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BUILDINGSUSTAINABLESUPPLY CHAIN
Responses to topics
Responsible Supply Chain Risk Management Addressing Climate Change
Responses to SDGs
Supply Chain Sustainability Management
The Company is commited to advancing sustainabityacrosur uppy chain The Companyhas developed and imlmented th SupplerustainbitMantMretgratnstainaleuplhainpriityaptfh management The Comanyhas established sustainabilty awards and relesed the Code of Cndut for Business Parners setig clearexctatinsfupliesinaressuhsevirmetalprttioniarnsibiltyandregulatoryml
Hazardous substance management system
The Company has established a hazardous substance management system based on GB/T 30512-2014, ensuring full-process monitoring of high-risk substances such as lead, mercury, and cadmium. This system guarantees 100% compliance with material restrictions.
The Company prioritizes suppliers with strong environmental and hazardous substance management practices. We maintain a zero-tolerance policy toward suppliers that cause significant environmental or community pollution.
Supplychaincarbonreductioninitiatives
O Green Supply Chain
Emission reduction targets management: Since 2022, the Company has integrated “Carbon Peaking and Carbon Neutrality” goal into our supply chain management and driven suppliers to achieve a 5% annual carbon reduction target.
| sector,with approximately75%of suppliers responding with relevant data.In2024,throughmodeling and accounted for over 95% of the total carbon emissions of the battery cell In 2024, the Company promotes carbon footprint certification for the main material suppliers of battery cell products, including cathodes, anodes,electrolytes, separators, copper foil, and aluminum foil. | analysis of battery cell products, the Company achieved the carbon emissions from the main materials | |||
| with supplies accounting for 62.7% of the participants.At present, 100% of the main material suppliers for | Capacity building: A total of 293 people participated in the Company's supply chain carbon inventory training, | |||
| battery cells have carried out product carbon footprint certification work. | ||||
| Supplier social responsibility audit mechanism: The Company has implemented a risk-based supplier social | ||||
| responsibility management strategy. We manage the sustainabity performance of suppliers through a | ||||
| combination of supplier self-assessments and on-site social responsibility audits.During the Reporting Period, | ||||
| the Company conducted social responsibility audits on 186 suppliers, with 82.3% meeting compliance | ||||
| Supply Chain Social Responsibility Management | standards(eitherfully or conditionally)and 17.7%deemed non-compliant.For identified non-conformities,we | |||
| actively worked with suppliers to ensure corrective actions were completed. | ||||
| Supply chain due diigence: The Company conducts supply chain traceability assessments on seven key | ||||
| materials, including nickel, cobalt, and lihium, tracing back to the original mining sources.This ensures that al | ||||
| rawmaterialscomefromethicallyresponsible uppliesfreefromchildlaborfrcedaborrtheran | ||||
| Standardized contract terms: The Company incorporates EHS (Environmental Health, and Safety), ethical | ||||
| business practices, and responsible supply chainmanagement clauses into procurement framework agreements | ||||
| and quality contracts,ensuring that all suppliers understand the Company's compliance requirements. | ||||
| 民 | Regulated agreement implementation: The Company requires all suppliers to sign the Code of Conduct for | |||
| Supply Chain Compliance | Business Partners and IntegrityAgreement, establish anti-corruption policies,and comply with relevant | |||
| Management | ||||
| Institutionalized compliance measures: Suppliers found tobe in serious violation of the Company's sustainabity management requirements wil be subject to escalated risk management measures, including contract | ||||
| termination or blacklisting when necessary. | ||||
| To mitigate the risks of raw material shortages and factory shutdowns, the Company employs a dual-sourcing | ||||
| Supply Chain | ||||
| and backup manufacturing strategy,ensuring a stable supply of materials and uninterrupted production. | ||||
| Resilience | ||||
Responsible Minerals Due Diligence
| Five steps of the OECD guidelines | Gotion's due diligence framework: The“five-step method" |
| Establisharobust corporate management | ·Set a code of conduct for business partners ·Implement sustainability management measures for suppliers ·Define audit standards, corrective action reports, and appeal mechanisms |
| Identify and assess supply chain risks | ·Mineral supply chain risks |
| Develop and implement risk mitigation strategies | ·Establish supplier due diligence, SAQ (Supplier Assessment Questionnaire), and audit entry mechanisms ·Incorporate zero-tolerance criteria into key thresholds ·Track supplier corrective actions |
| Conduct independent third-party audits for | ·Perform third-party assessments of the due diligence system ·Conduct on-site audits |
| Report on supplier due | ·Publish due diligence efforts through ESG reports and corporate website disclosures ·Provide otherregulatory compliance disclosures |
Gien thetentialgatiactsofminngad tradinmneraluricnfitafetedanhig-risareastheCa is firmly committed to upholding human rights and opposing conflict and environmental damage.
The Company strictly adheresto theChinese Due DigenceGuidelinesfor Resonsible Mineral Suppy Chains of China Chamber of Commercef MetalsMnerals &ChemicalsImporters&Exporters(CCCMC), theDueDigenceGuidance forResponsible Supp Chains of Minerals from Conflit-Affected and High-Risk Areas issued by the Organizationfor Economic Co-operation and Development (OECD), the Dodd-Frank WallStreet Reform and Consumer Protection Act (the Dodd-Frank Act), and the relevant requirements of theReponsible usiness Aliance RBA)Regarding confic minerals used in products, uch as tantalm,tin, tungsten, gold (3TGs), cobalt, and mica the Comany hasmlemented mures to effctivelyidentify and eliminate confit minerals sourced from the Democratic Republic of Congo DRC) or their neigboring countries The Comany requires supplers to sign theDeclarationofMineralsConfitFreeandcnductssuveysusing theConfict MineralsReportingTemlate CMR&EMRT) from thResonsibleMneralnitiatiRMlf anyconfitmineralsareidentified theComanywillmediatelytemnat th relationshipwith the suplierorrequire thm to change their source ofrawmaterials.n 2024,theCompany sent confict mineral suveys (CMR &EMRT) toal newlydeveloped andqualfied manfacturing supliers, and supplerswere required to sin the Commitment Letter on Non-Use of Conflict Minerals.
To exand thescpeof supy chainde dligence,theCompanyhas imlementedasuplychainmapping ivestigationuring th Reporting eriodddlienevered ymatrial suhasnick obalt, maganee, lthatural grahit ad aluminum, with the supply chain traced back to level 7 (mining) to ensure fulltraceability and transparency.
Supplier Procurement Management
Supplier Admission and Evaluation
TheComanasestablishd tupplManagmnt andContrlProedreSupliefmaneManagmentMared Supplitkittflaoliaalt management, while aloutlinin specificrequrementsforupplerssocialreponsibityan sustainabityA three-tie clasifiation system is imlemented based on the criticalty of components.A/B-level suppiers must obtain IATF 16949 certification,while C-levelsuppliers arerequired tohave ISO 9001certification.The Company maintains 100% annualaudit coveragefrllsulierwhllsulieraremoitored througadaicvrsigt systmotntialslie undergoa comprehensive evaluation covering multiple asects,including management sstems, operational prcesse, cial reponsibityanclnenurestaleandrelaleupchanthmnydtdaisonait 168 suppliers and facilitated corrective actions. The initial audit pass rate was 83.3% Non-compliant suppliers will be re-evaluated, and based on a review of multiple opinions, further progress may be halted.
During the Reporting Period, the Company had a total of 41.8% Supplers based in AhiProvine The proportion of our domestic procurement acounted for more than 99%.
SupplierPerformance Management
The Companyhas established a dnamic evaluation system through the SuliePerfomance Management Mesures, onitoring fourkeindiators qualty, dl tist, and seieamthlbasi.asdonth valuatioresltsupl a categorized intofourlevels:A,B,C,and D.In 2024, the Company introduced adedicated safetyassessment indicator ad inorporatd anstr vet lsfraftysunqualtyreetsAditonall diffrntiatd mngementm suchasqualtydsitsandordqutaavbeelementdenhanceprsontrol,theComanyasestabli keyqualitrharhdioititwtl requirementsThCmintettelSaftyMatrialexlitystatstht saftyandqualityviolatiosilpnalda the maximum level alowed by the agreement. Based on monthly performance evaluations, the Company generates an annual performanceassessetAdditionall th Cmpanyhas comprehensivresut management strateyfr slies with performance levels.
SupplierExitManagement
SuppliersmaberemvedfrthCanyssuplysstempnrequstbytheupplirManagemntDeparment rtheuplr Quality Center under any of the following circumstances:
During the Reporting Period, the Company removed a total of
·Suppliers who voluntarily exit the Company's supply chain system.
·Suppliers with security issues or significant quality problems.
·Suppliers who fail to meet the Company's quality requirements within six months of corrective action.
·Qualified suppliers that have been inactive for over two years with no plans for future cooperation.
·Suppliers found to have integrity or ethical violations during collaboration.
Supplier Quality Management
Supplier Quality Control
TheCmpanyprioritiesupplrqualtyanagemnt ntinuslyenhancinqualty standards troghasystematicmanageme framework and stringent evaluationmechanismshe Cpanyerformsqualty adits ono suplier wthlvel slie undergnatlastnaditddioalulerthatreeivsatisfactyaitratingsarprviddwitqalt training and instrctiofrprovemntsfrhernure effctivequaltymanagment aross theupplchain, theComana implemented a tiered quality deposit system based on supplier classification and material type.
| Material level | Management initiatives | ||
| Qualityaudit | System certification | Production part approval process (PPAP)level | |
| A | ≥1time/year | IATF 16949 | Level 3 |
| B | ≥1 time/year | IATF 16949 | Level 3 |
| C | NA | ISO 9001 | As required |
In terms of suppliequality control, the Companyhasestablished a comprehensive monitoring system, seting \mathsf{k e y} quality indicators such asminmatrildft ratprt ratandrkimtfaileratThindiator areularlytra published, and evaluated on a monthly and annual basis. \mathsf{B y} implementing quality improvement initiatives and a key supplier support program, the Company has effectively driven continuous enhancements in supplier shipment quality.
Supplier Quality Support
Embracing the philosophy that “Our success grows from fostering mutual sucess, Gotion High-techis commited to enhancing supplercapabitiesSince 2 theComansSuplQualitCentes providd crehnsiv supprt tlg-ma, focusingon sitemanagementprocesqulty control and systmptimization.Over thepast fouryears theCompanyha organizefrnsiotdsitstiatuplfldldialdlt improvement methodologiesTheseinitiativeshave significantyenhanced the xertiseofkeysupplierpersonelandhelpd establish effective daily maintenance and quality improvement systems.
During th porti Perid, th Canyachdatargetd qualtyaistance rvemet programfor4 suples, ach 100% coverage of keymaterial supleThrugh this initiative,thComany sucesfullyaressed 2,7on-site qualityss, achieving a 98% resolution rate. During the Reporting Period, the Company also organized 43 quality capability enhancement training sessionsforsuppliesenuring fulloveragef strategic suliesThe trainingcveredaranef critialtpi includinworlacemaaemntlelinessontrolMeurmet smalisMA),tliandequipmntmane keypositonersit adStatistialrssContrlC)h ttalpartiatinf thessionachved p tiesheinitatielredsignifictreltrintheprigriddftratfnmtrialsfrmstr suppliers decreased by 58% compared to 2023. The proportion of performance rated as A jumped from 25% to 75%. the incidence of minor issues declined by 19% andbatchdeliverycapabilitysawaremarkable 263% improvement.
IMPLEMENTING ENVIRONMENTALPROTECTION
Responses to topics
Environmental ManagementSystems
Energy Management
Pollution and Waste Management
Biodiversity
Clean Technology Opportunities
Resource Use and Recycling
Addressing Climate Change
Responses to SDGs
Environmental Management System
Establishing Environmental Management System
GotionHig-tchaherestoth priniple of“Eficint resurceutliationandlafuleiromental protection and asestablisd a standardizd and transparnt eiroetal managment stmhis framwor definsful-chainrensibitie rangin fm cliatechaneitigatinadrereclingtiizatinpoltipreentionhroghitiatiuhassetiqantif carbon management targets strengthening energyefciency controls and adancin waste resource utliation, the Coman systematicaly minmizes the enviromental fotprint.Furthermore enviromental perfomance is incorporated intomanagement assessments, continuously driving green and sustainable business practices.
Gotion High-tech strictly complies with the Environmental Protection Law of the People's Republic of China and the ISO 14001 EnvironmentalManagementstemstandardsystematicalyestablshinanenronmentalmanagement framwork that cversal business processes The Comany has develped a cmprehensive set f environmentalmanagement regulations and compiled th Hefei Gotion High-tech EH Management Manual as a guiding dcument. This manual outines the Company's environmental poly, legal andregulatorcmplianerequirementsandexetio standardcreatingacldlopsystemfrmtpevelstraty on-the-ground imlementation.Inaddition, th Companyhave devloped a seriesof regulations, inclding theManagement MeasuresforthereventionandontrolfWatePotionMangmentMeauresforthePreventionandControlfAtmheri PolltionWasteManagement MeasuresRadiationPrevention and Contrl Management PolcyEmergency Preparedness ad Response PlanDevelopment and Management GuidelinesControl and Management Meaures for Environmental Factors, Hazard SourcelenticatiandRisAsntaftyandEnirmntalttiwardandnistMaagmntol the Work Safety and Environmental Protection Accountability Policy.
The Company adheresto the EHS management policy and follows the logicof PDCA cycleto ensure the effectiveoperation and continuous improvement of its EHS management system.
