About EaspringGovernanceQuality, Innovation and DevelopmentValue Chain ManagementEnvironmental ProtectionEmployee and Community CareAppendixClimate ActionESG Report 2024About Easpring
About EaspringGovernanceQuality, Innovation and DevelopmentValue Chain ManagementEnvironmental ProtectionEmployee and Community CareAppendixClimate ActionESG Report 2024
`
CONTENTS
| About the Report | 01 |
Chairman's Statement
| Chairman's Statement | 03 |
About Easpring
| Company Introduction | 07 |
Key Performance of 2024
| Key Performance of 2024 | 09 |
ESG Awards and Ratings
| ESG Awards and Ratings | 11 |
Governance
| Sustainability Management | 15 |
Corporate Governance
| Corporate Governance | 29 |
Climate Action
| Climate Governance | 41 |
Climate Strategy
| Climate Strategy | 43 |
Climate Risk Management
| Climate Risk Management | 49 |
Metrics and Targets
| Metrics and Targets | 53 |
Quality, Innovation andDevelopment
-driven
| Innovation | 57 |
Intelligent Manufacturing
| Intelligent Manufacturing | 67 |
Product Quality and Safety
| Product Quality and Safety | 71 |
Appendix
| Appendix | 129 |
Environmental Protection
| Environmental Compliance | 77 |
Pollutant and WasteManagement
Pollutant and WasteManagement
Resource Management
| Resource Management | 85 |
Value Chain Management
| Supply Chain Management | 91 |
Client Service
| Client Service | 99 |
Industry Development
| Industry Development | 103 |
Employee and Community Care
| Employee Management | 107 |
Employee Training andDevelopment
Employee Training andDevelopment
Occupational Health and Safety
| Occupational Health and Safety | 119 |
Social Contribution
| Social Contribution | 125 |
020304
060705
About EaspringGovernanceQuality, Innovation and DevelopmentValue Chain ManagementEnvironmental ProtectionEmployee and Community CareAppendixClimate ActionESG Report 2024
0102
About the Report"Beijing Easpring Material Technology Co., Ltd. 2024 Environmental, Social and Governance Report" (ESG Report or the"Report) is the second sustainability report released by Beijing Easpring Material Technology Co., Ltd. (the "Company"or“Easpring"). The purpose of this report is to present the objectives, management methods, work progress andperformance of Easpring related to environmental, social and corporate governance to various stakeholders.
ReportingPeriodThis report covers the period from January 1, 2024 to December 31, 2024, and some contents are reasonably extendedto enhance comparability and forward-looking reporting.ReportingScopeThe content contained in this report covers Easpring and its subsidiaries, which include:
?Jiangsu Easpring Material Technology Co., Ltd.(hereinafter referred to as Easpring Jiangsu)?Easpring Technology (Changzhou) New Materials Co.,Ltd. (hereinafter referred to as Easpring Changzhou)?Easpring SDIG (Panzhihua) New Materials Co., Ltd.(hereinafter referred to as Easpring SDIG Panzhihua)?Beijing Zodngoc Automatic Technology Co., Ltd.(hereinafter referred to as Beijing Zodngoc)?Beijing Dark Horse Intelligence Equipment Co., Ltd.
(hereinafter referred to as Dark Horse)
?Easpring (Hong Kong) Co., Limited(hereinafterreferred to as Easpring Hong Kong)
?Easpring (Hong Kong) Investment Co., Limited
(hereinafter referred to as Easpring HK Investment)?Easpring Investment Lux S.à r.l.(hereinafter referred
to as Easpring Lux)?Easpring Finland New Materials Ltd (hereinafter
referred to as Easpring Finland)
Reporting GuidanceThis report is prepared in accordance withthe Self-Regulatory Guidelines No.17 for Companies Listed on ShenzhenStock Exchange – Sustainability Report (For Trial Implementation)andSelf-Regulatory Guidance No. 3 for CompaniesListed on the ChiNext Market of Shenzhen Stock Exchange—Preparation of Sustainability Report.The preparation process of this report complies with the Sustainability Reporting Standards (GRI Standards) of theGlobal Reporting Initiative, and also refers to the United Nations Sustainable Development Goals (SDGs) and key issuesof concern to mainstream ESG ratings at home and abroad.
Reporting PrinciplesThe report is prepared in accordance with GRI reporting principles：
?Accuracy：The report is dedicated to providingaccurate information. In the process of datacollection, collation and analysis, the statisticalcaliber and calculation basis of quantitative data areclarified, and through a strict review process, it isensured that there are no false records, misleadingstatements or major omissions in the report content.?Balance：The content of the report reflectsobjective facts, impartially presents Easpring'sperformance in all aspects of ESG, and tries to avoidany content that may affect the decision-making orjudgment of relevant parties.?Clarity：The report provides auxiliary content such
as charts and terminology definitions. At the sametime, this report also provides a table of contentsand a benchmarking index table of ESG-relatedstandards to help relevant parties quickly locate therequired content.?Comparability：The report and subsequent annualESG reports use consistent disclosure statisticalmethods. If there is any change in statistics and
disclosure methods, it will be fully explained in thenotes to the report so that relevant parties can carryout meaningful analysis and evaluation.?Completeness:Unless otherwise stated, the scopeof information disclosed in this report coversEaspring and its subsidiaries.?Sustainability Context: The report identifiespotential impacts on stakeholders in terms ofenvironmental, social and governance inconjunction with current sustainability trends andprovides management methods and performanceof Easpring.
?Timeliness：The report is an annual report and isreleased at the same time as Easpring's 2024 annualreport to provide timely information reference forstakeholders to make decisions.?Verifiability：The source and calculation process ofthe quantitative data disclosed in the report can betraced and can be used to support externalverification.Data Source and Reliability Assurance
The financial data cited in this report comes from the audited "2024 Annual Report" of Beijing Easpring MaterialTechnology Co., Ltd., and other data come from Easpring's public information, internal official documents andrelevant statistics. Unless otherwise stated, the monetary amounts involved in the report are measured in RMB.Get and Respond to the ReportThe report is published in Simplified Chinese and English. In case of ambiguity in the understanding of the text, pleaserefer to the Simplified Chinese version. Readers can check and download the electronic documents of this report onEaspring's official website (http://www.easpring.com.cn) and cninfo.com (http://www.cninfo.com.cn). If you have anyquestions, suggestions and comments about this report, please contact Easpring through the following methods.Address：Building 21, Area 18, Headquarters Base No. 188, South 4th Ring Road West, Fengtai District, Beijing, ChinaPhone：010-52269718Fax：010-52269720-9718Email：securities@easpring.com
About EaspringGovernanceQuality, Innovation and DevelopmentValue Chain ManagementEnvironmental ProtectionEmployee and Community CareAppendixClimate ActionESG Report 2024
We are also setting the benchmark for ESG governance, steering Easpring towardlong-term sustainable development. We have continuously refined our corporategovernance framework and optimized internal policies, embedding ESG principlesinto our core business strategy. In 2024, we upgraded our Strategic Committee to theStrategy and Sustainability Committee, further integrating ESG considerations intocorporate decision-making and operations. Following the AA1000 standards, we haveestablished a more transparent and robust engagement mechanism withstakeholders. Additionally, we introduced a Business Ethics Policy, ensuring thatethical principles and commitments are embedded throughout our businessoperations.2024 is a milestone year for ESG disclosures, as global sustainability reportingstandards are increasingly aligned. China's A-share market has officially implementedstandardized ESG disclosure requirements. We released our second consecutivebilingual ESG report, receiving widespread recognition. We achieved A-level andabove ratings in leading ESG evaluation systems such as WIND ESG Rating and CNIESG Rating. In addition, we were honored with the Best ESG Practice Case Award bythe China Association for Public Companies, the ESG Golden Bull Top 100 Award, andthe Top 50 Central SOEs in ESG distinction. These achievements reinforce ourconfidence in advancing sustainable development and driving the green energytransition.“Plants with strong root grow well, effort with right focus ensure success.“ As wenavigate this historic energy revolution that will shape the future of humankind,Easpring is committed to working hand in hand with global partners. Driven byinnovation, we will steadfastly advance toward a greener, low-carbon, andsustainable future—contributing our strength to building a world where humanityand nature coexist in harmony.
Nowadays, the clean energy industry has become a key engine of China's economic growth. In 2024, thetotal output value of China's lithium battery industry exceeded RMB 1.2 trillion, with a total production of1,170 GWh—an impressive 24% year-over-year increase. However, as the United States and Europeintroduce protectionist policies for their new energy sectors and resource nationalism gains traction, theindustry's business models are undergoing profound shifts. The lithium battery sector has entered a periodof deep adjustment, facing numerous uncertainties and challenges. Against this backdrop, we seized theopportunity presented by the rapid growth of the energy storage lithium battery market. By working closelywith our partners, we have successfully expanded our market presence, driving strong growth in our lithiumiron phosphate (LFP) business. This has become a new pillar of Easpring's development.We are committed to fostering original technology breakthroughs, using innovation to propel the industryforward. As a technology leader in the global lithium battery cathode material industry, Easpring adheres tothe mission of "creating a first-class enterprise and continuously contributing to the era of ecologicalcivilization“. We continue to develop higher energy-density products and solutions, delivering greener andmore efficient cathode materials for lithium batteries. In 2024, our R&D team grew to 430 members, with anR&D investment of RMB 370 million. We made significant strides in the development of high-nickel, middle-nickelhigh-voltageproducts,andnext-generationproductdevelopmenthaveprogressedsmoothly. The
in-situconstruction of fast-ion layers has effectively addressed the challenges on the solid-solid interfacebetween the cathode and electrolyte. Additionally, high-ionic-conductivity and high-stability nanoscalesolid-state electrolytes have been successfully developed. Layered oxide and polyanionic sodium-ioncathode materials have achieved large-scale production and application. The next-generation high-compaction-density lithium iron phosphate (LFP) products have reached an industry-leading level. Thehigh-manganese lithium manganese iron phosphate (LMFP) materials have been successfully deployed inlarge-scale EV applications in the power battery market. In the future, we will give full play to ourtechnological leadership advantages, and through the innovation of material system design, extrememanufacturing intelligent factories to meet ever-evolving demands of our clients.We take concrete action in response to climate change, integrating sustainability into every aspect of ouroperations. In 2024, we formulated the "Carbon Emission Reduction Plan", which clarified emission targetsbased on multiple emission reduction scenarios and pathways. This plan is closely aligned with the nationalcarbon peaking and carbon neutrality goals. We have also implemented full life-cycle carbon footprinttracking and calculation for key products, enabling precise carbon emission management. By continuouslyadvancing electrification and clean energy transitions, we generated 7,807 MWh of solar power in 2024,achieving significant energy savings and reducing carbon emissions by approximately 4,462 tCO?e. Inaddition, Easpring SDIG Panzhihua obtained the ISO 14068 Carbon Neutrality Certification, becoming thefirst certified carbon-neutral factory in Panzhihua.We actively contribute to community development and help rural revitalization. We remains deeplyengaged with local communities, seeking sustainable support mechanisms that drive employment,educational initiatives, and industrial revitalization. We have provided targeted assistance to Pingyu County,Henan, donating RMB 400,000 and investing RMB 1.78 million in poverty alleviation purchases to supportrural industries. Moreover, we continue to care for vulnerable groups through various volunteer activitiesunder the “Learn from Lei Feng” initiative, fostering a harmonious and inclusive community environment.
Chairman's Statement
Chairman of Easpring
Chen, Yanbin
0304
In recent years, extreme weather has occurred frequently around the world, heavyrains, floods, wildfires and high temperatures have ravaged the land, and the strugglebetween human civilization and climate change has entered a critical turning point.In this civilized test, global forces are accelerating their gathering. From the historicconclusion of the "Baku Climate Solidarity Pact" at the United Nations ClimateConference (COP29) in Azerbaijan to the total global clean energy investmentexceeding US $2 trillion for the first time, the green transformation of energy hasbecome human's collective front line against climate change — a beacon of hope forbreaking the deadlock.
About EaspringGovernanceQuality, Innovation and DevelopmentValue Chain ManagementEnvironmental ProtectionEmployee and Community CareAppendixClimate ActionESG Report 2024Governance
About Easpring
ESG Report 2024
About EaspringGovernanceQuality, Innovation and DevelopmentValue Chain ManagementEnvironmental ProtectionEmployee and Community CareAppendixClimate ActionESG Report 2024About Easpring
Easpring FinlandKotka, Finland
Easpring
Beijing, the PRC
Beijing Zodngoc
Beijing, the PRC
Easpring Jiangsu
Jiangsu Province, China
Easpring Changzhou
Jiangsu Province, China
Easpring SDIG Panzhihua
Sichuan Province, PRC
HeadquartersBeijing Easpring Material Technology Co., Ltd.
Easpring Finland New Materials Ltd
Beijing Zodngoc Automatic Technology Co., Ltd.Easpring Technology (Changzhou) New Materials Co., Ltd.Jiangsu Easpring Material Technology Co., Ltd.5 Production bases
HeadquartersProduction base
CompanyIntroductionBeijing Easpring Material Technology Co., Ltd.(stock code: 300073) is a listed company underMining and Metallurgy Technology Group Co., Ltd.It was listed on the Growth Enterprise Market ofShenzhen Stock Exchange in April 2010. Easpringis mainly engaged in lithium battery cathodematerial business and intelligent equipmentbusiness.Principal Activities
Lithium cathode materials business:
Easpring is mainly engaged in the research anddevelopment, production and sales of multi-materials, lithium iron phosphate (manganese),lithium cobalt oxide and other lithium-ion batterycathode materials and multi-precursors. At thesame time, it has made multi-dimensionaladvanced products, independently researchedand developed a variety of advanced cathodematerials such as ultra-high nickel multi-element,cobalt-free, solid-state lithium battery, sodiumbattery and new lithium-rich manganese base.Intelligent equipment business:
Easpring has always focused on the research anddevelopment, production and sales of high-endintelligent equipment and its core control andfunctional components. It is one of the firstdomestic companies to develop and producecircular knife die-cutting equipment. Its productsinclude circular knife die-cutting machines,quality inspection machines, etc., which aremainly used in consumer electronics, medicalcare, health, food packaging and other fields.
Globalization DistributionHeadquartered in Beijing, Easpring already has five production bases (including under construction and to be built) in Tongzhou, Beijing, Changzhou, Jiangsu, Nantong, Jiangsu, Panzhihua,Sichuan, and Kotka, Finland, and has subsidiaries in Hong Kong, Luxembourg, Finland and other places.
Business philosophyHonest, Pragmatic,Diligent, Innovative
Employment philosophyTo choose talents with virtueand potential
Talent cultivation philosophyTo develop talents and help themmake progress
Code of conduct
To be frugal in words, swift in action; cautious indiscussion, diligent in thought; unpretentious inappearance, skilled in craft.
Corporate Culture
0708
Corporate visionTo build a world's top-ranking innovativeenterpriseTo be a respected leader in LIB cathode materialindustrySet up a stage for strivers to realize their dreams
Management philosophy
Everyone has his own place, his ownresponsibility, and his own talent to beapplied in his work.Everything has its own place, being in itsown position and resources to be utilized.
Corporate missionTo create a first-classenterprise andcontinuously contribute tothe era of ecologicalcivilisation
Corporate values
To be client-centered,striver-oriented, long-term hard work,sustainable innovation.
Easpring SDIG (Panzhihua) New Materials Co., Ltd.
About EaspringGovernanceQuality, Innovation and DevelopmentValue Chain ManagementEnvironmental ProtectionEmployee and Community CareAppendixClimate ActionESG Report 2024About Easpring
0910
Key Performance of 2024During the reporting period, Easpring's ESG management performance is as follows:
Purchased carbon credits to offset31,665.12 tonnes of CO
e
100% complaint handlingrate for products and services
2 sophisticated andspecialized enterprises and1 laboratory has obtainedCNAS certification
100% of the mainmaterial suppliers have signedthe Supplier Code of Conduct
Employee satisfaction score is
94.0
Non-cash welfareinvestment amount RMB
12.6005 million
Cash welfare investmentamountRMB
24.4884 million
The proportion of ethnic minorityemployees reaches8%
Investment in work injuryinsurance RMB
1.1932
million
A total of45 copyrights havebeen authorized
100% of the cathode material production bases have obtained theISO 9001 Quality Management System certification
100% of the cathode material production bases have obtained the ISO 45001Occupational Health and Safety Management System certification
A total of127employeesvolunteered and served
hours
Compliance training coverage100%
Signing rate of compliance commitmentletter is100%
data security incidents0 incidents of corruption and bribery
Total investment in environmental protection
RMB1,399.12 million
Total assetsRMB17,122 million
Operating incomeRMB 7,593 million
Net profitRMB 473 millionThe total amount of taxes paid is aboutRMB290 millionPrimary earnings per share
0.9316 RMB/share
Economic performance
Governance performanceSigning rate ofthe Letter of Commitment to IntegrityandTen Prohibitions for Integrityis 100%
Proportion of employees participating inanti-corruption training100%
Environmental PerformanceGreenhouse gas emissions reduction 4,462tonnes of CO
e through various measuresPhotovoltaic power generated7,807.51 MWh
R&D investmentRMB370 million
430 R&D personnel
Total employee trainingexpenditureRMB
1.0336 million
The total investment in safetyproduction is approximately
14.4855 million
A total of
352 patents have beengranted in China and abroad
Cumulative investment insocial public welfare RMB
2.5504million
Social performance
Easpring SDIG Panzhihua obtained the ISO14068 carbonneutral certificate, became the first"carbonneutral factory" in Panzhihua100% of cathode material operating productionbases obtained ISO 14001 environmental managementsystem certification
About EaspringGovernanceQuality, Innovation and DevelopmentValue Chain ManagementEnvironmental ProtectionEmployee and Community CareAppendixClimate ActionESG Report 2024About Easpring
ESG Awards andRatingsThe ESG honors and awards obtained by Easpring during the Year mainlyinclude:
The 2nd Guoxin Cup ● Top 100 ESG GoldenBull AwardsChina Securities JournalThe 2nd Guoxin Cup ● ESG Golden Bull AwardTop 50 Central EnterprisesChina Securities Journal
2024 Public Company Sustainability BestPractice CasesChina Association of Listed Companies
The 3rd Xinhua Credit Jinlan Cup ESGExcellent CasesChina Economic Information Service
ESG Awards and Ratings
No.Honors and awardsIssuing authority
Advanced Collective ofCentral Enterprises
Ministry of Human Resources and Social Securityof the People's Republic of ChinaState-owned Assets SupervisionandAdministration Commission of the StateCouncil2Beijing High-tech Enterprise
Beijing Municipal Science & TechnologyCommissionBeijing Municipal Finance BureauBeijing Municipal Tax Service, State TaxationAdministration
Specialized andSophisticated Small andMedium-sized Enterprises(SMEs) in Beijing
Beijing Municipal Bureau of Economy andInformation Technology
Jiangsu ProvinceRecognized EnterpriseTechnology Center
Jiangsu Economy and Information TechnologyCommissionJiangsu Development & Reform CommissionJiangsu Provincial Department of Science andTechnologyDepartment of Finance of Jiangsu ProvinceJiangsu Provincial Tax Service, State TaxationAdministrationNanjing Customs District P.R.CHINA
Jiangsu IntelligentWorkshop
Industry and Information Technology Departmentof JiangsuDepartment of Finance of Jiangsu Province
Provincial-level Specializedand Sophisticated SMEs
Jiangsu Provincial Department of Industry andInformation Technology
Jiangsu EngineeringResearch Center
Jiangsu Development & Reform Commission8Jiangsu Gazelle EnterpriseProductivity Center Of Jiangsu Province
wind wind（A）Refinitiv ESG（68）CNI ESG（AA）CSA S&P（34）
Quality, Innovation and DevelopmentValue Chain ManagementEnvironmental ProtectionEmployee and Community CareAppendixESG Report 2024
About EaspringGovernanceQuality, Innovation and DevelopmentValue Chain ManagementEnvironmental ProtectionEmployee and Community CareAppendixClimate ActionESG Report 2024Governance
Governance
Easpring is committed to integrating sustainable development into daily operations, establishing goodrelationships with various stakeholders, and ensuring Easpring's sustainable development and long-termvalue. At the same time, Easpring adheres to the concept of compliance, integrity and stable operation,constantly improves the scientificity and transparency of decision-making, improves the risk managementand control system, and abides by the business code of conduct with high ethical standards to protect thesteady development of Easpring.Responses to issues in this chapter?Corporate governance?Risk management?Anti-commercial bribery and anti-corruptionThis chapter responds to SDGs
Key Performance in this Chapter
?Compliance training coverage 100%
?Signing rate of compliance commitment letter 100%
?Proportion of employees participating in anti-corruption training 100%
?The signing rate ofthe "Letter of Commitment to Integrity"and"Ten Prohibitions for Integrity"is 100%
?The corruption and bribery incident is 0
?The data security incident is 0
?Data security and client privacy protection?Anti-unfair competition
ESG Report 2024
About EaspringGovernanceQuality, Innovation and DevelopmentValue Chain ManagementEnvironmental ProtectionEmployee and Community CareAppendixClimate ActionESG Report 2024Governance
Personnel composition and responsibilities of ESG governance structure
Personnel organizationResponsibilityOrganizationalstructure
Sustainability ManagementUnder the background of the deepening of the new global consensus on sustainable development, Easpring has deeplyintegrated the core concept of ESG into Easpring's business operation and strategic decision-making, built a multi-levelESG vision, policy and governance system, promoted the achievement of the SDGs, established communication withglobal stakeholders, and helped the global green economy transformation and sustainable development of mankindthrough co-creation of issues, value sharing and responsibility sharing.
Sustainable Development GovernanceSustainability Governance StructureUnder the leadership of the board of directors, Easpring has formed an ESG governance structure including decision-making, management and executive levels, and clarified the composition and responsibilities of each level to provideorganizational guarantee for the effective development of Easpring's ESG work.
ESG Governance Structure
The leading department of Easpring's ESG work is the Legal & Risk Management Department, which is directly led byEaspring's general manager. It is responsible for coordinating the ESG management work of all relevant businessdepartments and subsidiaries. The ESG specialist of the headquarters and the ESG secretaries of the subsidiariesjointly build an effective ESG work network and establish an ESG working mechanism with dynamic response andeffective communication to ensure that ESG practices can be effectively implemented and promote the realization oflong-term sustainable development goals.During the reporting period, Easpring renamed the "Strategy Committee" as the "Strategy and SustainabilityCommittee". The members have professional backgrounds in human resources, business ethics, safety andenvironmental protection, quality, supply chain and compliance risk management, and have high professionalism anddiversity. The Committee leverages its professional advantages to conduct forward-looking research and scientificdecision-making on ESG governance and other aspects, identify and manage Easpring's substantive issues, andcomplete the review of Easpring's annual ESG report.
Board of DirectorsStrategy and Sustainability Committee
ESG Leadership Group
Leading Department: Legal & Risk Management DepartmentEnvironmental Task ForceProduct Task ForceEmployee Task Force
Corporate Governance
Task Force
Carbon & EnergyManagement Department,Experimental Center, etc.EHS Department, FacilityManagement Department
Quality Center, IntellectualProperty Department, etc.Procurement Department,Quality Management
Department, etc.Procurement Department,Quality ManagementDepartment, etc.Procurement Department,
Quality Management
Department, etc.Procurement Department,Quality Management
Department, etc.
EHS Department, FacilityManagement DepartmentEHS Department, FacilityManagement DepartmentGeneral manager's office
Human ResourcesDepartment, etc.Human ResourcesDepartment, etc.Human ResourcesDepartment, etc.Human ResourcesDepartment, AdministrativeManagement DepartmentHuman ResourcesDepartment, AdministrativeManagement Department
Securities Affairs Department,Audit Department, etc.Finance Department, etc.Finance Department, etc.Finance Department, etc.Finance Department, etc.
Headquarters
FunctionsEaspringChangzhou
EaspringJiangsuEaspring SDIG
Panzhihua
BeijingZodngoc
Strategy andSustainabilityCommittee ofthe Board
7 Directors, including 2independent Directors and 1female Director
Establish a top-down, standardized, and effective ESGmanagement framework under the leadership of the board ofdirectors. The board has established a Strategy andSustainability Committee, which is responsible for researchingand proposing recommendations on Easpring's ESGdevelopment strategy and management of ESG-related issues.The committee is in charge of managing and supervising theimpacts, risks, and opportunities related to sustainabledevelopment, guiding and overseeing the implementation andimprovement of ESG initiatives, and reporting to the board ofdirectors.ESG LeadershipGroup
Company executives
Responsible for the organization, implementation andpromotion of Easpring's ESG work, organizing andimplementing Easpring's annual ESG development strategy,management work plan and objectives, revision of ESG-relatedsystems, identification and management of ESG risks, ESGperformance evaluation and management, etc.ESG Task Force
Heads of functionaldepartments of Easpring'sheadquarters and relevantdepartments of subsidiaries
Responsible for information collection, analysis andimprovement of relevant ESG issues, understanding andresponding to the expectations of stakeholders, and reportingESG-related work to the ESG leading group.
ESG Task Force covers Environmental Task Force, Product Task Force, Employee Task Force and Corporate Governance Task Force
About EaspringGovernanceQuality, Innovation and DevelopmentValue Chain ManagementEnvironmental ProtectionEmployee and Community CareAppendixClimate ActionESG Report 2024Governance
1718
Sustainability Governance StrategyEaspring adheres to the path of green, high-quality and sustainable development, insisits on innovation-driven development, and constantly explores new products and new processes, practice quality first and win the trust of clients with high-quality products andservices, promote green production methods and build a green, environmentally friendly, energy-saving, efficient and low-carbon cycle production system, improve the governance system and realize scientific and standardized compliance governance, actively giveback to the society, pay attention to the growth of employees, unite the upstream and downstream industrial chain for coordinated development, and share the development results with clients, shareholders, employees, industry and society.
ESG Vision?Adhering to the mission of “create a first-class enterprise and continuously contributing to the ecologicalcivilization era”, we promotes energy transformation with green materials and intelligent manufacturing,and create corporate value with integrity and excellent operation. Additionally, we works together withclients, shareholders, employees, industry and community to achieve sustainable development.
ESG Policy?Sustaining innovation, excellent quality, green cycle, compliance governance, harmonious sharing
Sustainability Risk ManagementOn the basis of the ESG governance structure, Easpring integrates ESG risk management into the operation management system, formulates and implements the "Easpring ESG Management Measures", and outputs supporting work manuals and instrumentaldocuments to accurately identify and prudently evaluate ESG risks that may be faced in the business, dynamic monitoring, timely improvement and tracking management to achieve comprehensive management of Easpring's ESG risks.
