Stock code
688676
2025
Sustainability
Report
Environmental Social and Governance Report
Hainan Jinpan Smart Technology Co.Ltd.CONTENTS
Foreword nvironmental ocial overnance
01 About This Report Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations
02 Chairman's Statement Co-Building a Green Frontier Innovation for a Shared Future Enhancing Quality and Efficiency
and Consolidating Governance
03 About Us
06 Jinpan Smart Technology" Numbers
Tell" 2025 33 Building a Sustainable Enterprise 56 Achieving Excellence Together with 88 Governance in Compliance with
on a Carbon-Neutral Foundation Our Stakeholders Laws and Regulations
07 Cultivating Robust Responsibility 44 Deepening Commitment to 68 Shared Vision Shared Success: 90 Upholding Business Ethics and
Management Environmental Management Delivering Measurable Outcomes Compliance
52 Empowering the Green Ecosystem 77 Leveraging Synergies through
Feature Strategic Partnerships
16 Computing Power as the Cornerstone 83 Targeted Philanthropy Driving Rural
Propelling Technology Toward a Grand Revitalization
Vision
21 Empowering Smart Manufacturing
Forging an Intelligent Future
27 Embracing Global Vision Shaping the Era
Appendixes
93 Key Performance Indicators
105 Self-Regulatory Guidelines for Listed
Companies—Sustainability Report
(Trial)
106 GRI Standards Index
111 Feedback Form
112 Independent Assurance StatementStock code Foreword Feature Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and 688676 Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
About This Report
This report is the 2025 Sustainability Report also serving as the Environmental Social and Governance (hereinafter “ESG”) report of Hainan Jinpan Smart Technology Co. Ltd. It aims to disclose the Company’s
management measures highlighted practices and achievements with respect to environmental social and governance aspects for the year 2025.Report Scope Data Source
This report covers Hainan Jinpan Smart Technology Co. Ltd. and its affiliated companies. For the sake The information and data presented in this report are sourced from the Company's annual reports
of conciseness and clarity “Hainan Jinpan Smart Technology Co. Ltd.” will also be referred to as internal official documents internal statistical data and publicly available information. Unless
“Jinpan Smart Technology” “the Company” or simply “We” throughout this Report. otherwise specified all amounts herein are denominated in RMB. The Board of Directors is responsible
for the authenticity accuracy and completeness of the contents contained within this report.Time Range
This report serves as an annual report covering the period from January 1 2025 to December 31 2025. External Verification
To ensure continuity and comprehensiveness certain content may extend beyond this reporting period. The report has undergone independent third-party assurance by a team from TüV SüD Certification
and Testing (China) Co. Ltd.. The assurance statement is appended hereto.Reporting Guidelines
* Transforming our World: The 2030 Agenda for Sustainable Development (UN SDGs) Report Access
* GRI Sustainability Reporting Standards (2021) This report is published in both simplified Chinese and English versions. In the event of any
* Guidelines No. 1 for Self-Regulatory Supervision on STAR Market Listed Companies of the Shanghai discrepancies between the two versions the Chinese version shall prevail. The report is available for
Stock Exchange—Normative Operations access and download on the official website of Jinpan Smart Technology (http://www.jst.com.cn).* Guide No. 13 for Self-Regulatory Supervision on Listed Companies of the SSE STAR Market—
Compilation of Sustainable Development Reports Contact Us
* Guidelines No. 14 of Shanghai Stock Exchange for Self-Regulation of Listed Companies—
Sustainability Report (Trial) If you have any inquiries feedback or suggestions regarding the contents in this report or Jinpan
Application Guidelines for the Basic Principles of the Enterprise Sustainable Disclosure Standards Smart Technology’s sustainability initiatives please contact us via email at info@jst.com.cn.*
(Trial) released by the Ministry of Finance of the People’s Republic of China
* Corporate Social Responsibility Research Center of the Chinese Academy of Social Sciences’ China
Corporate Social Responsibility Guide Framework (CASS-CSR 6.0)
* Task Force on Climate-related Financial Disclosures (TCFD) Recommendations
1Stock code Foreword Feature Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and 688676 Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
Chairman's Statement 1. Reshaping the Production Paradigm With Intelligent * Achieving High-Performance Materials Breakthroughs BuildingManufacturing Core Upstream Resilience
In 2025 Jinpan Smart Technology proposed the strategic vision of The company is strategically positioning itself in the field of amorphous
"Advancing from Digitalization to Holistic Intelligent Manufacturing" alloy materials—recognized as the next-generation green and energy-
partnering with advantageous industry peers to embark on a deep AI- efficient material capable of significantly enhancing transformer energy
driven transformation. During the "15th Five-Year Plan" period the efficiency ratios and serving as a critical cornerstone for future grid
company will integrate Artificial Intelligence atop its digital foundation upgrades and new nergy integration. The Company has made myriad
accelerating the upgrade to intelligent manufacturing. By constructing the achievements in this domain becoming one of the few enterprises in the
AI Factory technical architecture built on a digital platform base industry to establish fully independent and controllable capabilities across
supported by a computing center and utilizing AI agents as core tools it the entire chain—from materials to products to applications.will reshape the entire value chain of R&D manufacturing supply chain
and services.
2. Core Growth Curves Anchored in Sustainable 3. Co-Creating Value and Driving Progress in Industry
Development and Society
* Full Coverage of the AI Industry Chain Redefining the AIDC We deeply integrate ESG principles into our strategic operations
In the new era of synergy between artificial intelligence and green low- Value Landscape promoting resource circulation and ecological protection through full
carbon development technological innovation is not only a driver of During the "15th Five-Year Plan" period the company will focus on the lifecycle environmental management while working together to build a
growth but also the force shaping responsibility and the future. Over the AIDC industry chain promoting the expansion of its product matrix from sustainable future where humanity and nature coexist in harmony. We
past year Jinpan Smart Technology has remained committed to existing power equipment to a comprehensive range of next-generation remain committed to driving technological and product iteration through
intelligent manufacturing as its core driver continuously exploring new products covering key areas such as power modules solid-state innovation fostering platforms for employee growth internally while
pathways for the synergistic development of intelligent and low-carbon transformers and high-voltage DC power supplies. building a responsible supply chain externally and giving back to society
manufacturing. We have achieved results in areas such as cutting-edge through tangible actions. We continuously deepen our strategy and refine
AIDC technologies and new amorphous alloy materials while accelerating * Deepening Global Market Presence Forging Worldwide our governance systems building upon robust risk management and
our global strategy. Amidst steady development and continuous Competitiveness compliant operations to create long-term synchronized economic
innovation breakthroughs we are deeply aware that true While deeply cultivating the domestic market we are accelerating our environmental and social value for all stakeholders.competitiveness lies not only in our technology products and services global expansion by leveraging our accumulated technical advantages
but also in our ongoing commitment to environmental social and and brand influence over the years. The company's overseas production
governance responsibilities. bases are now operational serving as strategic anchors in their respective Facing the new era of artificial intelligence Jinpan Smart Technology is
regions. Our international teams continue to deepen their engagement firmly committed to driving strategic leaps through a dual-innovation
* Driving the Dual Innovation Model Reshaping the AI+Energy fostering close collaboration with global industry partners. We are model reshaping the industrial landscape with intelligent manufacturing
Growth Landscape accelerating penetration into key markets while continuously improving and defining the future of growth with AI + energy and power. We strive
Jinpan Technology deeply grasps the era-defining opportunity presented our localized sales service and technical support systems. The company to achieve the value symbiosis of economic benefits social contributions
by the deep integration of artificial intelligence and the energy revolution. is making steady progress in its transformation from "product export" to and ecological responsibility interpreting the mission of our era in
Guided by the national strategies of "building a strong energy country" "capability export" and from "Made in China" to "Global Delivery." intelligent manufacturing through innovative practices.and "accelerating the formation of new quality productive forces" the
company proposes its development strategy for the "15th Five-Year Plan"
period: to solidify its foundation through incremental innovation forge the
future through leapfrog innovation and construct a new paradigm for Chairman of Jinpan Smart Technology
high-quality development "driven by intelligent manufacturing as its core
underpinned by multiple growth curves." 2Stock code Foreword Feature Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and 688676 Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
About Us
Founded in 1997 Hainan Jinpan Smart Technology Co. Ltd. (referred (Netherlands) CE (European Union) DNV CSA (Canada) and China
to as “Jinpan Smart Technology” stock code: 688676) is located in the Energy-Saving Product Certification totaling 332 certifications. Revenue
Haikou Integrated Free Trade Zone. It is a national high-tech enterprise Meanwhile the Company continuously enhances its core
integrating research and development production sales and services. competitiveness through a digital manufacturing model. The
On March 9 2021 the Company conducted an A-shares public offering Company's products and services are distributed across 6 continents RMB 7.295 billion
and was publicly listed on the Science and Technology Innovation and 87 countries.Board (STAR Market) of the Shanghai Stock Exchange becoming the
first listed company from Hainan to be listed on the STAR Market. Jinpan Smart Technology has repeatedly undertaken national
provincial and municipal science and technology projects and has Net profit attributable to
Jinpan Smart Technology specializes in the research development been honored with numerous provincial-level Science and Technology shareholders of the listed company
production and sales of medium- and low-voltage various transformer Progress Awards and Technology Achievement Transformation
series switchgear series energy storage series and intelligent Awards. The Company has received honors including National Key RMB 660 million
industrial robots. High-Tech Enterprise National Enterprise Technology Center one of
the first Outstanding-level Smart Factories and Hainan Provincial
The Company has fully implemented a digital transformation model "Government Quality Award" and has obtained more than 300
consistently providing high-quality power supply solutions and high- Total number of employeespatents.end equipment for full scenarios including AIDC modular power
equipment new energy (covering wind energy photovoltaics energy The Company has achieved digital transformation at the same time 2286 employees
storage and other fields) high efficiency and energy conservation and working to transition towards smart manufacturing. It continuously
rail transit. It is dedicated to R&D of energy-saving new materials. The enhances its core competitiveness and improves its ability to create
Company's products have obtained a series of authoritative domestic value for customers. Global coverage
and international certifications including UL (United States) KEMA
6 continents
3Stock code Foreword Feature Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and 688676 Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
Company Culture
Vision Mission Values Business Philosophy SpiritBuild a “Community of Shared Create greater value for Center on customer value build on Integrity in operations green Be dream-drivenFuture for Enterprises” customers employee value and aim for social value; development passionate and wise;
Commit to learning and growth self-
And benefit employees Foster growth opportunities transcendence innovative development Digital leadership and Courage to innovate
enterprises and society. for employees and empower others to succeed. intelligent manufacturing for strive and take
the future responsibility.And blaze a development
path for the Company.Corporate Style Work Guidelines
Act with integrity work Customer Service Guidelines: Put customers at the center and deliver the optimal
with meticulousness; customer experience.Enjoy work and live a Quality Guidelines: Rigorous analysis meticulous operation and strict inspection.healthy life.Safety Guidelines: Abide by rules and regulations eliminate potential hazards
and prevent accidents.Efficiency Guidelines: Standardization automation and digitalization.Employee Guidelines: Mutual assistance and care loyalty and gratitude
dedication and efficiency integrity and self-discipline.Leadership Guidelines: Professional competence professional ethics professional
spirit; Aspirational to act capable to execute and results-oriented to deliver.
