Zhejiang China Commodities City Group Co. Ltd.Environmental Social and
Governance Report
Zhejiang China Commodities City Group Co. Ltd.Address Email
CCC Group Building 567 Yinhai Road Yiwu Zhejiang 600415@cccgroup.com.cn
Tel Fax
0579-851828120579-85197755
Postal Code Website
322000 www.cccgroup.com.cnCONTENTS
0102
Report Preface 01 Entering Yiwu CCC 05 Compliance Governance to Build a Environmentally Friendly to Clean State-Owned Enterprise Guard Our Homeland
About This Report 04 About Us 09 Adhering to the Leadership of the Party 26 Addressing Climate Change 39
Chairman's Message 07 Performance Highlights for 2024 18 Governance System 28 Resource Management 43
Compliance Management 32 Environmental Management 51
Business Conduct 36 Building a New Energy Trading Market 59
ESG Management 16 03 04
Indicator Index 125 Focused on Innovation to Provide People-Oriented to Build a Better Superior Service Society Together
ESG Governance System 16 Innovation-Driven 62 Employee Rights Protection 92
Response to SDGs 19 Safety and Quality of Products and Services 70 Employee Training and Development 105
Communication with Stakeholders 21 Reader Feedback 126 Information Security & Customer Privacy Protection 83 Occupational Health and Safety 113
Identification of Key Issues 22 Responsible Supply Chain Management 86 Practicing Social Responsibility 118
Building a Higher-Level International Trade Gateway 104Zhejiang China Commodities City Group Co. Ltd. About This Report 2024 Environmental Social and Governance Report
Report Preface Release Cycle
About This Report This report is an annual publication released once a year in alignment with the fiscal year.Introduction
Preparation Basis
This report is the 16th Environmental Social and Governance (ESG)/Corporate Social Responsibility
(CSR) report released by Zhejiang China Commodities City Group Co. Ltd. (hereafter referred to as the This report is prepared in accordance with the Shanghai Stock Exchange's "Guideline No. 14 for Self-
“Company”). Based on the principles of objectivity standardization transparency and Regulation of Listed Companies – Sustainability Reporting (Trial)" and "Guideline No. 1 for Self-
comprehensiveness this report details the practical measures and achievements of Yiwu CCC and its Regulation of Listed Companies – Standardized Operations." Additionally this report references the
subsidiaries branches and partially owned companies in environmental social and corporate State-owned Assets Supervision and Administration Commission's "Research on ESG Special Reporting
governance (ESG) during 2024. for Central Enterprise-Controlled Listed Companies" the Global Reporting Initiative (GRI)
"Sustainability Reporting Standards (2021 Edition)" (referred to as "GRI Standards") and the United
Nations Sustainable Development Goals (SDGs).Report Scope
Time Scope Organizational Scope Data Source
The data in this report is sourced from Yiwu CCC's internal records company documents auditor’s
reports and other materials with some financial data derived from the Company's 2024 Annual Report.The reporting period covers January 1 to December This report focuses on "Zhejiang China Unless otherwise specified all monetary amounts in this report are denominated in RMB.
31 2024 (referred to as the "Reporting Period"). To Commodities City Group Co. Ltd." including its
enhance comparability and completeness some subsidiaries branches and partially owned
content includes retrospective data from previous companies. Unless otherwise specified the scope of
years or forward-looking statements. this report aligns with the Company's annual report.Zhejiang China Commodities City Group Co. Ltd. About This Report 2024 Environmental Social and Governance Report
Title Description Hotel Management
Company Zhejiang Yandoo Hotel Management Co. Ltd.For ease of expression and reading "Yiwu CCC" "CCC Group" the "Group" the "Company" and
"we" all refer to Zhejiang China Commodities City Group Co. Ltd. For details on subsidiary Yiwu International Zhejiang China Commodities City Group Co. Ltd. Yiwu International Expo
designations please refer to the Definitions section. Expo Center Hotel Center Hotel
Ocean Hotel Zhejiang China Commodities City Group Co. Ltd. Ocean Hotel
Term Meaning
Market Operations Company Zhejiang China Commodities City Group Co. Ltd. Market Operations
Yandoo Hotel Zhejiang China Commodities City Group Co. Ltd. Yandoo Hotel
Branch
Yayue Hotel Zhejiang China Commodities City Group Co. Ltd. Yandoo Yayue Hotel
First District Branch/First Zhejiang China Commodities City Group Co. Ltd. International Trade City
District Market First Branch CCC Hotel Zhejiang China Commodities City Group Co. Ltd. CCC Hotel
Second District
Branch/Second District Zhejiang China Commodities City Group Co. Ltd. International Trade City
Market Second Branch
Tourism Company Zhejiang China Commodities City Tourism Development Co. Ltd.Third District Branch/Third Zhejiang China Commodities City Group Co. Ltd. International Trade City Kuaijietong Kuaijietong Payment Service Co. Ltd.District Market Third Branch
Forth District Branch/Forth Zhejiang China Commodities City Group Co. Ltd. International Trade City
District Market Fourth Branch
Fifth District Branch/Fifth Zhejiang China Commodities City Group Co. Ltd. International Trade City
District Market Fifth Branch Report Acquisition and Feedback
Huangyuan This report can be accessed and downloaded from the Shanghai Stock Exchange website
Branch/Huangyuan Market Zhejiang China Commodities City Group Co. Ltd. Huangyuan Branch (www.sse.com.cn). If any questions or suggestions regarding the report please send them to
600415@cccgroup.com.cn.
Binwang Branch/Binwang
Market Zhejiang China Commodities City Group Co. Ltd. Binwang Market Branch
Yixi Branch/Yixi Market Zhejiang China Commodities City Group Co. Ltd. International Production Materials Market Branch
CCC Exhibition Yiwu China Commodities City Exhibition Co. Ltd.Big Data Company Zhejiang China Commodities City Big Data Co. Ltd.Yiwugou Zhejiang Yiwugou E-commerce Co. Ltd.CCC Credit Zhejiang China Commodities City Credit Investigation Co. Ltd.Supply Chain Company Zhejiang China Commodities City Supply Chain Management Co. Ltd.Import and Export Company Zhejiang China Commodities City Import and Export Co. Ltd.Comprehensive Bonded
Zone Yiwu Comprehensive Bonded Zone Operation and Management Co. Ltd.Zhejiang China Commodities City Group Co. Ltd. Chairman's Message 2024 Environmental Social and Governance Report
Green Transformation: Painting the Scroll of Sustainable Development
Chairman's Message We thoroughly implement the decisions and deployments of the National Development and
Reform Commission with the "dual-carbon" goals as our strategic direction fully embracing
green development concepts continuously advancing the construction of a green and low-
2024 marks a pivotal year for realizing the objectives of carbon system accelerating the clean energy transition integrating environmental measures
the 14th Five-Year Plan and also serves as the inaugural into daily operations and striving to build green exhibitions green operations green buildings
breakthrough and progressive year for Yiwu city’s and green trade creating a resource-efficient and environmentally friendly modern enterprise.mission to “Forge New Paradigms and ReinvigorateProsperity.” Yiwu CCC always keeps in mind the
instructions of General Secretary Xi Jinping anchoring Innovation-Driven: Forging a New Ecosystem for Market Trade
itself with responsibility and sailing with mission seizing With digital reform as our spear we support the innovative development of Yiwu Market
new reform opportunities recreating market glory and accelerating the iteration of physical markets expanding overseas markets and upgrading
advancing steadily amid global economic waves. online markets continuously leading new global trade trends. We are fully committed to
building the Global Digital Trade Center creating a new-generation market complex centered
To better advance the Company's ESG management we on digital trade and leading global trends in small commodity trade. We iteratively optimized
established an ESG governance framework comprising the the Chinagoods platform to provide global traders with a one-stop service encompassing
Board of Directors the Board Strategy and ESG
Committee and the ESG Working Group. This effectively "exhibition and trade + customs foreign exchange tax logistics warehousing and
promotes the deep integration of ESG into every link of the financing." We are accelerating the enhancement of the "Yiwu Pay" global payment platform
Company's value chain continuously striving for more to provide compliant secure and efficient integrated payment solutions for trade entities in
significant achievements in environmental social and Yiwu Market.governance aspects and writing a chapter full of warmth
and strength on the journey of high-quality and sustainable People-Oriented: Jointly Constructing a Harmonious and Happy Society
development. We value our employees' contributions uphold their rights equally safeguard their physical
and mental health and create a diverse inclusive and dynamic work environment where
employees and the Company grow together. We never forget to give back to society actively
Steering by the Party’s Guidance: Cultivating the Ethos of Enterprise Growth responding to national and local policy directions and strategic plans supporting rural
The "red gene" has always been the spiritual foundation of Yiwu CCC. We bear in mind revitalization promoting local economic development and driving common prosperity. We
General Secretary Xi Jinping's encouragement and instructions for Yiwu Market to serve as a actively engage in social welfare initiatives and charitable causes conveying warmth and
national leading market setting examples in both Party building and development. Focusing compassion through concrete actions to contribute to social harmony and progress.on our main responsibilities and staying true to our original mission we have forged the Party
building brand of "Gathering Markets to Build Cities Serving Trade to Prosper Commerce" Looking ahead we will remain steadfast in our mission of "Century Market Century
making Party construction a red engine driving the sustained prosperity of Yiwu Market. We Enterprise" unwavering in our vision to "make markets more prosperous and trade easier"
deepened the Party building demonstration zone strengthened the service community and and resolute in our positioning as a "Famouse Trade Service Platform." We will coordinate
expanded the red intelligent governance network further burnishing the honor of "National and advance various reform tasks and innovative measures to comprehensively enhance the
Advanced Primary-level Party Organization." capabilities and upgrade the Yiwu market. We firmly seize the opportunities of our era
continue to implement ESG principles and drive the deep integration of green and digital
transformations striving tirelessly for balanced development in economic social and
Refined Governance: Amplifying the Momentum of Resilient Growth environmental benefits.We always keep in mind the responsibilities and missions of state-owned enterprises guided Wang Dong
by Xi Jinping’s Thoughts on Socialism with Chinese Characteristics for a New Era Chairman of the Board of Directors of Zhejiang China Commodities City Group Co. Ltd.continuously advancing the modernization of governance systems and capabilities. By
optimizing governance structures strengthening risk management systems adhering to
compliant operations and standardizing business practices we lay a solid foundation for the
Company's long-term sustainable development.Zhejiang China Commodities City Group Co. Ltd. Entering Yiwu CCC 2024 Environmental Social and Governance Report
Entering Yiwu CCC
Corporate Strategy
About Us
Overall Objective
Company Profile
To Be a Famous Trade Service Platform
Zhejiang China Commodities City Group Co. Ltd. established in December 1993 is a state-controlled listed Three Major Ecosystems
company (Stock Code: "600415") headquartered in Yiwu Zhejiang. It operates the world's largest small commodity
wholesale market Yiwu China Commodities City and serves over 2.1 million SMEs. While advancing our core Trade Fulfillment Service Ecosystem
market business we vigorously develop big data import trade warehousing logistics supply chain finance Commodity Display and Trade Ecosystem
international trade hotel management exhibition and tourism and related industries fostering a trade development
landscape in Yiwu Market that integrates online and offline links imports and exports connects domestic and Market Supporting Service Ecosystem
international markets and balances domestic and foreign trade. Path
The company is firmly rooted in its strategic identity as a “Famouse Trade Service Platform” with a focus on its core 1+2+4+X
business of Market Operations and management and main line of digital trade. It is dedicated to developing four key
systems: market core competitiveness international trade fulfillment services digital infrastructure and institutional
frameworks. By driving deep innovation tackling reform challenges and enhancing openness the company One Positioning: Famous Trade Service Platform
systematically progresses the iteration of the physical market upgrades in trade fulfillment optimization of digital Two Main Lines: Market + Digital
trade services and improvement in enterprise management. It vigorously expands both domestic and international
markets facilitating a smooth dual circulation and aspires to emerge as a global trade leader that empowers the mass Market Core Competitiveness System International
trade of small commodities. Four Major Systems: Trade Fulfillment Service System Digital Support
System Institutional Mechanism Support System
As a leader and demonstration site of national market procurement trade method Yiwu has maintained high-speed
growth for years effectively stimulating the vitality of market entities and continuously improving the level of trade X Empowerment Items
facilitation.
2024 marks a pivotal year for realizing the objectives of the 14th Five-Year Plan and also serves as the inaugural
breakthrough and progressive year for Yiwu city’s mission to “Forge New Paradigms and Reinvigorate Prosperity.”
Yiwu CCC takes it as its responsibility to "build a world capital of small commodities with high quality and high
standards" aligning with the mission of "small commodities big market continuously recreating new glories." It
focuses on the iteration of physical markets optimization of trade services global network layout and enterprise
transformation and upgrading accelerating the reconstruction of the international trade ecosystem for small
commodities and delivering a high-scoring answer sheet for market innovation and development.Zhejiang China Commodities City Group Co. Ltd. Entering Yiwu CCC 2024 Environmental Social and Governance Report
Corporate Culture
Main Business
Vision
Operations and Management of Yiwu Market
To Be Famous Trade Service Platform
Supporting Industries
Cultural Identity Hotels Warehouse Exhibition Center
Struggele To Pursue Dreams Overseas Business
Clean And Honest Overseas Markets Import & Export FBC Warehouse
Yiwu Selection
Mission
Online Platform
Make Trade Easy Chinagoods Platform Chinagoods.com
Core Values Financial Services
Micro Loan Currency Exchange Yiwu Pay
Effort Identity Factoring Credit Reporting
Encourage the process we are all in the
reward the results family of Yiwu CCC Business Segment
Product Display Ecosystem Target
Magic Make a little progress Physical Market: Revenue of 5.222 billion Occupancy rate over 97%
Both imaginative and every day
down-to-earth International Expansion: 23 New Yiwu Market Projects in 2024
Accumulated 46 Yiwu Market Projects
Self-confidence
You are better than Trade Fulfillment Ecosystem
you imagine
Warehouse & Logistics: Over 900000 m3 in China
Implementation
Execution power is Team work Online Marketplace: Over 4.8 million registered buyers facilitating online
competitiveness You are not fighting alone transactions exceeding RMB 210 billion
Finance: 4 licenses for payment factoring credit reporting and micro-loan
Supporting Service Ecosystem
Star-rated hotels: 7 Convention & exhibition: to be listedZhejiang China Commodities City Group Co. Ltd. Entering Yiwu CCC 2024 Environmental Social and Governance Report
Major Events Timeline for 2024
The first cross-border e-commerce 1210 Yi Lianhong Former Provincial Party
"Global Central Warehouse" Digital The project "Data Elements Empowering export business in Yiwu Comprehensive Secretary of Zhejiang visited
Supervision Platform launched and Small Commodity Digital Trade Bonded Zone completed Aug International Trade City Mar selected for Zhejiang Province's High- May Facilitation" selected as one of the first
Quality Import Development Project Plan national "Data Elements ×" typical cases
Yiwu Selection Japan (Tokyo) showroom
officially opened
First Jewelry Factory Exhibition Opened
Jul Yiwu CCC’s Yiwu Market Project Sep Yiwu International Digital Logistics
("Optimizing the Yiwu Market Project Market (Yidongbei Warehouse) officially System Promoting the Sweet Potato commenced operations
Economy") was included as a best practice
case by the "Sweet Potato Economy"
The smart hardware and electrical Capacity Enhancement "No. 1 Open
Apr appliances area on the 3rd floor of the New Project" Task Force Office of Zhejiang
Energy Product Market in the east of the
Province
Second District opened
The 2024 China Yiwu Daily Necessities
Technology Innovation Expo opened at
Global Digital Trade Center market Yiwu International Expo Center
section’s main structure successfully
topped out
The first warehouse receipt pledge
financing business in Yiwu
Comprehensive Bonded Zone completed
Dubai Yiwu China Commodities City rated
as 2023 Zhejiang Provincial Top-Class Overseas Economic and Trade
Cooperation Zone Yiwu Cross-border E-commerce Logistics
Yandoo Hotel rated as Yiwu's First Park (S2) officially commenced operations
Jun "National Five-Diamond Hotel"Zhejiang China Commodities City Group Co. Ltd. Entering Yiwu CCC 2024 Environmental Social and Governance Report
Oct Yiwu CCC Used Car Export Base opened Yiwu Comprehensive Bonded Zone
Yiwu Cross-Border E-Commerce Industrial
Zhejiang Provincial Financial Development
(Phase II) successfully passed joint Park opened grandly
Co. Ltd. and CCC Group signed a strategic
inspection cooperation agreement
The 30th China Yiwu International
Commodities Fair successfully held
Wang Hao Provincial Party Secretary
of Zhejiang visited Yiwu International
Trade City for research and chaired a
symposium with CCC Group
First Bonded Leasing Business launched in delivering a special report Yiwu Comprehensive Bonded Zone
Yiwu Import Trade Innovation Development
Pilot launched and first transaction completed
The first batch of cross-border e-commerce
retail import tariff guarantee insurance
services in China completed in Yiwu
Comprehensive Bonded Zone
Key officials of CCC Group attended the
entrepreneur symposium hosted by Premier Li
Qiang and delivered a special report
Dec Fingertip Canteen Flagship Store No. 2
opened grandly
Nov Sales of Global Digital Trade Center Phase
I Office Buildings launchedZhejiang China Commodities City Group Co. Ltd. Entering Yiwu CCC 2024 Environmental Social and Governance Report
Honors and Awards
The 29th China Yiwu International Small Commodities (Standard) Fair was recognized as
a 2023–2024 Zhejiang Province High-Quality Exhibition Project
National Level
Zhejiang China Commodities City Innovation Demonstration Zone was selected as one of
the first High-Level Service Industry Innovation Development Zones
CCC Group Participated in and spoke at the enterprise symposium chaired by Premier Li Qiang "Gathering Markets to Build Cities Serving Trade to Prosper Commerce" Party Building
Brand was selected as a Provincial State-Owned Enterprise Party Building Innovation
Awarded the "National May 1st Labor Certificate" Model for 2024
Key International Communication Development Base Provincial-Level Excellent Archives Room
"Data Elements Empowering Small Commodity Digital Trade Facilitation" Selected as CCC Exhibition China Yiwu Import Commodities Fair project was included in the 2024 Zhejiang Province
One of the First 20 "Data Elements X" Typical Cases by the National Data Bureau Import High-Quality Development Project Plan
CCC Exhibition Yiwu China Commodities City Exhibition Co. Ltd. was selected for the second batch of 2023 Zhejiang Province Exhibition Industry Standardization Advanced Unit
national-level service industry standardization pilots (specialized in commercial CCC Credit Third prize in Zhejiang Division of "Data Element X" Competition for 2024
circulation)
Yiwu International Expo Center awarded the "Most Influential Exhibition Venue" Big Data Company 2023 Zhejiang E-Commerce Demonstration Enterprise
Big Data Company 2024 Global Digital Trade Expo Pioneer Award Bronze Prize Comprehensive Yiwu Comprehensive Bonded Zone Global Central Warehouse Digital Supervision
Bonded Zone Platform Project was included in 2024 Zhejiang Province Import High-Quality
Selected as a typical case of National County-Level Digital Circulation Leading Development Project Plan
Enterprises Yayue Hotel Four-Star Tourist Hotel
Kuaijietong Yiwu Pay's "China’s Promotion of Cross-Border Trade Facilitation Through Digital
Payments" case was included in the "Global Digital Trade Development Report 2024"
Yiwu Pay selected for "The 3rd Global Digital Trade Expo Digital Trade Development
Cooperation Case Collection" Municipal Level
CCC Group 2023 Advanced Taxpaying Enterprise
Provincial Level 2023 Citywide Advanced Primary-Level Party Building Unit
CCC Group Yiwu Pay’s completion of first cross-border RMB settlement transaction with Dubai was 2023 Advanced Collective for Reform and Innovation Work
reported in Zhejiang Government Information (Issue 66) with important leadership
instructions Yiwu Free Trade Development Zone Regional Industry-Education Consortium Industry-
Dubai Yiwu China Commodities City again rated as a Tier-1 Provincial Overseas Education Integration Training Base
Economic and Trade Cooperation Zone Collective commendation in 2023
" Optimizing the Yiwu Market Project System Promoting the Sweet Potato Economy"
was selected as a best practice case for the "Sweet Potato Economy" Capacity First-class rating in the 2023 comprehensive assessment
Enhancement "No. 1 Open Project"
National Security People's Defense Line Construction Advanced Collective of Zhejiang "Strive for Excellence" Timely Reward in Yiwu City
Province
Council Member of the 8th Zhejiang Provincial People's Government Foreign Friendship
Association
Yiwu Cross-Border E-Commerce Compliance Overseas Service Platform was approved
as one of the first batch of provincial institutional innovation cases of Zhejiang Free Trade
Pilot Zones in 2024Zhejiang China Commodities City Group Co. Ltd. Entering Yiwu CCC 2024 Environmental Social and Governance Report
Performance Highlights for 2024 Number of Internal Risk Trainings Conducted 2005
Business Performance Cumulative Duration of Internal Risk Trainings Conducted 2017.42 hours
Participation in Internal Risk Trainings 24768 person-times
Operating Revenue 15.737 billion yuan
Employee Integrity Agreement Signing Rate 100%
Net Profit Attributable to Shareholders of the Listed Company 3.074 billion yuan
Total Duration of Anti-Bribery and Anti-Corruption Training 108680 hours
Net Assets Attributable to Shareholders of the Listed Company 20.504 billion yuan
Employee Coverage Rate of Anti-Bribery and Anti-Corruption Training 100%
Total Assets 39.168 billion yuan
Basic Earnings per Share after Deducting Non-Recurring Gains Environmental Performance and Losses 0.55 yuan/share
Market GMV 279.8 billion yuan Renewable Energy Power Generation 46900000 kWh
Total Cash Dividends (Including Tax) 1.81 billion yuan Renewable Energy Consumption Volume 5764.01 tons of standard coal equivalent
Total Tax Amount 1.103 billion yuan Proportion of Renewable Energy Consumption 14%
Social Contribution Value per Share 0.90 yuan per share Greenhouse Gas Emission Reductions 38504.90 tons of carbon dioxide equivalent
Recycled Water Usage 1014403 tons
Number of Environmental Penalties and Violation Incidents 0
Governance Performance
Compliant Waste Disposal Rate 100%
2023-2024 Information Disclosure Work Evaluation Result Class A
Investor Inquiry Response Rate 100%Zhejiang China Commodities City Group Co. Ltd. Entering Yiwu CCC 2024 Environmental Social and Governance Report
Social Performance Proportion of Female Managers 21.83%
Cumulative Number of National Invention Patents Obtained 16 Investment in Employee Training 2.5094 million yuan
Cumulative Pieces of Software Copyrights Obtained 23 Employee Training Coverage Rate 100%
Cumulative Number of Trademarks Obtained 331 Number of Empowerment Trainings Conducted by CCC 205
Group Mentor Team
Number of Specialized Customer Complaint Response Trainings 1268 Participation in Trainings Conducted by CCC Group Mentor Team 12525 person-times
Comprehensive Satisfaction Score of "Standards into the
Market" for Business Operators 96.14 points Investment in Safety Production 20.6167 million yuan
Number of Data Security and Customer Privacy Breach Incidents 0 Participation in Volunteer Activities 8760 person-times
Number of Data Security and Customer Privacy Protection Trainings Conducted 206 Total Volunteer Activity Hours 28944 hours
Total Investment in Data Security 5.882 million yuan
Signing Rate of Integrity Agreements With Suppliers and Procurement Personnel 100%
Proportion of Female Employees 42.12%Zhejiang China Commodities City Group Co. Ltd. ESG Management 2024 Environmental Social and Governance Report
ESG Management Mechanism
ESG Management Yiwu CCC always prioritizes green and low-carbon high-quality development continuously promotes the Company's improvement in environmental social and corporate governance systems strengthens the participation and
supervision of the Board of Directors in ESG matters integrates ESG management into the Company's overall risk assessment and management system and timely shares the Company's ESG development theoretical achievements
ESG Governance and practical experiences with society. To further improve the corporate governance structure enhance the Company's ESG management and operational
level and better adapt to strategic development needs Yiwu CCC has established an ESG management organizational
System framework building an ESG governance structure composed of the Board of Directors the Strategy and ESG Committee and the ESG Working Group. It has formulated ESG management-related systems such as the "ESG
Management System" and "ESG Governance Framework and Responsibilities and Authorities" fully considering
ESG-related impacts risks and opportunities in the process of strategy implementation risk management and major
decision-making. At the same time ESG performance is incorporated into the performance evaluation of
compensation for various units.ESG Management Philosophy
Yiwu CCC upholds ESG principles committed to pursuing economic benefits while also focusing on the
comprehensive improvement of environmental protection social responsibility and corporate governance Decision-Making Layer Management Layer Execution Layer
continuously striving to achieve more significant results in environmental social and corporate governance aspects
contributing to the sustainable development of society.Governance Board of Directors
Entities ESG Leadership Team ESG Implementation Team Strategy and ESG Committee
Yiwu CCC Characteristic Management Model
Yiwu CCC’s characteristic culture: Based on the commerce and trade industry centered on the mission of Heads of various departments at the
Corporate Culture making trade easy we focus on building a globally renowned comprehensive international trade service
Chairman General Manager Company headquarters
provider continuously shaping the Group's unique "Yiwu CCC culture" and consistently strengthening the Composition Members of the Board of Directors other Party Committee members
and senior management personnel heads of subordinate companies and corporate culture construction of the Group. employees
Employee Team Building: Develop a group-wide full career lifecycle training system and Yiwu CCC
Employee training brand IPs like the Five Eagles Class and Fengyu Plan implement "percentage-based" management;
Management build a digital HR management platform to achieve "entry transfer adjustment promotion departure Responsibilities of the Board of Directors retirement" career lifecycle management and Talent Profile 2.0 continuously driving high-quality HR
development. Review and approve the Company's ESG development strategies and goals major
issues governance framework management systems etc. and finalize the Company's
Promote innovative development of the small commodities industry: Driven by digital reform integrate ESG reports.online and offline resources link imports and exports connect domestic and international markets balance Responsibilities of the Strategy and ESG Committee
Industry Promotion domestic and foreign trade leverage small commodities to access the global market and use small
enterprises to drive industrial clusters becoming the core carrier of a trillion-yuan small commodities trade Decision- Research and provide suggestions on ESG goals strategic planning
hub. Making governance structure and management systems; coordinate internal and
Layer external ESG work; study substantive issues; guide the daily implementation of Comprehensive small commodity trade services: Established the Chinagoods platform a one-stop trade ESG work and the preparation of ESG reports; and review ESG reports.service platform integrating "exhibition and trade + customs foreign exchange tax logistics warehousing
Product & Service and financing" and built an ecosystem of digital procurement transactions digital logistics fulfillment
digital financial empowerment and digital regulatory services providing small and micro enterprises with Understand the demands opinions and suggestions of stakeholders
comprehensive small commodity trade services. Management Layer analyze material issues promote ESG implementation across execution units and compile ESG reports and related documents for the Company.Accurately understand the market and quickly serve customers: Launched the "Yiwu Market Project"
Trade Expansion driving merchants goods and supply chain services to "go overseas" through five major overseas paths—overseas sub-markets overseas exhibition halls FBC Warehouses overseas exhibitions and overseas
websites—to better expand overseas markets. Four groups are established: corporate governance environmental
Execution Layer protection industrial value and human capital each takingresponsibility within their scope ensuring ESG tasks are
implemented according to the overall plan and regularly reporting.Zhejiang China Commodities City Group Co. Ltd. ESG Management 2024 Environmental Social and Governance Report
ESG Risk Management Risk Category Risk Source Identification Prevention and Improvement Measures
