歌尔股份:2022年社会责任报告（英文版）

Goertek Inc.
2022 Corporate Social Responsibility Report
Stock Abbreviation: Goertek
Stock Code: 002241
April 2023
IAbout This Report
This is the 13th Corporate Social Responsibility Report released by Goertek Inc. (hereinafter
referred to as "Goertek" "the Company" or "we") covering the period from January 1 2022 to
December 31 2022. Data cited in this report came from Annual Report 2022 as well as official
documents and statistical reports of Goertek.This report has been prepared in accordance with the Guidelines for Social Responsibility of
Listed Companies on the Shenzhen Stock Exchange and the Self-regulatory Guidelines for
Listed Companies on Shenzhen Stock Exchange No.1 - Standardized Operation of Companies
Listed on the Main Board with reference to the ISO 26000: Guidance on Social Responsibility
the Guidelines for Preparing Corporate Social Responsibility Reports for Chinese Enterprises
from the Chinese Academy of Social Sciences and the T/CESA 16003-2017 standard from the
China Electronics Standardization Association in combination with GRI Standards for Global
Sustainability Reporting and UN SDGs focusing on CSR strategy corporate governance and
performance improvement.This report has been released electronically. To view the report online or obtain an electronic
version please visit the website of Goertek Inc. at http://www.goertek.com or search on the
cninfo website at http://www.cninfo.com.cn for downloading.Feedback
For any suggestions or doubts about this report you can provide the feedback by contacting us
and we appreciate your valuable feedback.Address: No.268 Dongfang Road High-tech Industrial Development District Weifang
Tel: 0536-3055688
Email: goertekcsr.list@goertek.com ir@goertek.com
IIContents
1. Company Profile .................................. 1
1.1 Company Information ............................. 1
1.2 Main Products ................................... 2
1.3 Honors .......................................... 3
1.4 Responses to the UN Sustainable Development In... 3
2. Corporate Governance ............................. 4
2.1 Board Governance ................................ 5
2.2 Shareholders' Rights and Responsibilities ....... 5
2.3 CSR Management Committee ........................ 5
2.4 Integrity in Business ........................... 6
2.4.1 Fair Competition .............................. 7
2.4.2 Anti-Corruption ............................... 8
2.4.3 Information Disclosure ........................ 8
2.5 Internal Risk Management ........................ 8
2.6 Collaboration with Stakeholders ................ 10
2.6.1 Stakeholder Communication Mechanism .......... 10
2.6.2 Association Membership ....................... 11
2.7 Brand Building and Negative Impact Handling .... 11
3. Products and Services ........................... 12
3.1 Product Quality and Safety ..................... 12
3.2 Technological Innovation........................ 13
3.2.1 R&D Investment ............................... 13
3.2.2 Intellectual Property Protection ............. 15
3.3 Client Privacy Protection ...................... 16
3.4 Client Satisfaction ............................ 16
4 Value Chain ...................................... 16
4.1 Supplier Selection and Evaluation .............. 16
4.1.1 Supplier Code of Conduct ..................... 16
4.1.2 Supplier Selection ........................... 16
4.2 Supply Chain Cooperation Mechanism and Sustainable Development Management ........................................................17
4.2.1 Daily Supplier Management .................... 17
4.2.2 Conflict Minerals Management ................. 17
5 Green Development ................................ 18
5.1 Environmental Protection ....................... 18
5.1.1 Environmental Management System .............. 18
5.1.2 Pollution Prevention and Control and Circula.. 19
III5.2 Resource Conservation ....................... 22
5.2.1 Green Design ................................. 22
5.2.2 Energy Conservation .......................... 23
5.2.3 Water Resource Conservation .................. 24
6. Employee Care ................................... 25
6.1 Protection of Employees' Rights and Interests .. 25
6.1.1 Equal Employment ............................. 25
6.1.2 Signing Rate of Labor Contracts .............. 26
6.1.3 Anti-Forced Labor Harassment and Abuse ....... 26
6.1.4 Prohibition of Child Labor ................... 26
6.1.5 Employee Privacy Management .................. 26
6.1.6 Diversity and Equal Opportunity .............. 26
6.2 Remuneration Benefits and Welfare Protection ... 27
6.2.1 Salary Management ............................ 27
6.2.2 Benefits Management .......................... 27
6.3 Employee Development and Communication ......... 29
6.3.1 Employee Training System ..................... 29
6.3.2 Annual Training Performance .................. 32
6.3.3 Pathway for Career Development ............... 33
6.3.4 Life-Work Balance ............................ 34
6.3.5 Assistance to Employees in Need .............. 35
6.3.6 Employee Satisfaction ........................ 35
6.3.7 Complaint Handling ........................... 36
6.3.8 Employee Turnover Rate ....................... 36
6.4 Occupational Health and Safety.................. 36
6.4.1 Occupational Health Management ............... 36
6.4.2 Working Environment and Condition Guarantee .. 37
6.4.3 Assistance for Employees' Mental Health ...... 38
6.4.4 Occupational Safety Guarantee................. 38
6.5 Hazard Source Management ....................... 40
7. Public Service Activities ....................... 41
7.1 Volunteer Activities ........................... 41
7.2 Branded Public Service Projects ................ 41
8. Future Prospects ................................ 43
Appendix: GRI Sustainability Reporting Standards I.. 44
IV1. Company Profile
1.1 Company Information
Founded in 2001 Goertek Inc. was listed on the Shenzhen Stock Exchange in 2008 with the
stock code SZ: 002241. Goertek Inc. engages in the manufacture of computer communication
and other electronic equipment and its products include precision components smart acoustic
devices and smart hardware. The Company operates mainly in consumer electronics automotive
electronics and other industries with the main products including acoustics optics
microelectronics structural components and other precision components as well as smart
hardware products such as virtual reality (VR)/augmented reality (AR) products TWS smart
earphones smart wearable devices gaming console and accessories and smart home products.The Company serves the leading global customers in the technology and consumer electronics
industry by providing them with vertically integrated product solutions of precision components
and smart hardware as well as the related design R&D and manufacturing services.Mission
A better life enriched by technology
Vision
To be a great company
Core values
Client-orientation employee development trustworthy and pragmatic cooperation and mutual
benefits
Management philosophy
Cultivation and ingenuity constant improvement create core competence of leading reform.Cultural slogan
We make we share we thrive.Our mission is the overarching orientation of the Company's value of existence ultimate goal
and social responsibility. A better life that integrates health and beauty is the ultimate pursuit of