Identifying Risks
?Carry out surveys, seminars, interviews with
risk owners and other methods to identifyESG-related risks in strategic decisions andimportant business processes;?Further refine and identify environmental risks,social risks and corporate governance relatedrisks against ESG issues and externalregulatory requirements.
Assessing Risks?Analyze the likelihood of occurrence and
impact of ESG risks to prioritize key risks andeffectively allocate resources to address them.
Managing Risks
?The ESG Task Force formulates and implementsmeasures to mitigate, transfer or avoid risks, andformulates contingency plans to minimize theadverse effects of identified risks.?Easpring tracks and accepts the improvement
results of the ESG Task Force.
Monitoring and Reporting?Continuously monitor changes in internal andexternal environment and make timely revisionsESG risk response measures and priorities, andreview them periodically.?Report ESGperformanceto the management,and establish ESG risk awareness andcontinuous management capabilities of allemployees within Easpring.
ESG Risk Management Steps
About EaspringGovernanceQuality, Innovation and DevelopmentValue Chain ManagementEnvironmental ProtectionEmployee and Community CareAppendixClimate ActionESG Report 2024Governance
In the context of global ESG risks continuing to rise, ESG risk management has become one of the keys to building thecore competitiveness of Easpring's overseas projects. Easpring has built an ESG risk management system throughoutthe entire project life cycle, established an ESG risk screening mechanism during the due diligence stage of theinvestment front-end, and integrated into international standards such as EUCorporate Sustainability ReportingDirective(CSRD)and Corporate Sustainability Due Diligence Directive(CSDDD).Applying rules based on principle for responsible investment, Easpring organized internaland external experts and consulting agencies in finance and taxation, safety, environmentalprotection, legal affairs, compliance, etc. to conduct due diligence, and paid attention toESG indicators such as production carbon emissions, proportion of green energy usage andimpact on the environment of the project to ensure that they comply with ESG-related laws,regulations and standards.
Before projectinvestment
Easpring continues to follow up on the financial indicators and operation of investmentprojects, supervises whether the project companies comply with relevant laws andregulations such as environmental protection and labor, and actively follows up on theresearch and development and upgrading of renewable energy and clean technologies.Investmentimplementation stage
Easpring regularly evaluates projects, covering multiple dimensions such as marketconditions, financial performance, compliance operations and social responsibility, andensures the realization of ESG management objectives through risk response plans andimprovement of corporate governance structure.Post-investmentmanagementstage
During the reporting period, Easpring submitted the environmentallicense application for the first phase of multi-material production lineto the local government of Finland. Based on the design concept of"green environmental protection, energy saving, high efficiency,intelligence and wisdom", the new project fully met the requirements ofthe Finnish government and overseas partners for the environmentalsustainable development of the project, and the EIA approval processwas successfully completed in less than six months.
At the same time, internationally renowned accounting firms conducted ESG due diligence reviews on Finnishproject's suppliers, emphasizing the importance of ESG during the project implementation process, fully reviewingsuppliers, and comprehensively evaluating each supplier's commitment to sustainable development. and practice,providing a solid foundation for smooth project recommendation.
Cover page of the Easpring Finland 'senvironmental permit approval document
About EaspringGovernanceQuality, Innovation and DevelopmentValue Chain ManagementEnvironmental ProtectionEmployee and Community CareAppendixClimate ActionESG Report 2024Governance
Sustainable Development GoalsIn response to the United Nations 2030 Agenda for Sustainable Development and its 17 Sustainable Development Goals(SDGs), Easpring identifies its role in solving social and environmental problems, matches its core business activitieswith the goals of the SDGs, and ensures that Easpring's efforts are consistent with the global vision of sustainabledevelopment. Specifically, Easpring has carried out key actions around the following sustainability goals.
Goal 1 No Poverty
?Through various forms such as consumption assistance, financial donations, and targeted assistance, Easpring solves thedevelopment problems of the assistance areas, continuously consolidate and expand the achievements of poverty alleviation,and continue to promote the development of poverty-stricken areas and rural revitalization.Goal 17 Partnerships for the Goal?Linkage business partners upstream and downstream of the value chain, continue to carry out technicalexchanges, and continuously deepen industry exchanges.?Optimize client service quality, improve client satisfaction and respond to client needs in a timely manner.Goal 16 Peace, Justice and Strong Institutions?Continuously carry out business ethics and integrity management, effectively operate the risk controlmanagement system, and continuously improve Easpring's compliance management level.?The signing rate of employees' "Integrity Commitment Letter" and the signing rate of suppliers'"Sunshine Cooperation Agreement" reached 100%.Goal 15 Life on Land?New projects strictly implement environmental impact assessment requirements, and the project constructionmeets the ecological environment zoning management and control requirements of "three lines and one list"(ecological protection red line, environmental quality bottom line, resource utilization online, and ecologicalenvironment access list).?Prioritize sustainable cooperation with supplier partners who provide environmentally friendly products orservices to achieve double savings in production resources and manufacturing costs.Goal 14 Life below Water?Continue to optimize the production wastewater treatment process to achieve "near-zero discharge" ofproduction wastewater.?The reuse transformation of precursor wastewater was carried out, and the washing water reuse rate ofmore than 90% was achieved.Goal 13 Climate Action?Actively respond to climate change, identify climate-related risks, and accurately invest Easpring's superior resources inclimate risk response actions.?Lay out the clean business strategy, build a carbon neutral factory,plan the dual-carbon development path, andpromote the green and low-carbon transformation of the business.Goal 12 Responsible Consumption and Production?Increase the proportion of clean energy use, implement energy conservation and carbon reduction measures, reduce pollutantemissions, and practice sustainable development.?Continue to build a circular, low-carbon, open, transparent, and mutually beneficial green and sustainable supply chain,incorporate key carbon management indicators such as total carbon emissions and carbon footprint intensity into the supplierevaluation system, and promote the recycling of key raw materials in the industrial chain.
Goal 3 Good Health and Well-being?To ensure the health and safety of employees, Easpring set and achieved the goal of "0 death, 0 fire, and 0
new occupational case".?Achieve 100% rectification rate of potential safety hazards and 100% completion rate of employee
occupational health examination.Goal 4 Quality Education?Continue to carry out caring activities for the disabled for designated assistance units, constantlymeet children's learning and activity needs, and continuously improve and optimize the learning andliving environment.?Carry out the“Pursuing dreams of education" campaign, set up scholarships and link them to theirsalary levels, and continue to promote the improvement of Easpring's youth literacy and theconstruction of industrial workers.Goal 5 Gender Equality?Pay attention to the diversity of the board of directors and continuously increase theproportion of female directors and management.?Implement the concern and emphasis on female employees and create a companyatmosphere full of humanistic careGoal 7 Affordable and Clean Energy?Provide advanced key materials for the new energy industry, continue to achieve innovativebreakthroughs, build a forward-looking R&D layout, provide technical solutions for the application andpromotion of new energy, and promote social energy transformation.?Develop and continuously increase investment in renewable energy infrastructure, actively implementenergy-saving technological transformation projects, and improve energy efficiency.Goal 8 Decent Work and Economic Growth
?Create an equal, harmonious and diverse workplace environment, and provide jobs andemployment opportunities for people with disabilities.?Implement several rounds of equity increase plans for management and core backbones to
further encourage the management team and core backbones to create value.Goal 9 Industry, Innovation and Infrastructure?Accelerate the high-quality research and development of cathode materials, improvecompetitiveness in the field of multi-materials and precursors, and lead the development ofthe industry.?Consolidate the foundation of product quality management, promote intelligent
manufacturing upgrades, and achieve double improvement in quality and efficiency.Goal 10 Reduce Inequalities?The Human Rights Policyhas been formulated and published on the Internet to provide employees withdiversified care and benefits and create an equal and inclusive working environment.?Adhere to equal employment opportunities, recruit and employ ethnic minority employees from different
ethnic groups, and ethnic minorities account for 12% of the management.Goal 11 Sustainable Cities and Communities?Take measures such as saving water in production to build water-saving enterprises, from carrying out daily operation andmaintenance to implementing special equipment water-saving projects, effectively reduce municipal water consumption, alleviatesocial water pressure, and help sustainable city and community construction.
SustainableDevelopment Goals
(SDGs)
Key Company Actions in 2024
2122
About EaspringGovernanceQuality, Innovation and DevelopmentValue Chain ManagementEnvironmental ProtectionEmployee and Community CareAppendixClimate ActionESG Report 2024Governance
2324
Materiality Assessment of Issues
Stakeholder CommunicationAdhering to the principles of integrity, interaction, equality and transparency, Easpring actively interacts with stakeholders through regular, multi-channel and multi-form stakeholder communication channels to understand their suggestions and feedback, whichserves as an important basis for improving Easpring's operating policy and sustainable development strategy.During the Reporting Period, Easpring regularly recorded, measured and reviewed the communication with stakeholders in accordance with relevant international standards and guidelines such as GRI Standards and AA1000 Stakeholder Communication Standards,improved the communication mechanism in a timely manner based on the feedback from stakeholders, and continuously improved the effectiveness and timeliness of communication with all stakeholders.The communication between Easpring and various stakeholders is as follows:
Stakeholders
Expectationsofstakeholders
Communicationmethods andfrequency
?Anti-commercial
bribery and anti-corruption?Innovation driven?Pollutant emissions?Utilization of energy?Environmentalcompliancemanagement
?Product quality and safety?Client service and
communication
?Responsible supply chain?Responding to climate
change?Data security and clientprivacy protection
?Compliance marketing
?Corporate governance?Risk management?Innovation driven?Intellectual property
management
?Industry Cooperation
and Development
?Responsible supply
chain?Equal treatment to
SMEs?Anti-commercial
bribery and anti-
corruption?Anti-unfair competition
?Risk management?Occupational healthand safety?Innovation driven?Product quality and
safety?Employee rights and
benefits
?Occupational health and safety?Compliance employment?Employee development?Employee rights and benefits?Equality, diversity, inclusion?Chemicals management
?Community contribution?Rural revitalization?Compliance employment?Pollutant emissions?Utilization of water
resources
?Innovation driven?Social contribution
and rural revitalization
?Responsible supply
chain?Responding to climate
change?Data security and
client privacy
protection
?Information
submission (asrequired)
?Seminar meeting (asrequired)
?Daily approvals (asrequired)?Inspection andresearch (as required)
?Policy
implementation andcommunication (asneeded)
?Company mail (as required)?Client satisfaction survey(once a year)?Industry exhibitions (asrequired)?Technical seminars(once amonth)
?Business negotiations (asrequired)
?Company mail (as required)?Roadshow communication(as required)?Performance briefing (oncea year)?Investor Meetings (asrequired)
?Interactive Q&A (once amonth)?Investor Hotline (every
trading day)
?Research visits (as required)
?Technical seminars (as
needed)
?Business negotiations(as required)?Industry conferences (asrequired)?Supplier Meeting(annually)
?Supplier training (once ayear)?Supplier satisfactionsurvey (annually)
?Company mail (asrequired)
?Communicationmeetings (asrequired)
?Board meetings (asrequired)?Special committeemeetings (asrequired)
?Internal meetings (asrequired)
?Company mail (as required)?Telephone or verbal notification (asrequired)
?Notification of trade union group andemployees' group (as required)?Employee satisfaction survey (annually)?Q&A session (when needed)?Suggestion box (collected once amonth)?Trade union and workers' congress(irregular)?Management Reception Day (monthly)?Employee workshop (irregular)
?Inspection and survey (twice
a year)?Daily care (quarterly)?Communication ofassistance needs (once ayear)?Policy implementation andcommunication (as needed)
?Employee volunteering (as
needed)
?Communications and
visits(as required)
?Ethnic minority festival
interaction (once a year)
?Media interview
activities (as required)?Press conferences (asrequired)?Press releases (irregular)?Industry exhibitions (as
required)
?Communications and
visits(as required)
Government andRegulatory Authorities
Shareholders and
InvestorsClientSuppliersDirectors and Senior
Management
StaffCommunityMedia and NGOs
About EaspringGovernanceQuality, Innovation and DevelopmentValue Chain ManagementEnvironmental ProtectionEmployee and Community CareAppendixClimate ActionESG Report 2024Governance
Materiality AssessmentBased on its own strategic planning and operating practices, Easpring refers totheSelf-Regulatory Guidelines No.17 forCompanies Listed on Shenzhen Stock Exchange – Sustainability Report (For Trial Implementation)andSelf-RegulatoryGuidance No. 3for Companies Listed on the ChiNext Market of Shenzhen Stock Exchange —Preparation ofSustainability Reportand GRI standards and other disclosure standards have updated the issue assessment methodand carried out double materiality assessment. The double materiality assessment process carried out by Easpring is asfollows:
Step 1Issue identificationIdentify potentially important issues and establish an issue bank based on Easpring's businessactivities, business relationships, ESG standards and other factorsStep 22-1 Impact materiality assessmentDegree of impact (including scale, scope, irremediability): stakeholder questionnaire surveyPossibility: internal and external ESG expert assessment2-2 Financial materiality assessmentAssess the financial materiality of each issue from the two dimensions of impact degree and possibilityof occurrence, integrate expert opinions on finance and sustainability, and review the assessmentresults by senior management
Step 3
Double materiality assessment analysisBased on the assessment data in Step 2, form a matrix of materiality issues in 2024, and determine themateriality issues and their priorities for the year
Step 4
Issue identification and reportThe Board of Directors of Easpring reviews and confirms ESG materiality issues, ensures that the issuesare closely aligned with Easpring's ESG management practices, and discloses them in the annual ESGreport
Issue IdentificationEaspring compliestheSelf-Regulatory Guidelines No.17 for Companies Listed on Shenzhen Stock Exchange –Sustainability Report (For Trial Implementation)and fully combines Easpring's business activities, businessrelationships, ESG standards, ESG ratings, peer practices and other factors to establish the Easpring "1 + N" materialityissue database.
Impact Materiality AssessmentEaspring assesses the importance of the impact of each topic based on the two dimensions of "Impact degreeassessment" and "Possibility assessment" through questionnaire surveys with stakeholders and communication withinternal and external ESG experts.
Dimension 1：Impact degree assessment
?Scale: The magnitude of the impact. For positive impacts, it refers to the degree of benefit or potential benefit.?Scope: The extent of the impact. For example, the number of individuals or the range of environmentalresources affected or potentially affected by positive impacts.?Irreversibility: The difficulty of offsetting or compensating for the harm.
Dimension 2：Possibility assessment?The potential for negative impacts refers to the likelihood or probability of adverse effects occurring.
During the reporting period, Easpring conducted stakeholder questionnaire survey and distributed online surveyquestionnaires to 11 types of stakeholders. A total of 127 questionnaires were collected in this survey, and thestakeholders' impact and importance assessment on each topic were identified. After communicating with relevantstakeholders and external experts, 30 issues with impact and importance were finally determined.
In the “1+N'” framework, the '1' refers tothe Self-Regulatory Guidelines No. 17 for Listed Companies—Sustainable Development Report (Trial),and the'N' refers to mainstream ESG ratings, ESG special reports of centrally-controlled listed companies, and peer company issues.
2526
About EaspringGovernanceQuality, Innovation and DevelopmentValue Chain ManagementEnvironmental ProtectionEmployee and Community CareAppendixClimate ActionESG Report 2024Governance
Financial Materiality AssessmentEaspring comprehensively considers factors such as market price, trend forecast, Easpring's costs and profits inprevious years, as well as the possibility of occurrence, and evaluates the financial importance of each issue from twodimensions: the degree of financial impact, the possibility of risks and opportunities, and has successively reviewed andfinally confirmed by the finance department, ESG Task Force and ESG Leadership Group.
Dimension 1：The degree of financial impact?Analysis can be conducted from perspectives such as the continuity of resource use and the dependency onthe relationship for ongoing business operations (for example, investors, upstream suppliers, downstreamclients, etc.).Dimension 2：The possibility of risks and opportunities?The possibility of financial impact occurring needs to take into account the cumulative probability over aperiod of time to cover the long-term scope.
Results of Double Materiality AssessmentEaspring sorted out the impact materiality and financial materiality assessment results, comprehensively analyzed andranked the materiality of relevant issues, and the materiality assessment results of issues were reviewed by theStrategy and Sustainability Committee and approved by the Board. According to the evaluation results, Easpringsorted out the sustainable development strategy and goal setting, and re-examined the management of significantsustainable development-related impacts, risks and opportunities. At the same time, Easpring makes targetedinformation disclosure according to the priority of the evaluation results, so as to ensure targeted response to theconcerns of all parties. Among them, the topic of "Response to Climate Change" is of high double importance toEaspring. Therefore, this report discloses the topic of "Response to Climate Change" from four elements: "Governance","Strategy", "Impact, Risk and Opportunity Management" and "Indicators and Targets" in accordance with therequirements ofthe Self-Regulatory Guidelines No.17 for Companies Listed on Shenzhen Stock Exchange –Sustainability Report (For Trial Implementation).
EnvironmentalIssuesSocialIssuesGovernanceIssues
High MaterialityModerate MaterialityLow Materiality
Financial Materiality to Easpring
ImpactMateriality toStakeholders
High MaterialityLow Materiality
HighMateriality
LowMateriality
List of Materiality Issues
Innovation driven
| Digital construction | Circular economy |
Product quality and safety
-commercial bribery and anti-
| corruption |
Occupational health and safety
Waste disposalPollutant emissions
| Pollutant emissions | Utilization of water resources |
Responding to climate change
| Compliance employment | Compliance marketing |
Corporate governance
Environmental compliancemanagementSupply chain security
Intellectual propertymanagement
Supply chain securityEmployee development
| Employee development | Equal treatment to SMEs |
Responsible supply chain
| Employee rights and benefits | Equality, diversity, inclusion |
Risk management
| Data security and client privacy protection | Social contribution and rural revitalization |
Utilization of energy
-unfair competition
| Anti | Ecosystem and biodiversity conservation |
client service and communication
| Chemicals management | Ethics of science and technology |
General Impact Materiality Issues: Circular economy, Waste disposal, Utilization ofwater resources,Compliance marketing,Supply chain security,Equal treatment toSMEs, Equality, diversity, inclusion,Social contribution and rural revitalization,Ecosystem and biodiversity conservation,Ethics of science and technology,Anti-unfaircompetition,Data security and client privacy protectionModerate Impact Materiality Issues: Corporate governance,Intellectual propertymanagement,Responsible supply chain,Risk management,Utilization of energy,client service and communication,Digital construction,Anti-commercial bribery andanti-corruption,Pollutant emissions,Compliance employment, Environmentalcompliance management,Employee development,Employee rights and benefits,Chemicals managementHigh Impact Materiality Issues: Innovation driven,Product quality and safety,Occupational health and safety,Responding to climate change
About EaspringGovernanceQuality, Innovation and DevelopmentValue Chain ManagementEnvironmental ProtectionEmployee and Community CareAppendixClimate ActionESG Report 2024Governance
2930
Corporate GovernanceEaspring has always strictly abided byThe Company Law of the People's Republic of China, the Securities Law of thePeople's Republic of China, the Code of Corporate Governance for Listed Companies, the Listing Rules governing thelisting of stocks on ChiNext Markst of shenzhen stock Exchange, the Guidelines for Self-Regulation of Listed Companiesof Shenzhen Stock Exchange No.2-Standardized Operation of Listed Companies on GEMand other relevant laws,regulations and normative documents, continuously standardized Easpring's operation, strived to improve the level ofcorporate governance, and ensure the compliance and stability of Easpring's operation.Governance System
Governance Structure
Easpring has established a governance structure consisting of the general meeting of shareholders, the board ofdirectors, the board of supervisors and the management of Easpring, and strictly follows the corporate governancestructure to exercise and perform their duties through the election of directors and supervisors at the general meetingof shareholders and the appointment of senior management by the board of directors, so as to give full play to the roleof the highest authority of the general meeting of shareholders, the major decisions of the board of directors, thesupervision of the board of supervisors, the execution by the management and the support of the special committees ofthe board of directors in the decision-making of the board of directors.During the reporting period, Easpring held a general election of the board of directors. The sixth board of directorsconsisted of 9 directors, including 6 non-independent directors and 3 independent directors. For details of basicpersonnel information, please refer to the chapter " Easpring 2024 Annual Report-Section IV Corporate Governance-VII.Directors, Supervisors and Senior Management".
Corporate Governance Structure Diagram
Remuneration and Appraisal Committee
Strategy and Sustainability Committee
Nomination Committee
Audit Committee
General Meeting of Shareholders
The BoardManagement
Supervisory Committee
Diversity and IndependenceThe diversity of board members is of great significance to improve corporate governance and ensure the effectivenessof the board of directors. Easpring follows the international ESG governance concept, improves the diversity level ofthe Board, and ensures that the Board has appropriate skills, experience and diversified perspectives according to theneeds of Easpring's business. Easpring's directors have backgrounds in strategic planning, corporate management,battery material research and development, financial internal control, industrial investment, capital operation andother disciplines, and have a reasonable professional structure. During the reporting period, there was one femaledirector, accounting for 11.11%.Independent directors play a key role in the board of directors system. The independent directors of Easpring combinetheir professional expertise to participate in various major decisions of Easpring and prudently express independentopinions, safeguarding the legitimate rights and interests of Easpring and all shareholders, and improving thescientificity and professionalism of the board of directors' decisions. The audit committee, remuneration and appraisalcommittee and nomination committee under Easpring's board of directors are all chaired by independent directors,and independent directors account for more than half.During the reporting period, all independent directors submittedthe Independence Self-examination Form ofIndependent Directors. The board of directors of Easpring evaluated the independence of independent directors andissued special opinions. Easpring did not have any situation affecting the independence of independent directors.Training for Directors, Supervisors and Senior ManagementIn order to cultivate the ESG awareness of directors, Easpring's directors, supervisors and senior executives receivetraining on ESG matters in a regular basis, including ESG topics such as anti-corruption, environmental protection andcarbon emissions, so as to enhance their understanding and understanding of ESG and improve Easpring's ESGgovernance capabilities. During the reporting period, Easpring's directors, supervisors and senior executivesparticipated in ESG training a total of 19 times,training coverage rate is 100%.Performance AssessmentEaspring convenes the general meeting of shareholders, the Board of Directors and the Board of Supervisors in strictaccordance withthe Articles of Association, the Rules of Procedure for the General Meeting of Shareholders, the Rulesof Procedure for the Board of Directors, the Rules of Procedure for the Board of Supervisorsand other regulations andrequirements, so as to ensure that all business decisions are objectively, scientifically and effectively safeguard theinterests of Easpring and all shareholders. During the Reporting Period, the Board reviewed76 proposals, including 15proposals related to ESG.Adhering to the principle of "remuneration is compatible with Easpring's benefits and combined with Easpring's long-term interests", Easpring links remuneration assessment with ESG sustainable development indicators. During theReporting Period, Easpring revised the "Remuneration Management System for Directors" and "Remuneration andAppraisal Management for Senior Management" and other systems, including ESG indicators such as safety, qualityand compliance management into the senior management's annual operating performance appraisal responsibilityletter, and set corresponding appraisal weights.At the same time, Easpring has established a restraint mechanism for executive compensation. If major environmental,safety, compliance, ESG events and other aspects cause significant losses to Easpring or cause operational difficultiesor decline in Easpring's reputation, the board of directors shall decide to partially or completely cancel the responsibleperson's performance compensation for the year.
About EaspringGovernanceQuality, Innovation and DevelopmentValue Chain ManagementEnvironmental ProtectionEmployee and Community CareAppendixClimate ActionESG Report 2024Governance
3132
Business Ethics
Business Ethics ManagementEaspring always upholds the concept of honesty and integrity, and has zerotolerance for all violations of business ethics and corruption. Easpringstrictly abides bythe Anti-Money Laundering Law of the People's Republic ofChina, the Supervision Law of the People's Republic of Chinaand other lawsand regulations, is committed to conducting business in accordance with allapplicable laws, regulations and the highest business ethics standards, andthoroughly implements the commitment to attaching importance tobusiness ethics into Easpring's policies and the entire process of businessdevelopment. During the Reporting Period, there was no incident ofcommercial bribery and corruption.Easpring continues to improve the system of business ethics and integrity,formulatesthe Anti-Fraud and Complaint Reporting Management System,Anti-Corruption and Anti-Bribery Systemand other systems, and publishesthe Business Ethics Policyon the official website of Easpring, the anti-fraudpolicy, complaint reporting process and protection measures forcomplaints and whistleblowers on the official account of Easpring, requiringall employees, clients, suppliers, service providers, contractors and otherpartners to follow the policies and standards of Easpring. During thereporting period, Easpring conducted business ethics surveys covering alloperating factories to ensure that business operations comply withEaspring's ethical standards.Easpring thoroughly implemented the commitment to attach importance tobusiness ethics in the whole process of Easpring's policies and businessdevelopment, carry out joint integrity control projects, comprehensivelysort out the rules and regulations, business processes, power operation andother links, identify potential integrity risk points, and formulate targetedprevention and control measures. At the same time, taking the opportunityof information construction such as SAP and MES, Easpring embedded thejoint integrity control project into the information system, organicallyintegrated risk prevention and control with the business development, andfurther improved the integrity management capability.Construction of Integrity CultureIn order to protect the interests of all stakeholders and maintain a fair andclear business environment, Easpring signed the "Ten Prohibitions forIntegrity" and "Integrity Commitment Letter" with all employees, whichrestrict employees' external business behavior and daily style, and clearlystipulate that all employees are prohibited from soliciting, accepting oraccepting gifts, property and securities from suppliers, potential partnersand other units or individuals related to the exercise of their functions andpowers, and are prohibited from accepting banquets, travel, fitness andentertainment activities that may affect the fair exercise of their functionsand powers.
Easpring conducts regular identification and training for positions with high integrity risks, including regular integrity training for directors, supervisors and senior management,pre-job integrity education for new employees, and on-site warning education for personnel in procurement, sales and engineering positions. At the same time, Easpring adoptsnew educational methods such as interactive and experiential, including interactive mini-games, online integrity answers, holiday integrity reminder videos, collective learning andother forms to effectively improve personnel's awareness and level of integrity. During the Reporting Period, Easpring's employees participated in business ethics training for 1,501hours in total, and the proportion of employees participating in business ethics training reached 100%.