Yiwu CCC continuously explores integrating ESG principles into corporate risk management and decision-making
processes enhancing risk control in environmental social and governance aspects. The company identifies and * External investments: First establish risk control positions with
evaluates various internal and external factors conducts due diligence reviews the requirements of stakeholders dedicated personnel responsible for managing the Company's
formulates measures to monitor and review risk responses and identifies and classifies the risk factors faced into external investment risks. Second improve the management
seven categories: investment risk management risk strategic risk financial risk market risk and legal risk. To systems and operational methods related to foreign investment to
address these risk points the Company strengthens internal control system construction standardizes operational lay a solid institutional foundation for the Company's foreign
processes establishes a scientific risk management system and enhances internal supervision to minimize risks and investment activities. Third identify and predict risks at each stage of the Company's foreign investments clarifying key control
ensure safe stable and sustainable development. * Fund security risk points for each investment phase. Fourth timely track and manage
Investment Risk * Market risk foreign investments before during and after the investment
* Business operation risks process
Risk Category Risk Source Identification Prevention and Improvement Measures * Redundant fund appreciation: First choose low-risk fund
appreciation products such as treasury bond reverse repurchase and
structured deposits to ensure fund safety. Second establish fund
management and treasury bond reverse repurchase purchase
* Strengthen the functions of the corporate strategy management processes to standardize product selection and fund usage
* Policy economic and environmental department by evaluating risk sources business growth procedures
risks opportunities and new projects with relevant professionals
* Industry and competitor risks * Mitigate policy and economic risks through industrial market Strategic risks expansion strategies
* Brand risks * Increase investment in brand promotion to accelerate the
* New project risks etc international expansion of the brand * Risk of policy impact on the industry * Timely collection of market competitor and policy information
* Expand industrial sectors and business models at appropriate times Market Risk * Risks arising from changes in * Customer-centric focusing on changes in customer needs and
government investment models adjusting the business model accordingly
* Strengthening Pre-Project Market Research Conducting Thorough
* Risks from internal and external Risk Assessment and Analysis for Proposed Projects
* Internal signing of safety responsibility agreements and signing environmental changes * Improve internal operation management systems design internal
safety responsibility agreements and integrity commitment letters * Risks related to the awareness and control mechanisms for key risk areas and define risk control
with merchants adaptability to various internal and points and standards Legal Risk
* Major safety and quality risks in the * Key management and technical personnel in the Safety Production
external policies processes and * Improve cooperation management processes and related
Department must meet corresponding qualification requirements procedures regulations and strengthen legal awareness commodity market
Management strictly implement operational activities in accordance with * Credit risk from external partners * Increasing the recruitment and development of high-level
Risk * Major safety risks in safety evaluation national regulations and special operations personnel must be * Human resources risk management personnel projects certified; merchant construction operations must strictly follow * Establish a legal department for control
* Information security risks mall regulations
* Establish a comprehensive safety management system and safety
management plan measures ESG Training and Promotion
* Implementation of the ISO9001 management system
To enhance ESG management capabilities and governance awareness Yiwu CCC actively conducts ESG-themed
training incorporating ESG-related content into the training for managers key business personnel and frontline
employees. During the reporting period the Company hired external experts to conduct ESG training for the
management headquarters departments and subsidiaries covering ESG concepts and policy interpretations to
* Establish a financial risk early warning mechanism enhance understanding and improve the professional capabilities of management and staff. In 2024 a total of 4 ESG
* Financing risk * Strengthen the analysis of financing channels and costs and training sessions were conducted with over 400 participants.Financial Risk * Accounts receivable management risk enhance monitoring of the financing process
* Redundant fund management risks * Strengthen monitoring and analysis of accounts receivable
* Formulate capital management processes and systemsZhejiang China Commodities City Group Co. Ltd. ESG Management 2024 Environmental Social and Governance Report
Response to SDGs
As a state-controlled listed company we actively undertake and fulfill social responsibilities explore new paths for Decent Work and
a green circular economy respond to the "dual carbon" development concept closely align our corporate Economic Growth
development with the United Nations Sustainable Development Goals (SDGs) continuously improve sustainable Promote sustained inclusive and sustainable economic Adhere to equal employment
development management and contribute to achieving the UN SDGs. growth achieve full productive employment and ensure decent work for all Protect employee rights
SDGs Content of SDGs Yiwu CCC’s Operation Industry
Innovation and
No Poverty Infrastructure
Build resilient infrastructure promote inclusive and Encouraging R&D innovation
sustainable industrialization and foster innovation
Participate in public welfare activities Protecting intellectual property
Eliminating All Forms of Poverty Worldwide
Support rural revitalization
Responsible
comsuption and
Good production Emphasizing product quality
Health and Well- management
being Ensure sustainable consumption and production patterns Safeguarding customer rights
Ensure healthy lifestyles and promote well-being for Implement safety production
people of all ages Focus on information security Safeguarding occupational health
Climate Action
Promote energy conservation and
Quality carbon reduction
Education Take urgent action to combat climate change and its Promote green operations
Smooth career development channels impacts
Ensure inclusive and equitable quality education and Identify climate risks and
promote lifelong learning opportunities for all Improve employee training opportunities
mechanisms
Peace
Controversy and
Gender Strong Institutions Promoting peaceful and inclusive societies for Standardize corporate governance
Equality sustainable development providing access to justice for
all and building effective accountable and inclusive Uphold compliant operations
Achieve gender equality and empower all women Oppose gender discrimination institutions at all levels Comply with business ethics
and girls Care for female employees
Partnerships for
the Goals
Clean drinking
water and Strengthen implementation tools and revitalize global Build a sustainable supply chain
sanitation facilities Ensure drinking water safety partnerships for sustainable development Adhere to responsible procurement
Ensuring safe drinking water and sanitation facilities Committed to water conservation
Compliant wastewater treatment
Affordable Clean
Energy
Carry out energy-saving and emission-
Ensure access to affordable reliable sustainable reduction initiatives
and modern energy for all
Use clean energyZhejiang China Commodities City Group Co. Ltd. ESG Management 2024 Environmental Social and Governance Report
Communication with Stakeholders Identification of Key Issues
Yiwu CCC adheres to environmentally friendly business concepts actively fulfills its social responsibilities and In accordance with the "Shanghai Stock Exchange Listed Companies Self-Regulatory Guidelines No. 14 -
promotes sustainable development for both the Company and the environment. The company values the rights and Sustainability Report (Trial)" (hereinafter referred to as the "Guidelines") and closely integrating the characteristics
interests of stakeholders such as investors customers employees and partners actively establishing various effective of the industry and the actual operating conditions of the Company while referencing the requirements of mainstream
communication channels during business development to understand and promptly respond to their expectations and international sustainability reporting standards the Company comprehensively evaluates its performance on various
demands. relevant issues to determine whether they will have a significant impact on economic social and environmental
Expectations and aspects (i.e. impact significance) while also considering whether each issue will have a substantial impact on the Stakeholder Communication channel Demands Our Response Company's business model operations development strategy financial condition cash flow financing methods and costs value chain etc. (i.e. financial significance).* Operate in compliance
with laws and regulations * Enhancing Governance * Visits and Information Reporting Standards
Government and * Supporting Local Understanding the Company’s Background
Regulatory Agencies * Work Reports Development * Undergo regulatory audits
* Questionnaire Communication * Adhering to Green * Analyze based on global megatrends China's industrial development trends the macro environment the * Protecting the Operations industry sector and the Company's business model to identify stakeholders and the impacts risks and Environment opportunities the Company faces.* Investor hotline * Shareholders' Meetings * Sustainable and stable
* Information disclosure * E-Interaction * Consistent and Stable operations
Shareholders and * On-site Investor Research Returns * Strengthening Investor
Investors * Earnings Briefing * Transparent and open Communication Preliminary Screening of Issues
* Roadshows and Reverse Roadshows * information * Transparent Information
Questionnaire Communication Disclosure * Use the 21 issues set in the "Guidelines" as the basis for the issue list refer to the requirements of international
mainstream sustainability reporting standards and benchmark against the United Nations Sustainable
* Service Hotline * Expand Trade Channels * Vigorously Cultivate Import Development Goals (SDGs) to establish the Company's 2024 ESG issue library totaling 28 issues.* Corporate Website and Email Markets * One-Stop Procurement
* Official Wechat Platform * Establishing an imported
Market Operators * Increase trade goods market
and Buyers * Communication meetings /seminars transaction volume * Enhance transaction
* Daily Operational Communication * Compliant and ethical processing capabilities Issue Importance Assessment
* Questionnaire communication trading * Building a credit market
Impact Materiality Assessment Financial Materiality Assessment
* Trade unions and employee congresses * Training and * Conduct Employee Training
Development
* Symposium * Safeguard employee Systematically assess the potential or actual Through impact dependency and other factor
* Fundamental Rights compensation and benefits
Employees * Company visits and condolences positive/negative impacts of each issue on the external analyses combined with expert judgment and the Protection * Strengthening occupational environment society and economy. Conduct Company's departmental risk identification and
* Work evaluation * Health and Safety health management stakeholder analysis via questionnaires collecting 554 assessment lists identify and assess risks and
* Questionnaire Communication * Humanistic care * Employee care practices valid responses and evaluate impact-material issues opportunities under relevant issues to evaluate issues
* Philanthropic and charitable activities with expert judgment. with financial materiality. * Philanthropy * Conduct public welfare
* Volunteer services * Community public activities
Community * Cultural exchange welfare * "Belt and Road" Initiative
* Awareness campaigns and visits * Promoting regional * Supporting rural
* Questionnaire Communication development revitalization Issue Confirmation and Approval
* Timely complete and * Form a list of impact materiality and financial materiality issues and ensure transparent balanced and
* Public Media * Accurate Information
Disclosure accurate information complete disclosure of relevant issues in the report.* Platform media disclosure
Media * Maintain good
* Meet-and-greet sessions cooperation * Strengthening daily
* Questionnaire Communication communication * Special interviews * Organizing joint activities
* Active participation in
* Daily Communication * Smooth communication association meetings
channels
Industry Association * Industry association activities * Assist in Association
* Promote industry Activities
* Questionnaire Communication development * Participating in industry
standard settingImportance in Economic Social and Environmental Impacts
Zhejiang China Commodities City Group Co. Ltd. ESG Management 2024 Environmental Social and Governance Report
Yiwu CCC Importance Issue Matrix Yiwu CCC Key Issue Identification List
High Environmental Compliance Management Issue
Protect Employee Rights Product and Service Safety & Quality Importance Statement
Standardized Corporate Governance Environmental
Dimension Social Dimension Governance Dimension Employee Training & Shareholder Rights Protection Information Security &
Development Customer Privacy Protection
Waste Management
Stakeholder Water Resource Utilization * Innovation-Driven
Communication Anti-Commercial Bribery & Anti-Corruption Innovation-Driven * Product and Service Safety &
Quality
Anti-Unfair Occupational Health and Safety Issues with both financial
and impact importance — * Information Security & Customer — Competition Privacy Protection
Tax Compliance
Equal Treatment of SMEs * Responsible Supply Chain
Circular Economy Management
Pollutant Emissions ESG Governance
Rural Revitalization Risk management Responsible Supply Chain
Social Contribution Due Diligence * Addressing Climate Issues with financial Change
importance but not impact — —
importance * Energy
Utilization
Energy Utilization
* Shareholder Rights
Addressing Climate Change Protection
* Environmental * Standardizing Corporate
Compliance Governance * Protect Employee Rights
Management * Anti-commercial bribery
* Employee Training and
* Circular economy and anti-corruption
Issues with impact Development
importance but not * Water Resource
* Anti-Unfair
* Occupational Health and Safety
Ecosystem and Biodiversity Competition financial importance Utilization * Social Contribution
Protection * Pollutant * Tax Compliance
Emissions * Rural Revitalization * Risk management
* Waste * Equal Treatment of SMEs * Due Diligence
Management * Communication with
Technology Ethics Stakeholders
* ESG Governance
Medium Importance in Company Finance High Issues with neither impact * Ecosystem and importance nor financial Biodiversity * Technology ethics —
importance Protection
With both financial and With impact importance but not financial With financial importance
With neither impact
impact importance importance nor financial importance but not impact importance importanceZhejiang China Commodities City Group Co. Ltd. 2024 Environmental Social and Governance Report
Compliance Governance
to Build a Clean State-
Owned Enterprise
Yiwu CCC always keeps in mind the responsibility and
mission of a state-owned enterprise ensuring that the
concept of sustainable development is fully integrated
into all aspects of corporate operations. The Company
continuously enhances its core competitiveness and risk
resilience by optimizing governance structures
strengthening risk management systems adhering to
compliance operations and standardizing business
practices laying a solid foundation for achieving long-
term sustainable development.Response
to
Decent Work and Peace Justice and Partnerships for
Economic Growth Strong Institutions the Goals
Adhering to the Leadership
of the Party 24
Governance Structure 30
Compliance Management 32
Business Conduct 37Zhejiang China Commodities City Group Co. Ltd. * Compliance Governance * Environmentally-friendly * Focused on Innovation * People-oriented
to Build a Clean State-Owned Enterprise to Guard Our Homeland to Provide Supervior Service to Build a Better Society Together 2024 Environmental Social and Governance Report
Guided by the distinctive brand of "Gathering Markets to Build Cities Serving Trade to Prosper Commerce" it has
Adhering to the Leadership of the Party
established the strategic transformation goal of becoming a "Famous Trade Service Platform" focusing on market
core business and digital mainlines and striving to build a market core competitiveness system international trade
fulfillment service system digital support system and institutional mechanism support system.Party Building Activities
Party Building System The Company actively carries out Party building activities organizing special micro-lecture competitions on the spirit
of the Third Plenary Session of the 20th CPC Central Committee and large-scale training sessions for all incumbent
Yiwu CCC adheres to the guidance of Xi Jinping’s Thoughts on Socialism with Chinese Characteristics for a New Party members among other diverse forms to deepen and solidify Party discipline education and learning providing
Era thoroughly implements the work deployment requirements of higher-level Party organizations fully implements strong ideological support for the Company's high-quality development.the general requirements for Party building in the new era solidly advances the Company's Party building and mass
organization work fully leverages the political core and fighting fortress role of Party organizations and the vanguard Case Group Party Committee Held Micro Party Lecture Competition on the Spirit
and exemplary role of Party members providing strong organizational and ideological guarantees for the Company's of the Third Plenary Session of the 20th CPC Central Committee
development. In 2024 the Party Committee of Zhejiang China Commodities City Group Co. Ltd. (hereinafter
referred to as the "Group Party Committee") had 39 Party branches under it with a total of 603 full Party members The Company deeply studies and implements the spirit of the Third Plenary Session of the 20th CPC Central
and held 32 Party committee meetings. Committee combining learning and research at the Group Party Committee level and promoting learning through
competitions at the branch level organizing special micro-lectures on the spirit of the Third Plenary Session of the
In 2024 the Party Committee of Zhejiang China Commodities City Group Co. Ltd. 20th CPC Central Committee and simultaneously establishing the CCC Group "809000" Propaganda Team. At the
competition venue 35 primary-level contestants focused on the theme and key points sharing vivid stories of how
the spirit of the Third Plenary Session of the 20th CPC Central Committee has taken root in small commodity trade
development market transformation SOE reform and business innovation. They recounted the profound changes
Subordinate Party 39 Full Party
Party Committee
603 Meetings 32 over the past year since the General Secretary's inspection aligning with the goal of "creating a model and renewing Branches Member Convened glory" using small examples to illustrate larger truths and promoting learning through competition thereby uniting
the driving force for Yiwu's market transformation and the group company's reform and development.Honors for Party Building
The Group Party Committee keeps in mind Comrade Xi Jinping's encouragement and instructions that Yiwu Market
as a national leading market should take the lead and set an example in both Party building and development. It
deepens the Party building demonstration belt solidifies the service community and weaves a dense red intelligent
governance network systematically promoting institutional innovation management innovation and practical
innovation. The Party building work of Yiwu Market has also received attention and affirmation from leaders at
various levels including the central and provincial governments. The 12 Party building standards of "Three Displays
Three Determinations Three Promotions and Three Possessions" pioneered by Yiwu Market have become a national
demonstration model for Party building in professional markets. The State Administration for Market Regulation
listed Yiwu Market Party Building as a national model; on the occasion of the 100th anniversary of the founding of
the Communist Party of China the Group Party Committee was awarded the title of "National Advanced Primary-
Level Party Organization" by the CPC Central Committee. In 2024 as an innovative model of Party building in state-
owned enterprises it was featured in the "Zhejiang Party Building" official Wechat account's column on Party
building brands of state-owned enterprises.Party Building Brand
Case Case: CCC Group Party Committee Conducts Large-Scale Training for All On-Duty Party Members
Yiwu CCC keeps in mind the instructions and entrustments focuses on its main business and responsibilities stays
true to its original mission and builds the Party building brand of "Gathering Markets to Build Cities Serving Trade
to Prosper Commerce" making Party building a red engine driving Yiwu's market's sustained prosperity. General To thoroughly study and implement Xi Jinping‘s Thoughts on Socialism with Chinese Characteristics for a New Era
Secretary Xi Jinping visited the International Trade City for the 9th time affirming Yiwu's market development and implement the spirit of the Third Plenary Session of the 20th CPC Central Committee and deepen Party discipline
encouraging "Yiwu's small commodities and big market to continuously renew their glory." education on July 27 2024 the Group Party Committee launched its annual training for all incumbent Party members under the theme "Deepening Party Discipline Education Unwaveringly Advancing Comprehensive and Strict
The Party-building brand is rooted in the Yiwu market advocating for "Striving for Dual Strengths in the Market Governance of the Party."
with Party Members as Pioneers." It integrates the fortress role of primary-level Party organizations and the vanguard
role of Party members into the brand-building framework continuously improving systems innovating mechanisms
enriching platforms and deepening content to safeguard the "World Supermarket" serve global merchants and
further polish the honor of "National Advanced Primary-level Party Organization." The Group Party Committee takes
prPoomstoalt iCngod seu stained market prosperity as its mission fully leveraging its leadership and political core roles.
322000CCC Workers' Union
Tourism Company
Shangbo Yuncang
Yayue Hotel
Yourworld International
Conference Center Asset Management
Company
International Expo Center Hotel
Party School Guest House
CCC Hotel
Ocean Hotel Domestic and Foreign Currency Company
Yandoo Hotel
Hotel Management Company Huajie Company Huajie Europe
Factoring Company
Kuaijietong Company Spanish Company
Financial Holding Company German Company
Rwandan Company
Comprehensive Bonded Zone Company
International Company Dubai Company
Aishimao Company
Import and Export Company
Hong Kong Trading Company
Logistics and Warehousing Company
Ningxia Supply Chain Company
Supply Chain Company
Credit Reporting Company
Advertising Company
The Big Data Company
Internet Finance Company
Digital Port Company
Xinlian Company
Information Company Yiwugo Company
Exhibition Company
Market Investment Global Digital Trade Center
Binwang Market
Market Expansion Center Production Materials Market
Cadre Management International Trade City 5th District
Property Service Center
International Trade City 4th District
Construction Office
International Trade City 3rd District
Administrative International Trade City 2nd District Market Operations Center
International Trade City 1st District
Public Relations Administrative Service Huangyuan Market
Zhejiang China Commodities City Group Co. Ltd. * Compliance Governance * Environmentally-friendly * Focused on Innovation * People-oriented
to Build a Clean State-Owned Enterprise to Guard Our Homeland to Provide Supervior Service to Build a Better Society Together 2024 Environmental Social and Governance Report
Governance System Governance by Shareholders’ Meeting Board of Directors and Board of Supervisors
General Meeting of Shareholders
Governance Structure In accordance with national laws regulations and the Company's articles of association the Company has
formulated the "Rules of Procedure for Shareholders'
The Company strictly complies with laws and regulations such as the "Company Law of the People's Republic of Meetings" specifying the procedures for convening 3 17
China" (hereinafter referred to as the "Company Law") the "Securities Law of the People's Republic of China" discussing voting and other regulations to ensure the fair Shareholders' Meeting Proposals Reviewed
(hereinafter referred to as the "Securities Law") and the "Corporate Governance Guidelines for Listed Companies" equitable and effective operation of shareholders' meetings. Convened
as well as the regulations and guidance requirements of the China Securities Regulatory Commission and the
Shanghai Stock Exchange building a corporate governance system with clear rights and responsibilities scientific
and efficient. The Company clarifies the functional scopes of management decision-making supervisory bodies and Board of Directors
the executive management team ensuring standardized and efficient operations through a collaborative work model
thereby promoting the Company's sustained and steady development and achieving strategic goals. The Company strictly convenes and holds board meetings in accordance with the provisions of the "Articles of
Yiwu China Commodities City Holdings Limited Association" and the "Board Meeting Rules" exercising its authority in accordance with the law. The Board of Directors has established four specialized committees: the Strategy and ESG Committee the Audit Committee the
Compensation and Evaluation Committee and the Nomination Committee to review specific matters in the
Company's operations.CCC Group
Shareholders' Meeting
Independence and Diversity of the Board of Directors
Board of
Supervisors Board of Directors When determining the composition of the Board of
Directors the Company fully considers factors such as
Audit Compensation and Management Nomination Strategy and ESG
Committee Evaluation Committee Team Committee Committee age educational background professional knowledge
and skills and industry experience to ensure diversity 10 15 1
Offices Discipline Legal &Audit Strategy and Party-Mass Work Safety Securities Digital Construction meet various business needs and enhance the decision- Meetings of Board Proposals Passed Special Meeting
Inspection Department Development Department Production Department Development Management making and execution capabilities of the Board of of Directors of Independent
Office Reform Department Department Center Directors. Board members possess extensive industry Directors
Lawyers Department Department experience with professional backgrounds covering
Party Union Youth ?Women's Federation finance economics engineering and other fields.Building League
Investment Strategic Strategic i
Managemen Objective Research As of the end of the reporting period the Company's Meetings of Special 11
HR Center Finance Yiwu CCC Zhejiang
Center Institute Board of Directors consists of 8 members including 3 Committees of the Board of Think Tank independent directors and 1 female director with Directors
independent directors accounting for 37.5% and female
Market Operations BU Information Data BU Supply Chain BU Financial BU Hotel BU directors accounting for 12.50%. In accordance with the
Meetings of Nomination 1
"Administrative Measures for Independent Directors of Committee
Listed Companies" and the Company's articles of
association the Company has formulated the Meetings of Compensation and 3
"Independent Director Work System" based on its Evaluation Committee
actual situation to strengthen the constraints and
supervision mechanisms for internal directors and Meetings of Audit Committee 7
management promoting standardized company
operations.Asset Operations BUZhejiang China Commodities City Group Co. Ltd. * Compliance Governance * Environmentally-friendly * Focused on Innovation * People-oriented
to Build a Clean State-Owned Enterprise to Guard Our Homeland to Provide Supervior Service to Build a Better Society Together 2024 Environmental Social and Governance Report
Board of Supervisors Compliance Management
The Board of Supervisors is the highest supervisory body of
the Company. In accordance with relevant laws regulations Internal Control and Risk Management
and the "Articles of Association" the Company has
formulated the "Rules of Procedure for the Board of Yiwu CCC emphasizes compliance management and risk control continuously improving its compliance
Supervisors" to further improve the corporate governance 4 9 management and risk control system. In accordance with the "Basic Standards for Enterprise Internal Control"
structure ensure the independent exercise of supervisory "Guidelines for Enterprise Internal Control Evaluation" and the "Articles of Association" it has formulated the Meetings of Board of Proposals Passed
power by the Board of Supervisors in accordance with the "Zhejiang China Commodities City Group Co. Ltd. Risk Management Measures" and "Zhejiang China Commodities Supervisors
law and safeguard the interests of all shareholders and the City Group Co. Ltd. Internal Control Evaluation Management Measures." The Company has established a risk
sustainable development of the Company. In 2024 the control leadership group headed by the general manager and composed of leaders from various units (departments)
Company's Board of Supervisors consists of 5 members which is fully responsible for the Company's risk management and control. The compliance internal control and risk
including 2 employee supervisors and 2 female supervisors. management processes are integrated into all aspects of management and operations supporting the Company's high-quality development. The Company clarified fundamental internal control requirements to promote standardized
operations enhance information disclosure quality and achieve corporate governance objectives. In 2023 the
Company's Legal and Audit Department was awarded the honorary title of "National Advanced Internal Audit
Executive Compensation Management Collective for 2020-2022."