mankind. It also serves as the ultimate goal of the Company that is committed to creating value
for society with the application of technology. It has been our mission to develop cutting-edge
modern technology and to integrate humanistic spirit into product design so as to create artistic
products that lead future lifestyles convey the concept of a better life and satisfy people's pursuit
of a better life.Our vision is a general overview of the Company's prospect and development as well as a long-
term goal to be continuously pursued and a realm to be achieved in its future development. Our
vision of "To be a great company" is not only an inheritance of the excellent cultural value of
the past but also an inherent demand and expectation for future development. With continuous
endeavors in innovation products services and brand the Company aims to become a world-
class high-tech company thus creating maximum value for clients employees partners and
society and earning their respect.Our core values are the basic value orientation followed by the Company and also the core
principle and value judgment standard for guiding employees' behaviors. The consensus has been
1reached on the core values of "client-orientation employee development trustworthy and
pragmatic cooperation and mutual benefits" through extensive discussions. The core values are
the beliefs to be revered the purposes to be pursued and the judgment standard to be relied upon
which shall be continuously strengthened in the whole process of production and operation thus
enabling all employees to consciously bear values in mind and put them into actions.Our business philosophy is a philosophical reflection on the Company's business policy business
strategy and management style. The Company is committed to the relentless pursuit of high
quality and ambitious goals and dedicated to innovating product technology and manufacturing
techniques thus creating excellence with continuous improvement. Meanwhile we actively
embrace transformation and efficiently keep accumulating the knowledge skills tools methods
and resource integration ability required for transformation so as to lead the sustainable
development of the Company with transformation and shape our core competitiveness of
"leading power of transformation"."We make we share we thrive" is the cultural slogan of Goertek. The Company advocates the
cultural concept of "being together". Based on the common pursuit the Company forms a
community of shared cause interests and destiny together with clients employees suppliers
and society so as to create products for a better life together share the achievements and honors
together and grow in the process of value creation together.Culture serves as the cornerstone of corporate survival and development and an essential part
of the core competitiveness of the Company. In 2022 we accelerated the improvement of
management and continued to enhance the company's cultural identity and employees'
experience through cultural concept upgrading and internal control projects to deepen
implementation and lay a more solid foundation for corporate development.We released the Goertek Cadre Standard 2.0 to further unify the standard and consensus of cadres.We carried out extensive cultural activities such as sound voices of employees skill competitions
and health seasons to continuously inspire employees' creativity and vitality. We emphasized
that "Quality is the lifeblood of the Company and initiative is the source of development" and
unswervingly inherited and carried forward our quality culture. Moreover we practiced client
orientation with strengthened resource integration and carried out organizational restructuring
based on clients' strategic transformation projects so as to closely integrate culture building with
business to enhance the overall management level of the Company. Meanwhile we reinforced
the incentive role of honors and upgraded the company-level honors system and refined our
talent concept so as to enhance employees' sense of achievement and effectively guarantee the
construction of our corporate culture.
1.2 Main Products
The Company's main business divides into three segments including precision components
business smart audio device business and smart hardware business. The precision components
business focuses on acoustics optics microelectronics structural components and other
precision components. The related products include micro speaker/receiver speaker module
haptic component (actuator) wireless charging device antenna MEMS microphone MEMS
sensors microsystem module VR optical component and module AR optical component AR
light engine precision structural parts and etc. The above-mentioned products are widely applied
in devices such as smartphones tablets smart wireless earphones VR AR smart wearable and
smart home devices. Smart audio device business focuses on providing products related to audio
2voice interaction AI and other technologies. The main products include smart wireless
earphones (TWS) wired/wireless earphones smart speakers etc. Smart hardware business
focuses on providing products related to entertainment health and home security. The main
products include VR AR smart wearable products gaming consoles and accessories smart
home products etc.
1.3 Honors
Date Title of Honor Awarding Institution
Ministry of Industry
Unveiled pilot factory of 2021 smart
and Information
manufacturing
Technology PRC
February 2022
Global 500 2022 Brand Finance
Tech 100 2022 Brand Finance
First Prize of the Fourth Shandong Province Shandong Provincial
May 2022
Patent Award People's Government
August 2022 China's Top 500 Brand Value in 2022 - No.74 Brand Finance
Ministry of Industry
and Information
National-level Manufacturing Single-Champion
Technology and China
Product
Federation of Industrial
Economics
December 2022
Top Prize of 2022 Shandong Province Science Shandong Provincial
and Technology Awards - Jiang Bin People's Government
Youth Award of 2022 Shandong Province Shandong Provincial
Science and Technology Awards - Rao Yi People's Government
1.4 Responses to the UN Sustainable Development Initiative
SDGs Action plan
* On June 25 2022 the Company held a ceremony for donation of RMB 200000 to
establish the Weifang Charity Federation Goertek Charity Fund dedicated to
supporting local children in need.* Each year the items of "Charity Donation" are delivered to over 100 impoverished
people during our volunteers' visits.* Our Vietnamese subsidiary voluntarily undertook the "Spring Seedling Campaign"
organized by the Vietnamese Embassy and trained 60 Chinese and Vietnamese
volunteers to complete the site construction supplies preparation and vaccination of
4500 compatriots.
* Tekin Goertek Excellent Engineer Class was selected by the Ministry of Education
as one of the collaborative education projects for university-industry cooperation
pioneering a new model of talent training in universities.* Goertek Craftsman Training Center continues to cultivate talents for craftsman
classes. In 2022 595 persons completed training 78% of whom joined the Company
and 661 new front-line managers completed training.* In 2022 water intake of each park in Weifang of the Company is approximately
4585000 tons of which the living area of the Photoelectric Park II was equipped
with a water reuse system with an annual water recycling volume of 96300 tons
used for cleaning and greening in the park.