The EHS Management Center establshes a sound EHS management system to regulate EHS actities, ensure compliance with stakeholerrequirementsandapplicalwsandreglations andmaintain theorderlyperationoftheComan productiond business activitis. t iscmmitted t prtecting the saftyf emlye propery, and the eviroment, enuring the effti operation and contiuous improvement of the system, and ultimately promoting theCompanys sustainable development.
During theReporingeriod,thCompanyrefindourHManagment Maltclearlydefinthelmentsof theenviroentl management systm,enabling granular, tered management approachAt thheadquarer leel, th ompany stablished an Management ommitee to oversee comliance audits, safety, and enviromental management, ensuring that environmental oals align with verall corporate strategy. The commite's permanent executive body is the Headquaters EH Management Cent, structuredasfolws:theDirectoris theDivisionPresident, theeputyDirectoristhe DivisionVicePresident, and the ffice Director is the head of the EHS Management Center. Commite members consist of the general managers of subsidiary base, formingat-wverialmanagment strutureAdditionallthCitteirectorandrelantmeregularlyrr the Board of Directors nmatterssuchas enronmental and safetymanagement as welas progresstward related objtiv.
Gotion's EHS management commitment:
Each year, the Company signs an annual EHS target responsibity agreement with the president, vice presidents in charg, department heads and generamanagersf subsidiarisThisagrement efines envronmentalmanagement aement criter and reward and penaltiestargets, covering aspects such as plutant eisson reduction rates cmpliance rates of plutant emissions, and environmentalpolltion incidents.In 2024, allannual targets were successfully achieved.
Wherever we operate, we comply with the laws and regulations of the country and region, respect local customs and traditions, and maintain a consistent approach to EHS management across all business areas.
Wecare frlifeand helth, protect the eclogical enviroment, maintain zero tolerance forvilations, and strive toachive the goals of “zero harm, zero pollution, and zero accidents".
We activlyadressthactsf clate changeaelerate the transitnzercarbn, and prvide lan,gre,ad high-quality products and services to society.
To ensure the achievement of u goals, we provide support inhuman resources, materials and financial resources.
We regularly disclose our HS performance to the public, pa attention to the neds of investors, customers, sulies, andothrstakeholdersactivelaccet uperiionfrmalletorsf scityandstrieorontiuusmproveme
| Category | Indicator Definition | Target value | Compliance | |
| Environmental protection | Pollutant reduction rate | Reduction in pollutant emissions per unit of output (GWh or t) compared to the previous year | 10% | Qualified |
| Compliance rate of pollutant emissions | (Number of compliant monitoring results / Total monitoring results) * 100% | 100% | Qualified | |
| Environmental pollution incident | Any violation of company or national regulations that results in excessive emissions, soil or groundwater contamination, or confirmed external pollution complaints, leading to administrative penalties from government regulatory authorities | 0 | Qualified | |
During theReporting Period, the Company tied the anual H target reponsibity dcuments to the peformance evaluationof theresponsible personel.ncaseswhere EHSincidents arenot reported within the stipulated timeor there areinstancesof udereportinonceligorfalsifying reorts theHManagementCent wil stmaticall cllt an rganierelant evidenceAfaprovlbythedivisnpresidnt r thvipresidet inchare,therlvat tpiwieinldd int saft performance asmnt systemfor th subsidiaschaimanr generalmanagerFrincidnts inving afetyand envromental responsiilitiesthernsibleatiswlbeldaoutaasednthseverityandat f thincidetdiffeentad reward andpunshnt stmawellatedatabilty systfersnewiletd arding t theif EHS incident tof each susidiyhThis ensures that acuntabit andtheonsequnceof theincidnt are scienticlly aligned.
Each hub subsidiary establishes a dedicated safety and enviromental department responsibe for enironmentalmonitoring, ris management, and daily operations.Each platfrm appoints an EHS liaison to build a crosdepartmental colaboration network. During the Reporting Period, the Company established a dynamic management mechanism based on the ISO14001 standard requirements, following the“Identify-Act-Review-Improve” process.
| Environmental factoridentification | Regular environmental risk assessments are conducted, covering allproduction processes, and resulting in a keycontrolchecklist. |
| Compliancereview | A combination of internal and external audits ensures compliance with laws, regulations, and ISO 14001 standards. |
| Regular inspections | Led by the safety and environmental deparments, quarterly checks and corrective actions are conducted to ensuretheimplementationofpolicies. |
| Supervisory audit | Every year, a third-party consulting firm is invited to conduct a supervisory audit of the Company's EHS system. All battery manufacturing hubs under the Company, including the Gottingen hub have achieved 100% ISO14001 certification coverage.Additionaly, other bases that are under construction or newly buit areprepared tomeetthecertificationstandards. |
In 2024, raining sessonswere onducted n topics such asenvironmental protection regulations, wastewater and exhast gas emissionsstandardnromntmonitoring an asmntwastdipalarbnmnmanagmentandradiat managemettf sioerlacrsthuar uidrianrerchnstittwiththpai of 5,961 person-times.The total training duration was 95,812.50 hours, averaging 11.68 hours per person.
| A total of | With the participation of | The total training duration | Averaging |
| 74 sessions | 5,961 person-times | 95,812.50 hours | 11.68 hours |
EnvironmentalAuditandCleanerProductionAudit
During the Reporting Period theCmpany strictlyadhered torelevant envronmental protectionlaws and regulations,cmpleting environmental mpact assementsforconstruction prjects.Wealsfulymlemented theThreSiultaeitiespolicyan th pollutant discharge permit system for these projects.
The Companyonducts proesguidanceontopicsidentifid during selfinspections coectie actions and special adit at monthlmtingnurinthyradresdandlemntddionalroautweenubidiariaren quarerlandsstmdevmet ansiteits arecaidot aallwthefavalatdbasedonaitrelt subsidarisarerequired tstrictycmlywithptant dishargepemit regulationsondt throughmonitoringf thethre wasteswastgawastewater and soldwasteandcmlete theaual mlemntationf thpoltiondichargepemit Company aloorganizesintemal environmentalmanagement auditor training to nsure consistent understanding and imlementation ofstandardscrouruidiariyrgullvisingthmanagetaalandpdatingeromentalgoalwdri continstimzatif thmanagmet stmcreatipsitilfplistraintlmntationi continuous irovement uring th Rporting Period, the Cmpany engaged a thid-partyorganizationtoprovide intenal a certificationtraining on enviromental management systemsforintmal auditors and Hpersonel across subsidiaries fuhe strengthening the effective operation of the Company's EHS system.
GotionHhthnitentdnngitlprdtiiitatiactilrnditatiolliibytatial promotingreentelypgradsandprptiizatiocrsitssuidarQigaGoieaehist pass thegovernmentld comprehensive clean production audit successful implementing all mid-to-high-cost mprovement initiatives. 0 Nanjing Gotioncmleted ugrads to its core press intw phases, investing a total of RMB5milion.
Theerntssinifiatdwastbaranaasewastltroleratiwhl savingove50kWhfeltricityaualMeanwhilTangshanGotionwasseletedforHbeirovincesfirstbathf mandatolprdtiitansfuldddicatdptitinJltin for regional clen production.TheCompanyhasestablshed adynamicmanagement systemfor susidiariesonthe audit list o ensure that each technical improvement plan is fully implemented.
A clean production systemenables theCompanytoachievebothenvronmentalbenefits andenhanced perational capabities Throughpratadrerlizatothrat idariaachidinifiatbrek anualeprimefithintrsatabldttamlil training programsave fosteredacoreteamwith strong lan productionmanagement capabitiesByimproving operational standardsadrureefat thourtfftaestablishdrusthianaerilfdat sustainable, high-quality growth.
CleanTechnology Opportunities
During thRepting Period, theComanfld 5patents relatd tolntehlogyAsagloballderintheVbattee Gotion High-tech makes“zero-carbon manufacturing” a strategic priority, dring the implementation of emision redction measures across its manufacturing bases By deeply integrating industry chain resources and fostering innovation in clean technology,the Company is buiding a closed-lop green energy ecosystem. The Company focuses on advancing high-enery density andlong-cycllifebattey techlogieswhile siultaneuslrading energystorge systmswithinteligent solton. These effortshave ld to the develoment of higly efcint and energy-saving solutions tailored for alications such as nw ElectricVehicles and smart grids. Relying on cllaboration with global parners on cutting-edge technologies,the Comany as established a comprehensiv technology matrix, spanning from battey material recycling tofullifecycle carbonfootprint management. This has helped downstream clients reduce overal energy consumption costs and effectively accelerate dearbonizatinsetoruhasulitrartatinandistrialnstragecreatigdlatlking thalf green technology while driving the industry's low-carbon transition.
Environmental Emergency Response Capabilities
GotionHigh-tchisfuly strengthening its enviromental mergencymanagement systemlaing a sold foundationfor safe ad sustainable development. To prevent and respond to environmental incidents, the Company has established a comprehensive emergencyrepnsfrworkvrinallsineperationThisfrmworfosnkeyrkarescldinchical sil (such as NMP, BR, lubricants and electrolytes),hazardous waste leakage, xcessve potant misions, radiation so management, and secndary nvironmental disasters (suchas fires and explosions)Standardized emergencyprocedures and dril plans have beendeveloped to address these risks.During the ReportingPeriod,the Company conducted 2 environmentl emergencydrilvering sitypsf critical mrgency scenarioswthtotalfparticpantshsexerciseensre practicaltyf emergencylans and enhance therepnse capabityof all mlyesAdiionall, theCmpany strictlylements thedecisions and arrangements ofregarding EH management.nlinewith the core requirements issued by several national ministries in2024 such asEvery mloyeepossesses safty awareness and emergency skils” and “Comprehensive advancmnt of thebeautiful China initiative, the Company is dely engaging in employee safety and enviromental protectioneducation activitiesheefforts systmaticallenhanemlyeeeviromntarsarenessandemergencyrepnsecapabits.
AnchorednlianceefortiyuriroetalaftyfeseEachsuidarystrictlyfolwsthergencyrpares and Response PlanDevelpment andManagement Guidelinesdetailng the control equirments frwastewater, exhaust gas noise,and soldwaste according tonational polutant discharge standards and industry practies. Theyenure comprehensiv implementation fling, and ongoing udates of emergency response plans. Through regular hands-on drils, training, and asssmentswe seamlessintegrteemergencyreponseprotocolsintojobresponsibieeffectivelmitigating majr environmental risks and strengthening the foundationfor the Company's green and sustainable operations.
Resource Usage and Recycling
Water Resource Management
GotionHig-techawaysregardswaterresourcemanagemnt ascrucial partof urviromental reonsibitiesWadcat waterconeationnrperationstablshinarfindwataeystmthatansthwhleprotionroessh subsidaryrelnlallatuplprdtiwhetiuslriwatureficieui ReportingPeriodFeidngGotionlmentdatargetedwatr-savinmodificationfrthewra-arounsprainross adptinpichicaltretnhlgynaldwstwtreyliandreissmaacubi of waterresources per hour, significantly reducing freshwater consumption.
At theWuaiprodtiondlapproachof tehlgicaliationandpresptiizationhasdrivthedevlpmef multidimensional water-saving model. A dual-effect mechanism of “closed-loop management of process water ^+ evaporation control hasbeenintgrated intothe production proessInthedesufurization proes by precisl adjusting thedensity of th gypsum pool (increased from the original 1,180-1,200~\mathsf{kg}/\mathsf{m}^{3} to 1,250\ \mathsf{kg}/\mathsf{m}^{3}) and optimizing the frequency of filter cloth washing, waterefceinthulpingnddwteripreerddditoallvatiarat systemsusedtatomaticalyadust theperatingparametersf thcooling termaintainincirculatingwaterat anptl tmperatureThssytdwithltroderaturemnitorinlndthwatystftil watereaporatindesticwatmanagmentwbalacma-centrecarewthregulatryrequirementrmea includeadpting thetied wat pricing sstmchdud wat uplmanagment, andupgradstotminldrpirigatn. These effrs are furthr reinfrced bywater-saving sig-based adcacy and a watr met monitoring systmn ding s w have sucefulltralated watain arneintactinrosalllyeepariula inmaain thefireprott waterupply systm,weavadptedadual approachf detctinaks inthefreprotctiopipli network and lti regulatory requirements to establisha prevention and control system throughout its entire lifecycle.
During thReprtingPeridHfolat creativlupraddits leaninprosyestablihingastembackwaterrel sytemsreatfridierevihrddirtlafi reusingitinthecleninprsshisntnlsavedRM0naalwateostsutalsignificantlyhant cleanliness of battery surfaces
Green Packaging
The Companyrigorous selcts environment-friendlypackagingmaterialsprimarilyusingreyclable options suchascarton wooencratplastitairsteeackandpawd hridxhear sumetdbreylalealia components likeEPP foam and EPE cushioning materials Additionall, by continuously upating the Gotion Product Packaging Management Reulations, wehave clearlydefind the proesss for packaging design and valuation, prourement, sage and scheduling, ensuring a regulated and standardized management approach.
Weareittdtreing treylinatfpackginmatrialurinthReprigrioidnGtionl targetedirovemetsfhazardousastehaningsenarioandmadabrekthroughbyindisarddflexibintediat bulk containers Fstreacbra-nwpackginBystricty sectinundamged second-hand Csweachiere regenerationwhile ensuring saftyand cmplianceAsaresult,nearly500FCswere saved fromprourement in2024Ths initiativsffetilwackginstsadiidatatiat thourtieee production and economic benefits.