Integrity Warning EducationEthics Training for Key Posts
Ten Prohibitions in the Honest Commercial Practice?Do not conduct covert deals, collude on base prices, disclose tradesecrets of the Company, or seek personal benefits
?Do not privately accept any money or items from business units (includingcash, electronic red envelopes, gift cards, securities, other types ofpayment vouchers and gifts). The received gifts must be handed over tothe Company's General Manager Office?Do not engage in activities that seek personal benefits by takingadvantage of the convenience of one's own work or the Company'sresources
?Do not engage in any private transactions or borrowing of property withbusiness units?Do not sign false contracts, conceal, transfer or hold back customerreturns and supplier payments
?Do not accept any form of banquet invitation from suppliers?Do not misrepresent or misappropriate business funds?Do not attend non-work related meetings with suppliers?Do not seek improper benefits from business units by exploiting thepower on hand
?Do not organise or participate in any unhealthy entertainment
About EaspringGovernanceQuality, Innovation and DevelopmentValue Chain ManagementEnvironmental ProtectionEmployee and Community CareAppendixClimate ActionESG Report 2024Governance
Supplier Integrity ManagementEaspring has always set high standards for itself, strictly abides by businessethics and relevant laws and regulations, and expects suppliers to share thesame commitment. Easpring has formulatedthe Code of Conduct forSuppliers, which requires suppliers to adopt a zero-tolerance policy forviolations of business ethics, and signedthe Sunshine CooperationAgreementwith partners, requiring them not to ask for or accept kickbacks,benefits, thanks fees, gifts, securities and valuables during the cooperationprocess, and not to use business relationships to seek personal benefits.During the reporting period, the signing rate of suppliers' "SunshineCooperation Agreement" was 100%.Easpring strengthens supplier compliance supervision, conducts regularsupplier reviews, clarifies the code of conduct of both parties in businessdealings, and jointly creates a fair and transparent cooperationenvironment. Easpring conducts supplier integrity seminars and integritytraining every year to help them understand and comply with relevant lawsand regulations and Easpring's integrity policies, and prevent corruptionrisks from the source. During the reporting period, Easpring held the 2024annual partner symposium to publicize and implement suppliers aroundthe "Sunshine Cooperation Agreement", "Business Ethics Policy" and"Integrity Practice", and the supplier training coverage rate was 100%.
2024 Annual Partner WorkshopA Letter to Partners
Complaints and ReportsEaspring has established a smooth, timely and effective reporting channel, which is made public on the official website and WeChat official account. All parties inthe society can complain and report any violation of business ethics, corruption, bribery and fraud through the reporting channels below.
Whistleblower ProtectionEaspring strictly keeps confidential the identity information of the complainant and whistleblower and all complaint and report materials received, keeps confidential in all aspectssuch as reporting, acceptance and investigation, and strictly prohibits disclosure of the personal privacy information of the complainant and whistleblower. No department orindividual may retaliate against the whistleblower under any pretext. When the personal safety of the whistleblower is threatened, Easpring will take timely protective measuresand investigate the corresponding responsibilities for the whistleblower who retaliates; Anyone suspected of committing a crime will be transferred to the judicial organ tosafeguard the rights and interests of the whistleblower according to law. During the Reporting Period, there was no incident of information leakage or retaliation by whistleblower.
On-site complaints and reportsComplaint reporting channels:
Telephone complaint report: 010-52269709
E-mail complaints: shenji@easpring.com
Mailing address for letter complaints and reports:Easpring Audit Department, Building 21, Area 18, Headquarters
Base, No.188 South Fourth Ring West Road, Fengtai District, Beijing (Zip Code: 100160)
Easpring encourages and advocatesreal-name complaints and reports,and accepts anonymous complaintsand reports. According to the degreeof loss recovery of the complaintsand reports, Easpring commendsand reward the complaints andwhistleblowers, and encourageemployees, personnel from externalunits and other internal and externalrelevant parties to report violationsof professional ethics, corruption,bribery and fraud.
About EaspringGovernanceQuality, Innovation and DevelopmentValue Chain ManagementEnvironmental ProtectionEmployee and Community CareAppendixClimate ActionESG Report 2024Governance
Compliance OperationsCompliance ManagementEaspring strictly abides by laws and regulations such asThe CompangyLaw of the People's Republic of China, the Provisional Regulations on the Supervision and Administration ofState-owned Assets of Enterprises,andthe Basic Standards for Enterprise Internal Control, and continuously strengthens its operation management and risk prevention andcontrol capabilities to promote the sustainable development of Easpring.Easpring has established a comprehensive risk and compliance management committee, which is responsible for overall leadership and overall coordination of compliancemanagement, and clarifying the plans and objectives of compliance management. Under the leadership of the committee, Easpring formulatedthe Easpring ComplianceManagement Measures,established a management framework covering four major systems: organizational leadership, operational mechanism, cultural cultivation andassessment guarantee, and effectively solved the core issues such as "who is in charge of compliance management; What to manage and how to manage compliancemanagement". At the same time, Easpring systematically builds a "three lines of defense" risk prevention and control system with clear responsibilities, clear division of labor, andorderly coordination, and comprehensively improves Easpring's legal and compliant operation level through the full-chain closed-loop management of "pre-risk early warning,dynamic management and control in the process, and post-audit supervision". During the reporting period, Easpring successfully passed the on-site evaluation of the effectivenessof the compliance management system organized by the State-owned Assets Supervision and Administration Commission.Easpring continues to improve the compliance operation mechanism, comprehensively sorts out the business risks of 10 key business departments, builds a risk database andupdates and adjusts it every year, and establishes a list of job responsibilities to implement compliance employment. Easpring has set up a compliance management team, and setup full-time (part-time) compliance administrators in all functional departments and operating factories, who are served by each business backbone and vertically managed by thelegal and risk control department of the headquarters, so as to promote the in-depth implementation of compliance management. In addition, Easpring has established a high-riskcontrol system of "legal construction, compliance management, internal control construction, risk management and control, accountability for violations, and audit supervision",effectively enhancing compliance enforcement, giving full play to the synergy of risk prevention and control, and providing a solid guarantee for Easpring's high-qualitydevelopment.Easpring has fully integrated compliance assessment into the management work of the headquarters and subordinate units, evaluated their compliance performance, and usedthe assessment results as an important basis for employee assessment, cadre appointment, unit (department) evaluation and other work. At the same time, Easpring incorporatescompliance management training into its annual training plan, and takes members of leadership teams at all levels, managers, personnel in important risk positions, new recruitsand overseas personnel as key personnel for compliance training, so as to continuously improve the compliance awareness and ability of all employees. During the ReportingPeriod, Easpring's new recruits' induction compliance training and compliance training rates for key positions were 100%, and the signing rate of compliance commitment letterswas 100%.
2024 New Employee Induction Compliance TrainingCompliance Commitment Letter Signing Ceremony
About EaspringGovernanceQuality, Innovation and DevelopmentValue Chain ManagementEnvironmental ProtectionEmployee and Community CareAppendixClimate ActionESG Report 2024Governance
Anti-unfair CompetitionEaspring strictly abides bythe Anti-Monopoly Law of thePeople's Republic of China, the Anti-Unfair CompetitionLaw of the People's Republic of Chinaand other laws andregulations, formulates internal systems such astheBusiness Ethics Policyandthe Code of Conduct forSuppliers, adheres to the principle of fair trade, and ensuresthat no unfair competition is conducted in businessactivities. During the Reporting Period, there was no riskevent of unfair competition.At the same time, Easpring actively advocates and practicesthe concept of healthy competition, respects competitors,follows industry norms, gains market advantages byenhancing its core competitiveness, and wins market sharethrough legal and compliant operating methods, therebypromoting the healthy development of the industry as awhole and promoting a fair, just and open competitiveenvironment.
Cybersecurity Ten Thousand People Training
Program
Cybersecurity Awareness Month
Tax AdministrationEaspring strictly abides bythe Enterprise Income Tax Law of the People's Republic of Chinaand other tax-related laws and regulations, and is committed to tax management inaccordance with laws and regulations. Easpring implements multi-dimensional risk management and control measures to ensure tax compliance and effectively prevent potentialrisks. Easpring regularly carries out tax knowledge training and publicity activities to continuously improve employees' tax professionalism and compliance awareness. Easpringentrusts a third-party professional organization to issue an annual tax declaration audit report and a special report on super deduction of R&D expenses every year to furtherstrengthen the supervision and management of corporate tax payment behavior. Easpring adheres to paying taxes in good faith in accordance with the law, Easpring, EaspringJiangsu, Easpring Changzhou and Beijing Zodngoc successfully passed the government tax inspection and maintained a good record of A credit rating.During the reporting period, Easpring conducted in-depth research on overseas tax policies, actively responded to and effectively controlled overseas tax risks, successfullycompleted tax declaration or payment of overseas projects in Hong Kong China, Luxembourg and Finland, ensured the tax compliance of global business operations, and provideda solid guarantee for Easpring's international development.
Information Security and Privacy ProtectionEaspring strictly abides by relevant national and regional laws and regulations such asthe Cybersecurity Law of the People's Republic of China, the Personal Information ProtectionLaw of the People's Republic of China,and the Data Security Law of the People's Republic of China, and comprehensively regulates employees' behavior during information systemoperation and network information processing, so as to ensure information security and compliance management. During the reporting period, there was no data security incidentor client privacy leakage incident.Easpring set up an information security committee to implement top-level decision-making and strategic coordination. At the level of operation and execution, a matrixmanagement model is established. The information technology department of the headquarters is responsible for company-level information security management, and eachsubsidiary implements localized information security management and control, and establishes a cross-departmental emergency response collaborative process.Easpring has formulatedthe "Information System Emergency Plan", "Computer Network Information Management Regulations", "Trade Secret Protection Management Measures","Trade Secret Leakage Emergency Plan"and other systems, and carried out hierarchical management and protection of information to ensure that trade secrets including clientinformation are effectively protected. At the same time, Easpring completed network reinforcement of the data center based on the three-level standard of information securityprotection, and deployed and upgraded encryption systems in Easpring's two major business segments respectively.Easpring pays attention to the training and publicity of informationsecurity and privacy protection, and carries out network information anddata security training for new employees by broadcasting network securityprevention skills on LED screens in employee groups and public areas,holding network security publicity month and other activities, so as toimprove employees' network security prevention skills. During theReporting Period, Easpring organized core members of the informationtechnology team to participate in the network security training programfor 10,000 people, so as to improve the management capabilities ofEaspring's employees in data compliance management and networksecurity protection from overseas enterprises. During the year, Easpringconducted 180 hours of internal information security and privacyprotection training.
3738
About EaspringGovernanceQuality, Innovation and DevelopmentValue Chain ManagementEnvironmental ProtectionEmployee and Community CareAppendixClimate ActionESG Report 2024Governance
Climate Action
Climate change has become a global issue related to the survival and sustainable development of humancivilization. At the critical node of the 30th anniversary of the conclusion of the United Nations FrameworkConvention on Climate Change and the full implementation of the Paris Agreement, the world isaccelerating the construction of a climate action community. As a responsible major country, Chinaactively responds to climate change, unswervingly fulfills its promised carbon peaking and carbonneutrality goals, and guides the construction of a fair, reasonable, cooperative and win-win global climategovernance system.Easpring has always taken the mission of "creating a first-class enterprise and continuously contributing tothe era of ecological civilization", systematically promoted carbon management, achieved resonance andsynergy between corporate actions, national strategies and global agendas, and became an importantparticipant and contributor to global climate governance.Responses to issues in this Chapter?Responding to climate changeThis Chapter responds to SDGs
Key Performance in this Chapter
?Strive to achieve the peak of Easpring's own operational carbon emissions no later than 2030, andstrive to achieve carbon neutrality before 2050.
?The total capacity of distributed photovoltaic power generation facilities in the factory 8.7 MW, and theannual power generation reaches 7,807.51 MWh.
?Implemented comprehensive energy conservation and consumption reduction measures, reducingcarbon emissions by 4,462 tCO
e in total.
?Purchase of carbon credits to offset carbon emissions of 31,665.12 tCO
e.
?Easpring Shudao (Panzhihua) obtained the ISO14068 carbon neutral certificate, became the first"carbon neutral factory" in Panzhihua
?Easpring Changzhou obtained ISO 14064 Organization Carbon Emission Certificate and ISO14067Product Carbon Footprint Certification
?Easpring Jiangsu obtained ISO 14064 Organization Carbon Emission Certificate and ISO14067 ProductCarbon Footprint Certification
ESG Report 2024
About EaspringGovernanceQuality, Innovation and DevelopmentValue Chain ManagementEnvironmental ProtectionEmployee and Community CareAppendixClimate ActionESG Report 2024Climate Action
Climate Governance
In order to comprehensively promote Easpring's sustainable development vision and continuously and effectively identifyand manage climate-related risks and opportunities, Easpring continuously deepens the construction of a sustainabledevelopment governance structure and incorporates climate change governance into Easpring's ESG management system.Under the leadership of the board of directors, Easpring has established a management system led by the Carbon Peakingand Carbon Neutrality work leadership team, with the general manager serving as the team leader, responsible forformulating Easpring's Carbon Peaking and Carbon Neutrality development strategy, leading the Carbon Peaking andCarbon Neutrality work direction, and issuing Easpring's Carbon Peaking and Carbon Neutrality policy.Under the Carbon Peaking and Carbon Neutrality work leadership team, special working groups on carbon accounting,carbon emission reduction, low-carbon products, and carbon assets have been set up, focusing on core tasks such as theconstruction of carbon emission monitoring systems, the implementation of emission reduction paths, product carbonfootprint management, and carbon asset operations. The personnel of each special working group are composed of headsof relevant departments at the headquarters and subsidiaries. Each member has profound experience and professional skillsin the Carbon Peaking and Carbon Neutrality field. He is fully responsible for the planning, promotion and implementation ofdual-carbon management work and is committed to ensuring climate response-related key projects can be smoothlyadvanced with efficient and high-quality standards.Easpring's carbon & energy management department is the leading department, responsible for coordinating andsupporting the specific implementation of Easpring's Carbon Peaking and Carbon Neutrality work. Each subsidiary hasestablished a carbon management team and set up a carbon management specialist to form a management system linkedup and down. Under the guidance of each special working group, the carbon management team of each subsidiary isresponsible for implementing the unit's carbon accounting, emission reduction target decomposition and low-carbonproject implementation, while the carbon management specialist specifically carries out daily carbon emission datacollection, monitoring and reporting. and other tasks to ensure that Carbon Peaking and Carbon Neutrality managementrequirements are effectively penetrated into all business units, achieving efficient collaboration and comprehensivecoverage of Carbon Peaking and Carbon Neutrality management.
4142
Easpring’s Carbon Peaking and Carbon Neutrality Work Leadership TeamLeadershipteam
Special working groups
Managementteams
Lead department: carbon & energy
management department
Carbon accountingspecial working group
Carbon emission reduction
special working group
Low-carbon productsspecial working group
Carbon assets specialworking group
Headquarters
carbonmanagementteam
EaspringChangzhoucarbonmanagementteam
EaspringJiangsucarbonmanagement
team
EaspringShudao(Panzhihua) carbonmanagement
team
R&D center
carbonmanagement
team
BeijingZodngoc
carbonmanagement
teamCarbon Peaking and Carbon Neutrality
Management Structure
About EaspringGovernanceQuality, Innovation and DevelopmentValue Chain ManagementEnvironmental ProtectionEmployee and Community CareAppendixClimate ActionESG Report 2024Climate Action
Climate Strategy
Climate-related Risks and OpportunitiesFacing the challenge of climate change, Easpring is well aware that accurate identification of climate risks and opportunities is the key to effective response. Easpring closely follows the development trend of the industry, combines its own business developmentlayout and characteristics, and systematically sorts out and identifies various possible climate change risks and opportunities from multiple dimensions such as impact degree and occurrence probability through in-depth industry research and analysis, feedbackfrom stakeholders and suggestions from internal and external experts. At the same time, when assessing climate-related risks and opportunities, Easpring takes significant uncertainties caused by extreme weather into consideration, so as to comprehensively andaccurately grasp the risk situation.
Physical Risk
Countermeasures?Easpring formulated the "Emergency Management Regulations" for extreme weather andactively carried out emergency plans and drills, such as typhoon and flood preventionemergency drills, environmental emergency drills, power outage drills, etc., to enhanceemployees' risk awareness and response capabilities;?In the project design stage, extreme weather factors such as heavy rain are taken intoconsideration in advance to ensure that the capacity of the rainwater drainage system isdesigned according to the once-in-10-year rainstorm return period;?The auxiliary materials required for production follow the localized procurement strategy,establish a stable cooperative relationship with suppliers in the province, and strive to build a"1-hour logistics circle"?During the flood season, a 24-hour duty system is implemented, inspections are conducted at
key risk parts of the factory, and flood control materials and equipment are fully reserved andsufficient personnel are deployed.?Store backup power resources so that they can be quickly activated in the event of suddenpower outages or insufficient power supply, ensuring the continuity and normal operation ofproduction and operation;
?Implement safety and health measures for high-temperature work, including providing coolingmaterials and heatstroke prevention medicines, and reasonably arranging employees' workinghours and rest periods to avoid injuries caused by extreme high temperatures.
Potential Financial Impact Analysis
?Extreme weather events are increasing in frequency and severity,which can lead to serious damage to production facilities or officeequipment, resulting in the loss of high-value assets;
?Seriously threatening employees' commuting safety and workplace
safety environment, increasing the risk of safety accidents, resultingin a significant increase in operating costs;?Extreme weather may also prolong the supply cycle of rawmaterials, aggravate the delay of logistics and transportation, andin turn may trigger the disruption of the supply chain, causing asignificant chain reaction impact on corporate operations.
?Persistent high temperature weather may lead to limited powersupply capacity, which in turn affects the normal operation ofproduction equipment, forces the interruption of production plansand increases the cost burden of production operations;
?As the temperature continues to rise, employees working outdoorsmay experience fatigue, heatstroke or physical discomfort, whichwill not only reduce work efficiency, but also increase the cost ofproviding high temperature subsidies and improving the workingenvironment, thus pushing up operating costs.
Time range
Short, mediumand long term
Medium andlong term
Value chain
OperationsSupply chain
Operations
Risk and OpportunityCategories
Acute risk
Chronic risk
Heavy rains,typhoons,floods, etc
Averagetemperatures continueto rise
Potential impact
About EaspringGovernanceQuality, Innovation and DevelopmentValue Chain ManagementEnvironmental ProtectionEmployee and Community CareAppendixClimate ActionESG Report 2024Climate Action
Transition risks
?Continue to pay attention to changes in policies and regulations in operating areas and productsales markets, strengthen communication and collaboration with stakeholders such as thegovernment and industry associations, and build and improve Easpring's carbon emissionmanagement response system;?Establish a dual-carbon management organizational structure, carry out annual organizational
carbon emissions and product carbon footprint accounting, ensure accurate and timelyreporting of carbon emissions, and formulate and continuously improve carbon emissionreduction work plans.?Actively promote in-depth assessment of the carbon footprint of core products throughout thelife cycle, identify high-carbon emission links in the product life cycle, explore green emissionreduction opportunities throughout the product cycle, explore and implement carbonreduction strategies, and increase investment in low-carbon technology research anddevelopment;?Promote the gradual transition of the granularity of emission reduction management from thefactory level to the workshop level, process level and equipment level, and achieve refinedmanagement of emission reduction by digital means;?With lean production as the core concept, we will self-explore improvement opportunities toreduce costs and increase efficiency, so as to promote efficient production technology changes,simplify process procedures, and achieve clean and low-carbon production operations.?Develop a green evaluation system for the supply chain, screen qualified green suppliers basedon environmental assessment indicators and sustainable development indicators, expand thescope of multi-channel green supplier screening, and ensure the stability and controllability ofthe green supply chain;
?Through measures such as purchasing green electricity and self-built photovoltaic powergeneration facilities, Easpring will continue to increase the proportion of its own clean energyusage;?Actively carry out strategic cooperation with high-quality suppliers, focus on the recycling of keyraw materials, cooperate to overcome technical problems, and continuously improve therecycling rate of raw materials.?Easpring continues to strengthen the carbon reduction planning and layout of its ownoperations and supply chain, improves the carbon management system construction projects,and promotes the process of energy conservation and carbon reduction in light of changes inEaspring's own and external environment;?Easpring is committed to enhancing the transparency of ESG information disclosure to promote
Easpring's sustainable development governance to a new level. At the same time, Easpringactively responds to inquiries from various stakeholders, demonstrating Easpring's firmcommitment to environmental, social and governance responsibilities.
?Easpring's exports face green barriers to trade and are easily affectedby European and American environmental policies and sustainabledevelopment rules, such as the EU's new circular economy actionplan, the new EU regulation for batteries and so on, which areexpected to affect Easpring's future product shipments and may leadto overseas revenue reduction;?Strengthened disclosure requirements for carbon emissions in
operating locations will require companies to invest more resourcesin monitoring and reporting carbon emissions, which will increasecompliance costs for companies.
?Under the background of a low-carbon society, the demand for cleanand efficient technologies is gradually increasing. Accelerating thetransformation of high-carbon emission processes and productionequipment to low-carbon requires a lot of investment and time,which may lead to an increase in operating costs.
?Most products with low-carbon attributes have green premiums. Theprocurement of low-carbon materials such as recycled materials andrenewable energy has limited market supply, which will lead to anincrease in procurement costs
?Easpring's progress in green and low-carbon development hasreceived continuous attention from various stakeholders. In the longrun, if Easpring does not perform well in low-carbon performance, itmay cause damage to Easpring's reputation and affect its marketvalue.
Short andmedium term
Mediumand longterm
Short andmedium term
Mediumand longterm
OperationsMarketingand sales
Product R&DOperations
Product R&DMarketingand sales
Marketingand sales
Policyand Law
Technology
Market
Reputation
Stringentrequirementsof climate-relatedpolicies andregulations
Low-carbontechnologyR&D andinvestment
Changingclientneeds
Climatechange andsustainabilityperformance
Risk and OpportunityCategories
Time rangeValue chain
Potential impact
CountermeasuresPotential Financial Impact Analysis
About EaspringGovernanceQuality, Innovation and DevelopmentValue Chain ManagementEnvironmental ProtectionEmployee and Community CareAppendixClimate ActionESG Report 2024Climate Action
Opportunity
Products& Services
?Easpring actively seizes the opportunity of climate change, accelerates the layout of new
energy emerging markets, continuously strengthens its innovative R&D capabilities, and at thesame time deepens its own carbon management and clean production capabilities to provideclients with products and services that are more in line with market demand and are moreenvironmentally friendly.?With the advancement of low-carbon economic transformation, thesocial demand for green and low-carbon products and services mayusher in growth. If Easpring can further develop and provide low-carbon products, services and solutions, it will be able to moreeffectively adapt to market demand, thereby Win additional growthopportunities.
Market
?Easpring is committed to building a comprehensive green factory management system.Relying on the power of scientific and technological innovation, combined with refinedmanagement, Easpring actively promotes the implementation of a series of importantmeasures such as intelligent energy management and control, efficient resource recycling,improvement of energy efficiency and wide application of clean energy.
Short,medium andlong term
Short,medium andlong term
Marketingand sales
Operations
?With the implementation of my country's "dual carbon" policy,emerging industries such as new energy have ushered in dualopportunities for policy and market development. Enterprises areencouraged to take energy conservation and emission reductionmeasures and actively participate in the application of provincial ornational green factory demonstration projects, thereby Have theopportunity to receive state subsidies or related cost support.
Note: Easpring defines the time frame of climate change-related risks and opportunities as short-term (i.e. within 1 year after the end of the sustainable information reporting period), medium-term (i.e. 1 year to 5 years after the end of the sustainable information reporting period) and long-term (i.e. more than 5 years after the end of thesustainable information reporting period) to assess the impact and changing trend of climate risks and opportunities within different time frames, so as to plan and implement corresponding response strategies and measures.
Climate-related TransitionPlansAccording to the four-step model of "systematic carbonmanagement, scientific carbon accounting, precise carbonreduction and digital carbon control", Easpring has graduallybuilt a comprehensive and efficient carbon managementsystem by improving the carbon management system,accurately calculating carbon emissions by scientific means,formulating and implementing precise carbon reductionstrategies, and effectively controlling carbon emissions withthe help of digital tools, so as to lay a solid foundation forachieving Easpring's carbon emission reduction targets andpromoting sustainable development.
Systematic carbon management?Build a carbon management system covering Easpring's headquarters,subsidiaries, focusing on carbon emission data management, and build a carbonmanagement system in line with Easpring's production and operationcharacteristics?In the process of building a carbon management system, combined withEaspring's development plan, support the construction of Easpring's carbon-neutral factory and improve the applicability of the management system
Precise carbon reduction?Focusing on internal carbon reduction, we will gradually reduce the carbonemissions of our own operations at the factory level through technologicaltransformation, energy efficiency improvement, and green electricity substitution,and explore carbon offsets to initially achieve carbon neutrality in our ownoperations?Simultaneously carry out external supply chain emission reduction managementand continuously reduce the carbon footprint of the supply chainScientific carbon accounting?Supported by the carbon management system, carry out carbon data verificationthrough a top-down approach, set Easpring's scientific carbon targets, andgradually realize the standardization and standardization of carbon emission datamanagement?Take factories as pilot projects for carbon emission data management, andgradually promote the experience of factory carbon emission management
Digital carbon control?Undertake Easpring's digitalization process, integrate big data analysis technology,and realize digital and intelligent management and control of all carbon emissions?Manage the carbon footprint digitally, form a virtuous circle of sustainabledevelopment in the upstream and downstream of the industrial chain, and lay thefoundation for achieving carbon neutrality in the entire industrial chain
Low-carbonproducts andservices
Incentive andsupport ofnationalpolicies
Value chainPotential impact
CountermeasuresPotential Financial Impact AnalysisRisk and OpportunityCategories
Time range
About EaspringGovernanceQuality, Innovation and DevelopmentValue Chain ManagementEnvironmental ProtectionEmployee and Community CareAppendixClimate ActionESG Report 2024Climate Action
Climate Risk ManagementIn order to effectively manage climate risks, Easpring seizes the green and low-carbon transition opportunities broughtabout by climate change, comprehensively considers its own operational characteristics, actively collects multi-dimensional information such as feedback from stakeholders, internal and external environment and expert opinions,integrates climate risk management with company operations. The "Easpring Carbon Emission Reduction Work Plan"has been formulated, and Easpring's quantitative carbon emission reduction indicators in the near and medium andlong term have been preliminarily determined. At the same time, Easpring has established and improved a carbonmanagement response mechanism with efficient collaboration and close communication, and continuously optimizedthe climate risk control mechanism and management efficiency to enhance the resilience to climate risks.
Key Actions for Carbon Emission ReductionEaspring implements carbon footprint tracking and accounting throughout the life cycle of key products, and makesevery effort to move towards the goal of carbon neutrality by carrying out carbon emission verification, optimizing theenergy structure, carrying out energy-saving technological transformation projects, and building a "carbon neutralfactory".