3SDGs Action plan
* The installed capacity of our solar power plants in Weifang and Rongcheng reached
49.3 MW with a total power generation capacity of 43651.49 MWh reducing
greenhouse gas emissions by 38601.01tCO2e.* The Company has established corresponding management rules and regulations to
eliminate all discrimination against race color age gender sexual orientation
disability pregnancy religious belief political affiliation geography association
membership or marital status and other factors in the recruitment employment
training promotion compensation and benefits.* The Company enters into labor contracts with its employees on the basis of equality
voluntariness consensus honesty and credibility in accordance with laws and fully
fulfills its labor contract obligations. It has launched a comprehensive electronic
labor contract signing system to improve employees' experience effectively protect
their legitimate rights and realize the unity of employee value company value and
social value.* The Company was selected as the Industrial Internet Benchmark Factory in
Shandong Province and its Automated Intelligent Production Line for VR Products
won the Silver Award of China Excellent Industrial Design.* Our VR headwear products were listed as the National Manufacturing Single-
Champion Products.* A Headphone Sound Compensation Method Device and Headphone won the First
Prize of the Fourth Shandong Province Patent Award.* The Goertek - Together Plan a public service project initiated by the Company to
focus on children's growth went into more than ten elementary schools and
established eight Goertek Growth Stations where Goertek volunteers delivered
courses of VR drones 3D printing and model assembly to children also sowed sci-
tech seeds in their hearts inspiring them to develop into outstanding talents.* Over 10000 tons of waste was reduced through zero landfill and 33000 tons of waste
reduced through reuse and recycling.* The zero landfill was awarded with platinum certification reducing waste discharge
and environmental impact (soil atmosphere etc.).* Continuously promote special projects such as hazardous chemical information
management hazardous operation management and limited space management
boosting the quality and efficiency of safety management.* In 2022 the Company diagnosed evaluated and implemented 86 energy-saving
special projects reducing carbon emissions by 26164tCO2e.* The aggregate direct and indirect GHG emissions of Goertek and its manufacturing
subsidiaries totaled 659032.59tCO2e of which 29537.94tCO2e were direct GHG
emissions and 629494.66tCO2e were indirect.* Goertek actively develops its comprehensive compliance system including but not
limited to multi-field compliance specialties in trade labor and employment
intellectual property trade secrets anti-corruption anti-monopoly and data security.Goertek commits sufficient resources to develop compliance guidelines and
compliance systems for each speciality so as to ensure the compliance of all its
business activities.* Forced labor is strictly prohibited therefore the Company adopts a three-pronged
approach of process management training and communication and supervision to
avoid forced labor harassment and abuse so that employees' freedom of employment
is respected and modern slavery is eliminated.* Goertek strictly prohibits any discrimination against race color age gender sexual
orientation disability pregnancy religious belief political affiliation geography
association membership or marital status and other factors related to discrimination.* To create a diverse fair inclusive respectful and safe working environment Goertek
makes efforts to improve its talent management system from the perspectives of
employee welfare protection promotion and development as well as occupational
health and development so as to grow together with employees.
2. Corporate Governance
42.1 Board Governance
Please refer to the Section IV "Corporate Governance" of the Annual Report 2022 of Goertek
Inc.
2.2 Shareholders' Rights and Responsibilities
Please refer to the Section IV "Corporate Governance" Section VI "Important Matters" and
Section VII "Changes in Shares and Information about Shareholders" of the Annual Report 2022
of Goertek Inc.
2.3 CSR Management Committee
Goertek upholds the core values of "client orientation employee development integrity
pragmatism and mutual benefits" and the corporate social responsibility policy of "compliance
with laws and regulations respect for employees sustainable development and social
contribution" and strictly abides by the International Labor Organization (ILO) Conventions
the Convention on the Rights of the Child the Universal Declaration of Human Rights (UDHR)
and other ethical standards related to employee rights and interests with a view to actively
pursuing the unity of economic growth and social responsibility. Our CSR management
philosophy defines that we should always act as are responsible global corporate citizen while
pursuing profits. We always take shareholders creditors employees clients communities and
sustainable development as our responsibility protect employees' legitimate rights and interests
engage in environmental protection and public service activities actively facilitate the
fulfillment of stakeholders' social responsibilities and boost the coordinated and harmonious
development of the Company and society.Since its establishment Goertek has gradually set up its quality environmental and occupational
health and safety management systems and passed the certification of ISO9001 ISO14001 and
ISO45001 and introduced the EU WEEE/RoHS Directives. In 2005 the Company was certified
by the ISO/TS16949. In 2007 the Company founded its occupational health and safety
management committee and a dedicated company-level division to take full responsibility for
the OH&S system for employees. In 2009 a hazardous substances management system was set
up and the Company was certified by the IECQ QC080000. It was further certified by the
IEC17025 in 2010 and by National Integration of Informatization and Industrialization
Management System the China AEO Certificate by China Customs the GB/T29490-2013
Intellectual Property Management System and the ISO/IEC27001:2013 Information Security
Management System in 2016. In 2011 Goertek further researched international CSR standards
such as SA8000 officially implemented the CSR system. and timely benchmarked with industry
standards and obtained external opinions in line with ISO26000 China Electronics
Standardization Association Standard T/CESA 16003-2017 and other international standards
(such as GRI Standards and RBA Code of Conduct) as well as requirements of various
stakeholders.In order to facilitate its CSR efforts Goertek formally established the CSR Management
Committee in 2013. In 2021 the Company continued to optimize and improve the scope and
responsibilities of the CSR Management Committee based on its business adjustment so as to
better meet the requirements of various stakeholders in the field of CSR. Moreover we have
established the committee operation mechanism to continuously upgrade the company's CSR
governance and improve the overall decision-making and operational efficiency of the
5committee. The current organizational structure of the CSR Management Committee as follow:
CSR Management
Committee
Subsidiary/
Leading Team of
Expert Group Platform
Business Group Management Team
Human Resources
EHS
Morality
Investment/Customer
Government/Supply
Chain
The President of the Company serves as the Head of the CSR Management Committee and the
core management of the Company's Vice President or above serves as the member of the
Committee who is responsible for decisions on the overall CSR policy of the Company. The
CSR Management Committee consists of a dedicated team responsible for formulating CSR-
related rules and regulations and assisting in the formulation of CSR strategic objectives and
work planning. The Committee coordinates the CSR work of various teams by providing
guidance coordination supervision inspection and evaluation of their work and assists in
organizing various CSR meetings and events. The CSR Management Committee convenes a
decision-making meeting at least once a year to discuss relevant issues and report on work
progress. All related professional teams communicate with stakeholders on CSR management
concepts objectives policies and practices and provide the feedback on the demands of
stakeholders to the dedicated team of CSR Management Committee for review. The Business
Group Management Team formulates annual work plans and regularly reviews work progress.In order to further optimize the operation of the CSR Management Committee and enhance the
capability of its members we conducted the SA8000 internal auditor training for CSR-related
employees in 2022 with all participants successfully passed the assessment and obtained the
SA8000 internal auditor certification.In addition a standardized CSR target indicators and management plan have been developed.The CSR Management Manual as the overarching guideline for Goertek to advance its CSR
work covers various business areas including targets for client satisfaction employee
satisfaction intellectual property ECPUOV (electricity consumption per unit output value)
number of environmental accidents OH&S management and HSPM which are integrated into
the performance assessment of each department thus strongly promoting the organic integration
of social responsibility management and daily operation.