4Stock code Foreword Feature Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and 688676 Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
Honors
National and Provincial-Level Honors
National Enterprise Technology Center
The first Outstanding-level Smart Factories
National Intellectual Property Demonstration Enterprise
Excellence Cases of Enterprise Historical Records and Annals in the Ministry of Industry and Information Technology of
China's "Industrial Strength through Innovation" Campaign
Amorphous Alloy Dry-Type Transformer has been included in the Recommended Catalogue of Energy-Saving and Carbon-
Reduction Technologies and Equipment in the National Industrial and Information Technology Sector (2025 Edition).Selected as a National Typical Case of Power Demand-Side Management in the Industrial Sector (2025) – Guilin Juntaifu
Hainan Provincial Government Quality Award (Third Session)
Hainan Science and Technology Award –2024 Hainan Provincial Enterprise Innovation Award
Hainan High-Tech Leading Enterprise
Guangxi Science and Technology Award – Corporate Scientific and Technological Innovation Award (Guilin Juntaifu)
Second Batch of Guangxi "AI + Manufacturing" Vertical Domain Models and Typical Cases (2025) – Guilin Juntaifu
Provincial-Level Specialized and Sophisticated SMEs (Jinpan Yangzhou)
Provincial-Level Enterprise Technology Center (Jinpan Yangzhou Wuhan Jinpan Intelligent)
Provincial-Level Green Factory (Jinpan Yangzhou)
Second Batch of Advanced-Level Smart Factories and Typical AI Application Scenarios in Hubei Province (2025) – Wuhan
Jinpan Intelligent
Industry Honors
2025 Best ESG Listed Company on the STAR Market
2025 "SSE Eagle · Golden Quality" Awards: Outstanding Entrepreneur Most Popular Entrepreneur Most
Popular Company Most Popular IR Director and ESG Award
2025 Cailian Press Zhiyuan Award – ESG Pioneer Enterprise
List of Best Practices in Sustainable Development by Listed Companies 2025 issued by the China
Association for Public Companies (CAPCO)
DCMM Level 3 Certification for Data Management Capability Maturity Assessment Model (Wuhan Jinpan
Intelligent)
CMMM Level 3 Certification for Capability Maturity Model Integration (Guilin Juntaifu)
CNAS Accreditation (Registration No. CNASL22834) – Wuhan Branch
Supplier Honors
Level 5 Green Supplier – Goldwind Sci & Tech (2025)
5Stock code Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and
688676 Foreword Feature Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
Jinpan Smart Technology “Numbers Tell” 2025
Economic value Environmental value Social value
Revenue Greenhouse gas emissions (Scope I & II) Total energy consumption Total number of employees Employee income increased by
7.295 1860.56 tons of carbon dioxide tons of 9.61% compared to RMB billion equivalent 6125.39 standard coal 2286 the previous year
Net profit attributable to Reduction ratio of greenhouse gas Number of products with carbon footprint Average training hours per Amount of public welfare
shareholders of the listed company emissions in 2025 compared to 2024 certification employee donations
RMB 660 million 60.8% 16 items 81 hours RMB 463900
Social contribution per share Energy consumption intensity Number of certified zero-carbon factories Amount of R&D investment Total number of patented
technologies obtained
3.21 8.4 kg of carbon dioxide RMB RMB/share equivalent 4 items RMB 357 million 356 items
Revenue per employee Greenhouse gas emission intensity Amount of environmental protection Number of suppliers Number of product
investment certifications obtained
3.1912 0.0026 tons of carbon dioxide equivalent RMB million /RMB 10000 of revenue RMB 2.2499 million 1591 332 items
Profit per employee Clean energy utilization rate Clean energy consumption increased by
RMB 0.2885 million 89.17% 45.35% compared to 2024
6Stock code Foreword Feature Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and 688676 Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
Cultivating Robust Responsibility Management
Jinpan Smart Technology has systematically embedded ESG management into its core corporate governance and daily operational workflows positioning sustainable development as a core component of its strategic
development. To institutionalize this commitment the Company has continuously refined its ESG management mechanisms and established a systematic ESG management system aligned with internal and external
requirements as well as the Company’s development plans. It has formulated internal documents including the ESG Management Manual and the Environmental Social and Governance Indicator System Manual (Trial)
which standardize ESG management processes optimize resource allocation and provide guidance for sustainable development decision-making. We have integrated sustainable development concepts into corporate
governance to drive our long-term sustainability. By proactively collecting external regulatory information conducting industry trend analysis and benchmarking against peers the Company enhances its ESG
management capabilities identifies material ESG-related risks and formulates corresponding risk management strategies. Leveraging scientific methodologies and structured processes the Company continuously
improves its ESG risk management standards providing a solid foundation for stable business operations and sustainable growth.ESG Management Structure
The Company has established a three-
tier governance structure comprising the Board of Directors
Board of Directors the ESG Committee
and the ESG Working Group and has ESG Committee
formulated the Environmental Social The Board of Directors as the highest ESG Working Group
and Governance (ESG) Working Group responsible body for the Company's ESG The Board of Directors has established an ESG Environmental Working Group
Responsibility Handbook to ensure clear management is responsible for reviewing and
roles and responsibilities at each level. approving the Company's ESG strategies and
Committee responsible for formulating and Social Working Group
overseeing the implementation of the
This structure enables systematic objectives monitoring the implementation Governance Working GroupCompany’s ESG vision strategy and goals. The
consideration of ESG factors in business progress of ESG policies and management
decision-making and supports effective work assessing material ESG risks guiding
Committee assesses the effectiveness of the
ESG governance structure monitors ESG trends The ESG Working Group consists of responsible
management of related risks and stakeholder communication and approving ESG personnel from various functional departments
opportunities. information disclosure.and risks guides the management of material
issues reviews the ESG report and conducts and is tasked with driving the implementation
day-to-day oversight of relevant ESG matters. It of the ESG strategy. This includes executing
holds at least two special briefings annually to ESG goals and action plans organizing the
hear progress updates and trend analyses from preparation and verification of the annual
the ESG Working Group. sustainability report and reporting progress to
the Board of Directors and the ESG Committee.The group operates under a mechanism led by
a designated leader for overall coordination
with members responsible for specific tasks.Meetings are held bi-monthly in principle.
7Stock code Foreword Feature Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and 688676 Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
Jinpan Smart Technology is committed to continuously enhancing its ESG governance capabilities by conducting regular internal ESG
training sessions for personnel involved in ESG management. These initiatives aim to deepen employees’ understanding of ESG
principles. Meanwhile Jinpan Smart Technology actively engages with partners to exchange insights on industry ESG trends and best
practices jointly promoting sustainable progress across the sector and striving to build a greener more responsible development
ecosystem.Case Jinpan Smart Technology conducted specialized ESG training to build an internal sustainability ecosystem
To fully implement the concept of sustainable development and accelerate the construction of a distinctive ESG management system
tailored to Jinpan Smart Technology the Company has systematically deployed a comprehensive “Governance → Disclosure → Rating”
full-cycle enhancement pathway. This approach leverages high-quality ESG practices to drive the Company’s sustainable and high-
quality development to a new level thereby deeply empowering business growth governance upgrading and brand enhancement.Z
8Stock code Foreword Feature Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and 688676 Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
Stakeholder Communication
Effective and transparent communication with stakeholders is not only a crucial approach to achieving goal management but also the foundation for collaboratively creating long-term value. To this end we identify key
internal and external stakeholders by integrating the Company’s activities business relationships and external objective environmental factors and convey corporate progress in a timely and comprehensive manner
through diverse and unimpeded communication channels while actively soliciting feedback from all parties.Based on the opinions and expectations of stakeholders we continuously integrate feedback into our sustainable development strategy striving to earn understanding recognition and support from all sectors thereby
laying a solid foundation for the ongoing advancement of sustainability. To accurately capture diverse stakeholder needs the Company conducts at least one stakeholder questionnaire survey annually and refines its
communication strategies based on survey outcomes establishing corresponding regular or ad hoc communication mechanisms aligned with the unique characteristics and requirements of each group.In addition we systematically integrate ESG-related initiatives progress and outcomes into our annual sustainable development report disclosing our practice achievements to the public in a transparent and
standardized manner actively accepting oversight and feedback from stakeholders and driving continuous improvement in the Company’s environmental social and governance (ESG) domains.Stakeholders Employees Government Shareholders/regulatory agencies /investors Customers
Suppliers and Community and
other partners the public
* High-quality products and
* Corporate governance
* Compliant employment and services * Anti-unfair competition
basic rights protection * Compliant operations * Business ethics and anti- * Customer relationship * Public welfare and * Integrity in contract
Expectations * Fair promotion and * Business ethics and anti-
corruption management management donationsperformance
and demands development corruption management * Continuous and stable returns * Responsible marketing
* Emissions management
* Win-win cooperation
* Occupational health and safety * Driving local economic * Transparent information * Win-win cooperation * Resource usage
development disclosure * Intellectual property protection
* Welfare and care * Technology innovation * Operational site biodiversity* Supply chain management
* Staff meetings * Government/regulatory * Shareholders’ meetings * Exchange and visits * Exchange and interviews
agency inspections * Customer research
Communication * Management meetings * Information disclosure * Industry forums * Volunteer services
channels * Official correspondence * Customer satisfaction surveys* Employee training * Roadshows * Suppliers' meetings * Community activities
* Submission of compliance * Technological seminars
* Employee activities reports * Investor conference calls * Contract negotiations * Rural revitalization activities
* Social impact assessment
* Corporate strategic objectives * Reporting of operating * Product and service updates * Terms of cooperation results
* Performance evaluation results conditions and compliance * Financial performance * Customer support services
agreements * Fulfilment of corporate
Content of * Career development * Tax payment status * Introduction to social * Delivery schedules citizenship responsibilities
communication programmes * Dividend distribution policy* Social responsibility fulfilment responsibility programmes * Quality standards and * Environmental protection
* Health and safety policies * Progress of ESG work* Progress in intelligent * Progress in intelligent requirements measures
* Changes in employee benefits transformation transformation * Procurement policy * Implementation of community
contribution projects
9Stock code Foreword Feature Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and 688676 Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
Case Service Investors Share High-Quality Development | “ I Am a Shareholder” Event Comes to Jinpan Smart Technology
The special investor relations event themed "I Am a Shareholder – Exploring Shanghai-listed Companies" was
successfully held at Jinpan Smart Technology. This event not only provided small and medium investors with an
opportunity for on-site research but also demonstrated Jinpan Smart Technology's responsible corporate image
as an open and proactive listener to investors' voices.
10Stock code Foreword Feature Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and 688676 Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
Based on global sustainable development trends industry characteristics its own operational and developmental needs and referencing the Guidelines No. 14 of Shanghai Stock Exchange for Self-Regulation of Listed
Companies—Sustainability Report (Trial) (hereinafter referred to as the “Guidelines”) Jinpan Smart Technology has systematically conducted a Double Materiality Assessment on the identification and evaluation of issues
by integrating the key concerns of internal and external stakeholders.Issue Materiality Assessment Process
01020304
Establishing the ESG issue list Materiality assessment Double materiality assessment analysis ESG issue review and disclosure
Conduct questionnaire surveys
Based on the 21 issues outlined in among internal and external Based on the assessment results The Board of Directors reviews and
the Shanghai Stock Exchange’s stakeholders to collect their of impact and financial materiality confirms the findings of the materiality
Guidelines and in alignment with assessment opinions on the "level prioritize the issues to formulate assessment analysis and carries out
national policies ESG-related of impact" of ESG issues in the Jinpan Smart Technology 2025 targeted disclosure and practical
standards capital market economic environmental and Materiality Issue Matrix. management enhancement based on
concerns industry peer practices social dimensions. the prioritized ESG issues.and the company-specific
conditions the Company has
identified 26 priority ESG issues Through methods such as expert
of the year 2025 and formulated assessments and internal surveys
the ESG Issue List accordingly. and interviews the Company
evaluates the risks opportunities
and magnitude of impact that
ESG issues may pose to its
business operations financial
condition results of operations
and cash flows.
