2024

Sustainability Report

Goneo Group Co. Ltd.CONTENT Preface Appendix

About the Report 01 ESG Performance 166

Message from the Board of Directors 02 ESG Performance of Banmen Electric 174

Index of Indicators 177

Third Party Assurance Report 188

Carbon Verification Report 191

010203040506

About Goneo Sustainability Management Governance Environment Value Chain Society

Company Profile 06 Sustainability Strategy 12 Corporate Governance 22 Environmental Management 50 Innovation and R&D 86 Labor and Human Rights 120

Our Business 07 Sustainability Management 13 Risk Management and Compliance 26 Tackling Climate Change 55 Product and Service Quality 93 Human Capital Development 130

Company Honors 08 Sustainable Development Goals 15 Business Ethics 30

and Tracking Pollutant and Waste Management 73 Customer Relationship Management 103 Occupational Safety and Health 146

Data Security and Privacy Protection 41

Materiality Assessment 16 Water Resource Utilization and 77 Sustainable Supply Chain 108 Rural Revitalization and 161

Wastewater Discharge Social Contribution

Stakeholder Communication 18 Resource Utilization and Circular 80

Economy

Ecosystem and Biodiversity Protection 82About the Report

Description

Based on the principles of objectivity standardization transparency and comprehensiveness the 2024 Sustainability Report of Goneo Group

Co. Ltd. discloses in details about the Company’s practices and performance in environmental social corporate governance (ESG) and

other areas of responsibilities in 2024.Time frame

From January 1 to December 31 2024. To enhance the comparability and quality of the Report some content is appropriately retroactive

to previous years and subsequent events related to 2025 are added.Reporting scope

The organization scope of the Report is Goneo Group Co.Ltd. and its subsidiaries.Descriptions on references

For the convenience of expression and reading "Goneo Group Co.Ltd." is also referred to as "we" "Goneo Group" "Goneo" "Company" or

"Group" in the Report.Descriptions on data

The data sources used in the Report include the original data on the Company's actual operation annual financial data internal statistical

reports administrative documents and reports etc. The financial data has been independently audited by Pan-China Certified Public

Accountants LLP and the non-financial key data has been verified by MioTech LLC. The financial data in this Report is in RMB. In case of

any inconsistency with the financial report the financial report shall prevail.Forward-Looking Statement

This Report contains forward-looking statements regarding business activities events or developments that the Company anticipates will

occur in the future which is distinct from the statements of historical fact. Future results or developments may differ substantially from

these forward-looking statements due to various factors. Unless regulatory requirements dictate otherwise the Company is under no

obligation or duty to update any forward-looking statements made in this report before April 23rd 2025.Compilation basis

Sustainable Development Goals (SDGs) Corporate Action Guidelines of the United Nations

Sustainability Reporting Standards from Global Sustainability Standards Board (GRI Standards)

Guidelines No. 14 of Shanghai Stock Exchange for Self-Regulation of Listed Companies—Sustainability Report (Trial)

No. 1: General Requirements and Disclosure Framework and No. 2: Response to Climate Change in the Guideline No. 4 of Shanghai Stock

Exchange on Self-Regulation of Listed Companies – Preparation of Sustainability Reports

Reporting principles

This Report adheres to principles of accuracy balance clarity comparability completeness sustainability background timeliness and

verifiability.Report acquisition

The Report is released in electronic form. You can view and download it on the website of the Shanghai Stock Exchange (www.sse.com.cn)

and the Company's official website (www.gongniu.cn)

01Preface About Goneo Sustainability Management Governance Environment Value Chain Society Appendix

Message from the Board of Directors

In 2024 we overcame the highly uncertain business environment and multiple challenges achieving double-digit growth in both Smart Ecosystem: Driving Industrial Upgrading with Health and Intelligence

operating revenue and net profit. The total revenue for the year reached RMB 16.831 billion a year-over-year increase of 7.24%; net profit

attributable to the parent company was RMB 4.272 billion a year-over-year increase of 10.39% maintaining a steady and robust growth. The wave of digitalization is transforming electricity usage in households with consumers increasingly demanding safety comfort health and

intelligence. In response to this trend Goneo will focus on healthy lighting integrating AI smart technology to create comprehensive and safe

Since 1995 Goneo has grown from a small workshop into an industry-leading listed company. After thirty years of pursuing our dreams home electrical solutions building a safe comfortable healthy and intelligent home electrical ecosystem for consumers.now is the time to strive further. Standing at this significant milestone of turning thirty-one we pay tribute to our original entrepreneurial

aspiration and embark on a new journey with unwavering confidence.New Energy: Achieving Industry Leadership through Product and Service Innovation

The energy sector continues to evolve and new energy is profoundly changing consumers’ lifestyles. Goneo will focus on the charging business

leveraging technological breakthroughs product innovation and service innovation to achieve industry-leading status in the domestic charging

market. In the energy storage sector Goneo will accelerate industry expansion centering on product competitiveness capturing certain

Building Competitiveness with Craftsmanship opportunities in industry cycle adjustments and building comprehensive all-round competitiveness.Over the past thirty years we have focused on the electrical industry through systematic capability building and continuous innovation

establishing long-term comprehensive competitiveness. From "indestructible sockets" to "electrical safety experts" the Goneo brand has

become synonymous with "quality" and "safety" in the minds of consumers. This trust stems from Goneo’s unwavering commitment to Internationalization: Building a Global Presence through Localized Strategies

craftsmanship.For us globalization is not an option but an essential response. Goneo is developing a global business footprint promoting the localization of

We are dedicated to perfecting traditional products based on customer needs and deeply integrating innovative technology. Through electric connection smart electrical and new energy businesses. We drive innovative business models through refined channel management

continuous R&D investment and product iterations we consistently break industry boundaries redefine new standards for customer capabilities allowing the world to witness the quality and innovation of Chinese brands.experiences and ensure the safety of every family. We also continuously optimize marketing channels accelerate digital transformation

to make shopping more convenient for consumers and provide services that are free of worries. We have built an excellent supply chain

system leveraging the world’s largest manufacturers of converters and wall switches to create an end-to-end intelligent supply chain

ecosystem offering efficient and high-quality delivery experiences for users worldwide. By focusing resources through professionalism

and dedication fostering collaboration with systematic thinking and practicing long-termism through forward-looking planning we

ensure the company maintains strategic agility amid complex environments and stays steady amid cyclical fluctuations.Looking ahead regardless of changing circumstances Goneo will continue to adhere to the spirit of “professional focus striving to be the best andtaking the long road.” We will work side by side with every shareholder employee and partner to create greater social value maintain stability and

Illuminating the New Journey with Mission move forward steadily toward the future!

Today we find ourselves amidst unprecedented changes in a century. With profound shifts in the global political and economic landscape

a deep restructuring of international trade rules and the accelerated evolution of domestic industries and consumption patterns how to

seize the opportunities of certainty from uncertainty and maintain stability and long-term development is a question posed to us. By 2025

we will remain committed to the vision of becoming "the global leader in the civil electrical industry." We will focus on three strategic areas:

"smart ecosystem" "new energy" and "internationalization." Through systematic capability building and innovative thinking we will seize

opportunities in the midst of transformation lead through innovation and brand development and provide exceptional products and Board of Directors Goneo Group Co. Ltd.services to global consumers. We are dedicated to the electrical industry building long-term comprehensive competitiveness through April 2025

systematic capability development and continuous innovation. From "indestructible sockets" to "electrical safety experts" the Goneo

brand has become synonymous with "quality" and "safety" in the minds of consumers nationwide. This trust is rooted in Goneo’s unwaver-

ing commitment to craftsmanship.

02 03Preface About Goneo Sustainability Management Governance Environment Value Chain Society Appendix

About Goneo

Through its developmental journey Goneo Group has continuously

expanded its business boundaries while deeply focusing on key sectors

such as civil electrotechnics successfully establishing a diversified busi-

ness system. Backed by superior quality and widespread recognition its

products are sold in numerous countries and regions worldwide. With its

outstanding performance within the industry and remarkable operational

capabilities Goneo Group has received numerous accolades over the

years fully demonstrating its leading position within the industry.Preface About Goneo Sustainability Management Governance Environment Value Chain Society Appendix

Company Profile Our Business

Founded in 1995 Goneo Group is a company specializing in electric connections intelligent electrical lighting and new energy in the civil electrical The Company accelerates development across the smart ecosystem new energy and international operations. With innovation at our core we

industry. Guided by our vision to “become a leader in the international civil electrical industry” and our mission to “provide customers with a safe and continue to build comprehensive competitive advantages in product development marketing effectiveness and operational excellence leveragingcomfortable experience to use power” we adhere to our development philosophy of “taking the long way with professionalism and devotion and our leading positions in product R&D marketing supply chain and branding. Throughout our years of development Goneo has established threestriving for No. 1”. Goneo has consistently delivered innovations in functionality technology and design. In recent years we have unveiled a range of major business segments: electric connection intelligent electrical lighting and new energy. From residences to offices to mobility Goneo hashighly recognized new products such as the Master Track Socket the Butterfly Wing Ultra-thin Switch the Bladeless Fan Lamp the “Mini Power consistently provided consumers with safe and reliable electrical products and services for three decades.Cabin” Socket the Safe Charging Point and the Smart No-Main-Lamp Lighting.Beginning with our flagship socket segment Goneo has evolved over 30 years to establish a sustainable industrial portfolio centered on civil electrical

systems and lighting solutions. Market research1 confirms our widespread adoption with 7 out of 10 Chinese households using Goneo products. Our

reputation as a “Safety Electrical Expert” has become firmly established in consumers’ minds. Business Domains Product Category

electric connection Adapters (power strips) digital accessories etc.Wall switches and sockets LED lights (smart no-main-lamp lighting) safe circuit breakers

Smart Electrical Lighting smart bathroom heaters smart door locks smart clothes drying racks smart curtain

Provide customers with a Loyalty integrity machines etc.safe and comfortable power professionalism and

use experience devotion

new energy vehicle charging points/plugs household chargers industrial and commercial

Mission Core Values New Energy

Become a leader in the Being the best and taking the chargers outdoor portable chargers etc.international civil electrical long way with professionalism

industry and devotion

Vision Corporate Concept

Business Category

1 Data source: Shangpu Consulting Group

06 07Preface About Goneo Sustainability Management Governance Environment Value Chain Society Appendix

Company Honors

Trusted Brands

National Brand for Product and Service National Quality Leading Brand in Civil

Quality and Integrity Electrician Industry

Innovative Products China Association for Quality Inspection China Association for Quality Inspection

Zhejiang Manufacturing IDA Industrial Design - Q56

Excellence - Track Socket GB1 Intelligent Door Lock National Quality Leading Enterprise in National Consumer Quality and

Civil Electrical Industry

Economy and Information Teachnology International Design Awards Farmani Reputation Guaranteed Product，Department of Zhejiang Group China Association for Quality Inspection China Association for Quality Inspection

IDA Industrial Design - Q32P IF Industrial Design - G56 Butterfly Wing

Intelligent Door Lock Ultra-thin Switch Trustworthy Product in Nationwide National Quality Inspection Trustworthy

iF Industrial Forum Design GmbH iF Industrial Forum Design GmbH Quality Inspection Product

China Association for Quality Inspection China Association for Quality Inspection

iF Industrial Forum Design - Mini IF Industrial Design - G67 Master Series

Power Cabin USB Socket Switch National Demonstration Enterprises for

Product and Service Quality and Integrity

iF Industrial Forum Design GmbH iF Industrial Forum Design GmbH

China Association for Quality Inspection

iF Industrial Forum Design - Master Track Socket (Series)

iF Industrial Forum Design GmbH Enterprise Striving for Excellence

Top 100 Manufacturing Enterprises of

Second Prize of Zhejiang Science and Zhejiang Province in 2024

Technology Progress Award

Enterprise Federation of Zhejiang Province

People's Government of Zhejiang Province Entrepreneurs Association of Zhejiang

Province Industrial Economy Federation of

Zhejiang Province

Top 100 Fastest Growing Enterprises of

Zhejiang Province in 2024

Enterprise Federation of Zhejiang Province

Entrepreneurs Association of Zhejiang

Province Industrial Economy Federation of

Zhejiang Province

08 09Preface About Goneo Sustainability Management Governance Environment Value Chain Society Appendix

Sustainability Management

As an industry leader we are dedicated to establishing a bench-

mark for sustainability in driving corporate green transition and

enhancing overall social value. During the reporting period Goneo

Group joined the UN Global Compact to collaborate on advancing

global sustainability.Preface About Goneo Sustainability Management Governance Environment Value Chain Society Appendix

Sustainability Strategy Sustainability ManagementSustainability has always been embedded in Goneo’s strategic DNA. With our vision of becoming a “leader of sustainability value in the internation- To strengthen the top-level design of ESG governance and systematically drive the implementation of our sustainability strategy in 2024 Goneoal civil electrical industry” we have systematically developed a sustainability strategy framework structured around four pillars: management Group further enhanced the ESG governance structure and ESG management capabilities. In accordance with the Code of Corporate Governance for

mechanism international certifications dispute management mechanism and ESG value communication aiming to drive long-term alignment Listed Companies the Articles of Association of Goneo Group and other relevant regulations the Company has established an Environmental Social and

between corporate value and social value. Governance (ESG) Committee. The Chairman of the Board of Directors serves as the head of this Committee providing comprehensive leadership forstrategic ESG deployment. The sustainability governance system has evolved into a long-term operational framework built on “strategy driving-insti-tutional guarantee-closed-loop management”.ESG Governance Hierarchy Main Responsibilities

Vision

Leader of sustainability value in the international civil electrical industry

Researching and formulating strategic management plans of ESG management frameworks

systems and detailed implementation guidelines;

Identifying and supervising ESG-related risks and opportunities that profoundly impact the

To implement ESG principles according to international standards establish the best ESG practices in the international Company's operations guiding the Company in taking fitting measures to navigate ESG risks and

civil electrical industry and enhance capital market performance opportunities

Strategic Goals

Delving into the industry’s ESG developments and ESG performance to establish the Company’s

annual ESG management targets

Supervising and guiding ESG work and its implementation according to the Company’s sustain-

ability objectives strategic plans action plans work requirements etc. to drive departmental

execution of their respective work tasks

MSCI CSA EcoVadis CDP Disput Incidents ESG Committee

Determining the composition of the ESG Executive Office based on the Company’s requirements

Monitoring for ESG work

indicators

Reviewing the Company’s ESG reports and other major ESG-related matters

Convening regular ESG management meetings (bi-annually) to receive reports from the ESG

Management International Dispute Management ESG Value

Executive Office and business units and analyze the ESG situation

Mechanism Certifications Mechanism Communication

Management of toxic or Environmental certifications Customer satisfaction enhance- ESG value

hazardous substances Verification of greenhouse ment management process communication

Management of carbon gases Employee turnover rate manage- mechanism Charged with the day-to-day affairs of the committee and the execution of its decisions its duties

emissions Product certification ment process include but are not limited to preparatory work for committee resolutions routine work

Management of product Human rights certifications Media interview filing and coordination meeting orchestration (subject to a spot inspection each month) and the

quality and safety reporting process

Compliance certifications ESG Executive Office realization of committee-related determinations - all falling within the remit of the Executive

Four Pillars Management of Data leakage process Office for the hands-on execution of responsibilities of the ESG Committee

sustainable supply chain Sustainable sourcing

certifications Financial and audit report issuance

Management of labor process

rights Business ethics certifications Marketing compliance process

Business Ethics Information security

certifications Product defect and recall Management management process Internalizing and enacting resolutions of the ESG Committee

Information disclosure

verification Anti-discrimination whistleblowing Undertaking ESG initiatives to achieve or assist in achieving the department's ESG performance

Process

Functional Departments Routinely reporting the department's ESG endeavors to the ESG Committee while embracing the

and Business Divisions ESG Committee's oversight and guidance

ESG Indicator Management System ESG Capacity Building

Strategic

Support

Core Responsibilities at Each Hierarchical Level of the ESG Governance Structure

12 13Preface About Goneo Sustainability Management Governance Environment Value Chain Society Appendix

Each year based on ESG rating and the Company’s development strategy Goneo Group benchmarks against industry best practices to determine

material ESG mattersindicators and targets to be improved in priority formulates specific work plans and key milestones and sign responsibility Sustainable Development Goals and Tracking

agreements to ensure execution by relevant functional departments and business divisions.The Company has established a systematic target tracking mechanism that clearly defines our future development direction. We regularly review

Key results of sustainable governance achievements in 2024: Formulated and released progress across various indicators to ensure the steady achievement of our sustainable development goals.Established the Business Established the Employee 11 ESG-related systems

Ethics Committee Care Committee

Developed

Category of Issues key stage Achievement of Contributions to Targets for 2024 UN SDGs

Established an ESG value 11 annual ESG quantitative targets and

communication platform Achieve a green energy ratio of 7.5% or higher

Reduce electricity costs per RMB10000 of output value

Climate Change Response

in comprehensive energy consumption by 5%

Implemented the Top 10 Controversial 13 institutional process indicators year-on-year

Incident Management Mechanism

Achieve a 5-ton reduction of toxic and hazardous

Waste Management

substances at their source

To establish a top-down long-term mechanism for ESG enhancement and continuously advance sustainability the Company has implemented an

ESG assessment and incentive system. This system links ESG performance to management performance and extends to the heads of functional

Maintain 100% compliance rate for wastewater waste

departments and business units ensuring performance compensation is aligned with assessment outcomes. The ESG performance assessment

Pollutant Emissions gas and waste emissions

encompasses both the practice level of relevant topics and the management of dispute incidents. It evolves continuously according to industry

Record zero major EHS incidents

characteristics promoting the integration of ESG standards into the core business system to consolidate the foundation for risk prevention and

control and support high-quality development. The ESG performance assessment is detailed as below:

Products Trusted by

Record zero major product quality incidents

Customers

Decrease employee turnover rate by 5% year-on-year

Assessment Human Capital MSCI and EcoVadis ratings Achieve an employee administrative satisfaction rate of

Goals Development 80% or higher

Executive Office of the ESG Committee ESG experts

Occupational safety and Maintain a Lost Time Injury Rate （LTIR）at or below

Assessment Vice Presidents in charge of functional departments department heads ESG counterparts health 0.84

Scope

Heads of overseas factories and the New Energy Business Division ESG counterparts

Ensure 100% supplier integrity agreement signing rate

Sustainability-related practice level

Assessment

Indicators ESG-related dispute incidents

Integrity Compliance Reach 70% coverage in integrity risk assessments

across integrity management processes of business

units

Achieve 70% coverage in audit verification of

Assessment -20%~20% fundamental solutions to integrity risk points across

Weight integrity management processes of business divisions

ESG Targets: Negative assessment with negative incentives granted if targets are not achieved Maintain zero data leakage incidents in the information

Privacy and Data Security

Assessment ESG Topics: Assessment of implementation levels of sustainability-related topicswith rewards for positive

system

Mechanism performance and penalties for underperformance

Dispute Incidents: “Veto” assessment where responsible departments and individuals face performance

deductions when dispute incidents occur

Achieved In progress Uncompleted

14 15Preface About Goneo Sustainability Management Governance Environment Value Chain Society Appendix

Materiality Assessment

Occupational Health and Safety Product Quality and Safety

Business Ethics

Sustainable Supply Chain

In 2024 with reference to the Sustainability Report Guidelines1 and the Guidelines for Sustainability Report Compilation3 of Shanghai Stock Exchange Climate Change Response

based on ESG rating outcomes Goneo Group revised and refined topics in previous years reorganized a list of material topics and conducted double Rural Revitalization and Social Contribution

materiality analysis of ESG topics. Labor Rights

Pollutant Emissions and Waste Management

Resource Utilization and Circular Economy

Energy Utilization

Human Capital Development

The materiality assessment process of Goneo Group is as follows:

Water Resource Utilization Compliance and Risk Management

Data security and customer privacy

Framework Reference: We identify focus topics of this year by referencing ESG ratings SDGs GRI and SSE

guidelines with considerations given to Goneo Group’s local policy regulations industry background

business activities and strategic development direction.Stakeholder Identification: Through multi-party research we identify key stakeholders closely connected

to Goneo Group’s business operations.Topic List: Through reorganization and consolidation we screen 16 topics with more clearly defined and Ecosystem and Biodiversity Conservation

Identify unified connotations.Financial Materiality

Communication Channels: We establish diverse communication channels including written interviews Double Materiality Matrix

phone interviews meeting discussions shareholders’ meetings and online questionnaires to thoroughly

understand stakeholders’ concerns.Multidimensional Analysis: We clarify the boundaries of all topics through analysis of local regulatory

Analyze requirements management practices of outstanding industry peers and third-party expert opinions.Issues of Double Materiality Issues of General Issues of Non-Materiality

Scoring System: We utilize stakeholders’ double materiality results to rank ESG topics by materiality. Social Product Quality and Safety Governance Compliance and Risk Management Environment Water Resource Utilization

Matrix Building: We develop a double materiality matrix of ESG topics to visually represent each topic’s

relative significance to the Company. Environment Climate Change Response Governance Data security and customer privacy Environment Ecosystem and Biodiversity

Rank ConservationSocial Labor Rights Governance Business Ethics

Environment Energy Utilization Social Sustainable Supply Chain

Social Occupational Health and Social Rural Revitalization and Social Contribution

Review and Confirmation: We submit assessment results to the Board of Directors and the ESG Committee for Safety

review and confirmation to ensure objective and comprehensive topic assessment. Environment Pollutant Emissions and Waste Management

Results Application: We use assessment results as the core basis for Goneo Group’s ESG management and

planning guiding both information disclosure and strategy implementation. Environment Resource Utilization and Circular Economy

Confirm

Social Human Capital Development

Materiality Assessment Process

? Guidelines No. 14 of Shanghai Stock Exchange for Self-Regulation of Listed Companies - Sustainability Report

? Guide No.4 for Self-Regulatory Supervision on Listed Companies of the SSE - Compilation of Sustainable Development Reports

1617

Impact MaterialityPreface About Goneo Sustainability Management Governance Environment Value Chain Society Appendix

Stakeholder Communication Category of issues Topics of Concern Means and Channels of Communication

Green Office Training and Onboarding

Occupational Health and Safety Regular Meetings

Establishing effective and transparent communication channels is essential for understanding and meeting stakeholder expectations. To this end we

Occupational Training and Emails and Suggestion Box

have implemented appropriate communication methods for different stakeholders enabling Goneo to gather timely feedback identify potential

Development

risks and opportunities and refine ESG decision-making. Employee Activities

Protection of Employees' Rights Employee Performance Assessment

and Interests

Employees

Employee Communication and

Democratic Management

Category of issues Topics of Concern Means and Channels of Communication Employee Care

Diversity and Equal Opportunity

Energy Management Inspections by Government and

Water Resources Management Regulators Developing the Circular Economy Emails

Waste and Hazardous Compliance Inspections and Checks Biodiversity Protection Telephone Call

Substance Management Forums Conferences and Seminars

Responding to National Strategies Company announcement

Law-Abiding and Compliant Regular Meetings with Local

Operations Government Representative Practicing Social Responsibilities Company Website

Government Departments

and Regulators Intellectual Property Protection Routine Policy Implementation

Social Networking Platforms

Improving Corporate Social Media

Society and the Public

Governance Charitable Donations and Volunteering

Business Ethics Compliance Community Activities

Climate Change Response General Meeting of Shareholders

Clean Technology Investor Communication Meeting

Opportunities Online Performance Presentations

Product Quality and Safety SSE e-Interactive Platform

Transparent Disclosures Investor hotline Industry Communication and Selection and Evaluation

Risk Management Company Survey Development Procurement Processes

Protection of Rights and

Shareholders and Investors Telephone Consultations Supply Chain Management

Interests of Investors Performance evaluations

Email Partner

ESG Strategy Regular Communication with

Regular Reporting and Official Business Partners (e.g. email

Website Disclosure meetings)

Green product Customer Satisfaction Surveys

Customer Relationships Email and Daily Phone Communications

Product Quality and Safety Customer Mailbox

Accessibility of Products and Client visits

Customers Services Handling Customer Complaints

18 19Preface 前篇About Goneo S治us理tainability Managem价en值t 链 Governance 环En境vironment Value社 C会hain Society 附A录ppendix

Governance

Goneo Group continuously refines the corporate governance framework.We optimize management systems and institutional matrix strengthen

risk control standardize our code of business ethics build a robust infor-

mation security defense and enhance information disclosure quality

thereby driving corporate compliance and operational excellence.Major Material Topics of Sustainability Covered in this Chapter:

Compliance and Risk Management

Business Ethics

Data security and customer privacy

SDGs Addressed in this Chapter:

01 02Preface About Goneo Sustainability Management Governance Environment Value Chain Society Appendix

Corporate Governance Board Diversity Embracing the core principles of ensuring scientifically sound and fair corporate decision-making and protecting all shareholders’ interests the Company establishes a

and Independence mechanism for Board diversity and independence. Directors are selected strictly in

accordance with relevant regulations with deliberate consideration given to diversity

factors including gender age cultural and educational backgrounds professional

experience knowledge and skills to enhance Board diversity. The Company appoints

Goneo Group adheres to governance principles of compliance efficiency and transparency. We have established a governance structure consist- independent directors in compliance with relevant laws regulations and regulatory

ing of the Board of Directors the Board of Supervisors the Shareholders’ General Meeting and Senior Management forming a management requirements. We clearly define their duties and authorities and standardize their

mechanism with clearly defined powers and responsibilities as well as effective checks and balances. We value shareholder rights engages in performance processes. The independent non-executive directors maintain no

multi-channel communication optimizes information disclosure safeguard investor interests and promotes stable corporate operations. relationships with Goneo Group its controlling shareholders or actual controllers that

might compromise their independent and objective judgment enabling them to

provide independent and impartial opinions on major decisions and safeguard

corporate governance standardization and transparency.Governance Adhering rigorously to the laws and regulations such as the Company Law of the People’s Republic of Directors possess backgrounds and skills across strategic management financial

China the Securities Law of the People’s Republic of China the Code of Corporate Governance for Listed

management risk management electrical machinery and equipment manufacturing

System Companies in China and the Rules Governing the Listing of Stocks on the Shanghai Stock Exchange sustainable development among others. They can provide strong support for the

Goneo has established a sound governance structure and management system. This forms a

Company’s strategic planning operational decision-making and risk control ultimately

governance mechanism for coordination and checks and balances among the power decision-mak-

advancing the Company’s stability.ing supervisory and executing departments with clearly defined powers and responsibilities

ensuring the Company’s scientifically sound and rational decisions.The Board of Directors has established an Audit and Risk Committee and set up strategy nomina-

tion remuneration and appraisal and other special committees. These special committees are

responsible to the Board of Directors and perform their duties under the authorization of the Articles

of Association and the Board of Directors. Proposals shall be submitted to the Board of Directors for Independent Risk Control Board member Gender Financial expert Legal expert Industry expert

deliberation and resolution. Members of the special committees are all composed of directors director expert

among whom the Audit and Risk Committee the Nomination Committee and the Remuneration and

Appraisal Committee have independent directors accounting for the majority and serving as Ruan Liping Male

conveners. The convener of the Audit and Risk Committee is a professional accountant. The Board of

Directors is responsible for formulating work procedures for these special committees and standard-

izing their operations.Ruan Xueping Male

In 2024 we continued to refine our corporate management systems and working rules. These

revisions encompassed the Articles of Association the Management System of Corporate Market Value

and the Measures for the Administration of Implementation Assessment of the Restricted Stock Incentive Liu Shengsong Male

Plan thereby fostering a more scientifically sound and comprehensive institutional framework.Board members participate actively in internal and external training sessions on standardized

operations and information disclosure thereby enhancing their governance capabilities. For more

Zhou Zhenghua Male

details regarding corporate governance Board members and performance-linked compensation

please refer to the 2024 Annual Report of Goneo Group Co. Ltd.Xie Weiwei Male

Zhou Wenchuan Female

In 2024 we held Chen Zhen Female

Shareholders meetings of the Board of meetings of the meetings of specialized committees

Meetings Directors Supervisory Committee under the Board of Directors Li Gang Male

2769

Li Jianbin Male

22 23Preface About Goneo Sustainability Management Governance Environment Value Chain Society Appendix

As of the end of 2024

Including 2 female directors Key Performance

he Board comprised

(22.2%)

9 7 male directors(77.8%) directors Published

150 announcements and online documents

Hosted including and

3 independent directors

(33.3%) 3 performance briefings 1 Shanghai Stock Exchange live-broadcast 1 Investor Day event

and 6 directors with industry performance presentation

experience (66.7%).Conducted

2 training sessions on internal information disclosure and investor relations management

Investor Goneo Group adheres to principles of truthful accurate complete timely and fair informa-

tion disclosure. We strictly comply with laws and regulations such as the Rules Governing the

Communication Listing of Stocks on the Shanghai Stock Exchange and the Measures for the Administration of

Information Disclosure by Listed Companies. We implement internal policies such as the

Management System of Information Disclosure Affairs and the Internal Reporting System for

Significant Information. In addition through ad-hoc internal and external training and

exchange activities we continuously elevate our information disclosure management.The Company prioritizes shareholder interests by formulating and refining the Investor

Relations Management System and the Market Value Management System. Through multiple Awards and Honors

channels including the official website the Shanghai Stock Exchange website the SSE e-Inter-

active Platform new media telephone fax and email as well as forms such as the General

Meeting of Shareholders Investor Briefing Roadshows Analyst Meetings and Reception for

Visiting Research we have established a multidimensional investor communication mecha- Recognized among "Best Practice Cases of Investor Relations Management for Listed Companies in China" "Best Practice in Annual

nism. This forms a constructive interaction with the capital market enhancing our informa- Results Presentation" and "Specialized Training on Results Presentation for Listed Companies in Shanghai"

tion transparency.Received the "Golden Bull Most Investment Value Award for Listed Companies of the Year" and ranked among "Top 100 Most

Case Investors pay a visit to Goneo Group for enhancing mutual understanding Valuable Main Board Listed Companies during the 18th China's Listed Company Value Selection"

In November 2024 Guotai Junan Securities organized an on-site visit to Goneo Group with investors touring the product exhibition

hall automated production lines smart manufacturing facilities and logistics workshops. The Company facilitated face-to-face

discussions with investors addressing inquiries about performance business development and market layout to facilitate

communication. Received Grade- A in information disclosure by the Shanghai Stock Exchange for three consecutive years

"I am a Shareholder" Investor Activity at Goneo Group

24 25Preface About Goneo Sustainability Management Governance Environment Value Chain Society Appendix

Risk Management and Compliance Risk Identification In alignment with its business management and operational practices Goneo Group categorizes risks into five types: strategic risks financial risks market risks operational

and Response risks and legal risks. Building upon the internal control system we prioritize risk

management by establishing a mechanism for risk identification and assessment

processes. This approach enables ex ante durante and ex post risk control. We embed

risk management into the internal control process system and enhance risk manage-

The Company has established a risk management and internal monitoring system aimed at risk prevention and control. Referencing relevant ment foresight. Additionally we incorporate sustainability-related risks into our daily risk

international risk management frameworks we have created a comprehensive risk management system. management covering topics such as business ethics waste management occupational

health and safety product quality supplier management and customer service.The Company maintains a balanced approach between risk management and operation-

Risk Management In accordance with applicable laws and regulations referencing COSO’s Enterprise Risk al efficiency. Our focus of risk management is on critical business areas and high-risk

Management Framework and the Basic Norms for the Internal Control of Enterprises and projects. Driven by annual targets we encourage business divisions to conduct regular

Structure combined with key risk areas of business processes Goneo Group has formulated and risk assessments (at least semi-annually) establish specialized processes for high-risk

updated numerous systems including the Risk Management System and the Internal assessment and form evaluation teams comprising division heads and second-tier

Control Management System. With compliance management as a focal point the Company department leaders to develop a list of major risks. For the Group’s major risks the Audit

has constructed an all-encompassing risk management system that involves all employ- and Inspection Center leads collaborative efforts with business units to create a dedicat-

ees processes and systems to safeguard high-quality development. ed governance team and develop control measures.The Group has established a Board-led organizational system for risk management In 2024 the Company implemented risk management initiatives across all business units

which conducts top-down comprehensive management of internal compliance and risk with a dedicated focus on material integrity and safety product quality procurement

management. In addition in line with our business management and operational practic- management and new business processes. This strategic alignment embeds risk

es we collect identify assess respond to monitor and provide early warnings for awareness into various business activities supported by self-examinations internal

potential risks. We have also established a regular emergency reporting mechanism for inspections improvements and recaps of risks.major special risks and significant matters.Board of Directors Study the various major risks faced by the Company and their current management