2.4 Integrity in Business
Integrity as one of Goertek's core values since its establishment represents the moral bottom
line for all Goertek members in their conduct and work. We always believe that compliance is
the fundamental and cornerstone for ensuring high product quality and achieving sustainable
development and a key factor in winning the trust of our business partners. We insist on strictly
complying with industry requirements and relevant national and regional legal and regulatory
requirements applicable to our business development abiding by business guidelines and ethical
6requirements operating with integrity and ensuring that our products meet industry standards
and customer needs.Adhering to open honest and transparent business model we require all employees to
understand and strictly comply with the Company's compliance policies and applicable laws and
regulations in the course of conducting business in all areas. All forms of commercial bribery
are prohibited and a "zero tolerance" attitude towards any violations of laws and regulations
ethics and industry standards.We keep refining our anti-corruption system and repeatedly emphasize integrity and fairness
through dedicated anti-corruption projects case notification publicity and education in order to
foster a transparent and credible business environment. Meanwhile we expect that our partners
may understand and cooperate with our compliance policies comply with applicable laws and
regulations and industry requirements together with all of our employees fulfill their compliance
obligations establish stable cooperative relationships and continue to carry out various business
activities under the premise of compliance with laws and regulations.To rigorously perform compliance obligations and comply with relevant laws regulations and
compliance policies we have been actively improving our comprehensive compliance systems
including but not limited to multi-field special compliance projects in trade labor and
employment intellectual property trade secrets anti-corruption anti-monopoly and data
security. We commit sufficient resources develop compliance guidelines and systems for each
special compliance project and deploy internal and external compliance experts to carry out risk
assessment and handling for all business activities in each field thus ensuring the compliance of
all our business activities.In 2022 the Company released the Goertek Cadre Standards and Instructions on Trade
Compliance on the basis of the existing system to encourage its partners to actively report and
jointly build a line of defense for integrity. The Company conducts independent investigations
into any report made by employees partners or others and keeps all the reported information
and materials confidential.We will continue to advance the building of our own compliance system devote ourselves to
realizing the value of compliance and cooperate extensively with external professional
compliance consulting organizations to conduct regular compliance audits and voluntarily
accept supervision from all parties to jointly promote and ensure the high-speed operation of all
our business activities on the track of compliance.Channels for Reporting
Should you find any violation of laws and regulations by Goertek's employees or partners please
report it in the following way which Goertek promises to keep strictly confidential - Email:
tousu@goertek.com.
2.4.1 Fair Competition
The Company is firmly committed to maintaining a level playing field with relatively well-
developed regulations on compliance management. We comply with anti-monopoly related laws
and regulations adhere to the principle of fair competition in market operation and proactively
establish communication channels with relevant law enforcement agencies to carry out review
and declaration in accordance with their regulatory requirements. We trade fairly and equitably
7respect our business partners and sign relevant contracts with our customers on an equal footing
in accordance with the relevant requirements of the Civil Code of the People's Republic of China
as well as the Integrity Agreement to provide strong support for fair transactions between the
parties. To firmly protect intellectual properties we focus on intellectual property services and
the intellectual property ecosystem with dedicated intellectual property personnel and
departments as well as an intellectual property management system that runs through the entire
enterprise chain.
2.4.2 Anti-Corruption
The Company attaches great importance to anti-corruption and anti-fraud by establishing an anti-
fraud mechanism to identify the key areas key links and major aspects of anti-fraud. All kinds
of complaints are handled and audit investigations are carried out with a focus on and inspection
of possible corruption and fraud in the course of internal auditing so as to shape a corporate
culture of integrity.To prevent corruption and other unlawful acts of employees and maintain a fair and just business
environment the Company has set up the systems such as the Regulations on Rewards and
Punishments for Employee Behaviors which all employees are required to study and follow. To
enhance the integrity awareness and legal consciousness the Company organized all its
employees to sign the Integrity Agreement in 2022 undertaking to act on the principles of
fairness and impartiality in business dealings with all parties and ensure that the interests of all
parties not be infringed due to corruption. In addition the Company stepped up its efforts to
crack down on fraud with multiple fraud cases punished. Meanwhile to enhance employees'
awareness of integrity and laws the Company conducted compliance training for employees
through on-site and online video and promoted the concept of integrity to employees and
suppliers by means of integrity publicity posters during Chinese New Year Mid-Autumn
Festival and International Anti-Corruption Day. In terms of management improvement audit
projects in multiple areas were conducted to identify business risks and improve internal
management which effectively boosted the sound development of the Company.
2.4.3 Information Disclosure
The Company has strictly complied with relevant laws and regulations such as the Company
Law of the People's Republic of China the Securities Law of the People's Republic of China
the Rules Governing the Listing of Shares on the Shenzhen Stock Exchange the Self-Regulatory
Guidelines for Listed Companies on Shenzhen Stock Exchange No.1 - Standardized Operation
of Companies Listed on the Main Board and performed the obligations for relevant information
disclosure as required by law. For details on disclosure please refer to the designated information
disclosure media of the cninfo website at http://www.cninfo.com.cn Securities Times China
Securities Journal Shanghai Securities News and Securities Daily.
2.5 Internal Risk Management
Aiming at long-term sound operation the Company benchmarks internal control practices in the
industry to cope with risks and challenges. The Company provides effective support for business
partners and better management through the closed-loop management of internal control such as
target setting risk identification risk assessment risk response control activities and monitoring
in order to further enhance the value of internal control. Each business area conducts its own risk
identification and self-assessment to effectively identify risk issues. The risk assessment criteria
8are established based on comprehensive factors such as the probability of risk occurrence and its
degree of impact. By evaluating the risk level a list of high-risk issues is determined for the
Company with key special projects implemented to drive the resolution of the issues. Internal
control assessments and reports are conducted regularly or irregularly to continuously promote
management improvement and create an internal control management system with Goertek's
characteristics.The Company conducts internal control over various business areas based on actual business
operations and enhance the management's attention and business personnel's awareness of
internal control by multi-channel and multi-form publicity means such as internal control
briefings internal control knowledge classes and posters fostering a culture of internal control
for all staff and solidifying the foundation of internal control environment for the day-to-day
internal control operations.A series of training and empowerment on internal control knowledge are organized with different
levels to cultivate the company members' consciousness and initiative of internal control in the
whole process from basic knowledge to system construction so as to further deepen the
comprehensive and systematic understanding of the internal control system thus facilitating
better deployment of methods in internal control practices.As the development of the Company raises higher requirements for risk management capability
and refined management each business area organizes cross-departmental and cross-process
internal control work-related seminars as per identified risk issues so as to effectively integrate
internal control with business in depth identify the difficulties in management in conjunction
with actual business propose suggestions for solving problem and boost management
improvement.We consolidate our internal control mechanism in accordance with regulatory requirements on
internal control of listed companies such as the Basic Standard for Corporate Internal Control
and the Guidelines for Supporting Corporate Internal Control. We have formulated internal
control management systems and specific implementation rules that match our businesses to
guide each business area to independently carry out internal control inspections cross-validation
implementation of key special projects and regular internal control assessments so as to
continuously optimize business processes and strengthen internal management. We effectively
identify key control points in business processes to ensure that activities in all business links
operate in an orderly and compliant manner thereby promoting our sustainable and sound
development.To effectively follow our strategy and business objectives we have strengthened the
standardization of our operations and reinforced our audit functions to cover the entire scope of
9our business ensuring that our corresponding management system measures and procedures are
implemented comprehensively and accurately while attaching great importance to internal
supervision to jointly drive the risk control capability enhancement and risk management system
building of our organizations at all levels. To improve the quality standardization and
independence of our internal audit work we have established a dedicated internal audit unit
responsible for setting up our internal audit system formulating audit plans and implementing
audits and inspections of financial information and various operations.