The Company's internal control is in good condition with effective control measures. The Company has completed
The compensation plans for the Company's directors supervisors and senior management are formulated by the and disclosed the "2024 Internal Control Evaluation Report" in a timely manner. As of the evaluation report's baseline
Compensation and Evaluation Committee of the Board of Directors and approved by the Shareholders' Meeting. The date no material weaknesses were identified in the Company's internal control and effective internal control was
Company's internal directors supervisors and senior management receive compensation and performance-based pay maintained in all material aspects. The Company primarily establishes an internal control system from the following
according to their positions within the Company. This is comprehensively evaluated based on their specific four aspects implementing nine measures for effective control:
management roles annual performance assessments comparable industry salary benchmarks and the Company's
annual operating performance ensuring alignment with the Company's yearly operational results.Internal Environment
The Company's Board of Directors has established an audit committee responsible for overseeing the effective
implementation of internal control and the self-evaluation of internal control. The group headquarters established a
Legal and Audit Department to lead the specific implementation of internal controls. Subsidiary companies appointed
internal control officers responsible for establishing implementing and managing daily internal control operations. The Company employs a combination of control measures based on internal control objectives to effectively manage
various business operations and matters.establish standards
The "Internal Control Manual" for each business line has been compiled to ensure all employees understand their job responsibilities business processes and the allocation of authority and responsibilities enabling them to perform
their duties correctly and facilitating smooth internal control operations.Issued the "Zhejiang China Commodities City Group Co. Ltd. Internal Control Evaluation Management Measures" clearly defining the organization responsibilities content procedures defect identification reporting and
rectification of internal control evaluations.Risk Assessment
Each year the Company uses a designed questionnaire method to analyze and rank identified risks based on two dimensions: the likelihood of risk occurrence and the degree of impact on company objectives thereby determining
risks that require focused attention and priority control.In April 2024 the Company conducted a corporate risk assessment survey collecting 585 valid responses. Based on the survey results management identified key risks requiring focus and priority control: compensation and benefits
risk talent reserve risk policy risk competitor risk and market demand fluctuation risk.Zhejiang China Commodities City Group Co. Ltd. * Compliance Governance * Environmentally-friendly * Focused on Innovation * People-oriented
to Build a Clean State-Owned Enterprise to Guard Our Homeland to Provide Supervior Service to Build a Better Society Together 2024 Environmental Social and Governance Report
Risk Probability Score Impact Level of Risk Score Indicators Unit 2022 2023 2024
Compensation and Benefits 1289 Engineering Safety Risks 1509 Number of Internal Risk Control Risk Training Sessions Times 969 1856 2005
Talent reserve risk 1240 Engineering Quality Control Risk 1505 Total Participation in Internal Risk
Policy Risk 1229 Policy Risk 1482 Control Training
Times 11249 23009 24768
Competitor Risks 1226 Strategic Planning Risk 1476 Total Duration of Internal Risk Control Training Hours 837.08 1811.57 2017.42
Market Demand Fluctuation
Risks 1223 Macroeconomic Risks 1471 Related-Party Transaction Management
Macroeconomic Risks 1219 Investment decision risk 1463 To ensure related-party transactions comply with fairness justice and transparency principles the Company
National Industrial Structure Adjustment and established the "Related-Party Transaction Decision and Implementation Policy" in accordance with the Company Investment decision risk 1217 Industry Adjustment Risk 1459 Law SSE Listing Rules and Articles of Association clearly defining review/disclosure procedures and decision-
making authority for such transactions. The Company strictly enforces a recusal mechanism where interested
Performance Evaluation and 1205 Seal Management Risks 1444 directors and shareholders must abstain from voting on related-party transactions and cannot proxy vote for other Incentive Risks directors.Strategic Planning Risk 1187 Industrial Structure Risk 1430 Tax Management
Partner Risk 1187 Board Performance Risk 1424
Yiwu CCC adheres to the principle of tax compliance ensuring that tax payments are in accordance with relevant tax
laws and regulations. The finance center is responsible for the Company's tax management. Based on the Company's
Control Measures actual situation it formulates the "CCC Group Tax Management System" and various tax management processes
strictly managing all tax-related matters. The Company integrates tax operations throughout the entire business
* Pre-event Control process routinely employs tax management information systems maintains tax ledgers and conducts regular
Incompatible Duty Segregation Control: Conduct a comprehensive and systematic analysis of incompatible duties involved in business reconciliations with accounting and tax filing systems to ensure amount consistency. Meanwhile the Company
processes implement corresponding segregation measures and establish a working mechanism where each party performs its own organizes training on new tax regulations pays taxes on time and prevents tax risks such as late payments or tax
duties bears its own responsibilities and mutually checks and balances. evasion. During the reporting period Yiwu CCC had no tax violations. The Company organized 12 tax training
sessions with a cumulative participation of 840 person-times and arranged for relevant personnel to attend one batch
Budget Control: A comprehensive budget management system is implemented to achieve the Company's operational and management of external tax training.objectives clarifying the responsibilities and authorities of each unit in budget management standardizing the budgeting review
issuance and execution processes and strengthening budget constraints. Yiwu CCC has been consecutively recognized as Yiwu City's "Advanced Taxpayer Enterprise" for
Early Warning And Emergency Control: Establish a major risk warning mechanism and emergency response mechanism for multiple years and retained this title in 2024
unexpected events clarify risk warning standards develop contingency plans for potential major risks or emergencies designate
responsible personnel standardize handling procedures and ensure timely and proper resolution of unexpected events.* In-process Control
Authorization and Approval Control: Building upon existing systems the Company is streamlining various business processes and
review checkpoints. For "three importants and one major" matters a collective decision-making approval or joint signing system shall
be implemented and no individual may make decisions alone or arbitrarily alter collective decisions.Information System Control: Develop or procure business management systems tailored to each business segment's characteristics.Integrate authorization frameworks and process control requirements to achieve a human-machine collaborative control model
streamlining role definitions clarifying responsibilities and enhancing efficiency.Property Protection Control: Establish daily property management and regular inventory systems implement measures such as
property records physical custody periodic stocktaking and account-entity reconciliation to ensure property safety. Internal Control Operating Revenue 7620 11300 15737
Design and Implementation Effectiveness Testing: The Company conducts biannual tests on the effectiveness of internal control
design and implementation urging subsidiaries to identify and rectify deficiencies to improve the internal control system. Net Profit 1105 2676 3074
* Post-event Control
Total Tax Amount 805 608 1103
Performance Evaluation Control: Establish and implement a performance evaluation system scientifically setting up the evaluation
indicator system.Internal Audit Control: The internal audit department actively conducts internal audits performs annual self-assessments on the 2022 2023 2024
effectiveness of internal controls and timely issues and discloses the "Internal Control Evaluation Report." million yuan
External Audit Control: The Company engages accounting firms to conduct specialized audits on the design and execution
effectiveness of internal controls leveraging professional expertise to achieve comprehensive external and internal oversight.Zhejiang China Commodities City Group Co. Ltd. * Compliance Governance * Environmentally-friendly * Focused on Innovation * People-oriented
to Build a Clean State-Owned Enterprise to Guard Our Homeland to Provide Supervior Service to Build a Better Society Together 2024 Environmental Social and Governance Report
Investor Relations Management Investor Communication Channels
Shareholder Rights Protection Company official website: www.cccgroup.com.cn
WeChat Official Account: CCC
Group
Yiwu CCC is committed to safeguarding shareholders' legitimate rights and interests strictly adhering to the Articles
of Association and shareholders’ meeting procedures to ensure equal treatment for all shareholders. The Company
has established a scientific and effective profit distribution decision-making process and adjustment mechanism to Company email: 600415@cccgroup.com.cn Contact number: 0579-85182700
ensure the entire distribution process is open and transparent fully safeguarding the right to know and participate of
minority shareholders and effectively protecting their legitimate rights and interests. At the same time the Company
actively takes measures to prevent infringement of shareholders' rights and interests ensuring that shareholders can Performance The Company’s Interaction with Company Open Day
share in the Company's operational achievements. Briefings Investors on E-Interaction Events
Shareholder Returns 3 60 times 1
The Company places high importance on investor returns formulating reasonable cash dividend plans. The "2024
Action Plan for Quality Improvement Efficiency Enhancement and High Returns" outlines strategies to enhance Answered 687 investor calls Investor inquiry response rate: 100%
long-term returns with plans to progressively increase the proportion of profits distributed in cash over three years
starting from 2024. Additionally the Company aims to establish and refine long-term incentive and restraint
mechanisms through measures such as equity incentives. The Board of Directors strictly implements shareholders’ Case Performance Briefing
meeting resolutions and authorizations distributing dividends to all shareholders and sharing operational
development achievements with them. On November 5 2024 the Company held its earnings briefing for Q3 2024 via online text interaction discussing
Total Cash Dividends 357 operational results and financial indicators with investors and addressing their key concerns within the bounds of (Including Tax) 2022 information disclosure. The Company's Chairman board secretary financial officer and independent directors all
attended the meeting addressing key investor concerns such as market value management and tax-free licenses
2023 1097 answering investor queries and maintaining investor relations.
Information Disclosure
million yuan 2024 1810 To better protect the legitimate rights and interests of investors and improve the transparency and standardization of
information disclosure the Company strictly complies with the "Administrative Measures for Information Disclosure
of Listed Companies" and the "Articles of Association" to formulate the "Information Disclosure Management
Percentage of net profit attributable to listed company shareholders in Cash dividend per 10 shares (tax inclusive)
consolidated financial statements System" standardizing the Company's information disclosure practices and strengthening information disclosure management. In accordance with relevant laws regulations and institutional norms we have formulated the "Annual
Report Information Disclosure Material Error Accountability System" adhering to principles such as seeking truth
from facts objectivity and fairness and accountability for errors to implement the accountability system and enhance
yuan the quality and transparency of information disclosure.To standardize the Company's information disclosure behavior when issuing
debt financing instruments in the bank bond market we formulated the
"Interbank Market Debt Financing Instruments Information Disclosure
Management System" in accordance with relevant laws and regulations such as
the "Administrative Measures for Non-Financial Enterprise Debt Financing 2022 2023 2024 2022 2023 2024 Instruments in the Interbank Bond Market." It stipulates that the Company must
Note: The statistical basis aligns with the fiscal year of cash publish the contents of the current issuance documents on websites recognized
dividends consistent with the annual report standard by the dealers' association and disclose major events affecting the Company's
debt repayment ability during the tenure of the debt financing instruments.Communication with Investors
In 2024 the Company disclosed 4 periodic reports and 53 interim
The Company places great importance on maintaining investor relations and has formulated the "Yiwu CCC Investor announcements with no incidents of penalties due to non-compliance in
Relations Management System" with the Securities Department serving as the designated department for investor information disclosure. The Company's information disclosure work for 2023-
relations management. The Company communicates with investors through diversified channels such as phone email 2024 was rated as A grade and it was awarded the "2024 Outstanding
and the SSE e-interaction platform regarding corporate governance development strategies and operational status Practices of Listed Company Board Offices" honor.ensuring timely and accurate information disclosure to guarantee equal right to know for all investors and foster a
strong trust relationship between the Company and investors.Zhejiang China Commodities City Group Co. Ltd. * Compliance Governance * Environmentally-friendly * Focused on Innovation * People-oriented
to Build a Clean State-Owned Enterprise to Guard Our Homeland to Provide Supervior Service to Build a Better Society Together 2024 Environmental Social and Governance Report
Business Conduct Integrity Risk Management
Yiwu CCC in accordance with the "Integrity Risk Prevention and Control Manual" integrates risk management and
Anti-Commercial Bribery and Anti-Corruption modern enterprise management controls into anti-corruption efforts covering all business lines of Yiwu CCC. It focuses on standardizing power operations identifying integrity risk points categorizing job risks detecting potential
corruption risks and proposing effective prevention measures to eliminate corruption.Integrity System To fully ensure supervision and execution and enhance the supervisory role the Group has established the "Three
Yiwu CCC strictly adheres to relevant laws such as the Criminal Law of the People's Republic of China and the Inspections" mechanism namely "daily inspections special inspections and internal inspections" to conduct
Supervision Law of the People's Republic of China. Combining practical work and experience the Company has inspections on the regulatory work of various business sectors and prevent business risks. During special occasions
compiled the Integrity Risk Prevention and Control Manual serving as a guide and reference book for corporate such as New Year's Day and Labor Day the Company reiterates disciplinary requirements before the holidays
integrity construction enhancing employees' awareness of the importance of strengthening integrity risk prevention through reminders and group discussions conducts surprise inspections during the holidays and verifies problem
and regulating the exercise of power. Meanwhile the Company has established internal management systems such clues after the holidays strictly investigating and penalizing violations. During the reporting period the Company
as the Several Provisions on Strengthening Integrity Risk Prevention and Control for Overseas Institutions (Trial) comprehensively identified over 600 integrity risk points at the primary-level level formulated more than 700
the Management Measures for Further Strengthening Supervision of Top Leaders (Trial) the CCC Group's Detailed corrective measures addressed risks and behaviors of excessive or easily abused authority and strengthened primary-
Rules for Trace Management of Collective Decision-Making on "Three Major and One Big" Matters and the level supervision. Disclosure inspection of
Zhejiang China Commodities City Group Co. Ltd. Party Conduct and Clean Government Construction Work Inspection of illegal expenses for official overseas
Interview System to strictly control corruption risks from multiple dimensions and ensure the Company's healthy acceptance of gifts and money trips vehicles and receptions
and stable development.The Company formulated the "Comprehensive Supervision" Work System Construction Plan established a
"Comprehensive Supervision" working group and set up positions for discipline inspectors and supervisors. The
working group's main tasks include establishing supervision lines within the party business specialized and
dedicated areas ensuring full coverage of supervision in business fields clarifying specialized supervision
responsibilities and guaranteeing effective implementation of supervision."1+N" Major Supervision Work Management System Model
Board of Inspection Team Dispatched by
Supervisors Discipline Inspection Commission
Leading Group Tier-1 Organization
HR Center Headquarters Finance Center Tier-2 Organizations
departments (Specialized supervision dedicated CCC Exhibition business travel
abroad process inspection Property operation support supervision etc.) vehicle inspection
Discipline Inspection Liaison Officers
Supervision Tier-3 Organizations
Targets (Business supervision self-inspection
Working groups and self-correction etc.)
(Enterprise Discipline Inspection Officers
Supervision
Committee etc.)
Primary-level Management Tier-4 Organizations
Employees Targets (Information collection issue feedback etc.)
Supervisors
Note: The supervision targets within the "Comprehensive Supervision" system include CCC Group headquarters and
all subsidiaries.Zhejiang China Commodities City Group Co. Ltd. * Compliance Governance * Environmentally-friendly * Focused on Innovation * People-oriented
to Build a Clean State-Owned Enterprise to Guard Our Homeland to Provide Supervior Service to Build a Better Society Together 2024 Environmental Social and Governance Report
Integrity Training
The Company strictly complies with relevant laws and regulations such as the Supervision Law of the People's In May 2024 the CCC Group Discipline Inspection Commission established the "CCC Group Discipline Inspection
Republic of China and the Interim Provisions on Prohibiting Commercial Bribery to prevent illegal activities such Commission Mobile Reception Team" at the Party-Mass Service Station in the Second Zone of the International
as corruption and bribery and to create a fair just and transparent business environment. To enhance employees' Trade City. Through various measures such as distributing promotional materials handing out flyers along shops
awareness of anti-corruption continuously strengthen the Company's internal integrity culture and effectively and on-site Q&A it extensively promoted the regulations and policies on petitions and reporting accurately clarified
prevent illegal activities such as corruption and bribery Yiwu CCC provided anti-corruption training to board the distinction between legitimate petitions and false accusations and educated and guided party members and the
members management and employees during the reporting period. public to properly and effectively exercise their supervisory rights. Distributed over 600 promotional brochures on-
Anti-Commercial Bribery & Anti-Corruption Training for Directors and Management site and conducted 3 mobile reception sessions.Number of Directors Participating in Anti-Bribery and Anti- Percentage of Directors Participating in Anti-Commercial Bribery
Corruption Trainings and Anti-Corruption Trainings
202410%2024100
People
Total duration of anti-commercial bribery and anti- Average duration of anti-bribery and anti-corruption training
corruption training provided to directors received by directors
2024260202426
Hours Hours/person
Number of management personnel participating in anti- Percentage of management participating in anti-bribery and anti-
commercial bribery and anti-corruption training corruption training
2024142%2024100
People CCC Group Conducted Pre-Mid-Autumn Festival Integrity Education
Total duration of anti-commercial bribery and anti- Average Duration of Anti-Bribery and Anti-Corruption Training Case
corruption training provided to management Received by Management Thematic Activity
2024 4260 2024 30 In September 2024 the CCC Group Discipline Inspection Commission organized disciplinary liaison officers
Hours Hours/person disciplinary inspectors employee representatives and members of the "Chonglian Shangjie" Model Team from the
Number of Employees Participating in Anti-Bribery and Percentage of employees participating in anti-commercial bribery CCC Group Women's Volunteer Service Group to carry out the themed activity "Clean Breeze with Bright Moon
Anti-Corruption Training and anti-corruption training Celebrating a Clean Festival Together." Through integrity reminder talks watching warning education films making
"integrity" mooncakes and "integrity" lanterns the Company actively explores new approaches to integrity
% construction strengthens education on party spirit conduct and discipline innovates integrity education methods 2024 3255 2024 100
People enriches educational platforms and fosters a clean and upright atmosphere.Total duration of anti-bribery and anti-corruption training
provided to employees Average duration of anti-bribery and anti-corruption training
2024104160202432
Hours Hours/person
Integrity Education Activities
To further enhance all employees' awareness of the importance of integrity work strengthen the internal culture of
integrity and effectively prevent illegal activities such as corruption and bribery during the reporting period the
Company actively organized multiple integrity activities and carried out anti-corruption initiatives.CCC Group Discipline Inspection Commission Launched "Heart Purification"
Case Campaign for Petitions and ReportsZhejiang China Commodities City Group Co. Ltd. * Compliance Governance * Environmentally-friendly * Focused on Innovation * People-oriented
to Build a Clean State-Owned Enterprise to Guard Our Homeland to Provide Supervior Service to Build a Better Society Together 2024 Environmental Social and Governance Report
Reporting Channels and Whistleblower Protection Anti-Unfair Competition
To effectively implement and achieve tangible results in party conduct integrity and anti-corruption efforts the Yiwu CCC highly values building and maintaining a
Company has streamlined reporting channels. The Company has set up a complaint supervision hotline to facilitate fair competitive market environment. It commits to
direct feedback from the public. Meanwhile the Company has established a "I Want to Report" complaint column competing fairly strictly adhering to laws such as the
on its official WeChat account "Shangcheng Qingfeng" and posted complaint notice boards in elevators across Anti-Monopoly Law and the Anti-Unfair Competition
various markets striving to build an open transparent and upright work environment and earnestly fulfilling the Law of China promoting fair trade and competition
responsibilities of party conduct and integrity construction as well as anti-corruption. In addition the Company safeguarding healthy competition among rivals and
emphasizes the protection of whistleblowers. Reports are handled and documented by dedicated personnel strictly preventing unfair competition risks. Moreover the
preventing the leakage and dissemination of whistleblowers' identities and report materials. Any retaliation against Company incorporates anti-monopoly and fair
whistleblowers is strictly prohibited and punished. competition content into daily employee training to
enhance employees' awareness of fair competition.During the reporting period the Company did not
experience any incidents of malicious competition.Zh ejiang China Commodities City Group Co. Ltd. 2024 Environmental Social and Governance Report
Environmentally Friendly
to Guard Our Homeland
Yiwu CCC actively responds to national policies
consistently adhering to the ecological and environmental
protection concept that "clear waters and lush mountains are
invaluable assets" taking resource conservation and
environmental protection as its own responsibility. The
Company adheres to green operations implement various
measures to conserve resources and energy reduce pollution
emissions and contribute to building a beautiful China.Response
to
Clean drinking Affordable Climate Action
water & Clean Energy
sanitation
implementation
Addressing Climate Change 46
Resource Management 50
Environmental Management 58
Social Governance
Building a New Energy Environmental
Trading Market 68Zhejiang China Commodities City Group Co. Ltd. * Compliance Governance * Environmentally-friendly * Focused on Innovation * People-oriented
to Build a Clean State-Owned Enterprise to Guard Our Homeland to Provide Supervior Service to Build a Better Society Together 2024 Environmental Social and Governance Report
Strategy
Addressing Climate Change Climate change is profoundly impacting human health supply chain stability and global trade. To accurately identify
its effects on the Company's operations Yiwu CCC analyzed climate-related risks identifying both physical and
transition risks as well as their impacts. It also recognized opportunities brought by climate change and actively
Governance implemented response measures.Yiwu CCC actively responds to the economic opportunities and challenges that climate change may bring to the
Company integrates climate change response into its management and operational practices makes reducing Risk/Opportunity Type Risk/Opportunity Financial Impact Impact Countermeasures
greenhouse gas emissions an important part of its environmental management and seeks an economic model to Description Description Cycle2
address climate change risks.The Company integrates climate change-related functions into the ESG governance framework clarifies the Develop and implement detailed
responsibilities of the Board of Directors and management and establishes a top-down management system. The Increased frequency and "Typhoon and Flood Emergency
board oversees the management and progress of climate change issues. The Board Strategy and ESG Committee as intensity of extreme Facility repairs and Response Plans" conduct
the sustainability management body leads the ESG working group in researching strategies and action plans and Acute weather events such as operational disruptions Short to regular drills monitor weather
establishing and supervising relevant regulations. All relevant functional departments and subsidiaries of the physical risks typhoons floods heavy increase costs; service medium trends closely prepare materials
Company have taken effective measures to implement the Company's carbon reduction efforts. rain heatwaves and cold
interruptions lead to term in advance for extreme weather
waves. revenue loss. events ensure equipment functionality and guarantee
Climate Change Entity Risk
swift operational recovery.Governance Entities Role Responsibilities
Regularly organize flood
Continuous sea level rise prevention drills and construct
average temperature Increased operational flood walls to reduce the
Decision-Making Review and confirm climate change response systems and Chronic
Medium
Board of Directors mechanisms and assess the effectiveness of climate change physical risks increase extreme changes
costs; infrastructure
damage raises to long
probability of business
in precipitation and term interruption; develop high-Level risk management and internal control systems. weather patterns etc. construction expenses. temperature emergency plans and monitor temperature and
humidity in real time.Firmly establish the concept of
Changes in customer Sudden and unexpected Medium green development and actively
Guide the design and implementation of strategies Market risk behavior and uncertain changes in energy to long promote the Company's energy
market signals. costs. term conservation and carbon
Strategy and ESG Decision-Making objectives and measures related to climate change; assess reduction efforts.Committee Level and manage climate change-related risks and opportunities; Transition report regularly to the Board of Directors to ensure Risk Non-compliance or poor Proactively release ESG reports
oversight.Reputation performance in climate Operating revenue Medium disclose environmental
risk risk management may decreased. to long protection-related information harm corporate term and increase the use of clean
reputation. energy.Short
Collaborating with various departments units and Reduce operating
subsidiaries of the Company to fully implement the Energy costs; mitigate the risk
Medium Use clean energy to reduce
ESG Leadership Team Management management of climate change issues regularly reviewing substitution
Use clean energy. of future energy price and Long greenhouse gas emissions. increases.and summarizing the progress and effectiveness of related Opportunity Term
work and reporting to the Strategy and ESG Committee.Products and Develop new products or
Short
Increase in operating medium Continuously innovate through
services services through R&D and innovation. revenue. and long
R&D to advance green and low-
term carbon services.ESG Implementation Team
Execution Layer The executive body for climate change-related response 2Environmental Protection Impact Cycle Definition: Short term: within 1 year; Medium term: 1-5 years; Long term: over 5 years. measures.TeamZhejiang China Commodities City Group Co. Ltd. * Compliance Governance * Environmentally-friendly * Focused on Innovation * People-oriented
to Build a Clean State-Owned Enterprise to Guard Our Homeland to Provide Supervior Service to Build a Better Society Together 2024 Environmental Social and Governance Report
Case Conducting Flood Prevention Emergency Drill Indicator: CO2 emissions per 10000 yuan of revenue. Objective: Decline year by year. Achievement Status: In
progress
To effectively carry out flood and typhoon prevention work in 2024 in line with the annual work plan all units within
the Group organized flood prevention drills in March 2024. These drills assessed the emergency response capabilities Total Greenhouse Gas Emissions3 Direct Emissions (Scope 1) Indirect Emissions (Scope 2)
reaction speed and coordination levels of various departments during market floods clarified their responsibilities
and inspected the operation of drainage facilities in the market laying a solid foundation for flood prevention work. 150992.35 tons of CO2 equivalent 2959.49 tons of CO2 equivalent 148032.87 tons of CO2 equivalent
Greenhouse Gas Emission Greenhouse Gas Emission
Reductions Intensity
Fifth District Branch Flood Third District Branch Flood 38504.90 tons of CO2 equivalent 9.59 tons of CO2 per million yuan of revenue|
Prevention Emergency Drill Control Emergency Drill
3 Statistical Scope: Market Operations Business Line and Hotel Business Line
Reducing Greenhouse Gas Emissions
In response to the CPC Central Committee and the State Council's decisions on "carbon peak and carbon neutrality"
to build first-class sustainable development capabilities maximize the development and utilization of green energy
and demonstrate state-owned enterprise responsibility and leadership in energy conservation and emission reduction
CCC Group actively plans new energy projects creating the Yiwu International Trade City Comprehensive Building
Impact Risk and Opportunity Management Smart Energy Demonstration Project which includes photovoltaic power stations chemical energy storage charging
piles phase-change cold storage devices air conditioning energy management systems smart lighting systems and
Yiwu CCC incorporates climate change risks into the Company's risk assessment and control system systematically a comprehensive energy smart management platform. In 2022 this project was listed by the Zhejiang Provincial
identifies and analyzes climate risks and opportunities faced by the Company's business and operations proactively Development and Reform Commission as a park-level source-grid-load-storage integrated demonstration project.formulates response policies and measures and seizes value creation opportunities. The implementation of the Yiwu International Trade City Comprehensive Building Smart Energy Demonstration
Project not only reduces energy investment costs for the group but also serves as a model for the promotion and
Climate Change Risk Management Process development of new energy achieving good social benefits. As of the end of 2024 the group's distributed
photovoltaic power station installed capacity reached 65.77MWp including 35.74MWp in the International Trade
Risk Identification City area 1.9MWp in Huangyuan Garment Market 2.63MWp in the International Production Materials Market
Collaborate with third-party experts to identify physical risks transition risks and opportunities based on national 1.6MWp in the Mall Entrepreneurship Park and Hengfeng Warehouse and 23.9MWp in the Comprehensive Bonded
laws policies global sustainability trends and company specifics laying groundwork for subsequent risk assessment Zone.and management. As of the end of 2024 the total power generation of the Group's distributed photovoltaic power stations was
Risk Assessment approximately 46.9 million kWh of which the International Trade City area generated about 35.05 million kWh Huangyuan Garment Market about 2 million kWh International Production Materials Market about 2.8 million kWh
Based on the Company's actual operations conduct a comprehensive assessment of potential climate risks and Mall Entrepreneurship Park and Hengfeng Warehouse about 1.7 million kWh and the Comprehensive Bonded Zone
opportunities evaluating the impact cycle of climate change risks and opportunities and their potential major financial about 5.35 million kWh (connected to the grid in batches from September to October).impacts.Risk Response Second District Market Photovoltaic Power Station
Based on the results of risk assessment the Company develops targeted risk response strategies and measures to
effectively mitigate the adverse impacts of climate change risks on its operations and financial condition. Meanwhile
the Company continuously monitors risk exposure and evaluates management measures to ensure effective climate
change risk management.Indicators and Objectives
The Company continuously improves its climate change management system sets a goal of reducing carbon dioxide
emissions per 10000 yuan of revenue year by year and formulates a series of energy-saving and consumption-
reducing measures to implement them in operational processes.Zhejiang China Commodities City Group Co. Ltd. * Compliance Governance * Environmentally-friendly * Focused on Innovation * People-oriented
to Build a Clean State-Owned Enterprise to Guard Our Homeland to Provide Supervior Service to Build a Better Society Together 2024 Environmental Social and Governance Report
Resource Management Impact Risk and Opportunity Management
Energy Utilization Risk Timely track government policies respond to regulatory requirements and confirm the
Identification energy indicator requirements issued by regulatory authorities for the year/quarter/month.Governance
Yiwu CCC continues to promote the construction of a green system strictly complies with energy conservation laws Annually record the Company's energy consumption in ledgers review whether recent data
and regulations such as the "Energy Conservation Law of the People's Republic of China" improves the energy Risk exceeds regulatory requirements preliminarily estimate current or next year's energy use
management system formulates a series of energy management regulations establishes energy management Assessment assess compliance with regulations and develop energy-saving plans with corresponding
organizations such as energy conservation inspection teams sets up energy performance assessments and regularly measures.conducts energy conservation training to enhance energy conservation and emission reduction improve energy
utilization efficiency and contribute to saving resources and reducing carbon emissions.Systems Related to Energy Utilization Risk Reduce the Company's energy consumption and save energy through energy-saving
Response equipment upgrades energy-saving awareness campaigns and the use of clean energy."Energy Management System" "Energy Consumption Statistics and Analysis System" Indicators and Objectives
"Energy Measurement Management System" "Energy Conservation and Emission Reduction Plan"
"Energy Use Training and Promotion System" "Energy Use Reward and Punishment System" Indicator: Energy consumption per 10000 yuan of revenue. Objective: Decline year by year. Achievement Status:
"Energy Conservation Manual" "Energy Conservation Target Responsibility System" In progress
Indicators Unit 2024
Gasoline Liter 36097.36
Strategy Natural gas Cubic meter 1331919.09
Fossil fuel consumption Ton of standard coal 1809.96
Risk/Opportunity Risk/Opportunity Financial Impact Impact Total purchased electricity Kilowatt-hour (kWh) 275871910.44
Type Description Description Cycle4 Countermeasures Electricity and heat consumption Ton of standard coal 33904.66
Firmly establish the concept Total non-renewable energy consumption Ton of standard coal 35714.62
Energy consumption Excessive energy use of green development
Compliance exceeding regulatory leads to fines and Short to actively promote the
Clean energy usage (photovoltaic power Kilowatt-hour (kWh) 46900000
Risk risks limits may risk fines or increases operational medium Company's energy
generation)
term
operational disruptions costs. conservation efforts; optimize energy use structure and Renewable energy consumption volume Ton of standard coal 5764.01
utilize clean energy. Total energy consumption Ton of standard coal 41478.63
Proportion of renewable energy consumption % 14
Short Promote the construction of
Opportunity Energy Vigorously develop Reduce operational medium solar photovoltaic power Energy consumption intensity
Tons of standard coal per million 2.64
substitution clean energy costs. and long stations use clean energy and yuan of revenue
term reduce energy consumption.