Carbon Emission Verification Management
During the reporting period, Easpring continues to optimize the working mechanism of carbon management, compilesand improves the carbon emission accounting guidance manual at the organizational level and product level, laying asolid foundation for accurate and efficient one-stop carbon emission accounting of data monitoring-collection-accounting-reporting.During the reporting period, based on the standardized carbon inventory workflow and professional carbon footprintmodel database, Easpring completed the greenhouse gas emission inventory of Easpring Changzhou and EaspringJiangsu at the organizational level, and carried out product-level carbon footprint verification for typical products ofternary category, and invited a third-party professional organization to verify the data, and obtained ISO 14064organizational carbon emission certificate and ISO 14067 product carbon footprint certificate.Carbon emission verification atthe organization level
ISO 14064-1: 2018 Organization Carbon
Emission Certificate
Product-level carbonfootprint verification
ISO 14067: 2018 Product Carbon
Footprint Certificate
Identifying Climate Risks
?Risk points are screened according tomacro policies, industry policies,concerns of various stakeholders andregulatory requirements.
Analysis and Evaluation?Based on the possibility and impact degreeof climate-related risks, we identifiedclimate-related physical and transformationrisks that have a substantial impact onEaspring's business development.
Supervision and Improvement?Easpring continuously tracks, monitors andmanages the progress of handling climate-related risks, and at the same timecontinuously optimizes the risk controlmechanism and management efficiency indaily operations to enhance the
Risk Response?In view of the assessed climate-relatedrisks, Easpring formulated climate riskresponse plans based on factors suchas risks and benefits, brand reputationand social responsibility to ensure thestable development of Easpring.
About EaspringGovernanceQuality, Innovation and DevelopmentValue Chain ManagementEnvironmental ProtectionEmployee and Community CareAppendixClimate ActionESG Report 2024Climate Action
Optimizing Energy StructureOptimizing the energy structure is one of the important ways toachieve green and low-carbon development. Easpring hasincreased its investment in clean technology and regardsrenewable energy substitution as the core path of energystructure optimization. Through the "distributed photovoltaic +energy storage" collaborative model Build an integrated source,grid, load and storage system to systematically promote thetransformation of clean energy. During the reporting period,Easpring had factory distributed photovoltaic power generationfacilities with a total capacity of 8.7 MW, and the annual powergeneration reached 7,807.51 MWh, equivalent to achieving anemission reduction of 4,602.92 tCO
e.
Green Supply Chain Emission ReductionEaspring continues to improve the green procurement system, adopts the proximity procurement strategy, actively purchases low-carbon and environmentally friendly products,deepens cooperation with core raw material suppliers in the field of carbon management, and works with suppliers to build a green supply chain.During the reporting period, Easpring carried out close collaboration in renewable energy power, carbon data integration, accurate accounting of carbon emissions, research anddevelopment and application of advanced technologies for carbon emission reduction, and coordinated response to external policies, so as to promote the sharing and efficientapplication of key carbon management indicators in the supply chain. Easpring continues to explore and establish and improve the green evaluation mechanism of Easpring'ssupply chain, gradually incorporates supplier carbon performance indicators into the scope of daily procurement management, strengthens the low-carbon sustainabledevelopment capabilities of the supply chain, and promotes the green transformation of the entire industry chain.
Energy Saving and Consumption ReductionManagementEaspring adjusted its annual energy conservation andconsumption reduction plan, carried out in-depthcomprehensive actions to conserve oil, electricity, water andother resources, implemented targeted energy conservation andemission reduction work, reduced resource consumption in anall-round way, and improved resource utilization efficiency.During the reporting period, Easpring achieved a cumulativecarbon reduction of 4,462 tCO2e through projects such asintelligent lighting energy-saving in the factory area, replacingshuttle buses with electric shuttle buses, spray drying waste heatrecovery and utilization, air compressor energy efficiency linkageenergy-saving renovation projects, and circulating water pumpmotor permanent magnet energy-saving renovation projects.
Total photovoltaic generation (MWh)
2023年2024年7,807.51MWh
+460%
Equivalent to a reduction of 4,602.92 tCO
e
1,393.97MWh
?Procurement of energy-saving lamps, new
energy forklifts and other environmentallyfriendly products?Promote the procurement of recycled
materials, packaging cartons produced by therecycling of waste paper
?Incorporate key carbon management indicatorssuch as renewable energy use into the supplierevaluation system?Provide carbon reduction communication andtraining, and promote communication andcollaboration with upstream and downstreampartners on carbon management.
?For production auxiliary materials such asworkshop auxiliary liquid oxygen, special gasfor testing room and low value consumablesrequired by the plant, priority is given toadopting the strategy of nearby procurement toreduce transportation carbon emissions
Implementation of localized procurement
Green procurement initiatives
ISO 14068 CarbonNeutrality Certificate
VCS Carbon Credit Certificate
Building a “Carbon Neutral Factory"
Building a "carbon-neutral factory" as the core strategy toachieve the dual carbon goal, Easpring made full use of theabundant clean energy in Panzhihua, Sichuan, and laid outand built the Easpring Shudao factory, which significantlyreduced electricity-related carbon emissions. EaspringShudao Factory implements the low-carbon concept fromconstruction to operation, applies high-energy-efficiencyequipment and low-emission refrigerants in the constructionstage, and uses technologies such as waste heat recovery andutilization in the operation stage to further reduce energyconsumption. At the same time, the factory makes every effortto promote the realization of the goal of carbon neutralitythrough the application of carbon reduction technology andthe purchase of carbon offset credits.During the reporting period, Easpring Shudao (Panzhihua) offsets greenhouse gas emissions of 31,665.12 tCO2e by purchasing carbon credits, passed the strict verification of aninternationally recognized third-party verification agency, and obtained the agency's first ISO14068-1 carbon neutrality declaration verification certificate in the lithium batterycathode material industry, becoming the first "carbon neutral factory" in Panzhihua.
Procurement of low-carbon andenvironmentally friendly products
Establishment of a green evaluationmechanism for suppliers
About EaspringGovernanceQuality, Innovation and DevelopmentValue Chain ManagementEnvironmental ProtectionEmployee and Community CareAppendixClimate ActionESG Report 2024Climate Action
Metrics and Targets
During the reporting period, Easpring referred to the principle of Science-based Target Initiative (SBTi) and focused on the implementation of emission reduction paths, simulated different emission reduction scenarios to design different emission reduction paths, setEaspring's overall carbon management goals, and transformed Easpring's overall carbon emission reduction goals into carbon emission reduction sub-goals of each subsidiary branch.
Strive to achieve the peak of Easpring's own operational carbon emissions no laterthan 2030, and strive to achieve carbon neutrality before 2050.Carbon emission management objectives
Easpring has gradually established a scientific, reasonable and feasible dual-carbon management indicator system,anchoring Easpring's continuous transformation to low-carbon and carbon neutrality, and promoting Easpring toachieve economic benefits while contributing strength to global green and low-carbon development.
MetricsUnits2024
Greenhouse gasemissions
Greenhouse gas emissions(Scope 1)
tCO
e
28,040.62Greenhouse gas emissions(Scope 2)
tCO
e
260,675.84Total greenhouse gas emissions
tCO
e
288,716.46Greenhouse gas emissionintensity
tCO
e /RMB million 38.02
About EaspringGovernanceQuality, Innovation and DevelopmentValue Chain ManagementEnvironmental ProtectionEmployee and Community CareAppendixClimate ActionESG Report 2024Governance
Quality, Innovation andDevelopment
Innovation is the core driving force for enterprise development, and high-quality products are thefundamental embodiment of enterprise competitiveness. Easpring has always adhered to thedevelopment concept of "technology-led and innovation-driven". Through efficient and systematicoperation management and cutting-edge intelligent manufacturing technology, Easpring continuouslyimproves product R&D and production efficiency, ensures excellent and stable product quality, andprovides clients with continuous value-added solutions.
Responses to issues in this chapter?Innovation-driven?Product quality and safety?Intellectual property management
The Chapter responds to SDGs
Performance in this Chapter
Key
?R&D investment RMB 370 million, accounting for 4.88% of revenue
?430 scientifc R&D personnel, accounting for 23.92% of the employees
?Obtained a total of 352 domestic and foreign authorized patents and 45 authorized software copyrights
?2 Specialized and Sophisticated Enterprises
?100% obtained ISO 9001 quality management system certification
?1 laboratory certified by CNAS
?Digital construction?Chemicals management?Ethics of science and technology
ESG Report 2024
About EaspringGovernanceQuality, Innovation and DevelopmentValue Chain ManagementEnvironmental ProtectionEmployee and Community CareAppendixClimate ActionESG Report 2024Quality, Innovation and Development
5758
Innovation-drivenScience and technology innovation is the core competitiveness. In the process of rapid internationalization development, Easpring has continuously proposed "Easpring solutions" through continuous technological innovation and management innovation, providinga strong impetus for Easpring's high-quality, coordinated and green development. At the same time, Easpring attaches great importance to the protection of intellectual property rights, establishes a sound intellectual property management system, providing solidpolicies guarantee for innovation achievements, and ensures the sustainability of innovation-driven business development.
Innovation and DevelopmentEaspring strictly abides by the requirements of national and local policies and regulations such asthe Law of the People's Republic of China on Science and Technology Progress, continues to increase investment in R&D, accelerates technology iteration and talenttraining, integrates green processes and low-carbon technologies into the whole life cycle of products. In addition, Easpring cooperates with universities and scientific research institutions to build industry-university-research platforms, injecting strong impetus intoindustrial transformation and upgrading and national self-reliance in science and technology.Easpring follows the principles of scientific and technological ethics, and bears in mind of enhancing human well-being, respecting the right to life, adhering to fairness and justice. Easpring reasonably controls risks, and maintains openness and transparency, andabides by the national constitution, laws, regulations and relevant provisions. Easpring's business does not involve scientific research and technology development in sensitive ethical fields such as artificial intelligence and life sciences.Product Development StrategyAs the world's leading company in lithium battery cathode materials, Easpring strives to createa "source" of original technology. Focusing on the R&D strategy of "new material products, newtechnology systems, and new battery routes", Easpring has formulated a product developmenttechnology (2023-2028) plan and clarified product R&D and development key indicators androadmaps. At the same time, Easpring has established a clustered R&D innovation platformintegrating lithium-ion battery material technology research, product development,engineering design, testing and evaluation, and technical services, and continues to lead thetechnological progress of the industry. During the reporting period, Easpring's total R&Dinvestment was RMB 370 million, accounting for 4.88% of revenue.After years of continuous high-intensity R&D investment and technology accumulation,Easpring has won 38 national, provincial and ministerial honors such as "National RecognizedEnterprise Technology Center", "National Technology Innovation Demonstration Enterprise"and "National Intellectual Property Demonstration Enterprise". Easpring has obtained 52product and technology awards including China Patent Excellence Award, Beijing InventionPatent Award, Beijing Science and Technology Award, and China Nonferrous Metals IndustryScience and Technology Award. Among them, two enterprises, Easpring Changzhou and BeijingZodngoc, were recognized as "specialized and sophisticated " enterprises.During the reporting period, subsidiaries such as Easpring Changzhou, Easpring Jiangsu andBeijing Zodngoc were awarded national, provincial and ministerial honors and qualificationssuch as " Specialized and Sophisticated Small and Medium-sized Enterprises (SMEs) in Beijing","Beijing High-tech Enterprise", "Jiangsu Province Recognized Enterprise Technology Center","Jiangsu Engineering Research Center" and "Jiangsu Gazelle Enterprise".
Specialized and Sophisticated SMEs
in Beijing
Beijing High-tech Enterprise
Jiangsu Engineering Research
Center
Jiangsu Gazelle Enterprise
About EaspringGovernanceQuality, Innovation and DevelopmentValue Chain ManagementEnvironmental ProtectionEmployee and Community CareAppendixClimate ActionESG Report 2024Quality, Innovation and Development
5960
Product R&D Management
Easpring continues to improve the R&D management system. Easpring has been improving a technological innovationsystem covering all business areas, all processes, and vertically integrated, has established the New Energy MaterialsResearch Institute, the Research Institute of Lithium-ion Battery Material, and the Engineering & Technology ResearchInstitute of Lithium-ion Battery Material. In addition, Easpring hasformulated the "Project Management Regulations""Product Design Process Control Procedures"and other institutional documents to clarify the main matters andprocesses of R&D management. So far, Easpring has formed six product series: multi-component materials, lithiumiron phosphate (manganese), lithium cobalt oxide, lithium-rich manganese-based, key materials for solid-state lithiumbatteries, and cathode materials for sodium-ion batteries.
Responsible for carrying out basic theoretical research on new energy materials, whileaiming at the advanced science and technology, and carrying out forward-lookingresearch on strategic new materials.
New EnergyMaterialsResearchInstitute
Responsible for carrying out product research and development, applied research, andorganizing and implementing the transformation of scientific and technologicalachievements.ResearchInstitute ofLithium-ionBattery Material
Responsible for lithium battery material production process research, equipmenttechnology development, carbon management and intelligent manufacturingdevelopment.Engineering &TechnologyResearchInstitute ofLithium-ionBattery Material
Organizational structure and functions of the InstituteEaspring actively promotes the construction of technology platforms, continues to build and improve R&Dinfrastructure, matches advanced digital systems, and provides a solid hardware foundation for efficient R&D work. Asof the end of the reporting period, Easpring has equipped more than 2,000 sets of cutting-edge scientific researchequipment, providing strong support for the exploration of advanced technologies and ensuring that the R&D team cancarry out its work more efficiently and achieve innovative breakthroughs.At the same time, Easpring continues to promote the construction of digital systems such as Laboratory InformationManagement System Platform (LIMS) and Product Lifecycle Management System (PLM). In this way, Easpring hassuccessfully optimized laboratory resource allocation and experimental processes, strengthened laboratory qualitymanagement and risk control capabilities, and promoted collaboration and knowledge sharing within the R&D team,comprehensively improving project R&D efficiency.
"Molten Lithiation-Single Crystallization" ModelEaspring took the lead in proposing the "molten lithiation-single crystallization" model to promote thedevelopment of new technologies for multi-element gradient doping, surface modification and capacityimprovement. Easpring used the method ofin situconstruction of fast-ion conductor layer, effectively solve theproblem between solid-solid interface the electrolyte.
Nanoscale Solid-State Electrolyte Development
Through special component design to regulate lithium-ion channels, multi-element targeted modification tostabilize the crystal structure, Easpring has designed a unique full-process nano-integrated process, andsuccessfully developed a nano-scale solid electrolyte with high ionic conductivity and high stability.During the reporting period, Easpring's blended high-pressure compacted NCM811 layered single-crystal nickel-cobalt-manganese products, single-crystal high-voltage NCM56SC medium-nickel multi-component cathode materials andsingle-crystal high-capacity and low-cost ternary cathode materials won the Changzhou City Innovation product.
Changzhou Innovative Product Certificate
Easpring continues to lead the technological progress of the global high-performance battery key materials industry,and successfully develops a number of key technologies such as multi-element spherical precursor co-precipitationtechnology, uniform lithiation and crystallization technology of cathode materials, multi-element synergistic dopingmodification technology, and multi-level collaborative modification technology of micro-powder particle surface, so asto strengthen Easpring's industry position and leading advantage in the field of lithium battery cathode materials.
About EaspringGovernanceQuality, Innovation and DevelopmentValue Chain ManagementEnvironmental ProtectionEmployee and Community CareAppendixClimate ActionESG Report 2024Quality, Innovation and Development
6162
Green Design ProductsEaspring complies withthe "General Principles for Green ProductEvaluation"and other relevant national and industry regulations andstandards, and is committed to creating products with low resource andenergy consumption, low pollutant emissions, low toxicity and less harm,easy recycling and reuse, healthy, safe and high quality. Easpringcontinuously optimizes product design and production processes toprovide society with more environmentally friendly and efficient lithiumbattery cathode materials.
In the future, Easpring will continue to deepen product design and processinnovation, explore more environmentally friendly and efficient productionmethods, and contribute to the sustainable development of the lithiumbattery cathode material industry.
R&D TeamEaspring strives to build Easpring's strategic talent force, improve the whole chain training mechanismof scientific and technological talents, and provide lasting impetus for Easpring's continuousinnovation and development. Easpring now has a R&D team led by high-level talents such as national"hundreds and millions" talents, and has developed a R&D team with strong innovation capabilities,rich engineering experience, and business acumen. As of the end of the reporting period, Easpring hada total of 430 scientific research and technical personnel, including 29 doctors and 158 masters.Scientific research and technical personnel accounted for 23.92% of Easpring's employees.Easpring takes multiple measures to promote talent training, regularly provides capabilityimprovement training opportunities for the R&D team through "expert lecture hall + organizationalexperience extraction + co-creation workshop", broadens the professional knowledge horizon of theR&D team and improves business capabilities, and continuously stimulates the endogenousmotivation of employees to grow.During the reporting period, Easpring organized the "R&D Backbone Capability Improvement TrainingCamp", specially invited authoritative experts in the field of materials science of the Chinese Academyof Sciences to carry out special training. This training continuously improved the team'scomprehensive technical research and innovative practice capabilities through systematic learningand interactive communication.
Lithium-rich manganese-based materials with low cobaltcontent
Cobalt is a scarce and environmentally sensitive resource that iswidely used in lithium battery cathode materials. However, the highcontent of cobalt not only increases material costs, but also posespotential harm to the environment. Easpring has developedinnovative technologies that reduce cobalt content whilemaintaining the performance of cathode materials. By optimizing theprecursor structure design, combining lattice doping, surface-interface synergistic modification and extreme sintering process,Easpring has successfully solved the low energy density of low-cobaltcathode materials. and industry problems of poor cycle performance,simultaneously reducing the potential impact of cobalt on theenvironment and reducing dependence on scarce metal resources.Large capacity, high-efficiency production processUnder the guidance of the green design concept, Easpring hasachieved an increase in unit production line by more than 30% byoptimizing product processes, increasing the size of bottleneckprocess equipment units, and introducing thickeners and otherequipment into capacity bottleneck processes. At the same time, byoptimizing the washing process, Easpring improved productcrystallinity, reduced impurity content, significantly improvedproduct quality and production efficiency, achieved a reduction inproduct washing water consumption by about 20%, and effectivelyreduced the use of water resources.
Easpring continues to optimize the incentive mechanism to stimulate the innovation vitality of R&D personnel, implement the assessment and incentive mechanism for newproduct development. Easpring also explores various short-term and long-term incentive forms such as incentives for scientific and technological achievements and technologydividends, and use diversified incentive measures to stimulate employees to boldly innovate and deeply study key technologies. At the same time, Easpring has set up awards suchas "Science and Technology Progress Award", "Technology Innovation Award" and "Engineering Design Award" in the annual evaluation to commend teams and individuals withoutstanding performance in R&D innovation, play their demonstration and leading role, and promote Easpring's overall scientific and technological innovation level. During thereporting period, 10 projects of Easpring were awarded the Science and Technology Innovation Award, and 14 people were awarded the "Patent Star" award.
Scientific Research CooperationRelying on its strong innovation capabilities and technological leadership in the battery materials industry, Easpring actively participates in the preparation of industry standards,promotes school-enterprise cooperation, participates in government project applications, and accelerates the application of scientific and technological achievements throughthe deep integration of industry, academia and research.
R&D Backbone Capability Improvement Training Camp
About EaspringGovernanceQuality, Innovation and DevelopmentValue Chain ManagementEnvironmental ProtectionEmployee and Community CareAppendixClimate ActionESG Report 2024Quality, Innovation and Development
6364
Standard PreparationEaspring takes promoting the development of industry standardization as its own responsibility, actively participates inthe preparation of international and industry standards, and continues to transform innovative achievements intostandards. As of the end of the reporting period, Easpring has taken the lead or participated in the formulation of 59standards for related products, test methods, green products, etc., and is taking the lead in drafting key productstandards such as the national standard"Lithium Iron Manganese Phosphate"(Plan No. 20240002-T-610). It is alsoconstantly improving relevant standards such as sodium-ion battery cathode materials and solid electrolytes, andcontinues to promote the technological development of the industry.NumberStandard NameTypeStandard Number/Plan
Number
Measurement of Compaction Density of Lithium IonBattery Cathode Material Powder
National StandardGB/T44330-2024
Lithium - Rich Lithium Iron ManganeseNational Standard20230125-T-610
Determination of Moisture Content of Lithium-ionBattery Cathode Materials by Karl Fischer CoulombMethod
National Standard20230123-T-610
Lithium ManganateIndustry Standard2023-0257T-YS
Lithium Nickel Cobalt ManganateIndustry StandardYS/T798-2012
Battery Grade Sodium CarbonateGroup Standard2023-032-T/CNIADuring the reporting period, Easpring took thelead and participated in the compilation of 3national standards, 2 industry standards and 1team standard. At the same time, the industrystandard "Lithium Nickel Cobalt Manganate"ledby Easpring was awarded the second prize of the"Technical Standards Excellence Award" by theNational Nonferrous Metals StandardizationTechnical Committee, and the national standard"Lithium-Rich Lithium Ferrite"that itparticipated in drafting was awarded the"Technical Standards Excellence Award" Thirdprize. Chen, Yanbin, the Chairman of Easpring,was appointed as Deputy Chairman of thePowder Metallurgy Sub-Standards Committee.
In the future, Easpring will rely on its own technological advantages to continue to participate in the formulation andrevision of relevant standards and contribute to the high-quality development of the industry.
Excellent Award for Technical Standards of Lithium-rich Lithium
Ferrite/Lithium Nickel Cobalt Manganate
School-enterprise Cooperation
Easpring attaches great importance to industry-university-research cooperation, and has established in-depthcooperative relationships with well-known universities and scientific research institutions at home and abroad, such asPeking University, Tsinghua University, and University of Limpopo in South Africa. Through these cooperation withuniversities, Easpring carry out scientific and technological research jointly with universities to overcome technicalproblems and promote the transformation and implementation of scientific research results.Easpring explores diversified cooperation models with universities, builds a series of innovation platforms through in-depth collaboration, and establishes a joint laboratory for high-energy lithium battery materials, a studio for enterprisevisiting engineers and a mobile station for teachers and enterprise practice, etc., so as to educate people through multi-party collaboration and co-construction and sharing of resources. During the reporting period, Easpring established along-term school-enterprise cooperative relationship with Xuzhou Vocational College of Industrial Technologyintegrating production and education, and jointly built a "Teacher Enterprise Practice Mobile Station" and a "EnterpriseVisiting Engineer Workstation" to cultivate high-quality skilled talents for the industry and promote technologicalinnovation and industrial upgrading.
Scientific Research Project DeclarationRelying on Easpring's solid scientific research foundation and innovation strength, it has applied for and undertakenscientific research projects such as the development of key materials for solid-state lithium-ion batteries and thedevelopment of ultra-high nickel cathode materials by relevant national and local government departments, achievinghigh-level scientific and technological self-reliance for my country's new energy industry. Self-improvement hascontributed an important force.During the reporting period, Easpring applied for and participated in more than 40 government scientific researchprojects, continuously consolidating and enhancing Easpring's core competitiveness in the industry.
Easpring jiangsu and Xuzhou Vocational College ofIndustrial Technology jointly Build a School-enterprise
Cooperation Relationship
Teachers and Students of Nanjing University ofAeronautics and Astronautics Visited Easpring
Changzhou
About EaspringGovernanceQuality, Innovation and DevelopmentValue Chain ManagementEnvironmental ProtectionEmployee and Community CareAppendixClimate ActionESG Report 2024Quality, Innovation and Development
Easpring integrates patentlayout throughout the entireR&D process, conductshierarchical management ofpatent applications based oninnovation, economic benefitsand other dimensions, andsubmits domestic and foreignpatent applications in a timelymanner to continuouslyimprove patent layoutmanagement.
Through patent search andanalysis, Easpring establishesa patent database coveringEaspring's main business,provides timely informationon technologicaldevelopment trends andmarket trend for Easpring'sdecision-making and projectdevelopment, and avoids therisk of infringement of otherpeople's intellectual propertyrights caused by informationmismatch.
Easpring carries out technicalcooperation with partnersthrough patent licensing,pricing investment and othermethods to promote thetransformation of scientificand technologicalachievements and expand thevalue of intellectual propertyrights.
Easpring continues toincrease the categories oftrademark registration,expand the scope oftrademark protection, andfurther ensure the all-roundlayout and standardized useof Easpring's trademarks.
Easpring's intellectualproperty department, R&Dcenter, legal affairs and otherdepartments collaborate tostudy and judge producttechnical details and legalprovisions, and safeguardlegal rights according to law.
Intellectual Property ManagementEaspring complies with national laws and regulations such asthe PatentLaw of the People's Republic of China, as well as international treaties suchas the Patent Cooperation Treaty (PCT), and takes intellectual propertyrights as an important starting point for developing new productivity andpromoting innovation-driven development and high-quality development.
Easpring adopts the management mode of "group management andcontrol, modular operation and professional development". The intellectualproperty department of the headquarters is responsible for overallmanagement of the intellectual property work of each subsidiary companyand research institute, and each subsidiary company and research instituteimplements a unified standardized patent mining, patent application andreview system to realize dynamic compliance management of patent layout,trademark registration and trade secret protection.Easpring has formulated internal systems such asthe "Intellectual PropertyManagement Regulations"to continuously standardize the intellectualproperty management process, take multiple measures to strictly controlthe risk of intellectual property infringement, improve the patent incentivemechanism, and effectively safeguard its own competitive advantages. Inaddition, Easpring has formulated and implemented relevant managementsystems such as the Administrative Measures for the Protection of TradeSecrets, clearly listing product development, product formulas, rawmaterials, production processes, production methods and otherinformation as the scope of Easpring's trade secrets, and conductinghierarchical management and protection to comprehensively standardizeand strengthen Easpring's intellectual property protection. During thereporting period, Easpring conducted a series of intellectual propertytrainings, covering 260 person-times.Easpring comprehensively protects Easpring's innovative achievementsfrom multiple dimensions such as patents, trademarks and trade secrets,and continuously improves its intellectual property creation, protection,application and management capabilities.
Company’s Patent Certificate (Partial)
A lithium-rich manganese-based material and its preparation method and application (EuropeanPatent Bulletin No. EP4047688B1) have obtained patent authorization from Europe, China, the UnitedStates, Japan and South Korea at the same timeEaspring was approved the European patent "A lithium-rich manganese-basedmaterial and its preparation method and application" (European patentannouncement number: EP4047688B1), disclosing a lithium-rich manganese-based material with excellent cycle performance, high discharge specific capacityand good rate performance. Lithium-rich manganese-based materials havesimultaneously obtained patent authorization from China, the United States,Japan, and South Korea.