2.6 Collaboration with Stakeholders
2.6.1 Stakeholder Communication Mechanism
Communication with key stakeholders is essential to our CSR efforts. Therefore we
systematically sort out the stakeholders and jointly solve any issues related to sustainable
development through their engagement in the management production and operation process
to achieve innovative collaboration and create shared value ultimately.The following are the primary stakeholders communication channels and their main topics of
concern:
Main communication and
Stakeholders Main topics of concern
feedback channels
Business status and information on
Shareholders' meeting
significant matters
Board meeting
Shareholders and Survey on the fulfillment of corporate
Exchange meeting for
creditors social responsibility
investors
Corporate governance structure
Bondholder meeting
Protection of shareholders' rights
Corporate development strategy and
supply chain capabilities
Customer satisfaction survey Compliance
Clients Client visit Employee health and safety
Special seminar Green products
Product safety
Client privacy protection
Employee satisfaction survey Corporate development strategy and
Employee reception day mid- and long-term planning
Employees Employee proposal system Employee compensation and benefits
Employee seminar Employee training and development
Suggestion box Employee health and safety
Fair procurement integrity and
honesty
Supplier conference Fulfillment of social responsibility
Suppliers Supplier review commitments
Special seminar Green products
Product safety
Supplier assessment
Science and technology innovation
Universities and Academic cooperation
Intellectual property rights
research institutes Seminar
Talent cultivation
Work meeting Compliance
Government
Work report Corporate development strategy
10Main communication and
Stakeholders Main topics of concern
feedback channels
Work inspection Corporate governance
Job and employment
Taxation compliance
Product quality
Environmental protection and
occupational safety
Green products
Special interview Corporate development strategy
Media
Information disclosure Corporate governance
Public service activity Community progress and
Forum development
Communities
Participation in community Environmental protection
projects Public service activity
2.6.2 Association Membership
In 2022 Goertek is committed to enhancing communication with the outside world for
information sharing and win-win cooperation. The following is a list of associations in which
Goertek joined in 2022:
Association Name Position Served
Industry of Virtual Reality Alliance Executive Director
China Electronic Components Association Rotating director general
China Federation of Electronics and
Executive Director
Information Industry
China Audio Industry Association Vice President
Electroacoustic Devices Branch of China
Director general
Electronic Components Association
2.7 Brand Building and Negative Impact Handling
Since the establishment of Goertek TV in September 2021 18 episodes have been released with
an average length of 15 minutes each and an average of more than 10000 views. Employees
learn about major company events show their department styles engage in cultural activities
and order songs to send blessings through Goertek TV which records Goertek's development
with news and Goertek people deepen their sense of identification of Goertek. It has become a
major platform for Goertek people to learn about our current developments and also one of the
principal bases for our cultural sedimentation.In 2022 Goertek created a symphonic version of our theme song Together and produced a music
video - Insights into Goertek with a Symphony. In this work the machines are endowed with
life playing a symphony of win-win cooperation. The melody and images complement each
other presenting the development of the Company from budding and growing to flourishing
with a promising future.The emotionally rich and mind-blowing symphony has swept through Goertek members'
WeChat Moments becoming a warm-up music video for numerous occasions such as our annual
11meeting and staff gatherings and reaping wide acclaim from both internal staff and external
audiences.In 2022 Goertek kept upgrading its brand mascot Goerboy whose 3D image gained popularity
among employees. Goertek customized a variety of new peripherals for its employees including
the Goerboy car phone number plates new multi-functional cartoon card holders desktop phone
holders 3D key chains cartoon magnetic buckle notebooks and astronaut Goerboy dolls as
well as the fifth and sixth seasons of Goerboy emoji sets well received by employees and their
families as well and widely used in Goertek's Mid-Autumn Festival celebrations employees'
birthday parties and other life events.Goertek has set up a public opinion management system to effectively monitor harmful
information and those that disturb the social order 12 hours a day 7 days a week so as to quickly
spot public opinions and promptly respond to them.
3. Products and Services
3.1 Product Quality and Safety
Goertek's mission is to create a better life enriched by technology. At its early stage of
establishment Goertek proposed that "Quality is the baseline of the Company and initiative is
the source of development" with great emphasis on quality. Goertek always sticks to its original
aspiration of "manufacturing world-class products". We are committed to providing clients with
the highest quality products with continuous improvements to ensure the safety of our products
and enhance customer satisfaction. We are the first in the industry to pass the ISO9001 quality
system certification. On this basis we continue to refine our quality system management to
perfection by successively obtaining IATF16949 IECQ QC080000 ISO13485 ANSI/ESD
S20.20 IEC61340-5-1 and medical NMPA medical management system certification. Awarded
with Shandong Provincial Governor's Quality Award in December 2011 and nominated for the
China Quality Award in September 2021 we continuous improve our quality assurance
capabilities to pursue exceptional quality.We always make product safety management a priority for our Company. We have established
12a safety compliance management system that covers the entire product life cycle from the safety
compliance management at the product R&D stage to the strict screening at the testing and
certification stage to the continuous process management during mass production and all the
way to the end of the product life cycle. Meanwhile we regularly review and strictly comply
with relevant laws and regulations such as the Product Quality Law of the People's Republic of
China as well as product safety-related regulations and standards (including regulatory
requirements for safety codes electromagnetic compatibility wireless certification energy
efficiency requirements and industry technologies) in places where our products are sold
worldwide including China. Our professional safety certification management team ensures the
stable operation of our product safety management system and continuously delivers sound and
safe products to our clients and consumers. Goertek actively takes part in technical exchanges
on safety regulations organized by the industry and the state and as an enterprise engages in the
compilation of GB4943.1 the latest safety regulation standard released by the state in 2022.Nowadays battery safety is receiving more and more attention both in the industry and around
the world with lithium-ion batteries and related products were also included in the latest national
mandatory safety catalog in 2022. Goertek has also set up our professional battery safety testing
laboratory covering more than a dozen relevant testing capabilities to ensure that batteries for
Goertek products meet safety specifications. In 2022 Goertek continued to strengthen product
safety management and kept placing the products with zero violations of safety regulation
requirements on the market. It received more than 50 safety certification audits by third parties
throughout the year all of which were passed with zero defects. In addition Goertek remained
a Class A enterprise of the China Quality Certification Center.