5Statistical Scope: Market Operations Business Line and Hotel Business Line
4Impact CycleDefinition: Short term: within 1 year; Medium term: 1 to 5 years; Long term: over 5 years.Zhejiang China Commodities City Group Co. Ltd. * Compliance Governance * Environmentally-friendly * Focused on Innovation * People-oriented
to Build a Clean State-Owned Enterprise to Guard Our Homeland to Provide Supervior Service to Build a Better Society Together 2024 Environmental Social and Governance Report
Indicators and Objectives Green Offices
Yiwu CCC upholds the concept of green office and implements environmental protection measures in daily
The Company adheres to green principles emphasizes energy conservation and consumption reduction focuses on operations. To reduce energy use and carbon emissions the Company encourages employees to adopt green travel
energy-saving management of public facilities and work equipment such as lighting systems office equipment and by actively advocating for the use of new energy vehicles and public transportation.appliances air conditioning and elevators while actively conducting energy-saving training and promotion to
enhance employees' awareness of energy conservation and environmental protection.Green Exhibition
Widely replacing with low-energy long-life LED lighting saving 50% to 80% energy
Energy-Saving compared to traditional incandescent and fluorescent lamps; installing smart voice- In 2021 the State Council issued the "Guidance on Accelerating the Establishment and Improvement of a Green
Green Exhibition controlled lighting systems in stairwells to automatically adjust based on usage and time in Low-Carbon and Circular Development Economic System" clearly requiring "promoting the green development of
Lighting System different areas the exhibition industry guiding the formulation of relevant green standards and promoting the circular use of
Brightness. exhibition facilities." CCC Exhibition actively responds to the call for green exhibitions emphasizing environmental
protection throughout the entire process of setup exhibition and dismantling using green materials conserving
energy and resources and reducing the generation of pollutants and solid waste.Office Equipment Requiring employees to turn off computers printers copiers etc. when leaving the office
and Appliance to reduce standby power consumption; selecting Energy Star-certified energy-efficient
Energy Efficiency office equipment to ensure productivity while lowering energy use. CCC Exhibition’s Green Exhibition Measures
Air Conditioning Regularly clean and maintain air conditioning equipment to ensure efficient operation and Exhibition Setup Phase
System Energy avoid increased energy consumption due to filter clogging; air handling units apply variable
Efficiency air volume adjustment technology with temperature control in each season and area
The exhibition venue operator leads the organization of "Green Exhibition" training for organizers
according to standards. and contractors requiring them to fully implement and promote the "Green Exhibition" concept
throughout their internal processes. Through strong economic measures the Company guides
Elevator Energy The elevator motor drive system adopts variable frequency speed control or similar energy- exhibitors and individuals to use recyclable reusable and low-emission renewable materials
Conservation saving designs. promoting the overall construction of "green venues." By raising the entry threshold for booth
construction it firmly curbs energy consumption and pollution at exhibition sites.Energy Facility Timely switching on/off lights in public areas; turning off lights when leaving office duty
Exhibition Phase
Management areas; adjusting natural gas temperature seasonally; promptly closing valves after kitchen use and reporting anomalies. Prioritize eco-friendly technologies processes equipment and materials maximize energy and
resource utilization reduce pollutants and solid waste generation promote the use of degradable
acetate paper tape and plant starch film tape and prohibit high-pollution exhibition materials to drive
Training and Enhance employees' energy-saving awareness and conduct regular energy-saving training corporate green transformation; strictly control the use of odorless inks and non-irritating gases in
Promotion and publicity. painting and printing ensure construction personnel take appropriate labor protection measures based
on the construction environment and venue; introduce national mandatory product certification
standards for exhibition construction materials through standardized management to reduce energy
CCC Hotel Uses Energy-Saving Equipment and Implements consumption.Intelligent Management Exhibition Dismantling Phase
Encourage green dismantling standardize the dismantling procedures for exhibitors and construction
units while strengthening on-site inspections to urge them to control noise pollution reduce dust
generation and harmful gas emissions and properly recycle reusable components and decorative
materials according to operational standards; require exhibitors and construction units to transport
and properly dispose of solid waste after the exhibition; renovate garbage transfer stations strictly
implement the four-category waste sorting method and introduce professional teams for standardized
management to avoid secondary pollution.Zhejiang China Commodities City Group Co. Ltd. * Compliance Governance * Environmentally-friendly * Focused on Innovation * People-oriented
to Build a Clean State-Owned Enterprise to Guard Our Homeland to Provide Supervior Service to Build a Better Society Together 2024 Environmental Social and Governance Report
Green Design Indicator 6 Unit 2024
Yiwu CCC actively promotes green building development strictly controlling environmental management Fresh Water Consumption (Municipal Water Tons 2274239.26
throughout the building's lifecycle from design to operation in compliance with national and industry standards such Supply)
as the "Green Building Evaluation Standard." Under the premise of ensuring basic requirements like quality and
safety it maximizes resource conservation and minimizes environmental impact achieving true harmony between Recycled Water Volume (Reclaimed Water Reuse) Tons 1014403.00 architecture and nature.The Company implements quality and safety supervision and inspection for ongoing construction projects Total Water Consumption Tons 3288642.26
conducting comprehensive oversight in areas such as safe and green civilized construction technical quality on-site
construction and cost control. It promptly communicates the standardized management requirements for ongoing
projects from higher authorities such as the Municipal Construction Bureau and Quality Supervision Station Proportion of Recycled Water Usage % 31
formulates relevant internal regulations achieves green production and reduces pollution impacts caused by
construction. Water Resource Consumption Intensity Tons per million
The Company's hotels with "green experience" at their core explore quantifiable low-carbon solutions for hotels yuan of revenue
208.98
build a green and low-carbon hotel industry chain and supply chain promote the green and low-carbon transformation 6
of hotels and jointly create a better life. In terms of green building the Company expands the application of eco- Statistical Scope: Market Operations Business Line and Hotel Business Line
friendly materials and implements a "modular construction plan" through modular design and assembly dynamically
adjusting the size and dimensions of components to achieve rapid and precise replication improve construction Water-Saving Measures
efficiency and reduce waste generation.Case Case Study: Green Building Design of CCC Hotel Market Operations Business Line
CCC Hotel conducts green building design in accordance with standards such as the "Thermal Design Code for Civil
Buildings" (GB50176-93) "Energy Efficiency Design Standard for Public Buildings" (GB50189-2005) Zhejiang * Distribute water-saving brochures leverage Water-Saving Awareness Week and the opportunity to create water-
Province's "Energy Efficiency Design Standard for Public Buildings" (DB33/1036-2007) and "Grading and Testing efficient cities and strengthen publicity through display windows electronic screens broadcasts and WeChat
Methods for Air Tightness Water Tightness and Wind Resistance of Building External Windows and Doors" to enhance tenants' water-saving awareness.(GB/T7106-2008). It selects and evaluates building materials and structural systems and performs energy-efficient * Advancing water-saving technological upgrades installing water tanks on cooling towers to recycle air
design for building volume shape and envelope. conditioning water renovating bathroom water supply and drainage pipelines and fixtures adopting water-
saving methods like foam flushing controlling water supply to sanitary fixtures and installing sensor faucets.* Pay attention to water usage details avoid "long-running water" in restrooms and set up water-saving reminders;
use rainwater or reclaimed water for landscaping adopting water-saving irrigation methods like sprinklers;
strengthen cleaning supervision facility maintenance and regular meter reading analysis.* The maintenance center regularly inspects water equipment and facilities to prevent leaks and spills; implements
scientific management criticizes and penalizes departments and individuals with severe waste; advocates for
secondary and multiple water usage to improve water resource utilization efficiency.Water Resource Utilization 6Statistical Scope: Market Operations Business Line and Hotel Business Line.Yiwu CCC strictly complies with laws and regulations such as the "Water Law of the People's Republic of China"
actively responds to the "Action Plan for Water Pollution Prevention and Control" issued by the State Council Hotel Business Line
formulates systems including the "Water Conservation Management System" "Water Conservation Target
Responsibility and Assessment System" and "Water Usage Reward and Penalty System" establishes a water
conservation leadership group and a water conservation supervision team continuously promotes comprehensive * Using TOTO water-saving aerators in guest rooms and public areas to control flow; installing sensor faucets
water resource management conducts regular drinking water testing and ensures drinking and water usage safety. in public restrooms and kitchens.At the same time the Company continues to respond to the dual-control targets for total water use and intensity issued * Strengthening water conservation in restrooms by preventing "long-running water" and setting up reminders;
by the National Development and Reform Commission during the 14th Five-Year Plan period saving water through maintaining facilities diligently to eliminate leaks; conducting regular meter readings and analysis.measures such as water-saving appliances and reclaimed water reuse strictly preventing water resource waste. During * Each department appoints dedicated water conservation officers to monitor water usage with flow restrictors
the reporting period the Company's water supply was entirely sourced from municipal water. The Company regularly installed in certain areas.commissions third-party professional agencies to clean domestic water tanks requiring cleaning units to provide * Standardizing water-saving cleaning methods in Chinese and Western kitchens; engineering duty engineers
qualification certificates and cleaning personnel to provide health certificates conducts secondary water supply inspect at least twice daily and report issues.testing and issues an "Inspection and Testing Report." Water supply can only continue if the secondary water quality * Establishing a water usage assessment mechanism to encourage employee water conservation.meets standards.Zhejiang China Commodities City Group Co. Ltd. * Compliance Governance * Environmentally-friendly * Focused on Innovation * People-oriented
to Build a Clean State-Owned Enterprise to Guard Our Homeland to Provide Supervior Service to Build a Better Society Together 2024 Environmental Social and Governance Report
Case Forth District Market Water Reuse Yandoo Hotel Water Conservation Training
Four rainwater collection pools are installed around the Forth District Market to recycle roof rainwater for irrigation
saving approximately 36400 tons of water annually. In 2019 the Forth District Branch carried out repairs on the
leaking chassis of four air conditioning cooling towers at the Forth District Market and installed five recycling water
tanks to reuse air conditioning makeup water. These were put into operation in May 2020 saving approximately
20800 to 26000 tons of water annually.
Water supply Cooling tower Overflow water
CCC Hotel Water Conservation Training
Circulating water Cooling tower
Cooling Tower Return Water Tank Operation Schematic Diagram
Case Yandoo Hotel Water Conservation Campaign Yandoo Hotel Water Conservation Campaign
Water Conservation Campaign
at Yixi Market
Yandoo Hotel has been utilizing an underground garage rainwater collection and reuse system since August 1 2022
channeling building rainwater into storage tanks for repeated use in landscape irrigation. As of the reporting period
end a total of 3521 tons of water resources have been recycled.Yandoo Huayue Hotel Rainwater Collection Schematic Diagram
Rainwater storage tank for project area
Clear water
Rainwater Rainwater Hotel greenery sprinkler irrigation
collection well storage tank Third District Market Water Conservation Campaign
Hotel fountain water
Sewage Overflow
debris device Overflow
device
Rainwater drainage pipeZhejiang China Commodities City Group Co. Ltd. * Compliance Governance * Environmentally-friendly * Focused on Innovation * People-oriented
to Build a Clean State-Owned Enterprise to Guard Our Homeland to Provide Supervior Service to Build a Better Society Together 2024 Environmental Social and Governance Report
Environmental Management Wastewater and Exhaust Gas Management Objectives
Environmental Compliance Management Objectives Achievement Status
Yiwu CCC strictly complies with laws and regulations such as the Environmental Protection Law of the People's 100% Compliant Treatment of Wastewater Achieved
Republic of China and the Environmental Impact Assessment Law of the People's Republic of China prioritizes
environmental management leads with green development operates the environmental management system 100% Compliant Treatment of Waste Gas Achieved
efficiently and continuously improves management systems formulates regulations like the Environmental
Management Operation Manual establishes environmental management organizations actively engages in
environmental practices and achieves dual benefits of corporate and ecological value. As of the end of the reporting
period Supply Chain Company and CCC Exhibition have obtained ISO14001:2015 Environmental Management In 2024 the Company only generated domestic wastewater all of which was treated in compliance with
System certification. regulations before being discharged into the municipal pipeline network. The industrial wastewater discharge was 0 tons ammonia nitrogen emissions were 0 tons and chemical oxygen demand emissions were 0 tons.To properly address local or regional environmental pollution accidents caused by sudden environmental pollution
or ecological damage and ensure rapid and effective on-site emergency response the Company has formulated the
"Environmental Risk Emergency Plan" based on laws and regulations such as the "Environmental Protection Law of
the People's Republic of China" and national standards enhancing environmental emergency management to ensure Wastewater Management Measures
orderly rescue operations with the fastest speed and efficiency minimizing environmental impact. Additionally the
Company has established a specialized command agency responsible for emergency command in environmental
pollution incidents clearly defining departmental responsibilities and member roles. Before project commencement Market Operations Business Line
the Company promptly conducts environmental impact assessments for construction projects. During the reporting
period the Company did not incur any environmental penalties or violations. * Each unit established a "Five Waters Governance" task force to inspect grease traps at dining outlets weekly;
To deeply instill environmental awareness and implement environmental actions the Company continuously conduct monthly inspections of peripheral rainwater and sewage wells water supply pipelines drainage
educates employees on environmental protection during the establishment of the environmental management system equipment maintenance basement and drainage ditch checks basement sump inspections and roof siphon
to enhance their awareness and capabilities. During the reporting period the Company conducted a series of inspections; regularly clean peripheral rainwater wells and basement sumps and organize flood prevention drills.environmental training and promotional activities. In 2024 the Company's total environmental protection investment * Conduct safety inspections of stormwater and sewage pipelines through daily annual and special inspections
was 124.585 million yuan. checking for mutual leakage between stormwater and sewage wells sediment and debris accumulation and
pipeline patency to ensure normal operation and establish a long-term management mechanism.
7Environmental protection investment statistics: Wages of market cleaning staff renovation and minor repair Hotel Business Line
expenses of various markets.Pollutant Emissions * Conduct inspections and rectifications for the "Five Waters Governance" initiative establish and improve a grid-based management system implement the responsibility system for governance objectives assess relevant
personnel according to the hotel's evaluation system to ensure "separate drainage of rainwater and sewage
intercept and divert pollutants." Rainwater is discharged into the municipal stormwater network while sewage
Yiwu CCC's operations do not involve direct production Wastewater Management Measures and wastewater are discharged into the municipal sewage network. Rainwater discharge meets the
with no industrial wastewater or exhaust gases generated
"Five Waters Governance Inspection System" "Environmental Quality Standards for Surface Water" (GB3838-2002) and sewage discharge complies with the only domestic wastewater and exhaust gases. The tertiary standard of the "Integrated Wastewater Discharge Standard" (GB8978-1996).Company strictly complies with laws and regulations such "Hotel and E-commerce Park Wastewater Pipeline * Wastewater from all kitchens is discharged into the municipal sewage network after oil separation treatment
as the "Water Pollution Prevention and Control Law of the Management System" and toilet wastewater is discharged into the municipal sewage network after septic tank treatment as required.People's Republic of China" and "Air Pollution Prevention Drainage ditches and sewers in kitchens and bathrooms are regularly cleaned according to usage conditions to
and Control Law of the People's Republic of China" "Five Waters Governance Management System" ensure patency and no blockage; sewage wells septic tanks and grease traps should be regularly cleaned and
establishing relevant internal management systems for the
"Five Waters Governance Inspection and maintained to prevent accumulation and overflow. wastewater and exhaust gases generated during operations.Each unit has set up a "Five Waters Governance" (tackling Rectification System" * Use phosphorus-free cleaning products strictly prohibit the use of phosphorus-containing cleaning products
sewage preventing floods draining waterlogging securing "Pollution Prevention Management System" and control the usage of other cleaning products.water supply and promoting water conservation) task force
to oversee wastewater treatment regularly commissioning "Wastewater Discharge Compliance System" * Strictly maintain and repair drainage facilities to ensure their proper functioning; conduct regular inspections of
third-party professional agencies to test wastewater and the "Five Waters Governance" in the jurisdiction and periodic checks of the drainage network. In case of
exhaust gases ensuring the normal operation of emergencies affecting the safe operation of sewage treatment facilities take immediate emergency measures
environmental protection facilities and the compliant and report promptly according to the group and hotel's emergency information reporting system.discharge and disposal of wastewater and exhaust gases.During the reporting period the Company and its
subsidiaries were not listed as key pollutant discharge units
by environmental protection authorities and no penalties
or violations related to pollutant emissions occurred.Zhejiang China Commodities City Group Co. Ltd. * Compliance Governance * Environmentally-friendly * Focused on Innovation * People-oriented
to Build a Clean State-Owned Enterprise to Guard Our Homeland to Provide Supervior Service to Build a Better Society Together 2024 Environmental Social and Governance Report
Exhaust Gas Management Measures Case Reducing Pollutant Emissions
The exhaust gases generated during Yiwu CCC's operations are mainly unorganized cooking fumes. The Company
has installed digital fume purifiers in all canteens and catering establishments to promptly treat the generated fumes
ensure compliant emissions digitally monitor the discharged fumes and regularly clean the fume purifiers. In 2024 the Company generated 46.9 million kWh of photovoltaic power reducing nitrogen oxide emissions by 6.24
tons sulfur dioxide emissions by 3.89 tons and dust emissions
Exhaust Gas Test Digital range hood purifier by 0.59 tons.Regularly commission third-party professional institutions to test
domestic sewage to ensure compliance with discharge standards. In
addition all units must obtain an Urban Sewage Discharge Permit
before discharging wastewater into urban drainage facilities.Wastewater Test
Waste Management
Regularly commissions third-party professional institutions to inspect
boiler exhaust kitchen fumes and fume purification equipment to Yiwu CCC strictly complies with the Law of the People's Republic of China on the Prevention and Control of
ensure compliant emissions. Environmental Pollution by Solid Waste the Technical Guidelines for Solid Waste Treatment and Disposal
Engineering and other relevant laws and regulations and places great emphasis on waste treatment. The main waste
generated during the Company's operations includes domestic waste and hazardous waste from office activities
perishable waste from hotel and Market Operations and construction waste from projects. The Company engages
third-party professional agencies to regularly ensure 100% compliant waste disposal. In 2024 the Company achieved
Case Ocean Hotel Conducted Environmental Testing its waste management goals of 100% compliant treatment or recycling of general waste and 100% compliant disposal
of hazardous waste.In 2024 Ocean Hotel conducted one inspection and testing of the centralized air conditioning ventilation system one
inspection of indoor air and customer utensils one inspection of cooking oil fumes one inspection of rainwater and Grease Trap Cleaning and Maintenance
one inspection of domestic sewage.Hire third-party professional institutions to regularly clean and maintain grease traps transport the removed waste to
designated garbage transfer stations and sign the "Grease Trap Cleaning and Maintenance Service Agreement."
Rainwater Test Report Domestic Sewage Test Report Cooking Fume Exhaust Test Report
Domestic Waste Disposal
Engage third-party professional agencies sign contracts such as "Waste Disposal Service Agreement" and "Waste
Collection and Transportation Service Agreement" aiming for reduction recycling and harmless treatment adapting
to local conditions reducing at the source comprehensive utilization and scientific management to ensure all waste
is collected sorted and cleared daily; and equip facilities for classified waste disposal collection transportation and
treatment.* Collect and transport sorted waste by category after classification;
* Transport recyclables to resource recovery processing units;
* Hazardous waste is collected by domestic waste collection and transport units and then entrusted to licensed
hazardous waste management companies for transportation
* Other waste is collected and transported daily on schedule to the designated regional waste treatment terminal
* The waste collection and transportation process is managed in a closed manner; waste transported directly
without compaction vehicles should be sealed to prevent secondary pollution.Zhejiang China Commodities City Group Co. Ltd. * Compliance Governance * Environmentally-friendly * Focused on Innovation * People-oriented
to Build a Clean State-Owned Enterprise to Guard Our Homeland to Provide Supervior Service to Build a Better Society Together 2024 Environmental Social and Governance Report
Harmful Domestic Waste
Third District Market Fifth District Market
Garbage Sorting Point Garbage Sorting Point
Engage third-party professional agencies sign "Hazardous Waste Removal Service Contracts" and conduct
scheduled collection and removal of hazardous waste at designated points including but not limited to waste batteries
(nickel-cadmium mercury oxide lead-acid etc.) waste fluorescent tubes (incandescent energy-saving lamps etc.)
waste thermometers waste blood pressure monitors waste medicines and their packaging waste paint solvents and
their packaging waste pesticides disinfectants and their packaging waste film and waste photo paper.Perishable Waste Disposal
A professional renewable resource utilization company is hired to centrally collect transport and dispose of kitchen
waste (food waste kitchen waste and gutter oil) in compliance with the Law of the People's Republic of China on
the Prevention and Control of Environmental Pollution by Solid Waste Yiwu City Food Waste Management
Measures and other relevant laws regulations and documents as required by government authorities.Binwang Market Office Discipline Inspection
Garbage Sorting Office Garbage Sorting
Construction Waste Removal
Hire professional construction waste removal companies sign "Construction Waste Removal Contracts" and
transport construction waste (including renovation waste) according to government-approved routes and disposal
sites.Garbage Classification
Yiwu CCC conducts market sanitation management in accordance with the standards of a four-star scenic area
strictly adheres to the municipal urban domestic waste classification standards and work assessment index system
requirements implements "dedicated personnel for dedicated posts" at waste sorting points achieves source
classification of waste collection and strengthens market waste classification efforts. Additionally the Company Second District Market
adheres to the "Seven Problem Lists" as a guide improves the "mirror reflection" mechanism conducts routine Garbage Sorting Campaign
sorting identification and resolution of risks related to waste classification based on the lists carries out regular
special inspections and training on waste classification and implements closed-loop problem management.Case Ocean Hotel Garbage Classification and Management Work
To promote hotel waste classification and disposal Ocean Hotel formulated documents such as the "2024 Ocean
Hotel Domestic Waste Classification Annual Work Plan" and the "Ocean Hotel Garbage Classification Target
Responsibility Agreement" and issued notices such as the "Ocean Hotel Action Plan for Mandatory Domestic Waste
Classification" and the "Ocean Hotel Notice on Strictly Implementing Provincial Waste Classification
Requirements." Focusing on the work requirements of "controlling increase promoting reduction and improving
quality" in domestic waste classification the hotel achieved full coverage of mandatory waste classification
improved classification accuracy strengthened publicity and education enhanced supervision and assessment
consolidated employees' classification awareness fostered a participatory atmosphere and better supported Yiwu's Third District Market
efforts in building a civilized city. Garbage Sorting Campaign
* Develop practical work plans based on departmental realities integrate waste classification into daily
management conduct ongoing thematic campaigns and provide regular training to ensure everyone practices
waste classification.* Allocate sufficient waste classification collection containers and temporary storage spaces based on local
conditions collaborate with qualified agencies for regular collection and transport of hazardous and recyclable
waste and ensure perishable and other waste is cleared daily.* Ensure thorough publicity mobilize employees to actively participate achieve 100% awareness and
participation rates in waste classification and organize at least one waste classification training session per
month.Zhejiang China Commodities City Group Co. Ltd. * Compliance Governance * Environmentally-friendly * Focused on Innovation * People-oriented
to Build a Clean State-Owned Enterprise to Guard Our Homeland to Provide Supervior Service to Build a Better Society Together 2024 Environmental Social and Governance Report
Case Case Study: Yandoo Hotel Creates a Zero-Waste Hotel
Yandoo Hotel Garbage
Sorting Training In June 2000 Yandoo Hotel was awarded the honorary title of "Zhejiang Province's First Batch of Green Hotels."
The hotel established mechanisms for long-term management formed a leadership group for waste-free construction
and effectively advanced waste-free initiatives and waste classification. Through hosting relevant lectures and setting
up promotional displays the hotel fostered a green mindset among its staff. In 2023 Yandoo Hotel was rated as a
"Zero-Waste Hotel."