During theReporing eriod,theompanycontinusly exored opportunitiestoreducecarbonmissonsinthe packaging pres througha dualapproachof technolgical innvation and institutional support.Frmmaterial substitutionto procesoptimization, from standard execution to data tracking, we have gradualy established a comprehensive control network covering packaging desigdrhfilpriritdiixistilaakint fornewaaing andnsereourcrgoastmakeprodt packagin liwhie stilmtingbsicreqiremnt d to decrese therelance on sinl-use packaging by ncreaing the use of reyclabl,biodegradable, and resale packaging materialsrwilllabratwthackainmatrialliestrerchaddevremtrialsasalat traditionalhigh-consumtion, lw-yield packaging,achieving fuly sustainable packaging and driving continuus reduction in resourceonsumtionthrogout thepackagingprocessThseefrtswil providenewmmntforthe gren transfomatinf the industry supply chain.
| Packaging Lightweighting | Packaging Recycling | |
| Target | During the Reporting Period, the utilization rate of packaging materials per unit product | To implement the green packaging concept, in 2024 we ensure that the packaging materials used for products increased by 5% compared to the same period launched in the market were either recyclable or 100% biodegradable. |
| Method | solution for certain heavy products instead of an all-wood approach; | 1. Reduce the use of wooden packaging discarded packaging materials. materials by adopting a paper-wood hybrid 2. For domestic shipments, projects are added adjustable stops in the X and Y directions to the existing packaging. This can accommodate more products, save resources, and 2. Use EPP (expanded polypropylene) combined improve resource efficiency. with large paper or plastic collar containers. 3. For projects exported overseas, such as large modules, |
| 27%. Effectiveness | adopteda paper-woodhybrid solution to replace the all-wood solution. This change reduced the packaging rate by 0.32 kg/kWh per kwh of solid materials,a decrease of about 2. During the Reporting Period, we used EPP (expanded polypropylene) combined with large | 1. During the Reporting Period, the Company 1. In 2024, we developed approximately 95 new green packaging products for export projects, accounting for about 35.5% of the total.Domestically,around 111 new packaging products were introduced,accounting for about 41.5%. The remaining 23% were adapted from existing designs. 2. In 2024, all export projects 100% used recyclable and biodegradable materials. |
Recycling
The Company places great mphasis on the circular econmy strategy forbatteries. Leveraging both systematic infrastrutur development andtechnological invation, wehaveestablished a clsed-loop proess covering recycling networks, dismantling procedures, and material regenerationDuring the Reorting Period we contiued to refine andupdate th Gotion Waste Batte Recycling Plan, develpng a thretiered recycling network basd on the prinipleof“safty, enronmental protection, t efficieny ad prxitstablshdattreyl addisba arranged t tieutiztionf rpri plants neyregions and buit nationwide recycling stationbasedon the existing aft-salsetwork.urently, the sstm includes4prmarystationsandecnarrhigher-tstationsfmincrdinatdand thredinsionalstruuf "central hub - procesing plant - terminal outlets". This lays a solid foundation for large-scale battery recycling.
Inthreclng anddispapresswehaestablihdaciebasd andstandardizederatioal presad atabity mechanitiifiatadtitgadlutodiinratianmaruifit is imlementedThe effciencyof battepackdiatling asreached to3unitser teamerday,whilea single persna handle the dismantling of 500 kilograms of battery cells daily.Approximately 60% of the recovered batteries are repurposed for tieredutliationeanwhieweave strengthed thmanaget f repnsibitytracabiltyW strictlyldwith t requirementsofManagementMeasursfortheComprehensivUtlizationofElectricVehice attriesenuring thcoliane through information tracking and dynamic monitoring of thewhole process.Inresponse to thenewly released 2024 Industy Standardsfor thCmrehnsivUtliztionfWastVBatterisehae ecificallystrngthned ourstandarsfohalig Iithumbatteriradduicaldiattmandfulld threidulftiredatri
Technologicalbreakthrougs are thekeysupport formlmentingacirculareconmyThroughiovatie procesewehav achieved preisedimatlingandeffcit rlinfindidlbatteTcomrhnimatrlexractiratexlin electrolyte, has exceeded 99.5% This refined dismantling capability can significantly improve resource utilization while minimizing environmentalrsk. n thefuur,weilconti tenhance thereycling-dimantling-reeneration techology chain st overseas hydrometalurgical refineries and complete a closed-loop of the whole industry chainThis wil enable independent overseprdtiorelinnreacrossthwhledtyhandrinthalrnstrutifbatr industrial products to raw materials.
During theRepring Period,throghvativeprocess tehlgy,thereeyratesfr ionan psphrus elents inat recycling, and the comprehensive recovery rate for ihium resources reached 92.5%.
Takingintacc prodtioroessosthewhlwastdissalproesswarenderdmlesandirpsphatd lithium carbonate products meeting battery-grade standards were successfully produced.
| Typesofprimaryproduct | Product yield ratio |
| Black powder (including lithium, iron phosphate, carbon materials, etc.) | 89.55% |
| Aluminumpowder | 10.26% |
| Total | 99.81% |
| ProductYieldRatioof theMainMaterial inBatteryShredding Line | |
| Nameofprimaryproduct | Product yield ratio |
| Black powder(including lithium,iron phosphate,carbon materials,etc.) | 60.48% |
| Aluminum shell | 8.83% |
| Separator | 0.04% |
| Copper powder | 5.62% |
| Aluminum powder | 4.35% |
| Pure aluminum | 1.89% |
| Pure copper Mixedcopper-aluminum | 0.54% |
| 4.18% | |
| Electrolyte | 14.07% |
| Total | 100% |
Pollution and Waste Management
Waste Management
The Company stritly adheres t nationa lws, reulations, and indstry standards ineniromental management, establisin comprehensiv cmlancemanagement system that coversthewhole plutionpreventioandcontrol proes.During the eporti Period,weprioritiedcorporateenronmentalreonsibitybyfulymleenting thenronmentalPrtectionofthePeles Republicof China, theLawof thePeles Rpublicof Chnaon the Prevention and Control of EnironmntalNoise Plution and otheryrglatslawatadistrentonadnWrorusflwdtmitad of Polutantsfor Battery ndustry andother special regulations and took theinititive to alignour operations with regional environmental regulatory requirements of each production hub through dynamic management. By establshing a series of environmental maagemnt plis suchas theManagment Mearefr thePreention andControlfWatrPoltion,w develpdawhl-liecycmaagemntmechanimforwastecovering eerything frmclaiationancolectiontclint storage an safedipsalviwf thniqecharacteristisof thebattermafacturing ndstryeintrdd speilid regulations ike theRadiationPreventionand ControlManagement PolicyWehavemlmented comprehensive polution control strategiesinclding ualcontrolfpoltant misionconcentration and totavolmeandreal-timemonitoringf thlant environettntiuuslrovetherefindmanagementfthenviroetalystTheffrtaeeffctielan plutants prevention and control systems and steadil mproved environmental perfomance, supporting our transition to green manufacturing through a regulatory framework.
During th plat mafacuri pros,westrictlyahre to thethre sltaneitipolif eniroental prottion ni that enviromental protectionfailties aredesigned construted, and commissoned alongside projt develpmntsTrog scientific plaing and strict management plant constructionand operationmeet threquirements of theenviromental act assessment (EIA), particulaly in safetybuffer zone and plution emission control, minimizing the mpact on surounding communitsandresidetsurintheoringPeridweweretjttanymajadmnistrativenaltirr liabityasignifitferedtnnttanrt conducted enviromental pllutan datamonitoringenuring thatwastewater xhaust gasand noiselevlsallcmlidwt standards.
| Wastewater | |
| Name of external laws, regulations, and | External laws and regulations: GB/T 31962-2015 Quality Standards for Discharge to Municipal Sewers, GB 30484-2013 Emission Standard of Pollutants for Battery Industry, and GB 8978-1996 Integrated Wastewater Discharge Standard. Internal management policies: Management Measures for the Prevention and Control of Water Pollution, Control and Management Measures for Environmental Factors, Hazard Source Identification, |
| Emission type | and Risk Assessment, Safety and Environmental Protection Reward and Punishment Management Policy, and Work Safety and Environmental Protection Accountability Policy. Industrial/domestic wastewater. |
| Test items | Industrial wastewater: pH value, suspended solids, chemical oxygen demand (COD), total nitrogen, ammonia nitrogen, total phosphorus, fluorides. |
| Name of pollution preven- | Domestic wastewater: pH value, suspended solids, COD, total nitrogen, ammonia nitrogen, total phosphorus. Sewage treatment station and septic tank. |
| tion and control facilities | Domestic wastewater treatment: 1. process through a septic tank and then discharge into the municipal sewage network; 2. process at the on-site wastewater treatment plant and discharge in compliance with standards. |
| Measures to reduce wastewater | lindirect discharge of industrial wastewater (If meeting factory pre-treatment standards, industrial wastewater was directed to the municipal sewage treatment plant). Tangshan Gotion: Treated wastewater is reused, with a daily reuse of approximately 120 tons under normal operation. Chuzhou Gotion: The water in the recycling tank is used for slury recycling unit backwash make-up, |
| discharge and achievements | dosing, production line cleaning, and circulating water system makeup. A constant pressure water supply system is maintained to ensure balanced pipeline pressure, reducing wastewater discharge by approximately 98 tons per year. |
| Exhaust Gas | |
| Name of external laws, regulations, and internal management policies followed | External laws and regulations: GB 16297-1996 Integrated Emission Standard of Air Pollutants, GB30484-2013 Emission Standard of Pollutants for Battery Industry, GB37822-2019 Standard for Fugitive Emission of Volatile Organic Compounds, GB18483-2001 Emission Standard of Cooking Fume (for trial implementation), GB14554-93 Emission Standards for Odor Pollutants, and GB13271- 2014 Emission Standard of Air Pollutants for Boiler. Internal management policies: Management Measures for the Prevention and Control of Atmospheric Pollution, Control and Management Measures for Environmental Factors, Hazard Source ldentification, and Risk Assessment, Safety and Environmental Protection Reward and Punishment Management |
| Emission type | Boiler flue gas, canteen fume, dust from unpacking and feeding, NMP exhaust gas, dust from cutting, welding fume, electrolyte exhaust gas. |
| Test items | VOCs/PM/nitrogen oxides/sulfur dioxide/blackness of smoke plumes. |
| Name of pollution prevention and control facities | Workshop dust collector, NMP recovery device welding fume purifier, two-level alkaliliquor spraying + precise filtration + secondary activated carbon adsorption. |
| Treatment process | Indirect discharge: During the feeding process, dust is generated.The dust is then collected and treatedbytheinternalpulse-jetfiltercartridge dust collectorwithinthesystem.Additionally,thewhole process is enclosed, resulting in minimal dust escape.After being treated with an explosion-proof inclined plug fiter cartridge dust collector,the dust is recirculated back tothe feeding workshop through the retum air system without being extermally discharged. (Fugitive exhaust gas). NMP system: a high-tower recovery device (waste heat recovery + condensation recovery + tail gas absorption tower), with no external discharge and minimal fugitive emissions. |
| Hazardous Waste | |
| Name of external laws, regulations, and internal management policies followed | External laws and regulations: Solid Waste Pollution Prevention and Control Law of the People's Republic of China,National Catalogue of Hazardous Wastes(2021Edition),GB18597-2023Standard for Pollution Control on Hazardous Waste Storage, and HJ1276-2022 Technical Specification for Setting Identification Signs of HazardousWaste. Internal management policies: Waste Management Measures,Control and Management Measures for EnvironmentalFactors,Hazard Source ldentification,and RiskAssessment,Safety and Environmental Protection Reward and Punishment Management Policy,and WorkSafety and EnvironmentalProtection Accountability Policy. |
| Name of hazardous waste category Name of pollution | Waste engine oilwaste slurry,sludge,waste electrolte,waste activated carbon,fiter cartridges, waste packaging containers,wasterags,waste gloves,etc. |
| preventionandcontrol facilities | Hazardouswastewarehouse. |
| Treatment process | After being collected by the team in the waste production process, the waste is stored in a hazardous waste warehouse and periodically handed over to the related qualified units for disposal. |
| GeneralindustrialSolidWaste | |
| Name of external laws, regulations, and internal management policies followed | External laws and regulations: Solid Waste Pollution Prevention and ControlLaw of the People's Republic of China, GB/T39198-2020 Classification and Code for General Solid Waste, and GB34330-2017 Identification Standards for Solid Wastes - General rules. Internal management policies:Waste ManagementMeasures,ControlandManagement Measures for |
| Name of solid waste category | Waste copper foil, waste aluminum foil,waste separators, dust collcted by dust remover, waste packaging materialswaste electrode sheets，defective battery cellswaste adhesive tape,waste permeable membranes, NMP waste liquid, etc. |
| Name of pollution prevention and control facilities | General solid waste warehouse. |
| Treatment methods | After being collcted by the team in the waste production process, the waste is stored in a normal solid waste warehouse and periodically handed over to the related qualified units for disposal. |
Case
EmissionReductionPractices
During theReportingPeriodJinzhaiGotionimlementedacomprehensiveenvironmentalmanagement systemtoestablsh multi-dimensional polution prevention and control system. The company introduced a sealed collction and purifiction processfrfugitieexhast gasfrthltrltestorageeftivlrdingsisondditonall,tha optimizedthehaselproductionprocessof theplantbylminating theoriginalbatterycleaingprocedureadingta annualreductionofapproximatel3tonsofwastewaterdishargeTomitigateriskfsoilpltion,thecompanyalo installed anti-sepage protection, collection pools and specialied anti-sepage flooring in the NMtank area and electrolytestorage,creating awhole-process preventionand controletworkforleakage of hazardouschemicals.