European Patent Certificate
Easpring continues to build a global intellectual property protection network by obtaining patent authorizations in key markets. With forward-looking planning and layout,Easpring has authorized core patents in the five major markets of China, the United States, Japan, Europe and South Korea, with a total of 60 PCT patent applications and a total of38 authorized overseas patents. During the reporting period, Easpring has obtained 30 newly authorized overseas patents.
As of the end of the reporting period, Easpring's patentapplications have been effectively covered with sixproduct series and intelligent equipment: lithiumnickel cobalt manganese (aluminate), lithium ironphosphate, lithium iron manganese phosphate, keymaterials for solid-state lithium batteries, lithiumcobalt oxide, and cathode materials for sodium-ionbatteries. A total of 834 domestic and foreign patentapplications have been submitted, 352 domestic andforeign authorized patents have been obtained, and 45software copyrights have been authorized. During thereporting period, Easpring applied for 193 newdomestic and foreign patents and added 72 newdomestic and foreign authorized patents.
Strengtheningpatent layout
Establishing a patentdatabase
Intellectual propertycooperation
Optimizing trademark
registration
Legal risk preventionand control
Main Measures for Intellectual Property Protection
About EaspringGovernanceQuality, Innovation and DevelopmentValue Chain ManagementEnvironmental ProtectionEmployee and Community CareAppendixClimate ActionESG Report 2024Quality, Innovation and Development
6768
IntelligentManufacturingEaspring actively embraces digital transformation, introduces digitaltechnology, comprehensively promotes the construction of intelligentmanufacturing systems, realizes digital management of the whole processfrom R&D to production, and improves resource utilization efficiency andflexible production capacity. At the same time, Easpring deeply practices theconcept of lean management, focuses on refined management and controland continuous optimization, and greatly improves production efficiencyand product quality through the construction of smart factories to ensurethat every link meets excellent standards.Digital Factory StrategyEaspring systematically promotes digital construction and formulates top-level digital transformation planning such as " Digital TransformationStrategic Plan", focusing on the four major features of smart factories:
comprehensive perception, collaborative sharing, analysis and optimization,prediction and early warning. By deeply integrating the new generation of ITtechnology with advanced manufacturing technology, Easpring realizesdigitalization throughout all aspects of production, management, service,etc., and creates a smart factory with intelligence, information, automation,and digitalization.In accordance with the design concept of "business-oriented, data-centric,integrated and integrated", Easpring builds an interconnected digitalplatform to realize data integration and sharing, and provides accuratedecision-making support for intelligent manufacturing with the help of real-time production data analysis, helping scientific decision-making. At thesame time, Easpring relies on advanced technologies such as cloudcomputing, big data and AI to further promote the construction of smartfactories, improve the level of production intelligence, and realize therefinement and efficiency of production management.
Digital Transformation Implementation Path:
Easpring implements digital transformation through the following three phases to realize the construction of smart factories:
Implementation PhaseMain Tasks
ImplementationProgress
Phase I
?Continuously optimizing various infrastructures.?Upgrading production line equipment and industrial control system.?Promoting information security management system certification.
Completed
Phase II
?Optimizing PLM, MES, SRM, CRM, SAP and other systems continuously, and enriching business scenariossuch as "integration of research, production, supply and marketing" and "integration of business andfinance".?Polishing and promoting the mature production management system.?Carrying out data base and data governance construction.
In progress
Phase III
?Comprehensive digital empowerment of enterprise management and strategic decision-making.?Establish a risk management system based on big data platform and AI.?Build digital twin that meet national smart factory standards and realize digital lighthouse factories.
To be implemented
During the reporting period, based on the SAP system, Easpring integrated multiple digital systems such as MES/WMS/DCS to break the isolated information between finance,manufacture, supply chain, and other departments, which realized the real-time sharing of various data and seamless connection of business processes. Through integratingvarious systems, Easpring improved management efficiency based on the timely and accurate data analysis.
About EaspringGovernanceQuality, Innovation and DevelopmentValue Chain ManagementEnvironmental ProtectionEmployee and Community CareAppendixClimate ActionESG Report 2024Quality, Innovation and Development
Submersible Lift AGV Trolley
Construction of Smart FactoryEaspring deeply integrated cutting-edge technologies such as machinevision inspection, digital twin simulation, 5G +, and cloud computing withadvanced manufacturing. In addition, Easpring continues to construct andintegrate DCS, BATCH, MES, PLM, WMS, WCS and other digital systems toachieve agile production collaboration and refined productionmanagement.
Industry Partner CooperationIn the journey of digital transformation, Easpring has carried out in-depthcooperation with industry leading companies to further improve the level ofdigital R&D and manufacturing. During the reporting period, Easpring SDIGPanzhihua and Siemens signed a memorandum of cooperation on theconstruction of a "lighthouse factory". Relying on Siemens' advancedtechnology and rich experience in the digital field, Easpring SDIG Panzhihuasystematically built a closed-loop management system for R&D andmanufacturing processes, promoting enterprises to lead the industryforward.
Sample Delivery Robot and Inspection Robot Based on 5G Private Network
Easpring Changzhou Integration of Informatization and InformatizationManagement System Assessment Certificate AAA Certification
Signing Ceremony of Memorandum of Cooperation on the Construction of "Lighthouse Factory"
During the reporting period, Easpring Jiangsu was awarded the "JiangsuProvince Intelligent Manufacturing Demonstration Workshop", and EaspringChangzhou was Integration of Informatization and InformatizationManagement System Assessment Certificate AAA.Easpring has introduced intelligent equipment such as submersible lift automatic guidedvehicles (AGV) and promoted the integration of the WMS, the sagger automatic detection andcleaning conveyor line, and the automatic stacking conveyor line. Though this way, Easpringhas realized automatic detection and cleaning conveyor of sagger, in-factory logisticsoperation, and automatic packaging, which improves the energy efficiency of productionarea management and material transportation efficiency.At the same time, Easpring developed automatic picking and delivery robots and safetyinspection robots based on 5G private network. It helps realize functions such as personnelidentification, standardized material stacking, environmental monitoring, and equipmentand instrument data collection, which improves the efficiency of sample delivery andworkshop safety and environmental inspection, significantly improve Easpring’sproduction efficiency. Utilizing such equipment, Easpring build a benchmark manufacturingbase that is safe, environmentally friendly, green, efficient and intelligent.
About EaspringGovernanceQuality, Innovation and DevelopmentValue Chain ManagementEnvironmental ProtectionEmployee and Community CareAppendixClimate ActionESG Report 2024Quality, Innovation and Development
7172
Product Quality and SafetyEaspring always regards product quality and safety as the cornerstone of enterprise development. With the centralstrategy of "comprehensively building and implementing ISO9001 & IATF16949 quality management", Easpringcontinuously improves product performance and reliability through R&D, standard management, lean operation andintelligent manufacturing. In addition, Easpring continuously optimizes the quality management system, builds aquality culture for all employees, and provides clients with the most trustworthy high-quality products.
Quality Management System
Easpring strictly abides by the Product Quality Law of the People's Republic of China and relevant laws and regulations,and constantly improves the quality management system. The product management system covers all aspects such asraw material procurement, production control, process change, product testing, warehousing and logistics, and after-sales service, by which Easpring can control product quality in all-round.
Quality System CertificationGuided by the international standards ISO9001 and IATF16949, Easpring continues to establish and improve Easpring'squality management system in combination with Easpring's development strategy and operation and management.The system covers all aspects such as raw material procurement, design and development, production control, producttesting, warehousing and logistics, and after-sales service, helping Easpring realize the full life cycle management ofproduct quality.In order to ensure the effectiveness of the quality management system, Easpring regularly organizes internal audits inall aspects of the product life cycle every year. At the same time, Easpring actively invites external third-partycertification bodies to carry out quality management-related audit and certification every year. As of the end of thereporting period, Easpring's all cathode material production bases have passed ISO 9001 quality management systemcertification. The Easpring Changzhou and Easpring Jiangsu have obtained IATF16949 automotive quality managementsystem certification. Easpring SDIG Panzhihua plans to pass IATF16949 automotive quality management systemcertification in 2025.
IATF16949 Automotive Quality Management
System Certification
ISO 9001 Quality System Certification
Process Quality ControlProcess quality control plays a key role in the quality management system. Easpring adopts the cycle managementmethod of PLAN, DO, CHECK and ACT (PDCA) to ensure the effective implementation and continuous optimization ofquality management measures. Easpring has formulated procedural documents such asSupplier Management ControlProcedure, Product Monitoring and Measurement Control Procedure and Non-conforming Product Control Procedure,which specify the quality control processes and standards of key links such as raw material procurement, warehousinginspection, incoming quality control, product quality specification, non-conforming product management, shipmentinspection and packaging requirements. Easpring ensures each process is strictly controlled and provide clients withsafe, reliable and high-quality products. During the reporting period, Easpring did not have any recall incidents due tohealth and safety issues in the total number of shipped or shipped products, nor did it have any product recall incidents.Easpring has established a quality performance appraisal mechanism, covering relevant departments such as R&D,process, production, supply chain and operation, formulated scientific and systematic quality management objectivesand set relevant performance weights. Easpring tracks and evaluates the achievement of quality objectives of eachproduction base every month, identifies potential problems in time and takes targeted measures to ensure thecontinuous achievement of quality objectives. During the reporting period, Easpring fully achieved various qualitymanagement objectives, and no major product safety and quality accidents related to products and servicesoccurred.
At the same time, Easpring attaches great importance to the construction of producttesting capabilities, establishes high-standard laboratories equipped with first-classprofessional testing and analysis equipment, and complies with IS0/IEC17025: 2017"General Requirements for Testing and Calibration Laboratory Capabilities" (CNAS-CLO1 "Testing and Calibration Laboratory Capabilities Accreditation Guidelines").During the reporting period, Easpring Jiangsu laboratory passed CNAS (ChinaNational Accreditation Service for Conformity Assessment) certification, whichprovided stronger support for Easpring's product quality control.
CNAS Certification Certificate
The timely deliveryrate of mass-produced productsis 100%
The mainresponsible qualityaccident is 0
client complainthandling rate 100%
The qualified rate ofthe finished productsubmitted forinspection at onetime ≥ 99. 5%Product quality management objectives
About EaspringGovernanceQuality, Innovation and DevelopmentValue Chain ManagementEnvironmental ProtectionEmployee and Community CareAppendixClimate ActionESG Report 2024Quality, Innovation and Development
7374
Quality Culture Construction and Capacity ImprovementEaspring attaches great importance to quality management training, and has established and continuously improved acomprehensive quality training system covering Easpring level, factory level and department level. Through acombination of online and offline methods, Easpring carries out quality training for all employees to continuouslyimprove employees' awareness and attention to product quality and safety; It also continuously carried out qualityimprovement activities for all employees, optimized core business processes, and continuously improved the qualitymanagement capabilities of personnel.During the reporting period, Easpring carried out a series of quality culture-related lectures and trainings, withapproximately 1,500 trainees.
Practical training on six core tools of quality managementIn 2024, Easpring will hold practical training on the six core tools of quality management. Through caseexplanations, practical drills, group discussions, and internal project reviews, Easpring will conductcomprehensive training on the application of tools such as advanced product quality planning (APQP), failuremode and impact analysis (FMEA), and measurement system analysis (MSA), statistical process control (SPC),control plan (CP), and production parts approval procedure (PPAP). A total of more than 40 people fromEaspring's quality management participated in the training.
Practical Training on Six Core Tools of Quality Management
Management of Hazardous SubstancesEaspring strictly complies with the requirements of the EU Battery Law, RoHS Directive, REACH regulations, halogen-free standards and automobile banned substance requirements (GB/T30512-2014). Easpring formulates andimplementsthe Regulations on the Management of Hazardous Substances, and comprehensively standardizes thehazardous substances control process of products from raw materials to finished products. In this way, Easpringensures that the products do not contain harmful substances such as lead, mercury, hexavalent chromium,polybrominated biphenyls (PBBs), and polybrominated diphenyl ethers (PBDEs), and strictly control the environmentalprotection and safety of the products.In order to ensure the effectiveness of hazardous substance management, Easpring entrusts external professional thirdparties to conduct hazardous substance testing on finished products every year. In addition, Easpring posts relevantlabels on shipped products to convey the environmental protection attributes of products to clients in a responsiblemanner. At the same time, Easpring puts forward strict requirements for suppliers and needs to provide test reportsthat meet relevant standards to effectively prevent harmful substances from flowing into the production process.During the reporting period, all products of Easpring passed the RoHS directive, REACH regulations and halogen-freetests of third-party professionalorganizations and obtained qualified reports.
REACH Regulation / RoHS Directive and Halogen-Free Third-Party Test Qualification Report
About EaspringGovernanceQuality, Innovation and DevelopmentValue Chain ManagementEnvironmental ProtectionEmployee and Community CareAppendixClimate ActionESG Report 2024Governance
EnvironmentalProtection
Environmental protection is an important pillar to achieve sustainable development. Easpring iscommitted to a green development model and increase investment in green technology, promotingreduction of pollutant emissions, and the consumption of water resources and energy. Moreover, Easpringpromotes resource recycling and protects biodiversity. With these practical actions, Easpring iscontributing to the building of a beautiful China.
Responses to issues in this Chapter?Environmental compliance management?Pollutant emissions?Ecosystem and biodiversity conservation?Utilization of water resourcesThis Chapter responds to SDGs
Performance in this Chapter
Key
?100% of cathode material operating production bases obtained ISO 14001 environmental
managementsystem certification
?Total environmental protection investment RMB 13.99 million
?Special environmental audit covers 100% of cathode material operating production bases
?The compliance rate of pollutant monitoring is 100%
?16 products passed the annual review of UL solutions recycled material content certification
?Utilization of Energy?Circular economy?Waste disposal
ESG Report 2024
About EaspringGovernanceQuality, Innovation and DevelopmentValue Chain ManagementEnvironmental ProtectionEmployee and Community CareAppendixClimate ActionESG Report 2024Environmental Protection
Management SystemEaspring takes "providing green materials for pioneering products and continuously contributing to the era ofecological civilization" as its environmental management mission, and builds an environmental management system ata high level with reference to the ISO14001 environmental management system and its own management requirements.Easpring takes the Safety Production Committee as the highest decision-making body in environmental management,with the chairman as the chairman of the committee. The members of the committee include Easpring's seniormanagement, heads of relevant departments at the headquarters and subsidiaries. It is responsible for formulatingEaspring's environmental management policies and measures, establishing and improving the environmentalassessment system, organizing environmental inspections and supervising the rectification of hidden dangers. Theoffice of the Committee is located in the EHS Management Department, which is responsible for guiding theenvironmental management work of subsidiaries and various departments, carrying out environmental inspectionsand special supervision, organizing emergency rescue work for major accidents, and being responsible for theinvestigation and handling of major accidents and handling and closing cases. Easpring's cathode material productionbases that have been put into operation have independent safety and environmental protection departments and full-time environmental administrators, who are responsible for establishing, implementing, maintaining and continuouslyimproving Easpring's environmental management system, promoting the implementation of various environmentalprotection systems, and improving Easpring's environmental management performance. As of the end of the reportingperiod, 100% of Easpring's cathode material production bases that have been put into operation have obtained ISO14001 environmental management system certification.
ISO 14001 EnvironmentalManagement System Certification
Easpring has formulated and implemented internal management systems such asEHS Management Manual,Environmental Protection Management Regulations,Environmental Factor Identification and Assessment ControlProcedures, andTen Environmental Iron Regulationsto clarify the process of environmental management, regularlyidentify the environmental factors and possible environmental impacts involved in business activities, and strictlyimplement control measures in accordance with relevant requirements to ensure the standardization andeffectiveness of environmental management. Easpring sets and updates environmental management targets everyyear, tracks the performance of environmental targets of each department every month and incorporates them intothe process performance appraisal. During the Year, Easpring's environmental management objectives are as follows:
Easpring’s Environmental Management ObjectivesDuring the reporting period, Easpring's environmental management objectives have been achieved, no majorenvironmental emergencies have occurred, and no administrative penalties have been received from relevantdepartments such as ecological environment.At the same time, according to the system certification requirements and the annual audit plan, Easpring has carriedout special environmental audits and issued internal audit reports. During the reporting period, the specialenvironmental audit covered 100% of the cathode material production bases that have been put into operation.
0 Majorenvironmentalaccidents
100% productionwaste gas emissionstandards
Near-zero dischargeof production
wastewater
The proportion of
solid wasterecycling continues
to increase
Environmental Compliance
Easpring strictly abides by national and local laws and regulations such asthe Environmental Protection Law of the People's Republic of China, and continuously improves the modernization level of Easpring's environmental governance.
About EaspringGovernanceQuality, Innovation and DevelopmentValue Chain ManagementEnvironmental ProtectionEmployee and Community CareAppendixClimate ActionESG Report 2024Environmental Protection
7980
Environmental Protection Investment
Sufficient investment in environmental protection funds is the key guarantee for carrying out environmental protectionwork. Easpring firmly fulfills its commitments in environmental protection and maintains stable and continuous capitalinvestment in various environmental protection work. With the completion of several new projects and environmentalprotection projects of Easpring, Easpring's environmental protection investment will gradually stabilize and maintain ata sufficient and reasonable level. During the reporting period, Easpring invested a total of RMB 13.99 million inenvironmental protection, and paid RMB 262,200 in environmental protection tax.Environmental Emergency Response Capabilities and Training
Easpring continued to improve the environmental emergency management system, prepared documents such astheEmergency Plan for Environmental Emergenciesand completed the filing with the local environmental protectionmanagement department to clarify the handling process of environmental emergencies. At the same time, Easpring hasestablished an emergency rescue team, equipped with emergency management materials, and established a smoothreporting and emergency response mechanism for environmental emergencies with local environmental protectionmanagement departments.Easpring regularly conducts environmental protection training for all employees to raise their environmental awareness;Carry out special environmental protection training for personnel in key positions such as sewage stations andlaboratories to effectively improve the professionalism of the environmental management team. Easpring's cathodematerial production base that has been put into operation organizes environmental incident emergency drills at leastonce a year to ensure that personnel can quickly and effectively carry out on-site emergency response work. During thereporting period, Easpring conducted environmental protection training with a total of 1,385 participants; Carried out 7emergency drills for environmental emergencies.
"Three lines and one list" refers to the ecological protection red line, the environmental quality bottom line, the resource utilizationonline, and the ecological environment access list.
Biodiversity Conservation
Easpring is highly concerned about the impact of its operational activities on biodiversity. Easpring strictly abides bylaws and regulations related to biodiversity protection, such asthe Wildlife Protection Law of the People's Republic ofChina,the Forest Law of the People's Republic of Chinaandthe Wetland Protection Law of the People's Republic ofChina, formulates andimplements the Environmental Protection Management Regulations
and the "ThreeSimultaneous Management Policy of Construction Projects ",
and defines the environmental protection requirementsin all aspects of project design, planning and operation to reduce the impact on biodiversity and ecosystem.During the project design and planning stage, Easpring carries out ecological and biodiversity risk and impactassessment, requiring new projects to meet the "three lines and one single" ecological environment zoningmanagement and control requirements, and avoiding sites in nature reserves, world cultural and natural heritage sites,forest parks, geoparks, wetland parks and other protected areas, as well as near drinking water source protection. Atthe same time, Easpring actively carried out environmental management system certification and standardizedmanagement of three wastes, and adopted effective pollutant control measures to ensure that pollutants aredischarged stably and up to standard, and reduce the impact on the surrounding environment.As of the end of the reporting period, all production sites of Easpring are industrial sites, and there are no operatingsites located in or near nature reserves and biodiversity-rich areas; No significant impacts on ecosystems andbiodiversity have been identified for all production operations, products and services.
About EaspringGovernanceQuality, Innovation and DevelopmentValue Chain ManagementEnvironmental ProtectionEmployee and Community CareAppendixClimate ActionESG Report 2024Environmental Protection
8182
Pollutant and Waste ManagementEaspring strictly complies with laws and regulations suchas the Environmental Protection Law of the People's Republic of Chinaand other standards such asthe Integrated Wastewater Discharge Standard,the Integrated Air Pollutant Discharge Standard. Easpringstrictly controls the generation and discharge of waste water, waste gas, solid waste and other pollutants in production and operation, take measures to control noise, and ensure that pollutant discharge is lawful and compliant.
Types of major pollutantsAnnual targetsTarget achievement
Total Nickel Emissions
Annual emissions not exceeding 0.25tonnes
Emission of 0.0024 tonnes, achievedthe target
Total COD Emissions
Annual emissions not exceeding 72tonnes
Emissions of 3.29 tonnes, achievedthe target
Total ammonia nitrogenemissions
Annual emissions not exceeding 20.92tonnes
Emission of 0.65 tonnes, achieved thetarget
Easpring conducts online monitoring of all discharged wastewater pollutants, monitors the discharge situation in realtime, and gives timely warning and prompt treatment in case of abnormality. At the same time, Easpring strictlycomplies with the requirements of national environmental monitoring technical specifications and environmentalmonitoring management regulations, and entrusts professional third parties to carry out sewage discharge datamonitoring, including monitoring of major water pollutants at wastewater outlets, monitoring of rainwater dischargesaliva pollutants, and environmental monitoring of surface water and groundwater. During the reporting period,Easpring entrusted a total of 46 independent monitoring sessions by third parties, and the results of online monitoringand independent monitoring of water pollution 100% met standards.At the same time, Easpring has established effective wastewater emergency protection measures, and set up accidentwastewater collection tanks, initial rainwater collection tanks, cofferdams and intercepting ditches and other facilities.Once a wastewater risk accident occurs, all accident wastewater will be guided to the accident wastewater collectiontanks for centralized treatment. At the same time, relying on the topographic characteristics of each production site,Easpring has set up interception ditches around it. The initial rainwater is collected to the initial rainwater collectiontank through the control valve, and the rest of the rainwater is discharged into the rainwater pipe network of the parkin an orderly manner, which can realize the control of accident wastewater and possibly polluted rainwater. Throughthese measures, Easpring manages wastewater comprehensively to control and minimize environmental impact.Waste Gas Treatment
Easpring will produce a certain amount of waste gas during its operation. Easpring's waste gas includes three parts:
production waste gas, experimental waste gas and domestic waste gas. The production waste gas mainly includes dustgenerated in product crushing, mixing, packaging and other sections, liquid phase precipitation in the wet workshop,Ammonia gas generated in aging, washing and filtration pressing processes, and lithium iron phosphate sintering tailgas, etc.Easpring has formulated and implementedthe Environmental Protection Management Regulationsand adopted aseries of measures such as source reduction, process control and end-of-terminal treatment to carry out targetedemission control of pollutants to protect the health and safety of on-site workers. Easpring has a fully closedproduction system, automatic feeding, closed packaging, and captures waste gas pollutants generated in each processthrough negative pressure. The capture rate is expected to reach more than 99%, reducing unorganized waste gasemissions from the source.Easpring has clarified the sources and types of exhaust gas emissions in each part, and adopted scientific andreasonable treatment methods.
Wastewater ManagementEaspring's wastewater mainly includes production wastewater, domestic wastewater and factory rainwater. Followingthe principle of "rainwater and sewage diversion and clean sewage diversion", independent drainage pipe networks areset up respectively.Easpring's production wastewater mainly includes precursor mother liquor wastewater, washing liquor wastewater,laboratory wastewater and workshop washing wastewater. Easpring formulated the "Environmental ProtectionManagement Regulations", established a "three-level wastewater control process", and clarified the risk points andcontrol measures of wastewater facilities at all levels.For production wastewater and initial rainwater, Easpring adopts advanced wastewater treatment technology andbuilds a high-standard comprehensive sewage treatment station for treatment, giving priority to purification treatmentand recycling to minimize wastewater discharge. During the reporting period, all production wastewater of EaspringChangzhouwas reused after comprehensive treatment, achieving zero discharge.A small part of other production wastewater and domestic sewage that need to be discharged will be discharged intomunicipal and park sewage treatment plants for further treatment after being treated by sewage treatment facilities. In2024, Easpring has set and achieved the following production wastewater discharge targets:
About EaspringGovernanceQuality, Innovation and DevelopmentValue Chain ManagementEnvironmental ProtectionEmployee and Community CareAppendixClimate ActionESG Report 2024Environmental Protection
8384
For general industrial solid waste, Easpring sets up domestic wasteclassification boxes and general solid waste warehouses in domestic andproduction areas, and then entrusts downstream suppliers to process orrecycle them for comprehensive utilization. At the same time, Easpring activelyrecycles solid waste containing metal compounds and other recyclablematerials, and comprehensively utilizes other general wastes by trade-in orexternal sales to improve the recycling rate of wastes. During the ReportingPeriod, Easpring disposed of 1,224.70 tonnes of general solid waste, achievinga year-on-year decrease of approximately 18% in general waste discharge.For hazardous waste, Easpring has set up a dedicated hazardous wastestorage room to prevent leakage disposal on the ground, posted obvious signs,and regularly entrusted qualified hazardous waste treatment suppliers toremove, transport and dispose of hazardous waste in compliance. During thereporting period, Easpring disposed of 123.96 tonnes of hazardous waste.
Types of major pollutantsAnnual targetsTarget achievementAmmonia gasAnnual emissions not exceeding 1.45
tonnes
Emission of 1.07 tonnes, targetreachedParticulate matterAnnual emissions not exceeding 16.34
tonnes
Emission of 3.03 tonnes, targetreached
During the reporting period, the output of Easpring's precursors and other process products increased, but through thecontinuous improvement of the waste gas treatment process, the emissions of various major waste gas emissionsremained fluctuating and stable. At the same time, Easpring has set up standardized waste gas sampling points andentrusted a third-party professional organization to monitor the discharge outlets and environmental monitoringpoints. During the reporting period, Easpring carried out 35 independent monitoring of waste gas pollutants, and 100%of the monitoring results met the standards.
Solid Waste TreatmentWaste generated by Easpring includes general industrial solid waste and hazardous solid waste. General industrialsolid waste mainly includes office waste, general packaging materials, domestic waste, etc. Hazardous waste mainlyincludes waste engine oil, waste oil barrels, nickel-containing waste packaging and waste filter cartridges, etc.Adhering to the waste management principle of "reduction, recycling and harmlessness", Easpring formulated andimplemented the Regulations on the Management of Solid Waste Reduction and Resource Recycling, clarified theworkflow of solid waste reduction and recycling, and continuously standardized waste management.