Decision-making status determine the overall risk management objectives risk appetite and risk

Institution tolerance and make effective risk control decisions

Audit and Risk In 2024 the Company conducted

Committee risk management in high-risk areas Guide supervise and evaluate the Company's risk management work and review the

Decision-making such as material management. company's major risk early warning system and emergency response mechanism

Institution Following identification and

closed-loop management high-risk

incidents decreased by

Risk Management Organize and implement risk management work promote the construction and

Department operation of the risk management system and organize risk assessment and treatment 93 %

Management work

Institution Review the Group's top ten risk list conduct special inspections and organize relevant

departments to formulate control measures

Be responsible for the business risk management within the scope of this responsibility while medium-risk incidents were

All Functional implement the risk management process identify major risks major events and import- reduced by

Departments and

Business Units ant business processes and be responsible for the formulation and implementation of

control measures

First Responsible 53 %

Establish risk management monitoring indicators conduct daily monitoring regularly

Person

perform self-inspection on major risk items and issue the Risk Management Repor

Goneo Group’s Risk Management Structure and Division of Responsibilities

26 27Preface About Goneo Sustainability Management Governance Environment Value Chain Society Appendix

Internal Control Referencing relevant internal control guidelines and combining with its risk database and Risk Culture Goneo Group is committed to fostering a risk and internal control management culture that

response strategies Goneo Group systematically analyzes business processes. On this basis encompasses all employees permeates the entire business process and prioritizes compliance

we have developed a risk control matrix containing risk descriptions control measures Development and organizational soundness. The Company actively organizes a multi-tiered risk management

process systems testing procedures and job responsibilities. This matrix is compiled into training program across all organizational levels. This initiative encompasses customized

our Internal Control Manual which serves as the foundation for establishing the Company’s courses and project-based learning initiatives designed for board directors supervisory commit-

system of internal control responsibilities supervision and processes. The Manual tee members C-suite executives mid-level managers and frontline operators with the objective

undergoes annual revisions to drive continuous improvement of the internal control of enhancing the competency capabilities and professional standards of risk management

system.The Group has established a Board-led organizational system for risk management personnel.which conducts top-down comprehensive management of internal compliance and risk

management. In addition in line with our business management and operational practices In 2024 the Company established the Annual Internal Control Management Award based on the

we collect identify assess respond to monitor and provide early warnings for potential Rules for Internal Control Annual Performance Assessment. Additionally in conjunction with

risks. We have also established a regular emergency reporting mechanism for major special “encouraging fundamental solutions to high risks” we created the Excellent Improvement

risks and significant matters. Project Award to motivate employees to explore fundamental solutions to high risks. By setting

awards such as the Outstanding Internal Control Cycle Award (across seven cycles of R&D

The Group’s internal control team comprising the Audit and Supervision Center the procurement production inventory and logistics assets quality and sales) the Outstanding

Operations Management Center the Financial Management Center the Legal Affairs Depart- Internal Control Specialist Award and the Best Collaboration and Support Award internal

ment and the Human Resources Center is responsible for establishing maintaining control units encourage organization-wide participation in and attention to internal control.effectively implementing and evaluating the Company’s internal control system. This team is Concurrently through measures such as setting a knowledge-sharing platform and holding

also tasked with orchestrating and directing the system’s day-to-day operations. Internal seminars on work methodologies we facilitate the replication and promotion of excellent

control teams within business divisions or functional (business) centers manage internal improvement projects and foster a sound risk control environment that supports the Company’s

controls for specific businesses. stable development.To mitigate the risk of invalid internal control risk identification and deficiency determination

we have established an inspection and evaluation mechanism. Internal control teams of

business divisions conduct cross-cycle checks to identify high-risk issues for closed-up

handling. The Company employs methods including individual interviews thematic

discussions walk-through tests field inspections sampling and comparative analyses for

Conducted internal monthly internal control self-assessments to verify the effectiveness of the Company’s

control evaluations and internal control design and operation. Additionally by continuously improving control

reverse tests with a measures through targeted handling of issues we reduce risk probabilities.focus on addressing In 2024

We require each business unit to conduct annual evaluations quarterly spot checks and

defects with

monthly self-assessments of overall internal control effectiveness. They are required to

Number of participants in training related to risk

100 prepare internal documents including the Self-inspection Work Draft the Internal Control control and compliance management% coverage Measurement Report the Internal Control Defect Determination Form and the Internal Control

of fundamental Defect Rectification and Tracking Form with evaluation results linked to performance appraisals.solutions to high risks 664 Person

for closed-loop

management

Total duration of training related to risk control and

compliance management

Resolved

33 1074.5 Hourshigh risks

through targeted

handling

with

31 template

process improvements

in integrity develop-

ment implemented and

entering the replication

and promotion stage

Training related to risk control and compliance management

28 29Preface About Goneo Sustainability Management Governance Environment Value Chain Society Appendix

Business Ethics Policies and Goneo Group strictly adheres to national and local laws and regulations on the Anti-Unfair Competi-tion Law of the People’s Republic of China the Interim Provisions on Prohibition of Commercial Bribery

Methods the Anti-Money Laundering Law of the People’s Republic of China as well as those against bribery

extortion fraud money laundering and unfair competition. According to requirements outlined in

the above relevant regulations and referencing the Ten Principles of the United Nations Global

Compact the UN Guiding Principles on Business and Human Rights and other international standards

Goneo Group consistently maintains high standards of business ethics while refining the business ethics and risk control system. We provide and industry best practices we have formulated internal policies mechanisms and processes

accessible channels for reporting violations and implement rigorous controls in critical areas such as integrity and self-discipline anti-corruption including the Code of Conduct for Business Ethics the Anti-Corruption Policy the Integrity Management

and integrity management We resolutely eliminate all instances of unfair competition and disciplinary violations to prevent operational risks and Regulations the Conflict of Interest Policy and the Antitrust Compliance Management System. Through

elevate governance capabilities. these documents we establish clear basic principles behavioral norms and approval procedures

governing the Company’s interactions with stakeholders thereby promoting business for the good

and contributing to sustainable development.ESG Target 2024 Performance 2024 Target Process

Anti-Corruption training

coverage rate of 100% in 2024 100 %

Conducted

18 internal audits on business ethics

Full coverage of corruption

audits every three years across covering

all operating units

35.7 % of the Company's all operational

locationsethics

Coverage of training on conflict of interest

policy:

100% coverage of training on

conflict of interest policy and 100 %

100% coverage of declaration

of interests for new employees Coverage of declaration of interests for new

in 2024 employees:

100%

70% coverage of integrity risk

evaluation across integrity

development and management 84 %

processes by business divisions

in 2024

70% coverage of verification of

fundamental solutions to

integrity risk by business 100 %

divisions in 2024

100% signing rate of integrity

agreements with suppliers by 100 %

the end of 2024

30 Business Ethics Targets and Achievement Status 31Preface About Goneo Sustainability Management Governance Environment Value Chain Society Appendix

The Company has established an Ethics Compliance Committee headed by the Group’s Vice President for overall coordination of business ethics

Business Ethics Policies Methods anti-corruption and anti-bribery work. Business units bear primary responsibility for anti-corruption. The Audit and Inspection Center is respon-

sible for institutional development and re-supervision of anti-corruption including improvement of anti-corruption mechanism corruption

self-examination and auditing third-party collaboration investigations and training.All-Employee Integrity

The Company requires all employees and third parties (both entities and

Commitment Mechanism

individuals) conducting business with the Company to adhere to and

uphold our systems and requirements related to anti-bribery anti-corrup- All employees must 100% sign

tion and integrity building. This approach prevents business corruption an Commitment of Post Integrity

Anti-Corruption Board of Directors

and fosters a fair transparent and honest work and business environ- upon joining the Company as a

ment. We continuously strengthen our risk management and internal mandatory attachment to their

control systems to prevent and mitigate corruption risks while maintain- labor contract.ing a zero-tolerance stance toward any form of bribery and corruption. Pre-Job Compliance Ethics and Compliance Committee

Training Requirement

Employees must complete

business ethics training Executive Office of the Ethics and

organized by the Company and Compliance Committee

The Company adopts a sound conflict of interest management mechanism pass the compliance knowledge

by setting specific management goals clearly defining conflict situations assessment before becoming

Avoidance of Conflicts

of Interest regulating employee behaviors and effectively preventing potential risks regular employees. All Business Units Functional Departments and

to safeguard the legitimate rights and interests of the Company and all

stakeholder Annual Compliance

Business Units

Retraining Requirement

Business Ethics Management Structure

All employees must participate

in business ethics retraining Actions

organized by the Company

annually.Prevention of Insider The Company mandates that all employees and partners comply with laws

Trading and regulations pertaining to insider trading. Conflict of Interest Avoidance Business Ethics Management

and Reporting Requirement

Planning and guidance for integrity building acceptance and investigation of violations of the code of conduct for integrity and organiza-

The Company requires

tion and promotion of integrity education and publicity. The Company implements a top-down approach to business ethics development

employees to recuse

with the Supervision Department responsible for planning and guidance for anti-corruption and anti-bribery acceptance and investigation

themselves from duties

The Company strictly adheres to all national and local applicable laws and of violations of business ethics and organization and promotion of business ethics education and publicity. The Company continuously immediately upon becoming

Anti-Money Laundering regulations on anti-money laundering and fraud. We pledge that neither refines its organizational structure and core high-risk processes for business ethics dynamically adjusts risk levels and formulates aware of any potential conflict

and Fraud the Company nor its employees will engage in participate in or assist any strategic risk responses. Through risk identification fundamental solution verification and process compliance verification we conduct of interest and to complete all

third-party illegal money laundering or fraudulent activities. process compliance inspections to mitigate bribery and corruption risks.necessary reporting before

engaging in any business or

activity that may constitute a

conflict of interest. Leadership Problem Integrity

The Company resolutely opposes all behaviors that undermine fair compe- Risk resolution Reinforcement Detection Culture for All mechanism

tition. We clearly define procurement needs and publicly release informa- Mechanism EmployeesAudit of High-Risk Positions

tion before the purchase to ensure all suppliers participate in competition upon Departure

under uniform standards. All business partners are prohibited from

Fair Competition engaging in activities that may impede fair competition such as exclusivity The Company maintains the Integrity Organization Establishing a Risk Detection Establish a risk resolution Fostering Integrity

agreements competition restriction agreements or similar arrangements. right to audit and investigate Construction Mechanism mechanism Culture for All Employees

The Company has established a direct platform for suppliers providing employees in high-risk business

Classify business Identify human intervention Avoid human intervention Weekly integrity knowledge

feedback channels addressing inquiries and handling complaints prompt- ethics positions upon their

resignation processes appoint points in the process points and replace manual classroomly to ensure procurement process fairness and transparency.integrity owners and ·Review and summary of operations with automation Establish a reward mecha-

special project leaders previous integrity events and informatization nism where anonymous

Integrity Development with

clarify responsibilities at all ·Business process radar For unavoidable human rewards are given for

The Company has established a robust internal antitrust compliance Business Partners levels implement tiered scanning operation points establish reporting issues

system to maintain a fairly competitive market environment. We strength- The Company requires all management and ·Integrity whistleblowing operation standards and Onboarding integrity

Antitrust en compliance management through measures including daily spot suppliers and distributors to promote integrity ·Reverse testing and audit rules education and training for

checks market visits and research process optimization and antitrust sign the Agreement on Joint construction from top to Risk list management: Establish Identify positions with new employee

compliance reviews. Efforts for Integrity Building. bottom through leadership a ledger for the top ten risk incompatible duties and Integrity training for Risky

reinforcement lists with continuous updates make duty adjustments positions

Integrity training for Suppliers

Business Ethics Development Path

32 33Preface About Goneo Sustainability Management Governance Environment Value Chain Society Appendix

In accordance with management regulations and anti-corruption inspection plans each year the Company conducts irregular audits internal Business Ethics Audit

control assessments due diligence and specialized inspections of business divisions and subsidiaries. Our work focuses on areas with high

corruption vulnerability promoting rectifications of identified issues by business divisions. The Company maintains a zero-tolerance stance To better support robust business development and reduce risks for fraud within business processes Goneo Group continued to conduct

toward business ethics violations. Regardless of severity any breach of business ethics results in investigation and disciplinary action against the corruption risk assessments and fundamental solution validations in 2024.violating employee. This year Goneo Group actively advanced its business ethics system through the following initiatives:

Optimization of Business Ethics Risk Identification and Assessment Methods

To more effectively promote the identification and verification of material corruption risks Goneo Group has developed a five-stepmethod

Achieved actual coverage of 84.2% of lower-level organizations in 2024

in the Home Appliance business segment for the piloting and promotion of material corruption risk identification and verification. The

main process is as below: Scope of

assessment

Primarily concerning six risk categories: human operation human decision-making human judgment

Identify on-balance sheet and off-bal- Identify high-risk materials Risk list identification of key control material safety critical information and conflicts of interest; Business units have identified specific

ance sheet materials and create a Material profiling method points in high-risk material processes integrity risk points achieving a 100% coverage rate of fundamental solution validation

material map Risk matrix method Identification of key control points Risk

Identify on-balance sheet and identificationIdentification of risk positions

off-balance sheet materials

Review and organize relevant

business processes

Regularly updated on a rolling basis We improve by establishing clear rules to minimize human operation reducing BOM redundancy catego-

rizing authorities and responsibilities and elevating management hierarchy. Verification of improvements

01 02 03 Improvement has proved significant reductions in both risk levels and number of incidents achieving risk elimination

plan

0504

Effect verification Control measures for high-risk key

Effect verification and evaluation points of materials

Continuous improvement Establish clear activity rules

Human Resources Law on Authority and Responsibility

Rotation mechanism for risk-related positions

BOM monitoring mechanism

Through this method integrity risks are identified and controlled with implementation gradually extending across all business units.

34 35Preface About Goneo Sustainability Management Governance Environment Value Chain Society Appendix

Business ethics survey Whistleblower Protection

In December 2024 Goneo Group conducted an anti-corruption electronic questionnaire covering both employee and supplier integrity. The Company has established the Management Regulations for Handling Complaints via the Integrity Reporting Channel. We offer multiple

The employee questionnaire focused on corruption nepotism performance assessment and abuse of power for personal gain while the whistleblowing channels emphasize confidentiality of information and protection of whistleblowers strictly limit the scope of access to

supplier questionnaire examined bidding processes assessment transparency solicitation of favors among others. this information and impose severe penalties for disclosing whistleblower identities.The survey collected 1919 responses from employees yielding an average score of 8.95 alongside 552 responses from suppliers with an

average score of 9.88. These results indicate a positive integrity atmosphere that continues to demonstrate improvement.The Audit and Inspection Center handles whistleblowing regarding business ethics violations

including fraud improper transfer of benefits conflicts of interest illegal banquets and

recreational activities inappropriate travel and hospitality and unauthorized gift acceptance.Complaints unrelated to business ethics will be transferred to the relevant functional depart-

Whistleblowing Scope

Trend of Changes in Employee Anti-Corruption Survey Results ments or business divisions for investigation with results reported back to the Audit and Inspec-

tion Center.???????.?%

??????.?%

??.?%

???? Employees may report anonymously or in real name and the Company encourages whistleblowing

??.?% in real name.???? ??.?% Whistleblowing must be factual objective and fair. Fabricating or distorting facts malicious

slander libel or threatening others is strictly prohibited.??? ??.?% Whistleblowers are encouraged to provide clues and evidence and cooperate with investigations.?????.?%

??.?%

??? Whistleblowing Channels

??.?% * Whistleblowing email: jubao@gongniu.cn

?????.?%

Whistleblowing * Whistleblowing hotline: 18368220776

? ?.?% Channels and * Whistleblowing and submission WeChat official

Indirect personnel Administrative Marketing personnel Direct personnel Total Requirements account: gongniulianzheng

personnel * Whistleblowing WeChat account: gongniusjjc

Getting worse Getting better Nothing has Percentage * Whistleblowing website: www.gongniu.cn

and worse and better changed * Whistleblowing address: East Industrial Park

Guanhaiwei Town Cixi City Zhejiang Province

Changes in Supplier Feedback on Anti-Corruption Investigations over the Past Three Years

??????.?%

??.?% Set an independent office with dedicated management of whistleblowing channels.??? ??.?% Appoint dedicated personnel to handle whistleblowing clues through one-to-one single-line contact.Desensitize during the distribution of whistleblowing clues to ensure confidentiality of whistleblower

??? ??.?% information.??.?% Strictly prohibit against disclosing whistleblower or assistant investigator information and any form

??? ??.?% of retaliation.??.?% Regularly audit whistleblowing and confidentiality processes and mechanisms and verify effective-

??? Confidentiality and ness and rationality of confidentiality measures.??.?% Protection Secure filing of whistleblowing in confidential cabinets in custody of specialized personnel to

??? ??.?% Mechanism guarantee data completeness security and confidentiality.??.?% Permit anonymous whistleblowing with prohibition against unauthorized verification of

? ?.?% complainant’s handwriting IP address or other information.Take serious measures for violations such as false accusations according to relevant company

Getting better and better Nothing has changed Getting worse and worse regulations.Investigators may update contactable whistleblowers on case progress and provide timely feedback

after case closure.Feedback and Reward Verified whistleblowing may qualify whistleblowers for special integrity rewards from the Company.Mechanism

36 37Preface About Goneo Sustainability Management Governance Environment Value Chain Society Appendix

Culture Development

Goneo Group maintains a commitment to integrity by conducting integrity system study sessions at least twice a year. The Company irregularly

Whistle Real-name or anonymous clue feedback provides anti-corruption and anti-bribery training including awareness education integrity promotion new employee orientation case studies

blower and micro-videos for management employees suppliers and dealers to elevate anti-corruption awareness.In 2024 the Company conducted comprehensive anti-trust compliance checks and enhanced compliance awareness by optimizing the compli-

Formulate confidentiality measures ance commitment letter which was signed by 1400 marketing professionals in competitive compliance positions. Additionally antitrust training

A place where case-related information is not disclosed was provided to professionals in marketing and corporate polic reaching 214 participants with a coverage rate of 94.3% further strengthening

the foundation for compliant operations.No description of the case source

Compensate the whistleblowers and case-related personnel

who have been retaliated against

Verify and handle the behavior of leaking the information of

whistleblowers and case co-investigators

Investigation Correction

Clue Clue and Result Integrity Archive and End

acceptance allocation treatment feedback reward filing improvement

Self-treatment

Formulate For feedback provided

Supervision confidentiality under real names or

Department measures anonymous

Refer to the The whistleblow- whistleblowing with

business ers' information contact information

department for shall not be the Supervision

treatment disclosed without Department will assign

their consent a dedicated person to

provide feedback

Investigation and Organized diversified training sessions on business ethics

treatment

Formulate confidentiality measures

Business The whistleblowers' information shall not be

Departments disclosed without their consent

Integrity Whistleblowing and Confidentiality Process

Organized integrity training for management

during monthly meetings Organized online integrity micro-video learning sessions

38 39Preface About Goneo Sustainability Management Governance Environment Value Chain Society Appendix

Data Security and Privacy Protection

Indicators and Performance

In 2024Training related to business ethics Goneo Group continuously enhances its data security and privacy protection management system. We have established a review mechanism for

information security compliance and a closed-loop management model for managing data security throughout its entire life cycle to comprehen-

sively prevent data and privacy leakage risks. During the reporting period there were no instances of data leakage in the information system or

customer privacy leakage.Number of employees (including part-time employ- Percentage of employees (including part-time

ees) undergoing training on business ethics employees) undergoing training on business ethics

13125 Person 100 % Governance The Company has developed an information security organizational structure with

leadership from the decision-making level coordination at the management level

implementation at the executive level and cross-departmental collaboration. We

Average duration of employees (including part-time Number of directors undergoing training on business formulate information security management and privacy protection measures forming

employees) undergoing training on business ethics ethics (code of conduct integrity etc.)1 a systematic dynamic institutionalized management system that emphasizes

2.5 5 all-employee participation and prevention first to safeguard information security.Hours Person

Average duration of directors undergoing training on Coverage rate of core suppliers undergoing offline

business ethics training on business ethics2

Information Security Committee

1 Hours 100 %

Composed of the Company's senior management it is the highest decision-making Institution for matters related to information security

Average duration of suppliers undergoing training on Coverage of employees undergoing training on and privacy protection

business ethics whistleblowing confidentiality mechanism Review the medium and long-term planning annual plans budgets and the report of information security; approve the information

0.5 100 security system and assessment plan of the Group; guide the construction of management systems and major projects; deliberate on the Hours % treatment decisions of major information security incidents

Coverage Rate of Integrity Awareness Promotion for Information Security

Suppliers (Including Contractors)? Management Office

Process and Digitalization Center

100%

Responsible for coordinating and implementing the Responsible for streamlining and optimizing company processes

Company's information security and privacy protection building systems promoting the implementation of digital

Guide each business unit to carry out information security strategies conducting system construction and operation and

management maintenance and empowering enterprise operations

Each Functional Center/Each Business Unit/Channel

In 2024 we recorded 37 incidents of violations of business ethics including corruption and conflicts of interest through various whistleblowing

channels. Upon evaluation and investigation we confirmed 12 of these complaints issued three special rectification orders for high-risk contacts

and took serious disciplinary action against relevant employees/external partners based on verified fraud. Cases involving suspected criminal

activity were referred to judicial authorities. Implement the decisions and resolutions of the Information Security Committee and carry out information security and privacy

protection management tasks for various business units

1 Excluding outside directors and independent directors.

Organizational Structure of Information Security and Privacy Protection at Goneo Group

2 The Company publicizes awareness of business ethics to all suppliers in forms such as pushing integrity culture reminders and negative

cases on holidays on the supplier platform conducting anti-corruption due dilligence and signing the Supplier Integrity Agreement.

40 41Preface About Goneo Sustainability Management Governance Environment Value Chain Society Appendix

Strategy To support healthy high-speed business development Goneo Group has formulated an In compliance with rules and regulations on privacy protection and information security ininformation security strategy system with the overall objective of “resisting external attacks countries and regions where it operates including the Personal Information Protection Law ofpreventing leakage of core data and meeting business compliance requirements”. It employs the People’s Republic of China the Data Security Law of the People’s Republic of China the Law of

information security technology as capability support with a management system centered the People’s Republic of China on the Protection of Consumers’ Rights and EU General Data

on organizational structure system processes and culture building as well as an operational Protection Regulation (GDPR) referencing standards concerning information security manage-

system focusing on emergency drills security audits penetration testing and training as ment such as the Information Security Management System (ISO/IEC 27001) the Information

guarantee systems. In terms of information security technology this strategy system focuses Security Risk Assessment (GB/T 20984) Goneo Group has developed institutional documents

on the zero-trust project data security domain division project mainframe security project including the Measures for the Management of Information Security of Industrial Control Systems

and unified operations and maintenance entry project to drive effective implementation of the Management Specifications for Information Security Risk Assessment and the Information

the Company’s information security strategy. Security Incident Management Procedures. These protocols collectively protect against external

threats prevent data leakage and ensure compliant operations. During the reporting period

the Company’s New Energy Business Division successfully passed the ISO 27001 information

security management system certification1 and the Company’s SRM system and B2B system

Supporting and Escorting the Healthy and Rapid Development of the Business passed Level 2 information security evaluation.Resisting External Attacks Preventing Core Data Leakage Meeting Business Compliance

Operations ISO 27001 certification

Risk assessment and control Capability of Information-Security Technologies

External Attack Defense

Application Security Industrial Control Security Terminal Security Impact Risk and Opportunity Management

Internal vulnerability management

Application protection Antivirus Antivirus

Application watermark Industrial control Data leakage preventionThreat monitoring/situation awareness visualization

Security scanning StandardizationSecurity scanning External device manage- Risk Management ProcessUnified authentication Unified authentication ment

Business continuity and To effectively identify assess and evaluate information security risks of Goneo Group the Company has developed the Regulations on Information

emergency response Security Risk Management. Following a comprehensive methodology centered on the process of risk assessment risk identification risk analysis

System Security Network Security Development Security risk rating risk disposal and risk acceptance we choose appropriate control measures that balance effectiveness with feasibility to maintain

Business continuity assurance information security risks at an acceptable level.Security baseline Security baseline Code security

Emergency drill Host security Network isolation Interface security

Fortress machine Inter domain protection Security scanning

Emergency response and recovery Log management Zero trust Privacy assessment

Information security management system: organizational structure policies & procedures information security culture construction

Existing security

Information security operation system: emergency drills security audits advocate & training penetration testing Preparation for risk Asset identification Communication and Threat identification measures identification

assessment coordination and detection and detection

Information Security Strategy

ESG Target 2024 Performance 2024 Target Process

In 2024number of information system data leakage Event treatment process Risk assessment Evaluation process Risk analysis and Vulnerability

Number of information system incidents: (feedback to the and treatment document calculation identification

data leakage incidents: 0 starting point) and detection

0

In 2024number of customer privacy leakage incidents:

Number of customer privacy Information security risk management process

leakage incidents: 0 0

1 Information security management activities related to the design and development of charging piles for electric vehicles

42 and energy storage equipment are covered 43Preface About Goneo Sustainability Management Governance Environment Value Chain Society Appendix

Main Risk Points Main Management Measures

Record sort mark and classify information assets with authorization and approval required for use public

Information Asset

Management and disclosure disposal destruction etc.Protection Establish access control and protection measures for equipment and server rooms

Sign confidentiality agreements with employees and third-party service providers (including suppliers)

and assess monitor and manage relevant risks

Information Security Detection Process Information Security Incident Handling Process Conduct background inspections for personnel in key positions

Provide internal and external training on data privacy and security for employees interested parties and

Information suppliers to strengthen their security awareness and skills

Security Manage-

ment for Employees Monitor examine and regularly evaluate information security and privacy compliance risks associated

and Interested with cloud services

Case Goneo Group conducts an information security risk assessment Maintain close liaison with regulatory bodies law enforcement agencies and industry associations to

stay current with regulatory requirements and industry developments and optimize information security

In September 2024 Goneo Group conducted a comprehensive information security risk assessment and audit encompassing management

personnel software and physical assets. The assessment applied comprehensive scoring based on asset value vulnerability

and threat value. Results identified one medium risk with all remaining classified as low risks. Notably no high or very high risks

were discovered. The Company developed effective control measures. The Company's overall information security risk profile Network Security Delineate distinct network zones establish security strategies for external network connections and

remains controllable. Management develop an operational approval system

System Develop- Conduct security management across the entire system development lifecycle with security and privacy

ment and Opera- protection reviews at critical development stages

tional Security Perform audits of operational systems and establish security management standards for system

Goneo Group has implemented a comprehensive information security risk control strategy. We employ legal transparent and fair data process- Management

ing. We continuously conduct risk identification and analysis internal audits and external inspections. We enhance training and awareness installation and operation

development for employees and interested parties. We adopt a mechanism for monitoring whistleblowing of violations. We establish an emergen-

cy response system with irregular data leakage and privacy leakage emergency drills as well as compliant archiving of relevant records to ensure Establish physical and logical access control strategies

business continuity. Additionally we obtain explicit consent from all stakeholders including employees partners and consumers regarding the

handling sharing and retention of confidential information thereby safeguarding information security and protecting the rights and interests of Access Control

Adhere to access principles of "separation of authority and responsibility" and "minimization of authority"

all parties. Management Implement encrypted and authorized access for all employees with regular reviews of user access

authority

Technical Vulnerabili- Collect and analyze relevant threat intelligence information to identify assess fix and monitor vulnerabilities

ty Management Install patches for authorized software

Case Goneo Group conducts an information security simulated attack test and business recovery drill

In November 2024 Goneo Group simulated a network-wide attack using a blind method covering the Group and all its subsidiaries. Establish mechanisms and processes for reporting responding to and handling information security

The final evaluation determined an overall low-risk rating with no high-risk incidents identified.incidents data leakages privacy violations etc.Enhance capabilities of preventing and monitoring information incidents through threat intelligence

Information Security information artificial intelligence technology access control whitelists or blacklists vulnerability

Incident Management

detection anti-attack simulation tests machine and system drills etc.Implement tiered (three levels) management of information security incidents based on importance

damage assessment and the scope of influence of their information and carriers

44 45Preface About Goneo Sustainability Management Governance Environment Value Chain Society Appendix

Information Security Training

To elevate security awareness across the organization Goneo Group provides information security training to protect corporate data assets and

ensure steady business development. 指标目标

Case Goneo Group conducts special training on European cybersecurity certification

In 2024Affairs related to information security

To ensure product compliance with the latest European cybersecurity regulations (EN 303 645 / (RED) article 3/3 d/e/f) Goneo Group

invited experts from TüV Rheinland to conduct a specialized training for employees from the R&D and quality departments on

February 28 2025. The session was delivered both online and offline attracting 28 participants. It focused on European market access

standards compliance practices and risk control effectively enhancing employees’ capabilities to address the cybersecurity require- Number of information security audits or information Number of operational locations certified by

ments of the European market. security risk evaluations Information Security Management System (ISMS)

1 Times 1 Count

Percentage of operational locations certified by Number of data security and privacy protection

Information Security Management System (ISMS) training sessions conducted

33 % 1 Times

Employee participation in data security and privacy Number of cybersecurity incident drills

protection training

5 2 Times%

Organized special training on European cybersecurity certification Number of penetration tests Coverage of system backup recovery drills

3 Times 98 %

Economic losses due to data security incidents during Economic losses due to customer privacy incidents

the reporting period during the reporting period

0 RMB10000 0 RMB10000

Number of substantiated complaints related to breaches of

customer privacy and losses of customer data

0 Case

46 47Preface About Goneo Sustainability Management Governance Environment Value Chain Society Appendix

Environment

Goneo remains steadfast in its commitment to scientific and legally com-

pliant pollution and waste control. We integrate harmless raw material

treatment clean production waste recycling and low-carbon energy

consumption with digitalization and artificial intelligence . Through these

efforts we drive green low-carbon transformation and a circular econo-

my establishing Goneo as an international benchmark for green manufac-

turing in the civil electrical industry.Major Material Topics of Sustainability Covered in this Chapter:

Climate Change Response

Energy Utilization

Pollutant Emissions and Waste Management

Water Resource Utilization

Resource Utilization and Circular Economy

Ecosystem and Biodiversity Conservation

SDGs Addressed in this Chapter:Preface About Goneo Sustainability Management Governance Environment Value Chain Society Appendix

Environmental Management

EHS Committee Execute in the office Each business unit and subsidiary

The president serves as the Responsible for formulating Responsible for implementing

director responsible for approving environmental objectives and various decisions and deployments

Adhering to the environmental protection policy of "abidance by laws and compliance with regulations and fulfillment of social responsibilities; environmental and occupational indicators improving environmental of the EHS Committee such as the

prevention of pollution and creation of green factories" Goneo continues to perfect its systems and strengthen oversight in environmental health and safety objectives and management systems conducting implementation of environmental

management to accelerate energy conservation emissions reduction and green development. indicators environmental performance pollution prevention and control

Relevant functional departments evaluations and implementing measures as well as energy

business units and subordinate educational training conservation and carbon reduction

subsidiaries are member units Supervise coordinate and targets

communicate

ESG Target Progress in 2024 Achievement status

EHS Management Structure

0 Goneo applies state-of-the-art pollutant treatment technologies for wastewater waste gas and solid waste ensuring environmentally friendly Zero EHS noncompliance incidents disposal and resource recovery. These efforts underscore its leadership in environmental protection and sustainable development.