WastewaterTreatmentProjectofMaterial Wastewater discharge
In 2024, the Gotion Materal discharged 25,757 tons of wastewater, marking a 46.86% reduction compared tc the total discharge in 2023 The discharge per unit product decreasedby64.46% year-over-year.
Analysis of discharge variations
In 2024,GotionMatrial achieved sinificant progressintheintelient ugrading ofits productionlines with partiulal notable advancements in the technical optimization of the magnetic separation and slag discharge systems.Additionally Gotion Material implemented clearer regulations and enhanced policy execution for trench cleaning within workshops, effectivelyreducing theconcentrationofrawwastewaterAsaresult,thefrequencyof equipment cleaningwasreducedb approximately 40% significantly cutting wastewater discharge.These measures have delivered a dual improvement in both production efficiency and environmental performance.
Emissions by Pollutant Category
InformationonPollutantEmissions
| Wastewater | Indicator | 2022 | 2023 | 2024 |
| Wastewater produced (t) | 125,770 | 128,403 | 231,147 | |
| COD (t) | 6.81 | 4.79 | 14.15 | |
| Ammonia nitrogen (t) | 2.31 | 1.75 | 2.48 | |
| Wastewater emission per unit product (t/GWh) | 5,239.57 | 3,408.15 | 4,241.50 | |
| Total non-methane hydrocarbon (NMHC) emissions (t) | 10.73 | 4.59 | 10.23 |
| Exhaust Gas | Sulfur dioxide (t) | 6.64 | 7.88 | 16.59 |
| Nitrogen oxides (t) | 5.53 | 9.46 | 13.82 | |
| Particulate Matter (t) | 1.66 | 2.36 | 4.15 | |
| Exhaust gas emission per unit product (t/GWh) | 0.74 | 0.61 | 0.82 | |
| Solid Waste | General industrial solid waste (t) | 15.965 | 18,580.02 | 29,679.57 |
| General solid waste emissions per unit product (t/GWh) | 595.25 | 464.73 | 544.58 | |
| Hazardous waste emission (t) | 838.3 | 1050.21 | 1,017.30 | |
| Hazardous waste generation per unit product (t/GWh) | 31.22 | 26.27 | 19.00 |
| Hazardous Waste StatisticsTable (t) | |||||
| Hazardous Waste Name | Type | Generation | Disposal Volume | Disposal Method | Disposal Unit Name |
| Waste electrolyte | HW06 | 72.83 | 65.33 | Incineration | Qualified unit |
| 7.5 | Physicochemical treatment | Qualified unit | |||
| Waste activated carbon | HW49 | 12.82 | 12.82 | Incineration | Qualified unit |
| Waste slury | HW49 | 561.70 | 417.85 | Incineration | Qualified unit |
| 93.85 | Landfill | Qualified unit | |||
| 50 | Physicochemical treatment | Qualified unit | |||
| Waste sludge | HW49 | 102.39 | 102.14 | Incineration | Qualified unit |
| 0.25 | Landfill | Qualified unit | |||
| Waste lubricating oil | HW08 | 6.96 | 6.96 | Incineration | Qualified unit |
| Waste packaging drums and bags | HW49 | 90.83 | 90.83 | Incineration | Qualified unit |
| Waste rags and gloves | HW49 | 109.69 | 109.69 | Incineration | Qualified unit |
| Waste chemical packaging materials | HW49 | 6.02 | 6.0142 | Incineration | Qualified unit |
| 0.0058 | Landfill | Qualified unit | |||
| Waste ethanol | HW06 | 4.19 | 4.19 | Incineration | Qualified unit |
| Wasteacid bottles | HW49 | 3.24 | 3.24 | Incineration | Qualified unit |
| Waste liquid | HW49 | 46.64 | 46.64 | Incineration | Qualified unit |
HazardousWaste Generation and Management Measures
During the Reporting Period, the Company aimed to reduce hazardous waste per unit product by 10% The primary types of hazardsatratdanatfwatatrsta electrolyte and othr waste liquid and contaminated materials suchasrags and packaging drums.By imlementing soliliquid eparationmanagement, theCmany strictlydiffrentiatbtweenliquid waste suh aswaste sury,and sold contamnatd materialsuastadaristrrtrrifia general solid waste, such as scrapped parts and workshop waste, from being mixed into the hazardous waste system. Simultaneusly, packaging methods are ptimized to reduce the useof intermediate buk containers by adpting standardized packagingfrlgeansoliontaintedmaterialiwastebahisapproahestablihwastdtioptha based on“source separation process contro andendoflifemanagement”,nsuring cmpliant disposal while prmoting th recyclinandreuriatifazardswasturngthririowerganizdazarduswastmag 2024, we achieved a 40.6% year-on-year reduction in hazardous waste generation, significantly exceeding the reduction target.
Nanjing Gotion Zero-Waste Factory Plan
1.Hazardousandgeneralindustrial solidwasteredutionplan:Theplanaimtoreducegeneralindustrialsoldwastb 300 tons in 2024 and 500 tons in 2025, ensuring a gradual anual reduction in hazardous and general industrial solid wastegeneration.Future effortsil focusonmonitoringwaste generation and encouraging fullparticipatiofromal employees.
2.We continuouslyenhancethe standardized management of solid waste storage,transfer,and diposal.During th transferpresswelmentthmanifstsystmandhavfulldigitalizedtrnsferrecordGeneralndustrilli wasteandhazardouswastarehanddverqualfiedcmpaniesfrproperdiosalensurinreourcerecyclinand utilization.
3. We encourage alemloyees to actively participate in zer-waste city” and “zero-waste factory” initiatives, strength awareness and education efforts, and actively guide customers and relevant suppliers in achieving “zerwaste factor implementation.
EcologicalandEnvironmentalProtection
During theReporingriodthCmanyhasizedcmprehensiveact preventioandntrolcrsallenrnmntafo inprodtiadrtoratdlilprttilnratneatdbidis preservation, into the enviromental management of industral parks. We invested RMB22.4124 milion in ecological and environmetal prottioitatiing thprjtplaningphasealnwstrutionrjtsstrictlyaheretthTe Guidelinesfor thePreparationof Environmental mpact Report Formfor ConstructionPrjects Polutionmpact Category)for tril implementation and the Technical Guidelines for Environmental mpact Asessment Ecological Impact to conduct environmentl impact asmentrjctlcationsarechsentavidelgicalysensitiearasandennmntfnctionalzneprotti targets.lexistinprodtiobasesandperational sitarewithin theecolgical carryingcapacityof theirepectiveregion with no significant impact on soil, surface water, groundwater, or biodiversity.
Jingkai Gotion
It has implemented an ecological barrier project within the plant area and carried out afforestation and landscape restoration to enhance biodiversity and improve the ecological environment. It utilized advanced wastewater treatment technologies to minimize the impact of pollutants on the surrounding environment.Additionally,it took preventive measures to avoid chemicalleaks or seepage into the soil and conduct annual monitoring of soil and groundwater quality.
Nanjing Hub
The hub undertook afforestation and landscape restoration around the plant.
Jinzhai Gotion
The hub installed protection, collection pools, and ground anti-seepage systems at the NMP tank area and electrolyte storage.
Yichun Gotion
Yichun Gotion fully advanced its eco-friendly plant development by enhancing the environmental carrying capacity through large-scale greenery initiatives across the plant.The company reinforced water pollution prevention and control by implementing dual-layer anti-corrosion and anti-seepage treatment for the wastewater treatment pools. Also, the production workshops were equipped with acoustic insulation systems to manage noise pllution at the source.Furthermore,part of the treated wastewatermeetingdischargestandardswasreused,reducingthetotalvolumeofexternalwastewater discharge.These engineering measures have effectively improved both environmental benefits and resource utilization efficiency.
Gotion Lithium
Several measures have been implemented to promote ecological protection, such as formulating a professional plan for mineral resource development and ecological restoration, constructing a drainage system and side slope protection facilities in the mining area, and adopting hanging net and sprayseeding technology for soil erosion control.
Huaqiao Mining
The Baishuidong Kaolin Mine has been certified as a provincial-level green mine in Jiangxi Province, establishing a dynamic balance mechanism for mining operations and land reclamation.
Note: Huaqiao Mining is a subsidiary of Yichun Gotion Lithium Industry Co., Ltd.
Energy Management
Energy Management System
The Company has established a systematic enerymanagement model contiuously improving a documented energy management systemwithinitsrgaizationThisytmfousnstadardizdcontrlthroghot thewhlesinsroesslemeng whole-process control mechanism for energy consumption activities to drive continuous optimization of production process elments.dailprations eryavng mnitoring,ery adits, andenrgyeffciecybnchmarin areintgratd ad implemented while siultaneusly conducting internal auditing and assessment as wellas energy consumptionmeasurement and testing Byintegrating energybalance statistis analysiswithregulamanagment reviw, a cled-loopmanagemet systs been established that covers self-diagnosis technological ugrades, and performance evaluation. This hasensured both th effectivness f the system's operation and thecontinuus mprovment of energy management practices. The operationof this management framwork isaaycentered around thCmansestablished eerypolycmmitments,ffectivelupporti th achievement f energyconsumtincontroltrgetsAdiionall, theComanyontinuestoinnvatebyevelping adigital engy management system.During theReporting Period, subsidiaries such as Jinzhai Gotion were being rold out and replicated th system.
In terms of energy management standardization, the Company has made new progress in systematicaly advancing certification efforts forkeyunits24 sixw suidiais,iling anghanGotion chGotin,NanjinGotinNwEery,an GotionNwEnrgyujang Batt andJnzhaiGotion taind energymangmet systmcerification (50erifiat Certificate). A total of 10 subsidiaries of the Company had completed certification, reached 62.5% (The coverage does not include oversesFdngGotiongyatrilAplianceandiGotithminlanwih0 has marked a crucial stp toward dpening the Company's energymanagement and control capabities across the industry.
subsidiaries of the Company had completed certification
EnergyPolicyDevelopment
The Companyhas developed ahierarchicalrgulatory framworkforenergy onsumptioncmpliance management. The Management Measures for Energy Consumption see as the overarching dcument, whie theManagement Measures for Energy Consumption Indicators of Production Sections provide detaildbreakws f eneryonsumption targets.Forcritical aspects, wereulat equipment admisson and maintenance processes through the “mlementation Rules for the Management of Key Energy-using Equipment, whil enhancing perational efciency withtheManagement Measures for EconmicOperationf Key Energy-using Equipment. o strengthen personel capabityassurance, wehave introduced the Management Measures for Energy Training alngsideAdditionally theManagementMesuresfrEnergyContracts offer annvativmanagement approachfomn standardized control system that covers all key elements and processes.
Energy Audit Mechanism
During the Reporting Period, the Company continued to innovate and implement the ③+ Energy Audit Mechanism. Developed jointly byGotionHightechandstrateicpareVolkwagenGroupChna thiscrehensieevaluationtooisbasd onleaprodti managemet prinieonstrut anditmariulie ts ldinealquipet ficinytiizat siteoeratinstadardizatiormroandquit fmannamntstmaticavalta iproveproductionoperations.Auditareconduted twiceaear:inAprilforthefirsthalfof theyearandinvemerforth seond halfithnecializd adits, theenergymngementm prtsuidiarienergymangementraesthh systematicationdtigldintiandrvemt guianontiltrenthneaad consumption reduction measures, ensuring the mechanism for meeting energy consumption targets. Interms of specific ilementatinaththisditadnaluatincritriattaluatinnhmknrporatthachvm rate of unit energyconsumption and the effctiveness of energy-saving projects intoa comprehensive evaluation systemThis creatsamulti-ensioal quantitati scorinmechani,withfinal anlraning-based rewardfrhghprfomin uni thehonrevalatisystmrehniwardfesteryManagment andapecialwardfrBetPractiCaer established fsterig multitiedenhmarkmnstrationffetultaneusalng-tm chical srt mechanis beenestablih arergulaldiathdtitrialidrmt rtproviing talredsl forweak areasintheenergymanagement systhishessystematicalyfintheenergycontrostructureacrossalits
Energy ConsumptionTarget Management
In 2024, the total energy consumtionreached 273,172.56 MWh, wth nit enery consumption targets dring energ-san technological reform improvements and management enhancements, collctively reducing energy costs.
The actual unit consumption for 2024 was 29.5 kWh/kWh, achieving 85% of the target, representing a 16% reduction compared to35.2kWh/kWh in2023.
Total energy cnumtionand intnsityunit f revene, inclding bt t litd tgasline, disel, naturalgas ltrity steam, and water.
| Type | 2022 | 2023 | 2024 |
| Electricity(including photovoltaic) (MWh) | 580,805.70 | 1,268,695.61 | 1,762,400.47 |
| Waterwithdrawal (t) | 1,558,964 | 2,834,897.08 | 3,040,712.89 |
| Natural Gas (m) | 31,526,800 | 43,232,924.21 | 56,976,995 |
| Steam (t) | 48,600 | 73,139.00 | 59,430 |
| Total Electricity Consumption (Total Energy Consumption) (MWh) | 930,759.292 | 1,754,068.487 | 2,373,172.56 |
| Total Unit Consumption Intensity (kWh/kWh) | 39.5 | 35.2 | 29.5 |
According to General rules for calculation of the comprehensive energy consumption GB/T 2589-2020, other energy sources(water, natural gasmunicipal steam areconvered intelctricalenergyusing thestandard coal conversionft
Conversion coefficient:
(1) Water: 0.2571 kgce) m^{3} equivalent to 2.0919 kWh/m3.
(2) Electricity: 0.1229 kgce/kWh, equivalent to 1 kWh/kWh.