11
Impact materiality Financial materiality
assessment assessmentStock code Foreword Feature Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and 688676 Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
Step 1: Establishment of the ESG issue list
Based on the 21 issues outlined in the Shanghai Stock Exchange’s Guidelines and in alignment with national policies ESG-
related standards capital market concerns and industry peer practices the Company grounded in its industry characteristics Jinpan Smart Technology's 2025 ESG issue list
development stage business model and future strategy has identified its priority ESG issues for 2025 across the three key
dimensions of environment social and governance ultimately formulating an ESG Issue List covering 26 issues.In 2025 building on the previous year’s issues and aligned with the Company’s strategic development we have introduced two Issue Issue Issue Issue
new ESG issues: "AI Empowerment and Technology Ethics" and "Intelligent Transformation" while merging "Responsible dimensions name dim议en题sions 议na题me
Marketing" and "Customer Service" into a single integrated topic: "Marketing and Customer Service". 维度 名称
Environmental Supply chain
compliance management management
Responding to climate Product quality and
National regulatory policies ESG-related standards change safety
Emissions management Marketing and customer Guidelines No. 1 for Self-Regulatory Supervision GRI Sustainability Reporting Standards service
on STAR Market Listed Companies of the Corporate Social Responsibility Research Center Customer privacy and
Shanghai Stock Exchange—Normative of the Chinese Academy of Social Sciences' Energy management information security
Operations Guidelines No.13 for Self-Regulatory China Corporate Social Responsibility Guide Water resource Remuneration and
Supervision on Listed Companies of the SSE Framework (CASS-CSR6.0) Task Force on management benefits
STAR Market—Compilation of Sustainable Climate-related Financial Disclosures (TCFD) Employee employment
Development Reports Guidelines No. 14 of Recommendations etc. Biodiversity protection and human rights
Shanghai Stock Exchange for Self-Regulation of
Green products Diversity equity and Listed Companies— Sustainability Report (Trial) inclusion
and the Self-Regulatory Guidance No. 4 for Employee training and
Listed Companies of the Shanghai Stock Circular economy development
Exchange – Preparation of Sustainable
Development Reports (Exposure Draft) etc. Public welfare and charity Occupational health and safety
Intellectual property Stakeholder
protection Communication
R&D and innovation Sustainability governance
Capital market focus Peer benchmarking analysis
Intelligent transformation Business ethics and anti-corruption
Key indicators monitored in the EcoVadis Material ESG issues of leading peer companies
Sustainable Supply Chain Rating etc. with excellent ESG performance AI empowerment and tech ethics Corporate governance
12
Social Governance
Environmental SocialStock code Foreword Feature Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and 688676 Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
Step 2: Materiality assessment
Impact materiality assessment
The Impact Materiality Assessment aims to respond to stakeholders' concerns regarding the external impacts of the Company's Ranking of Impact Materiality Assessment Results
business operations. By conducting questionnaire surveys among internal and external stakeholders the Company collects
evaluations from all stakeholders on the "level of impact" of ESG issues in economic environmental and social dimensions. Based on
257 valid questionnaires collected the Company scores and ranks these issues to form the conclusions of the impact materiality No. Issue No. Issue
assessment which will also serve as a key basis for addressing stakeholders’ concerns in the future.
1 Environmental compliance management 14 Circular economy
2 Supply chain management 15 Public welfare and charity
3 Responding to climate Customer privacy and change 16 information security
Determine the impact Form the impact materiality 4 Remuneration and benefits 17 AI empowerment and tech
materiality assessment factors Conduct stakeholder surveys assessment conclusion ethics
Water resource Employee training and
Identify the factors for impact A questionnaire survey was Analyze and process the 5 management 18 development
materiality assessment conducted among key internal data collected from 257
including impact scale scope and external stakeholders valid questionnaires score 6 Intelligent transformation 19 Diversity equity and inclusion
irremediability likelihood etc. including management and and rank the impact
employees government and materiality of ESG issues 7 Energy management 20 Marketing and customer
regulatory agencies and formulate the findings service
shareholders and investors of the impact materiality Occupational health and
customers community and the survey. 8 Emissions management 21 safety
public suppliers and partners.These stakeholders then 9 Intellectual property 22 Business ethics and anti-
evaluated based on the protection corruption
defined criteria for impact
materiality the extent to 10 R&D and innovation 23 Corporate governance
which the performance on
each ESG issue has or could 11 Product quality and safety 24 Green products
have a significant impact on
the economy society and the 12 Employee employment and human rights 25 Sustainability governanceenvironment.
13 Stakeholder Communication 26 Biodiversity protection
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688676 Foreword Feature Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
Financial materiality assessment
Financial Materiality Assessment primarily evaluates whether ESG issues could
have a significant impact on the Company’s business model business operations
development strategy financial condition cash flows and cost of financing over Determine the financial materiality assessment factors
the short medium or long term. The assessment is conducted by integrating the
likelihood and magnitude of financial impacts where the magnitude is analyzed Based on the likelihood of financial impact and the extent of financial impact the degree
from two dimensions: “dependence on/influence over resources” and “dependence of financial impact is analyzed from two dimensions: "dependence/impact on resources"on/influence over relationships”. and "dependence/impact on relationships."
The Company invited internal and external industry and financial experts to
participate in the scoring process supplemented by research interviews with
relevant internal departments and management. Ultimately responding to climate
change intelligent transformation R&D and innovation as well as product quality
and safety were identified as financial materiality issues.Ranking of the Financial Materiality of ESG Issues
The Company ranks the financial materiality of ESG issues by inviting relevant experts to
score each issue based on the likelihood and magnitude of financial impact combined
with the results of research interviews conducted with the Company’s relevant internal
departments and management.Form the financial materiality assessment conclusion
Based on the expert scoring results the Company derived the findings of the financial
materiality assessment confirming that responding to climate change intelligent
transformation R&D and innovation and product quality and safety are financial
materiality issues.
14Stock code Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and
688676 Foreword Feature Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
Jinpan Smart Technology's 2025 ESG Materiality Matrix
High materiality
Environmental compliance management
Step 3: Double materiality analysis Supply chain management
On the basis of the assessment from the two dimensions of
"impact materiality" and "financial materiality" the Company Intelligent
prioritized each issue through a matrix approach forming the Water resource management Remuneration and benefits Responding to transformation
2025 ESG Materiality Matrix. In this matrix the horizontal axis climate change
represents financial materiality while the vertical axis Energy management Emissions management
represents the impact materiality on the economy society
and the environment. R&D and innovationIntellectual property protection
After assessment the Company identified responding to Employee
climate change intelligent transformation R&D and employment and Product quality
innovation and product quality and safety as issues with human rights
Public welfare Stakeholder Communication and safety
and charity Circular Environmental
double materiality. Diversity equity economy
and inclusion Customer privacy and information securityAI empowerment Social
and tech ethics Employee Marketing and customer service
Business ethics and training and Governance
anti-corruption development Corporate governance
Green products
Step 4: ESG issue review and Occupational health and safety
disclosure Sustainability governanceBiodiversity
protection
The Board of Directors has reviewed and confirmed the findings
of the 2025 ESG materiality analysis. The Company will prioritize
the disclosure of ESG issues with financial materiality in the
report and implemented focused management in subsequent
operations. Issue materiality assessment serves as the
foundation for the Company’s sustainable development
governance and management helping to rationally allocate
resources and clarify management priorities in different periods.Relative materiality Financial materiality High materiality
15
Impact materialityStock code Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and
688676 Foreword Feature Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
Feature I
Computing Power as the Cornerstone
Propelling Technology Toward a Grand Vision
We are currently in a profound era of dual transformation. On one hand the global wave of AI large models has triggered near-limitless demand for computational power causing electricity
consumption in data centers to surge dramatically—infrastructure for power supply is increasingly becoming a bottleneck for artificial intelligence development. On the other hand the global
transition toward renewable energy sources—such as wind solar and hydrogen—presents new challenges demanding smarter more adaptive grids to accommodate this evolving energy
landscape.As the global AI large model revolution accelerates power systems have become a critical bottleneck constraining technological advancement making Solid-State Transformers (SST) a more
efficient choice at the intersection of energy transformation and AI infrastructure innovation.In October 2025 NVIDIA highlighted SST in its white paper on the next-generation artificial intelligence infrastructure while Jinpan Smart Technology foresaw the significant strategic importance
of SST long before the white paper's release having begun independently developing SSTs specifically designed for AIDC use.
16Stock code Foreword Feature Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and 688676 Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
Pioneering Advanced Technologies to Empower AIDC
We closely align with AIDC's core demands for 'high reliability and high efficiency' in power equipment. On the basis of continuously consolidating our existing advantageous transformer series products we are expanding
our offerings to include intelligent flexible connection power modules and other existing data center power module products. At the same time we closely track the evolving trends in data center power supply
technologies and are actively investing in the R&D of innovative power architectures. In alignment with the data center industry's shift toward HVDC (High-Voltage Direct Current) and SST (Solid-State Transformers) the
company has successfully completed the R&D of HVDC 240V systems as well as the design and prototyping of solid-state transformers. We continue to iteratively refine these technologies and products striving to deliver
more efficient and compact DC power supply solutions for AIDC applications.Power Supply Structure R&D Current Advantage Products
Array
Utility 10-35kV Distribution Low Voltage UPS Input UPS Output Distribution Server Power Input Transformer Cabinet Cabinet UPS Distribution Cabinet Cabinet
AC380V
Accumulator
Utility Distribution Low Voltage Array Server Distribution Transformer Complete Switchgear Panama Power Phase-Shifting
Power Input 10-35kV Transformer Cabinet HVDC Distribution Cabinet Cabinet Equipment Rectifier Transformer
DC240V
Accumulator
Utility Array
Power Input 10-35kV
Panama Power Phase-Shifting Rectifier and Voltage Server Power Module
Rectifier Transformer Regulation Output Unit Distribution Cabinet Cabinet
DC240V
DU UPS (also known as Panama Iterative Products
Power Distribution Solution)
Accumulator
Solid-State Transformer (SST) Solution
Utility Power Distribution Server
Power Input 10-35kV Cabinet Cabinet
DC800V
SST HVDC
Energy Storage Battery
17Stock code Foreword Feature Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and 688676 Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
Under this strategic vision we have achieved phased results. The Company has established a dedicated R&D team to advance the development of cutting-edge technologies including Solid-State Transformers (SST) . The
SST system enables direct high-efficiency conversion from AC grid power to 800V DC significantly reducing power conversion stages from medium-voltage AC to DC lowering system losses and minimizing equipment
footprint. This makes it particularly suitable for GW-scale hyperscale green data centers. The Company has completed the prototype of a solid-state transformer (SST) specifically designed for the 800V power supply
architecture of high-voltage direct current (HVDC) striving to establish itself as a critical core equipment for ultra-large-scale green data centers.Committed to
providing reliable
power support for
global AI data centers
(AIDC) customers
Strong
System
Compatibility
High Efficiency & Intelligent Operation
Energy Savings and Maintenance with High Reliability
Ultra-High Power Density
18Stock code Foreword Feature Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and 688676 Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
Strategic Capacity Expansion
to Solidify the Foundation for
Development
To further expand the production capacity of complete series products such as
data center power modules and to meet the rapidly growing demand in the
downstream data center sector the Company issued convertible bonds to
unspecified investors. A portion of the proceeds has been allocated to the
construction of the Digital Factory Project (Tongxiang) for data center power
modules and related complete series products thereby establishing a solid
production capacity foundation for the stable and continuous supply of such
products in the AIDC sector.