Case Case Study: The Second District Market Creates a Zero-Waste Business District
To advance the construction of "Zero-Waste City Cells" embed the concept of "Zero-Waste City" in people's minds
strengthen target management and foster effective working mechanisms and collaboration among departments the
International Trade City Second District Market established a "Zero-Waste Business District" construction leadership
group optimizing governance models and exploring the potential of "zero-waste" to promote the development of the
"Zero-Waste Business District" in line with the commercial characteristics of the International Trade City.The Second District Market regularly conducts public welfare activities promoting the concept of "Zero-Waste City" Circular Economy
construction through LED electronic screens inside and outside the market public accounts etc. advocating for Yiwu CCC always adheres to the concept of a circular economy committed to promoting the efficient use of
waste classification recycling of renewable resources energy conservation and emission reduction and resource resources and the sustainable development of the environment achieving a win-win situation for economic benefits
utilization conveying the "zero-waste" concept to the public and international friends. Furthermore the Company and environmental protection. During production and operations the Company actively adopts renewable materials
collaborates with environmental groups to integrate market waste management into a digital system enabling full- emphasizes waste reduction reuse and recycling strives to minimize resource consumption and maximizes resource
process supervision of waste handling. It also partners with power companies to create a smart energy comprehensive utilization efficiency.management platform achieving multi-energy coordination and efficient utilization of energy resources.Material Management
In terms of green operations the Company's hotels have introduced eco-friendly solutions including phasing out
single-use plastics replacing plastic packaging for guest amenities with renewable biodegradable materials and using
green non-toxic raw materials to provide customers with healthy environmentally friendly products and services.Additionally through training and other means the Company enhances the awareness of employees franchisees and
supply chain partners about sustainability to achieve energy conservation and consumption reduction.Case Case Study: Material Reuse in CCC Hotel’s Projects
CCC Hotel is dedicated to reducing material and component procurement costs striving to achieve both
environmental and economic benefits. Under the premise of ensuring safe equipment operation when replacing
complete components staff carefully clean and lubricate the removed usable parts before uniformly storing them on
designated shelves. They also regularly organize items on the shelves promptly disassemble available components
and properly store them by category and zone. On the other hand it enhances employees' awareness of energy
conservation and consumption reduction actively conducts training on material repair and reuse skills and ensures
employees master these skills to better adhere to the principle of repairing and reusing old materials. This includes
secondary inspection and repair of materials replaced during emergency maintenance enabling their reuse and
effectively reducing engineering material costs.Zhejiang China Commodities City Group Co. Ltd. * Compliance Governance * Environmentally-friendly * Focused on Innovation * People-oriented
to Build a Clean State-Owned Enterprise to Guard Our Homeland to Provide Supervior Service to Build a Better Society Together 2024 Environmental Social and Governance Report
Paper Recycling Building a New Energy Trading Market
The Company actively promotes paperless operations requiring employees to utilize digital technologies for
document management and communication to reduce paper consumption. For unavoidable paper usage the Company Yiwu CCC actively builds a new energy trading market committed to promoting green low-carbon and sustainable
also advocates the use of recycled paper to lessen dependence on forest resources. energy transformation constructing an open transparent efficient and fair trading platform where various new
energy producers consumers and investors can freely trade achieving optimal resource allocation and through
market mechanisms better stimulating the development vitality of the new energy industry promoting the
Yiwu International Expo Center Hotel Paper Conservation Measures optimization and upgrading of the energy structure.* Implement a duplex printing and CCC Hotel Recycled Paper Collection Bin Yandoo Hotel Paper Conservation Slogans The New Energy Product Market in the east of the Second District of Yiwu International Trade City officially opened
copying system. on March 17 2023 with a construction area of nearly 130000 square meters and over 700 shops. It brings together
more than 10000 products from over 200 brands across several major categories including photovoltaic modules
* Encourage employees to use energy storage systems and new energy vehicles primarily serving countries in the Middle East Africa Southeast
electronic documents for office Asia and South America. From its inception the market placed high importance on digital and intelligent applications
processes such as file circulation and exploring an innovative "market + digital" model. It features comprehensive supporting services including public
approval. facilities such as new energy vehicle charging stations and an immersive new energy experience plaza. The second
* Using electronic displays instead of floor houses a new energy vehicle exhibition area exceeding 2000 square meters introducing 10 new energy vehicle
paper posters for hotel internal brands thereby enriching the market's business ecosystem.notifications and promotions. The New Energy Product Market in the east of the Second District strives to integrate Yiwu Market's robust new
energy application product innovation R&D system leveraging Yiwu's foreign trade passenger flow and strong
comprehensive foreign trade service advantages to build the world's first one-stop procurement platform for new
energy product series forging the new energy product market into a "new engine" for high-quality development in
the new energy industry.Ecosystem and Biodiversity Protection In 2024 the Sampled Transaction Volume in the New Energy Product Market in
Yiwu CCC strictly complies with environmental protection laws and regulations. The Company's operations do not the East of the Second District Was 2.821 Billion Yuan with the New Energy Sector
directly impact ecosystems biological species and their habitats or genetic resources nor do they cause damage to Alone Accounting for 1.387 Billion Yuan.ecosystems or biodiversity. In the site selection process for company projects areas such as nature reserves key
ecological function zones or other regions with significant biodiversity value are avoided to prevent damage to local The establishment of a new energy trading market facilitates the rapid development of the new energy industry drives
water sources and ecosystems. During construction and operation greening is carried out based on the surrounding economic growth and helps reduce corporate energy costs while improving economic efficiency. Through market-
planting characteristics and ecological environment to avoid impacts on soil and groundwater. based trading new energy can be produced and supplied more flexibly according to market demand avoiding
resource waste and idling. Additionally new energy sources have advantages such as wide distribution renewability
and pollution-free characteristics. The establishment of a new energy trading market helps accelerate the transition
from traditional to new energy contributes to achieving carbon neutrality goals and supports environmental
protection and climate change mitigation.Zhejiang China Commodities City Group Co. Ltd. 2024 Environmental Social and Governance Report
Focused on Innovation
to Provide Supervior
Service
Yiwu CCC is committed to building a comprehensive
payment platform providing global merchants with
convenient and secure payment experiences. We
actively encourage technological innovation ensure
information security leverage strong resource
integration capabilities to achieve efficient logistics
connections guarantee smooth supply chain
operations and further consolidate and enhance our
leading position in the global payment sector.Response
to
Products Innovation and Peace Justice and Partnerships for the
Infrastructure Strong Institutions Goals
Innovation-Driven 70
Safety and Quality of Products
and Services 78
Information Security &
Customer Privacy Protection 91
Responsible Supply Chain
Management 94
Building a Higher-Level
International Trade Gateway 99R&D Team
Product Team
Test Team
BI
Development
Team
Web
Development
Team
Server
Development
Team
Design Team
Product Team
Zhejiang China Commodities City Group Co. Ltd. * Compliance Governance * Environmentally-friendly * Focused on Innovation * People-oriented
to Build a Clean State-Owned Enterprise to Guard Our Homeland to Provide Supervior Service to Build a Better Society Together 2024 Environmental Social and Governance Report
Innovation-Driven Big Data Company has established a research center comprising Applied R&D Core R&D and Hangzhou R&D departments. Through active operations the Company gains better market insights and develops products that meet
market demands.Governance Yiwu China Commodities City Big Data Co. Ltd.Yiwu CCC adheres to innovation-driven development as the core of corporate growth anchoring the strategic goal
of becoming a "Famous Trade Service Platform." Under the framework of a unified national market it coordinates
the promotion of market innovation and corporate transformation breaks through the physical limitations of External R&D Center Technical
traditional business with digital reforms enhances technological and product innovation capabilities expands market Experts Director
development efforts and continuously improves informatization and intelligent management levels.Product Technology Hangzhou
Dept. Dept. R&D Center
R&D System
The Company places high importance on R&D innovation with its subsidiary Big Data Company serving as the
centralized unit for the Company's R&D activities. It bears the critical mission of integrating R&D resources and
guiding innovation direction playing a pivotal role in promoting the deep integration of technological innovation and
business development. Big Data Company has established a comprehensive system framework including
management systems training systems evaluation systems incentive measures and talent recruitment and
cultivation systems. This ensures the scientific and orderly execution of all technical research activities
comprehensively enhances the overall professional technical level of the Company's R&D center strengthens the
Company's core competitiveness and sustainable development capabilities in the innovation field and lays a solid R&D Personnel Structure
institutional foundation for the Company's steady progress in the wave of technological innovation. The Company's
innovation capabilities have been strongly certified with three subsidiaries Big Data Company Kuaijietong and
Yiwugou recognized as high-tech enterprises.
193 5.93% 113 people
R&D Innovation Systems 30-40 (including 30 excluding 40)
23 people
"R&D Project Management System" 40-50 (including 40 excluding 50)
57 people
"R&D Investment Accounting System" Under 30 (excluding 30)
"Organizational Management and Incentive Measures for Scientific Total Number of R&D Proportion of R&D By Age Group
and Technological Achievements Transformation" Personnel Personnel
"R&D Expense Subsidiary Ledger System"
"R&D Center Management System"
"Performance Evaluation and Incentive System for Scientific and
Technical Personnel" 56 women 143 bachelors 52
"Management System for Innovation and Entrepreneurship Platform 12 masters
Construction" 1 doctor
"Training and Further Education System for Scientific and Technical 137 men 37 below bachelors
Personnel"
"Training Management System for Scientific and Technical By Gender By Education Level Number of Core Technical
Personnel" Personnel
"Management System for the Recruitment of Scientific and Technical
Talents"Zhejiang China Commodities City Group Co. Ltd. * Compliance Governance * Environmentally-friendly * Focused on Innovation * People-oriented
to Build a Clean State-Owned Enterprise to Guard Our Homeland to Provide Supervior Service to Build a Better Society Together 2024 Environmental Social and Governance Report
R&D Investment Strategy
Impact
52.1895 Risk/Opportunity Type
Risk/Opportunity Financial Impact
Description Description Countermeasures Cycle
49.2984 0.65 Establish an intellectual 48.6583 0.43 Enterprises may property monitoring
encounter intellectual mechanism to promptly
0.33 Policy and property disputes Increased Short to identify and address Risk Legal Risks during technological operating costs medium infringements; hire a innovation such as term professional legal team to
patent infringement or provide legal consultation
2022 2023 2024 2022 2023 2024 trademark conflicts. and support reducing legal risks.
R&D Investment Ratio of R&D Investment to Enterprises can utilize Improve database
million yuan Operating Revenue digital technologies construction according to
artificial intelligence development needs
Service and other means to Short strengthen the R&D talent
Opportunity Innovation provide more Revenue medium team and establish strategic
Opportunities convenient efficient Increase and long partnerships with top
Construction of Innovation Platform and personalized term international customers to
service experiences achieve collaborative
thereby increasing development of platform
To accelerate the implementation of the innovation-driven development strategy promote mass entrepreneurship and customer stickiness. functions.innovation unleash the vitality of innovation and entrepreneurship across society and contribute to building a modern Impact Cycle Definition: Short term: within 1 year; Medium term: 1-5 years; Long term: over 5 years.international and innovative city Big Data Company established the "Innovation and Entrepreneurship Platform
Construction Management System" allowing eligible individuals to utilize the Company's existing infrastructure for
entrepreneurship. Big Data Company was included in the Jinhua Municipal Science and Technology Research and Impact Risk and Opportunity Management
Development Center filing list in 2023 becoming a municipal-level R&D center in Jinhua. The full name of the R&D
center is "Jinhua China Commodities City Big Data Science and Technology Research and Development Center." In Management
2024 the Company's "Zhejiang China Commodities City Digital Trade High-Tech Enterprise Research and Process
Management Measures
Development Center" was filed as a provincial high-tech enterprise research and development center.The Company in accordance with systems such as the "R&D Project Management System"
Risk and the "Innovation and Entrepreneurship Platform Construction Management System"
Identification identifies and evaluates various internal and external factors comprehensively assessing risks
related to R&D and innovation covering all stages of R&D project management.Risk Based on the Company's actual operations conduct a comprehensive assessment of risks and
Assessment opportunities evaluating the impact cycle of innovation-driven risks and opportunities as well as their potential major financial impacts.By strengthening internal control system construction standardizing operational processes
Risk Response reasonably establishing a scientific risk management system and enhancing internal supervision risks can be avoided or minimized as much as possible to ensure the Company's
safe stable and sustainable development.Zhejiang China Commodities City Group Co. Ltd. * Compliance Governance * Environmentally-friendly * Focused on Innovation * People-oriented
to Build a Clean State-Owned Enterprise to Guard Our Homeland to Provide Supervior Service to Build a Better Society Together 2024 Environmental Social and Governance Report
Indicators and Objectives Joint R&D Mechanism
The Company's technological innovation strategic objectives are as follows: Focus on the research and
application of key technologies resource allocation and risk management to achieve the goals of business innovation Industry-University-Research Collaboration
and development. The R&D strategic planning adheres to the principle of fully leveraging the "technological The Company formulated the "Industry-University-Research Collaboration Management Measures" and jointly
innovation" strategic engine increasing R&D investment improving core patent quality increasing the number of established internship bases with more than 20 higher education institutions including Zhejiang University Zhejiang
invention patent applications and promoting the implementation of achievements. It actively strengthens Gongshang University Zhejiang Normal University Jiangsu University Jiangxi University of Finance and
collaborative innovation capacity building and enhances the transformation of innovative achievements. Economics Hangzhou Dianzi University and China Jiliang University.Technical Exchange and Cooperation
Three-Year Technology R&D Plan for Big Data Company
The Company maintains long-term cooperation and exchanges with domestic large enterprises and financial
institutions and has established extensive business contact channels and information transmission networks with
2024 Build a market data-driven AI commerce model and launch AI application products covering key major universities and research institutions. commerce processes.
Industry-University-Research Collaboration
Project name Cooperative Organization
2025 Build an intelligent commerce ecosystem deepen the AI R&D system and achieve major
breakthroughs in key technological areas. Restructuring the "Yiwu-China Small
Commodity Index" data system Zhejiang Gongshang University
AI large language model Tencent Tsinghua University
2026 Deepen AI technology breakthroughs lead intelligent commerce transformation and promote the globalization of intelligent commerce applications. AI Independent Website Tongyi
Qianwen Model Alibaba
Scientific and Technological Innovation Practice Participation in Industry Standard Formulation
During the reporting period Yiwu CCC assisted in drafting local standards such as the "Standards Entering the
Innovation Incentive Market" Work Specification for Yiwu City. Additionally in accordance with the relevant provisions of the "Yiwu
Small Commodity Standards Innovation Federation Group Standards Management Measures" the federation
Big Data Company established the "Innovation Project Management Measures" to standardize the innovation project organized formal reviews and defense meetings for the 2024 group standard proposals approving 31 standards
application and management process. Additionally it formulated the "Scientific and Technological Achievements proposed by Yiwu CCC across two batches.Transformation Organization Management and Reward Measures" "Scientific and Technical Personnel Performance
Evaluation and Reward System" "Scientific and Technical Personnel Training and Further Education System" and
"Scientific and Technical Personnel Training Management System" to stimulate the creativity and enthusiasm of Innovation Achievements
scientific and technical talents improve their overall quality enhance the Company's product and service innovation
capabilities and promote the cultivation summarization improvement and promotion of the Company's innovation The Company strengthens ecological cooperation and
achievements. technological innovation accelerates the diversified
application of AI technology in the commercial trade sector
The Company implements various incentives for organizations and employees who actively collect empowers small commodity trade applications through AIGC
knowledge for sharing and utilize knowledge for innovative improvements covering various trade segments such as production design
content generation traffic acquisition and transaction
facilitation helping merchants reduce costs and increase
Material
Incentives Establish project rewards rationalization proposal rewards technological innovation rewards etc.efficiency. The AI-powered "Digital Lady Boss" persona
created by AI-empowered physical business operators has
become a well-known IP recognized by CCTV as a
representative case of new economic transformation. In 2024
the Company launched a total of 10 AI products including
Spiritual
Motivation Recognize employees for service contributions and excellence.Xiaoshang AI Translation AI Independent Website and
Xiaoshang AI Business Card serving over 100000 users and
benefiting more than 20000 business operators. Attracted
640000 new customers for businesses improved product
display efficiency by 10 times and reduced costs by 35%.Job Promote outstanding employees who achieve significant knowledge innovation through
Promotion knowledge utilization and possess management capabilities.Zhejiang China Commodities City Group Co. Ltd. * Compliance Governance * Environmentally-friendly * Focused on Innovation * People-oriented
to Build a Clean State-Owned Enterprise to Guard Our Homeland to Provide Supervior Service to Build a Better Society Together 2024 Environmental Social and Governance Report
The Company has developed over 50 software products and services centered around the Chinagoods platform and
has obtained 16 invention patents and 23 software copyrights. Big Data Company has achieved the transformation of
multiple research outcomes into practical applications. By adopting cutting-edge technologies and actively exploring The Company integrates artificial intelligence (AI) throughout the entire Yiwu digital foreign trade ecosystem
new technological applications the Company has successfully developed products such as the Chinagoods Seller deeply transforming the supply chain industry and empowering traditional markets. This strategic implementation
APP system Chinagoods Chinese Website and the China Commodities City platform. deeply engages the entire trade chain of the small commodities industry initially forming a series of product loops
for an AI-powered digital trade ecosystem
Digital Boss Lady-AI video translation and XiaoShang AI translation have reduced the language barriers for Yiwu
merchants in foreign trade; XiaoShang AI design helps users quickly generate images and videos through AI
reducing costs and increasing efficiency in product digitization; Digital Boss Lady-AI store customer service has
created an all-around AI digital customer service enabling the Yiwu market to operate 24/7; AI independent
websites have opened up more overseas trade opportunities. Xiaoshang AI utilizes intelligent interactive Q&A
breaking through the limitations of keyword search and information flow recommendation models. It not only
enhances the personalized experience of Chinagoods users but also drives the evolution of the Yiwu commerce
model by deeply understanding the preferences and needs of purchasing users thereby promoting cost reduction
efficiency improvement and business model updates for merchants.Intellectual Property Protection
Yiwu CCC strictly complies with laws and regulations such as the "Patent Law of the People's Republic of China"
and the "Copyright Law of the People's Republic of China" placing high importance on intellectual property
management respecting others' intellectual property and protecting its own intellectual property. The Company has
established intellectual property-related management systems emphasizing knowledge accumulation including the
creation utilization and improvement of proprietary intellectual property. During the reporting period the Company
did not experience any intellectual property infringement incidents. As of the end of the reporting period the
Business Model Innovation Company and its core subsidiaries had cumulatively obtained 16 national invention patents 23 software copyrights
and 331 trademarks.The Yiwu CCC’s Chinagoods platform
(www.chinagoods.com) was launched in October 2020. Technology Ethics
It is the only official digital platform for the Yiwu
market serving as an integrated international trade Chinagoods Platform Product & Service Cluster
Technology ethics are the value concepts and behavioral norms that must be followed in scientific research
technological development and other technological activities serving as an important safeguard for the healthy digital service platform that bridges Yiwu CCC's development of the technology sector. In its daily operations the Company does not engage in activities related to
physical and digital markets. It also acts as a digital trade technology ethics. The technologies used and activities conducted comply with existing laws regulations and
service provider for small medium and micro industry standards with no potential risks arising from technology ethics issues.enterprises nationwide. The Chinagoods platform
leverages 75000 physical stores in Yiwu Market
connecting over 2.1 million SMEs and micro-enterprises.With nearly 10 million international buyers as its
foundation and trade data integration as its core driver it
addresses the needs of both supply and demand across
production design display transactions market
management international logistics warehousing and
financial payment processes. This enables effective and
precise allocation of market resources building a
genuine open and integrated digital trade
comprehensive service platform.With the digital transformation of business models and
the restructuring of global trade Chinagoods has
migrated the traditional trade elements of "people goods
and venues" entirely to the cloud. Through AI
intelligence and digital services it assists SMEs in
transitioning to digital trade offering comprehensive
end-to-end services including transaction matching
financial services and digital trade fulfillment
guarantees.Zhejiang China Commodities City Group Co. Ltd. * Compliance Governance * Environmentally-friendly * Focused on Innovation * People-oriented
to Build a Clean State-Owned Enterprise to Guard Our Homeland to Provide Supervior Service to Build a Better Society Together 2024 Environmental Social and Governance Report
Ecosystem Customer Market Requirements List Reform List
Safety and Quality of Products and Services Group Iteratively upgrade the Chinagoods platform
Strengthen AI strengthen digital channels digital marketing and
Yiwu CCC rooted in commercial trade fosters a unique "quality culture" within the Group continuously empowerment digital fulfillment empowerment deepen the
strengthening quality management to ensure product quality and service standards. All business lines under the Group leveraging innovative application of AI technology in the digital
place high importance on product and service quality considering them key elements to enhance market Assist in obtaining trade field vigorously promote AI product
competitiveness and win consumer trust. through digital collaboration and R&D comprehensively enhance
means the intelligence level and scenario adaptability of AI
Increase in orders applications launch new AI application products
obtained. annually with the AI product series cumulatively
Governance Key export covering over 200000 users.destinations
Yiwu CCC always regards maintaining market prosperity as its eternal theme with work revolving around the market for Yiwu Develop the digital supply chain platform Zhijie
projects built around the market and resources gathered around the market. It continuously improves service quality Trade include Yuangang accelerate the deployment of commercial Fulfillment Obtain secure stable infrastructure of "two warehouses and one route" of
in iterating Yiwu market construction innovating international trade services and empowering the development of Service Africa and efficient cross- FBC empower cross-border logistics across the
small and medium-sized enterprises driving the Yiwu market to write a new chapter of high-quality development in Ecosystem Russia the border logistics entire chain and all segments and have provided
accelerating the construction of a new development pattern. Middle East and Southeast services. Yiwu market with over 100000 TEUs of higher-
The Company's Market Operations BU is responsible for market management maintaining market order and Asia quality and more stable international logistics
ensuring a favorable business environment. In daily operations the division strictly implements the Company's "SOP services.Procedures" (two volumes) "Management Systems" (two volumes) "Service and Product Models" etc. At the same Market vendors While ensuring Establish the "Yiwu Pay" financial service platform
time it actively implements the "Standards into the Market" Work Specifications building a fair just transparent and Yiwu security launch the cross-border digital RMB application
stable and predictable competitive environment for market tenants on the foundation of a rigorous and buyers convenience and system and build a "Yiwu Pay" settlement business
comprehensive institutional system. This effectively prevents and resolves market disputes and promotes sustainable speed it supports system integrating cross-border RMB cross-border
market development. multiple payment
foreign exchange and cross-border digital RMB to
provide SMEs in the Yiwu market with more
Yiwu CCC adapts to market and industry developments building its own platform advantages while serving both scenarios and lower settlement costs. compliant secure and efficient integrated payment
buyers and merchants. It innovates business development expanding from relatively single market property services solutions.to diversified services in information flow logistics and payment flow continuously enhancing its comprehensive Enhance the synergy between exhibition venues by
market service capabilities. The Company focuses on physical markets and the digital trade platform (Chinagoods) attracting more merchants to visit exhibitions in
as dual pillars building an ecosystem around product display and trade trade fulfillment services and market support Expand sales channels through Yiwu connecting with more trade entities and
services. It clarifies customer needs improves the service system and forms an innovative development ecosystem exhibitions expanding procurement channels. Increase efforts to
centered on physical markets—"people goods and places." attract and secure more high-quality exhibitors to Market settle in the Yiwu market.Ecosyste Customer Supporting Market Requirements List Reform List Service Yiwu local Dedicated to building the top-tier brand "Yandoo m Group Ecosystem Enjoy higher-quality Hotel & Resorts" the Company has launched four
Physical market upgrades with nearly 100 million yuan services on top of brand series: "Yandoo * Jia" "Yandoo * Hua"
Domestically A better market invested annually in hardware renovations achieving 10- meeting functional "Yandoo * Ya" and "Yandoo * Jing" helping the
it connects operating environment gigabit fiber optic coverage. requirements. Yandoo Hotel Management brand gradually become
with 287 a comprehensive hotel management company with
secondary Increase efforts to attract buyers attracting over 1 million significant brand influence in Zhejiang.sub-markets More buyers are domestic and international buyers annually through
across China; coming to Yiwu policy incentives business referrals and event
internationall promotions.y it has trade
Commodi Market relations with Better digital services
Upgrade digital customer service to enable "zero-trip"
ty Display over 230 for the market handling of merchant services such as shop pledge loans
and Trade merchants countries and lease renewals and electronic contracts.Ecosyste and buyers in Yiwu regions. m Brand The domestic market Establish a self-operated trade system providing end-to-
globalization has a broader reach end import and export trade services driving market
focuses on operators to better expand domestic trade.serving co-
construction
Strengthen overseas Launched the "Yiwu Market Project" driving Yiwu of the "Belt
market expansion to market merchants goods and supply chain services to go and Road"
make "going global" global through five major overseas expansion models: countries and
easier. overseas sub-markets FBC warehouses websites regions exhibition halls and trade fairs.Zhejiang China Commodities City Group Co. Ltd. * Compliance Governance * Environmentally-friendly * Focused on Innovation * People-oriented
to Build a Clean State-Owned Enterprise to Guard Our Homeland to Provide Supervior Service to Build a Better Society Together 2024 Environmental Social and Governance Report
Quality Management System Certification Impact Risk and Opportunity Management
The Company continues to improve its quality management system. By the end of the reporting period Yiwu CCC Management
Fifth District Branch Supply Chain Company and CCC Exhibition have all obtained ISO9001: 2015 quality Process Management Measures
management system certification.In accordance with quality risk management requirements the Company established a risk
Risk control system and formulated quality risk management policies. Quality management
Identification departments regularly held operational analysis meetings incident case studies and organized tests and inspections to enhance risk awareness while identifying product and
service quality risks through research on industry policies and operational risks.During the risk assessment process quality management departments collaborate with expert
Risk Assessment teams to classify identified product and service quality risks using evaluation tools implementing tiered management and formulating corresponding response measures based
on the assessment results.The Company promotes corporate standardization establishes a quality risk classification
Risk Response control system and a quality feedback mechanism strengthens inter-departmental communication and information transparency focuses on monitoring and preventing key risk
points and makes timely improvements.Yiwu CCC Quality Management System Certification Fifth District Branch Quality Management System Certification Indicators and Objectives
Strategy Market Operations Business Line
Financial In 2024 the Company conducted a satisfaction survey to understand customer satisfaction with its services and needs
Risk/Opportunity Type Risk/Opportunity Description Impact Impact Cycle Countermeasures by distributing and collecting questionnaires. A total of 44577 customers participated with 44577 valid responses Description representing 96.15% of surveyed customers and a satisfaction rate exceeding 95%. Additionally the Company has
Build a new trade ecosystem conducted multiple "Standards Enter the Market" vendor satisfaction surveys involving 4680 vendors across 7
centered on a small commodity markets. The feedback resulted in a comprehensive satisfaction score of 96.14 points for the "Standards Enter the
digital trade platform integrating Market" initiative.customs clearance foreign
With the rise of cross-border e- exchange taxation logistics and Hotel Business Line
commerce and further Short warehousing blending online &
Marke improvement in supporting low- Decline in mediu offline facilitating import-export In 2024 Hotel Management Company conducted a banquet Risk t Risk end manufacturing in Southeast operating m and interaction connecting domestic Asia Yiwu's market share in low- revenue long & international markets and reception satisfaction survey reaching out to customers via phone
end small commodities will be term achieving efficient coordination follow-ups to assess service satisfaction and product feedback
diverted. of industrial chains supply across its hotels. The hotels hosted a total of 1890 events with
chains and trade chains and 1851 customers participating in the follow-ups and a 99.97%
develop a new model of "physical follow-up rate. There were 65 pieces of valid opinions and
market + industrial clusters + suggestions with 97.94% of customers participating in the follow-
cross-border e-commerce." ups and a 96.08% satisfaction rate.Yiwu CCC drives industrial
Leadi clusters through small businesses Strengthening innovation-driven
ng in becoming the core carrier of a Strong Short strategies deepening digital
Opportunit Techn trillion-yuan small commodities mediu transformation and accelerating
y ology trade hub and the trade service
industry
competitiven m and internationalization strategies and provider with the highest ess long will become essential paths for Marke digitalization optimal business term the transformation and upgrading
t environment and strongest trade of peer wholesale markets.fulfillment capabilities in China.Impact Cycle Definition: Short term: within 1 year; Medium term: 1-5 years; Long term: over 5 years.Zhejiang China Commodities City Group Co. Ltd. * Compliance Governance * Environmentally-friendly * Focused on Innovation * People-oriented
to Build a Clean State-Owned Enterprise to Guard Our Homeland to Provide Supervior Service to Build a Better Society Together 2024 Environmental Social and Governance Report
Improve Product Quality Customer Service Management
Yiwu CCC implements the "Standards into the Market" work specification promoting the refinement Market Operations Business Line
standardization and quality enhancement of small commodity quality through four major actions: "displaying
standards benchmarking standards upgrading standards and promoting standards." The "Standards into the Market" The market customer service centers under CCC Group implement the "Market Customer Service Center Service
initiative not only focuses on current product quality but also strives to drive continuous improvement in product Standards" adhering to the four service principles of "sincerity consistency appropriateness and proactiveness"
quality. By enhancing standardization levels promoting continuous quality improvement strengthening market during customer service processes with 100% customer satisfaction as the basic standard providing high-quality and
competitiveness and advancing industry norms and development it establishes and refines a standard system efficient services. The Company has established the "First Inquiry Responsibility System" stipulating that the first
enabling market participants to clearly recognize the strengths and weaknesses of their products in terms of quality staff member contacted by visiting merchants or buyers becomes the first inquiry responsible person. This person
and make targeted improvements and enhancements. Yiwu CCC enhances product standardization and quality must provide satisfactory responses to all inquiries or requests regardless of whether they fall within their official
through the "Standards into the Market" initiative actively promoting the accessibility of Yiwu CCC to ensure more duties acting as a "shop assistant" to enhance market service levels improve work style increase efficiency ensure
consumers can easily access high-quality and affordable small commodities. service quality and uphold the Company's image of "fairness integrity pragmatism and efficiency."