Achievement of Environmental Targets

Policies and Goneo rigorously complies with the Environmental Protection Law of the People's Republic

of China the Law of the People's Republic of China on the Prevention and Control of

Methods Atmospheric Pollution the Law of the People's Republic of China on the Prevention and

Control of Environmental Pollution by Solid Wastes and other relevant national or regional

environmental laws regulations standards and guidelines. We have established and

continually updated the relevant management systems and procedural documents to

standardize environmental management including the Environment Occupational Health

and Safety Management Manual the Energy Management System the Environmental Factors

Identification and Evaluation Procedures the Hazardous Chemicals Management

Regulations the Regulations on the Management of Hazardous Waste and General Industrial

Solid Waste the Emergency Preparedness and Response Control Procedures the Contingency

Plan for Waste Gas and Wastewater Treatment System Failures and the EHS Education and

Training Procedure. In accordance with ISO 14001 we have established a comprehensive

environmental management system and conduct regular internal and external audits to

drive continual improvement. As of the end of the Reporting Period 11 factories/subsid-

iaries have obtained ISO 14001 certification of environmental management system

covering 92% of our operational sites. Goneo has been awarded 1 national-level green

factory certification 1 provincial-level green factory and 2 city-level green factory

certifications.As the highest decision-making body for EHS operations the EHS Committee of the

Company bears the responsibility of coordinating Goneo's EHS endeavors. It formulates

and implements air pollutant wastewater waste management measures and sets target

indicators of energy water resource and greenhouse gas emissions. Specific targets are

assigned to departments via responsibility agreements. Performance evaluations are

conducted regularly. The Company reviews each business division's progress against

these targets monthly and reports the findings. At least two internal audits are carried

out annually alongside one semi-annual internal management review.

50 51Preface About Goneo Sustainability Management Governance Environment Value Chain Society Appendix

Actions

Pollutant type Pollutant Management measures Technology highlights

Environmental risk management

High-efficiency long-life filter elements are

adopted with 99% filtration efficiency and Goneo has established a tiered emergency management system with categorized responsibilities to prevent and mitigate the occurrence of

environmental incidents and to control reduce and eliminate associated harms.Particulate matter Cartridge dust collectors emissions at least 50% below the limits

outlined in the Integrated Emission Standard of We have set up an organization structure for emergency response with clearly defined incident response responsibilities and conducted regular

Air Pollutants (GB16297-1996) environmental incident risk assessments and hazard screenings. Targeted prevention and control measures are implemented based on the

environmental risks and hazard levels. To enhance environmental incident response capabilities the Company has formulated the Special

Contingency Plan for Environmental Emergencies focusing on chemical management wastewater collection systems and hazardous waste

management. This plan delineates the responsibilities of various departments and levels to improve its practicality. Regular emergency drills for

Up to 95% VOC removal efficiency by zeolite

Selection of activated-carbon handling environmental incidents are conducted to prevent major environmental risks.Air pollution wheel regenerative combustion VOC emissions adsorption catalytic combus-

Volatile organic from coating processes remain stably below

tion and zeolite wheel regener-

compounds (VOCs) 50% of the limits set by the Emission Standards

ative combustion based on

of Air Pollutants for Industrial Surface Coating During the Reporting Period no environ- All production entities subject to laws and Environmental emergency drills

operating conditions mental pollution incidents occurred. regulations environmental impact are conducted twice annually as

(DB33/2146-2018)

assessment reports and government detailed in the Chemical Manage-

approvals achieve ment Chapter.Suspended solids (SS) Removal rates for key pollutants including SS 100 % coverage of environmental

heavy metals and COD reach 90% 95% and emergency contingency plans.

90%. Emission concentrations are below 50%

Chemical oxygen of the limits outlined in the Integrated Wastewa-

demand (COD) ter Discharge Standard (GB8978-1996) the

Environmental audit and impact assessment

Multi-stage treatment process-

Zhejiang Provincial Standard - Indirect Discharge

es including physical sedimen- Goneo conducts comprehensive internal and external audits and environmental impact assessments annually on its environmental management

Limits of Nitrogen and Phosphorus Pollutants

tation chemical neutralization system environmental factor identification and evaluation pollutant emissions control resource and energy utilization and environmental

Ammonia nitrogen from Industrial Enterprises Wastewater emergency management. Additionally during the construction of new production lines or facility expansions the Company increases the Industrial and biological degradation

(DB33/887-2013) and the Emission Standard of frequency of specialized or localized third-party environmental audits to ensure that environmental management remains efficient compliant

wastewater customized for wastewater

Pollutants for Electroplating (GB21900-2008) and continuously optimized.generated during production

New anodizing wastewater treatment stations

Total phosphorus

incorporates reclaimed water reuse processes In 2024 we conducted two rounds of comprehensive internal audits under the Bull Safety System (BSS)

designed to achieve a reuse rate of 60% and across all production entities achieving 100% coverage. The environmental protection audit encompassed 40

key modules including the implementation of the "Three Simultaneous" policy compliance with pollutant

recover 89894 tons of water annually—an

and waste water discharge permits monitoring results for waste gas wastewater and solid waste operation-

Total nickel industry-leading benchmark al status of environmental protection equipment effectiveness of solid waste management chemical

management compliance and the emergency management system. Factories were scored based on audit

Environmental

Following the principles of results and those scores below standards would face up to a 10% deduction in annual performance internal audits

evaluations. Identified issues were classified into minor moderate and major by risks after audits with

reduction resource recovery

rectification lists compiled and personnel assigned to monitor progress and perform spot checks. The annual

and harmless treatment we issue closure rate reached 100%.Hazardous: paint optimize processes to minimize For track socket products improved surface

residue waste hazardous waste at source coating technology eliminates cleaning agents

chemical containers standardize collection and and contaminated waste achieving zero In 2024 the Company engaged a third-party professional agency to conduct external audits of the environ-

mental management systems at the Longshan Shiqiao and West Zone bases in accordance with the ISO

contaminated storage implement preven- hazardous waste discharge

Solid waste 14001:2015 standard. No major nonconformities were identified though three minor nonconformities were

waste waste tive measures and contin- Introduced clean production in the coating Environmental found all of which were fully rectified achieving a 100% closure rate.mineral oil etc gency plans and engage process incorporates paint residue reduction external audits

General solid waste: third-party accredited units technology to lower the moisture content of All the Company's construction projects have fulfilled the environmental impact evaluation and other

scrap metal waste for disposal waste by 20% and further reduce hazardous environmental protection administrative licensing procedures in accordance with the requirements of

plastic etc Production-generated scrap waste generation national environmental protection laws and regulations. In 2024 three new reconstruction and expansion

metal and waste plastic are projects underwent environmental impact evaluations conducted by Zhejiang Renxin Environmental Science

processed for resource Environmental Institute Co. Ltd. a government-registered entity. All evaluations received approval and public disclosure

impact asses from relevant government authorities effectively preventing and mitigating potential environmental risks

recovery associated with project construction.

52 53Preface About Goneo Sustainability Management Governance Environment Value Chain Society Appendix

Tackling Climate Change

Case Subsidiary environmental risk ass

In December 2024 a subsidiary conducted an environmental risk assessment for its factory located in the Cixi Binhai Economic

Development Zone. The assessment covered regional environments the Company's profile environmental risk classification risk Goneo integrates energy conservation emission reduction and clean production principles across all aspects of its operations. The Company

analysis gaps in existing prevention control and emergency response measures and a corresponding rectification plan so as to continuously innovates in the design and production of green eco-friendly products actively develops clean energy technologies and optimizes

identify risks and strengthen prevention and control systems. The assessment determined the subsidiary's environmental emergency its energy consumption structure. In collaborations with partners we promote sustainable andgreen development and strive to enhance our own

risk level as minor. To address deficiencies in existing prevention control and emergency response measures the subsidiary and our value chain's resilience against climate change.developed a rectification plan to enhance environmental risk prevention and control capabilities and minimize the impact on the

environment and personnel.Governance The Board of Directors of Goneo oversees and manages climate change-related initiatives. The ESG

Committee is responsible for planning energy conservation and emission reduction activities while

Environmental protection culture the ESG Executive Office executes these plans. Functional departments and business unit manage-

ment personnel collaborate to advance related efforts (see the Sustainable Development

We have established robust information disclosure communication and consultation channels with both internal and external stakeholders. By Governance Structure for details).proactively publishing our environmental performance we invite oversight from investors and the public and respond promptly to any environ-

mental concerns or demands. To ensure all stakeholders are fully aware of our environmental policies and compliance requirements we deliver At the divisional level the Company has established an energy audit and verification mechanism

regular training on policies to employees managers and other relevant parties. comprising an Energy Management Leadership Group an Execution Group and an Energy Efficien-

cy Enhancement Working Group to promote refined energy management. Additionally the Compa-

ny conducts internal and external training periodically on fundamental energy knowledge Dual

Carbon policies energy management objectives and energy conservation awareness. Penalties for

energy-wasting behaviors are imposed based on the severity of the violation. Penalties for

energy-wasting behaviors are imposed based on the severity of the violation.Indicators and Performance

General Manager of the Business Unit

(Team Leader)

During the reporting period Goneo's with no penalties incurred for non-compliance

Responsible Head of Industrialization of the

environmental investment reached with environmental laws and regulations.Business Unit (deputy team leader)

RMB 13.06 million

Equipment Human Quality Procurement Operation Technology Manufac- Delivery

and Facilities Resources Department Department Management R&D turing Department

Department Department Department Department Department

Energy Leadership Group

5455

Team MembersPreface About Goneo Sustainability Management Governance Environment Value Chain Society Appendix

Strategy Goneo has formulated its climate strategy centered on "low-carbon leadership and innovation-driv-

en development." In terms of greenhouse gas emissions the Company aspires to be a model

enterprise for green and low-carbon operations by setting and implementing effective energy Total greenhouse gas emissions of the Company (10000 tCO2e) Proportion of greenhouse gas emissions in Scope 1 and Scope 2

conservation and emission reduction targets and plans. With advanced energy-saving equipment

optimized production processes and refined management Goneo enhances energy efficiency and

increases renewable energy consumption thereby reducing greenhouse gas emissions during

12.0011.4

production. Regarding clean technology the Company actively seizes opportunities in the climate 10.9 97.20%

transition and vigorously develops new energy businesses such as charging piles and energy 10.00 9.8 2.80%

storage to boost high-quality growth.

8.00

6.00

Greenhouse gas emission reduction

4.00

Based on the GHG inventory mapping from 2022 to 2024 Goneo's GHG emissions exhibited characteristics of "rising total volume singular 2.00 Scope 1

structure and regional concentration".

0.00 Scope 2

202420232022

The proportion of greenhouse gas emissions from Goneo Group's Green Electricity Usage Ratio in 2024

each production base of the Company

Emissions have increased gradually reaching 114200 tCO?e in

2024 with a 5% year-on-year rise and highlighting the urgency

of emission reduction.

40%92.1%7.9%

5%

According to the emission composition analysis Scope 2

emissions account for 97.2% of the total with purchased

7%17%

non-clean electricity as the primary emission source which

indicates the critical need for transition to green electricity. 31%

Proportion of

Green Electric-

As for regional distribution the West Zone Base (40%) Western Base Shiqiao Base ity Usage

Longshan Base I (31%) and Longshan Base II (17%) are the

Longshan Base I Longshan Base II

three primary emission hotspots collectively accounting for

88% of emissions making them focal points for emission Other Bases

reduction efforts.Goneo's Emission Profile

56 57Preface About Goneo Sustainability Management Governance Environment Value Chain Society Appendix

Based on this Goneo has used 2023 as the baseline year (considering time and data stability) and established greenhouse gas emission reduction

targets and pathways. The Company systematically develops an emission reduction path encompassing "clean energy substitution emission Short Term Medium and Long Term

optimization at key bases and full value chain carbon management" while clarifying the priority of "short-term breakthrough medium-term

consolidation and long-term leadership".Scope 1 Scope 2 Scope 3

Gradually phase out By 2030 the proportion of Build a low-carbon ecosystem covering

ESG Target Progress in 2024 high-carbon fuels green electricity will reach the entire value chain systematically 2024 Target Process

increase the 100% reducing carbon emissions in the value

Emission Reduction proportion of chain by promoting suppliers to adopt

Targets low-carbon and clean clean energy design energy-efficient

energy and enhance products and optimize logistics

the level of equipment networks

Green electricity goal electrification Deepen cross-industry cooperation

and technology sharing build a

7.5% green energy usage in 2024 7.9 % transparent and inclusive partnership

aiming to achieve 100% for emission reduction and provide

purchased green electricity by innovative solutions to achieve carbon

2030 neutrality goals

Replace clean energy Green power is the core focus Build a green supply chain

Core Path of Emission

Reduction and improve the level aiming to improve energy

of electrification efficiency levels

Industrial boilers use Green power substitution: In the short term priority should be

Greenhouse gas emission

Greenhouse gas emissions reduced by low-carbon clean fuels Self-built distributed renewable given to establishing emission reduction targets

such as natural gas energy system in the factory baselines for suppliers and identifying

Continuously increase the 6887.16 tons through the use of area green power procurement key links. In the medium and long In-plant transportation

proportion of green power green electricity Improve energy efficiency level: term we should gradually promote vehicles are gradually

usage reduce Scope 2 carbon Install low-energy consumption upstream and downstream enterpris-

being replaced by

emissions to zero by 2030 equipment such as LED lighting es to develop emission reduction plans

electric or hydrogen

intelligent lighting systems air and work together towards achieving

fuel cell models

compressors air conditioners net zero emissions

Improve the and refrigerators Procurement of low-carbon raw

electrification level of Apply heat recovery and reuse of

air compressor materials: Give priority to recycled

Emission Reduction equipment

Apply high-efficiency energy-sav- metals and materials and

Measures

ing transformers encourage suppliers to adopt

Introduce high-efficiency motors renewable energy

frequency converters and

Optimize logistics network and

intelligent control systems that

promote low-carbon transporta-

comply with the IEC 60034

tion: Give priority to the use of

energy efficiency standards to

lower-carbon railway and sea

optimize the energy efficiency of

transportation and gradually

the production line

reduce the proportion of diesel

Intelligentization and digital truck transportation

management: Realize real-time

monitoring and precise manage-

ment of emissions through digital

means

Progress on Climate-Related Targets

Greenhouse Gas Emission Management Roadmap

58 59Preface About Goneo Sustainability Management Governance Environment Value Chain Society Appendix

Goneo prioritizes Scope 2 greenhouse gas emission reduction in the short and medium term.The Company actively promotes comprehensive resource utilization waste heat and pressure recovery

and motor system energy conservation. By deploying photovoltaic power stations applying energy

Emission reduction

Optimize energy management and reduce Scope 2 carbon emissions through the use of renewable energy storage technologies and purchasing green electricity we advance clean energy substitution reduce

pathway fossil fuel consumption and support carbon peak and carbon neutrality goals.Baseline year 2023

Case IT infrastructure energy-saving management

Goal Achieve 0 Scope 2 carbon emissions by 2030

In 2024 Goneo optimized energy use in its leased data centers through improvements in

room layout power systems and air conditioning systems maintaining a Power Usage

Effectiveness (PUE) of approximately 1.39 0.1 lower than the design PUE value of 1.49.Implementation

Achieve 100% purchased green electricity by 2030 and maintain this ratio thereafter

pathway

Smart energy system:

Renewable energy structure optimization:

In 2024 Goneo launched a smart energy management system for unified analysis and management of energy

Goneo optimizes green electricity usage through self-built photovoltaic power stations contract energy

data across multiple factories and systems enabling visualization and analysis of equipment operation and

management supporting energy storage and outsourcing renewable electricity from the power market. As

energy consumption data. The system currently covers energy-saving and operation management for electrici-

at the end of the reporting period the Group has installed distributed photovoltaic power stations at 7 Key method ty compressed air cooling sources and air conditioning terminal systems at Longshan Base I Longshan

plants with a total installed capacity of 14.5 MW. These stations are expected to generate 15 million kWh

Branch Plant II Longshan Base II and Guanhaiwei West Zone Base.annually. Additional energy storage projects will enable peak shaving and valley filling thus reducing costs

and boosting efficiency. It is estimated that these measures will save approximately RMB17 million in electric-

ity costs per year. Furthermore Goneo actively participates in renewable energy market transactions to

increase the proportion of purchased renewable electricity. During the Reporting Period renewable electrici-

ty accounted for 7.9% of Goneo's total electricity consumption. In the future the Company will further

increase the use of clean power promote electrification and energy-saving technological reforms to reduce

Scope 2 greenhouse gas emissions and reach its greenhouse gas reduction targets.Key method

Smart Energy Management System

Goneo's Self-Built Photovoltaic Power Stations Energy Storage Stations

Refined energy management:

Goneo abides by relevant energy consumption standards and energy-saving technical specifications and

formulates energy and resource management policies and standards. The Company prioritizes low-ener-

gy-consumption motors pneumatic systems and hydraulic systems as well as green lighting tools while

strengthening oversight and control of high-energy-consumption equipment. Outdated energy-intensive Short term: West Zone Base Longshan Base I Longshan Base II

and low-efficiency equipment and processes are gradually phased out to continuously improve energy Coverage Long term: expand coverage to all remaining bases

efficiency. A comprehensive energy metering and monitoring system has been established with plans to

progressively develop energy consumption quotas for product processes reduce energy conversion

frequency and achieve efficient energy utilization.

60 Scope 2 Emissions Reduction Roadmap 61Preface About Goneo Sustainability Management Governance Environment Value Chain Society Appendix

Carbon footprint management

Clean technology opportunity target Progress in 2024 2024 Target Process

The Company has pioneered carbon-footprint certification for products such as fast-charging mini power cabin sockets spotlights and dual-gun

DC charging piles achieving comprehensive lifecycle carbon footprint management. Results indicate that over 75% of greenhouse gas emissions

originate from upstream raw materials. Moving forward we will prioritize the procurement of sustainable raw materials collaborate with

suppliers to build a green value chain and reduce product carbon footprints. 2024 charging pile/gun up

shipment target: 950000 units 1170000

units shipped 111 % year-on-year

2024 energy storage Energy storage equipment shipments grew at

equipment shipment growth

target:6150% 6313 % in real terms

2024 new energy production Actual capacity growth of up

capacity growth target: 104% 126 % 149 % year-on-year

New energy business

Development strategy

2024 sales target: partnership Partnered with achieving

In response to the global transition in energy structures the new energy business has become a strategic pillar for Goneo. Leveraging decades of with 500 distributors

expertise in electrical technology and strong brand equity the Company quickly completed the transition of product lines and channels from 585 distributors 117 % of the target

alternating current to direct current from slow charging to fast charging from single charging point to group charging from charging to energy

storage and from business-to-consumer (To C) to business-to-business (To B) which enables users to enjoy products and services featuring

safety convenience and efficiency and ensures the rapid growth of this business.During the reporting period new energy sales increased by

up

104.75% year-on-year.

37 % year-on-year

2024 planned new energy R&D Invested up

investment: RMB78 million

RMB 97.2 million 80 % year-on-year

Clean Technology Opportunity Targets and Achievements

62 63Preface About Goneo Sustainability Management Governance Environment Value Chain Society Appendix

Goneo's new energy business made significant strides in 2024 and has become a critical strategic pillar. The Company will continue to expand its Key achievements

product lines to meet market demands. In 2024 R&D investment in the new energy business grew by over 80% compared to 2023. We will further

increase investments in new energy technologies and provide sustained resource support to drive continuous upgrades in the new energy In 2024 Goneo played a leading role in drafting several external standards and promoted industry-wide standardization. These standards include

business. GB/T 39752-2024 Safety Requirements of Electric Vehicle Conductive Supply Equipment 20231709-Q-469 Minimum Allowable Values of Energy Efficiency

and Energy Efficiency Grades for Electric Vehicle Charging Piles 20243764-T-524 Electric Vehicle Conductive Charging System Part 2 EMC Requirements

for Off-Board Electric Vehicle Supply Equipment and T/CI 869-2024 Technical Requirements and Installation Specifications for Liquid Cooled Supercharg-

Business Category ing Piles.Case Industrialization of goneo's r&d achievements

The Company continues to expand its business ecosystem around the "integrated photovoltaic

storage and charging" model to enrich its product portfolio and drive personalized innovation.In September 2024 Goneo supported an energy company in conducting an

In home charging field the Company has advanced product upgrades by its leveraging keen market integrated photovoltaic storage and charging benchmark station project to bolster

insights. In the first half of 2024 Goneo launched the "Wuji" series of household charging piles which the development of Cixi's new energy transportation sector. The project included

received the "Global Top Brands Award" at the Consumer Electronics Show (CES). four sets of Goneo's group supercharging equipment (1920 kW) six fast-charging New energy charging single piles (720 kW) two energy storage cabinets (total capacity of 460 kWh) 235

business

In the publicly operated piles field the Company rapidly deployed fast-charging direct current points photovoltaic panels (12.65 MW) and several third-party devices. The station is

represented by group charging. By using a full matrix topology circuit group charging products expected to deliver over 4.5 million kWh of electricity annually with 130000 kWh of

support up to 12 guns. In the first half of 2024 Goneo introduced liquid-cooled charging piles with a green electricity consumed via photovoltaics. It will also facilitate 800000 kWh of

maximum charging current of 600A and voltage of 1000V. electricity regulated by peak-shaving and valley-filling through regional energy

storage serving over 100000 new energy vehicles annually.Integrated Photovoltaic Storage and Charging

Benchmark Station Project

The Company has strategically positioned itself in the European market for residential energy storage

and in the China's market for commercial and industrial energy storage while continuously enriching Case Goneo won bids for China National Petroleum Corporation's charging equipment demonstrating

its product offerings. Products include 125 kW/230 kWh liquid-cooled commercial and industrial competitiveness in the new energy market

energy storage cabinets 60 kW/115 kWh liquid-cooled energy storage cabinets 100 kW/220 kWh

Energy storage liquid-cooled energy storage cabinets 1 MW/2.15 MWh liquid-cooled energy storage containers In September 2024 Goneo secured an RMB700 million charging equipment procurement contract from China National Petroleum

business photovoltaic inverters combiner cabinets and balcony photovoltaic energy storage systems. These Corporation. It stood out among over 100 bidding companies due to its technical expertise and product quality. This indicates its

solutions cater to diverse scenarios such as peak-shaving dynamic capacity expansion and integrated recognition by the new energy market. The power capacities of Goneo's charging piles range from 3.5 kW to 960 kW and a 115 kW/230

photovoltaic storage and charging. kWh commercial and industrial energy storage product has been introduced. The Company is committed to building an "integrated

photovoltaic storage and charging" microgrid ecosystem to advance the new energy industry. This bid not only drives growth in

Goneo's new energy business but also supports China's energy structure transition. This also contributes to reducing carbon emissions

and achieving the dual carbon goals.

64 65Preface About Goneo Sustainability Management Governance Environment Value Chain Society Appendix

Risk Goneo has established the Risk Management System in accordance with relevant risk management Potential

guidelines and integrated potential climate-related risks and opportunities into its risk management Risk types Impact Potential risk description Value chain financial Response measures

Management timeframe impact1system to ensure closed-loop control across all processes. During the risk identification phase we closely impacts

monitor the impacts of extreme weather on our operations and supply chain.Short- Typhoons/high winds may Produc- Increased Develop contingency plans

Physical risks medium- damage factories tion and production and response procedures for

Extreme and equipment and other opera- and typhoons and flooding such

In 2024 we identified and assessed potential climate-related risks and opportunities for our core business- precipitation long-term fixed assets and lead to tions manage- as the Management .es. Drawing on climate scenarios listed by mainstream international organizations and in combination with safety incidents ment costs Continuously monitor

our operational status we thoroughly identified climate risk and types of opportunity transmission Severe storms may Reduced weather warnings issue early

mechanisms and impact levels. We also formulated measures targeting physical risks. transition risks and disrupt transportation or operating alerts and activate contin-

opportunities. Tropical cyclones damage infrastructure revenue gency plans besides

thus affecting supply Asset implementing preventive

Based on a comprehensive analysis benchmarked against the Task Force on Climate-related Financial

chain logistics impairment measures and safety

Disclosures (TCFD) recommendations we have discovered that physical risks are generally low to

Floods or sea level rise losses inspections before heavy rain

moderate or even negligible indicating that overall physical risks remain manageable. To effectively

may result in damage or Increased or high winds

address extreme weather events we comprehensively evaluate various physical risks during project site

Riverine and coastal submersion of assets such capital Conduct risk assessments for

selection and daily operations develop emergency response procedures and contingency plans and

conduct regular emergency drills to ensure rapid response capabilities. Furthermore property insurance flooding

as plants equipment and expendi- extreme precipitation and

inventory ture typhoons prepare adequate

coverage hedges against potential losses from extreme weather events that may impact our operations

Prolonged high humidity Increased flood prevention supplies

and asset values thus safeguarding business continuity and stability.may cause corrosion or non-operat- and perform flood emergency

Wind speed trends mold in production ing drills

materials and inventory expenses Optimize water supply and

as well as production line drainage facilities and install

failures cutoff valves at discharge

points

Sea level rise

High temperatures may Develop high-temperature

Extreme heat trigger power restrictions contingency plans and

limit production capacity response procedures and

and delay construction conduct heatstroke

projects prevention drills to enhance

Sudden drought Sudden extreme heat response capabilities

events pose health and Strengthen fire prevention

safety risks to outdoor including regular inspections

workers and maintenance of

Water shortage Prolonged high tempera- fire-fighting equipment and

tures increase energy facilities and fire drills

consumption Develop more efficient water

Long-term water resource utilization process-

Drying trends shortages and droughts es introduce advanced

may disrupt normal equipment and facilities and

production and incur implement water-saving

additional maintenance initiatives

Warming trend costs for water pipelines

and infrastructure

Climate Change Physical Risks/Opportunities and Response Measures

1 The impact links in the value chain primarily include: the production and operation stage encompassing all processes from

product design through delivery; the upstream supply chain stage covering all activities from raw material procurement through

66 product manufacturing with a focus on supplier management and sourcing of raw materials; and the downstream value chain 67

stage involving activities following product manufacture including distribution sales and after-sales services.Preface About Goneo Sustainability Management Governance Environment Value Chain Society Appendix

Transition risks/opportunities Potential

Risk types Impact Potential opportunity Value chain financial Response measures

As industries worldwide step up low-carbon transitions to tackle climate change identifying and addressing transition risks and opportunities is timeframe descriptions impact impacts

imperative for Goneo. By referencing the Company's and industry's business characteristics Goneo proactively identifies potential transition

risks and opportunities conducts preliminary impact analyses and formulates response measures to mitigate climate-related risks and seize

transition opportunities. Short- to Growing consumer Upstream Reduced Integrate green principles

medi- demand for diversified supply chain operating into product design and

um-term personalized and and revenue actively develop low-car-

low-carbon electrical downstream Increase bon products to meet

Impact Potential products present risks of value chain in customer needsRisk types Potential risk description Value chain financial Response measurestimeframe impact failing to satisfy customer produc- Take an active part in

impacts expectations for green tion costs energy conservation and

products emission reduction and

Market Fluctuations in raw increase the proportion of

Short- to Tighter national regula- Upstream Increased Set aggressive carbon-re- material and energy prices clean energy

medi- tions on energy conserva- supply production duction targets promote may increase product Strengthen supply chain

um-term tion emission reduction chain and clean production to reduce prices and lead to management to boost its

and green manufacturing production manage- greenhouse gas emissions customer loss resilience

to mitigate climate change and ment costs in operations

could trigger product operations Asset Extend low-carbon R&D

delisting or production and impairment requirements to the supply

curbs down- losses chain

The EU's Net-Zero Industry stream Reduced Closely monitor changes in

Act and Carbon Border value chain operating environmental laws

Policy and legislation

Adjustment Mechanism revenue regulations and policies

(CBAM) may increase and participate in regional Short- Stricter climate risk Production Increased Enhance information

export costs for related carbon trading and pricing medium- disclosure requirements and manage- transparency actively

products pilot programs and set by regulators and operations ment address stakeholder

long-term investor preferences for and costs concerns about climate

low-carbon products may downstream Increased issues and disclose in

lead to reputation damage value chain financing compliance with the climate

and weakened brand value costs disclosure guidelines of the

if responses are Shanghai Stock Exchange

inadequate. Investors may Continue to advance

Reputation

withdraw or withhold low-carbon product R&D and

funding which could market promotion

disrupt cash flow drag

Short- Rapid technological Production Increased Enhance R&D capabilities down business and hinder

medium- updates in the industry and R&D through talent cultivation and market expansion

and could see traditional operations expendi- retention

long-term products replaced by ture Promote the use of low-ener-

smarter competitive Asset gy or new energy equipment

products if the Company impair- and timely optimize or phase

fails to keep pace ment out outdated equipment and

Insufficient R&D funding losses processes

talent shortages or Inventory

inflexible innovation impair- Climate Change Transition Risks and Response Measures

mechanisms may delay ment

product launches and

Technologies losses

technical performance Reduced

upgrades resulting in operating

failure to meet diverse revenue

and high-end market

demands

Climate Change Transition Risks and Response Measures

68 69Preface About Goneo Sustainability Management Governance Environment Value Chain Society Appendix

Opportunity Impact Potential opportunity Value chain Potential Indicators and Goals

type timeframe descriptions impact financial Response measures 1impacts Energy use-related performance

Indicators Unit 2024 2023 2 2022

Short- to Building on existing Produc- Increased Expand charging pile and

medi- expertise in charging pile tion and operating energy storage businesses;

um-term and energy storage operations revenue explore and reserve Comprehensive energy

sectors Goneo can and Increased technologies for alternative

Tons of coal equivalent 24235.5 24723.1 21208.5

consumption3

achieve breakthroughs in down- R&D energy solutions

core technologies stream expenditure Actively participate in

Technologies including power modules value formulating new energy

Comprehensive energy consumption Tons of coal equiva-

1.41.61.5

control modules and chain industry standards and per unit revenue

4 lent/RMB million

software of charging piles engage in industry

to enhance product exchanges to enhance Purchased electricity

competitiveness and influence (excluding clean electricity) MWh 191413 197237 171019

snatch market share

Consumption of purchased electricity MWh/RMB million 12.6 12.1

per RMB1 million revenue 11.4

Consumption of renewable

kWh 5959400 5749637

electricity 16458806.1

Short- to Driven by energy Down- Increased Increase R&D investment in Self-generated and

medi- conservation and stream of operating smart electrical products kWh 5959400 5749637self-consumed 6974684.0

um-term emission reduction the value revenue such as smart switches and

policies and the smart chain sockets to build builds an

technology wave the interconnected smart home Purchased renewable kWh

Company's energy ecosystem electricity

59484122.100

efficient environmentally Strengthen talent reserves

friendly and smart for cutting-edge technology Consumption of nrenewable

Market electrical products such R&D and increase R&D electricity per unit revenue MWh/RMB million 1.0 0.4 0.4

as low power sockets and investment to continuously

energy-saving lighting develop energy efficient and

products align with green eco-friendly products Consumption of natural gas m3 356534 170792 143240

consumption and smart

living trends and can

enhance its market Consumption of natural gas

competitiveness per unit revenue m3/RMB million 21.2 10.9 10.2

Diesel consumption kg 113324 125468 -

Climate Change Transition Opportunities and Response Measures

Diesel consumption per unit

revenue kg/RMB million 6.7 8.0 -

Gasoline consumption kg 48596 49407 -

Gasoline consumption per kg/RMB million 2.9 3.1 -

unit revenue

1 In accordance with the requirements of ISO 14064-1 Goneo Group conducted greenhouse gas (GHG) accounting in both 2023 and 2024

using the operational control approach. The scope of the inventory focused primarily on production entities while non-production

entities such as those engaged in sales and trading were not included in the inventory.

2 In December 2024 the Company reviewed and reported the emission sources and volumes within the organizational boundaries

defined for 2023. To enhance the comparability of data this report restates the 2023 energy consumption and GHG emissions based on

the GHG Verification Report.

3 This means the equivalent comprehensive energy consumption including purchased electricity natural gas gasoline and diesel. The

conversion coefficients are sourced from GB/T 2589-2020 General Rules for Calculation of the Comprehensive Energy Consumption.