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688676 Foreword Feature
Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and
Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
Case Self-Developed HVDC Solution Powers Jinpan Smart Technology’s AI Factory
The Jinpan Smart Technology team has officially powered up
the AI Factory with its self-developed HVDC products
completing the full-scale deployment of core computing
infrastructure. This milestone represents a substantial
breakthrough in key technologies across the entire AI product
chain for Jinpan Smart Technology taking the lead in creating a
physical model of 'AI+manufacturing' and laying a solid
foundation for empowering the industry's green computing
development.Warm congratulations on the official launch of Jinpan Smart Technology AI
Factory empowering the new era of intelligent manufacturing!
20Stock code Foreword Feature Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and 688676 Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
Feature II
Empowering Smart Manufacturing
Forging an Intelligent Future
As the tide of data surges through the era and sparks of intelligence
illuminate the horizon a transformative wave reshaping the
manufacturing ecosystem is already unfolding. At this historic
convergence Jinpan Smart Technology takes the lead with a visionaryinitiative—“From Digitalization to Full-Spectrum IntelligentManufacturing”—leveraging AI technology integrated with digital
manufacturing platforms to comprehensively achieve intelligent
transformation expanding into the boundaries of efficiency and value.
21Stock code
688676 Foreword Feature
Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and
Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
Governance
The Company has always adhered to the core philosophy of "technological
innovation creates value" and has been deeply committed to product innovation
and the transformation and upgrading of intelligent manufacturing technologies. Jinpan Smart Technology’s "Digital-Intelligence" Logic
Through decades of steady growth and accumulation the Company has built an
efficient and mature R&D system and organizational structure with R&D
platforms such as the Electrical Research Institute and the Intelligent Technology
Research Institute. Guided by the Company’s strategic development goals the
institute conducts forward-looking research while business units across product
lines continuously innovate and iterate in close alignment with market demands Empowering Intelligent Manufacturing Transformation
driving customer-centric R&D across various application scenarios including
energy and power energy storage and digital manufacturing model innovation.Artificial Data
Intelligence Digital
Factory Assetization
Digital Transformation and Upgrading
Guided by ESG Collaborating with
Concepts Targeting green Linked by Focusing on smart
Industry Partners to
and low-carbon capital manufacturing
Build a "Green Energy
initiatives platforms Equipment Manufacturing
Community of Shared
Future"
Jinpan Smart Technology's "Digital Intelligence" logic supports and leads various business developments
22Stock code Foreword Feature Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and 688676 Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
The Company is actively expanding into the field of intelligent industrial robotics and established
Jinpan Robotics (Wuhan) Co. Ltd. in March 2025. Focusing on technological breakthroughs and
industrial applications of next-generation collaborative robots and embodied intelligent welding
robots the Company has positioned intelligent collaboration intelligent welding and smart
factories as the three strategic pillars for Jinpan Robotics’ development.Jinpan Robotics has successfully developed multiple intelligent industrial robots and a next-
generation vision-based intelligent welding system mastering key autonomous technologies. To
support future large-scale delivery the Company is simultaneously advancing the construction of
its robotics production line and has completed the production line planning.As a key practice of the Group's ESG strategy in the field of intelligent manufacturing the Robotics
Division has integrated the principles of green safe and efficient operations into the entire
process of product design and technology development since its establishment. Upholding the
core concept of "responsible innovation" the division has deeply embedded rigorous ethical
governance into every stage of R&D. Looking ahead the division will focus on intelligent
applications of robotics in fields such as power transmission and distribution and intelligent
manufacturing delivering high-quality products and customized solutions to global manufacturing
clients.At the WAIE 2025 (6th) China Intelligent
Manufacturing Digital Transformation
Conference the Company's intelligent welding
robot product was honored with the "OFweek
Excellence Award". Meanwhile Jinpan Robotics
made a prominent appearance at the 2025
World Intelligent Manufacturing Expo
showcasing its comprehensive suite of intelligent
welding solutions spanning fixed production lines
to flexible application scenarios. The exceptional
stability and intelligent performance of these
solutions demonstrated Jindan Robotics' strength
in industrial automation.
243
Robot – Zhitong
Robot – Haoyue
Robot – JingangStock code Foreword Feature Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and 688676 Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
Strategy
The company's strategic system is clear and focused:
intelligent manufacturing is the core foundation
serving as the source of efficiency the shield of quality
and the basis of flexibility; full coverage of AI industry
chain products and breakthroughs in high-performance
new materials are the two major driving forces
horizontally leaping from traditional power equipment
to high-end AIDC power modules and vertically
controlling core links in upstream new materials; a dual-
innovation model is the foundation for development
with incremental innovation continuously enriching the
product matrix and leapfrog innovation leading the
manufacturing paradigm; and the global market
provides development space allowing intelligent
manufacturing capabilities and high-end products to
deeply serve the construction of global AI
infrastructure.Looking towards the "15th Five-Year Plan" the
company will firmly adhere to the dual-innovation
model to drive strategic leaps reshape the industrial
landscape with intelligent manufacturing and define
the future of growth with AI + energy and power
contributing Jinpan's strength to building a new energy
system and promoting the comprehensive green
transformation of the economy and society.
24Stock code Foreword Feature Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and 688676 Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
Impact Risks and Opportunities
The rise of AI brings significant strategic opportunities to Jinpan Smart Technology. On the one hand it directly drives an explosive demand for high-reliability power supplies in AIDC. On the other hand it empowers us to
fully transform towards smart manufacturing by integrating AI technology with our digitalized manufacturing platform. At the same time we face multiple challenges: rapid technological iteration demands sustained high-
intensity investment in R&D to maintain our leadership position; issues related to data security and AI ethics impose higher governance requirements on us; and fierce global market competition tests our responsiveness
and collaborative capabilities.While opportunities abound challenges accompany transformation. During this transition we face multiple tests: first is the risk of technological iteration —AI evolves rapidly requiring sustained high-intensity R&D
investment to maintain technological leadership and cutting-edge competitiveness; second is the risk of data security and AI ethics where end-to-end intelligence demands higher standards for data governance and the
fairness transparency and controllability of algorithms. The actual size of the AI market may fall short of expectations or a macroeconomic downturn may lead to a slowdown in AIDC demand growth. Additionally
intense global market competition and the cultivation of scarce talent continue to challenge our adaptability and cross-functional collaboration capabilities.Facing the dual landscape of opportunities and challenges Jinpan Smart Technology is proactively responding with forward-looking strategies. We are continuously increasing R&D investment enhancing data security
management systems and offering competitive compensation and benefits to attract and retain scarce AI talent. Meanwhile we are collaborating with leading global partners to accelerate the implementation of AI-
powered smart factories—transforming challenges into opportunities to strengthen our capabilities to co-create a grand vision for the AI-driven future with customers worldwide.Digitalization Toward Smart Intelligent Agent Data
Manufacturing Upgrades Video Behavior Bidding and Intelligent Analysis POC Contract Digital Tendering Agent
Intelligent Agent Employee Intelligent Agent
Jinpan Smart Technology has established seven digital factories
in China and achieving full-chain coverage across digital R&D
management marketing services and production. Building on
this foundation the Company is actively advancing toward Platform
comprehensive intelligent transformation by collaborating with AI Platform Layer Knowledge Base Platform
global leading partners to build an intelligent data foundation
Building on this foundation Jinpan Technology leverages
NVIDIA technology and collaborates with leading global
partners to build an intelligent data foundation. They deploy
"intelligent agents" and collaboratively construct a continuously
value-creating AI smart factory. Hardware
Server Room Layer Computing Power
(VDC) (Self-built VDC)
25
Jinpan Smart Technology's "Hardware Layer-Platform Layer-Intelligent Agent" Intelligent ArchitectureStock code Foreword Feature Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and 688676 Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
Indicators and Targets
Jinpan Smart Technology AI Factory Blueprint
By leveraging cutting-edge technologies from AI and collaborating with outstanding global partners Jinpan Smart Technology is strengthening its foundational computing power infrastructure to deliver stable and efficient
computational support for diverse AI applications. Meanwhile the Company is accelerating the development of the AI Factory platform driving the research innovation and deployment of key intelligent applications. In
the future Jinpan Smart Technology commits to evolve into a collaborative model of "human employees + silicon-based employees + embodied intelligent equipment." Through the comprehensive implementation of "AI
Empowering Power" the Company is advancing human-machine collaboration and process intelligence committing to continuously enhancing per-capita output and further consolidating and extending its advantaged
position in the intelligent manufacturing sector.Silicon-based Data-driven Intelligent decision-making Continuous evolution
workforce platform
Agentic AI Physical AI AI for Science
AI application layer Supply Robot Industry Digital R&D Production Sales Service quality Predictive Twin Autonomous Material Workmanship Product Full-spectrum Fault chain control inspection maintenance simulation navigation R&D optimization design optimization prediction
Agent Platform Process orchestration Testing and publishing Template Management Intelligent optimization Importing open-source Custom component
（AutoAgent） Agent Management Prompt Component
components
Application orchestration Contextual memory management Prompt word variable Intelligent splitting tool Multi-protocol publishing Code executor
Data engineering
(Ontological Data Intelligence Structured data Unstructured data Perceived data Enterprise Departmental Personal Hyper-converged Multimodal data Organization and
Platform) Knowledge Base knowledge base knowledge base database integration schedulingAI data engine /
LLMs Large Language Model (LLM) Visual model World model Speech/Translation Model Embedding model Jinpan World ModelAI intelligent（Nvidia NIM） DeepSeek-V3.1 Qwen2.5-VL-72B- Cosmos models whisper-large-v3 Bge-large-zh-v1.5agent platform Qwen1.5-72B-Instruct Instruct Seed-X-RM-7B Bge-reranker-v2-m3 JST cosmos
NVIDIA AI Enterprise(AIE) NVIDIA Omniverse Enterprise(OVE) NVIDIA Isaac + Physical AI
Enterprise-level AI development and deployment platform * cloud-native * production-ready Industrial-grade digital twin platform * Physically accurate simulation * Real-time collaboration Robot development platform * Simulation training * Sim-to-Real
NIM microservices NeMoframework Cu Opt USD Pipeline RTX Rendering PhysX Physics Isaac Sim Isaac Ros Cosmos
AI Factory COMPUTE + NETWORK NVIDIA Reference Architecture
Platform
Private computing power Cloud computing power Edge computing power
26Stock code Foreword Feature Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and 688676 Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
Feature III
Embracing Global Vision
Shaping the Era
Jinpan Smart Technology in its mission to drive the global energy system toward green and low-carbon transformation consistently aligns its development with national strategic
directions leveraging a forward-looking perspective to anticipate industry trends. The company deepens its global operations to promote broader international recognition of China’s
smart manufacturing brand value.We remain committed to addressing energy transformation through technological innovation and responding to market dynamics with proactive strategic planning. By offering
customized high-value products and services to global customers we achieve synergistic growth between domestic and international markets continuously expanding the
Company’s global market coverage and business depth.