Case Conducting "Standards into the Market" Training for Staff Additionally the Company leverages advanced technologies like big data and cloud computing to build a digital regulatory system effectively curbing illegal activities such as commercial bribery and unfair competition thereby
creating a fairer and more transparent market environment for merchants. At the same time through data analysis
During the reporting period to orderly advance the national-level service industry standardization pilot project and and early warning mechanisms potential integrity risks within the Company are identified and resolved in a timely
deepen the "standards into the market" initiative the Company conducted standardization trainings for all staff and manner fostering a clean and upright atmosphere for the Company's development.performed on-site post-training assessments to evaluate the outcomes.Case Chinagoods Platform
The Chinagoods platform uses digital technology to integrate offline business processes online closely aligning with
modern trade fulfillment making the transaction process more standardized and transparent reducing opportunities
for human intervention and improving regulatory effectiveness. Ensuring transaction transparency and fairness
through traceable and tamper-proof processes while reducing fraud and improper transactions via identity
verification and credit assessments of trading parties thereby mitigating traditional trade risks like bribery and price
misrepresentation.Case Conducting "Standards into the Market" Training for Business Operators
During the reporting period subsidiaries under the market operation business line conducted standardized theory
promotion pilot programs and training for merchants along with completing online questionnaires.Roof Pillar Corner
Zhejiang China Commodities City Group Co. Ltd. * Compliance Governance * Environmentally-friendly * Focused on Innovation * People-oriented
to Build a Clean State-Owned Enterprise to Guard Our Homeland to Provide Supervior Service to Build a Better Society Together 2024 Environmental Social and Governance Report
Digital Platform Construction "More Care" Service Model
The primary vehicle for the "Standards into the Market" national service industry pilot digital platform is the "Wave
Drum" mini-program which mainly includes basic functions such as merchant access product review standard
information disclosure search queries and scan-to-view. To further standardize market products and optimize the
business environment the Company plans to upgrade the pilot digital platform. Optimization efforts will address More Care
identified issues such as poor user experience lack of platform functionality and insufficient system stability and
scalability aiming to enhance user experience improve functionality boost system stability maintainability and
scalability and facilitate "Standards into the Market" interaction.Customer Complaint Management
In response to customer complaints each market customer service center handles complaints in accordance with the Cultural Peo
"Market Customer Service Center Service Standards" with the process including: tempera ple- Soft Unforg
ment Orie ettable
nted
Service Complaint Service Complaint
Registration Investigation
Upon receiving customer The responsible person inquires with the
complaints meticulously involved parties to understand the reasons
document the details and for the customer complaint preliminarily
promptly report to the determines whether it is a valid complaint
responsible person. forms a written investigation result and
reports it to the Company in a timely
manner. Management system operational
procedures management tools
professional service team...Timely communication & Service Complaint
results feedback Handling
Communicate and provide feedback to customers promptly. After the complaint Based on the complaint Four Steps of the “More Care” Best Practice
investigation is concluded the investigation and handling results should be promptly investigation rectification
communicated to the customer via phone followed by effective communication with suggestions are proposed to the
the customer. Upon receiving a customer complaint if a solution cannot be provided responsible personnel and the
the same day the progress of the complaint handling should be promptly rectification status is promptly Step I Step III
communicated to the customer along with a promised timeframe for the next update. checked to prevent similar complaints from recurring. Lay the Foundation Innovativation
(Basic Construction Phase) (Refinement and Quality
During the reporting period the Company received 486 Enhancement Phase)
customer complaints with a resolution rate of 100% Building the Foundation of Best Practices: Leveraging the strengths and features of each hotel to deliver System Construction Process Optimization Management personalized and innovative products and service scenarios.Tools Team Building.Hotel Business Line
Hotel Management Company introduced the "More Care" service concept as the core service philosophy for its hotel Step II Step IV
business and promoted it across its hotels requiring them to implement "More Care" best practices after thorough
study and research of the concept. Through best practices Hotel Management Company and its affiliated hotels will Standarization Cultural Endowment
implement the "Yandoo Ambassador" program "Guest Care" program " Eight Cuisines of Yandoo" "Online Service
Butler" model "15 Guest Surprise Service Guidelines" "Three Major Communities" and "Yandoo Lifestyle Club." (Standardization and (Branding and Marketization Specialization Phase) Phase)
Centered on "Elegance Human-centric Softness Create customized products services business offerings and
Unforgettable" activities with cultural depth and consumer experience.Provide standardized products and services.Zhejiang China Commodities City Group Co. Ltd. * Compliance Governance * Environmentally-friendly * Focused on Innovation * People-oriented
to Build a Clean State-Owned Enterprise to Guard Our Homeland to Provide Supervior Service to Build a Better Society Together 2024 Environmental Social and Governance Report
Smart Hotel Management Customer Service Training
The hotel utilizes the Green Cloud digital system to automate daily operational tasks such as reservation management To fully leverage internal and external training resources the Group has gradually built and nurtured a team of CCC
check-in and cashiering improving work efficiency. Additionally the system provides intelligent customer service mentors since 2020 who understand business products and can teach. They focus on practical sharing and adopt a
and self-service terminals such as self-check-in check-out and WeChat unlocking making customer stays more combined training-and-practice approach to empower Yiwu CCC in multiple dimensions. As of the end of the
convenient. By improving operational efficiency optimizing customer experience and reducing operational costs it reporting period the mentor team had 222 members including 7 strategic advisors 15 expert advisors and 201
effectively drives hotels towards digital transformation promotes sustainable development of hotels and enhances practical mentors with the latter comprising internal employee mentors merchants and external practical mentors.service quality. The mentor team conducted 205 empowerment training sessions with 12525 participants including 53 sessions led
by employee mentors (1325 participants) and 152 sessions led by business owner mentors (11200 participants).Hotel Business Line Customer Complaint Management In 2024 the Group adopted a tiered training approach to launch a novice mentor incubation program and an internal
mentor advanced training program.Hotels utilize intelligent systems for customer complaint management categorizing complaints into four types. When
complaints arise each hotel can establish handling procedures based on the complaint level ensuring timely internal Amateur Mentor Incubation
communication in-depth visits by duty managers and post-departure follow-ups. Each hotel places great emphasis
on customer experience and feedback collecting various data from customers during the service process in real time In May 2024 the Novice Mentor Incubation Program was officially launched open for registration to market vendors
including complaints needs during stay and post-stay reviews helping hotels to more comprehensively understand and internal group employees. Through a systematic cultivation process including voluntary registration strict
customer needs and feedback during the service process thereby specifically improving service quality and customer screening intensive training and practical guidance 20 out of 42 participants emerged as amateur instructors
satisfaction. successfully developing personalized courses and achieving a remarkable transformation from amateurs to
knowledge disseminators.Additionally Hotel Management Company formulated the "400 Customer Service Hotline Management System
(Trial)" to standardize customer service call procedures. Upon receiving a complaint customer service specialists
record key information such as the complainant's personal details complaint content and complaint time in the
"Customer Complaint Handling/Follow-up Record Form" for subsequent processing and follow-up. Provide
customers with solutions within the stipulated time frame. After resolving complaints conduct a follow-up
satisfaction survey with the complainant within 2 hours. During the reporting period the hotel received 17 customer
complaints achieving a 100% response rate and a 100% resolution rate.Trainings on Customer Complaint
Participation in special Dration of special Number of special
trainings on customer trainings on customer trainings on customer
complaint complaint complaint
Advanced Trainings for Internal Mentors
Person-times Hours Times In October 2024 the internal mentor advanced training program was launched with a total of 46 internal mentors
participating in the training. After 2 days of intensive coursework a week of online coaching and practical exercises
20 outstanding mentors were selected for course certification successfully producing 20 premium business courses.
Number of customer Customer complaint
complaint response response assessment
TimesZhejiang China Commodities City Group Co. Ltd. * Compliance Governance * Environmentally-friendly * Focused on Innovation * People-oriented
to Build a Clean State-Owned Enterprise to Guard Our Homeland to Provide Supervior Service to Build a Better Society Together 2024 Environmental Social and Governance Report
Case Case Study: TTT Trainings for Internal Trainers in Hotel Business Line Security Risk Management
The Company continuously strengthens the identification and rectification of safety hazards. Each market unit
During the reporting period to meet the strategic HR development needs of the hotel sector the Company actively fulfills its primary responsibility persistently addressing safety hazard inspections across market facilities
comprehensively advanced its internal trainer team development. In collaboration with Zhejiang Province's "Train emergency responses and other areas to prevent accidents and ensure stable and secure market operations. Market
the Trainer" practical training program Hotel Management Company arranged for staff from various project hotels units implement emergency plans such as the "Fire Alarm and Fire Emergency Response Plan" and the "Flood
to participate in study sessions. Typhoon and Drought Emergency Response Plan" specifying emergency measures for market operations fire safety
and extreme weather to ensure rapid response during incidents. During the reporting period the Company's
subordinate market units conducted a total of 65 emergency drills effectively enhancing the emergency response
capabilities of relevant personnel and ensuring market operation safety.Additionally the Company regularly organizes safety awareness campaigns training sessions and emergency drills
for employees and market vendors to enhance their emergency response and mutual aid capabilities.Case On-site Consultation Day
Key subsidiaries such as markets and industrial parks organized "119 Fire Safety Awareness Day" activities
promoting safety through broadcasts banners exhibition boards fire safety materials on-site consultations and other
forms. At the same time efforts were made to actively promote laws and regulations on workplace safety safety
knowledge and self-rescue and mutual aid methods to market operators merchants and other groups. On the event
day a total of 5000 promotional materials were distributed 10 centralized consultation points were set up and 1219
person-times participated in consultations.Empowering Merchants Case Fire Safety Knowledge Trainings
Yiwu CCC empowers merchants through multiple dimensions to help them achieve high-quality development.To effectively enhance the fire safety awareness and emergency response capabilities of employees merchants and
Yiwu CCC establishes a comprehensive standard system through four major actions— tenant companies within the Group's jurisdiction during Fire Safety Awareness Month the Company invited experts Standardization "highlighting standards benchmarking upgrading standards and promoting standards"— to conduct centralized fire safety training reaching over 14000 participants. The training covered fire prevention Empowerment to help merchants clarify product standards and improve product quality. firefighting and fire escape and self-rescue as well as aspects such as work safety laws and regulations safe operating
procedures and emergency response knowledge. Through professional explanations and case studies employees
Yiwu CCC provides merchants with e-commerce platform integration digital operation business operators and other groups are deeply made aware of the importance of fire safety effectively enhancing Digital tools and smart logistics support to help them expand sales channels optimize supply their safety awareness and ability to respond to emergencies laying a solid foundation for creating a safe and stable Empowerment chains and reduce operating costs. production and operation environment and further promoting the in-depth development of the Group's fire safety work.Brand Yiwu CCC supports merchants in building their own brands by providing brand design Management of Flammable and Explosive Goods
Empowerment promotion and certification services while also organizing merchants to participate in
domestic and international exhibitions to expand market influence. To effectively carry out market fire safety work and strengthen the inspection and supervision of shops dealing in
In addition Yiwu CCC actively carries out training for merchants. During the reporting period the CCC mentor team flammable and explosive goods the Company formulated the "Flammable and Explosive Goods Business
conducted over 150 specialized training sessions covering more than 10000 merchants effectively helping them Management Measures" to prevent safety accidents and ensure the continuous safe harmonious and stable
improve their management skills and market competitiveness. development of the market.Safety Management Measures
Market Operation Safety
* Market administrators conduct daily safety inspections on shops dealing with flammable and explosive materials;
The Company is committed to creating a safe and stable market operating environment providing reliable service teams carry out weekly safety supervision no less than once; departments perform monthly random safety checks
guarantees for customers and establishing a series of safety management standards for daily market operations to no less than twice.eliminate safety risks at the source and comprehensively enhance market safety management levels. Each subsidiary * The Security Department conducts monthly joint safety inspections of flammable and explosive materials with
market unit of the Company has established a safety management department regularly organizes safety assessments various company departments.and inspections and implements strict reward and penalty measures for relevant responsible units in accordance with * The Company conducts monthly safety inspections for flammable and explosive materials in collaboration
the "CCC Group Social Security Comprehensive Management and Work Safety (Fire Prevention) Assessment and with local police stations market supervision bureaus and comprehensive management offices.Reward/Penalty Measures" to further promote the continuous optimization and improvement of safety management.Zhejiang China Commodities City Group Co. Ltd. * Compliance Governance * Environmentally-friendly * Focused on Innovation * People-oriented
to Build a Clean State-Owned Enterprise to Guard Our Homeland to Provide Supervior Service to Build a Better Society Together 2024 Environmental Social and Governance Report
Information Security & Customer Privacy Impact Risk and Opportunity Management
Management
Protection Process Management Measures
During operations Yiwu CCC retains a significant amount of supplier and customer privacy information when using
digital platforms such as Chinagoods and Yiwu Pay. The Company strictly adheres to laws and regulations such as The Company engaged professional institutions to conduct security testing on the Group's
the "Cybersecurity Law of the People's Republic of China" "Data Security Law of the People's Republic of China" Risk network systems covering the hotel cloud smart parking system standard market access CCC
and "Personal Information Protection Law of the People's Republic of China" continuously strengthening Identification Group booth management system and sub-control systems identifying existing network risks
information security management and customer privacy protection systems and is committed to handling authorized through vulnerability scanning.information provided by employees customers consumers suppliers and partners with the highest legal and ethical
standards. During the reporting period the Company experienced no data security or customer privacy breach
incidents.Governance The Company regularly conducts information system risk assessments identifies
The Company established the "Network Information Security Management System" and "Data Security Management Risk Assessment
vulnerabilities in the Group's network systems through security testing receives
recommendations from professional agencies and urges relevant departments with higher risk
System" to standardize network information security management ensure secure orderly and stable operation of the levels to implement corrective actions.Group's network information systems strengthen the security management and standardized use of company data
and build a data security protection system to prevent incidents such as data leaks and theft. In addition subsidiaries
formulated regulations such as the "Supply Chain Company Network Information Security Management System"
and the "Import/Export Supply Chain Company Digital Operations Department Work Management Regulations" to
strengthen the standardized management of data platforms and system user accounts and permissions prevent The Company engages third-party professional institutions to assist in conducting daily
application and data risks standardize and enhance the management of the digital operations department's computer Risk Monitoring network security operation and maintenance inspections for the Group. The workflow consists
rooms and ensure the normal operation of servers networks and other equipment. of: pre-discovery real-time monitoring post-incident handling and report generation.The Company established a network and information security leadership team responsible for implementing higher-
level network and information security deployments enforcing relevant laws and regulations improving the Group's
network and information security systems ensuring secure system operations coordinating emergency responses for In July 2024 the Company conducted the mid-year network information security inspection.network and information security cooperating with regulatory authorities in emergency handling conducting The inspection scope included each unit's portal websites application platforms mobile
network and information security inspections collecting analyzing and assessing security information and applications integrated office systems LED displays and network equipment rooms. Units
organizing network and information security awareness and training programs. The leading group has an office under were required to focus on the "three highs and one weak" (high-risk vulnerabilities high-risk
it responsible for managing daily related affairs. ports high-risk external connections weak passwords) network security checks promptly
rectify any issues found and follow up thoroughly to enhance the unit's network security
Strategy Risk Management awareness.Risk Type Risk Description Financial Impact Impact
In addition the Company conducts cybersecurity operation and maintenance inspections for
Description Cycle Countermeasures information systems compiling and analyzing reports on the normal status of security
equipment server vulnerability scans patch updates and high-risk warnings to ensure the
Data and customer privacy breaches secure and stable operation of information systems and support the normal conduct of business
will violate information security- Regular specialized audits and self- operations.Compliance related laws and regulations Increased operating Short to
inspections are conducted to ensure
Risk regulatory requirements and medium
compliance with legal regulatory and user
customer audit demands facing costs term audit requirements while continuously
notifications legal actions or optimizing information security
penalties risk. management rules and regulations.Public concern for data security and
Reputation privacy protection is increasing. Once
Short Improve information security management
a data breach occurs a company's Revenue decline medium systems to strongly prevent data breaches; Risk brand image will be severely and long establish emergency measures for timely
damaged. term and effective handling in case of incidents
Impact Cycle Definition: Short term: within one year; Medium term: 1-5 years; Long term: over 5 years.Zhejiang China Commodities City Group Co. Ltd. * Compliance Governance * Environmentally-friendly * Focused on Innovation * People-oriented
to Build a Clean State-Owned Enterprise to Guard Our Homeland to Provide Supervior Service to Build a Better Society Together 2024 Environmental Social and Governance Report
Indicators and Objectives Emergency Management
Indicators Objective Achievement Status in 2024 In accordance with relevant laws and regulations such as the "Computer Virus Prevention and Control Measures"
"National Network and Information Security Incident Emergency Response Plan" "Cybersecurity Law of the
People's Republic of China" and "Basic Requirements for Information System Security Level Protection" the
Company has formulated the "CCC Group Network and Information Security Emergency Response Plan" and the
Number of information security and privacy breach incidents 0 Achieved "Supply Chain Company Network Information Security Plan." Adhering to the principle of prevention first
combining prevention with emergency response the Company has established a Network and Information Security
Emergency Response Leadership Group to maximize the prevention of network and information security incidents
minimize their impact and ensure information security.Indicators Unit 2024
Number of data security and customer privacy protection
training sessions conducted Times 206
Case Forth District Branch Network Information
Data security and customer privacy protection practices Security Emergency Drill
training participation numbers People 3255
In May 2024 the Forth District Branch conducted an emergency drill for network information security. The actual
drill involved the discovery of a hacker intrusion into the computer host of the Company's LED display by its
management personnel. Staff arrived at the computer control room within 2 minutes to cut off the power to the LED
Employee coverage rate for data security and customer % 100 display and computer host immediately reporting to the department manager who then reported the situation to the privacy protection practices and training Company's general manager deputy general manager in charge and the office.Total Investment in Data Security million
yuan 5.8820Zhejiang China Commodities City Group Co. Ltd. * Compliance Governance * Environmentally-friendly * Focused on Innovation * People-oriented
to Build a Clean State-Owned Enterprise to Guard Our Homeland to Provide Supervior Service to Build a Better Society Together 2024 Environmental Social and Governance Report
Responsible Supply Chain Management Core Supplier Rating
* The Supply Chain Branch conducts annual evaluations of core suppliers to ensure that the quality of purchased
Governance products delivery times after-sales services etc. meet the specified requirements.* The evaluation scores are divided into four levels: Grade A core suppliers with 85 points or above are rated as
The main subsidiaries involved in supply chain management within Yiwu CCC's business activities include Hotel excellent and highly recommended for procurement; Grade B core suppliers between 70 (inclusive) and 85
Management Company Supply Chain Company Import and Export Company etc. The Company emphasizes supply points are rated as good and generally recommended for procurement; Grade C core suppliers between 60
chain security management by strictly screening suppliers enhancing product quality control optimizing logistics (inclusive) and 70 points are rated as qualified requiring appropriate procurement based on actual conditions;
and warehousing ensuring supply chain stability and reliability reducing operational risks and improving market Grade D core suppliers below 60 points are rated as unqualified and disqualified from procurement.competitiveness.Core Supplier Elimination
Supply Chain Business Line * Grade D suppliers that fail to cooperate with rectification within one year of receiving the notice may have their
core supplier qualifications revoked; suppliers involved in issues such as rent arrears illegal operations
Yiwu CCC formulated the "Zhejiang China Commodities City Supply Chain Management Co. Ltd. Foreign Trade procurement bribes or product quality problems will be subject to a one-vote veto directly classified as Grade
Regulations (Trial)" to standardize the selection and daily management of foreign trade core suppliers for Supply D suppliers and removed from the Company's core supplier list.Chain Company improve foreign trade product selection standards refine procurement workflows and strengthen
the Company's foreign trade procurement fulfillment service management. Suppliers of finished products semi- Hotel Business Line
finished products and raw materials within the foreign trade business scope of Supply Chain Company include but
are not limited to suppliers from Districts 1 to 5 of the International Trade City Huangyuan Garment Market and Hotel Management Company formulated and implemented the "Supplier Management Measures (Trial)" to
International Production Materials Market. standardize supplier development assessment exit and communication. The supplier onboarding process for each
hotel includes multiple steps such as qualification reviews and sample evaluations followed by signing a "Supply
Supply Chain Company in accordance with the "Core Foreign Trade Supplier Management System" defines the Cooperation Agreement" upon approval. For assessments suppliers with long-term cooperation and annual
selection and daily management of core foreign trade suppliers adhering to the principles of balancing quality cost procurement exceeding 100000 RMB are prioritized while others are evaluated based on hotel needs. Suppliers are
delivery and service to establish long-term mutually beneficial supply-demand relationships. graded into A B C and D levels based on assessment results. Exit procedures are executed for suppliers with expired
contracts not renewed unresolved quality issues scores below 60 or illegal activities. Hotel Management Company
implements full lifecycle management of suppliers to ensure stable and efficient supply chains providing customers
Core Supplier Selection with high-quality products.* Core suppliers are developed through on-site visits recommendations from purchasers internet searches peer Strategy
introductions proactive inquiries and introductions by suppliers and supplier media advertisements.Financial
* To be selected as a core supplier basic information such as business qualifications integrity status and delivery Risk/Opportunity Risk/Opportunity Description Impact Impact
capabilities must be provided. After confirmation information registration is completed. For core suppliers with Type Description Cycle
Countermeasures
large procurement volumes on-site inspections are conducted based on actual needs.The international political and economic
landscape is complex and volatile with Strengthen market and policy
Core Supplier Daily Management trade protectionism leading to increased research adjust trade strategies in a
tariffs and trade barriers affecting the timely manner explore emerging
* The Supply Chain Branch maintains daily records of core suppliers' performance and product arrivals conducts Supply import and export of goods; frequent Short markets and use financial
periodic statistical analysis of their delivery performance uses the results as evaluation criteria and provides chain exchange rate fluctuations increase Increased costs medium instruments to lock in exchange rates
feedback to core suppliers to urge improvements. Strengthen daily communication and feedback with core disruption currency exchange risks and impact profit and long to reduce currency exchange losses. margins. Global supply chain instability term Optimize supply chain layout
suppliers and establish and maintain long-term strategic cooperative relationships between the supply chain caused by emergencies such as pandemics establish emergency mechanisms
subsidiary and core suppliers. Risk and natural disasters leads to disruptions in and enhance the ability to respond to
raw material supply and logistics affecting unexpected events.order fulfillment.For the hotel business line insufficient Sign long-term agreements with
Quality supplier stability may lead to delivery
local high-quality suppliers
risk delays product quality issues or customer Increased costs
Short establish a backup supplier pool and
complaints potentially resulting in term reduce risks of supply chain
disputes. disruptions and product quality issues.Zhejiang China Commodities City Group Co. Ltd. * Compliance Governance * Environmentally-friendly * Focused on Innovation * People-oriented
to Build a Clean State-Owned Enterprise to Guard Our Homeland to Provide Supervior Service to Build a Better Society Together 2024 Environmental Social and Governance Report
Financial Transparent Procurement
Risk/Opportunity Type Risk/Opportunity Description Impact Impact Countermeasures
Description Cycle To uphold the principle of transparent procurement and strengthen the standardization and integrity of procurement
processes hotels sign the "Transparent Cooperation Agreement" with suppliers during procurement activities while
The "Overall Plan for Deepening
Comprehensive International Trade Building on its small the Import and Export Company signs the "Integrity Agreement" with partners. Any form of under-the-table
Reform in Yiwu City Zhejiang Province" commodities digital trade operations benefit transfers or unfair competition is strictly prohibited to ensure cooperation is based on honesty
supports trade digitization and multi- Expanding integrated service platform the fairness and mutual benefit jointly maintaining a sound business order and market environment. At the same time
format integration providing business layout Company improves trade the hotel requires procurement personnel to sign the "Procurement Personnel Integrity Pledge" strictly adhering to
Policy opportunities to expand markets and enhancing Medium efficiency through end-to-end national laws and regulations as well as the hotel's policies and rules during procurement tasks. They must firmly Opportunity opportunities innovate trade models; the advancement market to long digital services and optimizes resist any improper inducements such as bribes kickbacks or gifts from suppliers or other external factors of the "Belt and Road" initiative offers competitiveness term cross-border logistics timelines maintaining their integrity and professional ethics at all times. During the reporting period the signing rates of the
vast market potential in countries along and increasing via the China-Europe Railway
the route facilitating the expansion of revenue Express and overseas warehouse "Transparent Cooperation Agreement" "Integrity Agreement" and "Procurement Personnel Integrity Commitment"
international markets and the network to capture market share reached 100%.establishment of diversified supply in countries along the routes.chains. Digital and Intelligent Empowerment