Noise ControlThe noise generated by Easpring is mainly mechanical noise caused by mechanical impact, friction, rotation, etc. andaerodynamic noise caused by aerodynamic force of air.Easpring gives priority to low-noise equipment, reduces noise by improving production processes, equipment shock-absorbing transformation, installing noise-absorbing devices, strengthening building sound insulation, optimizingproduction management and other measures, and regularly carries out noise monitoring to effectively reduce noiseand control its environmental impact.During the reporting period, Easpring carried out 9 independent noise monitoring times, and 100% of the noisemonitoring results at the factory boundary during the day and night met the standards.
Noise Control of EaspringSDIGPanzhihuafor Air Compressor Room
In 2024, Easpring SDIG Panzhihua will carry out a jet crushing system noise control project in the air compressor
room of the first workshop. By installing sound absorption and insulation modules, adopting active elimination
technology, installing sound-absorbing materials, and mechanical improvements, it will achieve noise reduction
of more than 15 dB.
Garbage Sorting BoxFor domestic waste gas, its sources, types and treatment methods are:
?The canteen oil fume is discharged in compliance with regulations after being treated by the canteenoil fume purifier.
For experimental waste gas, its sources, types and treatment methods are:
?Laboratory particulate matter is collected uniformly and then processed by comprehensive wastegas treatment equipment and discharged in compliance with regulations;?Ammonia acid mist, nitrogen oxides, ammonia and volatile organic compounds (VOCs) are uniformlytreated by the acid-base neutralization treatment tower in the fume hood and then discharged incompliance.
For production waste gas, its sources, types and treatment methods are:
?Dust (including nickel, cobalt, manganese and their compounds and particulate matter) is treated by
filter cartridge and sintered plate dust collector, and a very small amount of dust is dischargedthrough the exhaust pipe in compliance;?Ammonia gas is condensed and recovered to achieve clean production.?The temperature at the end of lithium iron phosphate burning is incinerated in an RTO incinerator,and the discharge meets the standard after bag dust removal and activated carbon adsorption.
About EaspringGovernanceQuality, Innovation and DevelopmentValue Chain ManagementEnvironmental ProtectionEmployee and Community CareAppendixClimate ActionESG Report 2024Environmental Protection
8586
Resource managementAdhering to the principle of sustainable development, Easpring incorporates the concepts of water conservation, energy conservation and biological resources protection into its business development and operation, implements water and energy quotamanagement, continuously improves the level of resource conservation and intensive utilization, and promotes the comprehensive green transformation of economic and social development.
Energy ManagementThe direct energy consumed by Easpring includes natural gas, gasoline and diesel, and the indirect energy includesspontaneous electricity, purchased electricity and steam, etc. Easpring does not belong to a high energy-consumingindustry.Easpring strictly abides bythe Energy Law of the People's Republic of Chinaand other legal norms, relies on a soundenergy management system and the construction of a digital management system to continuously improve the use ofclean energy and continue to promote Easpring's green and high-quality development. With reference to ISO 50001and other standards, Easpring has formulated internal formulations such as Energy Management Regulations,continuously established and improved the energy management system, clarified the energy management processand responsibilities of responsible departments, and set up special management departments in all production basesto be responsible for the formulation, approval and assessment management of energy consumption plans, etc. At thesame time, Easpring regularly conducts special energy audits in accordance with system certification requirementsand annual audit plans, and issues internal audit reports on the energy management system. As at the end of thereporting period, Easpring Changzhou and Easpring Jiangsu have obtained ISO 50001 energy management systemcertification.
Water Resources ManagementEaspring's water source is municipal water supply, which is mainly used for daily production and life, and does notbelong to high water consumption industries. Easpring strictly abides bythe Water Law of the People's Republic ofChina,"Water Conservation Regulations"and other laws and regulations, attaches importance to and continuouslyimproves water resources management, formulates reasonable water management plans with the help of the "waterbalance model" of each production base, and regularly conducts on-site surveys on water use scenarios and recycledwater reuse scenarios. Reduce "leakage" and waste of water resources. During the reporting period, Easpring had nodirect or indirect significant impact on water resources caused by changes in water intake, water consumption,drainage or water storage, nor had it experienced difficulties in water intake.Recycling water is an important measure for Easpring to fundamentally reduce water intake, protect fresh waterresources and reduce water pressure. Through the use of recycled water equipment and technology, and theinstallation of filtration and reverse osmosis systems in self-built sewage treatment stations, Easpring minimizes theconsumption of new water and maximizes water efficiency. During the reporting period, Easpring's total water intakewas 545,500 tonnes, and its recycling water consumption was 149,300 tons.In addition, Easpring actively organizes water-saving initiatives and calls on employees to participate in waterresources protection actions to further enhance employees' awareness of water conservation.
World Water Day, China Water Week Theme Activities
ISO 50001 EnvironmentalManagement System Certification
About EaspringGovernanceQuality, Innovation and DevelopmentValue Chain ManagementEnvironmental ProtectionEmployee and Community CareAppendixClimate ActionESG Report 2024Environmental Protection
8788
Easpring continues to optimize the construction of digital energymanagement system, and the energy management system isinterconnected with DCS, power backend and other systems to achieveaccurate collection of energy data, real-time monitoring and abnormalwarning. At the same time, Easpring has formulated a standard productenergy consumption model and updated it regularly to continuouslyimprove the energy utilization rate. During the reporting period, EaspringChangzhou completed the application of digital energy managementsystem, and the timely feedback rate of abnormal energy consumptionincreased by 80%, improving the level of refined energy management.Easpring is committed to increasing the proportion of clean energy use. Byinvesting in the construction of new factories in areas rich in renewableenergy, applying clean energy such as natural gas, and building its ownrooftop distributed photovoltaic projects, Easpring has accelerated thetransformation to a cleaner production model. During the reporting period,the third phase of Easpring Jiangsu photovoltaic power generation projectwas successfully connected to the grid. Easpring's annual total photovoltaicpower generation can reach 7,807.51 MWh, and clean energy
use accountsfor 10.58%.
Circular Economy
Faced with the challenges and opportunities brought by a series of overseas sustainable policies and regulations such as the European Union's new EU regulation for batteries,
Easpring is actively promoting its investment layout in the field of battery recycling, and has conducted on-site research on multiple power battery recycling projects. At the sametime, Easpring actively leverages industrial synergy effects and has reached in-depth strategic cooperation with high-quality suppliers in the industry such as Huayou Cobalt, GEM,and Zhongwei. Focusing on key materials such as cobalt, nickel, and lithium, Easpring has expanded recycling channels, recycling technology research and development, resourcesharing, etc. Easpring carries out close cooperation in multiple dimensions and jointly assume extended producer responsibilities.Easpring actively integrates the concept of circular economy and is committed to the efficient utilization of materials. Through innovative processes and technological upgrades,Easpring realizes the recycling of materials in the production process and the recycling of packaging materials to minimize resource consumption and waste discharge.
In addition, Easpring implementsthe principle of circular economythroughout the R&D and productionof green and low-carbon products,and creates resource-saving andenvironment-friendly products.During the reporting period, 16products of Easpring, includingmulti-component materials andlithium cobalt oxide materials,passed the annual audit of ULSolutions and obtained UL 2809recycled material contentcertification.
Clean energy refers to the energy generated by solar power and natural gas.
Excavating the recycling capacity of production materials, achieve efficient recovery and recycling of materials in the production process throughproduction process optimization and process updating, and reduce waste of raw materials and external dependence.
Material
Reuse
Optimizing the packaging recycling system, actively reduce the amount of new packaging materials put into use, carry out ton bag recycling plan,delivery pallet recycling mechanism, and use recyclable sampling bottles for sampling disposable aluminum foil bags in the pre-processing link, etc.Achieve packaging reduction and reuse in multiple links.
PackagingRecycling
UL2809 Recycled Material Content Certification
Easpring Jiangsu Photovoltaic Power Generation Phase III Project was
successfully connected to the grid
Easpring Changzhou Rooftop Distributed Photovoltaic
About EaspringGovernanceQuality, Innovation and DevelopmentValue Chain ManagementEnvironmental ProtectionEmployee and Community CareAppendixClimate ActionESG Report 2024Governance
Value ChainManagementUnder the new pattern of global competition and industrial transformation, Easpring deeplypractices supply chain resilience construction and industrial chain value co-creation. Bybuilding a stable and reliable supply chain system, it creates a supply ecosystem with sharedresponsibilities and leads industry technological collaborative innovation. Easpring ispromoting the symbiosis and co-prosperity of the entire industry chain with high-qualitydevelopment.
Responses to issues in this chapter?Supply chain security?Responsible supply chain?client service and communication
This chapter responds to SDGs
Key Performance in this Chapter
?Supplier training coverage 100%
?Supplier annual audit completion rate 100%
?The signing rate ofthe Supplier Code of Conductfor main material suppliers is 100%
?Major negative events occurred in the supply chain is 0
?The prompt handling rate of client product service complaints is 100%.
?Compliance marketing?Equal treatment to SMEs
ESG Report 2024
About EaspringGovernanceQuality, Innovation and DevelopmentValue Chain ManagementEnvironmental ProtectionEmployee and Community CareAppendixClimate ActionESG Report 2024Value Chain Management
9192
Supply ChainManagementThe safety, stability and sustainability of the supply chain are crucial toEaspring's production and operation. In promoting the construction of the globalsupply chain, Easpring standardizes the whole life cycle management ofsuppliers, standardizes the ESG behavior of suppliers, strengthens thesustainable development capabilities of suppliers, and promotes thecoordination and cooperation between the upstream and downstream of theindustrial chain in the field of sustainable development, sharing responsibilitiesand opportunities.Supply Chain Security ManagementA stable supply of raw materials is crucial to Easpring's continuous production. Easpringcontinues to promote the construction of the global supply chain, strives to improve thestability and competitiveness of the supply chain, ensures the safe and stable supply ofkey raw materials such as nickel, cobalt, manganese, and lithium, and controllable costs,so as to achieve in-depth synergy in the industrial chain.Easpring has formulated a supply chain construction plan, working with key metalsuppliers in the industry to jointly build upstream resources. Through multi-dimensionalmeasures, Easpring has strengthened the resilience of the supply chain and established astrategic supply chain system that integrates "resources-technology-market". Inconjunction with the "1+2+N" supplier strategy, cost prediction models for bulk rawmaterials such as cobalt, lithium, nickel, manganese, and iron phosphate have beenestablished. This ensures that there are no fewer than two qualified suppliers for main rawmaterials, further safeguarding supply chain security and enhancing the ability to copewith market fluctuations. During the reporting period, Easpring established the EaspringFinland, which further improved Easpring's resource control and product competitivenessby relying on the partner's resource advantages in nickel and cobalt resources andspodumene.At the same time, Easpring has formulated an emergency supply plan for key rawmaterials, and defined the specific process, response level and time requirements ofemergency response in view of the interruption and shortage of key raw materials supplyand other situations that may affect production, so as to ensure that effective measurescan be taken quickly in case of emergencies, and realize the stable operation of the supplychain and controllable risks.
Supplier Lifecycle ManagementEaspring has formulated and implementedthe Supplier Management Control Procedures, Supplier Selection Management Regulations,Supplier Audit Management Regulations, Supplier Evaluation Management Regulationsand other systems, clarified the processes andrequirements of supplier classification and hierarchical management, development, access, evaluation and elimination, and implementedstandardized supplier life cycle management to ensure that suppliers with relevant qualifications and strength can continuously provide stableand high-quality supplies.
Easpring launched the supplier management system SRM, which realized the online management of supplier information registration, access,review, assessment, change management and elimination processes, regularly analyzed and evaluated qualified suppliers, and improved theefficiency and precision of supplier management.At the same time, Easpring has established a cooperative relationship of mutual trust and mutual assistance with suppliers. Throughsystematic training and professional technical support, Easpring has improved the business activities of suppliers to reach high standards andcoordinated the sustainable development of the supply chain. During the Reporting Period, Easpring conducted 4 trainings for suppliers, andthe coverage rate of supplier training was 100%.
?During the potential supplier identification phase, conduct preliminary screening and evaluation of suppliers to ensure theyhave production and quality assurance capabilities, while also communicating thoroughly to clarify quality requirements andstandards, ensuring that suppliers can meet Easpring's quality demands.?In the development and introduction phase, conduct in-depth audits and assessments of suppliers to ensure product qualityand stability. During the reporting period, Easpring achieved a 100% execution rate for new supplier and new productintroduction audits, ensuring the quality of qualified suppliers.
SupplierDevelopment
and Access
?Regularly conduct evaluations and audits of suppliers, using various audit formats such as system audits, process audits, andproduct audits to systematically identify supplier management and product risks. Generate a supplier rectification list andurge suppliers to make corrections while tracking and confirming the effectiveness.?Based on the supplier evaluation results, suppliers can be categorized from high to low into four levels: A, B, C, and D, with
clear management principles for each level. During the reporting period, Easpring achieved a 100% completion rate forannual supplier evaluations and annual supplier audits.
SupplierAssessment
Establish a mechanism for the elimination and exit of suppliers. For those suppliers who are unqualified and lack a goodawareness of improvement, they would be eliminated. In severe cases, they would be included in Easpring's supplier blacklistmanagement scope.
SupplierElimination
About EaspringGovernanceQuality, Innovation and DevelopmentValue Chain ManagementEnvironmental ProtectionEmployee and Community CareAppendixClimate ActionESG Report 2024Value Chain Management
9394
Supply Chain ESG ManagementEaspring practices the concept of sustainable procurement, promotes suppliers to improve their environmental and safety management performance, strictly screens partners who meet environmental protection and social responsibility standards in theprocurement process, actively promotes suppliers to improve their environmental and safety management performance, and works with upstream partners to build a dignified and responsible supply chain.In compliance with the guidelines ofthe Ten Guidelines of the United Nations Global Compact, the Convention on the Rights of the Child, the Convention on the Minimum Working Age, the International Labor Standards, the United Nations Convention againstCorruption, and the International Labour Organization's Safety and Health Implementation Guidelines, Easpring has formulated the Supplier Code of Conduct, which specifies the expectations and requirements for responsible behaviors of suppliers in labor andhuman rights, health and safety, environmental protection, ethics and corporate governance, and requires suppliers to sign the Code of Conduct commitment to continuously improve the sustainable development performance of the overall supply chain throughcontinuous supplier ESG cooperation and development.During the reporting period, 100% of Easpring's main material suppliers signedthe Supplier Code of Conduct.ESG DimensionsRequirements for suppliersLabour and Human Rights
Suppliers should prohibit child labour and forced labour, oppose discrimination inrecruitment or employment, protect employees' reasonable working hours, wagesand benefits, and ensure employees' freedom of association.Health and Safety
Suppliers shall ensure the occupational safety of employees, implement machineprotection, improve emergency management, prevent work-related injuries anddiseases, provide hygienic living conditions for employees, and carry out health andsafety related training.Environmental Protection
Suppliers shall comply with environmental protection laws and regulations, preventenvironmental pollution and save resources, control pollution emissions, and trytheir best to reduce the negative impact of harmful substances on the environment.
Code of Ethics
Suppliers should abide by business integrity, oppose unfair competition, unblockreporting channels, protect intellectual property rights, implement informationdisclosure policies, and actively participate in community activities.
Corporate Governance
Suppliers should implement ESG management responsibilities and obligations, carryout ESG risk assessment and management, establish information communicationprocedures, and clarify the corrective action process.Easpring incorporates ESG audit into supplier life cycle management activities, conducts quarterly evaluation andannual on-site audit of suppliers as planned, covering ESG management requirements such as social responsibilitymanagement system, safety and environmental management system, environmental compliance, energy conservationand emission reduction, employment compliance and business ethics, so as to identify ESG-related risks of suppliersand urge suppliers to improve their ESG performance, and strive to build a green and responsible supply chain system.During the Reporting Period, there were no major negative incidents in the supply chain, and the certification rate ofISO9001 quality management system, ISO14001 environmental management system and ISO45001 occupational healthand safety management system of qualified suppliers was 100%, 81% and 79%.
Social Responsibility Audit Standards for SuppliersSocial responsibilitymanagement system
Employment complianceBenefits and rightsRisk management?SA 8000?RBA?ISO 26001
?Labour contracts
?Protection of youngpeople at work
?Anti-forced labour
?Equality and anti-
discrimination
?Minimum wage
standard
?Paid leave?Employeecommunication
?Satisfaction survey
?Corporate riskmanagement system
?Risk identification andassessment in supplychains
?Risk response strategy
Safety and environmental
management system
Environmental compliance
Energy conservation and
emission reduction
Production safety andoccupational health?ISO 14001?ISO 45001?EHS risk identification
and management
?Environmental impact
assessment andapprovalEnvironmentalviolations/complaints
?Effective treatment ofwaste gas, waste waterand solid wastes
?Energy conservationand emissionreduction program
?Energy conservationand emissionreductionachievements
?Emergency plans anddrills
?Hazardous chemicals
management·?Safety protection
device
?Occupational health
check
Safety and Environmental Audit Standards for Suppliers
About EaspringGovernanceQuality, Innovation and DevelopmentValue Chain ManagementEnvironmental ProtectionEmployee and Community CareAppendixClimate ActionESG Report 2024Value Chain Management
9596
Responsible Mineral Diligence
Nickel, cobalt, manganese, and lithium are essential raw materialelements for Easpring's products at present, and Easpring is in themiddle reaches of the responsible mineral supply chain. Easpringfollows relevant policies suchas the Guidelines for ResponsibleSupply Chain Management of Chinaissued by the China Chamber ofCommerce for Import and Export of Minerals, Metals and Chemicals(CCCMC) andthe Guidelines for Responsible Supply ChainManagement of Ore from Conflict-Affected and High-Risk Areas (3rdEdition)issued by the Organization for Economic Cooperation andDevelopment (OECD) to continuously strengthen its own supplychain management and promote upstream and downstreamcompanies to jointly perform responsible procurement.Easpring carries out responsible supply chain due diligencemanagement for cobalt, nickel, manganese, and lithium inaccordance with the five-step method inthe OECD Mineral DiligenceGuidelines, an internationally recognized authoritative standard inthe field of mineral supply chain due diligence, and advocatesupstream and downstream to adopt and use them. Easpringcontinues to expand the scope of responsible mineral supply chaindue diligence management, include iron and phosphorus into thescope of supply chain due diligence management, and make effortsto build a sustainable and responsible mineral supply chain.
?Management policies such asResponsible Mineral Supply Chain Due Diligence Policy, Supplier Code of Conduct, Easpring Human Rights Policyand
Business Ethics Policy have been formulated?The Supply Chain Management Committee was established andthe Administrative Measures of the Supply Chain Management Committeewereformulated. At the beginning of each year, the Supply Chain Management Committee conducts management review on the responsible management ofthe mineral supply chain in the previous year, inspects the results of supplier audit and the implementation effectiveness of client audit improvementmeasures in the previous year, puts forward corrective and preventive measures for problems and follow up the implementation
?Communicate Easpring's conflict minerals policy to suppliers, and 100% of the supplierssign the Statement on Non-Use of Conflict Minerals" commitmentletter?Established an efficient MES material traceability management and control system, from raw material warehousing, analysis and testing, production andmanufacturing, finished product testing and outbound, to ensure the whole process tracking from raw material source to finished product shipment toclient?Trace the source of purchased materials through supply chain map, and conduct pre-audit and self-evaluation of suppliers?Training materials related to responsible minerals are sent to suppliers from time to time to guide suppliers to improve their ability to conduct due
diligence on upstream?The Measures forthe Management of Responsible Supply Chain Complaintshave been formulated, which clarifies the complaint channels and handlingprocedures. As of the end of the reporting period, Easpring had not received any complaints
Establish a sound due diligence management system1
Director of the Management Committee
（General Manager ）
Deputy Director of theManagement Committee
（the Procurement Head）
Deputy Director of theManagement Committee（the Finance Head）Deputy Director of theManagement Committee（the Human Resources Head）
Deputy Director of theManagement Committee（the Production Head）Deputy Director of theManagement Committee（the Marketing Head）
Representative of the Management System
（the Procurement Head）
Responsible Supply Chain Due Diligence Management
About EaspringGovernanceQuality, Innovation and DevelopmentValue Chain ManagementEnvironmental ProtectionEmployee and Community CareAppendixClimate ActionESG Report 2024Value Chain Management
?The Regulations on Responsible Supply Chain Managementhave been formulated, which clarifies the due diligence methods for theupstream supply chain, including risk identification and mitigation measures in the supply chain. During the reporting period, Easpringcompleted 100% data collection of qualified suppliers of precursors, tetracobalt, lithium salts and sulfates
?The risks identified through various channels such as Heidelberg's "Global Conflict Barometer" and the CAHRA list of EU conflict mineralsregulations are sorted out and summarized, and the risks of each supplier are identified and evaluated. During the reporting period,Easpring's supply chain did not trigger warning signal risks
Identification and assessment of supply chain risks2
?Report the results of supply chain risk assessment to Easpring's senior management, monitor and track the performance of risk reduction
measures, and report timely?Incorporate responsible mineral management into supplier life cycle management activities, discuss risk mitigation measures withsuppliers and stakeholders based on Easpring's risk mitigation strategy, and guide and help suppliers to establish and implement supplychain due diligence management system. During the reporting period, Easpring's supply chain was low-risk, and no supplier was suspendedfrom trading due to risk reasons
Develop and implement response strategies for identified risks3
?Easpring incorporated the due diligence audit of responsible mineral supply chain into the on-site audit of suppliers, and completed the
audit of 46 suppliers in total, and found no major problems involving child labor, inhuman treatment, forced labor, armed conflict and
ecological damage
?Easpring accepts third-party audits to continuously promote the improvement of responsible management of Easpring's responsible
mineral supply chain. During the Reporting Period, Easpring received 2 assessments and audits by independent third parties
Conduct independent third-party assessment and audit of identified key links in the supply chain4
?Since 2020, Easpring has compiled and publishedthe Responsible Mineral Supply Chain Diligence Management Reporton the official
website every year.Report on the supply chain risk management process and results5
9798
RCI conducted special training on "Trends and Challenges ofDue Diligence Management of New Energy Battery SupplyChain"In January 2024, Easpring invited RCI experts to conduct specialtraining on "New Energy Battery Supply Chain Due DiligenceManagement Trends and Challenges" for the senior managementteam and heads of functional departments, and had in-depthexchanges with relevant experts to promote the implementation ofsupply chain due diligence management strategies, continuouslyImprove Easpring's supply chain due diligence managementcapabilities, and promote information transparency and effectivecommunication.
Training Site
As a member of the Responsible Critical Mineral Initiative (RCI), Easpring hasbeen committed to promoting the construction of a responsible criticalmineral supply chain since joining the initiative in 2017. Easpring activelyparticipates in building a communication and collaboration platform topromote information sharing and experience exchange between upstreamand downstream enterprises in the critical mineral supply chain, and jointlymitigate ESG risks in the supply chain in a systematic way.
About EaspringGovernanceQuality, Innovation and DevelopmentValue Chain ManagementEnvironmental ProtectionEmployee and Community CareAppendixClimate ActionESG Report 2024Value Chain Management
99100
Client ServiceAdhering to the "client-centric" service concept, Easpring continues to improve the client service system, optimizes the complaint response mechanism, sincerely listens to clients' feedback on Easpring's products and services from multiple channels, and iscommitted to providing standardized service processes and reliable solutions to global clients.
At the same time, Easpring has set up a sales team with high technology, high execution ability and high service ability,and pays attention to improving the management ability of the marketing team to provide clients with a more accurateand high-quality service experience. During the Reporting Period, Easpring carried out a series of marketing capabilityimprovement trainings, and promoted trainees' capability improvement in multiple dimensions through various formssuch as course learning, case extraction and internal course sharing, with the training coverage rate of marketingpersonnel being 100%.
Best Partnership AwardDiamond Supplier Award
Marketing Ability Improvement Training Camp
During the reporting period, relying on Easpring's efforts in technological innovation, product quality, deliverycapabilities and tacit cooperation, Easpring won awards such as "Best Partnership" and "Diamond Supplier" issued byclients.
Client Relationship ManagementEaspring has formulated client relationship management system documents such asthe client ManagementRegulations, and established a full-process client service response mechanism to continuously optimize client serviceexperience and improve client service response speed.
Easpring maintains active communication and exchange with clients. According to the management regulations ofdifferent levels of clients, the sales staff regularly understand the needs and feedback of clients by telephone, email,return visit, etc., and enter the information into the client information database. Easpring actively promotes a digitaland intelligent client management model, and launches a client relationship management system (CRM). Through theCRM system, it continues to improve the whole process management of delivery including planning, review, delivery,return and exchange, return and disposal, and receipt, as well as the tracking closed-loop of client complaint handlingprocess, so as to improve the efficiency of client service response. The system can also help automate client satisfactionsurveys and provide data support for companies to improve client service quality.
In response to client needs,
we provide development
strategies and plans, early
quotations, sample delivery,
data archiving, technical
support, supplier
certification and other
aspects of support.
Pre-sales services
To meet client needs, weoffer a range of services suchas logistics development,order delivery, returns andexchanges.
In-sales services
We respond to and handlequality issues ordiscrepancies in products orservices purchased by ourclients and provide ourclients with comprehensivetechnical support.
Post-sales services
About EaspringGovernanceQuality, Innovation and DevelopmentValue Chain ManagementEnvironmental ProtectionEmployee and Community CareAppendixClimate ActionESG Report 2024Value Chain Management
101102
Client Complaints and SatisfactionSurvey
Easpring complies with relevant laws and regulations such asthe Civil Codeof the People's Republic of Chinaandthe Product Quality Law of thePeople's Republic of China, attaches great importance to client complaintmanagement, formulates internal systems such asthe Client SatisfactionControl Procedureand the client Complaint Control Procedure, establishesa standardized client complaint handling process, and defines the divisionof responsibilities for handling complaints, the level of client complainthandling, the response upgrade mechanism and the client complaintclosure mechanism.Easpring has established a multi-channel complaint feedback mechanism,and publicized channels such as telephone, email or fax on the officialwebsite, so as to quickly understand clients' problems and opinions onproduct quality and quality, technical and market services, product delivery,etc. during product use. During the reporting period, the timely handlingrate of Easpring's client product and service complaints was 100%.Every year, Easpring conducts client satisfaction surveys in the form ofquestionnaires, including the support of sales and technical personnel,technical level, delivery status, product quality, handling of clientcomplaints, management of hazardous substances and other issues. Duringthe reporting period, Easpring has set and achieved a client satisfaction rateof ≥ 92%.Based on the statistical analysis of client complaints and satisfactionsurveys, Easpring formulates and formsthe Internal PerformanceMonitoring Survey Statistics Formandthe Client Satisfaction ImprovementMeasuresevery year, promotes horizontal development and preventivemanagement among subsidiaries, and takes relevant managementrequirements as quality control input to continuously improve productsand services and avoid similar problems.