27Stock code Foreword Feature Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and 688676 Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
Global Market
Building on steady growth in the domestic market and accumulated
brand influence from years of overseas strategic expansion Jinpan
Smart Technology is accelerating the pace and depth of its global
operations advancing internationalization to a new stage. To date the
Company’s products and system solutions have been deployed in over 87
countries and regions across six continents. Core products have obtained
332 authoritative international and domestic certifications including UL
(USA) CE (EU) BV (France) and CSA (Canada). Our products are now
widely applied in future-shaping sectors such as renewable energy and
artificial intelligence data centers.Looking ahead we will further deepen our global market presence and
expansion by enhancing multi-channel international engagement
exploring emerging markets and industries strengthening customer
relationships iterating innovative products and building strategic
partnerships—continuously amplifying our brand’s global voice. We
remain committed to advancing with determination focusing on our core
business and leveraging continuous technological breakthroughs as the
primary engine of growth. We are actively exploring the research
development and application of new products processes and materials
striving to build an internally cohesive and externally open collaborative
industrial ecosystem. By delivering enduring value to our customers we
aim to fuel the long-term vitality and sustainable development of the
Company
28Stock code
688676 Foreword Feature
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Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
Global Talent
We are committed to cultivating localized talent
pipelines and actively recruiting professionals
from around the world driving the
implementation and growth of regional projects.Our internationalized professional teams have
laid a solid foundation for Company’s deep
expansion into overseas markets. We will
continue to enhance the global recognition of
the "Jinpan Smart Technology" brand
collaborating to build a globally influential brand
image.JST Power Equipment in Florida has been
honored with the "Top Work Places 2025" award
by Orlando Sentinel Media Group for the third
consecutive yearHonored with the “2025 TopWork Places" award for the third
consecutive year
29Stock code Foreword Feature Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and 688676 Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
Market Expansion
Consolidated and Enhanced Market Position
The Group achieved total sales orders of RMB 8.827 billion (excluding tax) for the full year of which export orders amounted to RMB 3.155 billion accounting for 35.74% of the Group's total orders with products covering
87 countries globally. In the wind energy sector the Company deepened strategic cooperation with global mainstream wind turbine manufacturers achieving a year-on-year revenue growth of over 39.63%; in the data
center sector by seizing the opportunities in AIDC construction sales revenue surged by over 196.78% year-on-year successfully serving great domestic and overseas customers and entering the supply chains of large-
scale data centers. Liquid-immersed transformers achieved a milestone breakthrough completing the overseas delivery of 345kV extra-high voltage large power transformers and the independently manufactured large-
capacity 80MVA/110kV transformer was successfully put into operation demonstrating the strength of high-end equipment.Case 60MW Solar Grid-Connected Project in Case Design OD3Mag Outdoor Circuit Breaker to Provide a Powerful Upgrade Solution for Salem Electric's Southern Germany Utility Substation
Jinpan Smart Technology supplied power transformers for a Salem Electric required a durable and high-performance circuit breaker for its utility substation upgrade. Jinpan Smart Technology
newly constructed high-voltage substation in Eppingen delivered the OD3Mag outdoor circuit breaker—features a rugged enclosure reduced external fasteners and a dynamic sealing
Germany for MaxSolar's 56MW photovoltaic power station system for the top cover bushing to minimize moisture ingress. Its physical dimensions and footprint match existing breakers
in Gemmingen. enabling seamless integration. As an early adopter of the magnetically driven operating mechanism OD3Mag not only met all
technical requirements but also satisfied the project schedule ultimately successfully providing continuous power supply for the
Salem Electric Company’s utility substation.
60MW Solar Grid-Connected Project in Southern Germany
30Stock code Foreword Feature Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and 688676 Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
nvironmental
Leading a Low-Carbon
Journey Co-Building a
Green Frontier
31Stock code Foreword Feature Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and 688676 Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
Amid escalating climate challenges green transformation has become a global
imperative. Jinpan Smart Technology guided by cutting-edge innovation and a Our performance
steadfast commitment to responsibility is resolutely advancing along the path of
sustainable development in alignment with China’s dual-carbon strategy goals.Total GHG emissions (Scope 1 and Scope 2)
We believe that true industrial progress begins with a commitment to environmental
stewardship and is realized through green innovation driven by digitalization and 1860.56
intelligence. Jinpan Smart Technology is not only committed to establishing a low- tons of carbon dioxide equivalent
carbon operational paradigm within its own enterprise but also dedicated to
empowering the industrial ecosystem—collaborating with partners to advance the
clean efficient and intelligent evolution of the energy system. Scope 1 greenhouse gas emissions
Amid the urgent imperative to achieve a zero-carbon future sustained action and 1369.82
open collaboration are indispensable. Jinpan Smart Technology stands ready to tons of carbon dioxide equivalent
partner with all stakeholders in exploring a harmonious coexistence between
industrial advancement and natural ecosystems—leveraging deep technological
expertise and systemic responsibility to contribute industrial strength toward a Scope 2 greenhouse gas emissions
more resilient and sustainable future. 490.74
tons of carbon dioxide equivalent
Our Actions
GHG emission reduction ratio compared to
the previous year
Jinpan Smart Technology continuously strengthens its environmental governance framework 60.8%
embedding green and low-carbon principles across strategy operations and value chains. We
systematically identify assess and manage climate-related risks and opportunities advancing (Greenhouse gas emission data only includes Scope 1 and Scope 2 emissions)
measurable emission reduction targets. Multiple zero-carbon factories have been established. Beyond
deepening our own operational decarbonization we actively empower clients and the broader industry Total energy consumption
through green products integrated energy systems and responsible supply chains. From grid
modernization and hydropower development to park micro-grids; from eco-friendly packaging and 6125.39
solvent recovery to process innovation—we embody lifecycle environmental management through tons of standard coal
tangible initiatives that promote resource efficiency circularity and biodiversity conservation.
32Stock code Foreword Feature Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and 688676 Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
Building a sustainable enterprise on a carbon-neutral foundation
Jinpan Smart Technology recognizes that climate change constitutes not only a global challenge but also a defining factor in the Company’s long-term strategy and industry transformation. Aligned with China’s dual-
carbon strategy goals we are continuously exploring diversified low-carbon technologies embedding sustainability across the entire product lifecycle and producing green products with green energy to co-build a resilient
circular and sustainable ecological ecosystem.Today we have ushered in a new chapter of our zero-carbon journey: while advancing our own decarbonization we are now leveraging digitalization and intelligence to facilitate collaborative emission reduction across
upstream and downstream industries in industrial towns thereby contributing systematic value to society's overall zero-carbon transformation. Guided by the targets of carbon peaking by 2025 and carbon neutrality by
2050 we have established a comprehensive green evaluation framework set science-based targets validated by the SBTi and begun disclosing climate-related financial information in accordance with TCFD
recommendations. Through R&D and deployment of clean energy products and integrated solutions we are expanding the application of cleaner energy across key sectors.Jinpan Smart Technology has developed an integrated energy
management system photovoltaic monitoring and operation &
maintenance platform and renewable energy centralized control "Zero" Carbon Revelation: Digital Leadership Carbon Exploration for an Infinite Future
system collectively enhancing environmental risk governance and
energy use efficiency. We drive emission reductions through
purchasing green electricity and green certificates offsetting. Four
zero-carbon factories—in Haikou Guilin Wuhan and Shanghai—are
now fully operational laying a solid foundation for our zero-carbon
ambitions.In green product design and R&D we implement full lifecycle
management and advance circular economy principles. Internally
we empower employees to track and reduce personal carbon
footprints via a carbon calculator promoting low-carbon behaviors
such as green commuting waste sorting and paperless office
practices.This year Jinpan Smart Technology continues to advance on its
zero-carbon journey demonstrating sustained commitment across
production operations and innovation. We are actively engaging
ecosystem partners to drive collective decarbonization across the
industrial value chain building a more resilient and sustainable
business ecosystem.
33Stock code Foreword Feature Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and 688676 Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
Climate-related governance
Jinpan Smart Technology has deeply integrated climate governance into its corporate sustainability governance framework clearly defining the lead departments and collaborative mechanisms for climate-related
initiatives. Through a systematic organizational safeguard we ensure the effective implementation of our climate strategy and the proactive management of associated risks and opportunities. We focus on the full
product lifecycle to conduct carbon footprint accounting and management committed to continuously improving carbon performance across the entire value chain and reducing the climate impact of both operations and
products.The Company has established a three-tier governance structure: Board of Directors→ESG Committee→ESG Working Group. Each level is assigned clear responsibilities and divisions of labor in climate and sustainability
affairs.* The Board of Directors integrates climate-related risks into the formulation of major strategic plans risk
assessment systems and performance evaluation frameworks ensuring that climate strategy and risk
Board
of Directors management are fully embedded in the Company’s business development.* The ESG Committee as a specialized committee under the Board is responsible for regularly reviewing and
ESG Committee evaluating the implementation of climate-related strategies and targets making timely adjustments and
providing oversight and guidance on potential climate-related risks and opportunities facing the Company.* The ESG Working Group as the executive layer drives the implementation of specific initiatives conducts
ESG Working Group periodic assessments of climate-related risks and opportunities tracks progress on climate-related activities
and ensures the effective delivery of climate-related objectives across all business units.Jinpan Smart Technology has established a normalized climate and sustainability information reporting mechanism. The ESG Working Group regularly aggregates key information—including progress on climate actions
identified risks and target achievement rates—prepares special reports and submits them to the ESG Committee for review and deliberation. The Working Group also provides periodic updates to the Board of Directors on
climate-related targets action plans and implementation progress.We also intend to integrate risk management into the performance evaluation framework thereby enhancing the risk awareness and risk management competencies of all employees.