3.2 Technological Innovation
As an innovative high-tech company with global presence Goertek attaches great importance to
its technological innovation. Upholding the product strategy of "precise components + intelligent
hardware devices" the Company gives full play to the synergies between its components and
devices business to grasp the development opportunities of emerging intelligent hardware
products in the post-mobile era. We identify key and common technologies in close alignment
with market and customer needs and continuously step up R&D investment to actively build the
business-driven R&D organizations such as Goertek Institute of Technology which also serves
as a platform for technological innovation and talent pooling. We adhere to open innovation
actively expand innovation resources and channels globally and build innovation platforms
jointly with renowned universities research institutes and upstream and downstream industry
partners to promote forward-looking technology layout and collaborative innovation.By adhering to technological innovation the Company achieved a series of innovative results in
2022: the Company was selected as the Industrial Internet Benchmark Factory in Shandong
Province; Won the Silver Award of China Excellent Industrial Design with the Automated
Production Line for AR Products; our VR headwear products were listed as the National
Manufacturing Single-Champion Products; A Method Device and Headphone for Headphone
Sound Compensation won the First Prize of the Fourth Shandong Province Patent Award;
Chairman Jiang Bin won the top prize of Shandong Province Science and Technology Awards
in 2022; Rao Yi the leading expert of optical technology won the Youth Award of Shandong
Province Science and Technology Awards.
3.2.1 R&D Investment
13The Company has set up its core R&D centers in Weifang and Qingdao as well as R&D and
sales centers in more than ten countries and regions including the United States Europe Japan
and Korea and local R&D centers in Beijing Shanghai Shenzhen and Nanjing integrating
global resources and forming a global R&D model featuring "dual cores + multiple locations
collaboration. By staying close to forefront of technical talents and laying out new technology
research we reserve technology and talents for the future development of the Company.Meanwhile by closely following the frontiers of technological innovation identifying potential
opportunities of technology and monitoring the technology trends in real time we are able to
steer the direction for the technology development of the Company.Our R&D investment has exceeded RMB 16 billion in the past five years accounting for more
than 5% of our operating revenue. We have made significant breakthroughs in technological
cooperation among industries academia and research institutes development of technical
standards R&D organization and platform building.Technical Cooperation among Industries Academia and Research Institutes
The Company attaches great importance to technical cooperation among industries academia
and research institutes. In 2022 the Company carried out a number of technological research
projects together with some universities and research institutions such as Tsinghua University
Shandong University Southeast University and Xiamen University to explore research and
solve a number of technical challenges in the industry. In 2022 Goertek was selected as a pioneer
enterprise for the university-industry collaboration project by the Ministry of Education. Being
one of the first batch of industry-education integration enterprises in China Goertek has been
cooperating closely with renowned universities and colleges to forge new modes of talent
cultivation including the Excellent Engineer Class Postgraduate Joint Training Base
Employment Internship Base and Modern Industrial College. From March to August 2022
Goertek held the Goertek Cup VR/AR Challenge for Universities in which over 110 teams from
more than 40 domestic and foreign universities participated.Technical Standards Establishment
Goertek is actively getting involved in technical standards initiatives and their compilation. In
2022 6 technical standards that Goertek was involved in compiling were officially released
including 2 national standards 1 industry standard and 3 group standards. In addition we took
part in the compilation of 7 new standards comprising 2 national standards and 5 group standards.The international standard of Micro Speaker which Goertek participated in its compilation
received a fund of 500000 RMB for Weifang's 2022 annual strategic funding project for
deepening the standardization. Goertek was selected into Weifang's cultivation list of enterprises
with standard innovation and joined the Augmented Reality Research Group jointly established
by the National Audio and Video Standards Committee and the China National Information
Technology Standardization Network where it was elected as the Vice Chair of the Working
Group. Our expert in electrification was elected as a member of the eighth TC27 National
Technical Committee for Standardization of Electrical Information Structure Documentation
and Graphic Symbols.R&D Organization and Platform Building
The Technical Committee is a professional organization set up to enhance our technical
competitiveness with 7 technical subcommittees under it specializing in whole set products
14whole set processes equipment and testing among others. There are more than 600 experts
involved in 159 technical subdivisions covering R&D processes and testing. The Technical
Committee effectively supports our business development through technical R&D problem
solving intelligent manufacturing mode upgrading and capacity enhancement of R&D
engineering talents.In November 2022 the National Virtual Reality Innovation Center (Qingdao) led by Goertek
was officially unveiled marking it the only national innovation center in the field of virtual
reality. With this Goertek will intensively focus on key common technologies of virtual reality
ensure that core indicators such as comprehensive performance light weight and comfort lead
the country and strive to build the world's first virtual reality testing platform for the entire
industry chain so as to enhance China's voice in the global virtual reality field. In December
the key laboratory of virtual reality in Shandong Province jointly built by Goertek and Shandong
University was officially approved for establishment. By the end of 2022 Goertek already
owned 10 R&D platforms at or above the provincial level.
3.2.2 Intellectual Property Protection
The Company not only fully respects the intellectual property rights of others but also attaches
great importance to the role of intellectual property rights in its operation. As such the Company
actively utilizes intellectual property rights to enhance its core competitiveness and vigorously
promotes its proprietary products to give full play to the value of its patents and to shape its
core technologies and key technologies with its own intellectual property rights. A sound
innovation cooperation mechanism is structured and established to integrate internal and external
resources and carry out effective collaborative innovation and re-innovation. Intellectual
property strategies are formulated and implemented and the operational mode and working
mechanism of intellectual property management are improved to enhance the capability of
intellectual property creation application management and protection. We also actively respond
to the national strategy by cooperating with well-known universities and research institutes in
the industry academia and research forming industrial clusters thanks to the extended influence
of such cooperation across the entire region and enhancing the overall competitiveness of the
industry and the region.Our intellectual property protection efforts have been recognized by government departments at
all levels with the following honors in recent years: National Intellectual Property
Demonstration Enterprise National Intellectual Property Advantage Enterprise National Pilot
Enterprise for Patent Operation National Technology Innovation Demonstration Enterprise
Shandong Provincial Trademark & Brand Innovation Demonstration Unit and Shandong
Provincial Intellectual Property Brand Unit for Key Core Technologies. We have remained the
winner of the First Prize of the Shandong New and Old Growth Driver Conversion High-Value
Patent Cultivation Competition and won the Silver Award of the China Patent Award as well
as the Excellence Award of China Patent Award the First Prize of Shandong Province Patent
Award and the First Prize of Weifang City Patent Award for multiple times.During the reporting period the Company applied for 3388 patents including 2545 invention
patents. A total of 2195 patents has been granted including 1250 invention patents. Till
Saturday December 31 2022 the Company has totally applied for 29206 patents (including
3738 foreign patent applications) including 15647 invention patents; Total of 17720 patents
have been granted including 5415 invention patents.