4 Comprehensive Energy Consumption per Unit Revenue (tce/million RMB) = Total Converted Energy Consumption (tce) / Operating

70 Revenue (million RMB) 71

5 Includes clean power purchased from the grid and the consumption of photovoltaic power generated by suppliers erected on the

Company's premises.Preface About Goneo Sustainability Management Governance Environment Value Chain Society Appendix

In 2024 the Company engaged an independent third-party organization to conduct a

carbon inventory and verification for Scope 1 and Scope 2 emissions at its production Pollutant and Waste Management

and operational sites in accordance with the ISO 14064-1 standard.Goneo upholds the principles of sustainable development and by tackling pollution at its source it minimizes the generation emission and

treatment of air pollutants and waste through advanced equipment technologies processes digital tools and refined management. The Compa-

ny promotes the resourceful utilization of recyclable materials to reduce negative environmental impacts and foster harmonious development

between the enterprise and the environment.Greenhouse Gas Verification Certificate

Indicators Indicators 2024 2023 2022 ESG Target Performance in 2024 Achievement status

Direct GHG emissions1 (Scope 1) tCO2e 3325 3010 309.7 100% compliance rate for

waste gas and waste 100 %

emissions

Indirect GHG emissions2 (Scope 2) tCO2e 111008 105837.5 97530.9

By the end of 2024 reduce Reduce toxic and hazardous substances

toxic and hazardous (paint residue)at source by

Total GHG emissions (Scope 1 and 2) tCO2e 114333 108847.5 97840.6 substances at source by 5 ton 9.8 ton through substitution with

water-based paint

tCO2e

GHG emission density (Scope 1 and Scope 2) / RMB 6.8 6.9 6.9

million Pollutants and Waste Emissions Indicators and Targets

Greenhouse Gas Emissions Performance Pollutant Management

Policies and Methods

Clean technology key performance:

During production and operations the Company strictly adheres to waste gas emission standards including the Emission Standard of Air Pollutants

IN 2024 for Industrial Surface Coating Processes the Integrated Emission Standard of Air Pollutants the Emission Standard of Pollutants for Synthetic Resin

Industry the Emission Standard of Air Pollutants for Boilers the Emission Standard of Water Pollutants for Electroplating the Emission Standard of

100 an increase of Cooking Fume the Emission Standards for Odor Pollutants and the Standard for Fugitive Emission of Volatile Organic Compounds. The Company nearly RMB million was invested in R&D 80 rigorously implements pollutant emission control policies standardizes its pollution discharge permit management system and establishes of the new energy team over % compared to 2023. standards to control total emissions. Annually we engage qualified third-party testing units to conduct environmental monitoring or perform

self-monitoring of air pollutants in compliance with relevant regulations.Charging pile/gun shipments grew by

111 % year-on-year Actions

We promote replacing toxic and hazardous substances at source to reduce or eliminate their environmental and health impacts. In waste gas

umulative shipments of charging products exceeded energy storage equipment shipments rising by treatment we adopt advanced technologies such as bag dust removal activated carbon adsorption and zeolite wheel adsorption and catalytic

combustion to efficiently treat dust-laden and organic waste gases generated across production processes.

2 million units 6313 % year-on-year The Company has installed cartridge filter dust collectors equipped with high-efficiency long-life filter cartridges which keep particulate matter

emission concentrations significantly below regulatory limits. Additionally an online waste gas emission monitoring system has been implement-

ed complemented by alarms for combustible or toxic gas leaks and remote shut-off systems. These enable real-time monitoring of pollutant

concentrations emission rates and total emissions allowing prompt adjustments to production processes or activation of pollution control

1 The Company's direct GHG emissions primarily originate from the combustion of natural gas in stationary sources such as boilers

during production operations the combustion of gasoline and diesel in mobile sources as well as emissions from septic systems. In equipment in case of abnormal emissions.

2022 only GHG emissions from natural gas combustion and purchased electricity were included in the inventory.

2 Scope 2 GHG emissions are from the consumption of purchased electricity. The 2024 emission factor for purchased electricity is based

on the national average grid emission factor in 2022 which is 0.5366 tCO?/MWh.

72 73Preface About Goneo Sustainability Management Governance Environment Value Chain Society Appendix

Waste Management

Case Upgrade of composite waste gas treatment system

Policies and Methods

In 2024 subsidiary Goneo Optoelectronic Technology Co. Ltd. upgraded its composite waste gas treatment system to address issues

such as low iodine value of activated carbon damaged collection pipelines and low collection efficiency due to open workshops. The Company comprehensively identifies waste generated during production processes and adheres to regulations such as the Management

Regulations for Hazardous Waste and General Industrial Solid Waste the National Hazardous Waste List and the EU's Waste from Electrical and Electron-

ic Equipment (WEEE). Goneo continuously updates its annual hazardous waste plan and files with the Bureau of Ecology and Environment while

also conducting annual and monthly reports for general industrial solid waste. Annual inspections of hazardous waste and general industrial solid

Upgrade details:

waste are organized across all operational sites with audited annual lists of hazardous waste and general industrial solid waste published. In

Replacing low-iodine-value honeycomb activated carbon with granular 2024 the Company achieved a 100% disposal compliance rate for the general industrial solid waste and hazardous waste and a 100% outsourcing

activated carbon (iodine value above 800) using a drawer-type filling method to waste disposal rate. No instances of illegal pollutant emissions or unauthorized hazardous waste transfers occurred.reduce fire risks extend service life and minimize waste carbon.Repairing waste gas collection pipelines to ensure collection efficiency.Expanding the coverage area of collection hoods at emission points to enhance

waste gas capture.Actions

Outcome:

The Company actively promotes the reduction of industrial solid waste at the source and strives to establish demonstration bases of "zero-waste

Emissions of particulate matter tin and non-methane hydrocarbons factories" and a "zero-waste group". A series of measures have been implemented to reduce waste generation at the source including optimizing

consistently meet standards significantly reducing VOC pollution and enhanc- production processes to enhance precision and yield rates conducting streamlined production establishing resource recovery systems for

ing environmental performance which serves as an example for industry-wide internal recycling of metals and plastics upgrading environmental equipment (e.g. installing paint mist purification systems for pre-treating

waste gas treatment. hazardous waste and improving pollution prevention facilities) and leveraging digital tools to strengthen oversight.Upgraded Waste Gas Emission Device

In terms of waste management system development the Company continuously improves its industrial solid waste collection and transfer

systems to comprehensively improve resource utilization efficiency. General industrial solid waste is transferred to renewable resource recycling

units or other entities for disposal. In strict accordance with the Q/GN G140005 standard the Company has formulated hazardous waste

collection protocols based on waste characteristics constructed compliant temporary storage facilities and equipped them with specialized

containers to prevent leaks. Hazardous waste is stored by category with clear labeling. The Company has signed agreements with multiple

accredited units that will employ disposal methods tailored to waste types and conduct regular audits to ensure disposal capacity and compliance

Indicators and Performance thereby guaranteeing safe and lawful hazardous waste disposal.In 2024 air pollutants generated across all bases were discharged in an organized manner through exhaust tubes. Emission concentrations of

key pollutants including particulate matter non-methane hydrocarbons sulfur dioxide and nitrogen oxides were significantly below national

standards thus achieving a 100% compliance rate.Indicators Unit 2024 2023 2022

Particulate matter (PM) Ton 2.17 31.62 23.85

Non-methane hydrocar-

bon (NMHC) Ton 51.46 45.22 - On-Site Safety Training for (Hazardous) Chemicals and Waste at Ningbo Banmen Electric Overseas Factory

Nitrogen oxides Ton 1.80 4.74 3.58

Sulfur dioxide Ton 0.14 4.74 3.58

Waste Gas Emissions1

1 To be supplemented with the accounting methods and scope.

74 75Preface About Goneo Sustainability Management Governance Environment Value Chain Society Appendix

Indicators and Performance Water Resource Utilization and Wastewater Discharge

Indicators Unit 2024 2023 2022

Goneo places great importance on water resource utilization and wastewater discharge management. Guided by green development principles

Total waste Ton 8536.4 8548.2 2019.2 the Company has effectively enhanced water resource efficiency through methods including water-saving technological upgrades and recycling.The Company's water usage primarily involves domestic water and industrial water use accounts for an extremely small proportion We actively

promote water conservation improve water use efficiency and reduce waste.Waste produced per unit revenue kg/RMB million 507.2 544.7 143.4

Total non-hazardous waste1 Ton 7749 7801 1060

ESG Target Performance in 2024 Achievement status

Non-hazardous waste produced per kg/RMB million 460.4 497.0unit revenue 75.3

100% compliant discharge of

Total hazardous waste2 Ton 787.4 747.2 959.2 production and domestic wastewater

in 2024 100 % compliant

Hazardous waste produced per unit revenue kg/RMB million 46.8 47.6 68.1

Waste Emissions

Policies and The Company adheres to the Standards for Drinking Water Quality for domestic water and complies with wastewater discharge standards including the Integrated Wastewater Discharge

Methods Standard the Zhejiang Provincial Standard - Indirect Discharge Limits of Nitrogen and Phosphorus

Pollutants from Industrial Enterprises Wastewater the Wastewater Quality Standards for Discharge to

Municipal Sewers and the Discharge Standard of Water Pollutants for Electroplating. Annually the

Company entrusts third-party testing units certified by CMA to conduct testing or performs

self-testing to ensure compliance.Formulate policies and regulations related to water conservation

EHS Leadership Group and Execution Group

Implement water-saving measures and promptly repair leaks in

pipes and fixtures

All workshops and departments

Division of Water Management Responsibilities

1 Non-hazardous waste includes production waste and domestic waste generated during the Company's production operations.

2 The classification of hazardous waste follows the Directory of National Hazardous Wastes (Version 2021).

76 77Preface About Goneo Sustainability Management Governance Environment Value Chain Society Appendix

Actions Referencing the Catalog of Industrial Water-Saving Processes Technologies and Equipment Encouraged by the State the Company actively explores and adopts advanced water-saving measures. For Indicators and Performance

circulating cooling water in production facilities the Company employs technologies such as

electrochemical treatment to enhance efficiency and reduce freshwater consumption. High-effi-

ciency water purifiers are introduced to treat various kinds of wastewater generated during Indicators Unit 2024 2023 2022

production and enable compliant reuse in production processes thus improving water resource

recycling rates. We perform periodic reviews of water resource usage regularly inspect and

maintain tap water pipelines and public faucets to prevent "running overflowing dripping and Indicators m

3910930948414779742

leaking". Employees are encouraged to participate in water conservation actions and curb the

waste of continuous water flow to ensure rational usage of water resources. Additionally we have

conducted studies on the impacts of products such as converters on the water environment. Water withdrawal per unit m3/RMB million 54.1 60.4 ???? 5年5.4

The Company has established a robust wastewater treatment system employing multiple process-

es including physical sedimentation chemical neutralization and biodegradation to ensure

Total water consumption m3 91093 94841.4 77974.2

targeted treatment of wastewater generated during production. Each base implements a drainage

system that separates rainwater and sewage clean water and sewage as well as sewage and

wastewater. Rainwater is discharged directly into the municipal sewage pipe network. Production

wastewater is reused after treatment at the factories' wastewater treatment facilities. A minimal Water consumption per unit revenue m3/RMB million 5.4 6.0 5.5

amount of reused water is periodically replaced and after being treated to meet standards it is

discharged into the municipal sewage pipe network via designated production wastewater outlets.Water Resource Consumption1

Domestic sewage is pre-treated in septic tanks and then discharged into the municipal sewage pipe

network via designated domestic sewage outlets. The Company has also constructed new

anodizing wastewater treatment stations incorporating the water reuse process with a 60% reuse Indicators Unit 2024 2023 2022

rate. The annual reused water volume is expected to reach 89894 tons positioning Goneo at the

forefront of the industry. In 2024 removal rates for key pollutants SS heavy metals and chemical

oxygen demand (COD) reached 90% 95% and 90% respectively with emission concentrations far Total wastewaterd m3 819837 853572.6 701767.8

below regulatory limits.Industrial wastewater discharge3 Ton 30356 24477 -

????年

Domestic wastewater discharge Ton 789481 829095.6 701767.8

Install a hazardous chemical A shut-off valve is installed at the

interception system to effectively rainwater discharge outlet. In

collect leaking chemicals and case of abnormal rainwater

prevent water pollution conditions the shut-off valve can Wastewater discharge per unit revenue m3/RMB million 48.7 54.4 49.8

be activated to prevent rainwater

from discharging into external

rivers Chemical oxygen demand (COD) Ton 78.8 82.5 -

Establish an accident wastewater The sewage treatment effluent Biochemical oxygen demand (BOD5) Ton 25.0 31.7 -

collection system to gather the discharge tank is equipped with a

leakage and transport it to the stop valve. The qualified wastewater

wastewater disposal facility for is regularly discharged into the Ammonia nitrogen Ton 15.9 9.7 -

treatment network while the unqualified

sewage flows back to the disposal

facilities for further treatment Total phosphorus Ton 2.3 0.7 -

Wastewater Discharge2

Water Reuse System of Anodizing Risk Prevention and Control Measures for Water Source Pollution and Wastewater Discharge 1 Total Water Consumption = Total Water Withdrawal -Total Discharge

Wastewater Treatment Stations with a

2

60% Reuse Rate The Company's data for 2022 and 2023 are the drainage license discharge volume (only Shiqiao base) and the discharge volume for

2024 is 90% of the water withdrawal volume and the discharge volume of each pollutant is calculated by adopting the average value of

pollutant concentration in each production base. Industrial wastewater discharge = total water withdrawal - domestic wastewater

discharge; of which urban domestic wastewater generation is calculated based on urban domestic water consumption and discount

coefficient and per capita daily domestic water consumption is calculated by using the ratio of urban domestic water consumption to

urban resident population.

3

78 Industrial wastewater comes from the ultrasonic cleaning process link of the Company's Longshan II Branch Plant a new project in 79

2023 and there was no industrial wastewater discharge in 2022.Preface About Goneo Sustainability Management Governance Environment Value Chain Society Appendix

Resource Utilization and Circular Economy Indicators and Performance

Indicators Unit 2024 2023 2022

Policies and Goneo consistently reduces the negative environmental impact of its products and packaging Total recycled raw material usage (ton)

through the entire lifecycle by designing low-carbon eco-friendly products optimizing production

Methods processes and using less harmful or less toxic materials. By integrating circular economy principles

into operations the Company aims to coexist harmoniously with the environment. Recycled copper Ton 7292 - -

Actions Recycled plastic Ton 1264 - -

In 2024 Goneo advanced the circular economy development through the following initiatives:

Packaging material usage (ton)

Upholding design principles that prioritize easy disassembly remanufacturing and recycling

Wood Ton 59.76 - -

Collaborating closely with green suppliers to ensure low-carbon material procurement and reduce the Paper Ton 37684 - -

negative impacts of raw materials on sustainable development

Introducing advanced technologies processes and equipment to reduce material loss

Exploring and establishing mechanisms for material recycling including sorting recovering and reusing

scraps and waste materials generated in production

Implementing packaging designs that reduce material use and increase capacity while adopting

eco-friendly and recyclable packaging materials

Defective Injection-Molded Products Crushed into Plastic Particles in the Powder Room and

Reused in the Injection Molding Machine's Material Loading Area

80 81Preface About Goneo Sustainability Management Governance Environment Value Chain Society Appendix

Ecosystem and Biodiversity Protection Actions All new renovation and expansion projects are conducted in accordance with regulations and high standards. The Company engages qualified third-party professional agencies to perform detailed

ecological risk assessments using scientific methods such as data collection and analysis on-site

surveys and model predictions to evaluate potential ecological risks caused by the project

construction and operation including habitat destruction and species invasion. These efforts

control the ecological impacts of projects at the source and ensure that projects align with ecologi-

cal protection requirements.Policies and The Company is committed to actively supporting the United Nations' biodiversity-related Sustain-

In production and operations Goneo rigorously oversees the use and storage of chemicals in

able Development Goals and will prioritize biodiversity impact assessment and conservation within workshops (excluding precursor or explosive substances) standardizes the management of

its own operations. In the future it will gradually join hands with more stakeholders to implement hazardous waste and general industrial solid waste and implements the "Three Simultaneous" Methods

biodiversity conservation actions. principle in environmental protection. The Company supervises temporary solid waste storage

disposal processes and environmental equipment spot checks to screen and address potential

In order to achieve the above goals the Group complies with the Environmental Impact Assessment hazards. Goneo organizes regular environmental emergency drills simulating scenarios such as

Law of the People's Republic of China the Regulations on the Administration of Environmental chemical or hazardous waste leakage. It also supervises the compliance management of firefighting

Protection of Construction Projects and other ecological and environmental laws and regulations facilities to minimize ecological and biodiversity damage from emergencies like fires.and integrates the concept of ecological protection into the whole life cycle of the project including

design construction operation and maintenance. Anti-corrosion and anti-seepage measures are applied according to regional soil and groundwater

pollution prevention zoning requirements. Groundwater monitoring wells are installed with green

Goneo strictly adheres to the "Three Zones and Three Lines" environmental protection regulations rainwater collecting systems to maintain regional hydrological ecosystems and protect surrounding

during site selection for operations and related projects ensuring that there is no encroachment on ecosystems and biodiversity. Additionally the Company conducts studies on the impact of

ecological protection red lines or permanent basic farmland. None of the new projects fall into the products such as converters on the soil environment and analyzes potential impacts during

category of polluting construction projects located in ecologically sensitive areas and there are no production usage and disposal stages. Based on these findings the Company optimizes produc-

drinking water source protection zones and no centralized or decentralized drinking water sources tion processes and improves product design to minimize impacts on the soil environmental

nearby. Moreover there are no areas with sensitive soil environment such as farmland orchards throughout the product lifecycle. Furthermore Goneo integrates biodiversity protection into its

pastures drinking water sources or residential areas within a 2-kilometer radius of project sites. value chain by adopting sustainable packaging materials and gradually promoting the use of paper

Additionally there are neither acoustic environmental protection targets nor key ecological products with Forest Certification.function areas such as critical species habitats national parks and nature reserves within these

areas. During factory construction the Company preserved existing trees and vegetation and

arranged factory layouts based on local topography to reduce disruption to native ecosystems.Also it actively protects and restores environments affected by its business activities. Moreover

the Company avoids using raw materials sourced from globally or nationally significant biodiversity

locations.Indicators and Performance

During the reporting period

none of the Company's operational sites were located

within ecological protection red lines.Environmental assessment units confirmed that there

are no biodiversity-related risks.Goneo Became a Member Unit of Cixi Ecological Environment Protection

Association in 2024

82 83Preface About Goneo Sustainability Management Governance Environment Value Chain Society Appendix

Value Chain

Goneo Group always adheres to technological leadership continu-

ously improving product quality and safety management. By inten-

sifying technological innovation and quality improvements the

Company aims to deliver high-quality products that ensure both

safety and sustainability while also striving to elevate customer

satisfaction in service experiences. We are committed to working

closely with upstream and downstream partners to jointly promote

efficient collaboration and value creation in the value chain.Major Material Topics of Sustainability Covered in this Chapter:

Product Quality and Safety

Sustainable Supply Chain

SDGs Addressed in this Chapter:Preface About Goneo Sustainability Management Governance Environment Value Chain Society Appendix

Innovation and R&D

Electrical safety | The anti-detachment socket provides strong protection for electrical

Case

safety and won the 2024 Ningbo Patent Gold Award

In response to the risk of plug detachment caused by the increase in electrical

Goneo Group has always adhered to innovation-driven development focused on customer experience continuously improved the level of R&D

equipment Goneo has developed a new type of anti-detachment socket. It

and innovation and strived to provide customers with diversified products and services which are safer more convenient and more intelligent.adopts innovative designs such as bevel and cylindrical rolling locking floating

plate movement and cooperative release controls to achieve self-locking and

convenient unlocking of the plug. It features good integrity high safety and

Policies and Methods strong versatility and is suitable for a variety of socket types and jack

standards. The patent has been appraised as reaching a domestic leading level

recognized by the Ministry of Science and Technology and designated as a

Adhering to the concept of "Being the best and taking the long way with professionalism and devotion" Goneo Group centers around consumer national-level industrialization demonstration project. It has also facilitated the

needs and establishes an innovative system encompassing forward-looking research product planning and R&D. By collaborating with leading establishment of enterprise standards effectively ensuring electrical safety

external institutions to carry out process reforms the Company optimizes its R&D management processes integrates both internal and external and promoting industrial upgrading.resources and strengthens the dual-driven approach of forward-looking technologies and customer needs ensuring technological leadership

and project implementation.In 2024 2 subsidiaries of Goneo Group - Ningbo Goneo Electric Appliance Co. Ltd. and Ningbo Goneo Optoelectronic Technology Co. Ltd. -

successfully passed the re-evaluation for high-tech enterprise designation in 2024.Electrical safety | The R&D of self-resetting magnetic blow-out instantaneous dual-contact

Case mechanical arc extinction technology provides technical support for the promotion of DC

Innovation Incentives electrical appliances

To encourage innovation and creativity among R&D talents the Company has established a long-term and short-term incentive mecha-

nism formulated the R&D Project Reward System the Patent Reward Rules the Technological Achievements Evaluation and Reward System and To address the demand for DC power scenarios arising from the future prolifer-

equity incentive plans closely linking organizational performance with individual performance to achieve mutual progress and win-win ation of photovoltaic energy the Company has developed a self-resetting

results for both the organization and individuals. In 2024 the Company distributed over RMB11 million in rewards for R&D projects and magnetic blow-out instantaneous dual-contact mechanical arc extinction

approximately RMB1 million in special patent bonuses effectively stimulating innovation. technology. Through multiple industry-first technologies it achieves high

safety excellent compatibility and low cost providing strong technical support

for the promotion of DC electrical appliances.Action

The Company's Arc Extinction Technology

R&D Team

After years of accumulation the Company has built an R&D team consisting of nearly 1650 experienced professionals. The R&D team is

characterized by high educational qualifications professionalism and internationalization with several experts hailing from leading Case Boosting the development of new energy | Smart interactive screen stepless charging pile

enterprises. More than 80% of the team members hold bachelor's degrees or above and more than 20% hold master's or doctoral redefining high-end charging experience

degrees. In addition the Company has also introduced overseas experts and scholars. Currently 1 talent from the "National Thousand

Talents Program" has joined responsible for forward-looking planning and key technology research and application in the field of new

energy ensuring that the technology remains at the leading level. Goneo Group has launched the smart interactive screen stepless home charging pile which boasts five industry-first advantages:

high-definition touch screen card-free charging five-star charging compatibility certification extreme environmental reliability

certification and a 6-year warranty commitment. It covers a power range of 7kW-21kW and is compatible with various new energy

Innovation Achievements vehicle models. With Bluetooth contactless charging APP remote intelligent control and a nine-level safety protection system it

provides users with an efficient convenient and safe experience. This product has won the 2024 CES Global Innovation Award and the

Committed to the goal of "leading technology and green innovation" the Company focuses on technological breakthroughs in the fields Red Dot Award and has garnered attention from authoritative media outlets such as CCTV showcasing Goneo's innovative strength.of electricity safety smart home and new energy. It is committed to developing intelligent energy-saving and environmentally friendly

products to meet market and user demands. Furthermore the Company deeply integrates the ESG concept into the entire R&D process

promoting green design and low-carbon manufacturing to reduce the environmental impact throughout the product's lifecycle thereby

contributing to achieve sustainable development goals.

86 87Preface About Goneo Sustainability Management Governance Environment Value Chain Society Appendix

Standard System Construction

Standard code Standard name Standard level Participation mode Category Association name

Audio video and information technology

National Technical Committee on Electrical Accessories of Standardization Administration of China

GB/T 43786-2024 equipment—Routine electrical safety testing in National level Participant

production (SAC/ TC67)

Single phase plugs and socket-outlets for household

GB 1002-2024 and similar purposes—Types basic parameters and National level Participant National Technical Committee on Lighting of Standardization Administration of China (SAC/ TC224)

dimensions

Cord extension socket-outlets for household and National Technical Committee on Lighting of Standardization Administration of China Subcommit-

GB 2099.7-2024 similar purposes—Safety technical specification National level Participant tee on Lamps and Related Auxiliaries (SAC/TC224/SC1)

Safety requirements of electric vehicle conductive National Technical Committee on Lighting of Standardization Administration of China Subcommit-

GB 39752-2024 supply equipment National level Participant tee on Luminaires (SAC/TC224/SC2)

National Technical Committee on Low voltage Electrical Apparatus of Standardization Administra-

Installation couplers intended for permanent connec- tion of China Subcommittee on Circuit breakers and Similar Equipment for Household Use

GB/T 32517-2024 tion in fixed installations National level Participant (SAC/TC189/SC1)

National technical committee

Safety of household and similar electrical appliances— National Technical Committee on Electronic Equipment Safety of Standardization Administration

GB/T 4706.123-2024 Part 123: Particular requirements for electrical National level Participant of China (SAC/TC588)

hangers

Lithium-ion Battery Safety Standard Task Force (Ministry of Industry and Information Technology

Rapid quality screening method for cord extension

T/GDAQI 148-2024 sets Industry level Participant

Electronics Department)

National Technical Committee on Green Manufacturing Technology of Equipment Manufacturing

Powertrack socket-outlet for household and similar

T/CPQS E00068—2024 Group level Leading Industry of Standardization Administration of Chinapurposes

National Technical Committee on Household Electric Applicances of Standardization Administra-

Fiber-reinforced composite shell for EV charging tion of China Subcommittee on Ventilating ApplicancesT/CIA 0008-2024 equipment Group level Participant

National Technical Committee on Household Electric Applicances of Standardization Administra-

CSTE 0550-2024 Assessment requirements for quality grading and

tion of China Subcommittee on Heating Ironging Appliances

forerunner 一 Electric bathroom heater (Yuba) Group level Participant

National Technical Committee on Electrical Alloy of Standardization Administration of China

(SAC/TC228)

Standard Systems Participated/Led By Goneo Group

China Association for Standardization (Electrical and Electronic Branch)

Industry Cooperation and Exchange

The Company actively engages in technical cooperation collaborating with universities testing institutions and research institutes. In Standardization Work Committee of China Electrical Equipment Industry Association

terms of school-enterprise cooperation we have jointly developed DC charging piles with Wuhan University Research Institute successful-

ly achieving temperature and noise reduction building positive development capabilities and conducting research on liquid-cooled

China Association for Standardization Electrical and Electronic Products Standardization Branch

supercharging technology. We have also collaborated closely with Shanghai Jiao Tong University in the field of inverter algorithms (Electrical Accessories Group)

assisting in the independent R&D of industrial and commercial energy storage inverters and developing integrated photovoltaic storage

charging and discharging equipment. In terms of cooperation between testing institutions and research institutes we should strengthen Standardization work organizations

collaboration with China Automotive Technology and Research Center (Tianjin) China Automotive Engineering Research Institute (Chongq- Zhejiang Association for Standardization

ing) China Electricity Council and Shanghai Electrical Apparatus Research among others. We should conduct research on the energy

efficiency rating of charging piles vehicle-pile compatibility and reliability and jointly draft mandatory national standards. In 2024 the

Company signed a strategic cooperation agreement with China Automotive Engineering Research Institute (Chongqing) and became a Smart Supply Chain Standards Work Group

development member unit of the China Electricity Council.Committee of Photovoltaic Energy storage Direct current and Flexibility of China Association of

Building Energy Efficiency

88 89Preface About Goneo Sustainability Management Governance Environment Value Chain Society Appendix

Category Association name

Case The Company conducted intellectual property protection training activities to enhance

the patent protection awareness of all employees

Standardization work organizations China Communications Standards Association

In 2024 the Company launched its first Goneo Patent Award event

conducting a total of 8 patent knowledge trainings covering topics

China Electrical Equipment Industry Association such as patent search writing technical disclosure documents and

strategies for mitigating patent infringement risks. These trainings

reached R&D personnel across various product lines significantly

China Electrical Equipment Industry Association Electrical Accessories and Home Controllers Branch elevating the collective awareness of patents within the entire

company.The On-Site Scene of the Intellectual Property

Protection Training Activity Organized by Goneo Group

China Association of Lighting Industry

National-level industry association

China Communications Industry Association Indicators and Performance

China Association of Automobile Manufacturers

In 2024

Lock Manufacturing Branch of China National Hardware Association Goneo Group and its seven subsidiaries all passed the certification of GBT 29490-2013 Enterprise Intellectual Property

Management.Industry Associations Participated by Goneo Group In 2024

the Company obtained 148 new patents related to clean technology

Intellectual Property Protection

As a China National Intellectual Property Model Enterprise and a vanguard for safeguarding trade secrets in Zhejiang Province the Compa- bringing the total number of such patents to

ny holds the protection of intellectual property in the highest regard. To effectively protect independent innovation achievements without 193 patents were applied to the

infringing on others' intellectual property rights the Company has formulated and strictly implemented management systems such as the Company's main business

Patent Management System the Trademark Management System the Trade Secret Management System and the Copyright Management 388

System. It has established application processes for patent trademark and copyright protection and conducts risk assessments and

registrations for patent trademark and copyright applications according to business needs. In addition the Company continues to

combat third-party intellectual property infringement through administrative complaints civil litigation and other legal means. In 2024

the Company conducted patent defense actions centered around products such as cube sockets rotary multi-plug sockets and PDU

sockets effectively consolidating our market share.Composition of R & D Personnel Unit 2024 2023 2022

Number of R & D Personnel Person 1650 1581 1400

Proportion of R & D Personnel % 12.48 11.50 11.34

Doctoral Person 2 2 0

By educational

Master Person 142 87 69background

Bachelor and below Person 1506 1492 1331

90 91Preface About Goneo Sustainability Management Governance Environment Value Chain Society Appendix

Product and Service Quality

Number of patents granted to Goneo Group

4000

3029 Product and service quality are crucial for enterprises to earn customer trust and achieve long-term development. Goneo Group has always

3000 2638 prioritized product and service quality taking customer needs as the starting point and strictly controlling the quality of its products and services.

2251 We also prioritize the sustainability of our products strengthen the control of hazardous substances and are committed to providing high-quality

2000 products and high-level services that satisfy our customers through comprehensive quality management processes and safety management

1000 592 measures throughout the product lifecycle. 387 441

202220232024

Accumulated effective authorized patents Newly authorized patents

Governance

Goneo Group has established a Quality Management Center that operates under the quality management concept of "product reliability global

compliance and user satisfaction" to build a preventive quality management system aimed at achieving industry-leading quality standards. The

Company's Quality Management Center comprises the Quality Operations Department User Quality Department Parts Quality Engineering

Number of invention patents applied and authorized by Goneo Group Department Reliability and Quality Engineering Department and Product Testing Platform. Each business unit within the Company has designat-

ed quality leaders responsible for implementing comprehensive quality management practices for their respective products.

400344

300273

223260

200189139

100 77 Quality Management Center66 50

0

202220232024

Cumulative invention patents Number of newly authorized invention patents Number of newly filed invention patent applications

Parts Quality Reliability and

Quality Operations User Quality Engineering Quality Product Testing Quality leaders

Department Department Engineering Department Platform of each unitDepartment

West District Base

Testing Laboratory

Longshan Base

Testing Laboratory

Shiqiao Base

Testing Laboratory

Pearl River Delta Base

Testing Laboratory (Function)

92 93Preface About Goneo Sustainability Management Governance Environment Value Chain Society Appendix

Responsible for implementing quality strategic planning coordinating and managing quality performance Strategy

evaluation and assessment

Promoting the realization of quality digitalization Goneo Group has always adhered to the strategic positioning of "quality leadership". By establishing reliability design processes international

Quality Operations Comprehensively managing the quality system and hazardous substance process management system compliance quality management processes and quality performance evaluation and assessment processes it aims to enhance long-term user

Department reputation reduce quality risks overseas and raise quality awareness among all employees. This helps the Company's products achieve the core Carrying out overseas compliance quality management building a quality culture and promoting continu-

value creation of "product reliability global compliance and user satisfaction".ous quality improvement

Leading quality

Responsible for initiating and managing the resolution of customer complaints and conducting identifica-

tion analysis and responsibility determination for returned products Drive internal continuous improvement maintain sustained quality leadership and customer satisfaction

User Quality Positioning

Carrying out market quality data governance to enhance customer quality perception

Department

Product reliability global compliance and user satisfaction

Core values

Responsible for formulating supplier selection and evaluation rules handling quality issues of qualified

Parts Quality Engineer- suppliers developing a parts failure manual conducting parts ORT and evaluation and improving the

ing Department reliability and quality level of parts

Comprehensive and Overseas quality Quality performance

reliable products compliance evaluation

Value Business

Responsible for building an electronic control test platform establishing product and electronic

software/hardware reliability testing implementing reliability testing and evaluation establishing a reliabili-

Reliability and Quality

ty control mechanism and empowering reliability technology for practical application

Engineering

Enhance long-term Reduce overseas Enhance the quality

Department user reputation quality risks awareness of all employees

Objective

Responsible for product testing and evaluation equipment measurement and calibration implementation Establish quality perfor-mance evaluation and

Product Testing of measurements and operation and improvement of the laboratory management system Establish a reliability

Establish overseas assessment processes

design process compliance quality

Platform management processes

Establish a quality

Key value action capability assessment process

Company Quality Strategic Planning Diagram

Goneo continues to refine its business management system (Bull Business System BBS) deepen organizational transformation and implement

business innovation and related strategic objectives. As the core operational framework of Goneo BBS provides systematic support and

assurance for quality management. BBS constructed a comprehensive value chain empowerment system based on strategic planning and deploy-

ment (PD) streamlining business processes to create a closed loop. It comprehensively implemented BBS into the entire value chain of produc-

tion research sales and employment. This provides clear directions and goals for quality management and through the integrated application

of BBS tools on the business it empowers each business for continuous success.