34Stock code Foreword Feature Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and 688676 Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
Climate change response strategy
1.5℃
Jinpan Smart Technology closely monitors national "dual-carbon" policies Stringent Energy-saving/low-carbon regulations → Scenario
and climate change developments as well as extreme weather events.The Company conducts in-depth assessments of the potential impacts of Fossil Fuel-Dependent Society Zero-carbon Society
climate change on its business operations. In alignment with its business
development plans and referencing international mainstream climate ? Strict carbon emission management ? Strict carbon emission management
scenario frameworks the Company systematically identifies climate- ? Rising carbon prices ? Rising carbon prices/carbon tariffs
related risks and transition opportunities relevant to its operations. Based ? Increase in fossil fuel prices transitioning towards the use ? Widespread use of cleaner energy
on this analysis the Company formulates targeted mitigation and of cleaner energy ? Common use of low-carbon products
adaptation strategies to enhance business resilience and sustainable
Risks Strict requirements for carbon emission Risks Delay in adopting low-carbon technologiescompetitiveness. management and rising fossil fuel prices lead and failure to meet carbon emission
to increased product prices and reduced management standards leads to lost sales
sales opportunities. opportunities while also increasing R&D
Climate scenario analysis costs.Opportunities Reduced costs resulting from the early
To assess risks and opportunities under different transition pathways we introduction of cleaner energy and leading Opportunities Growing demand for new energy storage
the market through innovation in low-carbon increased sales of products with low carbonreference publicly available scenarios set by the International Energy technologies. emissions throughout their lifecycle.Agency (IEA) and the Intergovernmental Panel on Climate Change (IPCC)
including STEPS (Stated Policies Scenario) APS (Announced Pledges
Scenario) SSP (Shared Socioeconomic Pathways) and RCP
(Representative Concentration Pathways). We have developed Society Prone to Natural Disasters Low-Carbon Consumption Society
contrasting future scenario models based on these frameworks serving ? More frequent warm weather globally ? Delayed or disjointed implementation of energy-
as the foundation for risk identification. ? Frequent natural disasters such as typhoons floods saving/low-carbon regulations
earthquakes ? Depletion of fossil fuel resources leading to widespread
? Rising sea levels use of expensive cleaner energy
? Widespread use of high-priced low-carbon products
Risks High temperatures leading to reduced
product performance and shortened lifespan Risks Losing opportunities due to late adoption of
1.5℃ Scenario 4℃ Scenario necessitating higher R&D costs; frequent clean energy coupled with the need tonatural disasters may cause logistics increase investments in low-carbon
This scenario anticipates In this scenario energy-saving disruptions. technology research and development.stricter energy-saving and low- and low-carbon regulations are Opportunities Increased demand for energy-related Opportunities Significant increase in demand for new
carbon regulations widespread fragmented fossil fuel prices products for large-scale power generation energy storage along with increased sales of
use of clean energy and rise and natural disasters sales increase for highly durable products that have low power distributiontransformers with low power distribution
customer preference for low- become more frequent. losses and low in carbon emissions.losses and energy storage devices.carbon products. 4℃
Scenario
35
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Preference for Low-carbon productStock code Foreword Feature Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and 688676 Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
Identifying and assessing Risk Opportunity
climate risks and opportunities Physical risks and opportunity
Frequent typhoons Investments in flood prevention and control infrastructure lead to
Acute rainstorms etc. Short-term increased capital expenditures while damage to facilities results Short-term
Growing market demand for resilient infrastructure
and products
Through a comprehensive assessment of climate- risks in additional costs.Frequent earthquakes Short-term Disruptions to supply chains can lead to reduced sales and lower Increased market demand for disaster related risks we have identified both the risks and and droughts revenue. Short-term preparedness equipment facilities and products
opportunities associated with climate change. By Some of our operations are located in coastal provinces of China Medium to
strengthening our climate resilience we endeavor Rising sea levels long-term where rising sea levels may cause facility damage or necessitate relocation thereby raising corporate infrastructure costs.to capitalize on the developmental prospects arising
Short-term Poor employee health conditions can reduce labor productivity Medium to
from the global energy transition and low-carbon Chronic risks and output thereby impacting revenue. Growing market demand for resilient infrastructure long-term
transformation. We use the recommendations of Increased hot Medium to Shortened product lifespan declining quality and increased
and products
weather long-term maintenance costs
the Task Force on Climate-related Financial Medium to Electricity consumption restrictions can lead to production halts
Disclosures (TCFD) as our primary framework to long-term reduced output and revenue loss.systematically identify assess prioritize and Transitional risks and opportunity
respond to physical and transition risks. At the Long-term Gaining business opportunities through early adoption of clean energy differentiation
same time we identify opportunities arising from Long-term Increased costs for energy procurement leading to increased Increase in carbon production and transportation costs Intelligent energy management approaches enable
climate change to manage its financial impacts and Long-termtaxes "peak-load shifting" improving energy efficiency
capture development opportunities in the low- and reducing energy costs.Policies and Medium- Increased export costs for products leading to higher prices and Stabilizing costs through early adoption of clean
carbon transition. legislation term lower sales volumes
Medium-term energy
Medium- Strict carbon emission management increases carbon Medium to
We have defined short-term medium-term and Increasingly stringent term management costs long-term Increase in sales of energy storage business
long-term time frames for addressing climate- energy-saving/ low- Short-term Strict requirements for the carbon footprint of the entire product Short to Increased sales opportunities by producing medium-term
related risks and opportunities. Short-term refers to carbon regulations lifecycle increasing calculation costs compliant energy-saving/low-carbon productsShort-term Increased introduction costs for clean energy certificates
the next 1-2 years medium-term refers to 3-5 years
Rapid development of Medium- Increased investment in the development of low-carbon Medium-term Business opportunities for prioritizing highly and long-term refers to five years and beyond. termlow carbon technologies sustainable products
Specific climate risks and opportunities are as Technologies technologies Medium- Missing opportunities due to delayed R&D in decarbonization Medium-term Growing market demand for technologies that term
follows: and technologies enable decarbonization
innovation Low-carbon products Short-term Increased investment in clean energy facilities Short to Increased demand for clean energy and energy-medium-term
replacing traditional saving products
products Medium to Loss of market opportunities as traditional products are replaced long-term by low-carbon alternatives
Medium to Failure to achieve 100% use of clean energy in the production Medium to Enhancing brand influence through sustainable
Changes in customer long-term process resulting in lost sales opportunities long-term value chain realization
behavior patterns Medium to Loss of market opportunities due to inability to keep pace with Medium to Customers achieve sustainability in their own value
long-term
Markets customer procurement preferences for low-carbon products
long-term chains by purchasing sustainable products
Short-term
Transition to a circular Customers not favoring products from resource recycling
Short-term Transition from traditional to circular economy
business models
economy Medium to Increased costs due to resource recycling and circular Medium to Growing market demand for businesses related to
long-term technologies long-term low-carbon products and energy management
Rising public
Reputation environmental Medium to Damage to reputation due to insufficient efforts in emission Medium to Sustainable enterprises and sustainable products long-term
awareness reduction
long-term can attract more customers
36Stock code Foreword Feature Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and 688676 Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
Risk and opportunity management
Jinpan Smart Technology has established a systematic and comprehensive mechanism for managing climate-related impacts risks and opportunities fully
integrating it into the Company’s overall sustainability and risk management framework. In alignment with international standards such as the Basic Norms
for Internal Control of Enterprises ISO 31000:2018 Risk Management Guidelines and the COSO Enterprise Risk Management Framework the Company has
formulated its Risk Management System and follows a closed-loop management process of “Identify–Analyze–Respond–Monitor” to continuously enhance its
resilience and strategic adaptability to climate-related challenges. All assessments of climate-related risk significance and related decision-making are guided
and overseen by the ESG Committee.The Company continuously monitors global national and industry-level trends promptly identifying regulatory developments and potential risks and JST
opportunities relevant to its business. Climate risk factors are embedded into daily operations and progress is regularly reported to the Board of Directors.Climate-related risk and opportunity management process
We implement a systematic cyclical management process to identify assess and monitor climate-related impacts risks and opportunities in a structured and ongoing manner:
Identification Assessment Response Monitoring
Through policy scanning Using diverse methodologies— Based on evaluation results of Business departments responsible
scenario analysis stakeholder including surveys focus group risks and opportunities we select for climate risks update risk
engagement and industry discussions expert appropriate response strategies information and control statuses
benchmarking we compiled a consultations and scenario including risk avoidance risk quarterly on the Company’s risk
comprehensive list of climate- analysis—we prioritize climate acceptance risk reduction and management platform. The Audit
related risks and opportunities. risks and evaluate the risk sharing while also Department conducts regular or ad
potential value and feasibility establishing opportunity hoc supervision and evaluations of
of opportunities. conversion projects. risk management activities across
departments.
37Stock code Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and
688676 Foreword Feature Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
To strengthen climate resilience we are progressively upgrading
Climate adaptation assessment processes and equipment optimizing resource allocation and enhancing
our capacity to respond to climate change through initiatives such as
In the climate adaptation assessment process we focus on the following categories of uncertainty factors: zero-carbon factory development and product carbon footprint
accounting. We also mitigate potential financial impacts from physical
risks—such as typhoons and floods—through targeted insurance
coverage. Concurrently we continue to expand the procurement and use
of green electricity.This year the Company actively implemented climate adaptation
measures effectively safeguarding operations against the direct impacts
Policy and regulatory Market and supply chain of extreme weather events. Taking the Haikou base as an example in
evolution dynamics response to severe typhoons "Matmo" and "Fengshen" the site
Technology development Physical climate proactively activated typhoon and flood prevention protocols ensuring
pathways events the safe and stable operation of production systems without major
disruptions or asset losses due to climate-related incidents. During
periods of summer heat the Company simultaneously executed heat
stress prevention programs providing frontline employees with essential
protective supplies and health support to ensure workforce safety and
operational continuity. From a financial perspective this year’s dedicated
The pace and intensity of Trends in customer investments in carbon compliance management—specifically in
adjustments to domestic and greenhouse gas verification and product carbon footprint certification—The speed of demand for low-carbon The frequency and
international carbon pricing breakthroughs and products availability of
amounted to approx. RMB 7.6 million. These efforts support the
intensity of extreme
mechanisms energy efficiency Company’s steady progress toward its climate governance objectivesindustrialization in cleaner green raw materials and weather events as well as
standards green finance and low-carbon transition pathway.energy technologies low- the impact of trade long-term temperature
policies and other regulatory carbon materials etc. mechanisms such as rise and its impact on
frameworks. carbon tariffs. operational facilities and
regional water resources.