Impact Cycle Definition: Short term: within 1 year; Medium term: 1-5 years; Long term: over 5 years. Yiwu CCC actively implements the "Overall Plan for Deepening Comprehensive International Trade Reform in Yiwu
City Zhejiang Province" (hereinafter referred to as the "Plan") using the new round of comprehensive international
Impact Risk and Opportunity Management trade reform as momentum to adapt to the integrated development of trade digitization and multi-format operations.The Company places high importance on supply chain risk management committed to building a comprehensive and Relying on the construction of a comprehensive service platform for small commodity digital trade it
detailed risk identification system to ensure the robustness and sustainability of the supply chain. To ensure supply comprehensively strengthens the digital transformation of all aspects of the trade supply chain including transactions
chain security prevent potential risks and guarantee business continuity and compliance the Company has logistics payments and financing.established supplier risk management policies conducting risk assessments and responses for all supply chain Expanding Global Supply Network and Improving Logistics & Warehousing System
segments in business activities. The Supply Chain Company and Import and Export Company identify supply chain Yiwu CCC encourages business entities to deploy new commercial facilities such as independent websites and online
risks in business operations and implement control procedures according to the "Commodity Trade Business Volume" service platforms integrating digital marketing last-mile delivery and after-sales services into overseas operational
in the "Internal Control Manual" while the Hotel Management Company does so according to the "Hotel Operations networks. Integrate ocean freight service resources such as LCL consolidation and shipping bookings to develop
Volume" ensuring supply chain security. "door-to-door" and "warehouse-to-warehouse" international dedicated lines. Leveraging its logistics warehousing
Indicators and Objectives and "Smart Port" platform capabilities the Company has established a "two warehouses one route" system comprising domestic warehouses FBC warehouses and international logistics routes to enhance SMEs' fulfillment
Key Indicators Achievement Status capabilities in logistics and effectively reduce fulfillment costs. Through these measures Yiwu CCC provides
suppliers with a broader cooperation platform and enhances the stability of supply chain operations.No significant risks or impactful incidents occurred in the supply
chain segment Achieved Optimizing Import Trade System and Accelerating Digital Transformation of Trade
Leveraging the Chinagoods small commodities digital trade integrated service platform the Company focuses on
Objectives Progress integrated innovation in digital fulfillment services across the entire market trade chain systematically enhancing the
The Company will implement sustainable development management one-stop trade service functions of "display and transaction + customs foreign exchange tax logistics warehousing
for suppliers promote sustainable development concepts and and financing" optimizing the digital intelligence-enabled ecosystem improving the digital trade capabilities of
establish a risk management mechanism for supply chain Steadily advancing SMEs and achieving the digital transformation of traditional foreign trade. The Company will continue to harness
sustainability. the power of data elements to drive the digital transformation and reshaping of small commodity trade across the
entire chain all scenarios and all formats constructing a path for the valuation of data assets in the digital economy
Responsible Purchage era and forming new growth drivers for the commercial circulation industry. By 2026 the Company plans to promote
the internationalization of small commodities classification standards and enable data asset transactions positioning
All business lines involving procurement in Yiwu CCC's operations have established a scientific standardized the "Yiwu-China Small Commodity Index" as a new hallmark of Yiwu Market to achieve data leadership in global
efficient and transparent procurement system. small commodities circulation.The Supply Chain Company implements procurement systems such as the "Supply Chain Company Procurement The Company will leverage its advantages as an international trade hub fully utilizing both domestic and
Management Measures (Trial)" and the "Product Selection Procurement and Pricing System of Zhejiang China international markets and resources to help build a world-class small commodities capital contributing practical
Commodities City Supply Chain Management Co. Ltd." to standardize procurement processes strengthen examples and experience to accelerating the establishment of a higher-level open economy and constructing a new
procurement supervision improve the efficiency of procurement fund usage and promote integrity in procurement. development pattern.The Hotel Management Company formulated and implemented a series of procurement policies including the
"Detailed Rules on Procurement Material Classification and Authority Division for Zhejiang Yandoo Hotel Equal Treatment of SMEs
Management Co. Ltd. (Issued Document)" "Notice on Establishing a Hotel Procurement Evaluation Expert Pool
(Issued Document)" "Notice on Standardizing the Bidding Process for Procurement Projects" "Unified Procurement Yiwu CCC is committed to creating a fair transparent and win-win business environment ensuring equal
Management Measures of Zhejiang Yandoo Hotel Management Co. Ltd. (Trial)" "Unified Procurement opportunities and resources for all partners. The Company supports the development of SMEs and micro-merchants
Management Rules for Non-Food Materials of Zhejiang Yandoo Hotel Management Co. Ltd." and "Procurement by optimizing supply chain management reducing operational costs and enabling merchants to benefit from logistics
System Control Standards Based on Centralized Procurement (Issued Document)". These policies clarify distribution and financial services thereby stimulating market innovation. During the reporting period the Company
procurement authorities and responsibilities at all levels ensuring the standardization and efficiency of procurement did not experience any overdue accounts payable incidents and neither the Company nor its subsidiaries engaged in
processes through measures such as establishing an expert pool standardizing bidding procedures implementing any overdue payments to small and medium-sized enterprises.unified procurement management and strengthening centralized procurement system controls.Zhejiang China Commodities City Group Co. Ltd. * Compliance Governance * Environmentally-friendly * Focused on Innovation * People-oriented
to Build a Clean State-Owned Enterprise to Guard Our Homeland to Provide Supervior Service to Build a Better Society Together 2024 Environmental Social and Governance Report
Building a Higher-Level International Building a Global Digital Trade Center
Trade Gateway To meet the needs of the new economy new business formats and new models and guided by the demands of future market entities the Yiwu Municipal Party Committee and Government decided to construct the Global Digital Trade
Center project. The project is located in the core area of market trade east of Chunfeng Avenue in the Fifth District
of the International Trade City covering a total area of 37.47 ha. with a construction area of 1.25 million square
Enhancing Import and Export Trade meters and an estimated investment of 8.3 billion yuan. The building consists of five major sections: market office buildings commercial district apartments and a digital brain. The Global Digital Trade Center uses Chinagoods as
Yiwu CCC competes in the new dual-circulation track of domestic and international markets building a self-operated a platform to connect resources advancing the digitalization of merchants products and markets while optimizing
trade system rooted in the Yiwu market. Focusing on three core businesses of "large-scale import" "large-scale intermediate service links such as supply chains and financial chains through digital means resulting in higher
foreign trade" and "new retail" it engages in import bulk purchasing export procurement agency cross-border efficiency lower costs and sustained prosperity in the Yiwu market.distribution and supply chain finance. It operates the new retail chain brand "ICMALL" Global Goods Collection The Global Digital Trade Center commenced construction in November 2022 opened its project exhibition hall in
Stores providing end-to-end import-export trade services to help brand suppliers expand domestic and international November 2023 and plans to complete apartment deliveries in August 2025 trial operations in the market section in
distribution networks. October 2025 operations of office buildings and commercial district in April 2026 and delivery of the super high-
rise office building in August 2027. The completed Global Digital Trade Center will be a three-dimensional
Capitalizing on the new development paradigm where domestic and international circulations ecosystem for small commodity trade that integrates transaction fulfillment links industries and cities coordinates
reinforce each other the Company integrates overseas procurement and domestic distribution new and old markets merges online and offline and connects domestic and international markets. It is a future market
Major Import to provide businesses with import trade services including centralized purchasing customs benchmark that is fashionable international modern digital and low-carbon and also the most vibrant new landmark
Business clearance foreign exchange taxation warehousing and logistics. Currently four major of Yiwu's commercial city—the business reception hall of the World Capital of Small Commodities providing new
business centers have been established in North China East China Southeast China and and better space for new entities industries models and formats.South China.Enabling Borderless Payments
In alignment with the Group's "Yiwu Market Project" strategy leveraging domestic and Finance is a key business that runs through the entire trade process and smoothens the entire fulfillment chain. Yiwu
Major Foreign international resource advantages the Company has built a "Quality Foreign Trade Goods" CCC is dedicated to building the Yiwu Pay platform leveraging the advantages of integrating financial licenses such
Trade Business ecosystem offering one-stop foreign trade services to further promote Yiwu's small as micro-loans credit reporting factoring and third-party payments with market trade scenarios. It continuously
commodities in reaching global markets. expands its core businesses including cross-border RMB domestic payments and digital RMB while enhancing the
capability and level of digital intelligence in empowering market trade. Yiwu Pay assists over 900000 market entities
in Yiwu and 2.1 million upstream and downstream SMEs in achieving borderless payments.Targeting the consumption demands of lower-tier markets innovating through online-offline Yiwu Pay boasts an industry-leading risk control system capable of real-time monitoring at every stage of the
New Retail integration to create a new retail business model. Offline we have established the "ICMALL transaction process ensuring secure fund collection for market operators and leveraging professional payment
Business Global Goods Collection Store" integrating "imported quality goods and trendy domestic solutions to help Yiwu's vast number of foreign trade exporters excel amid global industrial restructuring and
products." Online we rely on the "ICMALL" mini-program for private domain operations. intensified trade competition. To date no risky disputed funds or frozen account incidents have occurred in any transactions providing a solid financial infrastructure guarantee for businesses to expand overseas smoothly.Zhejiang China Commodities City Group Co. Ltd. 2024 Environmental Social and Governance Report
People-Oriented
to Build a Better Society
Together
We consistently uphold the philosophy of "caring for employee
growth and serving business entities" creating a diverse
inclusive and dynamic workplace environment. We provide
employees with industry-competitive compensation and
benefits establish a systematic and comprehensive training
system and strive to safeguard their physical and mental health
and safety enabling employees and the Company to progress
and grow together. While actively fulfilling our responsibilities
to employees we have never forgotten to give back to society
actively responding to national strategies supporting rural
revitalization promoting local economic development and
driving common prosperity. In addition we actively participate
in social welfare activities conveying warmth and love through
practical actions and contributing to social harmony and
progress.Response
to
No Poverty Good Health Quality
and Well-being Education
Reduce Gender
Inequality Equality
Employee Rights Protection 96
Employee Training and
Development 110
Occupational Health and Safety 117
Rural Revitalization and Social
Contribution 122Zhejiang China Commodities City Group Co. Ltd. * Compliance Governance * Environmentally-friendly * Focused on Innovation * People-oriented
to Build a Clean State-Owned Enterprise to Guard Our Homeland to Provide Supervior Service to Build a Better Society Together 2024 Environmental Social and Governance Report
Recruitment Status
Employee Rights Protection
In 2024 the Group recruited a total of 78 new employees including 70 through unified recruitment 7 through market-
Recruitment and Employment oriented selection and 1 targeted at veterans.Yiwu CCC strictly complies with the "Labor Law of the People's Republic of China" (hereinafter referred to as the
"Labor Law") the "Labor Contract Law of the People's Republic of China" (hereinafter referred to as the "Labor Group Unified Conducted 2 unified recruitment sessions offering 30 positions planned to recruit 80
Contract Law") the "Employment Promotion Law of the People's Republic of China" and other relevant laws and Recruitment people with 70 actually hired achieving an 87.5% fulfillment rate.regulations and formulates systems such as the "Employee Management Manual" to clarify the rights and obligations
of all employees. In 2024 the Company closely adhered to the talent-driven enterprise strategy focusing on
innovation and breakthroughs in talent recruitment and service optimization streamlining recruitment channels to
attract diverse talents providing solid support for the Group's high-quality development. Market-Oriented Conducted 1 market-oriented selection offering 11 positions planned to recruit 11
Recruitment people with 7 actually hired.Employee Recruitment
Recruitment for Veterans Conducted 2 job selection sessions for veterans and military dependents offering 2 positions with 1 actually hired.Recruitment Channels
Indicators Unit Achievement Status for 2024
* Online we actively post recruitment announcements via the CCC Group WeChat Number of new employees People 453
official account with city media and third-party evaluation agencies' WeChat
Unified Recruitment accounts forwarding the announcements. We also publish recruitment information
Channels for fresh graduates on university employment information websites. Female People 217
* Offline we disseminate recruitment information through recruitment centers and Number of new employees by
by participating in university job fairs. gender
Male People 236
Social
Number of new employees by Recruitment
People 450
recruitment channel
Market-Oriented * Recruitment information is published online through platforms such as Liepin
Campus People 3
Utilization Channels Boss Zhipin Zhejiang Talent Network and Yiwu Talent Network.Recruitment
* Offline recruitment information is released through the recruitment center.Shanghai University of Finance and Zhejiang University of Technology
Economics Campus Recruitment Fair Campus Recruitment FairZhejiang China Commodities City Group Co. Ltd. * Compliance Governance * Environmentally-friendly * Focused on Innovation * People-oriented
to Build a Clean State-Owned Enterprise to Guard Our Homeland to Provide Supervior Service to Build a Better Society Together 2024 Environmental Social and Governance Report
Employee Structure By Position
Job Category Unit 2024
Indicators Unit 2024
Production People 1280
Total Number of Employees People 3255
By Gender Sales People 135
Gender Unit 2024 Technology People 1299
Female People 1371 Finance People 140
Male People 1884
Administration People 401
By Age Group
Age Unit 2024
Indicators Unit 2024
Below 30 (30 excluded) People 849
Dispatched personnel People 157
30-40 (including 30 excluding 40) People 1346
40-50 (including 40 excluding 50) People 809 Number of ethnic minority employees People 44
50 and above People 251 Number of employees with disabilities People 6
By Hierarchy Proportion of female managers % 21.83
Level Unit 2024
Employee turnover/attrition rate % 13.21
Senior management People 12
Middle Management People 130 Diversity Equity and Inclusion
Primary-level employees People 3113
The Company strictly adheres to labor laws upholding the
By Education Level principles of "openness fairness and justice" actively fostering
harmonious labor relations creating an equal legal and compliant
employment environment and protecting employees' legitimate
Education Levl Unit 2024 rights. The Company firmly opposes all forms of discrimination
ensuring every employee enjoys equal rights and opportunities
Master People 114 unaffected by gender race religion disability or other factors.During the reporting period the Company did not experience any
Bachelor People 1645 labor discrimination incidents.Junior college graduates and below People 1496Zhejiang China Commodities City Group Co. Ltd. * Compliance Governance * Environmentally-friendly * Focused on Innovation * People-oriented
to Build a Clean State-Owned Enterprise to Guard Our Homeland to Provide Supervior Service to Build a Better Society Together 2024 Environmental Social and Governance Report
Legal and Compliant Employment Position Skill The Company determines employee grades and compensation based on the principle of
Wage "salary follows position" evaluating each position comprehensively across four aspects: responsibility qualification requirements labor intensity and working environment.Compliant Employment
Monthly
Performance Disbursed based on individual monthly performance evaluations.Bonus
During recruitment the Company explicitly prohibits applicants with familial ties to the hiring unit's management
from applying for sensitive positions implementing a recusal system. The recruitment process of all units is Annual The total amount is determined by the Group according to the fulfillment method and
supervised by superiors and regulatory authorities throughout ensuring fairness and transparency in recruitment and Performance distributed after the subsidiaries and holding companies finalize the allocation plan.hiring and providing a fair and equitable competitive platform for every job seeker. The Company signs labor Bonus
contracts with employees in accordance with the law internship agreements with interns and service contracts with Refers to various subsidies set based on job requirements position levels and job
hires beyond retirement age clearly defining the rights and obligations of both parties. Subsidies &
Allowances characteristics including communication subsidies night meal subsidies education allowances professional title subsidies etc. disbursed monthly.Prohibition of Child Labor
Overtime Pay Compensation received by employees for continuing to work beyond the prescribed working hours as required by the Company.The Company complies with national and local laws and regulations prohibiting child labor viewing the protection
of minors' legal rights as an unshirkable corporate responsibility. During the recruitment process we conduct
comprehensive background checks on candidates including but not limited to identity verification academic Special Award Rewards are given to employees who have made special or outstanding contributions to the
credential validation and employment history verification to ensure all employees meet the legal working age and Company.prevent the inadvertent hiring of child labor due to false information.
7 CCC Group Compensation System: Applicable to contractual employees of the Group excluding senior
management hotel branch companies Yiwugou company and Yiwu Pay company.Anti-Forced Labor
Employee Benefits
The Company is committed to creating a harmonious inclusive and human rights-respecting work environment
implementing all provisions of the Labor Law and the Labor Contract Law prohibiting any form of forced or To enhance employees' sense of belonging and team cohesion and to attract and retain outstanding talents in the
compulsory labor and ensuring that every employee participates in work voluntarily and on an equal basis. industry the Company provides generous benefits to its employees. The Company legally contributes to employees'
pension insurance medical insurance unemployment insurance maternity insurance work injury insurance housing
To fully protect employees' legal rest rights the Company established the "Employee Leave Management provident fund and enterprise annuity. Employees are entitled to benefits such as meal subsidies regular health
Regulations" clarifying working hours and leave policies. The Company implements a five-day eight-hour work check-ups heatstroke prevention allowances staff recuperation childcare fees condolences for
system. Employees may have rotating days off or shifts based on their work content or piecework hourly or weddings/funerals/childbirth hardship subsidies accidental injury insurance home visit travel expenses and extra-
comprehensive working hour systems depending on the nature of the work and operational characteristics. budgetary retirement benefits. During the reporting period social insurance coverage for employees reached 100%.During the reporting period the number of illegal incidents such as child labor and forced labor was 0 and the
labor contract signing rate was 100%. Performance Appraisal Management
The Company establishes and improves a comprehensive performance management system strengthens the
Compensation and Benefits application of performance appraisal results and forms standardized and effective incentive and restraint mechanisms to further enhance employee efficiency motivation and creativity.Employee Compensation System The Company implements performance evaluations for all employees focusing on job
responsibility fulfillment work attitude and work capabilities. During the reporting
The Company adheres to the principle of "appointing people based on merit ability and performance" establishing Assessment Method period 100% of employees underwent regular performance and career development
and continuously improving a performance-oriented compensation distribution system that matches the Company's evaluations.development to ensure scientific and reasonable salary allocation. The Company formulated the "CCC Group
Compensation System" to further enhance the competitiveness of its compensation motivate employees' enthusiasm Assessment results are graded; a performance evaluation registration system is
and initiative and promote sustainable development. Assessment Result established for annual records; results are linked to promotions/demotions bonus
distribution and commendations.Employee salaries at the Company consist of position skill wages monthly performance bonuses annual performance
bonuses allowances overtime pay and special awards. Performance Feedback If there are objections to the annual performance rating employees may apply for
and Complaint review and appeal to the HR department in accordance with relevant regulations.Zhejiang China Commodities City Group Co. Ltd. * Compliance Governance * Environmentally-friendly * Focused on Innovation * People-oriented
to Build a Clean State-Owned Enterprise to Guard Our Homeland to Provide Supervior Service to Build a Better Society Together 2024 Environmental Social and Governance Report
Stock incentive Employee Communication and Interaction
To further motivate directors mid-to-senior management and core technical (business) employees in terms of
enthusiasm responsibility and mission and to jointly focus on the Company's long-term development the Company
launched the "2020 Restricted Stock Incentive Plan" in October 2020 implementing an equity incentive plan to Diversified Communication Channels
stimulate employee motivation and creativity. In 2024 the Company steadily advanced the equity incentive plan
achieving the conditions for the second and third release periods of the reserved portion of the 2020 Restricted Stock The Company facilitates smooth information exchange and communication channels among employees encourages
Incentive Plan during the reporting period. In the future the Company will continue to provide long-term incentives equal dialogue between employees and across hierarchical levels creates a favorable environment for employees to
for employees supporting the stable development and performance growth of the enterprise. participate in democratic decision-making management and supervision and safeguards employees' legitimate
rights such as the right to know and the right to participate. The Company has established a comprehensive
Democratic Management and Communication information management system enabling employees to communicate and exchange information through channels
such as official account mailboxes WeCom (enterprise WeChat) colleague forums and the Company's internal
Workers' Congress and Trade Union website.Yiwu CCC continuously strengthens employees' sense of ownership deepens their identification with and belonging Complaints and Reasonable Suggestions
to the Company culture and builds a more harmonious and cohesive work community. In accordance with the "Trade
Union Law of the People's Republic of China" and "Regulations on Enterprise Democratic Management" the Employees may file complaints with the relevant parties or departments when their rights are violated or when they
Company has established a sound management mechanism for trade unions and employee congresses as a bridge to discover any behavior that violates company regulations. If the complainant disagrees with the resolution proposed
promote two-way communication deepen cooperation and achieve mutual benefits between employees and the by the respondent or the relevant department the complaint will be escalated level by level. The Group Discipline
enterprise. During the reporting period the employee congress reviewed and approved 3 projects the trade union Inspection Office is responsible for supervising and inspecting the handling and execution of complaints.reviewed and approved 5 projects and trade union members accounted for 93% of the employees of the Company.The Company encourages employees to submit reasonable with the Group Office responsible for collection and
Construction Status of Primary-level Trade Union Organizations accurate dissemination.Number of union members 3255
Number of female union members 1371
Group OA System: HTTP://OA.CCCGROUP.COM.CN
Number of male union members 1884 Group HR Information Management System:
HTTP://HRNEW.ONCCC.COM
Group Office Tel: 0579-85182800
Group Discipline Inspection Office Tel: 0579-85182798
Trade Union Collective Wage Negotiation Meeting Group HR Center Tel: 0579-85581281
Case CCC Employee Roundtable
The Company holds quarterly employee roundtable events for employee representatives at different levels and positions to facilitate two-way communication between employees and group leadership encouraging employees to
contribute suggestions for the Group's reform and development.Zhejiang China Commodities City Group Co. Ltd. * Compliance Governance * Environmentally-friendly * Focused on Innovation * People-oriented
to Build a Clean State-Owned Enterprise to Guard Our Homeland to Provide Supervior Service to Build a Better Society Together 2024 Environmental Social and Governance Report
Labor Relations Management Activities and Care for Employees
Employee Activities
During the term of the labor contract any labor disputes that arise may be appealed by
Labor Dispute employees through prescribed procedures to their immediate supervisors or the HR The Company consistently adheres to a people-oriented philosophy establishing employee book corners planning
Resolution department and the Company will handle them properly in accordance with relevant and organizing diverse team-building and recreational activities to enhance communication and collaboration among
regulations. employees enrich their leisure time and create a harmonious and positive work atmosphere.Employees should submit their resignation applications 30 days in advance. If an
Resignation and employee leaves without notice exceeding stipulated days resigns without company Green Vine Program
Termination approval or is transferred to non-group entities it will be deemed voluntary resignation.Management When terminating or dissolving labor contracts with employees we strictly negotiate in accordance with labor laws and regulations and provide legal compensation as required
by law where economic compensation is due.Employee Satisfaction Survey
The Company attaches great importance to and continuously monitors changes in employee satisfaction regularly
conducting satisfaction surveys to deeply understand employees' genuine needs assess the work environment and
team atmosphere thereby implementing targeted measures to optimize HR management.Primary-level Employee Satisfaction Survey
The Company conducted the 2024 CCC Group frontline employee satisfaction survey covering multiple dimensions
such as overall satisfaction sense of achievement at work recognition and respect compensation and benefits work
environment training and development communication and teamwork management and innovation talent
mechanisms and policies corporate culture and future development. In this Primary-level employee satisfaction
survey 209 questionnaires were distributed 205 were collected all 205 were valid and the overall satisfaction rate
among Primary-level employees was 90.05%.The 9th CCC Sports
Hotel Business Line Employee Satisfaction Survey Meeting
Hotel Satisfaction Rate
Yiwu International Expo Center Hotel 95.46%
Ocean Hotel 93.60%
Yandoo Hotel 92.22%
Yayue Hotel 90.72%
CCC Hotel 88.89%Zhejiang China Commodities City Group Co. Ltd. * Compliance Governance * Environmentally-friendly * Focused on Innovation * People-oriented
to Build a Clean State-Owned Enterprise to Guard Our Homeland to Provide Supervior Service to Build a Better Society Together 2024 Environmental Social and Governance Report
Mid-Autumn Qingming Festival Support for
Festival Event Event Employees in Need
Summer Camp for Employees'
Children
Care for Employees
The Company actively carries out employee care activities offering warm wishes and gifts visiting and assisting
employees in need making them deeply feel the Company's warmth and care."Summer Heat Relief"
Employee Care Activity
Indicators Unit 2024
Number of Employees in Need Assisted People 21
Financial Assistance Amount for Employees in Need Yuan 63000Zhejiang China Commodities City Group Co. Ltd. * Compliance Governance * Environmentally-friendly * Focused on Innovation * People-oriented
to Build a Clean State-Owned Enterprise to Guard Our Homeland to Provide Supervior Service to Build a Better Society Together 2024 Environmental Social and Governance Report
Women's Rights Protection Employee Training and Development
The Company deeply cares for the physical and mental health of female employees safeguards their legitimate rights
and interests and is committed to creating an inclusive and supportive work atmosphere enabling every female
employee to feel the Company's warmth and respect and shine in their career paths. Female employees are entitled Talent Development Philosophy
to special leaves including maternity leave family planning leave breastfeeding leave and Women's Day exclusive
holiday benefits. During Women's Day the Company organizes diverse activities for female employees to celebrate
and show respect. During the reporting period 49 employees took maternity leave with a 100% return-to-work rate Yiwu CCC adheres to a people-oriented philosophy regarding human capital as the Company's most valuable asset.and 49 employees took parental leave with a 100% return-to-work rate. The Company continuously improves its training and evaluation systems enhancing employees' professional skills and qualities through the accumulation dissemination application and innovation of knowledge experience and
capabilities. It provides career development planning for each employee to achieve mutual growth between
CCC Group Female employees and the Company.Employee Care Activity Career Development Path
The Company has established and continuously improved a "dual-track multi-sequence" job grade system
formulated relevant promotion management measures to consistently energize the workforce and foster mutual