(3) Natural gas: 1.2143 kgce/m3, equivalent to 9.8804 kWh/m3.
(4) Steam (0.8MPa, 170.42°C): Conversion is based on GB/T3102.4 using the international steam table calorie \boxed{1}\boxed{\mathsf{c a l}}= 4.1868 J), with the coefficient of 0.0945 kgce/kg, equivalent to 0.7689 kWh/kg.
Energy Conservation for Consumption Reduction and Renewable Energy
Energy-saving and consumption reduction
In 2024, in the nergyaving and consumptionreduction work,the Company contiued imlementing energyconseationretrofits across subsidiari achieng total energycst savingsofRM5mlionthroughddicated initatisBased onthe anal t energy conumtion tarets, wefolated specific nergy-saing projt goal forubidiaries and prmted eneryeffien improvements throughvarious dmensions,including technical energy conseration, quipment management, fild control wast reductionpeciladitandwarenesstraininguidiriwererqirdtreakdtartsstystandidti potential energy-saving opportunities.
Inthe suida tchlgyrae prjt yf aresincldd dlymangmet optimization,eerg-effit quip uradtltagrealionpratrldnitrgjtih air in vacuum pumps, nitrogen generation compressed air consumption was reduced by 80% resulting in an annual energy-saving benefits ofRMmilionAdditionall azergasconution draineptimizatioprojt foraircomreorswaset uting nw drin tratechnologyin refrigerant der air preure losses wer minmized, lding ta138% redtio in comprehensive energy consumption per unit and an annual energy-saving benefits of RMB774,000.
Theheadquarerld enery-aving initiativesfousoncmprehensiveoptimizationand ugradesinkeyareas inclding pwe distrbutitdatmrigeratitmannitreratitmrf conumingpt udiiferdastaifieratistattidnitrgera the Companyas establihed aquantiemanagement systemforperfomance indicators.erationaldataismonitoredmonth and targetdorectiactionsaretakenirnsetananmalstensurestaleandeffcintquipent erfmane.
| No. | Main projects | Subsidiary | Benefits |
| 1 | Vacuum pump liquid nitrogen injection replaced with compressed air | Tongcheng Gotion | 80%reduction in compressed airfor nitrogenproduction, saving RMB500,000 monthly and achieving an annual energy-saving benefits of RMB6 million annually. |
| 2 | Zero gas consumption | Nanjing Gotion | 13.28% reduction in comprehensive energy consumption per unit, resulting in annual energy-saving benefits of RMB774,000. |
| 3 | Improvements in coating ovens and dehumidifier heating mode | Nanjing Gotion | By altering the coating heating control mode output from phase angle control to zero-crossing control, harmonic current generation was reduced, thereby decreasing active power loss. 1) The coating machines at Plant (Phase V) have achieved an annual energy- saving benefits of RMB2.01 million annually. 2) The dehumidifiers at Plant (Phase V) have achieved an annual energy- saving benefits of RMB1.44 million annually. |
| 4 | Modification of compressed air direct bowin fr102 and 104 | Yichun Gotion | The 104 cap all-welding process was replaced with induction-based blowing aystem rh ssg hpresed air fordiret purging,resuiing in |
| 5 | Coating machines with sped mprovemen for | Hefei No.3 Plant | By increasing the speed of coating machines, production time was saved, with an annual energy-saving benefits of RMB764,800. |
| 6 | Optimization of air cabinet elere heating | Yichun Gotion | By optimizing the PLC program and adding functions to control the start/stop anduntiatoRMl41f mitrio heating,the annual ergy-saving enefts |
Case
Energy-saving Case
| The headquarters led aproject to enhance on-site management capabities, integrating equipment adustments to achive energainefftheprjctswrerelicatdacrsssubsidiariltivelreultinginenergysavingefit of RMB44.28 million as of November 2024. | |
| Distribution System | Principle:Improve powerfactorto save costs,Project benefits:ApproximatelyRMB9.39 milon saved annually;Achieved revenue:RMB5.06 million |
| Air Compression System | Principle: Enhance equipment efficiency and reduce losses; Project benefits: Approximately RMB10.54 million saved annually; Achieved revenue: RMB9.32 million |
| Refrigeration System | Principle:On-demand device management,，Project benefits:Approximately RMB20.89 milion saved peryear;Achievedrevenue:RMB18.23million |
Renewable Energy
During the Reporting Period the Company continued todeepenour green energy strategy distribution and renewable energy. achieving a solar power generation of 50,743 MWh, a2.2% year-over-year increase.Simultaneously,we have been advancing global solar infrastructure plang,aming testablh1wsolpwrfacitsat heand abrod bween5and 26.i theRepriPerid, thmanndgrewepurhaegret wihetaianif green elctricty anllhroughamutifactd approach, weave steadily increasd te prrtionof greeeltritye marking significant progress in energy transition and structural optimization.
| Types of Renewable Energy | 2022 | 2023 | 2024 |
| Total PhotovoltaicPowerGeneration(MWh) | 39,190 | 49,649 | 50,743 |
| GreenPowerSupply(MWh) | / | 376,674 |
| Company | PhotovoltaicPowerGenerationin2024(MWh) | ||
| Liuzhou Gotion | 5,343 | ||
| Qingdao Gotion | 1,826 | ||
| Nanjing Hub | 574 3,951 21,333 | ||
| Lujiang Battery | 4,383 | ||
| Gotion Material | 3,693 | ||
| Jingkai Gotion | 6,693 | ||
| Hefei Gotion | 1,857 | ||
| Hefei No.3 Plant | 1,090 | ||
| No. | Company | MWh | No. | Company | MWh |
| 1 | Xinzhan No.2 Plant | 6,520 | 7 | Gotion Headquarter | 3,400 |
| 2 | Lujiang Battery | 12,760 | 8 | Tongcheng Gotion | 70,394 |
| 3 | Gotion Material | 75,198 | 9 | Jinzhai Gotion | 51,740 |
| 4 | Xinzhan No.1 Plant | 53,410 | 10 | Chuzhou Gotion | 670 |
| 5 | Jingkai Gotion | 22,260 | 11 | Tangshan Gotion | 62,682 |
| 6 | Hefei Gotion | 17,640 | Total | 376,674 | |
Addressing Climate Change
Against thebackdrpf anescalating globallmate crisisandaccelratingw-carbontransition,lmatehangeasbem coreissueatinoratlgmlandresiswenrgndstyteprithayfulre that addressing climate change is not only a kθ y pathway to fulfilling environmental responsibilities but also a strategic choice to drive innovation, mitigate risks, and seize opportunities in the green economy.
Bydepntatinltetiotrpratgeaeanthwhlnesslifylthpaystmticali lo-carbncetitienesthroughCarbnPeingandCarbntraltgoalvativisionredtiontratgied limate resilence development. We have continued to make progress in climate govemance, transparent carbon emission management, and emisinredctiontechnolgiesdemonstrating or sustantial contributions andlong-temcomitment t th global carbon neutrality vision.
Climate-related Governance
Amid the urgent global response to clate change, the international community has tightened emissionreduction targets,with nationswordwide strengthening climat policiestdri green transitions.Regnizing orreonsibit andmissionnaressin climate change, we are committed carbenpeak inbsinesperationsby 2027 and carbon neutrality inbusiness operationsb 2040.
During the Reporting Period, we incorporated climate change govemance function into the ESG Management Committe The ESG Management Commiteisresponsibleformaking kedecisionsnclmateresponseensuringadequateresourcesforrelatd initiatives. The ESG Management Oficeis responsibl for leading the development of the Companys clmate change response strategy, coordinating withrelevant departments to fomulate work plans and imlementation pathways, and ensuring effcti exeutionalrganizpecialedtrainnseiosfereltnanewarenesflmtelaterkprevet Aditionall, theofficefailitatmmunicationand exchangemetigsbweentheasForceandrelevant partmets discuss clmate reponse strategieprmote riskidentiation assessment, and management proceses, and versee th implementation of climate govermance policies to ensure effectiveness.
During thReprtingeriod,hCmanytokfthetpststandardilmatehangrensegemanendmitigatris associatedwitdmestianditatinalatchangplimlatiandrelingseriefcmanlemangme documents.nparticular,thereleseof theManagement Measuresfor theEU'sCarbonBorder Adjustment Mechanism(CBAM) Reporting ensurcoliacewiththelatst carbntarifplisininteational trayestablishing atrasparent carbdat reporting and verifiationsystm, the Cmanyhaseffctivemanaged and reduced prodt carbon missionsasoiatdwh cross-border trade enhancingourmarkt cmpetitine. TheManagement MeasuresforProdut CarbonFootprint standardi the carbnfootprint acunting proe acrossth whle prdut liecycle,startin frmrwmaterial prourement to prtio distribution usage, and final dipsal Thishelps the Comany identify and ptimize keyprocesses affecting product carbon footprintsdringgreen transitif thprdts and strengthnincutmr rust itheerontlactf prdt Management Measuresfor CorporateResponse toClmate Change serveasacomprehensive strategicframework for clmate changereponseevelpdinaligentwithremendationsf thTaskFrcenClatelatdFnancialDislures and Intemational Financial Reporting Standard S2 (IFRS S2) Clmate-related Disclosures.Tailored to the Company's business operationandgrthstrategitheframwrkoversthewhleroessfrmriasmenanrenestratyflat toimplementation andmonitoring.It enables theCompanytosystematicallyidentify and evaluate climate-related risks and oportunitiwhidevlpgadexetiftieadatationandigatimeuflatinf thelatchag responsepolicirefletstmpanfmcmmitentaddressinglmatchangeanddemonstratoladershpandses of responsibility in the face of global climate challenges.
Climate-related Strategy
To achive“CarbonPeking and CarbnNutrality” goal, the Companyhasestablished agreenzr-carbn strategyThis in creating a zero-carbon supply chain, zer-carbon manufacturing, zero-carbon research and development, and zer-carbon operationycontiuslymproing tmaagemet systmweatehaneurabiltytmaagegreenusegasmisn
Weactiyadresteactsofclatechangeyidntiinaiatedrsprtunitand changewh practie mplementimeaurestmiigatriskand seizepportuiisuring thReporingPeridwecondutedaomprehni assessment fclmat-atedrsksadpprtunitgainng depesights intthat flatchangenurstanab development. This enabled us to take proactive and effective measures to respond to climate changes.
Climate-related Risks, Impacts and Actions
| Type | Climate-related Risks | Impact | Impact Duration | Action Measures |
| Transition Risks | Policies and Law | |||
| Carbsm Bordechanism, EU Battery and Waste Battery Regulation, etc. | Increased compliance costs for exported products; and threshold limits, resulting in higher design and raw material procurement costs. | Medium to long term | Develop and release management measures for the CBAM response. Establish a response system for the EU BateanW research discussions and standards development. Arrange overseas markets and build production factories in EU region. | |
| Chine's olcesend Peaking and Carbon Neutrality, Work Plan for Accelerating the Establishment of a Dual Control System for Carbon Emission, etc. | High energy-consuming production lines faced the risk of production limits, limiting business production expansion. | Long-term | Increase investment in distributed solar power and energy storage construction projects. Increase the proportion of green electricity purchases, with some factories achieving 100% green electricity coverage. | |
| Market Build a carbon footprint accounting platform | ||||
| Carbon footprint limit requirements from downstream customers Extremeweathersuchas | Rising decarbonization costs increase the risk of products failing to meet standards. Disruption in raw material | Long-term | and develop personnel's carbon footprint accounting capacity. Complete carbon footprint accounting for over 20 products, obtain verification for three product carbon footprint reports, and plan carbon reduction pathways for five products. | |
| Physical Risk fodsadrsuahp rlonged heatwaves. Rising average temperatures. Rising sea levels. | ertratin aon, lacing o supply chain interruptions. Damage production facilities, leading to higher energy costs or interruptions in production. | seort termn Long-term | Etabihiesin Enhance flood and wind prevention measures. Develop products adapted to extreme environments and emergency energy storage solutions. | |
| Type | Climaterelted | Impact | Iupactn | Action Measures |
| Resource Efficiency | ·Efficient use of production and distribution equipment ·Use of recycling materials ·Reduction in water usage and consumption | ·Lower procurement and operational costs ·Reduce carbon emissions from raw material acquisition | Long-term | ·lmplement robotic transportation within some factories ·Utilize recycled metals, solvents, and other raw materials, as well as recyclable packaging materials ·Optimize production processes to improve thereuserate ofreclaimedwater |
| Energy Efficiency | ·Green energy procurement ·Energy-saving technological transformation project construction ·Energy usage optimization | ·Lower the cost of greenhouse gas emissions reduction ·Reduce greenhouse gas emissions and decrease sensitivity to carbon emission cost fluctuations ·Mitigate impacts associated with future fossil fuel price increases ·Reduce energy costs | Long-term | ·Significantlyincrease theproportion of green electricity usage ·Expand distributed solar power construction projects ·Increase investment in energy storage infrastructure |
| Products and Services | ·Demand for new energy products | ·Surge in demand for EV batteries and energy storage systems (like those used with wind and solar power) | Long-term | ·Enhance efforts in green product design and R&D of low-carbon materials ·Enhance product performance, safety, and durability ·Increased investment in R&D of core product technologies to strengthen market competitiveness |
| Adaptability | ·Zero-carbon certification project | ·Optimize production processes to enhance factory efficiency Redusefactoreuse gas energy-saving and emission reduction initiatives ·Raise employee awareness of energy-saving and emission reduction | Long-term | ·As for zero-carbon certification, we obtained the Carbon Neutrality Implementation Certificate |
Climate-related Risks and Opportunities
Toeffectivlmitigate clatechangersk thComanyhaestablshedclmatehangmanagement regulationsforelah neprojctsmreensieasseset f ptetialmatchangeactsmstonduted alngwiththdevele f robust climate risk management plan.