38Stock code
688676 Foreword Feature
Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and
Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
Indicators and targets
Targets (based on the 2022 baseline year)
In response to identified physical and transition risks associated with climate change
Jinpan Smart Technology has prioritized greenhouse gas (GHG) emissions Short-term targets (by 2030)
management as a core sustainability issue establishing clear quantifiable tracking
metrics and science-based reduction targets. The Company is committed to playing a Reduce Scope 1 and Scope 2 greenhouse gas Reduce Scope 3 greenhouse gas
greater role in global climate action by aligning its decarbonization strategy with emissions by at least emissions by at least
international best practices. To support China’s national “dual-carbon” strategy Jinpan
Smart Technology formally submitted its application to the Science Based Targets 50% 25%
initiative (SBTi) in 2023 ensuring that its emission reduction goals are consistent with
the globally recognized 1.5°C climate pathway.The Company’s science-based carbon targets are currently under review by the SBTi. Net zero target (by 2050)
We reaffirm our commitment to systematically advance emission reduction initiatives
continuously allocate resources and achieve all stage-wise carbon targets as planned. Reduce Scope 1 Scope 2 and Scope 3
Through these efforts Jinpan Smart Technology aims to contribute meaningfully to greenhouse gas emissions by at least
the low-carbon transformation of its industry chain and broader society. 90%
Greenhouse gas emission data
Total greenhouse gas emissions Greenhouse gas emission intensity
(Scope 1 & Scope 2)1 (Scope 1 & Scope 2)
Unit: Tons of carbon dioxide equivalent Unit: Tons of carbon dioxide equivalent
/RMB 10000 of revenue
Jinpan Smart Technology has established a systematic greenhouse gas (GHG) emissions management system. We continuously
monitor and account for direct emissions (Scope 1) and indirect emissions from purchased energy (Scope 2) within our operational 2023 8773.00 2023 0.01
boundaries and plan to progressively include upstream and downstream value chain emissions (Scope 3) in our calculation scope. 2024 4749.29 2024 0.007
This enables comprehensive accounting and tracking of carbon emissions across the entire value chain. By integrating GHG 2025 1860.56 2025 0.0026
emissions data into daily management processes we can dynamically quantify emission performance conduct in-depth
assessments of energy efficiency and promptly identify and respond to potential challenges in carbon management—ensuring the
effective achievement of our emission reduction targets. Scope 1 greenhouse gas emissions Scope 2 greenhouse gas emissionsUnit: Tons of carbon dioxide equivalent Unit: Tons of carbon dioxide equivalent
Compared with 2022 the greenhouse gas emissions of Jinpan Smart Technology in 2025 decreased by about 88.4% (Scope 1 and
Scope 2 only) achieving the near-term emission target earlier than expected. 2023
1958.0020236815.00
20241679.7620243069.53
1 1369.82 490.74Scope 1 greenhouse gas emissions refer to carbon emissions generated from the combustion of direct energy sources such as natural gas gasoline and diesel 2025 2025
as well as carbon emissions from renewable energy power generation. Scope 2 greenhouse gas emissions refer to carbon emissions generated from indirect
energy sources such as purchased grid electricity and purchased green electricity. The standards for accounting greenhouse gas emissions are based on
Greenhouse Gases - Part 1: ISO 14064-1:2018 Specification with Guidance at the Organization Level for Quantification and Reporting of Greenhouse Gas 39
Emissions and Removals.Stock code Foreword Feature Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and 688676 Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
Zero-carbon factory development and implementation
Jinpan Smart Technology has independently built and is now operating four zero-carbon factories (located in Haikou Guilin Wuhan and
Shanghai) and five green factories (spanning the above four cities and Yangzhou) forming a leading cluster of green manufacturing
facilities.Climate action response Our zero-carbon factories integrate carbon neutrality principles throughout planning and operations. Leveraging an intelligent zero-
carbon management system we enable precise carbon accounting and goal planning. Through IoT technology carbon footprints are
monitored in real time and digital tools are used to integrate energy-saving emission-reduction and carbon sequestration measures.Jinpan Smart Technology has embedded climate change We are committed to achieving carbon balance within our industrial parks—where emissions are offset by absorption—driving low-
response into its core business strategy and operational carbon industrial development green energy adoption and resource circularity.practices driven by a dual-pillar approach of "Operational
Carbon Neutrality" and "Value Chain Empowerment." The
Company is not only committed to deep decarbonization of
its own production systems but also aims to drive green Zero-
Zero-
? Virtual power plant system ? Edge terminal gateway carbon
transformation across the entire industrial chain through carbon park energy ? Integrated energy ? Edge data gateway park energy
innovative technologies and sustainable solutions. By steadily control hub management system control
advancing its science-based carbon targets the Company is units? Park-wide water and gas
positioning itself as a leader in sustainable development monitoring system
within the new energy manufacturing sector.This year the Company continued to increase the proportion
of cleaner energy usage and optimize its energy mix
accelerating the transition toward a green and sustainable
operating model. Through internal meetings training sessions
and other communication channels we share specific GHG ? Energy system park power ? Multi-energy scheduling and
reduction data and action plans—both from our own distribution system multi-energy coordination algorithm
operations and customer applications—ensuring transparency ? Energy storage system &
and fostering Company-wide engagement. Photovoltaic system ? Optimized energy-saving
Zero- ? Park-wide air conditioning control algorithm for air Zero-
carbon system conditioning carbon
park energy ? Charging pile system and ? AI algorithm
park energy
control hub control other equipment ? Factory load prediction algorithms
algorithm
? Photovoltaic power
prediction algorithm
40Stock code
688676 Foreword Feature
Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and
Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
Since 2023 Jinpan Smart Technology has actively advanced zero-carbon factory construction to fulfill its Enhanced zero-carbon factory operations
Science Based Targets initiative (SBTi) commitments. By the end of 2025 significant carbon reduction Case
achievements have been realized across various facilities using 2022 as the baseline year:
To improve renewable energy utilization and electricity cost efficiency Wuhan Factory
completed the optimization of its Phase II photovoltaic and energy storage system
Yangzhou Factory: Annual
Haikou Factory: Shanghai Factory: operations by the end of May 2025. Key initiatives included connecting the residentialcarbon reduction of
Annual carbon Annual carbon area's electrical load to the Phase II photovoltaic power supply bus and optimizing the
reduction of Guilin Factory: 86.64% reduction of energy storage discharge schedule. Following implementation the Phase II photovoltaic
Annual carbon system generated an additional 1.65 million kWh of cleaner electricity annually while the
97.63% reduction of 97.81% synchronous grid-connected electricity of Phase I photovoltaic system also increased. The
83.41% energy storage system released electricity during peak and high-demand periods furtherreducing the proportion of expensive grid electricity procurement. The upgrade delivered
Wuhan Factory: significant results: the proportion of electricity consumption during peak and high-demand
Annual carbon periods decreased from 46.26% in April to 27.99% in July effectively optimizing the energy
reduction of structure and achieving substantial cost savings.
96.58% Annual additional green Proportion of electricity consumption
electricity generation from during peak and high-demand
Phase II photovoltaic system: Zperiods (April to July) dropped to:1.65 million kWh 27.99%
41Stock code Foreword Feature Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and 688676 Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
2025
Case Smart energy storage peak shaving for low-carbon grid operations
To enhance regional grid efficiency and cleaner energy integration
Jinpan Smart Technology's Guilin Energy Storage Station employs an
intelligent operation model of "valley charging peak discharging"
transferring cleaner electricity generated during nighttime periods to
daytime peak demand hours. In 2025 the station cumulatively supplied Greenhouse gas emission
2337800 kWh of power to the grid during peak periods effectively reduction investment:
displacing high-carbon footprint conventional power sources.Through calculation this project achieved approximately 1350.54 tons RMB 7.6361
of carbon dioxide emission reductions equivalent to the carbon million
sequestration formed by planting approximately 90000 trees. This
initiative not only demonstrates the critical role of energy storage in
power system peak regulation and carbon emission reduction but also
provides a replicable operational model for building a flexible low-
carbon new power system.Direct greenhouse gas
emission reductions from
fuel switching:
Cumulative peak-period power supply
2.3378 1.60million kWh tons of carbon dioxide Direct greenhouse gas
equivalent emission reductions from
equipment retrofitting:
Reduction in carbon dioxide emissions: 236.20
1350.54 tons tons of carbon dioxide
equivalent
42Stock code Foreword Feature Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and 688676 Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
Value chain empowerment
Product carbon footprint Jinpan Smart Technology fully leverages its professional expertise in green power equipment and digital solutions to actively collaborate with industry
management partners in building a low-carbon ecosystem. We not only continue investing in R&D for new energy technologies such as photovoltaics and energy
storage providing comprehensive cleaner energy services covering the "generation-storage-distribution-consumption" stages but also strive to
A robust carbon emission data management promote mature solutions in scenario-based applications.system forms the foundation for precise Supporting the global low-carbon transition of hydropower with high-end equipment to empower clean
emission reduction initiatives. We Case energy base development
continuously advance carbon inventories
covering both our own operations and value Jinpan Smart Technology has deepened its expertise in power equipment empowering the sustainable development of the hydropower industry.chain activities while actively pursuing Currently the Company's transformer products have been successfully applied to over 400 major hydropower projects worldwide including
product carbon footprint certifications to Baihetan Yalong River Lianghekou Hydropower Station and Brazil's Itaipu Dam. The Company has cumulatively signed more than 570 contracts
identify high-emission stages and drive providing advanced technology to ensure the safe and stable operation of power stations. The Company's dry-type transformers have been
progressive reduction of carbon intensity applied to over 230 domestic wind farms and have directly or indirectly exported over 18000 units to overseas wind farm projects. Through
across the entire industry ecosystem. By the continuous technological breakthroughs Jinpan Smart Technology's products not only meet stringent energy efficiency standards but also adapt
end of 2025 the Company has secured to diverse environmental conditions offering critical equipment support for cleaner energy base construction both domestically and
authoritative carbon footprint certifications internationally. Z
for 16 core products. Global major hydropower Cumulative Dry-type transformers applied Dry-type transformers directly or
project applications contract signings in domestic wind farms indirectly exported to offshore wind
farm projects abroad
400+ projects 570+ contracts 230+ Nos. 18000+ sets
Case Micro-grid Solutions continuously support the "dual carbon" goals
Under the guidance of the "Dual Carbon" goals Jinpan Smart Technology's "User-Side Dual Carbon
Digital Intelligent Micro-grid Energy Management System" project developed in collaboration with
customers has successfully achieved power delivery and grid connection. This demonstrates the
flexibility and efficiency of the solution across various applications. The system's advantages in
optimizing energy structures have played a positive role in the construction of zero-carbon parks and
factories. Key strengths include multi-energy complementarity and intelZligent scheduling energy data
visualization and secure energy management economic benefit enhancement with intelligent
predictive optimization scheduling and comprehensive digital energy management. The solution User-side dual-carbon digital intelligent
deeply integrates photovoltaic engineering energy storage systems and digital power equipment micro-grid energy management system
providing solid support for micro-grid operations.
43Stock code Foreword Feature Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and 688676 Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
Cultivating Robust Environmental Management
Jinpan Smart Technology is committed to supporting the construction of a beautiful China by integrating environmental protection into its corporate development and governance framework. We uphold our environmental
commitments and continuously enhance our environmental management system to ensure the effective implementation of environmental management responsibilities. We strictly comply with environmental protection
laws and regulations including 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 Atmospheric Pollution the Law of the People's
Republic of China on the Prevention and Control of Environmental Pollution by Solid Waste and the Law of the People's Republic of China on Prevention and Control of Water Pollution as well as applicable local regulations
in our operating regions. Based on our manufacturing operations characteristics we have systematically established and implemented control procedures for wastewater and solid waste management. Through source
management and process governance approaches we strictly control resource utilization and pollutant emissions throughout production and operational processes achieving green production and green operations. In
2025 Jinpan Smart Technology experienced no environmental violations and emissions from production and operations did not cause significant impacts on employees or local community residents.