growth between employees and the Company.The Company adheres to the principle of appointing people based on merit capability and performance. Salary
adjustments and promotions are determined by evaluation results. The Company has formulated the "Subsidiary Units
Primary-level Management Personnel Selection and Appointment Management Measures" to strengthen the
management of Primary-level management personnel selection and appointment in subsidiary units promoting the
standardization and institutionalization of cadre team management.CCC Group "March 8" Women's Selection Criteria Day Event
When selecting and appointing frontline managers the Company comprehensively evaluates both basic qualifications
and eligibility criteria:
* Possess high political integrity and good moral character adhere to basic professional norms
uphold integrity comply with laws and regulations maintain self-discipline and demonstrate
organizational and big-picture awareness.* Identify with the corporate culture and values of the Group company willing to take on
Basic responsibilities career-driven diligent and proactive in work with good recognition among
Conditions colleagues.* Possess certain organizational and leadership skills as well as the necessary knowledge and
work experience for the corresponding hierarchical position.* Performance appraisal results are good or above.Qualification * Eligibility criteria cover multiple aspects such as age education and work experience with
Conditions differentiated specific standards set according to different position characteristics.Zhejiang China Commodities City Group Co. Ltd. * Compliance Governance * Environmentally-friendly * Focused on Innovation * People-oriented
to Build a Clean State-Owned Enterprise to Guard Our Homeland to Provide Supervior Service to Build a Better Society Together 2024 Environmental Social and Governance Report
Selection Method Indicators Unit 2024
The selection methods for primary-level managers include competitive recruitment and direct selection. Investments in Employee Training million yuan 2.5094
For newly promoted management positions if the number of qualified candidates Employee Training Coverage Rate % 100
Competitive Recruitment exceeds the number of available positions selection should be conducted through a
competitive process.Training Sessions (Organized at Group Level) Times 148
When effective competition cannot be formed due to reasons such as unit size or Total Number of Trainees (at the Group Level) People 3255
Direct Selection position requirements and suitable candidates are available the unit leadership may
decide through research to proceed with a direct selection process.Total Participation Count in Trainings (at Group Level) Person-times 7508
Total Employee Training Hours Hours 149730
Indicators Unit 2024
Average Annual Training Hours per Employee Hours 46
Number of Employees Internally Transferred or
Applying Internally People 147
Construction of "CCC Cloud Classroom" Online Learning Platform
Employee Internal Transfer or Internal Application In 2024 CCC Group implemented full coverage of the "CCC Cloud Classroom" online learning platform to
Ratio % 4.52 comprehensively enhance the knowledge levels of employees at all levels requiring all staff to complete 40 online
learning points annually.In 2024 the platform had 4004 learners offering a total of 562 courses with employees accumulating 95037.38
Employee Training Measures hours of learning time averaging approximately 24.85 hours per person. Group departments and subsidiaries released
a total of 2718 learning tasks via the online learning platform achieving a training coverage rate of 98.4% with
To support the Group's strategic transformation and rapid business development while strengthening talent support courses focusing on general management personal development efficiency management and professional ethics.CCC Group has established human resource brand IPs such as the "Hatch Program" "Five Eagles Program" "Wing In addition to systematic courses the CCC Cloud Classroom features an "Internal Courses" section including "Group
Growth Plan" "Strong Feather Plan" and "Smart Share Platform." It has built a comprehensive career lifecycle Strategy Training" "New Business Modules" "Corporate Culture" "Internal Trainer Courses" and "Workplace
training system for employees continuously driving high-quality development of the Group's human resources. safety." At the same time a special "New Employee Onboarding Training" module is established to help new
employees quickly understand and integrate into the Group learning knowledge and skills through more channels.Full Career-Cycle Training System for Group Employees
Special Training Program
"Hatchl Program" New Employee Onboarding Training "Five Eagles Program" Management Position Competency
Qualification Series Training
28
711732
"Wing Growth Program" Series Training for Newly "Strong Wings Program" Series Training for High-performing
Promoted Managers Managers
148
Training Sessions
1372 312 Participation CountZhejiang China Commodities City Group Co. Ltd. * Compliance Governance * Environmentally-friendly * Focused on Innovation * People-oriented
to Build a Clean State-Owned Enterprise to Guard Our Homeland to Provide Supervior Service to Build a Better Society Together 2024 Environmental Social and Governance Report
"Hatch Program" New Employee "Strong Wings Program" Training for
Onboarding Training High-Performing Frontline Managers
"Five Eagles Program" Pre-Appointment "Wing Growth Program" Training for
Competency Training Newly Promoted ManagersZhejiang China Commodities City Group Co. Ltd. * Compliance Governance * Environmentally-friendly * Focused on Innovation * People-oriented
to Build a Clean State-Owned Enterprise to Guard Our Homeland to Provide Supervior Service to Build a Better Society Together 2024 Environmental Social and Governance Report
Vocational Skills Training Leadership Training
During the reporting period the Group actively conducted training programs such as "Action Learning 'Facilitation To fully advance the "Yiwu Market's Renewed Glory" actively respond to new developments and challenges in the
Coach' for Solving Business Challenges" and specialized HR training comprehensively enhancing the professional international trade economy and further enhance the comprehensive management skills and leadership of the Group's
skills and overall competence of young cadres and HR personnel. middle and senior managers the Group conducted three professional training sessions on "International Economic
Trends and Enterprise Management" in February-March 2024 with approximately 480 participants."International Economic Trends and
Enterprise Management" Training
Action Learning Training
Skills Competition
The Group actively planned and hosted the "CCC Craftsman" skills competition for the property management and
hotel business lines providing employees a platform to showcase their talents and hone their skills. Through practical
competitions it continuously taps potential achieves self-transcendence and elevates employees' professional skills
and service quality."CCC Craftsman" Skills Competition for
Specialized Training on HR Management Property Management Business LineZhejiang China Commodities City Group Co. Ltd. * Compliance Governance * Environmentally-friendly * Focused on Innovation * People-oriented
to Build a Clean State-Owned Enterprise to Guard Our Homeland to Provide Supervior Service to Build a Better Society Together 2024 Environmental Social and Governance Report
"CCC Craftsman" Skills Competition
for Hotel Business Line Occupational Health and Safety
Health and Safety Management System
The Company adheres to the safety culture concept of "Safety First Prevention Foremost" and upholds the safety
policy of "Safety First Prevention as Priority Comprehensive Management." It strictly complies with laws and
regulations such as the "Work Safety Law of the People's Republic of China" and the "Occupational Disease
Prevention and Control Law of the People's Republic of China" implements various workplace safety and fire safety
management systems outlined in the "CCC Group Comprehensive Governance Fire Safety and Work Safety
Manual" and creates a safe working environment for employees.The Company continuously improves its workplace safety organizational system establishing a Workplace safety
Committee chaired by the Group's Party secretary and chairman with other leadership team members as deputy chairs and heads of group departments and subsidiary units as members. The Safety Committee has established a Workplace
Safety Department dedicated to supervising guiding and coordinating workplace safety work. Subsidiary units such
Support for Academic Advancement as markets hotels and parks under the Group have all set up safety management departments. In addition the Group incorporates workplace safety into operational performance management assessments linking safety work with
To enhance employees' educational levels and professional competence the HR center actively promotes academic corporate benefits thereby encouraging all units to prioritize workplace safety. During the reporting period Supply
advancement initiatives selecting professional institutions to provide high-quality academic upgrading services and Chain Company obtained ISO45001:2018 Occupational Health and Safety Management System certification.disseminating registration information through internal company channels. In 2024 the Company's academic
advancement efforts achieved a 100% enrollment rate for high school to college programs and a 94.44% enrollment Workplace Safety Responsibility System
rate for college to bachelor's programs. In the future the Company will continue to deepen efforts in academic
advancement expand high-quality educational resources assist employees in achieving academic upgrades and lay The Company implements an all-employee safety responsibility system establishes a sound grid-based management
a solid talent foundation for the Group's development. system signs workplace safety responsibility agreements at all levels and tightens and solidifies safety
responsibilities. At the end of 2023 the Group formulated the "2024 Comprehensive Governance Fire Safety
University-Enterprise Cooperation Counter-Terrorism Petition and Safety Responsibility Agreement" completing the signing of 458 safety responsibility agreements with various companies through tiered execution.In 2024 CCC Group's HR Center signed strategic cooperation agreements with universities such as Zhejiang
University Zhejiang University of Technology China Jiliang University and Yiwu Industrial & Commercial College Objectives and Plans
pooling high-quality resources from enterprises and universities to continuously improve the top-level design and
system construction of CCC Academy and expand the brand influence of China Commodities City Business School.Achievement Status of Workplace Safety * Achieved with no major or above workplace safety incidents occurring.Objectives for 2024
* Persist in routine and specialized inspections to ensure comprehensive safety management of the
Group's construction projects. Conduct monthly routine safety inspections focusing on hazardous
major projects and criteria for identifying significant accident risks supplemented by specialized
inspections aligned with holidays seasonal characteristics and regulatory requirements
effectively preventing and mitigating liability accidents to ensure the safety of the Group's
construction projects.Workplace Safety
Objectives for 2025 * Lead the preparation for new project operations and strengthen security foundations. Provide operational guidance for new projects such as the Cross-Border E-Commerce Logistics Park and
Global Digital Trade Center integrating relevant information into the Group's digital work safety
platform to enhance overall safety management standards.* Fully ensure the safety of events and exhibitions building a solid security barrier. Through
measures such as refining event plans strengthening security teams and conducting emergency
drills provide solid support for the smooth hosting of large-scale events and exhibitions.* The Workplace Safety Department will continue to strengthen safety management continuously
improve safety systems and emergency plans; enhance safety training and education for
Long-term Planning employees and elevate overall safety awareness and emergency response capabilities. Through
persistent and long-term efforts the Group ensures a consistently stable workplace safety situation
laying a solid foundation for sustainable development.Zhejiang China Commodities City Group Co. Ltd. * Compliance Governance * Environmentally-friendly * Focused on Innovation * People-oriented
to Build a Clean State-Owned Enterprise to Guard Our Homeland to Provide Supervior Service to Build a Better Society Together 2024 Environmental Social and Governance Report
Holding the Safety Line Case Third District Branch Conducted Various Emergency Drills
Safety Hazard Investigation In 2024 the Third District Branch of the International Trade City actively organized various emergency drills
including fire alarms flood prevention and e-bike spontaneous combustion comprehensively enhancing the
emergency response and rapid reaction capabilities of all staff.CCC Group Leadership Conducted Safety Inspection Before Spring Festival
Full-staff Fire Emergency Drill
From January 29 to February 2 2024 to implement pre-holiday safety measures and ensure sustained stability in fire
safety work safety and security the Group leadership conducted safety inspections at key subordinate units
achieving a 100% rectification rate for identified issues.CCC Group First Quarter Safety Inspection Assessment
The Workplace Safety Department jointly with Market Operation Company and the Property Management Company
conducted Q1 safety inspections and assessments for key subordinate units focusing on the implementation of
workplace safety responsibilities safety training for new employees and management of firefighting facilities and
equipment. The rectification rate for issues identified in this safety inspection reached 100%.CCC Group Pre-May Day Inspection
Emergency Response and Evacuation
Drill for Vehicle Fires
On April 15 2024 the Work Safety Department organized inspections of key units ahead of May Day focusing on
fire safety operational status of electrical equipment special goods control and on-site safety management. The
rectification rate for issues identified in this safety inspection is 100%.CCC Group Pre-National Day Safety Inspection for 2024
On September 11 2024 the Workplace Safety Department organized fire control engineering and other relevant
key personnel to conduct pre-National Day safety inspections at subsidiary units achieving a 100% rectification rate
for identified issues.CCC Group 2024 Year-End Safety Inspection and Assessment
Emergency Response and Evacuation
In December 2024 the Workplace Safety Department conducted year-end safety inspection and assessment for all Drill for Basement Fire Alarms
subordinate units comprehensively evaluating their safety management records implementation of various directives
and night emergency drills. Regarding the issues identified in this inspection all units are required to attach great
importance effectively strengthen the daily training of emergency personnel and comprehensively enhance
emergency management capabilities.Emergency Plan and Drills
CCC Group has formulated multiple emergency plans such as the "CCC Group Fire Alarm and Fire Emergency
Response Plan" and "CCC Group Flood Typhoon and Drought Prevention Emergency Plan" clarifying emergency
response procedures division of responsibilities and rescue measures to ensure swift and orderly action in
emergencies. Meanwhile the Group actively conducts various emergency drills enhancing employees' emergency
response capabilities and teamwork through simulated scenarios providing solid support for the safe operation of
Yiwu CCC.Zhejiang China Commodities City Group Co. Ltd. * Compliance Governance * Environmentally-friendly * Focused on Innovation * People-oriented
to Build a Clean State-Owned Enterprise to Guard Our Homeland to Provide Supervior Service to Build a Better Society Together 2024 Environmental Social and Governance Report
Emergency Response Drill for Electric Bike Trainings and Promotion on
Spontaneous Combustion Workplace Safety
Digital Management of Work Safety
CCC Group relies on smart technologies such as smart fire protection smart security and digital platforms for safe
production to build a robust security barrier achieving comprehensive real-time monitoring and alerts. Across
multiple business sectors including markets parks hotels and logistics warehouses the Company strictly implements
safety standards and strengthens risk management.Smart Fire Protection Indicators Unit 2024
Workplace Safety Investment Amount million yuan 20.6167
Number of Safety Emergency Drills Times 65
Hazard Rectification Rate % 100
Annual Number of Workplace Safety Incidents Count 0
Work-related Fatalities People 0
Total Number of Work-Related Injuries People 0
Lost Workdays due to Work-Related Injuries Working days 0
Occupational Health Management Trainings on Safety Education Times 70
The Company highly values employee health strictly adheres to occupational health laws and regulations such as the Participation in Trainings on Safety Education Person-times 92330
"Occupational Disease Prevention and Control Law of the People's Republic of China" and the "Workplace
Occupational Health Supervision and Management System" and provides employees with medical insurance annual Total Duration of Trainings on Safety Education Hours 70
health checkups and other safety measures to protect their physical well-being. The Company conducted the 2024
annual health check-up with participation exceeding 3000 people (excluding mid-level and above personnel Coverage Ratio of Trainings on Safety Education % 100
headquarters employees and holding company employees).Coverage Rate of Safety Risk Protection Trainings % 100
Promotion and Trainings on Safety Certification Rate for Special Operations Personnel % 100
CCC Group attaches great importance to the construction of safety culture actively fosters a strong safety atmosphere Investment Amount in Work Injury Insurance million yuan 1.013
regularly organizes activities such as "Workplace Safety Month" and "Fire Prevention Awareness Month" and
gradually establishes a distinctive safety culture system laying a solid safety foundation for the Company's Coverage Rate of Work Injury Insurance % 100
sustainable and stable development.Employee Health Inspection Coverage Rate % 100
New Cases of Occupational Diseases Cases 0Zhejiang China Commodities City Group Co. Ltd. * Compliance Governance * Environmentally-friendly * Focused on Innovation * People-oriented
to Build a Clean State-Owned Enterprise to Guard Our Homeland to Provide Supervior Service to Build a Better Society Together 2024 Environmental Social and Governance Report
Practicing Social Responsibility
CCC Group actively responds to national and local policy directions and strategic plans leverages its strengths to
contribute more to rural revitalization and social welfare initiatives actively participates in the "Belt and Road"
construction fully demonstrates the social responsibility and mission of state-owned enterprises and contributes to
promoting common prosperity and building a harmonious and beautiful society.Social Contribution
Since its establishment the Company has consistently practiced corporate social responsibility while achieving steady
growth dedicating itself to social welfare and charity advocating the spirit of great love and passing on the baton of
kindness. Making due contributions in areas such as poverty alleviation through education respecting the elderly and
caring for the young demonstrating love through actions spreading warmth and fostering hope.Volunteer Activities
Comforting Activities
Case CCC Group Women Volunteers Conduct Legal Awareness Campaign
Case "Welcome the New Year with Warmth" Comforting Activity
CCC Group actively responds to the call for national rule of law construction organizing female volunteers to carry
out legal awareness campaigns further enhancing public legal awareness and promoting social harmony and stability. In January 2024 all Party members of Hotel Management Company visited the Association for the Elderly of Dafan
Village in Dachen Town to carry out the "Welcoming the New Year with Warmth" comforting activity bringing
blessings and care to over 60 elderly people in Dafan Village.Case Case Study: Hotel Management Company Party Branch Conducted Activities
for the 36th Patriotic Health Month
April 2024 marks the 36th National "Patriotic Health Month" in China. The Party Branch of Hotel Management
Company in collaboration with the Party Branches of CCC Hotel Xiashuidui Village Yiwu Sanxitang and Yiwu
Dental Hospital jointly carried out the "Healthy Town Healthy Weight" themed activity.Zhejiang China Commodities City Group Co. Ltd. * Compliance Governance * Environmentally-friendly * Focused on Innovation * People-oriented
to Build a Clean State-Owned Enterprise to Guard Our Homeland to Provide Supervior Service to Build a Better Society Together 2024 Environmental Social and Governance Report
Case "Double Ninth Day Sparkles with Warm Autumn Colors Deepening Our Care Charitable Donation
for the Elderly " Comforting Activity
In October 2024 Hotel Management Company carried out the "Double Ninth Day Sparkles with Warm Autumn
Colors Deepening Our Care for the Elderly " Party member activity offering care and comfort to the elderly Case Charitable Donation
community in Shentan Village Chi'an Town.The Company is passionate about public welfare actively fulfilling social responsibilities through charitable
donations signing a "Donation Agreement" with the Yiwu Charity Federation to donate 200000 yuan annually.Case Delivering Books to Rural Areas
The Party Branch of the Fifth District Branch of the International Trade Mart supported the cultural development of
Nanqingkou Village by donating approximately 150 books in a rural book donation initiative.Case Double Ninth Festival Conforting Activity
In October 2024 the Party Branch of the Fifth Branch of the International Trade Mart together with the Party
Branches of the Yiwu Wenling Chamber of Commerce and the Zhejiang Pet Products Industry Association visited
Nanqingkou Village for a Double Ninth Festival conforting activity offering care to the elderly and 65 families in
the village.Humanistic Care
CCC Group Sets Up "Mom's Warm
Heart Cabins" in Market AreasZhejiang China Commodities City Group Co. Ltd. * Compliance Governance * Environmentally-friendly * Focused on Innovation * People-oriented
to Build a Clean State-Owned Enterprise to Guard Our Homeland to Provide Supervior Service to Build a Better Society Together 2024 Environmental Social and Governance Report
Construction of Barrier-free Facilities Case Village-Enterprise Co-construction—Dongzhu Village
in the Market Area of CCC Group
The Fourth District Branch of the International Trade City actively collaborates with Dongzhu Village to deepen the
cooperation mechanism jointly advance the village-enterprise co-construction project and support Dongzhu
Village's rural revitalization efforts.Visits to Market
Merchants
Case Village-Enterprise Co-construction – Shentan Village
The Party Branch Committee of Hotel Management Company visited the co-constructed Shentan Village Chi’an
Town to discuss and exchange views with the village's "two committees" on aspects such as customer attraction
business model renewal and information linkage for the Willow Shadow Restaurant while also engaging in
exchanges on "requirement alignment information sharing and joint activities." The Party branch of Hotel
Management Company will continue to leverage the red resources of Shentan Village to promote the development
of the village collective economy improve the quality of life of villagers and add new momentum to creating a
healthy beautiful and harmonious rural environment.Indicators Unit 2024
Participation in Volunteer Activities Person-times 8760
Number of Volunteer Activities Times 12
Total Volunteer Activity Hours Hours 28944
Case Exploring the "Market + Rural" Path to Common Prosperity Pioneering a New
Rural Revitalization Model for Rural Shared Wealth
Tourism Company actively promotes the linkage between the 4A tourist shopping scenic area and Chian Town
The Company thoroughly implements the major strategic decisions made by the 20th National Congress of the achieving resource sharing and mutual empowerment and exploring a "market + rural" model for common prosperity.Communist Party of China on comprehensively advancing rural revitalization and accelerating the construction of an In collaboration with Huaxia Guolv and Hengfeng Guolv the Company plans to link "market + rural" tourism routes
agricultural powerhouse. It resolutely consolidates and expands the achievements in poverty alleviation deepens and study tour routes. Currently a series of study tour products have been developed contributing to the construction
village-enterprise cooperation actively explores new models for rural revitalization effectively promotes rural of a common prosperity path with Yiwu CCC characteristics.economic development and contributes to the comprehensive advancement of rural revitalization.Zhejiang China Commodities City Group Co. Ltd. * Compliance Governance * Environmentally-friendly * Focused on Innovation * People-oriented
to Build a Clean State-Owned Enterprise to Guard Our Homeland to Provide Supervior Service to Build a Better Society Together 2024 Environmental Social and Governance Report
Under “Belt and Road” Initiative Yiwu Market Project Indicator Index
Yiwu CCC actively implements the "Eight-Eight Strategy" advances the "Sweet Potato Economy" capacity Shanghai Stock Exchange Research on the Preparation
enhancement under the "No. 1 Openness Project" with a urgency sense of "cannot wait" a crisis awareness of "cannot Global Reporting Initiative (GRI) Listed Companies Self- of ESG Reports by Listed
delay" and a responsibility of "cannot do nothing" deeply plans and steadily implements the Yiwu Market Project Report Directory Sustainability Reporting Regulatory Guidelines No. Companies Controlled by Standards 14 - Sustainability Report Central State-Owned
promoting Yiwu Market to better serve and integrate into the national "Belt and Road" initiative and the new dual- (Trial) Enterprises
circulation development strategy. The Company adheres to the concept of "unified name unified logo unified
standards unified services and unified supervision" and implements a brand globalization strategy including
"overseas sub-markets FBC warehouses overseas websites overseas exhibition halls and overseas exhibitions" About This Report 2-1/2-2/2-3 / /
forming a rationally distributed competitive and dynamic brand system to establish "China Commodities City" as Report
an internationally renowned commercial brand. Preface
Chairman's Message 2-11/2-22/2-23 / /
The launch of the "Yiwu-Xinjiang-Europe" Railway Express has opened a smoother channel for Yiwu to "buy global
products sell products globally". Yiwu CCC leverages the China-Europe Railway Express to accelerate the
construction of an overseas trade service system for the Yiwu market extending its "vines" worldwide and enabling
small commodities to reach broader markets. About Us 2-1/2-2/2-6 / /
Entering
Five Major Advantages of Yiwu Market Projects Yiwu
CCC Performance Highlights
for 2024 201-1 Article 19 /
Global Brand Global Supply Global-Reaching Systematic And Professional and Leading
Influence Chain System International Efficient Digital Market Operation and Logistics Network Support Capabilities Management System ESG Governance System 2-14/2-22 Article 51/Article 52 G1.1.1
Response to SDGs / / /
Yiwu Markect Projects ESG Manage
ment Communication with
Overseas Submarket Through two major output models—multi-party cooperation and franchise Stakeholders
2-12/2-16/2-27/2-29/413-1 Article 53 /
cooperation—overseas project developers operators and others are jointly involved in
Brand Export the development and operation of overseas sub-markets achieving brand expansion in
Cooperation overseas markets. Identification of Key Issues 3-1/3-2/3-3 / /
Adopting two cooperation models of self-owned joint ventures and brand franchising + Adhering to the / / G1.1.4
FBC Warehouse system output we aim to build a digital trade-driven overseas comprehensive public Leadership of the Party
Global Delivery System logistics infrastructure providing enterprises that intend to go global with full-
Complia
nce
coverage fully transparent cross-border logistics fulfillment services. 2-9/2-10/2-11/2-12/2-13/2-16/2- G1.1.2/G1.1.3/G1.2.1/G1.2Governa Governance System
nce to 18/2-19/2-20/3-3
Article 51 .2/G1.2.3/G1.3.1/G1.3.3/G
3.2.1
Collaborating with enterprises in target countries or Chinese companies going global Build a
leveraging the advantages of the Yiwu market integrating digital cargo manifests Clean G2.1.1/G2.1.2/G3.1.1/G3.1Overseas Websites
uniting Yiwu trade entities and merchant resources to create the CG (Chinagoods) State- Compliance Management 2-23/2-24/2-25/2-26/2-27/33/207- Article 53 .2/G3.1.3/G3.2.2/G3.2.3/G
Digital Cargo Sharing 1/207-2 4.1.1/G4.1.2/G4.2.1/G5.1.1overseas website cluster model and building an overseas media matrix to assist the Owned Enterpri /G5.1.2/S4.1.1
Yiwu market and merchant brands in going global. se
Article 54/Article
Overseas Exhibition Leveraging the "One-Stop Good Goods" supply chain resources of the Yiwu Market Business Conduct 3-3/205-1/205-2/205-3/206-1 55/Article 56 G2.2.1/G2.2.2/G2.3.2
Hall collaborating with local operational services to create an offline physical exhibition hall
Supply Chain Integration integrating product display trade fulfillment and digital services with a focus on Environ
Services advancing the overseas distribution channels for Yiwu products. mentally
Friendly Addressing Climate 3-3/201-2/305-1/305-2/3054/305- E3.1.2/E3.1.3/E3.1.4/E3.1.Organize overseas exhibitions of the China Yiwu International Commodities Fair to Guard Change 5 Articles 21 to 28 6/E3.2.1/E3.2.2/E3.4.1/E5.Overseas Exhibition locally for product enterprises with suitable products for the sub-market countries and
Our 1.1
Homelan
surrounding regions. On one hand testing the feasibility of products and enterprises
Brand Exhibition & d through exhibitions; on the other hand leveraging the marketing and traffic-generating
Trade Platform functions of exhibitions to provide sustained momentum for the prosperity of overseas
branch markets.Zhejiang China Commodities City Group Co. Ltd. * Compliance Governance * Environmentally-friendly * Focused on Innovation * People-oriented
to Build a Clean State-Owned Enterprise to Guard Our Homeland to Provide Supervior Service to Build a Better Society Together 2024 Environmental Social and Governance Report
Shanghai Stock Exchange Research on the
Global Reporting Initiative (GRI) Listed Companies Self- Preparation of ESG Reports Reader Feedback
Report Directory Sustainability Reporting Regulatory Guidelines No. by Listed Companies
Standards 14 - Sustainability Report Controlled by Central Thank you for taking the time to read the "Zhejiang China Commodities City Group Co. Ltd.’s 2024 Environmental Social and
(Trial) State-Owned Enterprises Governance Report." We highly value and look forward to hearing your valuable opinions and suggestions on the Company's ESG
E1.1.1/E1.1.2/E1.1.3/E1.1. efforts and sustainable development management. Your feedback is an important basis for our continuous improvement in ESG work 3-3/301-1/302-1/302-2/302- and enhancing sustainable development management. We sincerely invite you to assist in completing the relevant questions in the
Environ Resource Management 3/302-4/302-5/303-1/303-2/303- Article 35/Article 36
4/E1.3.1/E1.3.2/E1.3.3/E1.
3/303-5 3.4/E1.3.5/E5.2.1/E5.2.2/E
reader feedback and provide your responses through the following channels. Once again we appreciate your strong support for our
mentall 5.2.3/E5.3.1 ESG initiatives!
y
Friendl E2.1.1/E2.1.2/E2.1.3/E2.1. Tel: 0579-85182812
y to Environmental 101-2/101-4/3-3/303-2/303- 4/E2.2.1/E2.3.1/E2.3.2/E2. Fax: 0579-85197755
Guard Management 4/305-7/306-1/306-2/306-3/306-
Articles 29 to 33/Article
37 3.4/E4.1.1/E5.4.2/E5.4.3/E Email: Hxu@cccgroup.com.cn
Our 4/306-5 5.4.4/E5.4.6/E5.5.1/E5.6.1/
Homela E5.6.2 Address: CCC Group Building 567 Yinhai Road Yiwu Zhejiang Province
nd
Building a New Energy
Trading Market / / E5.4.5
Innovation-Driven 3-3 Article 41/Article S2.3.1/S2.3.2/S2.3.3/S2.3.42/Article 43 4
Your relationship with Yiwu CCC:
Product and Service Safety 3-3/416-1/416-2/417-1/417- S2.1.1/S2.1.2/S2.1.4/S2.2.Focused & Quality 2/417-3 Article 47 1/S2.2.2 □ Shareholders & Investors □ Government & Regulatory Agencies □ Clients □ Partners □ Employees □ Industry Associations &
on Organizations □ Community Public & Media □ Others
Innovat Information Security &
ion to Customer Privacy 3-3/418-1 Article 48 S2.2.3 (Please specify)
Provide Protection
Superio 1. Your overall evaluation of this year's ESG report:
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