94 95Preface About Goneo Sustainability Management Governance Environment Value Chain Society Appendix

In March 2025 Goneo Group participated in the "Product and Service Quality Integrity Commitment" themed event organized by the China

BBS three-year architecture Association for Quality Inspection and was honored as a National Product and Service Quality Integrity Commitment Enterprise.Vision: To create a world-class BBS

Sustainable business success

Key measures

Precision growth cost optimization

and talent leadership Objective system

Automation Informatization

BBS

Lean and process-oriented

Rule system

Strategic Growth Lean Process Tiered talent Empowering

Value Stream

deployment model improvement optimization cultivation core suppliers

Supervision/

Evaluation

Correction/

Empowerment

National Product and Service Quality Integrity Commitment Enterprise Award

BBS culture (driven by high goals) Full participation

5S visualization DM (daily management) CI (continuous improvement)

Daily Management

Mission: Empowering every employee and business of

Goneo to pursue faster higher and further development Quality Management System

Goneo's BBS System

The Company has established various systems and regulations including the Quality Management Manual the Product Quality Supervision

and Random Inspection Management System the Product Quality Issue Escalation Management Regulations the Quality Improvement and

Reward Management System the Hazardous Substance Management System and the Product Recall Management Regulations to standardize

ESG Target Progress in 2024 Achievement status

the quality management process and ensure product quality and environmental compliance. As of the end of the Reporting Period 11

subsidiaries had obtained ISO 9001 Quality Management System certification and 4 subsidiaries had obtained QC080000 certification.By the end of 2024 there will be zero major

0 The Company maintains strict control over product quality and safety further validating and ensuring the safety attributes of its products quality incidents related to products through quality and safety certification. As of the end of the Reporting Period in addition to certifications such as CCC CQC CE and CB

the Company has also obtained multiple product quality and safety certifications from various countries around the world.The one-time pass rate for inspection of hazard-

ous substances in HSF finished products is 100 %

100%

The on-time closure rate for rectification of

non-conforming hazardous substances in HSF 100 %

finished products is 100%

The on-time closure rate for rectification of

non-conforming hazardous substances in HSF 100 %

parts is 100%

The number of parts contaminated by hazard-

ous substances during the manufacturing 0

process ≤ 0

The timely provision rate of the supplier's HSF

inspection report for parts is 100% 100 %

Goneo Group's Product Quality Certifications

Targets and Achievement Status

9697

Top-down promotion

Research Production

Support from the bottom up Employmentand SalesPreface About Goneo Sustainability Management Governance Environment Value Chain Society Appendix

Product Health and Safety Goneo Group pays close attention to the health and safety of consumers. We clarify the potential health and safety impacts of different

products during installation and use in our product manuals thereby conveying relevant health and safety precautions related to our

Goneo Group follows the compliance requirements of the product sales destinations and customer demands conducting comprehensive products or services to our consumers. For common improper operations warnings are given to minimize the occurrence of accidents.regulatory testing for all newly launched products to ensure they meet the standards for toxic and hazardous substances. Only after We have published the manuals for different products on the Company's official website for consumers to refer to at any time1. In

passing the testing can the products be shipped. Goneo Group has introduced a product health and safety lifecycle management strategy addition the Company has set up a dedicated after-sales service hotline to collect feedback on product quality and safety-related issues.to minimize its negative impacts to the greatest extent possible. In 2024 there were no incidents of non-compliance concerning the health In addition the Company publicly discloses the content of toxic and hazardous substances in relevant product lines on its official website

and safety impacts on products and services. allowing customers and consumers to clearly understand the environmental performance of the Company's products. For details please

refer to the Company's official website2.Stage Key measures Resource support

The integration of green principles begins at the product design stage

To enhance the environ-

where the selection of thermoplastic recyclable materials and low-en-

mental safety and sustain-

ergy materials is prioritized. This approach aims to minimize resource

ability of its products the

consumption and carbon emissions laying the groundwork for a

Company will continue to

low-carbon lifecycle.invest in environmental

During the design and development phase environmental codes are

Design phase testing equipment

embedded in the products indicating compliance with relevant outsourced testing and Example of the Company’s Product Manual Product Description of Toxic and Hazardous Substance

environmental requirements. All eco-friendly materials and finished personnel allocation in

products are marked with these environmental codes and the deliver- 2024.ables in the new product development phase clearly state the environ-

In terms of environmental

mental codes to ensure effective communication of environmental

testing equipment the

requirements.Company has invested a

total of approximately Murora's no- main-lamp lighting wins the "Excellent Healthy Lighting Award" at the 12th

RMB2.68 million to equip 3 Case Alighting Award

The materials meet international environmental standards such as GC-MS devices for the

RoHS and REACH keeping hazardous substances like lead and mercu- detection of toxic and

ry within regulatory limits and reducing potential harm to the environ- hazardous substances The S100Pro series intelligent track lights from Murora Intelligent of Goneo Group’s subsidiary have won the "Excellent Healthy

ment and human health. In terms of investment in Lighting Award" for their healthy lighting technology and innovative design. This product utilizes a high-color-rendering LED light

The Company maintains strict control over the levels of hazardous outsourced testing expens- source with a color rendering index exceeding 95 and a unified glare rating (UGR) below 9 significantly lower than the EU's

Material selection substances in its products closely monitoring compliance with the es the Company has educational lighting requirement of 19. This effectively reduces glare and provides users with a comfortable and healthy lighting

standards set by the EU's RoHS 2.0 Directive and REACH Regulation. In invested a total of approxi- environment.instances where a harmful substance exceeds regulatory limits the mately RMB400000 in

Hazardous Substance Reduction Plan is established actively seeking outsourced testing

alternative materials and optimizing production processes to In terms of professional

minimize the use of hazardous substances. employees the Company

has recruited 1 RoHS

testing engineer 1

Establish a compliance risk management and control mechanism for environmental system

the entire process from raw materials to injection molding ensuring expert 1 specialized

Supply chain and 100% environmental compliance of raw materials through TDS and

manufacturing environmental testing third-party environmental certifications

process engineer over 10 employ-

management Continuously strengthen environmental compliance audits and ees for advancing the

workshop qualification management at the manufacturing end and environmental system

enhance the level of compliance management in molding production and 5 environmental

testing employees

The vast majority of product production waste can be transformed

into renewable resources directly reused in production or made into

Reuse of waste auxiliary materials forming a closed loop of "resource-product-renew-

materials able resource" significantly reducing raw material costs and waste Figure The S100Pro series intelligent track lights from Murora Intelligent have won the "Excellent Healthy Lighting Award"

disposal and contributing to the achievement of the "Carbon Peaking

and Carbon Neutrality" goals.

1 For the product manual please refer to:https://www.gongniu.cn/server/download.html

2 For information on harmful substances in products please refer to: https://www.gongniu.cn/server/quality.html

98 99Preface About Goneo Sustainability Management Governance Environment Value Chain Society Appendix

Risk Management Full Lifecycle Product Safety Management Process

The Company strictly adheres to the EU RoHS 2.0 directive REACH regulation POPs regulation PAHs regulation new battery directive and

other laws and regulations in its operational locations rigorously controlling the environmental and safety attributes of raw materials and

Quality Management Process products. The Certification Management Department of the Company’s Public Affairs Center regularly collects legal regulations related to

The Company continues to strengthen the construction of its quality management system and constantly improve its quality management hazardous substances in products both domestically and internationally and promptly forwards them to the Quality Management Depart-

processes. The Company's quality management process covers all key aspects of product R&D and design procurement production and ment to ensure product safety and environmental compliance. Meanwhile the Company embeds hazardous substance control require-

sales with a focus on core elements such as quality risk control for new products continuous improvement of supplier quality quality ments in all stages of the product lifecycle including product R&D supplier management and material procurement production finished

control in production processes and monitoring of customer experience to strictly control product quality. product inspection and finished product shipment to achieve comprehensive and effective control of hazardous substances and actively

enhance the green and safe attributes of products.Communicating HSF requirements Communicating HSF material control requirements

R&D Procurement Production Sales

Clarifying HSF control requirements HSF Control during the R&D Stage HSF Supplier and Material

Procurement Management

Collect organize and communicate Incorporate HSF control and Conduct an environmental system

HSF requirements of target environmental protection design capability evaluation for newly

Gain deep insight into and Establish an efficient Implement quality control Establish a satisfaction markets and customers requirements into the design developed suppliers and perform a

integrate customer needs supplier quality manage- measures strictly in monitoring and evaluation planning input control and output risk audit based on the HSF risk

strictly adhere to quality ment team to implement accordance with system model encompassing all stages embedding environmental level associated with the supplied

risk control for new supplier quality manage- standards scenarios including protection codes materials/auxiliary materials

products and ensure ment throughout the consumers dealers and

Clarify the classification and testing The supplier is required to provide

product quality through entire lifecycle covering Actively promote the the market conduct

rules for material risk levels a hazardous substance testing

comprehensive quality key aspects such as construction of quality regular satisfaction

planning and control supplier selection perfor- culture

report and sign the Environmental

surveys and ensure timely

Compliance Declaration

throughout the entire mance evaluation and response and treatment of

Regularly conduct product

process from product product introduction customer feedback Clarify the HSF incoming inspection

recall drills

initiation design and requirements conduct a hazardous

development prototype Carry out various supplier Customer feedback will be substance investigation on

testing to mass produc- quality improvement used to inform the incoming materials and embed

tion assistance activities development of new environmental protection codes

including conducting products and we will

supplier PSP improvement continuously iterate and

tool training supplier upgrade in subsequent Communicating HSF production control requirements Materials that meet HSF requirements

quality coaching etc. products to enhance

customer satisfaction

Establish an informa-

tion-based process for the

approval of mass-pro-

duced parts ensuring a HSF Finished Product Inspection Pollution Source Control

comprehensive and and Logistics Shipment during Production Process

data-driven process for the Complete the environmental Carry out the identification and

approval of product testing of new products in evaluation of hazardous substanc-

component samples and accordance with the environmental es and pollution sources during the

mass production. testing requirements during new process and regularly conduct

product development audits of production workshops or

Ensure that the environmental production lines for environmental-

attributes of the product are ly friendly products

correct before proceeding with Conduct HSF process inspection

logistics and product shipment

Continuously improve and feed back into new product development

Products that meet HSF requirements

Hazardous Substance Management Process of Goneo Group

100 101Preface About Goneo Sustainability Management Governance Environment Value Chain Society Appendix

Product Recall Management Customer Relationship Management

The Company formulates a product recall process and establishes a dedicated product recall team responsible for assessing the risk level

of product recalls and developing implementation schemes and plans for product recalls. The Quality Department of the Company's

Business Unit in collaboration with the Customer Service Department E-commerce Management Department and other relevant depart-

ments is jointly responsible for handling and tracking product recalls. In addition the Company regularly conducts recall simulation drills.In December 2024 the Company organized key managers from various business units to participate in product recall simulation drills Goneo Group has always regarded consumer rights protection as a crucial pillar for its sustainable development. Upholding its brand mission of

with a total of 24 participants covering 10 finished product business units or factories. In response to the issues identified during the drills "providing customers with a safe and comfortable power use experience" the Company drives service upgrades through digital innovation and

the Company conducted a review and summary updated the Product Recall Management Regulations optimized the recall management builds a customer service system that covers all channels and scenarios.process and conducted training sessions to address deficiencies aiming to enhance employees’ capabilities in handling recall incidents.Quality Culture Development

ESG goals Performance in 2024 Achievement status

The Company is actively engaged in fostering a quality culture by holding bi-weekly quality meetings to clarify strategic priorities for each

phase addressing weaknesses and continuously enhancing quality management standards. The Company regularly organizes employees

to study relevant laws and regulations such as the Product Quality Law the Standardization Law the Metrology Law and electrical produc- No complaints regarding product health and safety 0

tion certification conditions as well as various standards to enhance employees' awareness of quality compliance. Additionally the

Company conducts training on C080000 QFD and TRIZ quality management tools to strengthen employees' professional skills. Quality

improvement competitions are also organized to drive ongoing advancements in product quality and facilitate the continuous enhance-

Timely handling rate of customer complaints ≥92% 99.86%

ment of product quality.No incidents of non-compliance concerning marketing 0

Targets and Achievement Status

Policies and The Company has established management systems such as the Customer Satisfaction Manage-

ment Regulations the Customer and Consumer Service Response and Improvement Management

Methods Regulations and the Overseas Customer Complaint Closed-loop Management Measures continuous-Engaging a Third Party to Conduct

Conducting QC080000 Training Conducting Quality Improvement Competitions ly improving customer service management processes and mechanisms. It is committed to

Training on Quality Management Tools

empowering channels and establishing a professional service network centered around distribu-

tors through the construction of a digital platform and end-to-end service processes. In 2024 the

Company will deepen organizational process reforms optimize service processes upgrade

Indicators and During the Reporting Period the Company experienced no product quality recalls administra- problem response and resolution mechanisms strengthen supervision mechanisms and

tive penalties related to product quality issues or incidents of non-compliance related to the enhance service capacity building. By taking multiple measures it aims to comprehensively

Goals product health and safety. improve service efficiency and consumer satisfaction.

102 103Preface About Goneo Sustainability Management Governance Environment Value Chain Society Appendix

Responsible Marketing Actions

Goneo Group strictly abides by laws and regulations such as the Advertising Law of the People's Republic of China the Anti-Unfair Competition

Law of the People's Republic of China the Law of the People’s Republic of China on the Protection of Consumer Rights and Interests and the

Measures for the Administration of Internet Advertising. The Company has formulated the Responsible Marketing Policy of Goneo Group Customer Service Management

committing to disclose information in an objective and fair manner during the marketing process ensuring the authenticity integrity and

Goneo Group has established a four-level service process system from L1 to L4 covering the full lifecycle management from demand

transparency of the content delivered and avoiding misleading or concealing information. It ensures that consumers are provided with

reception to closed-loop evaluation. The Company has formulated the Product Installation and After-sales Service Undertaking Specifica-

true accurate and complete product and service information thereby eliminating false advertising misleading statements and the

tion established a unified standard for on-site services for users and implemented process monitoring. In 2024 the proactive positive

concealment of important information.feedback rate of online users reached 38% consistently leading the industry benchmark. In addition the Company has established a

“Service Provider Collaboration Platform” constructed more than 2600 after - sales service outlets. The installation and after - sales

service of each product covers 2800 + district and county centers (according to the 2022 national statistical data there are 2846 adminis-

Issue Policy content trative districts and counties in the country) covering more than 98% of the regions across the country.Comply with external laws and regulations. Any marketing activities conducted by Goneo whether

Legal and regulatory compliance in terms of content or methods must comply with the relevant laws regulations industry

standards and guidelines applicable in the region where it operates L4 Optimization and Improvement Layer

In the marketing process information should be disclosed in an objective and impartial manner Based on customer evaluation data we will promote process Promoting the optimization

Disclose accurate information ensuring the authenticity integrity and transparency of the content conveyed and avoiding optimization to address pain points such as logistics timeliness of 32 processes

misleading or concealing information and installation standards

Privacy and information security L3 Supervision and Feedback Layer

Full respect and protection of customer or consumer privacy and data

protection The service progress is synchronized to the after-sales

system in real-time with the headquarters overseeing The problem closure rate has

In marketing activities actively promoting environmental protection concepts advocating for the entire process increased by 25.7%

Social responsibility green consumption and encouraging consumers to adopt low-carbon and environmentally

friendly lifestyles. L2 Dispatch and Implementation Layer

Through the AI-based intelligent order distribution

The completion rate of offline

system service resources are automatically maintenance dispatching has

matched

Each year we conduct periodic training on responsible marketing for employees within the marketing department and external partners reached 87.49%

with the system (including but not limited to distributors and agents) to communicate relevant policy requirements. This ensures that both L1 Service Acceptance Layer

employees and external partners adhere to and meet the Company's requirements in their actual operational practices. In addition we Integrate 5 types of channels

regularly conduct supervision and evaluation of responsible marketing including the implementation of responsible marketing policies including 400 hotline online Achieve 24/7 access

compliance with market promotion activities and compliance of cooperation with third parties. For issues identified during reviews we customer service mini-pro-

will conduct regular follow-ups on improvement outcomes until the rectifications are completed. gram etc

The Company encourages employees and third parties to report any violations of marketing laws industry standards or company policies.In addition to the established customer service complaint hotline we have set up a dedicated email address for reporting any violations

of marketing policies to (yingxiao@gongniu.cn) to comprehensively collect complaints and reports regarding irresponsible marketing The Company’s L1-L4 Service Processes

behaviors. The Company ensures strict confidentiality of the personal information and materials provided by whistleblowers safeguard-

ing their legal rights.End-to-End Problem Solving Mechanism

Tiered Response and Escalation Mechanism Service Level Evaluation System

We categorize customer issues into four levels based on The Company regularly conducts service-level assess-

their urgency. Among them extremely urgent issues ments for various channels and business units. We have

require a 2-hour response time while routine issues established assessment indicators such as comprehen-

require a 72-hour response time. For issues that are not sive service timeliness satisfaction and complaint rate

handled within the allotted time they will be escalated and publish a service level evaluation report every

to the head of the higher-level department to ensure month to track and facilitate the continuous improve-

that customer inquiries receive a prompt and efficient ment of service quality across channels and business

response and resolution. units. In 2024 the Company's collaborative service

handling rate increased by 56.2% and the coverage rate

of visual management of the entire problem-solving

process reached 100%.

104 105Preface About Goneo Sustainability Management Governance Environment Value Chain Society Appendix

After-Sales Service Capability Enhancement Customer Satisfaction Surveys

The Company conducts a customer satisfaction survey at least once

In order to continuously improve the quality and professional level of its after-sales service the Company a year to fully understand customer needs and expectations. After

regularly conducts skill rating assessments for after-sales service specialists. In December 2024 the the questionnaires are collected the company will hold a satisfaction

Company conducted a skill rating assessment for after-sales service specialists of primary and advanced survey analysis and improvement meeting to review customer

electric tools across the country. Through the rating assessment on one hand it has increased the basic feedback and suggestions making necessary improvements to

knowledge reserves of the Company's after-sales service specialists in after-sales policies customer continually enhance customer satisfaction and loyalty.Skill Rating of

After-Sales communication skills product technical principles etc. On the other hand it has also improved their In addition the Company provides 365*7*24 uninterrupted custom-

Service Specialist ability to deal with common product malfunctions troubleshooting and handling difficult customer er service featuring various communication channels such as a

complaints. This helps provide customers with more professional and reliable after-sales services and dedicated customer complaint hotline an official service email

enhances their after-sales service experience. address a WeChat public account and a direct line to the general

manager to timely understand customer demands and expectations

supervise the Company's responsible marketing performance and

help the Company continuously improve product and service levels. Users have given high praise for the Company's services

We are deeply aware that in 2024 the Company focused on empowering and enhancing distributors

through diversified channels such as decoration and new energy. Training was conducted on four core

Distributor competencies including installation and after-sales service as well as light efficiency design resulting in

Capability

Certification a total of 1871 training certifications with a pass rate of 95.34%.Customer Complaint Hotline: 4008832388

Direct Line to the

Official Service Email Address: kefu@gongniu.com.cn General Manager:

Indicators and Performance

In 2024

the coverage rate of the Company's and the customer

customer satisfaction survey was satisfaction rate was 0

56.43 84.79 major customer complaints% %

Distributor Capability Training 3690 with a customer complaint resolution rate of the Company received

complaints regarding its products and services 99.86%

106 107Preface About Goneo Sustainability Management Governance Environment Value Chain Society Appendix

Sustainable Supply Chain Policies and The Company has established management systems such as the Sustainable Procurement Policy the Supplier Code of Conduct the Conflict Minerals Management Measures the Management Procedure for

Methods Suppliers of Production Materials and the Regulations on the Admission of Non-production Suppliers to continuously standardize supplier management.Goneo Group integrates the concept of sustainable development into the full lifecycle management of suppliers actively building a clean efficient

and sustainable supply chain. We continuously strengthen supply chain management facilitate open communication and feedback channels with Topic Details content

supplier partners and empower ourselves through the supply chain to continuously enhance our responsible supply chain management level and

suppliers' awareness of sustainable development. We are committed to working with our suppliers to facilitate the long-term stable development

of the supply chain.The Company mandates that suppliers adhere to the trade secret protection system maintain a zero-tolerance

policy towards corruption and bribery. and avoid any form of embezzlement extortion and bribery as well as

ESG Target Progress in 2024 Achievement status situations that may lead to conflicts of interest with the Company. They must comply with relevant laws and Transparent

regulations regarding anti-monopoly and anti-unfair competition fostering a clean fair transparent and healthy

procurement

business relationship. The Company has signed the Agreement on Joint Efforts for Integrity Building with its coopera-

tive suppliers and regularly conducts supply chain integrity risk assessments and business ethics training to

actively develop a clean supply chain.There are 1082 cooperative suppliers

From 2025 to 2027 it is aimed to ensure that at

of main raw materials that have obtained

least 90% of primary raw materials are sourced

relevant system certifications. In 2025 we will

from suppliers certified by Environmental

continue to promote relevant suppliers to

Management Systems (such as ISO 14001) or

meet system certification requirements with

Occupational Health and Safety Management The Company pays close attention to the management and performance of suppliers in terms of environmental

Systems (such as ISO 45001). 65 and labor rights. Through irregular on-site audits and annual reviews of suppliers it promptly identifies and strives an expected proportion of % to eliminate any potential negative environmental and social impacts that suppliers may have. The social responsi-

bility review for suppliers encompasses sustainable development issues such as production environment and

occupational health management. At the audit site we paid special attention to whether the basic labor protection

Social responsibility

1082 for production personnel is in place including whether dust masks earplugs helmets etc. are provided; whether From 2025 to 2027 it is aimed to achieve a 100% There are suppliers who have cooling measures are provided for workers in high-temperature areas; and whether isolation measures are taken

signing rate of the EHS Management Agreement signed EHS Management Agreement for Interest- in high-noise areas. For suppliers with insufficient protective measures we will require them to rectify within a

for Interested Parties which includes clauses ed Parties. By 2025 we will promote the signing specified period. If the rectification fails to meet standards or is not completed within the allotted time coopera-

related to social environmental and human of EHS Agreement for Related Parties among tion will be cancelled.rights protections. The signing rate of new our core and preferred suppliers with a target

suppliers on the agreement will be 100%

proportion of 100%

1082 The Company promises not to use conflict minerals directly or indirectly and requires suppliers to provide From 2025 to 2027 the signing rate of the There are suppliers who have relevant information that can prove the source of raw materials such as origin information full name and

Agreement on Joint Efforts for Integrity Building for signed the Agreement on Joint Efforts for Integrity geographical location of the supplier transportation route and mode as well as the trade name and type of

annual new suppliers will reach 100%; the Building. By 2025 we will increase the signing Conflict minerals minerals. Meanwhile for all material suppliers potentially involving conflict minerals the Company conducts due

signing rate of the Agreement on Joint Efforts for rate of this agreement among our core and diligence and traceability investigations on conflict mineral materials at least once a year and produces a conflict

Integrity Building for annual cooperative mineral assessment report.suppliers will reach 100%.preferred suppliers to 100%

We have completed the assessment of 313 new Sustainable Supply Chain Policies

suppliers on ESG-related issues and conduct-

From 2025 to 2027 it is aimed to achieve a 100% ed annual audits and ESG assessments on 107

completion rate for social responsibility audits existing suppliers on ESG-related issues. In

(either on-site or via questionnaires) for primary 2025 we will further improve the ESG

raw material suppliers. assessment standards for suppliers and

promote the completion of audits for 18% of

raw material suppliers

By 2027 it is aimed to achieve a 100% audit

completion rate for conflict mineral declarations 100%

among primary metal suppliers

Targets and Achievement Status

108 109Preface About Goneo Sustainability Management Governance Environment Value Chain Society Appendix

The Procurement Department of the Company's Internal Service Center is responsible for the overall establishment supervision

operation and training of the sustainable procurement system providing regular reports to promote improvements in supply chain Actions

sustainability performance. To promote the improvement on the environmental dimension of the supply chain the Company established

a special project team for the "Green Supply Chain" of new energy in 2025 and plans to pilot new product projects in the new energy Supply Chain Lifecycle Management

business department. It is committed to building a trustworthy green supplier management mechanism through collaborative procure-

ment R&D supply chain and other key links. The aim is to strengthen the control of hazardous substances at the source of the overseas The Company has established a Supplier Lifecycle Management process to categorize and grade suppliers and formulates relevant

supply chain for new energy products effectively reducing environmental compliance risks improving the management of the green management standards and procedures based on the different types of materials supplied. We integrate our sustainable principles and

supply chain and ensuring that products consistently meet customer requirements and overseas environmental regulations. concepts into all aspects of the Company's supplier lifecycle management. During the procurement stage we give priority to cooperating

with suppliers who demonstrate outstanding sustainable development performance striving to achieve sustainability in the supply chain

through joint improvements with our suppliers.Project Team Leader

key stage Main content Tiered manag

Managing project progress Conducting project

organizing communication review and rectification

meetings and conducting and providing

daily spot checks and suggestions and It is required to provide ISO 9001 ISO 14001 ISO 45001 and fire protection system

anomalies escalation opinions

PMO Executive Team Leader Project Consultant certification certificates. For special categories suppliers are required to provide REACH We categorize

and RoHS Reports suppliers into

Conducting on-site audits of suppliers' management of production environments registered

occupational disease prevention measures and employee welfare initiatives. suppliers

Conducting comprehensive quality evaluation on new bulk suppliers including quality

Executive Group Supplier potential system audit1 and process audit2

introduction suppliers and Signing the EHS Management Agreement for Interested Parties reserve

Signing the Agreement on Joint Efforts for Integrity Building and taking the integrity suppliers

examination

Quality Management Center New Energy Business Unit Internal Service Center Goneo Group utilizes a third-party enterprise risk information inquiry tool (Qixinbao)

integrated into its SRM system to conduct related-party relationship investigations

identifying potential conflicts of interest and other ethical risks between suppliers and

between suppliers and internal personnel

Main responsibilities of the project team Main responsibilities of the executive Main responsibilities of the execution The Company

leader team leader team categorizes

The Company conducts a comprehensive evaluation based on suppliers' "capability -

suppliers into

hard power" and "willingness - soft power". The "hard power" assessment covers

five levels: core

inventory health supplier performance quality assurance capability procurement

suppliers

Responsible for approving Responsible for assembling a Responsible for formulating green amount core competencies and industry standing; while the "soft power" assessment preferred

project plans and determining team determining project plans supplier access standards and focuses on enthusiasm for bidding enthusiasm for new products/bidding success rate suppliers

project objectives and providing and providing regular reports clarifying specific requirements for new product inventory health management ongoing fulfillment of company needs Supplier general

necessary resource support to Responsible for promoting the for environmental protection and customer recognition.performance suppliers

achieve the objectives formulation of standards related control Incorporating sustainable development issues such as environmental protection management restricted

to green supply chains providing Conducting an investigation on human rights protection health and safety business ethics and conflict-free minerals suppliers and

resources and cooperating with suppliers' environmental into supplier performance evaluations with diligent daily monitoring in place. eliminated

project implementation and goal compliance capabilities Conducting annual audits on suppliers within the system with ESG management serving suppliers in

achievement Establishing a green supplier as an additional item for the audit order to

database and prioritizing the Conducting environmental audits on the materials supplied by production material achieve

procurement of materials from suppliers and requiring suppliers to provide environmental acceptance reports RoHS precise

suppliers within the database and REACH reports management

Conducting performance and dynamic

management and control of optimization of

environmentally friendly suppliers

suppliers providing guidance and Supplier In response to the audit findings the Company will collaborate with the relevant parties ensuring the

support and following up on the development to develop an improvement plan stability and

rectification of environmental and relationship For suppliers that fail to meet the basic regulatory requirements and refuse to make efficiency of

non-conformities. termination rectifications the Company will restrict or cancel cooperation the supply

Upgrading the QC080000 system chain.and incorporating green supply

chain management into the Table Goneo Group's Supplier Lifecycle Management Process

control standards 1Quality system audits encompass eight general indicators: resource management instrument management marking and product traceability quality

control nonconforming product management project management customer complaints and supplier management. For special product categories an

110 additional assessment of supplier RoHS management is conducted.Organizational Structure of the Company's New Energy "Green Supply Chain" Project Team 111

2Process audits evaluate multiple operational aspects including site/5S control processing performance testing rework/maintenance inspection

packaging warehouse management and other special processes.Preface About Goneo Sustainability Management Governance Environment Value Chain Society Appendix

Resilient Supply Chain Conflict Minerals Assessment

To build a resilient supply chain the Company adopts a dual-supplier strategy which involves selecting two different suppliers to provide Goneo Group is not involved in the direct mining of conflict minerals. In 2024 the Company conducted an assessment of the procurement

the same or similar production materials. This strategy aims to mitigate the risks of supply chain disruptions price fluctuations quality processing and utilization of conflict minerals in various production stages encompassing the direct procurement of raw materials

variations and other supply chain stability risks that may arise from relying on a single supplier. In addition the Company continuously containing 3TG (tin tantalum tungsten and gold) from suppliers and their consumption during the product manufacturing process. After

strengthens the resilience of its supply chain through methods such as domestic substitution for imports and self-innovation ensuring the evaluation the only type of conflict mineral potentially involved in the Company is tin. In the investigation of direct suppliers 100% of the

safety of the supply chain. As of the Reporting Period the Company has engaged in exchanges and cooperation with domestic leading 13 tin raw material suppliers provided relatively complete information on the sources of 3TG minerals. Currently the tin-based raw materi-

enterprises in the field of modified plastics. Furthermore based on the existing production of recycled granules from drainage opening als used by the Company including solder wire and tin blocks are all sourced domestically and therefore do not involve conflict mineral

material it has continuously improved its modification technology to achieve self-production of modified materials. risks. In addition the Company's internal procurement team receives training on conflict mineral policies or audit management-related

issues at least once a year in order to enhance the procurement employee's ability to identify and manage conflict minerals.Supply Chain Risk Management

Investigation of materials Investigation of the Supplier conducts

We attach great importance to supplier risk management and have established a supplier risk management system to continuously track related to material suppliers self-inspection and On-site audit

supplier compliance risks financial risks legal risks and business ethics risks. In addition we have incorporated environmental social and conflict minerals provided submits a declaration

other dimensions of sustainable development into supplier admission and selection as well as daily risk management to promote the

construction of a sustainable supply chain. We also conduct supplier risk assessments during the admission phase through the SRM

system aiming to control risks from the very beginning. Meanwhile we conduct regular assessments and on-site audits to promptly Identify conflict Identify suppliers that Request 3TG-related For those who cannot

identify potential risks and maintain close communication with suppliers to assist them in improving their management capabilities. In minerals that may be contain 3TG materials material suppliers to conduct self-inspec-

addition the Company regularly reviews and optimizes its supplier risk management policies continuously improving the level of risk involved in the and enter them into conduct self-inspec- tion or provide the

management to ensure the stability and security of the supply chain. In 2024 the Company completed the ESG assessment of 313 new production and new the Conflict Minerals tion based on the Conflict-Free Minerals

suppliers and conducted annual ESG audits on 107 existing suppliers. It conducted supplier business ethics risk assessments on all newly product development Supplier Investigation Conflict Minerals Declaration the

introduced and cooperating suppliers and no significant risks were identified. stages List Research Template Company will conduct

Develop the Conflict (CMRT) and provide an on-site audit to

Minerals Identification feedback on the ascertain the source

List self-inspection results of minerals

Provide the If any conflict minerals

Supplier Risk Management System Conflict-Free Minerals are found during

Declaration self-inspection or

Coverage Submit the Conflict on-site audit the

stage Risk management in the admission phase Daily risk management Minerals Non-use supply of related

Commitment materials from the

supplier shall be

Compliance risks related to basic qualifications Continuously monitor the manifestations of key

terminated and the

tax information etc risk points during the access phase

supplier shall be

Financial risks such as operational risks Supply chain stability risks such as supply disrup-

required to cease

Legal risks such as judicial litigation tion risk price fluctuation risk and quality fluctua-

Main purchasing raw Business ethics risks such as related-party tion risk

monitoring materials from conflict

transactions …

Risk points mineral regions

Sustainable development risks such as supplier

energy and resource management EHS manage-

ment child labor and forced labor Conflict Mineral Traceability Process

…

Rely on the SRM Investigation of association relationships Conduct daily risk

system and third-party Investigation of relationships among suppliers monitoring and

risk information query Investigation into relationships with blacklisted investigation and

Risk tools to conduct suppliers prepare risk response

management

measures qualification screening Investigation into relationships with the plans in advance

of suppliers Company's directors supervisors and senior

management

Goneo’s Supplier Risk Management System

112 113Preface About Goneo Sustainability Management Governance Environment Value Chain Society Appendix

Supply Chain Empowerment Procurement Personnel Training

In the management of information related to procurement Goneo Group adopted the "1+2 Procurement Management Platform" The Company regularly conducts supply chain management training for employees in procurement covering key issues such as sustain-

comprising 1 digital procurement management cockpit and 2 procurement management systems (i.e. SRM system and MRO system). The able procurement and clean supply chain. In 2024 the Company conducted ESG coaching training for employees in the procurement

digital procurement management cockpit interfaces with SRM and MRO systems to obtain foundational data and automatically generate department focusing on the definition and management of sustainable procurement. In terms of business ethics we emphasize the

trend analyses concerning quality cost lead time and market conditions based on preset models. Through "1+2 Procurement Manage- importance of laws regulations and company policies ensuring that employees in procurement are fully aware of the "Eight Prohibitions"

ment Platform" the whole process of internal and external procurement operations is connected and the visualization management of as the fundamental principles for procurement. At the same time the Company also enhances employees' awareness of business ethics

end-to-end supply chain for procurement operations is achieved providing reliable information support for management decisions. through case studies ensuring that the business concept of integrity and honesty is deeply rooted in everyone's mind.Strategic Objective: Agility in Supply and Procurement

"1+2 Procurement Management Platform"

SRM system MRO system

Digital procurement management cockpit Production materials Non-production materials

Digital empowerment field

Strengthening the Procurement Integrity Advocate Meeting of Goneo Group’s Procurement Management Department

Supplier Lifecycle

capabilities of the Collaboration

Management Cost Management Risk Warning

supply chain system Integration

Data infrastructure cloud computing platform IoT platform Supplier Capability Building

We emphasize the cultivation of suppliers' awareness of sustainable development. During holidays we send integrity-related messages

through the supplier management platform to firmly establish suppliers' awareness of integrity. In addition our supplier conference

Goneo Group's Digital Management System of Suppliers serves as a crucial platform for us to promote our sustainable development concept. Leveraging this conference we introduce our

sustainable supply chain management concepts policies audit requirements and standards to our suppliers. This aims to continuously

enhance their awareness of sustainable development and collaboratively advance the construction of our sustainable supply chain."Celebrating the Dragon Boat Festival in a Clean Wind Integrity Sharing at the Supplier Conference

keeping with Integrity All the Time" - Holiday Push on Integrity

114 115Preface About Goneo Sustainability Management Governance Environment Value Chain Society Appendix

Supplier Communication

In order to establish a win-win and sustainable supply ecosystem built on mutual trust the Company's Procurement Management Depart- Indicators and Performance

ment has established a "Supplier Express" management platform continuously improved the communication and feedback process and

established a convenient efficient and secure problem feedback and resolution mechanism. The Company’s suppliers and employees can

2024

provide feedback on supply chain-related issues including but not limited to material quality environmental performance labor and

human rights performance and conflict mineral risks through this platform. Once issues are collected by the platform they will be

Total number of Tier 1 suppliers Total number of Tier 1 key suppliers Percentage of total expendi-

addressed by the relevant managers. After the closed-loop process the person who reported the issue will conduct a satisfaction evalua-

(in number of entities)1 (core suppliers) (in number of entities) ture on Tier 1 key suppliers (%)

tion to ensure that the issue has been effectively resolved.