The Comanyidenties risks frm threekydimensions: phical risk, transitionrsk andliabity riskUsing prfessi assment mthdwereognize dirt damg frmextremeweathreents suchsharainflods rought,hewav huricane tc.tcoporate facitiqpment, sl chain and prdtion perationChaene arising frmpoliy and regulatory changes that drive th Comans lw-carbon transition inlding tehlyrades, icreased csts, and shift market dmandFhemrewefcpotential threats suhaslaldisut andreutatinagedtarboniioad enviromentalatsuhstruturdrisidetiatiprhabetablidrsulireeniri identification list.
Basedontherskidenticatiresultwemlyinationfqultieandquantitatiasesmentethdstevlut risks.Wfousothliehdf ccurreneact everitan eftiveessof existinontrolmureFrqantif risks,weuseprfessionstatisticalmdlsaddataanalsissofwaretnt preiecalulatioTht isaprjt ri assessment report, providing a comprehensive basis for decision-making.
Riskmaaemntmeare thdevpmf mrgencnse lansfrtarisrin arlywn,l repnsadtertlttrlrisitatiitlrll and evaluate the execution of risk management meaures, promptly identifying topics and making necessary adustments to continuouslyenhance climateriskresilience.
The opportunity management process related to climate change follows a similar structure to risk management but focuses on identifying pprtunitiinenergy and rerefcinyrvementprodt andseic tanfomation advn at demands.
Climate-related Indicators and Targets
During theReportingPeriod theCmpany conduted agreenhousegas emissionsinventoforll productionfacitiesand w resarchinstitutsThisscerefersto thgrehusgasdatasceof thisreprt)foling thstadardusi th operational control approach. The inventory covered greenhouse gases like carbon dioxide (\mathsf{C O}_{2}) ，methane (CH4), nitrous oxide (NO),and sulfhexafluoride Sf)Comared to thepreviusyear the scoeof theivetorwasexanded toincle additon overseas production facilities and other domestic production sites.
During the Reporting Period, the total greenhouse gas emissions the Company amounted to 5,970,644.30 tCOe.
Greenhouse gasemissionsper milioninrevenue were 18.70 tOe.
| Scope | Main Sources | Emissions (tCoze) |
| Scope 1: Direct GHG emissions | Natural gas, diesel | 248,513.00 |
| Scope 2: Indirect GHG Emissions from energy | Purchased electricity, purchased thermal energy, steam | 1,634,316.90 |
| Scope 3: Indirect GHG Emissions from transportation | Gasoline, diesel, employee transportation | 75,454.60 |
| Scope 4: Indirect GHG emissions from products used by the organization | Lithium iron phosphate, graphite, electrolyte, copper foil, metal products | 4,012,359.80 |
| Total | 5,970,644.30 | |
| GHG emissions per million revenue (tCO,e/RMB million) | 168.70 | |
During the eporting Period, the proportionf greenhousegas eissonsbype for th Cay is shwninthechar.ng thmcindretisnsfrprdtsreibtorganizatiotdforthigst prrto 67.2%
| Emission Reduction for Green Development | To achieve the “Carbon Peaking and Carbon Neutrality” goal, we implemented measures such as transforming our energy structure in 2024, increasing the use of green energy,and applying digital and intelligent technologies, resulting in a series of emission reduction achievements. |
| Energy Consumption and Eemision | During the Reporting Period, the proportion of the Company's renewable energy usage as a whole further increased.We intensified the construction of distributed photovoltaic projects and increased our procurement of green electricity,significantly reducing indirect carbon emissions from electricity MWh, reducingreenhouse gas emissions by 30,406 tons. Compared to 2023, photovotaic power consumption. During the Reporting Period, solar photovoltaic power generation reached 50,743 |
| Manufacturing EmissionReduction | During the Reporting Period, we enhanced production efficiency and further reduced GHG emissions from manufacturing through technological upgrades, energy-efficient equipment upgrades, and process optimizations. The headquarters of the Company led comprehensive improvements in key systems, including power distribution, compressed air, refrigeration, and nitrogen generation systems, while establishing a quantitative indicator management framework to enhance equipment energy eficiency. Subsidiaries focused on daily management optimization, energy-efficient equipment upgrades, photovoltaic energy storage applications,and process innovations,achieving a year-on-yearreductionn comprehensive unit consumption of products. |
| Supply Chain Emission Reduction | In recent years, the Company has been promoting and assisting suppliers in collaborative carbon reduction, integrating the “Carbon Peaking and Carbon Neutrality” concept into the supply chain management system. Additionally, we set an annual carbon reduction goal of 5% for the supply chain. We encouraged supliers to actively adopt emissionreductionmeasurescollectively striving toward the carbonreduction goal of 5%. |
| Circular Recycling for Emission Reduction | During the Reporting Period, the Company continued to refine the Gotion Waste Battery Recycling Plan. We arranged the ladder utlization of reprocesing plants,and built nationwide recycling stations. During the Reporing Period, the battry recyling volue reached 12,000 tons, with a primary cathde materialreover rte exeeding9%.Exept forelectroles theoverallextraction rateof vrous materials urpasd9% This significanty enancd rsoure irculautliation sustantily |
SettingtheBenchmarkforZero-CarbonFactoriesThroughGreenPractices
Gotion High-techremains steadfast inits commitment to green develpment tring to buld a green manfacturing systm acrossits entire value chain. The Company continuously drives the transformation of the industry toward a higher level of green development", making tangible contributions to address glbal climate change. Through its own practices, the Company activelyadvancesthedecarbonizationof factories.XinzhanNo.1lant and Jinzhai Gotionhave respectivelyobtaind the AS 06certificationforcorporate carbnneuralty and theer-carbonfactor certificate marking theoffcillauch of Gotion's zero-carbon manufacturing.
XinzhanNo.1 Plant is the Companys first facity to achieve carbon neutralty certification, laying a solid foundation for Gotion's journey toward zero-carbon factories. The plants have proactively reduced carbon emissions through energy structure adjustments, theuse of green energy, and the adoption of digital and intelient technologies It also emlys advanced processs to enhance efciency and produt qualitywhilereducing resource and energyconsumtionat the sorce.
Building on the experience of Xinzhan No.1 Plant in zero-carbon, the Company completed the zer-carbon certification of Jinzhai Gotion. And Jinzhai Gotion have achieved fullife-cycle carbon emission monitoring throughout the manufacturing process through a cmprehensive set of measures, including infrastructure optimization, aplication of mart energyand carbon management systems ue of energy and resource, ec-designof produts, process optimization, and rawmatril control.
The zero-carbon certifications of these two plants not only represent high recognitionof Gotion's past green practices but also highlight the Company's leadership and unwavering commitment in the field of green manufacturing. They set a benchmark fortheindustry'sgreen transformationand contintoguide thevalechaintowardamore sustainableur.
SAFEGUARDINGEMPLOYEERIGHTSANDINTERESTS
Responses To Topics
Occupational Health and Safety Employee Development and Training Employee Rights and Benefits Anti-discrimination and Equal Opportunity
Responses to SDGs
Employee Hiring and Benefits
GotionHigh-echhascler tarets across variouhmanresource metrics, inclding talnt alcation, talnt dvelopment, effciencymanagement, and H operations, allof which are linked to theperformanceofmanagement personel.
Promoting Equal Employment
The Company stritly complies with Chinese laws and regulations, the Labor Law of the People's Republic of China, the Labr Contract Lawof thePeoples Republic of China aswelas applicable laws and regulations inoverseas operationallocations. Aditionall, the Company aligns withintnational standards such as the Inteational abor Organization(ILcoentions, th International Labor Organization core conventions, the UN Global Compact (UNGC) and the OECD Guidelinesfor Multinational Enterprises on Responsible Business Conduct. These guidelines govem ou management in recruitment, dismissal promotion, compensationand performance evaluation,working hourssafeguarding mployeesgitmate rights and interest.
We adhere tolawful mloyment pratices refrainfrmhiring ormlying childlaorand prohibit forced labor.orminrs ad female mlywestablhsecialprtetioystemtafuard thrihtsditrestWealaveflatderi of management policies, such as the Employee Handbook and Recruitment Management Policy, to standardize employment management.
Weadt rruit appracpllainjacanillwng allqulfendidalstsit thir regardlessfthity gende marital stat rreliolsisnequallent rtuits fj seekers.Frandidatewhpassthereuescreingwecondut omprehnsiassment throughineronorli interviews and select the best candidates for employment.
During the Reporing Period, theCmpany had907foreinemlyees accuntig f 3.55% and the proportion of ocal employees was 55.01%.
Total number of employees
2024 25,575 Persons
2023 22,939 Persons
202219,564 Persons
The Company actively answers the cals from the goverent and human rights organizations by hiring individuals with disabities and faciting thereemployment of retired personel During the Reporting Period, the Company emloyed mloyeewith disabilities, accounting for 0.3% ，and 75 retired employees, accounting for 0.29% The Company purchased employer liability insurance forrehired retirees, and otherstaff to safeguard theirlegitimaterights and interests.
Note: Annual overall employee tumover rate \mathbf{\Sigma}=\mathbf{\Sigma} total number of departures during the year / (total number of employes at the beginning of the year ^+ ttlltffr are excluded.
DemocraticManagement
TheCaynsistetprtuefqualitfaandypribi anffdirinatnad tr every employee objectivelyandfairly.TheCompany strictlyadherestothe principle ofequal employment inrecruitment compensation, training, and promotionWe strongly oppose any fom of discrimination against employes based onfactors prtetebln tit ttictraenrellerntt conditionpolialstanerocialoriinestrictymlwiththabrf thleepublifhntha ContractLawof theelesRepublicofChnathpecialProvisionsonLaborProtectionforFmaleEmloyeethemlye Handbook, and the Recruiment Management PolicyMeanwhil, we are commited to ensuring equl emloyment opportunites safeguarding the rights of workers, and fostering a diverse, equitable, and inclusive work environment.
Baedonthfondatisf thnolrpretativmetiandthlinmittthomanprmtly and handlesvarious complaints through channelslkeemailphone,andWeChat.Wewidelyadpt emloyeesopinions ad suggestions, focus on their needs, and respond quickly to their concerns.
The Company establishes alabor union in acordance with the law and strictly aheres to the Trade Union Lawof the People's Republicof Chna and theConstitutionof theChnese radenion.Wereect theautnmyof theunion, giving emloysh freedom to chooe whether ornot to join the unionnaddition, thelaoruninregularly organizesa variety f clb actitis, creating a diverse platform for employees to exchange and showcase their interests.
During the Reporting Period, all employees of Gotion Headquarter were union members, with a 100% o membership rate.
Theemloyeeongresseesasthefundationfrdmraticmaagementveringaspects suchasprodutionndperatio personeagtanwrksaftyalnfit dinitinritratf administrative decision-making and democraticmanagement. TheCompany convenes an emloyee congress to ensure employee rights toitiptresidesiuatrlflretat management and supervision, safeguarding employeeslegitimate rights and personal interests.
The Company has established diversified communication channels and adopted various methods to faclite democratic commuicationandsperiionheincldenanalworksmaycfernetoinfmmlyeabut thyearsperatiol perfomanstratgidevlmntlstlfl-raisngmnrernthmthsifma metrics, and important decisions.
Furthermore, the Company actively conducts employee engagement suveys. These suveys focus on the following aspects: employercptionsandllfgrement wthyfactorsreltedtthidpantsworkacivmetstheirfgs aceptanceof thveralworenirmnt andtheirdiretuerisrstheirsatisfactionandidntiatiowiththirjband statusthironfineinthmanyand thifearedevlmt adthigremnt withthmanorel implemented in practice.
| 2024 | |
| Number of employees participating in the engagement survey | 17,476 |
| Participation rate (%) | 76.13 |
| Score | 89.30 |
The Company iscommited to fostering hamoniouslaborrelations and prohibits forced labor and related disciplinarmeaur. During the Reprting Perid, the Company did not engage in any forced labor practices, nor did we require mlyees t pay deposits orsurener theiridntitydcuments dring mloyeeonboarding.TheCompany stronlyppsenappropriatebehavio such as physical punisment mental or physical corcion, and erbal abuse, and i comited tocreating a af,healthy, ad inclusive work environment Bymproving inteal maagement policies and strengthening mloye training,the Company enre that evrymlyangrowthircarerinanenmnt f equaltyandrepect,contriutin tothe sustainale dvelet f the enterprise.
TheCompanacsgreat prtanenprtecting mlyrigs and interestsThrogholtiagrement mchan collaboratewithmlyeereresentativslarlydinormattersthat drectlyaffetlyeepersnalitrestsTh ildelaatrtdattrafitlr discipline, and labor quota management. This ensures abalance between employee interests and the Company's growth.
Furthermore, the Company places a high priority onemployee privacy management, stritly implementing and promoting confidentialtylifrreut andmltfmatilernalintityrrdandindiidal sala benefits.
The employee labor contract signing ratereached 100%
The social security coverage rate for full-time employees was 100%
Theemployerliabilityinsurance coverageratefornon-permanent staff, including intems, rehired retirees, also achieved 100%
Ensuring FairEmployee Compensation
Compensation System
Upholding the philosophy of “people-oriented”,we determine employees'basic salaries based on job value and individul performance contributionsWitha fairand martial permance evaluation syst,wehav established shorttemanme tolong-temincentiveplantoachievmtualybeneficial growthforbththeCompanyandourmlyees.Theompanyahre tothepriniplefequlpayforqulworandprovideemloyeewithabasesalaythatismpetitiveextealyandfai iteatsittaddonalall incentive system fr allmloyees, imlementing cmprehensive, broadbased, and multi-lvel talnt incentive and retetio through annual incentives, special incentives, and equity incentives.