153.3 Client Privacy Protection
The Company strictly protects clients' commercial information throughout the operation of its
information security management system to guarantee that all its activities meet clients'
requirements for information security. It has also established relevant systems and management
regulations to standardize the information security management of client privacy information
and project information in the process of collection storage use transmission disclosure and
deletion so as to ensure that client information is handled properly without any leakage loss or
unauthorized access.When communicating with other operators or clients we are careful not to discuss competitive
or sensitive information regarding selling prices sales volume or client information ensuring
effective protection of business information. The Company has formulated the Information
Security Risk Management Regulations implemented it strictly. The Company ensures proper
network security protection by assessing all kinds of existing information systems and adding
password protection and other functional modules in information systems. Meanwhile it has
carried out regular inspection and information security training-related activities to strength
network security at all times. Moreover we have established a sound complaint and feedback
mechanism for information leakage whereby internal and external persons can make complaints
and reports by various means such as email WeChat and telephone. We have strict
confidentiality and protection measures for whistleblowers to ensure that they will not be
retaliated against.
3.4 Client Satisfaction
Unswervingly practice of customer orientation the Company vertically integrates precision
components such as acousto-optic structural parts intelligent hardware and complete system
solutions and builds a proactive and rapid response after-sales service system from design R&D
testing to automated manufacturing to actively collect clients' opinions for efficient solutions
timely stop losses and make immediate compensations so as to provide clients with quality
products and services and win their trust with good after-sales service.
4 Value Chain
4.1 Supplier Selection and Evaluation
4.1.1 Supplier Code of Conduct
The Company requires suppliers to shoulder their social responsibility in labor protection
environment health and safety and ethics by signing the Supplier Social Responsibility
Commitment and Integrity Commitment with them. In addition it guides suppliers to establish
harmonious relationships with their employees boosts their CSR awareness and management
capabilities and works with them to build a responsible supply chain.
4.1.2 Supplier Selection
While serving clients and meeting their CSR system management requirements Goertek is
constantly improving its own CSR system management. We work closely with suppliers to
promote and convey ideas of CSR management and call on them to improve their own CSR
management capabilities and assume their due social responsibilities and obligations aiming to
craft a safe efficient just and sustainable supply chain system. Goertek strictly complies with
the terms of CSR agreement. Through risk assessment audit and verification of suppliers'
16practices in environmental social and governance aspects Goertek identifies actual and potential
negative environmental impacts in the supply chain and imposes a deadline for rectification and
review on those with existing or potential non-compliance with social responsibility. If not
rectified Goertek will suspend the partnership as appropriate.
4.2 Supply Chain Cooperation Mechanism and Sustainable Development Management
4.2.1 Daily Supplier Management
At the end of 2022 Goertek integrated its supply chain organization and established a supplier
quality management platform. The Supply Chain Division conducts regular CSR audits and
provides CSR training to our suppliers. In addition it offers on-site guidance and consultation
on CSR non-compliance. Meanwhile we adopt more specialized requirements and standards for
social responsibility management by absorbing the most advanced theoretical expertise and
practical approaches from the international community benchmarking social responsibility
standards against advanced domestic manufacturers and consolidating supply chain resources.By conducting both regular and irregular audits we can promptly identify existing and potential
problems and adopt closed-loop management and continuous promotion for any non-
compliance issues identified until they are resolved. Goertek sets a CSR management red line in
supplier performance evaluation. If a supplier shows a non-compliance item during a CSR audit
that performance assessment will result in a non-compliance. Goertek requires suppliers to make
thorough improvement and supervises it accordingly to enhance their social responsibility
awareness and capabilities thus forging a more efficient high-quality and sustainable supply
chain system.
4.2.2 Conflict Minerals Management
Goertek is committed to responsible sourcing of tin tantalum tungsten gold cobalt mica and
other mineral raw materials used in its products and to promote the development of policies
among its suppliers to prevent and reduce risks of minerals contained in their manufactured
products coming directly or indirectly from high-risk areas in accordance with the requirements
of the OECD Due Diligence Guidance and the Chinese Due Diligence Guidelines for
Responsible Mineral Supply Chains (hereinafter collectively referred to as the "Guidelines") as
well as the RMI International Guidelines. The Company requires suppliers to conduct
responsible mineral due diligence on the minerals used in the products it purchases and to share
due diligence information with customers to ensure consistency between its supply chain policies
and the implementation of the Guidelines. The Letter of Commitment on Conflict-free Minerals
is also included as an attachment to the supplier contract or as a supplemental agreement for
binding regulation. The Company conducts a corporate-level responsible mineral inspection at
least once a year and conduct a real-time investigation into the corresponding suppliers' liability
for minerals according to customer requirements. Continuously promote the responsible mineral
procurement by clients and suppliers together throughout the supply chain.In addition Goertek complies with laws and regulations on trade control and economic sanctions
related to Goertek's business in China the European Union and the United Nations and other
international organizations and countries including the United States to effectively fulfill its
export control responsibilities and obligations and to establish a global image of corporate
integrity and responsible management. Goertek has set up a Trade Compliance Group taking
full responsibility for formulating and improving the Company's trade compliance policies
systems organization and processes approving or making decisions on major trade compliance
17matters and solutions promoting the implementation and enforcement of relevant requirements
in applicable business areas and conducting regular internal reviews and audits of the trade
compliance system.
5 Green Development
5.1 Environmental Protection
Environmental protection has always been an integral part of Goertek's sustainability strategy.Our efforts in various aspects such as wastewater noise waste green office and greenhouse gas
verification have achieved good results. In recognition of the great significance of protecting the
environment and creating a sustainable society Goertek has integrated environmental protection
into every aspect of its operations and throughout the life cycle of its products. According to
ISO14001:2015 the Company has established its environmental management system applicable
to all stages of production including design development manufacturing delivery and service
of its products. Environmental factors are identified and evaluated with respect to the life cycle
of the products and corresponding control measures are formulated for critical environmental
factors. No environmental protection-related violations and related penalties have occurred since
the establishment of the Company.