12772328.7

Total number of new suppliers Total number of suppliers terminated

(in number of entities) (in number of entities)

3133

The number of suppliers who have The number of suppliers who have Number of suppliers that have

signed agreements containing ESG signed the integrity commitment undergone ESG assessment

requirements (in number of entities) agreement (in number of entities) 2 (in number of entities)

10821082420

The number of suppliers identified as Number of suppliers Number of suppliers

having significant actual and potential rectified for negative terminated due to

negative ESG impacts (in number of entities) ESG impacts significant ESG incidents

Goneo Group's Management Platform of Supplier Express

000

The Company holds a supplier conference every year. On one hand it commends suppliers who have excelled in providing high-quality

products efficient delivery and comprehensive services and awards them with the "Core Supplier Award" to encourage them to maintain Percentage (%) of conflict mineral audits3 Expected accounts payable for small and medium - sized enterprises (RMB)

and continuously improve their quality and sustainable development management performance. On the other hand through recognition

and collaborative exchanges we aim to further deepen our strategic partnership with suppliers and promote cooperation between both 100 0

parties in areas such as new energy.

1 The Company's Tier 1 suppliers only include production - material and bulk - raw - material suppliers excluding energy suppliers service - type suppliers and

contractors.

2 Including suppliers of non-governmental organizations and associations.

3 In our survey of direct suppliers 100% of all 13 tin raw material suppliers were included and they provided comprehensive information regarding the source of

Goneo Group’s 2024 Supplier Conference

3TG minerals (tin tungsten tantalum and gold).

116 117Preface About Goneo Sustainability Management Governance Environment Value Chain Society Appendix

Society

In the area of social responsibility we focus on the guiding princi-

ples of protecting rights fostering growth ensuring safety and

making meaningful contributions to society. With a particular

emphasis on four key issues—labor and human rights protection

human capital development occupational safety and health man-

agement and rural revitalization and social contribution—this

section will provide an overview of Goneo Group's efforts policies

practices and achievements in these areas.Major Material Topics of Sustainability Covered in this Chapter:

Labor and Human Rights

Human Capital Development

Occupational Healthand Safety

Rural Revitalization and Social Contributions

SDGs Addressed in this Chapter:Preface About Goneo Sustainability Management Governance Environment Value Chain Society Appendix

Labor and Human Rights ESG Target Progress in 2024 Achievement status

100% closure rate for discrimination and harass- 100 %

Goneo fully recognizes that labor and human rights are fundamental to a company's sustainable development. The Company strictly complies ment complaints and whistleblowing in 2024

with applicable domestic and international laws regulations and universally recognized human rights standards. We continuously refine our

internal management systems and organizational structure to safeguard employees' lawful rights and uphold their dignity throughout the entire

employment process.

100% coverage rate for annual anti-discrimi-

nation and anti-harassment training 100 %

ESG Target Progress in 2024 Achievement status

No administrative penalties for DEI-related labor 0 times 100% compliance with anti-discrimination and compliance anti-harassment policies in 2024 100 %

100% coverage rate of annual DEI policy training 100 % Provide salaries 300% above the local

minimum wage for employees > 300 %

By 2030 control the gender pay gap for

Regularly sign various collective agreements 100 employees in the same position and level to with employees ensuring 100% coverage % ≤ 7.6 %1within ±5%

Targets and Achievement Status

By 2030 increase the proportion of female 36.3 %

employees to 38%

Policies and Methods Goneo strictly complied with national laws and regulations such as the Labor Law of the

People's Republic of China and the Labor Contract Law of the People's Republic of China.During the reporting period the Company referenced international standards including

By 2030 increase the proportion of female 16.3 the UN Guiding Principles on Business and Human Rights the International Bill of Human %

managers1 to 20% Rights and the Declaration on Fundamental Principles and Rights at Work as well as relevant

regional regulations. Based on these the Company developed the Human Rights Policy

the Diversity Equality and Inclusion Policy and the Anti-Discrimination and Anti-Harass-

ment Policy and revised a series of policy documents such as the Employee Handbook the

Provide no fewer than 120 employment Management Measures on Protection for Female and Underage Workers the Administrative

opportunities for people with disabilities each 125 and Marketing Employee Promotion Management System the Employee Training Manage-year ment System the Employee Compensation Management System and the Employee

Resignation Management System. These efforts aim to continually improve internal mecha-

nisms and processes integrating human rights protection with the Company’s business

strategy culture and daily operations to ensure key human rights issues are effectively

implemented.No incidents of discrimination or harassment in

20240

1The main reason for the difference was that technical positions were highly remunerated with more men engaged in them and more women in functional

Labor & Human Rights Targets and Achievement Status positions. The Company has continued to optimize its compensation and performance management including combing job grades anchoring market salaries

and establishing salary matching rules.

1 Female managers: managers at job level 3-1 and above and female employees in the professional sequence.

120 121Preface About Goneo Sustainability Management Governance Environment Value Chain Society Appendix

Policy Issue PolicyIssue MethodsRequirements Methods Requirements

Specialized anti-discrimination and anti-harassment

Strict compliance with international labor Zero tolerance for all forms of discrimination

standards and local laws and regulations with a Enforce strict age verification: Require valid ID including but not limited to race color gender

training: To raise awareness of all employees.firm commitment to eliminating all forms of child documents at onboarding verified through professional age language religion or ethnicity. Reporting and feedback mechanisms: Cases confirmed

labor across global operations. ID systems.Zero tolerance for all forms of harassment through investigation are addressed by the responsible Prohibition of

Child Labor Anti-Discrimi- department to protect employee rights.Zero-tolerance policy: Prohibit employment of Establish multi-layer verification: Launch secondary nation and including but not limited to sexual harassment

individuals under 16 years old or those who have checks when discrepancies arise to ensure full compli-

Anti-Harass- workplace harassment abuse and violence

ment Strict disciplinary procedures: verified violations are

not completed compulsory education. ance. whether verbal defamation coercion or offensive seriously dealt with; criminal acts are referred to judicial

remarks. authorities.Transparent offboarding process: Provide clear resigna-

tion procedures via the employee handbook and HR Respect employees' legal rights to form or join Hold regular employee representative meetings:

system; HR or the union will step in if resignation is labor unions or other representative bodies. Organize annual Workers' Congress and sign collective

Zero tolerance for any form of forced labor in hindered. contracts and wage agreements ensuring 100% employee

Encourage employees to freely assemble and

violation of labor regulations with a firm commit- coverage under collective bargaining agreements.Scientific working hour management: In accordance engage in open dialogue with management

ment not to use deceptive or coercive means to with the relevant requirements of the labor law and the Freedom of regarding workplace conditions and practices Set up standardized grievance channels: Ensure

induce individuals to work. nature of the positions the comprehensive calculation Association

and Collective without fear of retaliation or discrimination. transparent complaint procedures investigate employee

The hiring process ensures that employees' working hours system and irregular working hours Bargaining concerns and share results with representatives.system are adopted and approved by the labor adminis- Promote collective negotiation mechanisms to freedom is not restricted through practices such

Prohibition of

as requiring deposits withholding identity tration department. Among them the administrative and

safeguard employee rights and interests.Forced Labor

documents or imposing debt obligations. sales staff implement the standard working hours system

and irregular working hours system to ensure that the

All employment contracts must be signed daily work does not exceed 8 hours and the overtime

voluntarily and on an equal footing. work is strictly controlled within 36 hours per month; the

production staff implement the comprehensive calcula- Comprehensive information security management:

tion working hours system to ensure that there are no Apply technologies such as document encryption and

less than 4 days of rest time per month. Ensuring Safeguard privacy rights: prohibit unauthorized conduct regular privacy protection training (see Informa-

work-life balance for employees. access use deletion modification or disclosure tion Security chapter).of company or personal information.Privacy Multi-channel communication platforms: Enhance

Protection Create diverse channels for employees custom-

and Freedom systems such as the employee feedback platform ers suppliers and other stakeholders to raise

of Expression issue-reporting hotline and anonymous feedback box to

Develop diverse recruitment channels and Structured DEI training: Provide regular professional workplace concerns.encourage employees to express concerns and contribute

include fairness/equality clauses in hiring and training to all employees.suggestions.promotion policies prohibiting all forms of

discrimination. Women's rights and interests protection system:

Implement Management Measures on Protection for Female

Enforce equal pay for equal work and prohibit and Underage Workers; organize health seminars; sign

employment discrimination. Special Collective Agreement on the Protection of Female Conduct regular workplace safety inspections and

Diversity Equity Employees' Rights. health checkups. Listen to employees' voices

& Inclusion Focus on the rights and interests of underrepre-

through multiple channels and care for their

sented groups including women and persons Disability employment program: Establish a four-party

physical and mental well-being. Detailed measures are covered in the Occupational Safety

with disabilities. linkage mechanism among the Company China Disabled Safe and and Health chapter.Persons' Federation employment bases and individuals Healthy Work Regularly conduct safety training and cultural

Foster an inclusive workplace respectful of Environmentto provide at least 120 jobs annually for persons with development to enhance employees' safety

diverse viewpoints and beliefs. disabilities. awareness and emergency response capabilities.

122 123Preface About Goneo Sustainability Management Governance Environment Value Chain Society Appendix

The management of labor and human rights is overseen by the Company's Ethics and Compliance Committee. The Committee is chaired by the

Group Vice President with the Ethics and Compliance Committee Office coordinating the efforts of various functional departments to advance the Actions

development implementation and monitoring of human rights management mechanisms. This ensures the effective execution and continuous

improvement of human rights policies across the organization.Human Rights Supervision and Review

The Company follows the "Plan - Do - Check - Act (PDCA)" cycle principle to carry out human rights supervision and auditing comprehen-

sively identifying and assessing human rights risks promptly detecting and preventing potential impacts on human rights and integrating

any identified issues into improvement action plans taking effective corrective and improvement measures.Human Rights Managemen

Responsibility Departments Composition Responsibilities We also conduct third-party labor and human rights external audits in accordance with ERSA standards focusing on key areas such as

labor relations wage distribution and health and safety. This helps identify weaknesses in labor management processes and continuously

optimizes management mechanisms.Ethics and Compliance Committee Group Vice President as Committee Oversee the development

Chair implementation and monitoring of

Ethics and Compliance Committee human rights management

Office Audit and Inspection Center mechanisms.Supervision Regularly collect and analyze relevant data.Other Functional Departments Assigned Personnel Responsible for policy formulation Proactive

Monitoring

implementation monitoring training

Assessment Evaluate the effectiveness of policy implementation.data analysis and cross-departmen-

tal coordination.Employees suppliers and other stakeholders are encouraged to report any violations

Regularly review and update human

of human rights policies diversity equity and inclusion (DEI) policies as well as anti-dis-

rights policies ensuring timely

crimination and anti-harassment policies.revisions and improvements.Whistleblowing Channels

Anti-discrimination whistleblowing email: fanqishi@gongniu.cn

Employee Misconduct Whistleblowing Channels

Whistleblowing Employees Feedback Platform: Path: Employee Self-Service Platform > Cultural Sharing

Module > Employees Feedback Platform

Woodpecker Platform: Path: Feishu Workbench > Corporate Culture > Woodpecker

Integrity whistleblowing email: jubao@gongniu.cn

Integrity whistleblowing hotline: 18368220776

Whistleblowing WeChat account: gongniusjjc

Efficient Integrity whistleblowing official account: Goneo Integrity

Feedback

Handle harassment complaints based on principles of confidentiality objectivity

fairness and justice.Correct issues through tracking assessments and supervision and effectively and

appropriately implement penalties or management measures to prevent similar

Processing behavior in the future.Appropriate disciplinary actions will be taken based on the severity of the violation

including but not limited to warnings demotion or termination of employment. In

cases involving criminal conduct the matter will be referred to the judicial authorities.Provide diverse channels for grievances ensuring that all employees suppliers

Grievance customers and other stakeholders can properly safeguard their rights.For individuals whose rights have been violated the Company will provide necessary

Remediation psychological counseling and medical assistance to help them recover both mentally

and physically.

124 125Preface About Goneo Sustainability Management Governance Environment Value Chain Society Appendix

Human Rights Training Inclusive Employment for Vulnerable Groups

The Company is committed to raising human rights awareness among all employees. To this end we have launched a series of human In 2024 Goneo Group continued to uphold its social responsibilities through a series of proactive measures making significant strides in

rights training courses on our internal learning platform covering topics such as labor rights education and specialized training on the promoting social inclusion particularly in enhancing employment opportunities for individuals with disabilities and military veterans.Code of Conduct. During the reporting period the Company achieved 100% coverage of human rights-related training with a total of Throughout the year the Company hired 24 veterans offering strong support and reintegration opportunities for the retired military

13100 employee training attendances. community. Additionally 125 individuals with disabilities were employed representing a 50% increase from 2023 which has provided

more people with disabilities access to stable dignified jobs and enabled them to pursue a decent life.Case Training series on human rights protection and labor rights

Case A collaborative approach: Goneo Group establishes an integrated employment platform

In December 2024 the Company launched an online training video titled “Human Rights Protection and Labor Rights Policies” for persons with disabilities

on the Goneo learning platform. The course covered key policies including the Human Rights Policy the Diversity Equity &

Inclusion (DEI) Policy and the Anti-Discrimination and Anti-Harassment Policy. In 2024 Goneo Group responded actively to national policies of promoting employment for persons with disabilities by

Target Audience: All employees pioneering a collaborative support model involving government enterprises and society. Through a four-party coordination

mechanism between the Company the Disabled Persons' Federation the employment base and the individuals themselves

Training Format: Online Goneo Group launched Zhejiang Province's first pilot program for proportional employment of persons with disabilities in

different locations providing a model that can be scaled across the industry.Project Highlights:

1.Innovative Model Implementation: In August 2024 the Group signed a strategic agreement to upgrade its first dedicated

facility for persons with disabilities establishing a comprehensive employment base that integrates skills training job

placement and daily care services.

2.Demonstration Effect: During the year Goneo Group established strategic partnerships with two additional "Daycare Centers

for Persons with Disabilities." By integrating resources the Company created a unique "daycare + targeted employment" model

providing sustainable livelihood support for special-needs groups.

3.Systematic Employment Support: A full-chain support system was established covering corporate labor demand coordina-

tion with local disability support policies and tailored services from employment bases. This system ensures the alignment of

employment rights for persons with disabilities with operational benefits for the Company.Training Notification Page

Case ESG training on labor and human rights: intensive coaching for targeted improvement

In August 2024 Goneo Group hosted the second session of

its ESG Immersive Training program inviting external

experts to focus on employee management and labor rights.The training adopted a coaching-based approach encourag-

ing participants to work in departmental groups to analyze Service Agreement for Employees with Skills Competition Held for Employees with Disabilities in Zhangqi Town

current processes and present their findings. Follow-up Disabilities at the Daycare Center

activities included developing action plans for key process

improvements and delivering roadshow-style presentations.This initiative marks a significant step in enhancing the

Company's ESG management capabilities and underscores

our strong commitment to protecting labor and human

rights. Second ESG Immersive Improvement Training: Labor and Human Rights

126 127Preface About Goneo Sustainability Management Governance Environment Value Chain Society Appendix

Democratic Communication

Goneo Group places great importance on employees' rights to Case Direct dialogue between senior management and employees

democratic participation and regards the Workers' Congress system

as a key platform to ensure employees' rights to be informed to

participate to express their opinions and to exercise oversight. On In February 2025 Goneo Group demonstrated its strong commitment to understanding the real needs of frontline employees by

May 10 2024 the Company held the First Session of the Third organizing a direct communication session between senior management and employees. Facilitated by the Company's labor union

Workers' Congress. A total of 274 attendees participated including the event provided a platform for open face-to-face conversations on key topics such as labor rights career development employ-

senior leadership departmental employee representatives and ee benefits and logistical support. Senior executives actively listened and pledged to deliver practical solutions reinforcing the

invited delegates. Representatives from the Cixi Federation of Labor Group's commitment to building a caring workplace where employees enjoy dignity in their work and quality in their lives.Unions and local labor unions were also invited. The congress

consisted of a preparatory session the Union Member Representa-

tive Conference and the Employee Representative Conference.Through transparent and democratic procedures the conference

reviewed and approved several major agenda items including

collective contracts and agreements. The First Session of the Third Workers' Congress

Conference Agenda Key Decisions

Reviewed and approved the Work Report of the 2nd Goneo Group Union Committee and the Financial Audit Report

of the 2nd Goneo Group Union Committee.Improving

Union Approved the Assembly Election Procedures (Draft) and elected 17 members to the 3rd Union Committee through

Governance a competitive election.Elected new Union Chairperson Vice Chairperson and Financial Auditors.Invitation Letter

Communicated the Union Welfare Policy and the new 2024 points-based management system. Indicators and Performance

Safeguarding Approved the Suggested List of Employee Representatives for 2024 Collective Wage Negotiations and initiated the

Employee wage negotiation process. During the reporting period Goneo reported no incidents of child labor or forced labor and no administrative penalties related to human

Rights rights violations.Approved the Employee Reward and Punishment Management System to standardize employee management.Employee Rights and Unit 2024

Interests Performance Indicators 2023 2022

Ensuring Approved the 2023 Business Review and 2024 Strategic Priorities Report and the 2023 Employee Management and

Information Signing rate of labor contract % 100 100 100Care Report and 2024 Work Plan to enhance employees' understanding of the Company's direction.Transparency

Coverage rate of collective agreement % 100 100 100

Approved the Implementation Report on the 2023 Collective Wage Agreement and the Resolutions for 2024 Negotia-

tions. Coverage rate of Human rights training %

Fostering 100 - -

Harmonious Approved the 2024 Special Talent Stock Ownership Plan aligning employee and corporate growth.Labor

Relations Signed the Goneo Group 2024 Collective Contract the Collective Wage Agreement and the Special Collective Number of human rights audits Times 1 - -

Agreement on the Protection of Female Employees' Rights with participation from company union and employee

representatives.Gender pay gap ratio at the same level

%110-

and for the same post 104

128 129Preface About Goneo Sustainability Management Governance Environment Value Chain Society Appendix

Human Capital Development Policies and Goneo Group places great importance on talent development. In 2025 the Company will establish a three-tier management structure for employee care comprising the Strategic Decision-Making

Methods Layer the Professional Collaboration Layer and the Grassroots Communication Layer. Strategic

Decision-Making Layer: This layer formally establishes the Employee Care Committee chaired by

the Party Secretary of Goneo Group. The committee is responsible for approving long-term

development plans setting annual goals for employee care and reviewing major policies budgets

Goneo Group has always regarded its employees as the Company's most valuable asset. Through comprehensive policies diverse system building and improvement projects. It also coordinates resources across departments to address systemic

and concrete initiatives we strive to create a fair inclusive and motivating work environment for all employees. issues and evaluates the effectiveness of employee care efforts regularly identifying areas for

optimization. Professional Collaboration Layer: Tasked with driving and implementing day-to-day

employee care initiatives this layer collects feedback from employees and produces the quarterly

Employee Care Improvement Report for the Strategic Decision-Making Layer. It also works to

overcome execution bottlenecks by coordinating resources across departments. Grassroots

Communication Layer: This layer is responsible for communicating company policies related to

ESG Target Progress in 2024 Achievement status employee care gathering feedback and assisting with the implementation of care projects. It also

conducts satisfaction surveys to measure employee engagement and gather further suggestions

for improvement.Provide childcare services to over 200

employee families annually 215 families Talent Recruitment

The Company strictly complies with the relevant national laws and regulations including the Labor

Law of the People's Republic of China and the Labor Contract Law of the People's Republic of China.Goneo rigorously developed the Management Regulations on the Recruitment of Administration/Mar-

keting Employees and the Management Measures on Protection for Female and Underage Workers to

Increase average training hours per 3.7 ensure that labor contracts are signed with employees in accordance with the law and to employee to 40 by 2030 hours safeguard employees' legitimate rights and interests. During the recruitment process the Compa-

ny implements a non-discriminatory fair and transparent recruitment and employment

procedure actively taking measures to attract diverse talent.Expand the internal trainer team to 250 170 Compensation Systemby 2030 trainers1

The Company consistently works within the framework of legal compliance industry characteris-

tics actual business conditions and future development strategies to continuously improve the

compensation and performance management system. This ensures a positive interaction between

talent incentives and company value creation. To this end the Company has formulated and

Raise employee approval rate to 90% by 80 continuously revised the Production Employee Compensation Management Regulations and the 2030 % Employee Performance Management Regulations establishing a compensation incentive system that

is both fair and competitive along with a clear performance evaluation process and supporting

security measures. During the reporting period 100% of employees underwent performance

assessments.Achieve an employee administrative

satisfaction rate of 80% or higher2 87.3 %

Human Capital Development Targets and Achievement Status

1 The Company plans to strengthen its knowledge system development and instructor pipeline training in 2025 with the instructor roster expected to expand to

180 members.

2 Includes employee satisfaction and business satisfaction.

130 131Preface About Goneo Sustainability Management Governance Environment Value Chain Society Appendix

Goneo adheres to a people-oriented philosophy designing a four-level compensation structure based on position value individual abilities and

Systematically deepening compensation system reform work. By establishing compensation alignment performance contributions. This structure ensures employees' basic living needs are met while fully motivating them through a performance-driv-

rules for employees the Company ensures a cohesive framework that aligns positions employees and en incentive mechanism facilitating mutual growth between the Company and its employees.compensation ensuring that employees' contributions are appropriately rewarded thereby fostering their

enthusiasm and creativity.Compensation Types Specific Provisions

Regularly reviewing and revising compensation guidelines for different employee levels and categories

Compensation closely aligning with changes in the external labor market to ensure the compensation incentive mecha-

Basic Salary Determined according to the minimum wage standards set by the local Management nism remains competitive. government.System

Evaluating employees based on company performance position value individual performance and Determined through comprehensive assessments of employee performance

abilities and constructing a healthy mechanism that aligns incentives with rewards. Monthly Performance work ability and work attitude.Standard Salary -Based Pay Set as a fixed proportion of the monthly salary for different levels of employ-

ees.Continuously improving and optimizing the Employee Performance Management Regulations with full Part of the monthly standard salary excluding basic salary and

cooperation between the Group's Performance Management Committee Human Resources Center and Grade Salary performance-based pay.the human resources departments of each business unit to promote the full implementation of the

performance system and daily evaluations.Benefits and Cash allowances for employees according to their job level and other related conditions such as

Establishing a comprehensive management system that integrates performance assessments develop- Allowances lunch housing and high-temperature allowances.ment promotion and incentives to fully stimulate employees' creativity and enthusiasm for work Short-Term

achieving a win-win situation where company performance growth and personal career development Incentives

Performance along with salary and benefits increase simultaneously. A variable bonus allocated at the end of the year based on the employee's annual performance

Evaluation and Annual evaluation tailored to different employee categories.Incentive The Human Resources Center organizes annual individual performance evaluations for administrative and Performance

sales employees with evaluation standards categorized into excellent (S) good (A) normal (B) needs Bonus Target performance bonus standards set based on annual salary ratios varying according to Mechanism employee job levels.improvement (C) and gap (D).The performance assessment coverage rate of administrative and marketing

employees is 100%. Production staff appraisal in the form of monthly assessment assessment indicators

based on job requirements including (efficiency yield 5S etc.) the assessment results in the assessment

of the salary items for the monthly honorary. Special Awards Rewards for employees who earn titles such as "Outstanding Group" and "Outstanding Employ-ee" or lead projects related to cost reduction and R&D.Policy Document: Goneo Group Co. Ltd. 2024 Restricted Stock Incentive Plan (Draft)

Target Group: Core management and key personnel whose performance meets the criteria (865

people accounting for 6.29% of the total employees).Number and Proportion: 3439100 restricted stocks granted accounting for 0.27% of the

Company's total share capital.Equity Incentive

Long-term Policy Document: Goneo Group Co. Ltd. 2024 Special Talent Stock Ownership Plan (Draft)

Incentives Target Group: Company directors supervisors senior management special recruits and

individuals with significant contributions to the Company's overall performance and long-term

development.Fund Source: Employee long-term incentive reward fund extracted according to the Compensa-

tion Management Regulations of Goneo Group Co. Ltd. with a total of up to RMB35 million.Number and Proportion of Shares: 486200 shares accounting for 0.04% of the Company's total

share capital.

132 133Preface About Goneo Sustainability Management Governance Environment Value Chain Society Appendix

Career Development Job Rotation & Transfer Mechanism

Goneo implements a fair and just selection and promotion mechanism along with improving the Employee Training Management Regulation and Regardless of the seniority of employees Goneo advocates for employee growth through appropriate job rotation which lays a solid foundation

the Employee Career Development Path and Promotion Channel to ensure equal career development and promotion opportunities for all employees. for future promotions while meeting the Company's talent needs.The Human Resources Center has established two major employee development channels: internal talent pipeline development and external

career development. The internal channel establishes a 20-level job grade system with both managerial and professional career tracks. This

system promotes vertical and horizontal career mobility. The external channel unique to Goneo includes suppliers and distributors forming a For frontline employees Goneo encourages skill diversification through job rotation training employees with multiple skills. This

valuable extensive value chain development pathway. approach not only increases the workers' capabilities but also fosters mutual understanding of each other's tasks enhancing

teamwork.For professional or managerial employees job rotation exposes employees to cross-functional roles broadening their knowledge and

Unique employee development path allowing them to master the operational capabilities of the departments and company. This provides opportunities to develop employ-

ees into versatile talents.Goneo also provides opportunities for inter-business unit and inter-departmental job transfers. In 2024 315 employees experienced

cross-business mobility.Internal External

External Career Development

Goneo's unique value chain development pathway offers broader development opportunities for talented employees. Outstanding

internal talents can become excellent dealer bosses or dealers' professional managers and excellent talents in supplier management

factory representatives and workshop management can develop into the core management team of suppliers. Employees who have

worked in overseas marketing roles for two years or more or in other departments for at least six years can apply to develop as

Professional Senior executives dealers for Goneo. As of now over 300 employees developed into dealers and dealers' professional managers.Cadres Expert team Distributors manager of

distributors of distributors

134 135Preface About Goneo Sustainability Management Governance Environment Value Chain Society Appendix

Actions Goneo continues to deepen the implementation of its signature "Niu" series of talent cultivation programs. These initiatives are tailored to meet the unique needs and characteristics of employees at different stages of their careers ensuring precise allocation of training resources.Meanwhile Goneo actively strengthens its internal trainer network fostering a self-sustaining knowledge transfer mechanism. From newly

onboarded graduates to high-potential management personnel Goneo provides clearly defined development paths for every employee group.Talent Cultivation This targeted approach not only stimulates individual innovation and growth but also reinforces a positive cycle of mutual advancement between

employees and the Company.Goneo implements a fair and comprehensive talent cultivation plan committed to providing all employees with the necessary knowledge skills

and management training to help and encourage them to fully realize their potential and make the best use of their talents and resources.Vice Chief

Through actively organizing internal training sessions learning exchanges and cross-departmental workshops Goneo meets the diverse growth President Expert

needs of employees in professional skills management and leadership. An internal evaluation assessment and feedback mechanism is in place

Director Senior

to ensure that all training programs are effectively linked to performance improvement plans creating a closed-loop management model of Expert

training feedback and enhancement.Manager Senior Specialists

Controller Management Channels Specialized Channel Senior Specialists

ge

Based on the leadership competency model Goneo established a three-dimensional development mecha- ya-Vo

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nism combining BBS management tools expert coaching and leadership development. Systematic applica- rg Ca toec

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tion and training of BBS tools empower mid-to-senior management to improve work efficiency through Tr ge inin IDP Program Post Qualificationdr

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quantifiable gains. Management Professional

Leadership Enhancement EnhancementpIndustry experts are introduced for customized coaching expanding management perspectives via case mg Ca e

Team n tini uadstudies and project problem-solving. Tra am ty gri 3 4Cultivation ra rsrog ive Courses of StudyP Special Training n

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ll g un and War-fightingSystem Leadership development courses are implemented to systematically cultivate strategic thinking and rainiT

change management skills.Over 260 mid-to-senior management talents were trained in 2024 significantly enhancing organizational Goneo“Dual-Channel” Training System

efficiency.In February 2025 Goneo officially launched the Goneo Academy online learning platform further enhancing its talent development framework.Focusing on specialized technical training the Academy establishes tailored learning plans and development roadmaps for various talent groups.It also plays a key role in curating high-quality internal courses and cultivating an internal faculty of instructors positioning itself as a strategic

knowledge-sharing platform and a key supplement to Goneo's Spirit-related Training System. Through Goneo Academy the Company will

Job qualification standards and career development pathways are established. Leveraging Goneo's online continue to advance the professionalism and systematization of its training programs. This includes the implementation of structured training

learning platform the Company integrates industry knowledge and expert resources to create a curriculum management and certification mechanisms strengthening the development of its leadership and expert talent pipelines. The initiative ensures a

Expert Team system covering R&D production and marketing professional sequences. strong foundation of knowledge and talent to support the Company's long-term sustainable growth.Development

Plan Job qualification certification will be conducted in 2025 to improve employee-job role alignment.Goneo School

Implements the "Niu Plan" graduate training program establishing a three-stage development system

focusing on cultural integration job competency and career development.Youth Talent In 2024 324 graduates were trained through cultural immersion mentorship programs and cross-depart- Product Research and Quality School of Leader- BBS

Development ment job rotations. Academy Development College (in Human ship College

Program

Goneo Outstanding Youth" recognition program launched honoring 11 exemplary young talents in 2024. Institute (in preparation) Resources (in Academy

preparation) preparation)

Goneo has established a matrix for skilled talent development.Skilled Talent Standardized training course packages are developed using a comprehensive approach that combines

Cultivation System theory instruction hands-on training and certification assessment to enhance core skills such as site

management equipment operation and process optimization.Operation Department

Human Resources Center BBSO

136 Organizational Structure of Goneo Academy 137

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Ca TraPreface About Goneo Sustainability Management Governance Environment Value Chain Society Appendix

Case Niu Plan - 2024 Graduate Talent Program Case Leadership development - management bootcamps & executive learning programs

Opening and Closing Ceremonies of Goneo's 2024 Graduate Program

Enhancing employee capabilities — Leveraging the online learning platform the Compa-

Case Niu Plan - Outstanding Young Employees Selection

Case ny enriches learning resources through methods such as external training benchmark-

ing visits and internal training sessions with external experts. Various business units

actively engage in capability development at all levels.