Our Numeration Commitee consists of five directors, with independent directors constituting the majority and seving as th convenerMmerf thmratiiteearnmnatdbythChamanmre thaalfofthinendent diretor more thanon-third of thboardmember and areelcted bythe Board of Directors.urNumeration Commitee conducts annal performanevaluationf thdirectors andenimanagent tassesthifulfimet futiemoitrthmleentatnf the compensation system, and propose or amend equity incentive plans and employee stock ownership plan.It alsomakes recmmendationsnthconditionsundewhichincentiverecipientscangainorxercise theirrightsThCmanyanllyngage international hmanresurcesonsulting fimstsystmatiallyaesandrearchthecmpensationlevlBenchmarking aaint market salarystandards and thmact of theeralindx grwthweptiize cmensationvelsand thfix-aria payratioin the salary structure tocontinuouslyenhance employeessustained senseof fulfilment and satisfaction.
EachyeartheCmanydltargtsalaadtet plabaedomnsationureultaligningwiththa strategicusiness plan andorganizatinal performanceachievements.This approach aimstopromtebothintnaland exteal equity in compensation,encourage employee motivation,and ensure a sense of accomplishment.
Performance System
The Company has dveloped a comprehensive performane management system, which includes the OrganizationalPerformance Management Measures and the Emloyee PerformanceManagement Meaures. here are specific process and ruls in plae f targeteimaealatfmacppraisirltlatndmael
The Company ensures the achievement of performance targets at allevels and promotes the personal growth and development of employees through awelestablished perfomancemanagement systm, processemethods and tools achieing a winwn situationfr bth the Company and emlyee. heperfomace appraisal covers allemlyees and the subjcts of appraisal ar th organizatio maamnt, ad eml rtilhe appraisl cle lanal m-al qual dmh assessarlatiohsdirtarlmatirairjtaslrfsi evaluatiaislprntthiadffliwtglefaiwlderidial evaluation results are applied to motivation, promotions, and employee development.
IncentiveMechanisms
TheComanylmentsdversifidientiplitactivellmet variomeaurenldinlystckrsh ansstitiahttddalttadi special incentive management policies, encourage all departments to create value and motivate employees to innovate in management tchology,qualty, and cost redctionurin theReprting Period, prjctswere ucessfuly ml with prject bonuses totaling more thanRM5miion awardedhe Company furher mroves medium tolong-temincentie plan, establishing a profit-sharing mechanismformlyees andmprovinaustainable incentiveand restraint systmThis itiati aimstoatrat andretainmanagment tant andkeronelfulstilating thirenthsiam andcreatiity, therbena the cohesion of the core team and the Company's core competitiveness.
During thepringridthayletdtiilgrantfthefouhlostokershlaeneftingt of 46emlyswitn 25 mllon shares. The Comanysuccefuly exeuted the send phae of unlockin and sett stts their options idependenty with a totalof 12.324 milion stockoptions avaablefrerie.
SupportingEmployee Growth
To implement employees' basic benefits and enhance their sense of belonging,the Company has established and improved a comprehnsivwelfresystmWearecittedtprovidingallloyeeswithdiverserangofbenefitsinlding statut benefits, lifestyle benefits care benefits, and growth benefits, aiming to improve therquality oflife.
Weplace great mortance nthephsical andmental heathf ourmloys,eeciallurfmalemlyeeofferin th comprehensivehealthsupportandfosterinapositiveworkenvironmenthisapproachhelpsemloyeesachieveaworklfe balance,enhances their overallhappiness, and drives the sustainable development of the enterprise.
| Assistence for | Delivering warmth At the beginning of 2024, we continued to carry out the spread warmth initiative in the two during the two | ||
| festivals. We provide a greeting allowance of RMB3,000 for each of the 200 employees in need, totaling RMB600,000. | |||
| The assistance fund is a special support program established by the Company to assist employees facing difficulties. | |||
| During the Reporting Period, the assistance fund supported 26 employees, with a total assistance amount of RMB312,000. | |||
| Employee Activities | International Women's Day event | The Company organized a team-building event themed “Conquer the Highest Peak of Luzhou, Become a Spirited Yang Lady". | |
| 2024 Gotion Yi Qi Xing cultural festival | The Company held the “Gotion Yi Qi Xing" cultural festival, featuring two main exciting segments: a hiking event and a music festival. During the Reporting Period, the Company held two events.ln the first half of the year, we | ||
| Single youth social gathering | organized the “Beautiful Moments, Heartfelt Bonds Powered by Battery Cells" event. In the second half of the year, we invited five well-known companies to join in this event, which attracted over 140 single youth participants. | ||
| Family activity day | The Company actively organizes Family Day events, inviting employees and their families to visit thefactory andleam about theCompany's development. | ||
| The first season of the Gotion Badminton Club league kicked off with great enthusiasm. | |||
| Thematic Events | April | The Cycling Club embarked on a spring riding journey to Dashu Mountain in Hefei, Anhui. | |
| May | The Spring Reading Club event was held as scheduled. | ||
| July | the labor union actively organized the Gotion Badminton Club to participate in friendly matches | ||
| August | against other companies. The first season of the Gotion Sports Club league was launched with great energy. | ||
| October | The Autumn Book Club event was held again, Staffs make friends with books. | ||
| November | The first season of the Gotion Photography Club competition was grandly held. | ||
| Statutory Holidays | Legal holidays,marriage leave,bereavement leave, maternity leave, paternity leave, annual leave, sick leave,etc. |
| LifestyleBenefits | Staff meals employee dormitories, commuter shuttles,Electric Vehicles purchase subsidies, employee fitness centers, employee kindergartens, childcare services, team-building activities,etc. |
| EmployeeWelfare | Holiday bonuses and gifts,birthday vouchers and greeting cards, wedding bonuses, childbirth bonuses, bereavement allowancesilness and injury compensation,mployeehardshipassistance fundannual health check-ups, and service tenure allowances, regular free medical consultations, medical assistances,baby-carerooms,etc. |
| DevelopmentBenefits | Employee incentives such as bonuses, stocks, and options, as well as employee training. |
During the Reporting Period, we recognized9female mployesfor their outstanding performance at work;the retu-twork rate after maternt leave was 100% an thelyttonat mthsaf threuin frmaity w also 100%
Employee Training and Development
TheCompgreatrannlytrainingandvelntstriingretleinoritdorganizat providing employeewithdiverse plaformsforgrowth.nadditionwe asst employstocontinuusly enhance theircore competivnesthroghstmiedtraningrramrfssioal siliprvemnt our andledershpdevmet j supporting them in realizing their self-worth in their career development.
External Talent Acquisition
The Companyisdedicatedtoecming arespected enterprise and builing anoutstanding employer brand intheindustry.We makeefatt tarisahiadralaladshln partnershp.Additonalyweestablshatalent pielindevelent plantoenureastrong talet polfor thCmpans f growth.During theReoring eriod we conduted campus recruitmet and prmotionalactitis at multipeuniversitis shas Universityfcieanhlgf hinNaionlUvrsityfingapre adUrsityfHnng toattract tt
Withtittrtidlrtio Leader,th2024BestmloyriniEntrpriseBrandRecogniion,the2024hinaAualmloyrwiththeMstnvati Spirit, and the 2024 Anhui Annual Extraordinary Employer.
During the Reporting Period, we hired 6,827 new employees,including 5,353 males and 1,474 females A total of 432emplys jined trusrerutent risn mala4fmales, mnw hee we With bachelor's degres302with master's degrs and 49with dtoral ders Approximatl4,00emlyee transitioned to new roles internally.
New male employee Percentage
ToprmtetaletmbityandeurgediverarerevlpmntthCmanyawslystaplfrtlsit throughjostingssharedviacpanymailand theintealwesiteuring theReporingeriod,theCompanyupdated th intealtalbltylyenrasitiandorderlytrasitionwitinthrganizationrxmatll transitioned to new roles intermally.
Talent Training System
Fcusinthmanstratgicbjtiulleritaalt delt,andtlynbatotio offers training programs on corporate culture, leadership enhancement, and keybusinessskillsdevelopment
| Job Skills | Curriculum System | Training Category | |
| Advancement skills | Professional skill series | Management skill series | Professional skills/Leadership training |
| High-level professional series | High-level leadership series | ||
| Intermediate professional series | Manager and director series | ||
| Basic professional series | Reserve pipeline series | ||
| Professional skills | Human resources management Strategic investment series Financial management series Tachnlagy R&Dsereieses Production line practical series | Product basics Procurement management series Aales manasement seres Logistics management series | Onboarding/On- thaijiob enhancement |
| General Skills | Lithium battery expertise course | Onboarding training | |
| Employee core competency course | |||
GotionCollgeisrepnbe fproviingTe lyee trainng,whiprimaril enmathremajrategorie geer skilstraningprofonal silstrning anaancd skils traninghComanstrnin isavailalentonly tl employees but also to retired rehires.
During the Reporting Period, the average training duration per employee was 26.71 hours, a total training investment RMB10.7776 milion.
General Skills Training
Newemplyee training is a mandator program forboth campus recruits and social recruits Newemloyees are seen as anw dring force. The Company remains commited to urturing “newGotion members” Through professional induction training,we ensure that everynewGotionmember”canquicklynderstandandembracethecorporateculture.The2024campusrecruitment training camp, named “Battey Cellwer, is divided int four stages: “introduction to Gotion Hig-tech, headquarters trainin. production line experience, and dparment probationThe training content covers“inheriting corporate culture, accumulating businessknwlde enhacing worklae skill, and strengthening tmintgrationThe trainn sts simonth wiha ttal f 432 new graduates recruited by campus.
Professional Skills Training
Professoalsilstraningidardurtinstyhafrearchprtiansalttha wealigwithtaredevlpet ystmandkycmteyrequiremntf varisrfssioalfamwrkcreating tald curriculum systems for each pathway and constructing a knowledge map.
TalentDevelopmentProgramfortheManufacturingSystem
During the Reporting Period, the Company continuously updated manufacturing system training programs, focusing on developing key talent within the production and manufacturing system.We conducted training sessions for manufacturing system managers (basic and advanced classes)， section chief training camp, and special training camps for equipment engineers.A total of 12 sessions were held, covering directors, managers, first-line managers, and equipment engineers across 16 bases or subsidiaries. By focusing on key job responsibilities, merging theory with practice, and leveraging both internal and extermal resources, this program comprehensively broadened participants’ perspectives, enhanced systematic capabilities, and promoted the practical application of knowledge.
TheTalentDevelopmentProgramfor theManufacturingSystemwas conducted inatotalof 12 sessions, with 4 sessions each for the manufacturing system managers (basic and advanced classes), the section chief training camp, and the special training camps for equipment engineers. A total of 462 participants attended. The total training duration was 321 hours, with a cumulative total of 14,160 training hours. Remarkable achievements had been made in the training program, including: the improvement of 22 practical projects, 77 post-training retraining and improvement tasks,the development and updating of 48 courses, and the addition of 6 new reserve instructors.
Case
Advanced Skills Training
The ledership training program is ffedby Gotion Cllge for managers at allels within the Company and young resee cadrestqipaiantthriasiuherstanngratstratynat collaboration, driving sustained business growth and leading teams to achieve outstanding results.
The Gotion Young Cadres Training Camp (the “Youth Cadre Camp") is designed for young reserve cadres. Candidates apply voluntarlyandare selted throughanacadyscreninproescmdwithledershipinteiws.Asof theReporing rid the Camhas organized verseasstuy tour1 thmatic course seions tem-uiding actitcorporatevisit a development training, with a total of over 220 participants.
| DDI leadership transition program | The DDl leadership transition program is an online learning course designed for all management personnel. By adopting an open, self-directed learning approach, it promotes the development of a learning-oriented organization, equips managers with core leadership skills and enhance the overall management level of the organization. From November 2023 to November 2024, a total of 1,026 participants completed the DDl leadership transition program. |
| New leadership training | The Company offers training for newly appointed first-line and mid-level managers, focusing on the core themes of “integration” and “transition". Training courses are more closely tailored to the Company's business development and the growth needs of management personnel. Each training session lasts for 7 days, with a total of 297 participants. |
| Internationaltwo -way training initiatives(Asia- Pacific, Europe- Africa, and the Americas) | Focusing on the Company's global strategy, the intermational two-way training program provides specialized training for foreign employees in production, quality, and marketing departments at the Gottingen bub in the Europe-Africa region, the Indonesia base in the Asia-Pacific region, and the Chicago base in the Americas.This initiative aims to enhance cross-cultural understanding,foster recognition of the corporateculture,and strengthen the employerbrand of overseas subsidiaries.This program is dedicated to cultivating a talent pool skiled in multicultural proficiency, intermational collaboration, and technical excellence.The total training duration is519 hours,with 211participants. |
| TTTprogramand internal trainer development initiative | The TTT program is designed with basic and advanced training for internal trainers at different stage. The training model for internal trainers combines various forms such as “theoretical courses, self- directed learning, course certification and refinement, competition practice， and selection and recognition", running throughout the year. TTT conducted 7 sessions with over 250 participants and a cumulative training duration of 70.50 hours. A total of 163 trainers were certified, including 14 who advanced to the intermediate level. Additionaly, a new review for“trainer and course resources"has been undertaken.Currently,there are over 800 internal trainers and more than 500 first-level courses. |
Employee Career Development
GotionHig-techhasalwayviwed emloyeedevelpmet askeytotheCompanssuccesroughawl-establishedcareer develpmntpathwehmlyesenancetheirprofesionalsilandveralapabitieWalprioritieivtn incentive echanisms tinspire theenthsiasm andcreatityof allmlyees, enabling thm tobenefit frmthe Cans gr.