Responsible Marketing
Easpring always adheres to the concept of integrity management, strictly abides by the Advertising Law of the People's Republic of China and other relevant laws and regulations,ensures the completeness and accuracy of information disclosure in the marketing process, integrates compliance awareness throughout the whole marketing process, and iscommitted to providing clients with safe and satisfactory products.
A strict "three reviews and three proofs" mechanism isimplemented for promotional materials such as companyinternal magazines, WeChat official accounts, video accounts,corporate intranets and posters, and a dedicated person isdesignated to be responsible for content review in each linkImplementati-on of reviewmechanism
formulate internal construction such asthe Measures for theAdministration of NewsandPublicity and the Measures for theAdministration of News and Publicity Platformsto standardizecompliance marketing and publicityImprovesystemconstruction
Carry out marketing system publicity activities to continuouslyimprove employees' awareness and ability of compliancepublicityCompliancemarketingpromotion
Establish an online approval process for news releases, realizethe process, standardization and information of news approval,and effectively improve the efficiency and transparency ofapprovalInformationmanagement:
During the reporting period, the coverage rate of marketingreview of Easpring reached 100%, effectively ensuring theaccuracy and compliance of marketing content
Carry outmarketingreview
Responsible Marketing Initiatives
Publicity and Implementation Training of the Administrative
Measures for News Publicity
About EaspringGovernanceQuality, Innovation and DevelopmentValue Chain ManagementEnvironmental ProtectionEmployee and Community CareAppendixClimate ActionESG Report 2024Value Chain Management
At the same time, Easpring also actively contributes wisdom and strength to the development of the industry andundertakes important work in the following industry associations.
Industry DevelopmentEaspring continues to deepen diversified cooperation, actively expand the breadth and depth of cooperation, create ahealthy and win-win cooperation ecosystem, and jointly promote industry development with all parties.Deepen Industry Communication
Easpring gives full play to its resource advantages and professional capabilities, and actively carries out in-depthtechnical exchanges and cooperation with suppliers and partners. By participating in industry cooperation andexchange activities, Easpring links up with business partners upstream and downstream of the industrial chain,continues to deepen business cooperation, and jointly promotes the prosperity and development of the industry.During the reporting period, Easpring actively participated in the 41st International Battery Symposium and Exhibition,China International Battery Technology Exchange (CIBF) and other lithium battery industry-related exhibitions, showingEaspring's scientific and technological innovation strength and advanced battery material technology to global clients,and discussing advanced battery technology, market trend and future prospects with many international enterprises,experts and scholars in the lithium battery industry. Easpring continues to lead the technological progress of the globallithium battery cathode material industry. At the same time, it has listened to opinions and suggestions from all partiesand gained an in-depth understanding of industry needs and market trends.
Equal Treatment of SMEsEaspring complies with laws and regulations such as the Law of the People's Republic of China on the Promotion ofSmall and Medium-sized Enterprises, the Regulations on Guaranteeing the Payment of Small and Medium-sizedEnterprises, and the Provisional Regulations on Enterprise Information Disclosure, and is committed to maintainingthe fairness and justice of the supply chain and ensuring the equal status of small and medium-sized enterprises incooperation. As of the end of the reporting period, Easpring did not publicize the overdue payment information ofsmall and medium-sized enterprises to the public through the national enterprise credit information publicity system.The 41st International Battery Seminar and ExhibitionThe 16th International Battery Technology Exchange
Conference/Exhibition
Rotating President ofNickel Industry Branchof China NonferrousMetals Association
Vice Chairman ofPower Battery Branchof China Chemical andPhysical PowerIndustry Association
Executive VicePresident Unit ofPanzhihuaEnvironmentalProtection Industry
AssociationExecutive Director of ChinaChemical and PhysicalPower Supply IndustryAssociation
Expert member of theTechnical ExpertCommittee of BeijingPower Battery Innovation
Center
About EaspringGovernanceQuality, Innovation and DevelopmentValue Chain ManagementEnvironmental ProtectionEmployee and Community CareAppendixClimate ActionESG Report 2024Employee and Community Care
Employee andCommunity Care
Easpring has always adhered to the employment concept of "valuing the virtues of individuals andharnessing their talents", promoted the establishment of a human resources system that is compatible withthe development of globalization, built an enterprise stage that attracts all kinds of professionals to gatherand achieve their career dreams, formed an all-round and multi-level talent training system, fully protectedthe rights and interests of employees, and satisfied their yearning for a better life. At the same time,Easpring actively participated in public welfare undertakings, promoted the all-round progress anddevelopment of society with its own actions, and created a bright future for sharing sustainabledevelopment.Responses to issues in this chapter?Compliance employment?Employee development and training?Employee rights and benefitsThis chapter responds to SDGs
Performance in this Chapter
Key
?Employee satisfaction score is 94.0
?The proportion of ethnic minority employees reaches 8%.
?The investment in employee training amounts to RMB 1.0336 million
?Easpring's cash welfare investment amount is RMB 24.4884 million, and the non-cash welfare
investment amount is RMB 12.6005 million
?The production base for positive electrode materials has achieved a 100% ISO 45001
OccupationalHealth and Safety Management System certification
?The investment in safety is RMB 14.4855 million, and the investment in work injury insurance is RMB
1.1932 million
?Achieved 100% occupational health examination coverage rate
?The cumulative investment in social public welfare is RMB 2.5504 million
?Volunteer services were provided by 127 individuals, with a total service duration of 528 hours
?Equality, diversity, inclusion?Occupational health and safety?Social contribution and rural revitalization
ESG Report 2024
About EaspringGovernanceQuality, Innovation and DevelopmentValue Chain ManagementEnvironmental ProtectionEmployee and Community CareAppendixClimate ActionESG Report 2024Employee and Community Care
107108
Employee ManagementEaspring takes "becoming the world's leading innovative enterprise" as its strategic goal of talent development. Drivenby a talent development strategy centered around business expansion and technological leadership, we focus on thefour key aspects of "selection, cultivation, utilization, and retention". Easpring continues to build three core teams of"management team with international vision", "R&D team with leading technology" and "industrial workers withprofessional skills" to provide a solid talent guarantee for Easpring's high-quality development.
Recruitment and Employment
Easpring complies with relevant laws and regulations such as the Labor Law of the People's Republic of China, theLabor Contract Law of the People's Republic of China, the Law of the People's Republic of China on the Protection ofMinors, the Law of the People's Republic of China on the Protection of Women's Rights and Interests and the Provisionson the Prohibition of Using Child Labor, and practices the recruitment principle of "openness and transparency, merit-based recruitment, internal and external recruitment".Easpring standardized the recruitment and recruitment process, formulated and implemented management systemssuch as the Employee Recruitment Management Regulations and Employee Entry, Resignation and On-the-jobManagement Regulations, clarified the process of employee recruitment, recruitment and resignation, and promotedthe continuous optimization and improvement of the recruitment management system. Combined with therequirements of territorial management, each subsidiary and the labor union signed corresponding collective contractssuch as the Comprehensive Collective Contract, the Special Collective Contract for Wages, the Collective Contract forthe Protection of the Rights and Interests of Female Employees, and the Special Collective Contract for Labor Safetyand Health to fully protect the legitimate rights and interests of employees.
In compliance with international guidelines such as the United Nations Universal Declaration of Human Rights, theInternational Labor Organization's Declaration on Basic Principles and Rights at Work, the United Nations GuidingPrinciples on Business and Human Rights, and with reference to the provisions of the United Nations Global Compact,Easpring has formulated the Easpring Human Rights Policy, conducted human rights due diligence, assessed actualand possible human rights impacts, prevented and mitigated human rights risks, and established a human rightscomplaint mechanism to ensure that all employees receive fair and just career development opportunities.Easpring has formulated the Regulations on the Management of Ethical Responsibility, the Regulations on theProtection of Child Labor and Juvenile Workers, the Regulations on the Management of No Harassment and No Crueltyand the Regulations on the Management of No Discrimination, strengthened the identification of candidates in therecruitment process, formulated remedial and preventive measures, and required suppliers and service providers notto use child labor; Easpring prohibits any form of employment and occupation discrimination, adopts a zero-toleranceattitude towards any offensive or insulting harassment or behavior, and eliminates all discrimination against ethnicity,race, gender, region or nationality. During the Reporting Period, there was no incident of child labor, forced labor anddiscrimination.In terms of diversified employment, Easpring attaches great importance to the diversity of its workforce, fully respectsfreedom of association, and is committed to creating a friendly and inclusive workplace environment. Easpringadheres to equal employment opportunities, actively provides equal employment opportunities for people withdisabilities, and recruits and employs ethnic minority employees from different ethnic groups. During the reportingperiod, Easpring had a total of 11 disabled employees, and minority employees accounted for 8%.
By gender
Male
Female
1,342
By educationalqualification
Ph.DMaster's degree
Bechelor's degreeCollege degree and below
By age
≤3030-50
≥50162
Ethnic minorityproportion of
employee
HanEthnic minorities
92%8%
About EaspringGovernanceQuality, Innovation and DevelopmentValue Chain ManagementEnvironmental ProtectionEmployee and Community CareAppendixClimate ActionESG Report 2024Employee and Community Care
Set up summer daycare classes for employees' childrenIn response to the practical problems of summer care for employees' children, Easpring Changzhou haslaunched a summer daycare class for employees' children to effectively solve the need of daycare for employees'children during the summer vacation, so that employees can work with peace of mind and have no worries.
Summer daycare class for employees' children
109110
Employee Compensation and BenefitsEaspring attaches great importance to the employee remuneration and welfare system, formulates and implements theRemuneration Management Regulations and Employee Performance Management Regulations and other systems, andbuilds an institutional system for sharing results with value creators. Easpring takes responsibility, ability andperformance as the core basis for remuneration, comprehensively considers job value, job skills, competence andother aspects, and determines employee salaries and bonuses with reference to market salary levels, so as to provideemployees with competitive job opportunities and remuneration benefits.Easpring has established a complete welfare system, which provides all employees with full payment of five socialinsurances and one housing fund and statutory holiday benefits, and provides inclusive benefits for all employees, andprovides special benefits for some special positions and employees. During the reporting period, Easpring investedRMB 24.4884 million in cash welfare and RMB 12.6005 million in non-cash welfare.
?social insurance, housing accumulation fund, statutory holidays, etc.
StatutoryBenefits
?supplementary medical insurance, group accident insurance, critical illness insurance,health examination, birthday benefits, holiday benefits, communication benefits, mealbenefits, marriage and maternity benefits, shuttle bus, etc.
InclusiveBenefits
?special post allowance, dispatch allowance, public rental housing, free dormitory(factory), serious illness solatium, survivors' pension, etc.SpecialBenefits
At the same time, Easpring has introduced an industry-leading employee stock ownership plan, deeply integratesexcess profit distribution with long-term incentive mechanisms, and implements multiple rounds of management andcore backbone equity shareholding increase plans to further stimulate the value creation potential of the managementteam and core backbones. Share the fruits of Easpring's high-quality development. At present, the beneficiaries ofEaspring's equity incentive policy cover Easpring's directors, senior managers, subsidiary directors, supervisors,managers and core employees, etc. During the reporting period, Easpring implemented the 2024 management and corebackbone equity increase plan, with more than 300 participants.
Employee Activities and Care
Easpring advocates the concept of healthy work and happy life, and is committed to creating a safe, happy and healthyworking environment for employees. Every year, Easpring regularly carries out a variety of activities such as "sendingwarmth in winter", "sending coolness in summer", sending blessings during holidays, tea parties, essay writing andphotography, and team development, which creates a good corporate atmosphere and enhances Easpring's cohesion.At the same time, Easpring advocates the combination of work and rest for employees, and organizes various culturaland sports activities such as basketball, badminton and table tennis for employees to promote the balance betweenwork and life and enjoy a colorful life.
About EaspringGovernanceQuality, Innovation and DevelopmentValue Chain ManagementEnvironmental ProtectionEmployee and Community CareAppendixClimate ActionESG Report 2024Employee and Community Care
111112
Family open day activity at Easpring JiangsuIn May 2024, Easpring Jiangsu held a family openday event with the theme of "When Love Has aHome · Rising Sun", allowing employees' families tohave a deeper understanding of Easpring'sdevelopment achievements, personally feel thecharm of corporate culture, and intuitivelyexperience the working environment of employees.Further strengthen the emotional connectionbetween employees and their families, and enhanceemployees' sense of belonging and the cohesion ofthe enterprise.
Family Open Day Activities
Celebrate the Torch Festival"Yi Torch Festival" is one of the national intangiblecultural heritages and the most distinctive folkactivity in Panxi area. In July 2024, Easpring SDIGPanzhihua held the "Celebrate the Torch Festivaland Ignite the Passion for Food" activity to promotenational culture, enhance national unity, enrich thecultural life of employees, and provide employeeswith a relaxing and joyful atmosphere.
Torch Festival
Activities for celebrating employees' children's school admissionBeijing Zodngoc expressed warm celebrations toEaspring's employees and their children who tookthe college entrance examination in 2024, sent themsincere blessings on their way to study, andpresented them with gifts for further studies,injecting more benefits into employees and theirfamilies.
Celebrations for Employees 'Children's School Admission
Team Development ActivitiesCultural and sports activities
Holiday eventsTheme caring activities
Easpring actively safeguards and protects the legitimate rights and interests of female employees, engagespsychologists and legal experts as experts of Carnation Workstation, carries out legal popularization activities such as
the Law on the Protection of Women's Rights and Interests, declares mutual assistance protection plans for specialdiseases for female employees, and carries out festival activities such as International Women's Day and Mother's Day,so as to implement the concern and attention for female employees and create a company atmosphere full ofhumanistic care. During the reporting period, Easpring Jiangsu won the Demonstration Unit Award of CarnationService Station for Female Employees of Haimen District Federation of Trade Unions of Nantong City and theAdvanced Collective Award for Female Employees.
Advanced Collective Award for Female Workers
Demonstration Unit Award for Carnation Service
Station for Female Workers
About EaspringGovernanceQuality, Innovation and DevelopmentValue Chain ManagementEnvironmental ProtectionEmployee and Community CareAppendixClimate ActionESG Report 2024Employee and Community Care
Relying on the convenient communicationmethod of setting up the platform on the QRcode, Easpring encourages employees to enjoytheir suggestions and demands anytime andanywhere. Employees can immediately accessthe suggestion submission platform andquickly submit their ideas by scanning aspecific QR code. Promote the convenienceand efficiency of communication. During thereporting period, Easpring received andcompleted 179 issues on the platform, with atimely resolution rate of 100%
Easpring conducts management reception dayactivities on a regular basis, arrangesmanagement members to conduct one-on-one in-depth interviews with employees,listens to and understands employees' needsand concerns directly, and is committed tosolving the difficulties encountered byemployees in their daily life and work. Duringthe reporting period, Easpring has organized 8management reception days, and the problemresolution rate is 100%.
Easpring conducts employee satisfaction surveysevery year, focusing on the nine dimensions of"corporate culture, internal harmony, managementstyle, management mechanism, growth anddevelopment, logistics support and support,spiritual reward, material reward and socialresponsibility", to comprehensively understand thechallenges faced by front-line and non-front-lineemployees in their daily work and life, andaccurately grasp the core needs and expectations ofemployees. During the reporting period, Easpringdistributed satisfaction questionnaires to allemployees except senior executives, of which theresponding rate was 93%, with an averagesatisfaction score of 94 points (out of 100 points).
Employee Communication Channels
Easpring attaches great importance to employees' voices and suggestions, actively builds diversified communication platforms, listens to employees' voices from all aspects and angles, and is committed to building harmonious labor relations and optimizingemployee experience.
Set Up the Platform onthe QR code
Easpring has formulated institutional policies suchas the Regulations on the Management of FreeAssociation, the Guidance Manual for GeneralElection of Trade Unions, the Management Systemof Trade Unions and Employees' Representativeand Consultation, and the System of Employees'Congress, and implemented the employeerepresentative mechanism and collectiveconsultation mechanism to allow employees toparticipate in the construction of Easpring's toachieve a "win-win" situation for the enterpriseand employees. During the reporting period,Easpring held 8 employee representative meetings,and reviewed and approved the revision of theEmployee Attendance Management Measures andother issues.
Employees' Representative
Conference
ManagementReception Day
EmployeeSatisfaction Survey
Easpring has established a smooth and confidential employee complaint and reporting mechanism, formulated and implemented the Internal Communication Management Regulations, Complaint Management Regulations, Management Reception Day ManagementRegulations and other systems, and clarified the complaint handling process, handling time limit and result feedback management processes. At the same time, Easpring strictly protects the information of complainants or whistleblowers, keeps the investigation andhandling process confidential, and prohibits any retaliation against complainants, whistleblowers or investigation participants.
About EaspringGovernanceQuality, Innovation and DevelopmentValue Chain ManagementEnvironmental ProtectionEmployee and Community CareAppendixClimate ActionESG Report 2024Employee and Community Care
115116
Employee Trainingand DevelopmentEaspring has built a comprehensive talent training system and a smoothcareer development channel for employees, closely integrating the personaldevelopment of employees with Easpring's long-term strategy, so that everyemployee can show value, ability and talent at work, and realize talentgrowth and company development resonate at the same frequency.Talent Training SystemGuided by talent strategy and business development, Easpring has formed athree-dimensional growth path with hierarchical classification, andestablished a multi-dimensional training system such as induction trainingfor new employees, general training, professional training and leadershiptraining, forming a complete talent supply chain from new employees tooutstanding leaders, providing sustainable talent support for Easpring'sdevelopment.
Talent Cultivation and Development SystemNew Employee Training
Core General CapabilitiesDevelopment
Professional Competence TrainingCultiviting Excellent Leaders
Implement a 100-day training planwhen new managers join Easpring
Social recruitment of new employeescan quickly integrate into theorganization, accelerate the processof acquaintance and mutualunderstandingTaking the onboarding of newlyrecruited employees from campus asan opportunity, carry out the"molding" training for employees,especially implant the cultural genesinto new campus recruits.
Continuously carry out activities suchas internal curriculum development,experience extraction, case summary,and project review to promote theaccumulation of organizationalexperience and wisdom.Empower business departments withlearning and training methods andstrengthen on - the - job practiceimprovement.Carry out regular (or irregular)general - knowledge learning, skillsand awareness to promote theconstruction of a learning - orientedorganization.
Plan and implement thetalent cultivation project forthe R&D employees
Plan and implement the talentcultivation project for the salesemployees
Promote the implementation oftraining effectiveness by designinglearning methods, scenario - basedand client - oriented solutions thatare in line with the learning styles ofthe trainees.
The Ascend Talent Cultivation Projectis aimed at Easpring's seniormanagement team.The Leap - forward Talent CultivationProject is targeted at Easpring'sdirector - level managementpersonnel.
The Up - lift Talent Cultivation Projectis aimed at high - potential reservetalents and core employees.
The Climb - up Talent CultivationProject is aimed at Easpring'smanager - level managementpersonnel.
Organizational guarantee and resource inputPositive and negative incentives and mechanism construction
Establishment of talent cultivation system
About EaspringGovernanceQuality, Innovation and DevelopmentValue Chain ManagementEnvironmental ProtectionEmployee and Community CareAppendixClimate ActionESG Report 2024Employee and Community Care
117118
Easpring has formulated and implemented the Employee Training Management Regulations and other systems,adopted the 721 training rules, clarified the management responsibilities and processes of training, and formed atraining method that combines online and offline, combines training with combat, and closed-loop managementbefore, during and after courses, comprehensively improving the job competence and business ability of employees.During the reporting period, Easpring's total annual expenditure on training reached RMB 1.0336 million.
Easpring pays attention to the development of internal professional curriculum system and internal trainer talent team,starts the development of benchmark curriculum, realizes experience extraction and knowledge sharing, andstrengthens the self-"hematopoiesis" ability of talent development.Easpring supports and encourages all employees to improve their personal academic qualifications and skills, andmakes every effort to empower employees to grow through various methods such as supports employees to realizetheir dreams, job skills competitions, and dual tutorial system. At the same time, Easpring has set up personalpromotion incentive mechanisms such as “pursuing dreams of education" scholarships, academic salaries, andprofessional title salaries. During the reporting period, Easpring supported 19 employees to realize their personalacademic dreams.
"Mining and Metallurgy Cup" Job Skills Competition
Career Promotion and DevelopmentEaspring adheres to the principles of objective, fair and fair promotion management, formulates and implements the Regulations on Qualification Management and Regulations on Employee Performance Management, comprehensively standardizes performanceevaluation management, gives employees fair feedback, and provides them with a high-quality growth platform and broad career promotion space. Easpring has established a clear, scientific and reasonable career development system, followed the basic principle of"being able to go up and down", promoted the talent selection policy oriented by "performance, ability and morality", opened up multiple career development channels for employees, and carried out the construction of talent echelon in an orderly manner.During the reporting period, Easpring formulated multi-dimensional trainings for new cadres, including trainings on role change, management skills and leadership, to assist new cadres in completing the change of thinking mode and management role, and to helpthem quickly adapt to the new working environment and improve their working ability and professionalism.
Average training hours of employees by position level
Average traininghours ofmanagement
13.35
Average traininghours of grassroots
8.90
Average training hours of employees by gender
Average traininghours of femaleemployees
8.70
Average traininghours of maleemployees
9.64
Internal Trainer Award Ceremony
About EaspringGovernanceQuality, Innovation and DevelopmentValue Chain ManagementEnvironmental ProtectionEmployee and Community CareAppendixClimate ActionESG Report 2024Employee and Community Care
ISO45001 Occupational Health and Safety Management System Certification
Occupational Healthand SafetyEaspring strictly abides by laws and regulations such as the SafetyProduction Law of the People's Republic of China, the Social Insurance Lawof the People's Republic of China, the Trade Union Law of the People'sRepublic of China, the Law of the People's Republic of China on thePrevention and Control of Occupational Diseases and other laws andregulations, puts the health and safety of every employee first, continuouslyimproves the occupational health and safety management system,establishes a safety production responsibility system covering allemployees and rules and regulations covering all businesses, and builds avalue-creating EHS culture system with Easpring characteristics. Committedto realizing the development goal of "pursuing beyond profit".
Safety First, People-oriented, FullParticipation, GreenDevelopment
EHS policy
Provide green materials forpioneer products andcontinue to contribute to theera of ecological civilization.
EHS Mission
Green Manufacturing,Healthy Development
EHS Vision
Safety and environmentalprotection are the red line,the most basic responsibility,the greatest benefit and thebest welfare.
EHS Values
EHS CultureSystem
Occupational Health and SafetyManagement SystemEaspring regards production safety as the lifeline of development.Based on the ISO45001 occupational health and safetymanagement system, it has established a scientific and systematicmanagement process, continuously improves safety managementcapabilities, builds a firewall to prevent production safetyaccidents, and comprehensively guarantees Easpring's productionand operation safety. As at the end of the Reporting Period,Easpring's major production bases in operation have passed theISO45001: 2018 occupational health and safety managementsystem certification.During the reporting period, Easpring established a production safety committee, with the chairman of the board as the chairman of the committee. The members of the committeeinclude Easpring's senior management, heads of relevant departments of the headquarters and subsidiaries, which is responsible for formulating Easpring's health and safetymanagement policies and measures, establishing and improving the health and safety management assessment system, organizing health and safety management inspections andsupervising the rectification of hidden dangers. The Work Safety Committee has an office of the Work Safety Committee, and the EHS Management Department takes the lead inputting forward suggestions on major policies and measures for production safety, organizing and carrying out various work related to production safety, and supervising theimplementation of various work related to production safety.Easpring has established systems and procedures such as EHS Management Manual, Safety Production Responsibility System for All Employees, Safety Production RiskClassification Management and Control and Hidden Danger Investigation Management Regulations, Safety Management Regulations for Relevant Parties at Headquarters, OfficeBuilding Management Regulations and Confined Space Management Regulations to implement the safety production management responsibilities of personnel at all levels,standardize safety production management requirements, clarify occupational health and safety management objectives, and regularly review and review safety management workand management effectiveness. During the reporting period, Easpring established and achieved the following occupational health and safety objectives.
At the same time, according to the system certification requirements and the annual audit plan, Easpring carried out a special occupational health and safety audit and issued aninternal audit report. During the reporting period, the occupational health and safety audit covered 100% of the cathode material production bases that have been put intooperation.
Occupational Health and Safety Objectives
Zerosafety accidents
Zerofire accidents
Zeroadministrativepenalties
Zeroenvironmentalaccidents
Zerooccupationaldiseases
About EaspringGovernanceQuality, Innovation and DevelopmentValue Chain ManagementEnvironmental ProtectionEmployee and Community CareAppendixClimate ActionESG Report 2024Employee and Community Care
121122
Security Risk ManagementEaspring has formulated a three-year action (2024-2026) to tackle the rootcause of production safety, accelerate the transformation of the productionsafety governance model to prevention in advance, promote the continuedstability of Easpring's production safety situation, and provide a safe andstable production and operation environment for Easpring's high-qualitydevelopment.Action phaseMain Tasks
ProgressionstatusIn 2024
?Comprehensively carry out around of special safety trainingand safety hazard investigation
?Gather to eliminate majoraccident hazards and ensurethat major safety risks arecontrollable
Completed
In 2025
?Improve the "Five-Five" RiskManagement System "?Consolidate key riskmanagement and controlmeasures, operate andcontinuously optimize key riskmanagement system?Comprehensively improve thesafety awareness level of allemployees
In progress
In 2026
?Use modern informationtechnology, such as safetyproduction informationplatform, etc., to ensure real-time monitoring and earlywarning of various risks
?Safety work has been movedfrom safety hazardinvestigation to risk monitoringto ensure that various risks canbe prevented
To be carriedout
eliminate safety
hazard and
control risks
strengthen the
foundation and
consolidate
mechanism
efficiency
improvement
with technology
to prevent risks
During the reporting period, Easpring established a five-year "five-year" risk management system with the goal of "building an intrinsically safe enterprise" and "riskmanagement and control" as the main line of work. Following the risk control principle of "elimination, substitution, engineering control, management control and equippingpersonal protective equipment", Easpring focuses on the systems and links with prominent risks and accidents prone, combines seasonal characteristics, joins internal andexternal experts, adopts a "pulse-feeling" regular safety inspection mechanism, combines daily inspection, weekly inspection, pre-holiday inspection, weekly inspection bypart-time safety officers, special inspection and other methods to carry out in-depth safety hazard investigation, and fully guarantees Easpring's safety and environmentalprotection situation continuously and stably. At present, Easpring is still in the high-speed construction stage, and contractors and on-site suppliers have also been includedin Easpring's integrated occupational health and safety management, and access review and process assessment have been carried out on contractors' safety qualifications,team quality and on-site management. During the reporting period, Easpring Jiangsu won the "Advanced Unit of Fire Safety Management in 2023" and was included in the"white list" enterprise of local administrative supervision (in the field of emergency management in 2024).