2024 Goneo Outstanding Young Employees Award ceremony

Case Internal trainers - Teacher's Day appreciation event

138 139Preface About Goneo Sustainability Management Governance Environment Value Chain Society Appendix

Employee Benefits

Category Specific Items 2024 High

In alignment with its development strategy Goneo has established a comprehensive and well-structured employee benefits system

governed by a full set of internal policies. The Regulations on the Management of Social Insurance and Housing Fund of Employees

outlines the administration of social insurance commercial insurance and housing funds for all active employees ensuring their basic

rights and interests are protected. The Management Measures for the Red Cross (Charity) Relief of Employees Facing Difficulties defines the RMB14330500 invested in improving dormitories and

eligibility criteria scope procedures and responsibilities for providing timely support to employees and families facing financial hardship.Activity center employee lounges

The Employee Benefits Management Regulations formulated in 2024 set out a diverse range of benefit categories tailored to employees' dining facilities

Workplace Facilities recreation areas sports zones break

actual needs offering well-rounded support throughout their employment journey.areas canteen employee dormitories Employee dormitories at the West Base delivered with total

Category Specific Items 2024 Achievements construction investment reaching RMB108.4 million

RMB1885600 for New Year's allowance

100 % coverage in social insurance and housing provident fund RMB62876200 in housing subsidies RMB2503600

Social insurance (pension medical

unemployment work injury materni- 3008600 in home purchase loans and RMB 870400 in transporta-RMB in high-temperature allowances

ty) housing provident fund statutory

Basic Benefits tion subsidies

holidays high-temperature allowance RMB58268400 in meal subsidies discounts and night Housing subsidies home purchase

lunch and night shift subsidies holiday shift subsidies for production employees loans transportation allowance New The Goneo Compassionate Mutual Aid Association helped 114

gifts and welfare items Living Su Year's allowance Red Cross (charity) individuals distributing relief funds totaling RMB536500.RMB8187500 in holiday gifts and welfare items relief Migratory Bird House

The Goneo Group Charity Branch of the Cixi Charity Federation

assisted 35 people providing relief funds amounting to

RMB271300

Migratory Bird House summer daycare served 215 children with

RMB91700 invested

RMB962500 invested in occupational health checkup with

100% coverage RMB1468500 in service RMB124700 in

anniversary gifts childbirth care

100% health check coverage for formal administrative employ- Gifts for service anniversary birthday

wedding and childbirth care

3970 Long-Term RMB1262400 in long-service RMB68600 in ees; production-line support and indirect employees long-service memorial award

Recognition

retirement care and Star Points memorial awards marriage giftsPre-employment checkups occupa- with over 3 years of service received health checkups.tional health exams health certificate rewards

checks commercial insurance (includ- 100 RMB17300 in retirement care RMB246500 in % coverage for overseas insurance for outbound employees

Medical Prote ing group personal accident transpor- employee con

tation-related accidents and overseas 100% group accident insurance for interns (internships ≥ 1

travel insurance) and premium

medical insurance month) and rehires

Paid annual leave sick leave bereave-

100 Leave and Holidays ment leave marriage leave prenatal Total of 61873 days of various types of leave taken by % employer insurance for high-risk positions (e.g. procure-

checkup leave paternity leave etc. employees

ment audit legal drivers)

100% coverage in supplemental medical insurance for qualified

employees (tenure ≥ 2 years) under local programs 473 team-building activities held with RMB6073600

Culture & Team Education and training cultural invested

Building events and team-building activities

7 major cultural events organized with RMB3.1 million invested

140 141Preface About Goneo Sustainability Management Governance Environment Value Chain Society Appendix

Case Goneo Group invests in Ruihai Garden to provide high-quality employee housing Case Diverse employee clubs promote work-life balance

Goneo invested RMB500 million to develop the Ruihai Garden residential complex at its Longshan base offering 808 high-quali- Goneo has established a robust club management system complete with a structured organization and clear evaluation

ty apartments for employees. The project features fully furnished move-in-ready units equipped with basic furniture applianc- standards. In 2024 Goneo successfully operated nine active employee clubs with a total membership of 803 and 169 events held

es and smart home products developed by the Company. A variety of layouts including two- and three-bedroom options cater throughout the year drawing over 26500 total participants. In 2025 two new clubs—Goneo Literary Society and Huizhou

to different employee family needs. The community includes a central garden children's play area basketball court and other Comprehensive Club—will be launched to further enrich employees' cultural lives and strengthen their sense of community and

recreational facilities creating a comfortable and livable environment. This initiative has significantly improved employees' well-being.quality of life effectively addressed housing challenges and enhanced their sense of belonging and well-being.Outstanding Club Initiatives:

New Energy Vehicle Club: Aligned club activities with business

needs to support product testing and improvement directly

contributing to innovation.Outstanding Club Initiatives:

Football Club: Hosted the 8th Company Games football tourna-

ment integrating new employee programs such as "Little

Goneo" and "Little Migratory Birds" to promote team bonding.Apartment Facilities

Case Migratory Bird House providing 12 years of summer care for employees' children Outstanding Club Initiatives:

Basketball Club: Organized a summer league featuring 107

players from nine departments/business units with 32 games

Since 2013 Goneo Group has partnered with labor unions held and over 1500 spectators.and university volunteers to run the Migratory Bird House

summer daycare program for 12 consecutive years.Total Beneficiaries: Over 2100 children of migrant workers

Curriculum Highlights: Traditional Chinese classics safety

education science experiments art creation

Employee Satisfaction

Special Event: A guest lecture on electrical safety by national

labor model Qian Haijun Goneo regularly conducts employee satisfaction surveys to gather authentic feedback across both administrative and production lines. In

2024 two comprehensive surveys were conducted in May and November. Utilizing structured questionnaires the Company collected over

This long-running initiative not only provides practical 8000 responses providing valuable insights to enhance administrative services employee care and workplace environment initiatives.support for employees facing summer childcare challenges Key areas of concern—such as parking dormitory services and cafeteria facilities—were identified as critical points for improvement. In

but also serves as a warm symbol of Goneo Group's response the administrative and logistics departments analyzed the satisfaction gaps and formulated targeted improvement plans which

commitment to employee care and social responsibility Electrical Safety Awareness Event of Migratory Bird House have been incorporated into the following year's action agenda. In 2024 the overall employee satisfaction rate reached 87.3% successful-

reinforcing a strong sense of belonging and corporate ly achieving the annual target.cohesion through its people-oriented philosophy.

142 143Preface About Goneo Sustainability Management Governance Environment Value Chain Society Appendix

Indicators and Performance

Year Unit 2024 2023 2022 Employee Training Unit 2024 2023 2022

Number of Promotions Person 1761 468 432 Number of Employees Trained Person 13775 15687 16001

Number of Managerial Promotions Person 245 62 28 Total Investment in Training1 RMB10000 410.57 460.31 706

Promotion Success Rate % 41.9 38.2 35.3 Average Training Hours per Employee2 Hours 3.7 2.4 2.3

Managerial Promotion Success Rate % 56.5 46.7 21.1 Average ESG Training Time (Human Rights-Related) Hours 0.18 - -

Note: In 2024 the company optimized and adjusted job grades.Training Hours by Gender

Human Capital Performance Indicators Unit 2024 2023 2022

Male Employees Hours 37935.6 23748.0 23485.1

Social Insurance Coverage Rate % 100 100 100

Female Employees Hours 15952.7 13900.0 14164.9

Satisfaction Survey

Training Hours by Employee Category

Employee Satisfaction Score % 87.3 81.2 -

Grassroots Employees Hours 38994.5 33287.0 33685.2

Survey Participation Rate % 43.8 30.2 -

Mid-level Management Hours 3999.6 3514.0 3741.2

Parental Leave

Senior Management Hours 899 847.0 223.5

Employees Eligible for Parental Leave Person 1512 997 -

Employees Who Took Parental Leave Person 1210 402 - Return on Investment in Human Capital

%6.877.247.29

Return-to-Work Rate After Parental Leave % 96.36 96.94 - Regular Performance and Career Evaluations

%100100100

1Training base data from the online training system covering the company's administrative and sales staff.

144 2Average hours of employee training = Actual number of employees trained × Hours of training/Total number of employees in the category 145Preface About Goneo Sustainability Management Governance Environment Value Chain Society Appendix

Occupational Safety and Health Policies and Methods

Goneo Group strictly complies with the Law of the People's Republic of China on Production Safety the Fire Control Law of the People's Republic of

China the Law of the People's Republic of China on the Prevention and Treatment of Occupational Diseases and other applicable laws and regulations

in the regions where it operates. The Company has established and implemented 34 internal policies and procedures including but not limited

At Goneo Group the health and safety of our employees is our top priority. Guided by our EHS policy which places employee well-being at the to: Accountability System for Production Safety the Safety Inspection (Hidden Danger Investigation) and Governance System the Procedures for Hazard

core and promotes standardized practices for safe and efficient operations—we have established a comprehensive occupational health manage- Source Identification Risk Assessment and Risk Control Decisions the Regulations on Prevention and Control of Occupational Diseases and the Emergen-

ment system. Through robust emergency response protocols and risk control procedures we are committed to providing every employee with a cy Preparedness and Response Control Procedures. These policies comprehensively cover critical areas of operations such as safe production

safe and secure working environment. At the same time we continue to cultivate a strong culture of safety reinforcing awareness of safety occupational health emergency response and incident handling. They are reviewed annually in line with operational conditions to ensure

responsibilities and enhancing our emergency response capabilities. continuous improvement. Goneo has also introduced the EHS Reward and Punishment Management System and established an EHS

Performance Reward Fund to recognize outstanding EHS performance across departments and individuals. Departments or personnel that fail

to fulfill safety responsibilities result in penalties under a "red/yellow card" disciplinary system. As of 2024 11 of the Company's operational sites

have been certified under ISO 45001 representing a 91.67% certification coverage rate.ESG Target Progress in 2024 Achievement status For interested stakeholders such as contractors and suppliers involved in production activities Goneo enforces specific safety management

measures to ensure health and safety throughout service delivery. Before starting any project these parties must sign the EHS Agreement for

Interested Parties and commit to adhering to all safety-related requirements. Goneo requires stakeholders to conduct hazard identification risk

100% signing rate of the Employee Safety 100 assessment and control as well as safety education and training in areas such as safety technology fire safety and equipment protection. During Environmental Protection and Occupational % project execution Goneo carries out comprehensive on-site safety supervision and inspection. For high-risk work zones designated safety

Health Responsibility Commitment supervisors are assigned to prevent accidents.Goneo has established a robust safety governance structure. The Chairman serves as the primary person responsible for production safety. The

Group has set up an EHS Committee and an EHS Management Department which oversee the implementation of safety protocols. EHS

100% coverage rate for occupational health 100 departments are also established within each business unit manufacturing base and workshop managing safety practices at their respective checkups1 % levels. In 2024 Goneo also established the Employee Health and Care Support Management Committee which leverages the functions of the

labor union and Human Resources Center to monitor employees' mental well-being and address practical challenges in a timely manner.

100% job transfer rate for employees with

occupational contraindications 100 %

100% coverage of AEDs (Automated External

Defibrillators) at all work sites 100 %

100% setup rate of psychological counseling

rooms at all work sites 100 %

At least 2 mental health seminars are held

annually 2 seminars

Less than 0.84% of work-related injuries 0.53

Occupational Safety and Health Goals and Progress

1The coverage rate of occupational health examination for posts exposed to occupational disease hazards is 100% realizing that all examinations should be

carried out.

146 147Preface About Goneo Sustainability Management Governance Environment Value Chain Society Appendix

Actions

Production Safety

First Responsible Person Main Responsibilities

Management and Control of Safety Risks

As the primary person responsible for safety production of Goneo Goneo Group has established the Bull Safety System (BSS) a comprehensive framework designed to ensure workplace safety through centralized

Group he is fully accountable for the safety of the entire company planning tiered management and clearly defined responsibilities. Under the principle that "safety is the responsibility of everyone who manages

Ruan Liping Ensure the effective implementation of EHS investments by the operations" the Company regularly identifies evaluates and controls potential hazards. Regular safety inspections are carried out to proactively

Chairman of group company detect and address risks with a tiered risk management strategy in place to significantly reduce the likelihood of accidents. To maintain the

Goneo Group effectiveness of its occupational health and safety system Goneo also conducts internal BSS audits twice a year.Make decisions on major EHS issues

Safety inspection

Responsible for organizing supervising and inspecting its produc- and audit form Safety inspection content Key processes of safety inspection and governance

tion safety management and eliminating potential production

safety accidents in a timely manner Fire safety warehouse safety Daily safety inspection

EHS committee member construction project site safety

Group EHS Organize the formulation of annual safety and occupational health Regular safety inspections typhoon and flood prevention safety EHS Management ResponsibleCommittee objectives indicators management plans and safety work labor protection supervision and Department department(quarterly/monthly/weekly)

planning and inspect and urge their implementation inspection etc

Professional safety inspections Safety check

conducted on safety conditions

Assume the responsibilities of the EHS Committee take full

related to special equipment fire

responsibility for the EHS work of the Group and bear direct

Special safety inspection protection hazardous chemicals

leadership responsibility for the EHS work within the scope of the

General managers/responsi- flammable and explosive areas

business under their charge Guidance and Rectification of

ble persons of each occupational protective facilities monitoring safety hazards

business department Establish and improve the EHS responsibility system standards interested parties etc

EHS management and regulations of Goneo Group

organizations of Responsible person of each

each business workshop/team Organize and coordinate the formulation of the annual EHS Information

department Tracking verificationeducation and training plan as well as emergency drill plan for the Comprehensive security Company regulations and rules feedback

(Department/Region Heads of functional entire group inspection hidden danger rectification status

Workshop/Team Functional departments of each

Department) business unit Hold a group-wide EHS management meeting every six months

and organize a monthly EHS meeting within the Group to study Archive closed-

and address major EHS management issues loop systemLeadership and responsibility safety

control and interested party manage-

ment fire safety and emergency

Goneo EHS Management Structure BSS audit management occupational health

and chemical management special

equipment safety electrical safety

etc

Goneo Group Safety Inspection and Audit Framework

Goneo continues to strengthen its ability to identify and manage EHS risks on-site by establishing a four-tier risk management system. Hazards

and job-related risks are classified and managed according to their severity. Leveraging a risk radar system we assess potential risks based on

the likelihood and severity of hazardous events. This process helps us identify vulnerable areas and implement targeted measures ensuring a

closed-loop approach to risk control and mitigation.

148 149Preface About Goneo Sustainability Management Governance Environment Value Chain Society Appendix

Hidden Dangers JHA Risk Map Risk Radar Management of Hazardous Substances

Utilize the reporting of Gradually analyzing and Using the risk classification Further categorize risks During the reporting period Goneo launched a supplemental program to strengthen control over hazardous substances. Based on the

hidden dangers by all controlling the risks of method on-site risks are pay attention to important 2024 chemical inventory (613 substances) and raw/auxiliary material list (216 items) the Company implemented stricter oversight of

employees in all aspects operational steps is graded as high medium weak links and highlight hazardous chemicals and key process-related materials. Using criteria such as duplication hazardous chemical identification and environ-

and throughout the entire applicable to risk manage- and low facilitating the tracking and mental health risk analysis a list of 203 hazardous substances was compiled. In accordance with the Technical Guidelines for Environmental

process to discover more ment in on-site SW management personnel to closed-loop management Risk Assessment of Construction Projects a further risk assessment was conducted resulting in a shortlist of 30 high-risk hazardous

hidden dangers and operations allocate resources to of these important weak substances. The findings were presented in a concise visually designed one-page summary. Each production unit was then tasked with

control risks in a timely high-risk areas links identifying high-risk substances from the hazardous substance list and evaluating possible alternatives based on standards such as WS/T

manner 777–2021 Technical Guidelines for Environmental Health Risk Assessment of Chemical Substances. To encourage proactive substitution of

hazardous substances the Company has established an EHS Proposal and Improvement Incentive Program. Employees who successfully

Goneo Group Four-Tier EHS Risk Management Framework identify and implement alternatives to high-risk hazardous materials may submit the EHS Improvement Proposal and Reward Application

Form. Approved substitutions will qualify for special incentives upon review by the EHS and Sustainability Department in accordance with

established policies.Chemical Safety Management

Goneo has established a collaborative chemical safety management framework that involves its business units EHS department and procure-

ment team. This framework covers the full lifecycle of hazardous chemicals—from design and sourcing to unloading storage use and disposal.Strict controls are applied to regulated chemicals. Recognizing the environmental and social impacts of chemical use Goneo actively seeks and

adopts less hazardous or toxic alternatives to reduce its reliance on dangerous substances. Through professional handling and safe disposal

practices Goneo aims to minimize the generation of hazardous waste and mitigate its impact on people and the planet.Environmental protection complies with HSF regulations

Design phase Restriction on the source of hazardous substances

The seeking process involves the substitution of hazardous substances

Safety assessment for the introduction of new chemicals

Procurement stage During the supplier qualification review it is required to provide the Material Safety Data Sheet

(MSDS) environmental compliance statement and sign the chemical supplier safety agreement有毒有害一图流

Ensure compliant transportation of chemicals by conducting safety inspections of tank trucks upon

entering the factory

Unloading and Chemical Hazard AssessmentDual-person dual-lock management mode

warehousing stage

Carry out whole-process monitoring and maintain 24-hour security guard

In accordance with the IECQ-QC080000 system and internal hazardous substance management standards Goneo has established and

Conduct daily spot checks on the quantity of items in the warehouse implemented a comprehensive Hazardous Substance Management System. The Company regularly conducts risk assessments for hazard-

ous-substance-free (HSF) materials identifies potential sources of HSF contamination and performs finished product testing to ensure the

Implement registration for chemical requisition and ex-warehouse chemical safety and compliance of its products.Operators are required to wear protective clothing and other protective equipment to ensure safe

Use phase operation

Implement control over chemical usage and conduct regular inventory checks on usage Safer Chemical Substitutes

Carry out emergency management for chemicals

On April 25 2024 the Company's Converter Business Unit successfully completed the replacement of ECOSOL-1040 a hydrocarbon-based

cleaning agent following thorough testing and safety evaluations. Compared to traditional solvents this alternative offers significantly

Hazardous waste is entrusted to qualified external third parties for compliant disposal lower toxicity and flammability improving both user safety and environmental performance.Dispose of production wastewater in compliance with regulations to ensure it meets emission

Abandonment phase standards

Operation and maintenance supervision of sewage station

Goneo Full Lifecycle Management of Hazardous Chemicals

150 151Preface About Goneo Sustainability Management Governance Environment Value Chain Society Appendix

Safety Emergency Management The Company conducts regular safety training on hazardous chemicals and requires all personnel involved in chemical handling to pass a certifica-

tion exam before assuming their roles. Warehouse managers responsible for hazardous materials must hold a valid Safety Knowledge and

Goneo conducts safety emergency management based on Emergency Preparedness and Response Control Procedures and the ERT Organization Management Competency Certificate. Goneo has developed emergency response plans covering chemical leaks burns and theft. Regular

Management Regulations. In the event of an incident the Company can quickly assemble an Emergency Response Team (ERT) to assess the emergency drills are conducted to ensure readiness. Each site maintains an emergency rescue team and stocks emergency supplies including

situation and execute timely and effective rescue operations minimizing the impact of the incident. As of 2024 Goneo Group has formed 52 first aid kits and neutralizing agents to enable rapid response and minimize loss in the event of a chemical leak. In 2024 the Company conducted

primary ERTs across its workshops and departments comprising 624 trained full- and part-time responders. In addition 5 secondary ERTs with a dedicated emergency drill simulating a paint leak in the mixing room. The drill required employees to swiftly isolate and clean the affected area

120 responders have been established across the Group's five major manufacturing bases. to prevent the risk of fire from volatile vapors. Following the drill areas of weakness were reviewed and the Company committed to increasing

training frequency and reinforcing the importance of personal protective equipment. These efforts aim to ensure clearly defined roles effective

incident handling and the safety of all personnel during chemical emergencies.Occurrence

of accidents ERT response and accident investigation External response

When the second-level response

organization is unable to conduct Seek external rescue forces

effective emergency rescue and such as government

treatment departments

When the first-level response

organization is unable to The second-level ERT

conduct effective emergency Establish ERT second-level

rescue and treatment response organization

leaders are responsible for

Notify the contacting external rescue

leader of this Report to the base leader forces such as government

department Establish ERT first-level and the base EHS establish departments.or the EHS response organization a second-level ERT response

personnel of organization and form a

this base The personnel on duty shall guidance group support

establish the ERT level 1

group rescue group

response organization of

boundary group evacuation

their department including

group and first aid group

component support group Emergency Drill – Paint Mixing Room Leak Decoration Parts Company (Painting Factory) of Goneo

rescue group alert group Promptly carry out

evacuation group and first emergency rescue work

aid group

Conduct a study and

judgment on the on-site

situation

Promptly carry out

emergency rescue work

Goneo Group Management Workflow

152 153Preface About Goneo Sustainability Management Governance Environment Value Chain Society Appendix

Work Safety Training

Case Goneo Group launches Safety Month and Fire Safety Month to enhance employee safety To enhance employee safety awareness and self-protection capabilities Goneo regularly conducts work safety training. In addition to general EHS awareness and emergency response capabilities

training sessions for all employees and onboarding programs for new hires the Company also provides specialized external training for employees

engaged in high-risk or specialized operations. The effectiveness of these training programs is evaluated through a combination of interviews

written exams and hands-on assessments. This comprehensive evaluation ensures that personnel in relevant positions acquire the necessary safety In June 2024 Goneo launched its Safety Month campaign focusing on enhancing safety awareness and emergency response capabili-

knowledge and operational skills strengthening their ability to respond to emergencies and reducing the likelihood of workplace incidents. ties. During the campaign the Company organized an ERT First Aid Skills Competition and an Emergency Evacuation Skills Competition

to comprehensively improve employees' emergency response and self-protection capabilities. A total of 14 teams from 12 business

units participated in the ERT competition while 15 teams from 14 business units joined the evacuation skills competition.Training type Training target Main training content In November 2024 Goneo held its Fire Safety Month campaign featuring the ERT Skills Challenge to strengthen the practical skills and

emergency response capabilities of its emergency teams. These activities combined technical drills and team-based competitions to

foster collaboration identify areas for improvement in emergency response plans and ensure the Company is well-prepared to handle

EHS management situation basic EHS real-life fire emergencies.knowledge

New employees In 2024 Goneo organized 70 safety-themed events 22 knowledge competitions 22 Fire Safety Skill Contests 16 Safety Hazard Identifi-

Work environment and risk factors cation Challenges and 10 Forklift Operation Competitions.Three-level EHS education Employees who have been off the job for one

year or more and are returning to work Protection and first aid methods In 2024 Goneo organized 43 emergency skill competitions including 14 ERT First Aid Competitions 14 Firefighting Skill Contests and

15 Emergency Evacuation Competitions.

Job safety operation procedures etc

In 2024 Goneo organized 7 rounds of safety certification training certifying 8 instructors for electric pallet trucks and 5 instructors for

overhead cranes. The training also covered 108 employees in hazardous work permit training (initial and refresher) 54 employees in

equipment acceptance qualification training 54 employees in environmental protection equipment management certification and 32

Personnel involved in the production process Conduct safety education specific to new employees in Job Hazard Analysis (JHA) certification."Four New" education who utilize new processes products technologies processes equipment and

equipment and materials materials

Specialized equipment operators and special The corresponding safety technical theory

Specialized/Special operators engaged in high-risk and complex training and practical operation training for

Operations Training

operations the special operations

Goneo Group Safety Month – Goneo Group Safety Month –

Goneo Group Safety Month Training Summary

Traffic safety laws and regulations as well as Emergency Evacuation Drill Emergency Rescue Skills Competition

relevant safety knowledge and skills

Training on All employees of the EHS department

transportation Fire safety laws and regulations as well as

fire protection and Workshop electrician basic methods of fire prevention and

electrical safety extinguishment

Electrical safety laws and regulations

emergency response etc

EHS-related regulations Goneo Group Fire Safety Month Fire Evacuation Drill Mechanical Injury Drill

EHS-related laws and regulations

Violation education Employee who violates regulations

Risk factors prevention and emergency

measures etc

Goneo Group EHS Training System

154 155Preface About Goneo Sustainability Management Governance Environment Value Chain Society Appendix

Occupational Health

Goneo recognizes that effective management of occupational diseases and workplace injuries hinges on prevention. To minimize the risks the Case Goneo Group hosts 2024 Occupational Disease Prevention Knowledge Competition

Company has implemented a series of proactive measures including posting occupational hazard notifications and public disclosures providing

comprehensive personal protective equipment and gear conducting health examinations at various stages (pre-employment during employ-

n April 2024 during China's 22nd National Awareness Week of the Prevention and Treatment of Occupational Diseases Goneo

ment and upon departure) offering regular occupational health and safety training promoting automation projects to reduce repetitive strain

organized a knowledge competition focusing on prevention and safeguarding occupational health across 12 business units. Employees

injuries. These efforts are designed to prevent and mitigate work-related illnesses and injuries ensuring a safer and healthier workplace for all

watched the official 2024 Awareness Week promotional video and received guidance from officials of the Cixi Municipal Health Supervi-

employees. In addition the Company has established clear procedures for the treatment of occupational diseases and the handling of workplace

sion Bureau. This campaign significantly enhanced employees' awareness of occupational health sparked interest in learning about

injuries continuously improving its occupational health and safety management system.occupational disease prevention and helped build a stronger culture of health and safety within the Company.Measures for the prevention and control of occupational diseases

and the management of work-related injury prevention Occupational disease treatment and rehabilitation

Set up hazard notification and hazard publicity Arrange treatment rehabilitation and regular check-ups

for patients with occupational diseases with the expenses

Set up bulletin boards warning signs and instructions fully covered by the Company

Provide protective gear and equipment Timely adjust job positions

Provide labor protection supplies special labor protection

supplies and personal protective equipment for different

positions

Regularly conduct effectiveness testing on occupational

health protection facilities and carry out maintenance and

repair Group 2024 Occupational Disease Prevention Knowledge Competition

Conduct pre-employment on-the-job job transfer and Handling of work-related accidents

off-the-job occupational health examinations and reviews

Carry out employee training

Establish an accident investigation team conduct on-site

Carry out detection and assessment of hazardous factors investigations and cause analysis and pursue accountability

and labor intensity

Carry out work-related injury and labor ability assessment

Regularly entrust professional third-party organizations to

conduct workplace hazard factor detection and evaluation Provide employees with work-related injury insurance

benefits and carry out condolences and care activities

Conduct occupational health self-inspection quarterly

Request the responsible department to rectify within a

Introduce automation equipment carry out labor intensity specified time limit

reduction projects and prevent repetitive strain injury (RSI)

···

156 157Preface About Goneo Sustainability Management Governance Environment Value Chain Society Appendix

For mental health the Company has established a "Worry-Free Corner" to promptly address

employee concerns and provide support. We have also launched Warmth Stations across the

Case Introducing automation to reduce repetitive strain injuries Company to regularly host mental health workshops and open dialogue sessions encouraging

emotional expression. In addition the Company provides psychological health screenings and

physical check-ups to detect and prevent potential mental health risks. Certified mental health

Goneo prioritizes the prevention of repetitive strain injuries by implementing automation solutions to reduce repetitive tasks and

professionals are invited to deliver expert training sessions and offer professional counseling

alleviate manual labor intensity.services helping employees manage stress enhance emotional resilience and feel genuinely

In 2024 the Converter Business Unit replaced traditional soldering processes with resistance welding technology introducing automat- supported.ed equipment to eliminate workers' direct exposure to solder fumes. In May the unit officially launched an internal project to upgrade

converter product modularization promoting a wireless platform that effectively eliminated eight manual soldering stations

significantly reducing associated health risks. Meanwhile the Wall Switch Business Unit introduced large-scale automatic packaging

machines to replace high-intensity repetitive packing tasks. In 2024 32 automated packaging lines were deployed successfully

replacing 48 manual packing workstations improving both worker safety and operational efficiency.Worry-Free Corner

Automated Machinery Replacing Manual Operations

Workplace Mental Health Seminar

Large-scale Packaging Machines Reduce Repetitive Packing Work

Seminar on Caring for Women's Physical and Mental Health

158 159Preface About Goneo Sustainability Management Governance Environment Value Chain Society Appendix

Indicators and Performance Rural Revitalization and Social Contribution

In 2024

Investment in employee occupational An additional

health and safety1 reached 100 Policies and Goneo Group upholds the core philosophy of being consumer-oriented and integrating social respon-

7097000 RMB7029300

achieving a % sibility into our development strategy. The Company is committed to giving back to society through

was allocated coverage rate for work-related Methods public welfare initiatives supporting rural revitalization and contributing to common prosperity. In

RMB to employee safety liability insurance1 injury insurance 2024 Goneo pursued the goals of empowering villages enriching residents expanding the middle-in-

come group and uplifting the lower-income population. Focusing on four key areas—education

support healthcare access cultural enrichment and infrastructure development—the Company

The occupational disease Major safety incidents Work-related fatalities The Lost Time Injury established an innovative model combining philanthropy industry and shared prosperity to promote

incidence rate 0 0 Frequency Rate (LTIFR) was sustainable socio-economic growth in surrounding regions.0 1.08 per million

working hours in 2024 Collaborative Mechanism: In partnership with local govern- Fund Allocation: The charitable proceeds are prioritized for

ments village collectives and businesses the Company helped assisting vulnerable groups building public welfare facilities at

establish a joint-stock consulting and management firm. the village level and increasing the income of low-income rural

Lost Time Injury Frequency Rate (LTIR) coverage rate of safety training for the Company conducted

Through market-based operations and professional manage- households. As of 2024 two rounds of dividends totaling

0.53 100 424 ment a RMB160 million Common Prosperity Charity Fund was RMB3.12 million have been distributed benefiting 12 villages employees reached % emergency response drills launched (including RMB50 million contributed by Goneo and numerous low-income families.

Group) to provide targeted support for rural revitalization

projects.including 24 36 32 electric shock 98 fire

hoist/elevator emergency drills fire evacuation drills response drills emergency drills Actions

Education Support

90 26 44 Driven by its belief in nurturing education and seeding the future Goneo has established a comprehensive education support system spanning

mechanical injury drills burn emergency drills hazardous chemical leak drills from basic educational care to higher education empowerment. Through the establishment of the Goneo Education Fund and the Longshan Town

Education Fund the Company has long been committed to improving educational infrastructure promoting access to quality education and

fostering talent development actively fulfilling its corporate social responsibility through concrete action.