TheComannacordancewiththmloyRankManagmentMeaureencuragesmloyeetontiuslnhane personal skills and has established two career development paths for them.
TheCompanyadpts anpen fair and traarent prtinmanagment systemntiuspimizing thermtiores toensure that utstanding talnt isregnized and givefair avancment opprtunitiesforpersonal growth.temsofjbrank design, the Company offrs multiple career development paths, including management, R&, engineering and technology, specializtion marketing, andperations, repecting and suporing mlyschoices in their carer dvelpmnt pat.
During the Reporting Period, 286 employees were promoted in management roles, and 3,522 employees received rank promotions.
The Company encourages emloyees to pursue further education and leaning, and establshes channels for industr-academia reearchraturngtririwolrtdwitreechstithivitfi Tehfhiitisitniiititfhlieit theYangtzeDeltaRegionInustryDevelpmnt stuteTheecolaborationsfocused oncuting-edge technologicalinvation rjtlita stable cooerative innvationmechanismand a talnt dveloment frameworkartiularly, we established the“UTCGotion Hh techAdancedMatrialsandCharacterizationJintaboratyfrPwerBattriincolbratinwiththeNationlSychrtr RadiationLabratorofUniversityofScinceandTechlogyof ChinaWealsopartnered withHfeUniverityofTechlgyt create the“-Gotion High-Tchnvation ResearchsteAdditionaly,we fomed a stratec partnership with th tef AcademicianOuyang MinggaofrmTsinghuaUniversityinthefildof keytehnolgiesfornextgenerationpowerbateries.
During theRepring ri nw scheterpris oerative iati projts were inited.W actie pariatd in the development of Anhi Advanced Research Instite. Through these collaborations, we jointly nourished 76 master's and doctoral stuents inling2enginering dtoratesfrGotionHihechontribing to thecultivationof highlvel chical talent in the new energy industry.
Unveiling Ceremony of Hefei University of Technology-Gotion High-tech Innovation Research Institute
Furthermore, theCompany places great emphasis on talent development, supporting the contiued educationof technical professioaladeuranlitatolinrramuiitrg halthrintld high-quality development.
Dung thilytanpfslhilnnaeifn
Case
EquipmentEngineerSpecialTrainingCampProgramwasawarded the“Outstanding Practice inIndustry-EducationIntegration"prize.
During the Reporting Period, our Equipment Engineer Special Training Camp Program was honored with the “Outstanding Practice in Industry-Education Integration” prize from the Corporate Benchmark Learning Platform for its innovative practical approach and sinificant results. This program, jointly organizedby Gotion Collge and Anhui Vocational and Technical Cllge, offers specialied training for equipment technicians in manufacturing plants, particularly targeting core engineers with a background in electrical engineering.
Occupational Health and Safety
Durng therig rd, tirtethanwor w 1.41perthousand ;thenerfreordable workplace inures was36withcassof sevee iuiesexlin fatalts);workreladfataltsocuedpMmlonin revenue; and the number of working hours lost due to work-related injuries was 5, 116.00 hours.
Workplace Safety
The Company iscmmitted to providing asafe and healthy work enironment for emloyees strictlymying withnational and local laws and regulations on occupational health and safety.
WorkplaceSafetySystem
The Coanyasestablishdaneffcient ad staleworklae safetysystemtoensure theefective exeutionandmletati of all plices and meauresWehave established anEHManagement Cmmittewhile ach subsidaryhas setua Safty Production Commitee to overse and guide safety production actitis.We have also imlemented regular audits and risk assessmentmechanimstpromptlyidentifyandaddrespotentialafetyhazardintheprodctionproessnadditionth Companyenhanceslyeesafetyawarenessandself-prtectionskilsthroghtrainingandedcationemlement io control proeurestenure themthxeutionfhealthand safetyolcithemoreweareactivelexring thedigitl transformation of E (Enviroment, Halth, and Safety)Whae piltd th establshment of anH smart managment plaf launchedanipectionystmandamnitoring systfrcustileandhazardosgasleaeurplnistointgratall these systems into a unified platform, enabling intelligent cloud-based EHS management.
The Comanyreularly monitors updates andchangesinlaws andregulations toensure that policies andperations cmly wth th latest stadardWhave tablidariatioalhathandsaftymanagmt ystmsandconrrre il the Safety and Environmental Protection Reward and Punishment Management Policy, the Personal Protective Equipment Management Policy, the ChemicalSafetyManagment Measures theGotion High-techBuilding Fire Extinguisher Configuratin, MaintenanendDisalManagetMurethetatinulfGeneralGuidlnHiddeazadIstigat thManagementMeuresfrHAccidnts andncidntsthecialEquipmnt andperatorSaftyManagementProre the Occupational Health Management System, the Fire Safety Management Control Procedures, the Related Party Safety Management Procedures, the Emergency Preparedness and Response Control Procedures, the LOTO (Lock Out Tag Out) Management Measures, and the EHS Red Line Management Regulations.
During the Reporting Period,we, along with our 9 9 subsidiaries updated our emergency response plans for production safety incidents and filed them with the local emergency management authorities.
Gotion High-tech is committed to providing a safe working environment for employees and continually improving safety management performance. In accordance with the national requirements for the standardization of occupational safety,we advance the development of safety production standardization.We also establish a“Safety Standardization Leadership Group” to promote comprehensive safety management involving all employees, in allareas, and throughout the entire process.
During the Reporting Period, Our five subsidiaries were approved as Level 3 enterprises for safety production standardization, while three subsidiaries were approved as Level 2 enterprises; We, along with our subsidiaries, ensure that all new projects comply with the “Three Simultaneities" procedures as required.
ApprovedasLevel3enterprises forsafetyproduction standardization
Approved asLevel2enterprises forsafetyproduction standardization
TheComanyhasset larjtivsandindicatorrcpatioalhathandsafetymangmet uling secificgoal indicatorshacidnt ratatildiiadtletiratfptetistifati these goalseactilprmte thiatinand aliatiof safetprodtionthlgiane aftmeauad rdce saftyrisAdditonalergulaydt aftyrann tove lyafteand skial propose stematirovmet mearetcontiulrfin thehealthand safetymangemet systprodin asstaid and effective safeguarded for employees' health and safety.
| Category | Indicator | TargetValue |
| Workplace safety | Level-3 and above incident rate | 0 |
| Injury rate per thousand | ≤3% | |
| Rectification completion rate | ≥98% |
WorkplaceSafetyCulture
The Company places workplace safety at the core of our operations, string to enhance employes' safety awareness and competenciesThrougha systematic safety ducation and training program,the Cmpany regularly conduts training sesonsn safetyrlertnrdrlialtrnlai series of actiti during SafetyMnthThese multi-evl safty education initiatives enurage mlyees todevelp astrng safetyalrlerstad thaftyrnsiandstrityahtafyeratinrreTisa esuresthatnf aftstaaradferuewereenpatiatan priritaftyal foundation for the Company's stable operations.
Occupational health and safety training sessions conducted 1,170 sessions
The total participation of 42,289 person-times
The total training duration 2,132,603 hours
Averaging hours per person 50.43 hours
Occupationalhealth and safety drills conducted 99 sessions
The total participation of 28,297 person-times
Occupational health and safety training
Trainings for fire safety， safety management regulations，occupational health， hazard identification and environmental factors recognition, workplace safety management knowledge, incident case studies and job-specific safetymeasures,high-temperature safety in summer operations, and pre-holiday safety education.
Emergencyresponse drills
Emergency drils for heavy rain and flooding, fire, electric shock, liquid nitrogen leak, mechanical injury, vehicle accident, confined space, gas leak, first aid for injuries， and evacuation.
Case
ConductigSafetyMonthEventtrmtSafenviromentCultiataftyulureandtaftyena
From June to July 2024, Gotion High-techlaunched a series of Safety Month activities focused on promoting a cultur of safety and emergency preparedness. The initiatives were centered around key themes:“Safety for Everyone, Emergency Preparedness for All— Ensuring Clear Life-Saving Passages",“Advancing the Construction of a Beautiful
China"，and “Prioritizing Prevention to Safeguard Occupational Health". Through a variety of EHS (Environment， Health，andSafety）awareness and educational programs， the Company aimed to enhance employees’ awareness of workplace safety,environmental protection, and occupational health. These activities also strengthened emergency response capabilities, effectively preventing major accidents and ensuring a safe, healthy, and stable working and living environment. These efforts Support Gotion High-tech's commitment to sustainable development.
Organizinga Fire-SafetyFamilyEvent toEliminate HouseholdFireHazards
On June19,2024GotionHigh-tech organizedafire-safety drilfor mployees and their familiesTheCompanysH Management Centerinvited professional instructors from theXinzhan Fire Brigade to conduct a fire safety seminar for bothparents and childrendetaild firevacuationdrilplanwasdeveloped,along withaseriesof interactive sae simulationactithrough thisfiresafetfamilyvet,parents gainddeerwrenessof fie reetiowhl children learmed essential fire safety skills in a fun and engaging environment.
Occupational Health
The Company places great emphasis on the physical and mental wel-being of eery emloyee,recognizing ccupational health protection asa key component of its socialresponsibility and sustainable development efforts.
Occupational Health Management
Toeffectilprevet adontrlupatiolhelhazards whi safguarding lrihts thCmaysestablid comprehensive set of management policies and control procedures incomliancewithlcallws and regulations. By imlementing thesepolicitheComanynuresthat pationallthprtetiomerearethroghtgratedfrpliydelme to execution, providing a full-spectrum safeguard for employees occupational health and safety.
TheComanmittdtontiusrvemet andvatioenhanin thsintificandeffectinatefoupati heath management. Adhering strictly to the ISO 45001 Occupational Health and Safety Management System, the Company consistentlyrefinsand optmiesurmangement frameworkhroughthseefrtsweensurestheeffctivementatif ocupationalhealth protetiomeaure fosters a safer an healhiework enomnt for lyee thereby adanin th Company's sustainable development.
During the Reporting Period, our 19 subsidiaries have successfully passed the
ISO 45001 0occupational Health and Safety Management System certification.
The Company adheres to the principles of “prevention first, full participation, and contiuous mrovement”, establishing cle occupational health management goals and key performance indicators. By closely monitoring critical metrics such as the occupational disease incidencerate,th ompanyiscmmittd tomlementing systematic management meaurest continou reduce occupational disease occurrencesand createahealthierand saferworkenvironmentforemployees.
| Engineering controls | Improve production equipment,processes,and work environmentstoreduce oreliminateharmfulfactors For example,installingventilation systems toreduce theconcentration of harmful substances in the air. | |
| controls | Administrative | Develop and implement strict safety management systems, including reasonable work schedules, regular equipment inspections, and timely maintenance or replacement of equipment with potential hazards. |
| Personal | protective equipment | Provide workers with appropriate personal protective equipment, such as masks, protective gloves, and |
| Environmental monitoring | Regularlymonitortheworkplace environment todetectharmfulgases,dust,noiseand otherhazardus factors. Take appropriate measures based on the monitoring results. | |
| Education | Health monitoring | Conduct regular occupationalhealth check-ups for employees to promptlyidentify and addresspotential health issues, and provide necessary medical and rehabilitation services. |
| and training | Conduct awareness and educational campaigns on occupational disease hazards to enhance employees understanding andawarenessoftheserisks. |
OccupationalHealthProtection
Toidentifyupationlheathand saftyrisktComansestablishriefprureinlding thupatio HealthManagement Control ProcedureOcupationalDiseaseHazard RiskClasificationan Management ControlProedure Hazard ourceenticationontrrodradEviroentalctrazardoureldentificatioadRisA ControlProedurTheeproedreenable systematicrisk assmnts and onsiteinspectionslassifyinidntied ri according totheirvef acctabiltyandmlmentingorepndingontrolmeaureAdditonlly,tprotct mlysfm potentialrissorreduethpact of therisktheCmpanyrovidsmloywithPeronalProtctiveEqientPPh as gasmas saftyhmt le a stprf lhinaftysh and hatresistant glvearda regulationssuchastheRegulationsontheManagementof LaborProtectionAricsbyEmployersandStandardsforthePrvision of Labor Protection Articles. PPE is regularly replaced according to the established standards.
To ensure thhealth and saftyof emlysat work th Canyhsestablishd and letd saftyalet indicatorsTh areittil tyrstttsiati enhancing safety management and protecting the lives and property of employees The headquarters of the Company has set reasonable warning threshols basedonactual data feedback from the monthly EH meetings of each subsidiary.hese month data are published on the Gotion High-tech manufacturing management platform.
The Company annuallymonitors oupationalhazard factors toassess the ocupational hazard levels inthework environment. Based on the reults, appropriate controlmesures are ilemented Emloyeesinpositions with ccupationalhazards undeg healthchekforerinandaftemlyntprtlydentiftntialpatioalriskandprtt theirt
The Companyasestablshed acmprehensive setof procedural duments,including theHncident ControlProcedure Incident Bulltinidnt estigationeort FomcidenteandmlyeenuRetmtWorkAs Fomhentslietailre prsfadlinxtd inintlasify theeveritf nidt initiatecoepndin inestigatioroureAdditonalywfalitincident waings and crocaeanalsisrent similar accidents from recurring.
Incident investigation process
