · People-oriented employer —Employee care and protection

403-2

Hazard identification, risk assessment,and incident investigation

Employee responsibility · People-oriented employer —Employee care and protection

Partner responsibility · Practitioner of common growth withthe industry — Responsible sourcing

GRI306: Waste 2020

GRI308: Supplier Environmental Assessment 2016GRI401: Employment 2016GRI406: Non-discrimination 2016GRI405: Diversity and Equal Opportunity 2016

GRI409: Forced or Compulsory Labor 2016GRI408: Child Labor 2016

GRI413: Local Communities 2016

GRI416: Customer Health and Safety 2016GRI417: Marketing and Labeling 2016

GRI414: Supplier Social Assessment 2016

GRI403: Occupational Health and Safety 2018

GRI404: Training and Education 2016

Social

Feedback and Suggestions

Dear Reader,Thank you for reading the 2023 Environmental, Social and Governance (ESG) Report ofMontage Technology. In order to provide you and other stakeholders with more professional andvaluable information regarding our ESG management, and to constantly improve the quality ofthe report and promote the Company's management and practice capabilities in ESG, wesincerely invite your feedback on your true feelings and your enthusiastic suggestions. Pleasedo not hesitate to give us your comments!You can email or mail us your feedback. Our contact information is as follows:

Address：16/F, 181 Caobao Road, Montage Circle, Xuhui District, Shanghai, ChinaPostal Code: 200233Email: [e-mail]

Please rate the following on a scale of 1 to 5 (1 being the lowest and 5 being the highest score)

1. Please give your overall evaluation of this report.

2. Please rate Montage Technology's performance on ESG responsibilities

3. Do you think this report can re?ect the environmental signi?cance of Montage Technology?

4. Do you think this report can re?ect the social signi?cance of Montage Technology?

5. Do you think this report can re?ect the corporate governance of Montage Technology?

6. Please rate the degree of information disclosure in this report.

7. Please rate the design style of this report.

For Montage Technology, which of the following stakeholder types applies to you?口 Shareholder & Investor口 Customer口 Partner & Supplier口 Government & Regulator口 Employee口 Community/Public

Please provide your comments and suggestions for us to further improve our ESG disclosure and ESG management.

2023 Environmental, Social and Governance (ESG) Report

Feedback and Suggestions