104420

vehicle accident drills hazardous waste leakage confined space emergency drills Case Supporting education in Liangshan with targeted student aid

In September 2024 the Goneo Volunteer

Club together with the Goneo Party

Committee delivered school supplies

books and sports equipment to Butuo

High School in Liangshan Sichuan

Province. Volunteers offered one-on-one

support to disadvantaged senior

students helping them fulfill their

wishes. By closely coordinating with the

Cixi Teaching Support Group Goneo

Group accurately gathered the students'

needs and turned heartfelt support into

a bridge toward their dreams. A 5000-mile Journey to Light Up Learning Opportunities for Students in Liangshan

1Including Goneo Group's 2024 expenditures for labor protection work safety and occupational health examinations.

160 161Preface About Goneo Sustainability Management Governance Environment Value Chain Society Appendix

Infrastructure Upgrades

Case Launching the "Goneo Lights" Initiative to support rural lighting Goneo Group actively responds to the national rural revitalization strategy by focusing on the five core objectives of prosperous industries livable

ecology civilized rural customs effective governance and prosperous lives. The Company views upgrading rural infrastructure as a key aspect of

its social responsibility. Leveraging its professional strengths and resources Goneo focuses on improving rural living environments enhancing

In September 2024 Goneo Group partnered with the Cixi Federation of Labor Unions and Beijing Poly Theater to host the "Goneo

public services and modernizing infrastructure to support comprehensive rural revitalization and contribute to the development of a new

Night" Charity Concert by the Mingyue Lake. That evening marked the launch of the "Goneo Lights" Public Welfare Initiative which

urban-rural integration model. In 2024 Goneo Group invested over RMB7.5 million in the comprehensive renovation and upgrading of Guyangpu

includes installing streetlights and classroom lighting in the mountainous region of Butuo Sichuan as well as providing technical

Village implementing four major key projects.support from Goneo's model workers and craftsmen to aid local development in Liangshan.Before the renovation the village faced problems such as outdated infrastructure a lack of public spaces and severely damaged roads. Post-ren-

ovation the village saw a significant improvement in public service functions the ecological environment and the overall quality of life for

residents significantly boosting residents' satisfaction and well-being. Goneo Group remains committed to addressing rural revitalization needs

promoting urban-rural integration and contributing to the development of livable business-friendly and beautiful rural communities.Project Before After

"Goneo Night" Charity Concert by the May Employee Choir Guyangpu Village Livable Village

Development Project

In December 2024 Goneo Group donated 621 lights including

both classroom and street lighting worth RMB170000 to

Diluozhen Town in Butuo County Sichuan Province. This

initiative addressed long-standing lighting challenges in remote

mountainous areas directly benefiting local students teachers

and villagers by improving both educational and living

conditions. Beyond infrastructure improvements the program

together with the heartfelt performance of the Goneo Employee

Choir also helped raise public awareness of rural education and Guyangpu Village Farmers'

living standards. Market Renovation Project

Illuminating the classroom — Goneo's

Rural Lighting Revitalization Initiative in Butuo Sichuan

Goneo Group has established cooperation with Tongji University Wuhan University Huizhou Zhongkai Technical School and Yanbian Vocational

and Technical College for production learning and research set up special scholarships and internship training bases to promote technology

research and development and talent delivery and invested a total of 11 million yuan during the reporting period. Guyangpu Village Beautiful

Countryside Project

Case Goneo Group and Tongji University pioneer a new model in educational innovation

In November 2024 Goneo Group and Tongji University held a signing ceremony for

the "Tongji University–Goneo Educational Innovation Fund." This donation supports

educational innovation through the creation of international exchange scholar-

ships teaching awards endowed chairs and funds for community innovation and

healthy lighting environments. The initiative aims to foster global-minded talent and Guyangpu Village Farmland

drive educational reform. Goneo Group will continue exploring new models of Road Improvement Project

university-enterprise cooperation contributing to talent development academic

innovation and sustainable social advancement.Signing Ceremony of the Tongji

University–Goneo Educational Innovation Fund

162 163Preface About Goneo Sustainability Management Governance Environment Value Chain Society Appendix

Volunteer Services

Goneo Group has pioneered an innovative volunteer service model that combines Party leadership with public welfare initiatives effectively Indicators and Performance

leveraging the political advantages of Party organizations alongside the Group's resources. This approach has led to the creation of a unique

volunteer service framework specific to Goneo. The Company actively encourages all employees to participate in volunteer activities focusing on

key areas such as healthcare environmental protection and educational support. Through ongoing efforts Goneo has developed a series of In 2024

impactful volunteer initiatives making significant contributions to both the Company's social responsibility efforts and its commitment to human-

istic care. Total Social Welfare Investment:

A cumulative donation of

Case Party-driven volunteer service innovation

RMB35.22 million

In April 2024 the Converter Unit Party Branch of Goneo

Group initiated an innovative volunteer service event

titled "Education and Environmental Action." University-Enterprise Collaboration:

Morning: Party members active applicants for Party

membership and their families visited the Zhuo

Lanfang Memorial Hall where they revisited the Party A total investment of RMB11 million in industry-university-research

oath and reflected on its historical legacy.cooperation related to universities and vocational schools.Afternoon: A volunteer environmental cleanup was

carried out in the Old Street of Xikou Town helping to

improve the local scenic area. Rural Revitalization Initiatives:

This initiative successfully combined educational

enrichment with hands-on environmental efforts

offering a new approach to Party-building work and

A total investment of RMB 11.68 million in rural revitalization.reinforcing the central role of Party organizations in

leading corporate volunteer activities.A total number of 8755 people were benefiting from rural revitalization .Volunteer efforts in environmental and cultural engagement

1This data has been reconciled with the values disclosed in the audited annual report.

164 165Preface About Goneo Sustainability Management Governance Environment Value Chain Society Appendix

Appendix

Indicators Unit 2024 2023 2022

Cumulative invention patents Case 344 273 223

Product quality recalls Case 0 - -

ESG Performance

Administrative penalties related to product

Case 0 - -

quality issues

Indicators Unit 2024 2023 2022

Incidents of non-compliance related to the

Case 0 - -

product health and safety

Governance Performance

Percentage of employees (including Coverage rate of the company's customer % 56.43 - -

part-time employees) undergoing training % 100 - - satisfaction survey

on business ethics

Average duration of employees (including Customer satisfaction rate % 84.79 - -

part-time employees) undergoing training Hours 2.5 - -

on business ethics

Number of directors undergoing training Major customer complaints Case 0 - -

on business ethics (code of conduct Person 5 - -

integrity etc.)

Average duration of directors undergoing Customer complaint resolution rate % 99.86 - -

Hours 1 - -

training on business ethics

Coverage rate of suppliers training on Environmental Performance

%100--

business ethics

Average duration of suppliers training on Environmental investment RMB10000 1305.5 - -

Hours 0.5 - -

business ethics

Coverage of employees undergoing Comprehensive energy consumption1 Tons of coal equivalent 24235.5 24723.1 21208.5

training on whistleblowing confidentiality % 100 - -

mechanism

Percentage of operational locations Comprehensive energy consumption per unit Tons of coal equivalent 1.4 1.6 1.5

certified by Information Security % 33 - - revenue

2 /RMB million

Management System (ISMS)

Employee participation in data security Purchased electricity（Non-clean electricity） MWh 191413 197237 171019

%5--

and privacy protection training

Economic losses due to data security Consumption of renewable electricity kWh 16458806.1 5959400 5749637

RMB10000 0 - -

incidents during the reporting period

Economic losses due to customer privacy

RMB10000 0 - -

incidents during the reporting period

Number of substantiated complaints

related to breaches of customer privacy Case 0 - - 1 In 2023 and 2024 the company conducted a greenhouse gas inventory in accordance with ISO 14064-1 focusing on production facilities and excluding

and losses of customer data non-production entities primarily engaged in sales and trade. The energy consumption assessment covered purchased electricity (excluding clean electricity)

natural gas gasoline and diesel calculated using the equivalent energy consumption method with conversion factors from GB/T 2589-2020. In December

2024 the company reviewed and reported on the emission sources and quantities within the 2023 organizational boundary. To enhance data comparability

Cumulative granted effective patents Case 3029 2638 2251 this report restates the 2023 energy consumption and GHG emissions based on the GHG verification report

2 Comprehensive Energy Consumption per Unit Revenue (tce/million RMB) = Total Converted Energy Consumption (tce) / Operating Revenue (million RMB)

166 167Preface About Goneo Sustainability Management Governance Environment Value Chain Society Appendix

Indicators Unit 2024 2023 2022 Indicators Unit 2024 2023 2022

Self-generated and self-consumed photovol- Hazardous waste produced per unit kWh 6974684.0 5959400 5749637 kg/RMB million 46.8 47.6 68.1

taics revenue

Purchased renewable electricity1 kWh 9484122.1 0 0 Total water withdrawal m3 910930 948414 779742

Direct GHG emissions2 (Scope 1) tCO?e 3325 3010 309.7 Water withdrawal per unit m3/RMB million 54.1 60.4 55.4

Indirect GHG emissions3 (Scope 2) tCO?e 111008 105837.5 97530.9 Total water consumption1 m3 91093 94841.4 77974.2

Total GHG emissions (Scope 1 and 2) tCO?e 114333 108847.5 97840.6 Water consumption per unit revenue m3/RMB million 5.4 6.0 5.5

GHG emission density (Scope 1 and Scope 2) tCO?e/RMB million 6.8 6.9 6.9 Total wastewater2 m3 819837 853572.6 701767.8

Particulate matter (PM) Ton 2.17 31.62 23.85 Wastewater discharge per unit revenue m3/RMB million 48.7 54.4 49.8

Non-methane hydrocarbon (NMHC) Ton 51.46 45.22 - Chemical oxygen demand (COD) Ton 78.8 82.5 -

Nitrogen oxides Ton 1.80 4.74 3.58 Biochemical oxygen demand (BOD5) Ton 25.0 31.7 -

Sulfur dioxide Ton 0.14 4.74 3.58 Ammonia nitrogen Ton 15.9 9.7 -

Total waste Ton 8536.4 8548.2 2019.2 Total phosphorus Ton 2.3 0.7 -

Waste produced per unit revenue kg/RMB million 507.2 544.7 143.4 Recycled copper Ton 7292 - -

Total non-hazardous waste4 Ton 7749 7801 1060 Recycled plastic Ton 1264 - -

Non-hazardous waste produced per unit kg/RMB million 460.4 497.0 75.3 Wood Ton 59.76 - -

revenue

Total hazardous waste5 Ton 787.4 747.2 959.2 Paper Ton 37684 - -

1 Includes clean electricity purchased from the grid and solar power generated on-site by suppliers 1 Total Water Consumption = Total Water Withdrawal -Total Discharge

2 The Company's direct GHG emissions primarily originate from the combustion of natural gas in stationary sources such as boilers during production operations 2 The 2022 and 2023 wastewater discharge data pertain solely to the Shiqiao Base and are based on the discharge permit. In 2024 the discharge volume was 90%

the combustion of gasoline and diesel in mobile sources as well as emissions from septic systems. In 2022 only GHG emissions from natural gas combustion and of the water intake. Pollutant emissions were calculated using average concentrations from each production site. Industrial wastewater discharge is total water

purchased electricity were included in the inventory intake minus domestic sewage discharge. Urban domestic sewage generation is calculated from urban water use and a pollution coefficient with per capita daily

3 Scope 2 GHG emissions are from the consumption of purchased electricity. The 2024 emission factor for purchased electricity is based on the national average domestic water use derived from urban water consumption and resident population data

grid emission factor in 2022 which is 0.5366 tCO?/MWh

4 Non-hazardous waste in this report does not include household waste

5 The classification of hazardous waste follows the Directory of National Hazardous Wastes (Version 2021)

168 169Preface About Goneo Sustainability Management Governance Environment Value Chain Society Appendix

Indicators Unit 2024 2023 2022 Indicators Unit 2024 2023 2022

Social Performance By Employment Type

Total number of suppliers Entities 1277 - - Regular employment contract Person 13027 13132 12055

Total number of new suppliers Entities 313 - - Labor dispatch Person 47 475 0

Total number of suppliers terminated Entities 3 - - Others Person 149 139 296

The number of suppliers who have signed Entities 1082 - - By Age

agreements containing ESG requirement

The number of suppliers who have signed

Entities 1082 - - Employees aged below 30 Person 4927 - -

the integrity commitment agreement

Number of suppliers that have undergone Entities 420 - - Employees aged 31–49 Person 7919 - -

ESG assessment

The number of suppliers identified as having

significant actual and potential negative ESG Entities 0 - - Employees aged 50 and above Person 377 - -

impacts

Number of suppliers rectified for negative Entities 0 - - By Educational Level

ESG impacts

Number of suppliers terminated due to Entities 0 - - Bachelor's degree and above Person 2864 2402 2113

significant ESG incidents

Percentage (%) of conflict mineral audits 1 % 100 - - Junior college Person 2344 2252 2076

Total number of employees Person 13223 13746 12351 Secondary vocational and below Person 8015 9092 8162

By Gender By Job Level

Male employees Person 8425 8671 7716 Senior management Person 82 84 90

Female employees Person 4798 5075 4635 Middle management Person 1041 1273 1178

Female managers in middle management Person 172 210 178

1 Female managers in senior management Person 11 10 13In our survey of direct suppliers 100% of all 13 tin raw material suppliers were included and they provided comprehensive information regarding the source of

3TG minerals (tin tungsten tantalum and gold).

170 171Preface About Goneo Sustainability Management Governance Environment Value Chain Society Appendix

Indicators Unit 2024 2023 2022 Indicators Unit 2024 2023 2022

Female managers in all management levels Person 183 220 191 Employees Eligible for Parental Leave Person 1512 997 -

Proportion of females in revenue-generating

function（such as Sales）management % 16.94 - - Employees Who Took Parental Leave Person 1210 402 -

positions

Diversity Return-to-Work Rate After Parental Leave % 96.36 96.94 -

Number of ethnic minority employees hired Person 1165 1307 1095 Number of Employees Trained Person 13775 15687 16001

Number of employees with disabilities hired Person 125 80 33 Total Investment in Training RMB10000 410.57 460.31 706

Proportion of ethnic minorities and races in

%8.819.518.87

the total workforce Average Training Hours per Employee 1

Hours 3.7 2.4 2.3

Proportion of females in STEM - related Average ESG Training Time (Human Rights-Re-

% 15.27 - - Hours 0.18 - -

positions lated)

Year-on-year decline rate of employee

pp 16 14 - Human capital investment return rate % 6.87 7.24 7.29

turnover rate1

Employees Receiving Regular Performance and

Signing rate of labor contract % 100 100 100 % 100 100 100Career Evaluations

Investment in employee occupational health

Coverage rate of collective agreement % 100 100 100 RMB10000 709.7 765.2 762.3

and safety

Coverage rate of Human rights training % 100 - - Employee safety liability insurance RMB10000 702.93 - -

Social Insurance Coverage Rate % 100 100 100 Coverage rate for work-related injury insurance % 100 - -

Satisfaction Survey Occupational disease incidence rate % 0 0 0

Employee Satisfaction Score % 87.3 81.2 - Work-related fatalities Person 0 0 0

Survey Participation Rate % 43.8 30.2 - Lost Time Injury Frequency Rate (LTIFR) - 1.08 0.79 0.77

Parental Leave Coverage rate of safety training % 100 - -

1 The employee turnover rate of Goneo Group in 2024 was 36% Total Social Welfare Investment RMB10000 3522.26 - -

1 Training basic data is from the online training system，covers the company's administrative and sales staff

172 173Preface About Goneo Sustainability Management Governance Environment Value Chain Society Appendix

ESG Performance of Banmen Electric

Indicators Unit 2024 2023 2022

Indicators Unit 2024 2023 2022 Ammonia nitrogen kg 68.37 308.46 116.53

Total nitrogen kg / / 134.95

Product Governance Performance

Total phosphorus kg 4.86 234.87 23.55

Rate of product quality recalls % 0 0 0

Social Performance

Amount involved in major safety and quality

liability accidents related to products and RMB10000 0 0 0 Number of child labor or forced labor

Case 0 0 0

services incidents

Number of employees covered by collective

agreements Person 224 248 317Environmental Performance

Coverage rate of collective agreement % 100 100 100

Purchased electricity1 kWh 1888536 1145702 1404875

Number of employees trained in anti-dis-

2 crimination and anti-harassment

Person 224 0 0

Direct GHG emissions (Scope 1) tCO?e 35.64 39.19 44.93

Number of employees enjoying state-man-

dated insurance Person 224 248 317

Indirect GHG emissions3 (Scope 2) tCO?e 1013.39 614.78 753.86

Number of human rights audits Times 1 0 0

Total GHG emissions (Scope 1 and 2) tCO?e 1049.03 653.97 789.79

Ratio of the annual salary of the

Tin and its compounds4 kg 0.04 0.09 0.24 highest-paid individual to the median % 531.46 581.74 1570.87

annual total compensation of all employees

Total amount of waste metal generated Ton 0.12 0.01 0.10

Total number of employees Person 224 248 317

Total hazardous waste5 Ton 0.36 0.54 1.08

By gender

Total water consumption m3 1569.59 1120.05 1967.77

Male employees Person 98 111 144

Domestic wastewater discharge Ton 14126.292 10080.468 17709.894

Proportion of male employees % 44 45 45

Chemical oxygen demand (COD) kg 310.78 1876.55 1416.79

Female employees Person 126 137 173

Biochemical oxygen demand (BOD5) kg 94.65 540.31 338.26

Proportion of female employees % 56 55 55

1 Banmen Electric's Shiqiao Base has distributed photovoltaics the relevant clean energy usage is detailed in Bull's ESG performance

2 The Company's direct GHG emissions primarily originate from the combustion of natural gas in stationary sources such as boilers during production

operations the combustion of gasoline and diesel in mobile sources as well as emissions from septic systems. In 2022 only GHG emissions from natural gas

combustion and purchased electricity were included in the inventory

3 Scope 2 GHG emissions are from the consumption of purchased electricity. The 2024 emission factor for purchased electricity is based on the national average

grid emission factor in 2022 which is 0.5366 tCO?/MWh

4 During production Banmen Electric only generates solder fume without nitrogen oxides sulfur oxides or VOC emissions

5 The classification of hazardous waste follows the Directory of National Hazardous Wastes (Version 2021)

174 175Preface About Goneo Sustainability Management Governance Environment Value Chain Society Appendix

Index of Indicators

Indicators Unit 2024 2023 2022

By job level Guidelines No. 14 of Shanghai Stock Exchange for Self-Regulation of Listed Companies-Sustainability Report (Trial)

Senior Management Person 4 3 6 Disclosure requirements Clause Corresponding section of the Report

Vulnerable/ethnic minorities in senior Chapter III Environmental Disclosure

management Person 0 0 0

Article 20 Tackling Climate Change

Female Managers in Senior Management Person 1 2 2

Female Managers in All Management

Person Article 21 Tacklin

g Climate Change

337

Levels

Proportion of female employees in senior

% 25 67 33 Article 22 Tackling Climate Change

management

Proportion of females in Revenue-gener-

Article 23 Tackling Climate Change

ating Function（such as Sales） % 0 0 0

Management Positions

Section 1

Article 24 Tackling Climate Change

Number of minority or vulnerable group Climate Response

Person 41 41 62

employees hired

Article 25 Tackling Climate Change

Proportion of minority or vulnerable

%181720

group employees in the total workforce

Article 26 Tackling Climate Change

Proportion of minority or vulnerable

group employees in the highest % 0 0 0 Article 27 Tackling Climate Change

management level

Number of employees trained in health

Person 224 248 313 Article 28 Tackling Climate Change

and safety issues

Number of employee health and safety Environmental Management

Times 4

risk assessments 4

4 Article 29 Pollutant and Waste Management

Ecosystem and Biodiversity Protection

Work-related fatalities Person 0 0 0 Pollutant and Waste Management

Article 30 Resource Utilization and Circular Economy

Workdays lost due to work-related

Days 0 0 0 Section 2

injuries Pollution Control and Pollutant and Waste ManagementArticle 31 Water Resource Utilization and Wastewater Discharge

Ecosystem Protection

Pollutant and Waste Management

Article 32 Ecosystem and Biodiversity Protection

Pollutant and Waste ManagementArticle 33 Resource Utilization and Circular Economy

Article 34 Resource Utilization and Circular Economy

Section 3 Article 35 Resource Utilization and Circular Economy

Resource Utilization

and Circular Economy Article 36 Resource Utilization and Circular Economy

Article 37 Resource Utilization and Circular Economy

176 177Preface About Goneo Sustainability Management Governance Environment Value Chain Society Appendix

Statement of use: Goneo Group has reported in accordance with the GRI Standards for the period from January 1 2024 to December 31 2024.Disclosure requirements Clause Corresponding section of the Report

GRI 1 used: GRI 1: Foundation 2021

Chapter IV Social Disclosure

Disclosure issue/number Disclosure Corresponding Section of the Report

Article 38 Rural Revitalization and Social Contributions

Section 1

Rural Revitalization GRI 2: Gener　al Disclosures 2021

Article 39 Rural Revitalization and Social Contributions

and Social Contribu-

tions

Organizatio　n and its reporting practices

Article 40 Rural Revitalization and Social Contributions

2-1 Organizational details Company Profile

Article 41 Innovation and R&D

Section 2

Innovation-Driven 2-2 Entities included in the organization's sustainability reporting About The Report

Development and Article 42 Innovation and R&D

Ethics of Science and

Technology 2-3 Reporting period frequency and contact point About The Report

Article 43 Innovation and R&D

2-4 Restatements of information -

Article 44 Sustainable Supply Chain

Sustainable Supply Chain 2-5 External assurance Third Party Assurance ReportArticle 45 Product and Service Quality

Section 3

Suppliers and Article 46 Sustainable Supply Chain

GRI 2: Gener　al Disclosures 2021

Product and Service Quality

Customers

Article 47 Sustainable Supply Chain

Activities an　d Workers

Product and Service Quality

Article 48 Sustainable Supply Chain

2-6 Activities value chain and other business relationships Sustainable Supply Chain

Data Security and Privacy Protection

Human Capital Development 2-7 Employees Human Capital Development

Article 49 Human Capital Development

Section 4

Employ

Human Capital Development 2-8 Workers who are not employees -Article 50 Occupational Health and Safety

Governance　

Chapter V Corporate Governance Information Related to Sustainable Development Disclosure

Sustainability Strategy 2-9 Governance structure and composition Sustainability ManagementArticle 51

Sustainability Management

Section 1

Sustainability-Related 2-10 Nomination and selection of the highest governance body Corporate Governance

Article 52 Sustainability Management

Governance Mecha-

nisms

2-11 Chair of the highest governance body Sustainability Management

Article 53 Corporate GovernanceStakeholders Communication

2-12 Role of the highest governance body in overseeing the management of impacts Risk Management and Compliance

Article 54 Business Ethics

Section 2

Commercial 2-13 Delegation of responsibility for managing impacts Sustainability ManagementArticle 55 Business Ethics

Corporate Governance

Behaviors

Business Ethics

Article 56 2-14 Role of the highest governance body in sustainability reporting Message from the Board of DirectorsData Security and Privacy Protection

178 179Preface About Goneo Sustainability Management Governance Environment Value Chain Society Appendix

Disclosure issue/number Disclosure Corresponding Section of the Report Disclosure issue/number Disclosure Corresponding Section of the Report

2-15 Conflict of Interests Business Ethics Economic 　

2-16 Communication of critical concerns Stakeholders Communication GRI 201: Eco　nomic Performance

2-17 Collective knowledge of the highest governance body - 3-3 Management of material topics Indicators and Performance

2-18 Evaluation of the performance of the highest governance body Sustainability Management 201-1 Direct economic value generated and distributed -

2-19 Remuneration policies Human Capital Development 201-2 Financial implications and other risks and opportunities due to climate change Tackling Climate Change

2-20 Process to determine remuneration Human Capital Development 201-3 Financial implications and other risks and opportunities due to climate change -

2-21 Annual total compensation ratio - GRI 202: Market Presence

Strategy po　licies and practices 3-3 Management of material topics Indicators and Performance

2-22 Statement on sustainable development strategy Sustainability Strategy 202-1 Ratios of standard entry level wage by gender compared to local minimum wage Human Capital Development

2-23 Policy commitments Business Ethics 202-2 The proportion of senior managers hired from the local community -

2-24 Embedding policy commitments Sustainability Management GRI 203: Ind　irect Economic Impacts

2-25 Processes to remediate negative impacts Business Ethics 3-3 Management of material topics Indicators and Performance

2-26 Mechanism for seeking advice and raising concerns Business Ethics Infrastructure investments and services supported Rural Revitalization and Social 203-1 Contribution

2-27 Compliance with laws and regulations Risk Management and Compliance 203-2 Significant indirect economic impacts Rural Revitalization and Social Contribution

2-28 Membership associations Company HonorsInnovation and R&D GRI 204: Pro　curement Practices

2-29 Approach to stakeholder engagement Materiality Assessment 3-3 Management of material topics Indicators and Performance

2-30 Collective bargaining agreements Labor and Human Rights 204-1 Proportion of spending on local suppliers Sustainable Supply Chain

GRI 3: Mater　ial Topics 2021 GRI 205: Ant　i-Corruption

2021 Process to determine material topics Materiality Assessment 3-3 Management of material topics Indicators and Performance

3-1 List of material topics Materiality Assessment 205-1 Operations assessed for risks related to corruption Business Ethics

3-2 Management of material topics Indicators and Performance 205-2 Communication and training about anti-corruption policies and procedures Business Ethics

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Disclosure issue/number Disclosure Corresponding Section of the Report Disclosure issue/number Disclosure Corresponding Section of the Report

Water Resource Utilization and Wastewater

205-3 Confirmed incidents of corruption and actions taken Business Ethics 303-3 Water withdrawal Discharge

Water Resource Utilization and Wastewater

GRI 206: Ant　i-competitive Behavior 303-4 Water discharge Discharge

3-3 Management of material topics Indicators and Performance 303-5 Water consumption Water Resource Utilization and Wastewater Discharge

206-1 Legal actions for anti-competitive behavior anti-trust and monopoly practices - GRI 304: Biod　iversity

Environmen　tal 3-3 Management of material topics Indicators and Performance

GRI 301: Ma　terials 304-1 Operational sites owned leased managed in or adjacent to Ecosystem and Biodiversity Protectionprotected areas and areas of high biodiversity value outside protected areas

3-3 Management of material topics Indicators and Performance 304-2 Significant impacts of activities products and services on biodiversity Ecosystem and Biodiversity Protection

301-1 Materials used by weight or volume Resource Utilization and Circular Economy 304-3 Habitats protected or restored -

301-2 Recycled input materials used Resource Utilization and Circular Economy GRI 305: Emissions

301-3 Reclaimed products and their packaging materials Product and Service Quality 3-3 Management of material topics Indicators and Performance

GRI 302: Ene　rgy 305-1 Direct (Scope 1) GHG emissions Ecosystem and Biodiversity Protection

3-3 Management of material topics Indicators and Performance 305-2 Energy indirect (Scope 2) GHG emissions Ecosystem and Biodiversity Protection

302-1 Energy consumption within the organization Tackling Climate Change 305-3 Energy indirect (Scope 3) GHG emissions -

302-2 Energy consumption outside the organization Tackling Climate Change 305-4 GHG emissions intensity Ecosystem and Biodiversity Protection

302-3 Energy intensity Tackling Climate Change 305-5 Reduction of GHG emissions Ecosystem and Biodiversity Protection

302-4 Reduction of energy consumption Tackling Climate Change 305-6 Emissions of ozone-depleting substances (ODS) -

302-5 Reductions in energy requirements of products and services Product and Service Quality 305-7 Nitrogen oxides (NOx) sulfur oxides (SOx) and other significant air emissions Pollutant and Waste Management

GRI 303: Wa　ter Resources GRI 306: Was　tes

3-3 Management of material topics Indicators and Performance 3-3 Management of material topics Indicators and Performance

303-1 Interactions with water as a shared resource

Water Resource Utilization and Wastewater

Discharge 306-1 Waste generation and significant waste-related impacts Pollutant and Waste Management

303-2 Management of water discharge-related impacts Water Resource Utilization and Wastewater Discharge

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Disclosure issue/number Disclosure Corresponding Section of the Report Disclosure issue/number Disclosure Corresponding Section of the Report

306-2 Management of significant waste-related impacts Pollutant and Waste Management 403-3 Occupational health services Occupational Safety and Health

Pollutant and Waste Management Worker participation consultation and communication on occupational 306-3 Waste generated 403-4 health and safety Occupational Safety and Health

306-4 Waste diverted from disposal Pollutant and Waste Management 403-5 Worker training on occupational health and safety Occupational Safety and Health

306-5 Waste directed to disposal Pollutant and Waste Management Promotion of worker health

Human Capital Development

403-6 Occupational Safety and Health

GRI 308: Sup　plier Environmental Assessment 403-7 Prevention and mitigation of occupational health and safety impacts -

The scope of employees covered by an occupational health and safety

3-3 Management of material topics Indicators and Performance 403-8 management Occupational Safety and Health

308-1 New suppliers that were screened using environmental criteria Sustainable Supply Chain 403-9 Work-related injuries Occupational Safety and Health

308-2 Negative environmental impacts in the supply chain and actions taken Sustainable Supply Chain 403-10 Work-related ill health Occupational Safety and Health

Social 　 GRI 404: Tra　ining and Education

GRI 401: Emp　loyment 3-3 Management of material topics Indicators and Performance

3-3 Management of material topics Indicators and Performance 404-1 Average hours of training per year per employee Human Capital Development

401-1 New employee hires and employee turnover Human Capital Development 404-2 Programs for upgrading employee skills and transition assistance Human Capital Development

Benefits provided to full-time employees that are not provided to

401-2 Percentage of employees receiving regular performance and career temporary or part-time employees Human Capital Development 404-3 development reviews Human Capital Development

401-3 Parental leave Human Capital Development GRI 405: Diversity and Equal Opportunity

GRI 402: Labor/Management Relations 3-3 Management of material topics Indicators and Performance

3-3 Management of material topics Indicators and Performance 405-1 Diversity of governance bodies and employees Corporate Governance

402-1 Minimum notice periods regarding operational changes - 405-2 Ratio of basic salary and remuneration of women to men Human Capital Development

GRI 403: Occ　upational Health and Safety GRI 406: Non　-discrimination

3-3 Management of material topics Indicators and Performance 3-3 Management of material topics Indicators and Performance

403-1 Occupational health and safety management system Occupational Safety and Health 406-1 Incidents of discrimination and corrective actions taken Labor and Human Rights

403-2 Hazard identification risk assessment and incident investigation Occupational Safety and Health

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Disclosure issue/number Disclosure Corresponding Section of the Report Disclosure issue/number Disclosure Corresponding Section of the Report

GRI 407: Freedom of Association and Collective Bargaining GRI 418: Customer Privacy

3-3 Management of material topics Indicators and Performance 3-3 Management of material topics Indicators and Performance

407-1 Operations and suppliers in which the right to freedom of association and Labor and Human Rights N Substantiated complaints concerning breaches of customer privacy and Data Security and Privacy Protectioncollective bargaining may be at risk Rural Revitalization and Social Contribution 418-1 losses of customer data

GRI 408: Chi　ld Labor

3-3 Management of material topics Indicators and Performance

408-1 Operations and suppliers at significant risk for incidents of child labor Labor and Human Rights

GRI 409: For　ced or Compulsory Labour

3-3 Management of material topics Management of material topics Indicators and Performance

Operations and suppliers at significant risk for incidents of forced or

409-1 compulsory labor Sustainable Supply Chain

GRI 413: Loc　al communities

3-3 Management of material topics Indicators and Performance

Operations with local community engagement impact assessments

413-1 Rural Revitalization and Social Contribution and development programs

413-2 Operations with significant actual and potential negative impacts on Ecosystem and Biodiversity Protectionlocal communities

GRI 414: Sup　plier Social Assessment

3-3 Management of material topics Indicators and Performance

414-1 New suppliers that were screened using social criteria Sustainable Supply Chain

414-2 New suppliers that were screened using social criteria Sustainable Supply Chain

GRI 416: Cus　tomer Health and Safety

3-3 Management of material topics Indicators and Performance

416-1 Assessment of health and safety impacts of product and service categories Product and Service Quality

Incidents of non-compliance concerning the health and safety impacts of

416-2 products and services Product and Service Quality

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Third Party Assurance Report

188 189Preface About Goneo Sustainability Management Governance Environment Value Chain Society Appendix

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Carbon Verification Report

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