5 "Five" EHS Key Risk Management System
Ability to know andunderstand safety andsanitation
Risk analysis and hiddendanger investigationcapabilities
Emergency evacuation andinitial accident handlingcapacity
Health management andfirst aid capabilities
Flood prevention andheatstroke prevention abilityFive basiccapabilities
Hazard Prediction TrainingKYT
Risk Identification JHA + LEC
Safety, environmentaland sanitation processperformance and false alarmmanagement
Non-standard operationsafety SOP
Behavioural ObservationBBSTop 5ManagementTools
Easpring puts the safety and health of employees at the top of its corporate operations, continuously increases its investment in employee safety and health, and builds adual guarantee mechanism of safety investment and safety insurance. During the reporting period, Easpring invested approximately RMB 14.4855 million in various types ofsafety and RMB 1.1932 million in work-related injury insurance, covering all employees. In addition, Easpring also invested RMB 171,600 in employer liability insurance,further enhancing the protection of employees.
5 "Five" Risk Management System
Intrinsic Safety management
List of key risks and list ofkey fire protection areas
Related parties, hazardousoperations and specialequipment management
List of key risk personnel andlist of occupationalcontraindications
Water balance diagram andwastewater control flowchartFivemanagementfoundations
Organizational Structureand safety responsibilitysystem
Dual Control System Compliance Management
Special Training andEmergency Management
Green and low carbon
FiveManagementPillars
Zerosafety incidents
Zerofire house accidents
Zeroadministrative penalties
Zerooccupational diseases
Zeroenvironmental accidentsFive keyindicators
About EaspringGovernanceQuality, Innovation and DevelopmentValue Chain ManagementEnvironmental ProtectionEmployee and Community CareAppendixClimate ActionESG Report 2024Employee and Community Care
123124
Management of Occupational HealthStarting from protecting the health and safety of employees, Easpring adheres to the combination of "prevention,treatment, management and education", establishes a sound occupational health management system, implementsoccupational health and safety management from the aspects of providing personal protective equipment, carrying outhealth examinations and popularizing health culture, continuously improves the workplace environment and workingconditions, and provides more comprehensive and effective health protection for employees. During the reportingperiod, no new occupational diseases occurred in Easpring.
Occupational health and safety protection?Formulate and strictly implement the Regulations on the Administration of Labor Products,standardize the procedures for purchasing, receiving, using and scrapping labor protection articles,and provide employees with sufficient labor articles;?Equipped with corresponding protective and emergency equipment in each workplace,standardized the notification and warning of occupational disease hazards in each workplace,carried out occupational health and safety training for all employees, and clarified occupationaldisease hazard factors and corresponding protective measures.
Occupational health and safety monitoring?According to the requirements of internal systems such as the Procedures for Identification and
Evaluation of Environmental Factors and Hazard Sources, Easpring carries out monitoring andevaluation of occupational hazard factors, identifies various occupational hazardous factors existingin occupational activities, and takes timely treatment measures to ensure the health and safety ofemployees. During the Reporting Period, Easpring conducted regular inspections on occupationalhazards at 592 inspection points.
Occupational health and safety physical examination?Regularly organize employees to undergo occupational health examinations, and carry out on-the-
job, on-the-job and off-the-job occupational health examinations for employees in positionsinvolving occupational disease hazards. During the reporting period, Easpring achieved 100%occupational health examination coverage rate.
Occupational Health and Safety Emergency ResponseCapabilities and TrainingEaspring has formulated emergency response procedures and specifications such as Emergency ManagementRegulations, Emergency Plan for Production Safety Accidents, Emergency Plan for Hazardous Chemicals Accidents andRegulations on Reporting, Investigation and Handling of Occupational Health and Safety and Environmental Incidents,established a sound emergency plan system, defined emergency response procedures, set up an emergency rescueteam with rich professional knowledge, equipped with a number of emergency rescue professionals and emergencyrescue equipment and facilities, and conducted regular ability training and drills to deal with various emergencies.During the reporting period, Easpring conducted 42 safety drills, covering all employees.Easpring has established a three-level safety training system covering all employees, continuously carries outoccupational health and safety training before and during the job, and ensures that all employees and contractors havesubstantial occupational health and safety knowledge through assessment. In addition, Easpring will conductoccupational health knowledge publicity and activities from time to time to continuously improve employees' safetyawareness. During the reporting period, Easpring conducted 544 safety trainings, covering all employees.
Red Cross First Aid Ability Training for Employees
Organize Evacuation Emergency Drills in Different Scenarios of Day Shift and Night Shift
About EaspringGovernanceQuality, Innovation and DevelopmentValue Chain ManagementEnvironmental ProtectionEmployee and Community CareAppendixClimate ActionESG Report 2024Employee and Community Care
125126
Social Contribution
Easpring attaches great importance to building a communication mechanism with the community, pays attention to the needs of local communities and the public, actively participates in targeted assistance, and helps rural revitalization with practical actions. At thesame time, it focused on vulnerable groups, carried out various forms of charity activities, built a positive and harmonious relationship between Easpring and the local community, and made positive contributions to the prosperity and development of the community.
Targeted assistanceSince 2019, Easpring has always been concerned about rural development, actively participated in targetedassistance actions, and extended its helping hand to Pingyu County, Henan Province. As of the end of thereporting period, Easpring had donated a total of RMB 400,000 to accurately assist the implementation of anumber of key local projects, help many villages in Pingyu County improve their village appearance, appearanceand products, build beautiful countryside demonstration sites, and continue to make solid contributions to ruralrevitalization.
Poverty alleviation through consumptionSince the start of the assistance journey in 2019, Easpring has invested a total of 1.7804 million yuan in funds topurchase consumption assistance materials with the help of the "Central Enterprise Consumption Assistance"platform, closely integrating specific measures to care for employees with the overall situation of national ruralrevitalization, and taking practical measures to contribute to the cause of rural revitalization.
Community ServicesEaspring has always focused on social needs, actively fulfilled social responsibilities, advocated all employees to carryout diverse community public welfare activities such as sending warmth, offering love and volunteer service accordingto local conditions, continuously deepened interaction with community residents in various places, continuouslygathered love power, and worked together to create a harmonious and beautiful social environment. During theReporting Period, 127 employees of Easpring participated in volunteer service activities, with a total of 528 hours ofvolunteer service.
Carry out activities for hearing-impaired children
Since 2019, Easpring has listed Tianyin Rehabilitation Center as a long-term targeted assistance target, and has
always practiced the action of caring and helping the disabled. It has donated a total of RMB 170,000 to help the
rehabilitation center lay environmentally friendly outdoor floors, purchase air conditioners, office computers,
children's educational toys, parent-child classroom facilities, indoor and outdoor sensory training equipment,
etc., continuously optimize the learning and living environment of the rehabilitation center, enrich the types of
rehabilitation equipment, and pave the way for them to integrate into normal social life.
Activities for Hearing-impaired Children
Rural RevitalizationEaspring closely follows the pace of national strategies, makes full use of its own industrial advantages, and adoptsvarious measures such as consumption assistance, financial donations, and on-site research to continuouslyconsolidate and expand the effectiveness of poverty alleviation, and continuously contribute to the prosperity and ruralrevitalization of poverty-stricken areas. Easpring complies with the requirements of laws and regulations such astheCharity Law of the People's Republic of China and the Law of the People's Republic of China on Donations for PublicWelfare Undertakings, formulates and implements the Measures for the Administration of External Donations,strengthens the management and supervision of the use of assistance funds, empowers all business segments to carryout public welfare and charity work from the system, process and resources, and ensures the solid implementation oftargeted assistance responsibilities.
About EaspringGovernanceQuality, Innovation and DevelopmentValue Chain ManagementEnvironmental ProtectionEmployee and Community CareAppendixClimate ActionESG Report 2024Employee and Community Care
Love Without Boundaries, Carrying out Voluntary Blood Donation Activities
In August 2024, Easpring Changzhou explained corporate social responsibility with passionate actions and participated in group blood donation in Changzhou for manyconsecutive years. Company executives set an example, and employees responded enthusiastically, gathering the warm current of love with a trickle of blood. A total of6,500 ml of blood was donated free of charge, interpreting "Great love has no boundaries" with practical actions, injecting positive energy into building a harmonious society.
Voluntary Blood Donation Activities
"Learning from Lei Feng" Theme Activity for Qizhi SchoolIn March 2024, Easpring Changzhou volunteer representatives went to Qizhi School and carefully prepared caring snack gift packages, study necessities and toiletries for theteachers and students of the school. They expressed their deepest respect for those physically disabled but brave and strong children and selfless special education teachers.
the Theme Activity of "Learning from Lei Feng" at Qizhi School
Easpring Changzhou launched the 2024 Jintan ScholarshipProgramIn the new era, it is particularly important to carry forward the goodtrend of teenagers' diligence in learning and progress, and to inspirestudents to aim high and forge ahead. In September 2024, EaspringChangzhou donated RMB 20,000 to the education system of JintanDistrict to provide practical help for students who are striving hard onthe road of learning, and to help them better pursue their dreams.
Easpring Changzhou launched the 2024
Jintan Scholarship Program
About EaspringGovernanceQuality, Innovation and DevelopmentValue Chain ManagementEnvironmental ProtectionEmployee and Community CareAppendixClimate ActionESG Report 2024Appendix
129130
Appendix I Table of ESG Key Performance Indicators for 2024
Table of Key Environmental Indicators
MetricsUnits20232024Energy usage
Comprehensive energyconsumption
tce60,999.0175,462.10Gasolinetce
33.11
154.73
Diesel oiltce
16.22
5.83
Purchased electricitytce52,92059,485.28Steamtce8,029.688,791.20Natural gastce
0.004
7,025.06Solar energy(spontaneous self-use)
tce
171.32
959.54
Total energy consumption intensitytce/RMB million4.03
9.94
Clean Energy
Total Consumptiontce7,984.67,984.6Proportion of clean energy use%0.28
10.58
Direct energy consumption
tce49.327,185.61Indirect energy consumption
tce60,949.6868,276.48
MetricsUnits20232024Greenhouse gas emissionsTotal Emissions (Scope 1 + Scope 2 ）tCO2e280,593.87288,716.46Scope 1 (direct) emissionstCO2e7,855.3628,040.62Scope 1-Stationary Source EmissionstCO2e-13,834.74Scope 1-Mobile Source EmissionstCO2e-384.22Scope 1-Industrial Process EmissionstCO2e-10,180.43Scope 1-Unorganized FugitiveEmissions
tCO2e-3,641.23Scope 2 (Indirect) Emissions
tCO2e272,738.51260,675.84Scope 2 (indirect) emissionreductions
tCO2e-4,423.65Carbon credits
tCO2e-31,665.12Carbon emission intensitytCO2e/RMB million 18.5538.02
Description of environmental data:
In 2024, Easpring collected environmental data covering all operating production sites and R&D center within the listed entity. The data of Easpring SDIGPanzhihua cathode material production base was added compared to last year.
Clean energy refers to the energy generated by solar power and natural gas.
Direct energy consumption comes from gasoline, diesel and natural gas.
Indirect energy consumption comes from purchased electricity and purchased steam.
Description of environmental data:
Scope 2 comes from carbon emissions from purchased electricity and purchased steam, where carbon emissions from purchased electricity arecalculated based on geographical location.
Scope 2 emission reduction refers to energy saving and emission reduction achieved through equipment and process transformation.
Carbon credits are derived from emission reductions generated from the procurement of hydropower projects certified by the Verified Carbon Standard(VCS).
About EaspringGovernanceQuality, Innovation and DevelopmentValue Chain ManagementEnvironmental ProtectionEmployee and Community CareAppendixClimate ActionESG Report 2024Appendix
131132
MetricsUnits20232024
Pollutant emissions8
Exhaust emissionsTotal exhaust emissionsKilogram3,583.8612,638.33Ammonia gasKilogram272.163,067Particulate matterKilogram3,311.703,535.68Nickel and its compoundsKilogram-114.66NO
x
Kilogram-1070VOCsKilogram-661SO
Kilogram-4,190Total exhaust emission intensity
Kilogram/RMB
million
0.241.66
Solid waste generationTotal solid waste generationTonnes1,615.021,348.66Hazardous wasteTonnes115.37123.96General wasteTonnes1,499.651,224.70Total solid waste generation intensityTonnes/RMB million0.110.18
Description of environmental data:
Pollutant discharge includes pollutants in waste gas and wastewater. Please refer to Easpring 2024 Annual Report for the approved total dischargeamount and total discharge amount of wastewater pollutants.
MetricsUnits20232024Resource consumptionWater resourcesTotal water withdrawal‘0000 tonnes52.8954.63Municipal water withdrawal‘0000 tonnes52.8954.63Total displacement‘0000 tonnes14.4414.45Total water consumption‘0000 tonnes38.4540.18Recycling and reuse of water‘0000 tonnes14.7614.93Water intake intensity
‘0000 tonnes /RMB million
0.00350.0072Other ResourcesTotal use of other resourcesTonnes1,119.31,891.45Production packagingTonnes1,117.31,889.31Office PaperTonnes2.02.16Recycling and usage of otherresources
Tonnes631.8457.55Intensity of use of other resourcesTonnes/RMB million 0.0740.25
About EaspringGovernanceQuality, Innovation and DevelopmentValue Chain ManagementEnvironmental ProtectionEmployee and Community CareAppendixClimate ActionESG Report 2024Appendix
133134
Table of Key Social IndicatorsMetricsUnits20232024Employee ManagementTotal employeesPerson(s)1,7211,798By Gender
FemalePerson(s)429456
MalePerson(s)1,2921,342By educational qualifications
Ph.D Person(s)2631Master's degreePerson(s)234272Bachelor’s degreePerson(s)531589College degree and belowPerson(s)930906By Age
≤ 30 years oldPerson(s)67169230-50 years oldPerson(s)878944≥ 50 years oldPerson(s)172162By position level
Senior managementPerson(s)78Middle managementPerson(s)115107
General employeesPerson(s)1,5991,683By geographical region
ChinaPerson(s)1,7171,795Overseas Countries and TerritoriesPerson(s)43
MetricsUnits20232024ManagementBy Gender
FemalePerson(s)2222
MalePerson(s)10093By Age
≤ 30 years oldPerson(s)2230-50 years oldPerson(s)110101≥ 50 years oldPerson(s)1012
Employee training
Employee training coverage%100100Total employee training hoursHour16,953.7710,336.01Average number of training hoursreceived by employees
Hour9.859.43By Gender
FemaleHour9.678.70
MaleHour9.919.64By position level
ManagementHour14.6213.35General EmployeesHour9.498.90Annual training expenditure amountRMB-1,033,565.62
Occupational health and safetyOccupational health examinationcoverage
%100100
About EaspringGovernanceQuality, Innovation and DevelopmentValue Chain ManagementEnvironmental ProtectionEmployee and Community CareAppendixClimate ActionESG Report 2024Appendix
135136
MetricsUnits20232024Product and ServiceComplaint handling rate of productsand services
%100100Product RecallPiece(s)00Percentage of total shipped orshipped products recalled due tohealth and safety issues
%00Social welfareTotal cumulative investment amountRMB million1.72492.5304Number of employees engaged involuntary activities
Person-127Volunteer service hoursHour-528
IndexUnits20232024Anti-corruptionThe proportion of directors involved inanti-corruption training
%100100The proportion of employeesparticipating in anti-corruptiontraining
%100100
MetricsUnits20232024
Number of safety drill activitiesTimes2942Work-related injury insuranceinvestment amount
RMB million-1.1932Work-related injury insurancecoverage
%-
SuppliersTotal Suppliers
Company(ies)132106Number of new suppliersCompany(ies)2416Proportion of localized procurement%21.2123.58
R&D ManagementR&D InvestmentRMB billion0.4080.370Proportion of R&D investment tobusiness income
%2.704.88Number of R&D personnelPerson412430Proportion of R&D personnel%23.9423.92Intellectual Property Protection and Patent Application
Cumulative number of patentapplications
Piece(s)641834Number of new patentsPiece(s)147193Cumulative number of authorizedpatents
Piece(s)280352Number of newly granted patentsPiece(s)4672
Table of Key Indicators of Corporate Governance Performance
Description of social data:
The scope of supplier data statistics includes suppliers of main materials, packaging materials, and engineering equipment bidding and procurement.
About EaspringGovernanceQuality, Innovation and DevelopmentValue Chain ManagementEnvironmental ProtectionEmployee and Community CareAppendixClimate ActionESG Report 2024Appendix
137138
Appendix 2 "Self-Regulatory Guidelines No.17 for Companies Listed on ShenzhenStock Exchange – Sustainability Report (For Trial Implementation)" and GRIIndex
SustainabilityReporting Guide
GRI StandardsResponse SectionChapter I General ProvisionsArticle 1Article 2Article 3Article 4Article 5Article 6Article 7Article 8Article 9Article 10
GRI 1: Foundation 2021
GRI 2: General Disclosure 2021
GRI 3: Material Issues 2021
Governance
Chapter 2 Sustainable Development Information Disclosure FrameworkArticle 11Article 12Article 13Article 14Article 15Article 16Article 17Article 18Article 19
GRI 2: General Disclosure 2021
GRI 3: Material Issues 2021
Governance
SustainabilityReporting Guide
GRI StandardsResponse Section
ChapterIIIEnvironmentalInformationDisclosureSection 1 Addressing Climate Change
Article 20Article 21Article 22Article 23Article 24Article 25Article 26Article 27Article 28
GRI 201: Economic Performance 2016201-2 Financial impacts of climate change and other risksand opportunitiesGRI 302: Energy 2016302-1 Energy consumption within an organization302-2 Energy consumption outside the organization302-3 Energy intensity302-4 Reduce energy consumption302-5Reducing energy demand for products and servicesGRI 305: Emissions 2016305-1 Direct (Scope 1) Greenhouse Gas Emissions305-2 Energy Indirect (Scope 2) Greenhouse Gas Emissions305-3 Other indirect (Scope 3) greenhouse gas emissions305-4 Greenhouse gas emission intensity305-5 Greenhouse gas emission reduction305-6 Emissions of ozone-depleting substances (ODS)305-7 Nitrogen oxides (NOX), sulfur oxides (SOX) and othersignificant gas emissions
Climate ActionAppendix I Table of ESG KeyPerformance Indicators for 2024
About EaspringGovernanceQuality, Innovation and DevelopmentValue Chain ManagementEnvironmental ProtectionEmployee and Community CareAppendixClimate ActionESG Report 2024Appendix
139140
SustainabilityReporting Guide
GRI StandardsResponse SectionChapter IV Social Information Disclosure
Section 1 Rural Revitalization and Social ContributionArticle 38Article 39Article 40
GRI 203: Indirect economic impacts 2016
203-1 Infrastructure investment and supporting services
Employee and Community CareAppendix I Table of ESG KeyPerformance Indicators for 2024Section 2 Innovation Drive and Technology Ethics
Article 41Article 42Article 43
Not involved
Quality, Innovation and DevelopmentAppendix I Table of ESG KeyPerformance Indicators for 2024Science and technology ethics is notapplicable, and the disclosure subjectdoes not engage in scientific research,technological development and otheractivities in ethically sensitive fieldssuch as life science and artificialintelligenceSection 3 Suppliers and clients
Article 44Article 45Article 46
GRI 204: Procurement Practices 2016
GRI 308: Supplier Environmental Assessment 2016
308-1 New suppliers screened using the environmental
assessment dimension
308-2 Negative Environmental Impacts of Supply Chains
andActions taken
GRI 414: Supplier Social Assessment (2016)
414-1 New suppliers screened using social evaluation
dimensions
414-2 Negative Social Impact of Supply Chain and Actions
Taken
Value Chain ManagementDuring the reporting period, Easpringdid not have a balance of accountspayable (including bills payable)exceeding 30 billion yuan oraccounting for more than 50% of totalassets. For details of accounts payable,please refer to the Easpring 2024annual report.
Article 47
GRI 416: client Health and Safety 2016
416-1 Assessment of Health and Safety Impacts on Product
and Service Categories
416-2 Violations Involving Health and Safety Implications
of Products and Services
GRI 417: Marketing and Logos 2016
417-1 Requirements for product and service information
and identification
417-2 Violations Involving Product and Service Information
and Identification
Value Chain Management
Article 48
GRI 418: client privacy 2016
418-1 Verified complaints involving invasion of client
privacy and loss of client information
Governance
SustainabilityReporting Guide
GRI StandardsResponse SectionSection 2 Pollution Prevention and Ecosystem Protection
Article 29Article 30Article 31Article 32Article 33
2-27 Compliance with laws and regulations
GRI 303: Water Resources and Wastewater 2018
GRI 304: Biodiversity 2016
304-1 Operating sites owned, leased, and managed by the
organization in or adjacent to protected areas and
biodiversity-rich areas outside protected areas
304-2 Significant impacts of activities, products and
services on biodiversity
304-3 Protected or restored habitat
304-4 has been listed in habitats in areas affected by
operations Species of IUCN Red List and National
Conservation List
GRI 305: Emissions 2016
GRI 306: Waste 2020
306-3 Waste generated
306-4 Waste diverted from disposal
306-5 Waste entering disposal
Environmental ProtectionAppendix I Table of ESG KeyPerformance Indicators for 2024
Section 3 Resource Utilization and Circular Economy
Article 34Article 35Article 36
GRI 301: Materials 2016
301-1 Weight or volume of material used
301-2 Recycled materials used
301-3 Recycled products and their packaging materials
GRI 302: Energy 2016
302-1 Energy consumption within the organization 302-2
Energy consumption outside the organization 302-3 Energy
intensity
302-4 Reduce energy consumption
GRI 303: Water Resources and Wastewater 2018
303-1 Relationship between organization and water as a
shared resourceInteraction
303-2 Managing drainage-related impacts
303-3 Water intake
303-4 Drainage
303-5 Water consumption
GRI 306: Waste 2020
306-1 Waste generation and material impacts related to
waste
306-2 Management of material impacts related to waste
Environmental ProtectionValue Chain ManagementAppendix I Table of ESG KeyPerformance Indicators for 2024
About EaspringGovernanceQuality, Innovation and DevelopmentValue Chain ManagementEnvironmental ProtectionEmployee and Community CareAppendixClimate ActionESG Report 2024Appendix
141142
SustainabilityReporting Guide
GRI StandardsResponse SectionSection 4 Employees
Article 49Article 50
GRI 401: Hiring 2016
401-1 New Employee Hiring Rate and Employee Turnover
401-2 Benefits provided to full-time employees (excluding
temporary or part-time employees)
401-3 Parental leave
GRI 403: Occupational health and safety 2018
403-3 Occupational health services
403-5 Occupational health and safety training for workers
403-6 Promoting worker health
403-9 Work injury
403-10 Work-Related Health Problems
GRI 404: Training and Education 2016
404-1 Average number of training hours per employee per
year
404-2 Employee Skills Upgrading Programs and Transition
Assistance Programs
404-3 Percentage of employees who receive regular
performance and career development reviews
GRI 405: Diversity and Equal Opportunities 2016
405-1 Diversity of Governance and Staff
405-2 Ratio of basic salary and remuneration for men and
women
GRI 406: Anti-discrimination 2016
406-1 Incidents of discrimination and corrective actions
taken
Employee and Community CareAppendix I Table of ESG KeyPerformance Indicators for 2024
SustainabilityReporting Guide
GRI StandardsResponse Section
Chapter V Disclosure of Governance Information Related to Sustainable DevelopmentSection 1 Sustainable Development Related Governance MechanismsArticle 51Article 52Article 53
GRI 2: General Disclosure 20212-29 Methods of stakeholder engagementGRI 3: Material Issues 20213-1 Process of identifying substantive issues
GovernanceSection 2 Commercial Conduct
Article 54Article 55Article 56
GRI 205: Anti-Corruption 2016205-1 Operating points where corruption risk assessmenthas been performed205-2 Communication and training of anti-corruptionpolicies and procedures205-3 Confirmed cases of corruption and actions takenGRI 206: Anti-Competitive Conduct 2016206-1 Legal proceedings against anticompetitive conduct,antitrust, and antitrust practices
Governance
Appendix I Table of ESG Key
Performance Indicators for 2024
Chapter VI Supplementary Provisions and InterpretationArticle 57Article 58Article 59Article 60Article 61Article 62
GRI 1: Foundation 2021
This report has been prepared in strict
accordance with the Sustainability
Reporting Guidelines, including
indicator indexes, etc.
About EaspringGovernanceQuality, Innovation and DevelopmentValue Chain ManagementEnvironmental ProtectionEmployee and Community CareAppendixClimate ActionESG Report 2024Appendix
143144
Appendix3Description for Proper Nouns' Abbreviation
AbbreviationFullNameSAPSystem Applications and ProductsMESManufacturing Execution SystemSBTiScience Based Target InitiativePCTPatent Cooperation TreatyLIMSLaboratory Information Management SystemPLMProduct Lifecycle ManagementSRMSupplier Relationship ManagementCRMClient Relationship ManagementDCSDistributed Control SystemAIArtificial IntelligenceBATCHBatch ProcessingWMSWarehouse Management SystemWCSWarehouse Control SystemAGVAutomated Guided VehicleIATFInternational Automotive Task ForcePDCAPDCA circular（Plan, Do, Check and Act）
AbbreviationFull NameEHSEnvironment、Health and Safety Management SystemRTORegenerative Thermal OxidizerVOCsVolatile Organic CompoundsRoHSRestriction of Hazardous SubstancesREACHRegistration, Evaluation, Authorization and Restriction of ChemicalsPBBsPolybrominated biphenylsPBDEsPolybrominated diphenyl ethersOECDOrganization for Economic Co-operation and DevelopmentRCIResponsible Critical Mineral InitiativeCCCMCChina Chamber of Commerce of Metals, Minerals & Chemicals Importers & ExportersCAHRAConflict Affected and High Risk AreasCIBFChina International Battery Fair
About EaspringGovernanceQuality, Innovation and DevelopmentValue Chain ManagementEnvironmental ProtectionEmployee and Community CareAppendixClimate ActionESG Report 2024Appendix
145146
Assurance Statement