5.1.1 Environmental Management System
To ensure the effective implementation and maintenance of the energy management system the
Company has formulated and released 11 energy management process systems to regulate the
full life cycle management of energy from the demand procurement and conversion to
transmission and distribution and consumption.During the reporting period Goertek was granted the national-level green factory certification
and its five subsidiaries were granted ISO50001 certification 13 subsidiaries in Weifang South
China and Vietnam were granted ISO14064 certification and one receiver was granted
ISO14067 certification. Meanwhile the Company has trained a total of 98 energy management
system internal auditors and 110 ISO14064 internal carbon verifiers continuously injecting fresh
know-how and talents into its energy system resource pool. Looking forward the Company will
continue its efforts in promoting green factory carbon verification and carbon footprint
certification to further deepen the construction of its management system.ISO50001 Certification ISO14064 Certification ISO14067 Certification
National-level Green Factory
ISO50001 Training ISO14064 Training
Certification
18Environmental protection has always been an integral part of Goertek's sustainable development
strategy. In accordance with the Environmental Protection Law of the People's Republic of China
the Environmental Impact Assessment Law of the People's Republic of China and the
Environmental Protection Tax Law of the People's Republic of China among other laws and
regulations the Company has formulated and issued such institutional documents as the
Environmental Protection Management System the Three Concurrent Management System for
Construction Projects and the Environmental Operation Control and Testing Management
System. We have established a sound environmental management process with ISO14001
environmental management system certification and formulated such environmental
management process documents as the Environmental Factor Identification and Evaluation
Management Process EHS Testing Process and Zero Landfill Certification Process to
guarantee the standardization of our environmental management and ensure our environmentally
compliant operations. There has been no environmental protection-related violations or related
penalties since the establishment of the Company. By the end of the reporting period Goertek
was granted the ISO14001 environmental management system certification and the provincial
green factory certification. Looking forward Goertek will continue to promote the
standardization of its environmental management and improve its environmental management
system and processes.Furthermore Goertek identifies and evaluates potential environment-related contingencies and
for each scenario it develops and implements contingency plans and corresponding procedures
to minimize damage to life environment and property. Currently some contingency plans
related to environmental protection have been released within the Company including the
Environmental Pollution Accident Contingency Plan and the Radiation Leakage Accident
Contingency Plan and relevant personnel are required to attend training and drills. Goertek
discloses EPI data in the IPE system every year and completes the environmental statistics
system for accounting purposes. We organize emergency response training for all employees at
least once a year along with emergency drills. For environmental managers empowerment
training is organized from time to time to strengthen their management capabilities and
professional skills.
5.1.2 Pollution Prevention and Control and Circular Economy
To fully implement China's green development strategy and continue to meet the needs of clients
and consumers for green products we are actively improving our greenhouse gas-related policy
system and promoting the construction of distributed photovoltaic power stations so as to
gradually form a green and low-carbon manufacturing model with Goertek characteristics.In 2022 the aggregate GHG emissions directly from Goertek and its multiple manufacturing
subsidiaries and indirectly from energy totaled 659032.59tCO2e of which 29537.94tCO2e
were directly from GHG emissions and 629494.66tCO2e were indirectly from energy.
19Direct GHG emissions (Scope 1) tCO2e 29537.94
Indirect GHG emissions from energy
tCO2e 629494.66
sources (Scope 2)
Total GHG emissions (Scope 1 and 2) tCO2e 659032.59
Notes:
* GHG emissions were quantified using a computational model based on 2022.* Emission factors were cited from the 2006 IPCC Guidelines for National Greenhouse Gas
Inventories the average CO2 emission factors of regional power grids in China in 2012 and the
CO2 emission factors of Vietnam power grid data in 2021 issued by the Ministry of Natural
Resources and Environment of Vietnam.* GWP cited IPCC's 5th Assessment Report.The types of energy consumed by Goertek and its manufacturing subsidiaries include electricity
steam natural gas high-temperature water liquefied petroleum gas diesel and gasoline. The
amount of each energy source consumed is as follows:
Consumption of Consumption
Types of Total energy
Unit non-renewable of renewable
energy consumption
energy energy
Electric power MWh 711958.15 43651.49 755609.64
Steam TJ 107.22 0 107.22
Natural gas TJ 165.84 0 165.84
High-
temperature TJ 114.13 0 114.13
water
Liquefied
TJ 9.47 0 9.47
petroleum gas
Diesel TJ 1.39 0 1.39
Gasoline TJ 7.32 0 7.32
Note: The calorific values of diesel gasoline and natural gas for the manufacturing plants in
China were taken from GB/T2589-2020 General Rules for Calculation of the Comprehensive
Energy Consumption and the enthalpy of steam was taken from the textbook on engineering
thermodynamics; the calorific values of LPG diesel and gasoline for the manufacturing plants
in Vietnam were taken from those released by the World Nuclear Association.The Company strictly complies with relevant national policies and regulations with a view to
balancing the sustainable development of society economy and environment. To minimize
carbon emissions from fossil fuels the Company is actively promoting the construction of
distributed photovoltaic power stations to expand the proportion of clean energy and optimize
its internal energy mix. The capacity of photovoltaic power stations built in Weifang and
Rongcheng reaches 49.3 MW with a total generation capacity of 43651.49 MWh reduced
greenhouse gas emissions by 38601.01 tCO2e. In the future we will continue to step up our
efforts in developing and promoting the construction of photovoltaic power stations. Meanwhile
we are also actively looking for opportunities to reduce energy consumption and carbon
20emissions. We have set up and are implementing a prioritized emission reduction program
following a scientific path with priorities as follows: improving energy efficiency utilizing
renewable energy purchasing renewable energy commodities and purchasing carbon credits.All the exhaust gases from Goertek meet the Class II standards in Table 2 of the Integrated
Emission Standard of Air Pollutants (GB 16297-1996) as well as the Emission Standard of
Volatile Organic Compounds - Part 7: Other Industries (DB37/2801.7-2019) the Regional
Integrated Emission Standard of Air Pollutants (DB37/2376-2019) and the Standard for Fugitive
Emission of Volatile Organic Compounds (GB37822-2019); the Vietnamese subsidiary
complies with the Emission Standard for Organic and Inorganic Waste Gases
(QCVN19/2009/BTNMT & QCVN20/2009/BTNMT). Goertek has formulated the
Environmental Protection Management System and the EHS Inspection Process and
commissions third-party inspection agencies to take samples from the general wastewater outlet
of each park every month for inspection and benchmarking analysis in order to identify any
abnormal discharges and deal with them promptly. Goertek actively responds to the national call
for rational use of water resources in daily operations so as not to waste or over-discharge. The
water resources that Goertek uses are mainly taken from the municipal water supply system
mostly for residential use and equipment cooling and small amount for the cleaning process.Household wastewater mainly comes from discharge from office restrooms dormitories and
staff cafeteria. In 2022 approximately 4585000 tons of water was consumed in each park of
the Company in Weifang of which the living area of the Photoelectric Park II was retrofitted
with a water reuse system with an annual water recycling volume of 96300 tons used for
cleaning and greening in the park. The industrial wastewater was 18000 tons all cleaning
wastewater which was uniformly discharged to the municipal pipe network in line with the
GB/T31962-2015 Wastewater Quality Standards for Discharge into Urban Sewers; the
Vietnamese subsidiary complies with the Local National Sewage Discharge Standards
(QCVN40:2011/BTNMT Grade 1B (COD