We have referred to relevant national standards and in conjunction with our Company’s circumstances established environmental management objectives that cover all operational production bases of Jinpan Smart
Technology (with 2024 serving as the baseline year):
Indicators Unit Year 2025 Year 2024 2025 vs. 2024 Target National standards
COD Emission Concentration of The discharge concentration of COD of 500mg/L
Industrial Wastewater mg/L 80.00 60.67 31.86% industrial wastewater shall not exceed (Integrated Wastewater Discharge 150mg/L Standard-GB8978)
Volatile organic compounds (VOCs) Volatile organic compounds (VOCs) 120mg/m3
emission concentrations mg/m3 2.63 2.82 6.76% emission concentrations shall not exceed (Integrated Emission Standard of Air 10mg/m3 Pollutants (GB 16297)
Industrial wastewater discharge Tons/RMB Reduce industrial wastewater discharge
intensity 10000 0.03371 0.0372 9.29% intensity by 10% by 2030 compared to the 2024 baseline
Non-hazardous waste Tons/RMB Reduce non-hazardous waste emission
generation density 10000 0.00507 0.0051 1.41% density by 5% by 2030 compared to the 2024 baseline
44Stock code Foreword Feature Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and 688676 Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
Environmental management system
Jinpan Smart Technology has established a systematic institutional framework in accordance with the ISO 14001 Environmental Management System standard. The Company has
developed and implemented policy documents covering all environmental impact factors including the Water Pollution Prevention and Control Procedure the Air Pollution Prevention
and Control Procedure and the Noise and Vibration Pollution Prevention and Control Procedure providing robust institutional support for environmental management. During the
reporting period Jinpan Smart Technology have successfully obtained ISO 14001 Environmental Management System certification.We actively assess the operational impacts of environmental risks. In 2025 100% of our operating sites underwent specific environmental risk assessments ensuring comprehensive
identification and mitigation of potential ecological and regulatory risks across all facilities.To ensure the effective operation of our environmental management system and drive the Company’s transformation into a resource-efficient and environmentally friendly
enterprise we focus on the following three key areas:
Environment governance Environmental
structure performance structure
Jinpan Smart Technology has
The Company designates the General incorporated safety and Environmental
Manager as the primary responsible person environmental protection into the management review
for environmental protection. Each production annual core performance indicators
base is equipped with dedicated EHS for factory general managers Jinpan Smart Technology has
(Environment Health and Safety) personnel establishing a robust evaluation and established its Environmental Review
reinforcing on-the-ground implementation and accountability mechanism to ensure Plan in which includes system regular
compliance. The Company has implemented effective implementation of internal audits and management
systematic environmental performance environmental management goals. review management of all identified
management through the establishment of issues through a closed-loop corrective
environmental performance indicators and action process ensuring sustained
clear responsible departments. This structured reduction of environmental risks.approach ensures that environmental
objectives are aligned with business strategy.In addition the Company extends its environmental requirements into supply chain management by formulating green procurement policies and conducting environmental assessments of suppliers encouraging its
partners to jointly fulfill their environmental responsibilities and working together to build a sustainable green supply chain system.
45Stock code Foreword Feature Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and 688676 Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
Energy management
Jinpan Smart Technology strictly adheres to laws and regulations such as the Law on Energy Conservation of the People's Republic of China continuously improves its energy management system optimizes energy
structure and explores potential for energy efficiency enhancement to enhance energy utilization efficiency. As of the end of the reporting period subsidiaries including Hainan Jinpan Gulin Juntaifu Wuhan Jinpan
Intelligent Shanghai Jinpan and Yangzhou Jinpan have obtained ISO 50001 Energy Management System certification.Optimizing energy management
Jinpan Smart Technology has independently developed and continuously upgraded multiple energy management systems centered on digitalization establishing energy consumption data application and service systems.By leveraging intelligent monitoring and data analytics we have innovatively advanced integrated energy management in smart parks and pioneered a distributed asset management model for industrial zones—
significantly expanding system coverage and helping parks reduce their environmental footprint. Our Integrated Energy Management System (IEMS) integrates multiple advanced platforms including: Photovoltaic
Monitoring and O&M System New Energy Centralized Control System and Virtual Power Plant (VPP) System. Through intelligent monitoring and data analysis the system increases the proportion of clean and clean
energy usage reduces energy waste and lowers greenhouse gas emissions. By integrating energy storage facilities and distributed energy resources the IEMS enhances overall energy efficiency promotes the absorption
of cleaner energy and enables cascaded energy utilization—driving green low-carbon development across industrial parks.Virtual power plant system
Photovoltaic monitoring and operation & Renewable energy centralized control system We successfully developed the virtual power plant (VPP) aggregation
maintenance system platform system for park-scale applications. Built on a cloud-edge
The new energy centralized control system enables unified collaborative architecture the system integrates and coordinates
The photovoltaic (PV) monitoring and operation & maintenance centralized monitoring and management of geographically distributed energy resources (DERs) within industrial parks—such as
(O&M) system plays a critical role in improving power dispersed substations by integrating data acquisition control distributed photovoltaic (PV) systems and energy storage—enabling
generation efficiency reducing operational costs optimizing functions and electrical energy collection with aggregated unified aggregation and dynamic dispatch. Leveraging proprietary
energy utilization and advancing cleaner energy development. computation. Through the real-time flow of data— forecasting and optimization algorithms it achieves accurate prediction
By leveraging intelligent O&M technologies the system “connection movement storage processing and analysis”— of PV generation output and real-time optimization of energy storage
significantly enhances the efficiency and stability of PV power combined with big data analytics and artificial intelligence charging/discharging strategies ensuring instantaneous balance
plants minimizes downtime due to failures and lowers (AI) the system guides optimized power generation between power supply and demand within the park. The system
maintenance expenses. strategies reduces lost energy and significantly improves platform significantly enhances renewable energy utilization reduces
the operational efficiency of new energy power plants. reliance on the external grid and generates stable and substantial
economic returns through participation in grid ancillary services and
peak-valley price arbitrage. Core technologies have been validated and
are ready for large-scale demonstration. The system will be promoted
across high-energy-consumption scenarios such as industrial
development zones and commercial complexes supporting parks in
achieving intelligent low-carbon and highly efficient operations.
46Stock code Foreword Feature Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and 688676 Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
Adoption of cleaner energy 2025
The adoption of clean energy plays a crucial role in achieving carbon
neutrality targets adjusting energy structures and promoting social Jinpan Smart Technology has deployed a photovoltaic power
harmony and economic stability. This year Jinpan Smart Technology has generation project with total installed capacity of 23.75MW. Total energy consumption
actively deployed and utilized clean energy sources including solar power During the reporting period it has cumulatively generated
geothermal energy and green electricity to reduce reliance on fossil fuels. 20361800 kWh of clean electricity of which 15759600 kWh 6125.39
Jinpan Smart Technology continues to improve energy efficiency and was supplied to its own factory and 4602200 kWh was tons of standard coal equivalent
increase the proportion of clean energy usage. In 2025 the Company's delivered to the power grid.clean energy consumption increased by 45.35% compared to 2024 so that
clean energy utilization rate in 2025 reached 89.17%.Energy consumption intensity
Wuhan Jinpan Intelligent——Geothermal heat Cleaner energy generation
Case pump system implementation 0.0084 20361800 kWh
tons of standard coal equivalent
Wuhan Jinpan Intelligent has comprehensively deployed high- RMB 10000 of Revenue
efficiency geothermal heat pump air conditioning systems across
factory buildings and office complexes. The integrated system
combines first-grade energy efficiency geothermal heat pumps Total amount of solar energy used Proportion of solar energy utilization
chiller units and air-source heat pump units while implementing
heat recovery for domestic hot water supply. This comprehensive 4790.96 78.21%
approach delivers significantly superior overall energy efficiency tons of standard coal equivalent
compared to conventional air conditioning systems. In 2025 the
system is projected to consume 2.87 million kWh of electricity
representing a 310000 kWh reduction compared to traditional air Total amount of wind energy used
conditioning solutions and achieving an energy savings rate of Proportion of wind energy utilization
approximately 10% thereby effectively reducing the operational
carbon emissions and energy costs. 659.36 10.76%
tons of standard coal equivalent
Expected electricity use by the geothermal heat pump
air conditioning system 2.87 million kWh Carbon reduction from cleaner energy use Proportion of cleaner energy use
Saving of electricity use compared to the traditional air 11763.01 89.17%
tons of carbon dioxide equivalent
conditioning unit solution 310000 kWh
47Stock code Foreword Feature Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and 688676 Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
Water resource management 2025
Jinpan Smart Technology strictly adheres to applicable laws and regulations in its operational locations including the Water Law of the People's Water consumption:
Republic of China the Law on the Prevention and Control of Water Pollution of the People's Republic of China and the Action Plan for Improving
Industrial Water Efficiency. The Company integrates water conservation and efficient utilization into daily operations as a core sustainability 185413.89 tons
practice. The Company continuously promotes water conservation processes and strengthens employee awareness of water conservation. These
efforts collectively enhance the efficiency of water resource use across all operational sites.Water use intensity:
We have established clear water conservation targets and implemented a series of measures focused on "reduction reuse and efficiency
improvement." 0.25 ton/RMB 10000 of Revenue
Water reuse volume
Water conservation
Technologies and Equipment Water resource recycling
1431 tons
The Company has fully introduced Jinpan Smart Technology implements rainwater and wastewater separation in operations Total quantity of water recycled and reused
advanced water conservation and has established dedicated wastewater treatment systems in production facilities. At the
equipment and implemented Haikou Digital Factory the “Rixin Membrane Wastewater Treatment System” is adopted to 1431 tons
technical upgrades for high-water- effectively remove suspended solids organic matter and other pollutants through physical
consumption processes filtration. Treated production wastewater meets the Grade II standard of the Integrated Water conservation
significantly reducing freshwater Wastewater Discharge Standard (GB8978-1996) enabling an average daily reuse of
intake at the source. approximately 5 tons of reclaimed water—significantly enhancing water recycling rates. At 32400 tons
the Shaoyang factory cooling water operates on a closed-loop recirculation system with no
discharge to the external environment except for natural evaporation.Water use intensity decreased
The Company will continue to advance refined water resource management and explore more efficient and sustainable models of water utilization 14.88%
fulfilling its corporate responsibility in protecting water resources and the ecological environment. This year the Company encountered no
difficulties in securing water sources.Industrial wastewater discharge
24588 tons
Industrial wastewater discharge intensity
0.03 ton/RMB 10000 of Revenue
48Stock code Foreword Feature Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and 688676 Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
Waste gas management
Jinpan Smart Technology strictly adheres to the Integrated Emission Standard of Air Pollutants and all
applicable national and local environmental regulations implementing systematic and standardized
management of waste gas emission production operations.To continuously minimize environmental impact ensure compliance with emission standards and achieve
waste gas emission targets all production bases of the Company are equipped with comprehensive waste
gas collection systems and end-of-pipe treatment facilities as required by environmental impact assessments.These systems ensure that waste gases are effectively collected and treated through environmental
protection equipment before reaching standard emission levels. Simultaneously each factory actively
implements process optimization and equipment upgrades to reduce waste gas generation at the source.Adoption of grinding-free casting process — preventing dust generation at the
Case source and reducing material waste
To promote environmentally friendly manufacturing Jinpan Smart Technology has introduced a
"grinding-free process" in the coil casting procesZs. By placing a specialized composite film between
the coil surface and the mold joint resin flash is effectively isolated during casting. After curing the
film is simply peeled off eliminating the need for post-processing grinding.
2025
Nitrogen oxide (NOX) emissions Sulfur dioxide (SO2) emissions Volatile organic compounds (VOCs) emissions Particulate emissions
0.93 tons 0 tons 0.51 tons 4.47 tons
49Stock code Foreword Feature Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and 688676 Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
Packaging materials and waste
Under the guidance of circular economy principles Jinpan Smart Technology is committed to advancing the green transformation of packaging materials and implementing systematic waste governance. The Company
integrates ecological design waste minimization and harmlessness into every stage of production and operations actively building a resource recycling system that spans the entire product lifecycle. To reduce
environmental impact from the source the Company continuously promotes cleaner production and process improvements. This includes the widespread adoption of low-volatility raw materials optimization of coating
processes to minimize emissions and the introduction of solvent recovery equipment.Waste disposal Packaging greening and circularity
Jinpan Smart Technology complies with the Law of the People's Republic of China on the Prevention To achieve waste reduction target and build a green enterprise Jinpan Smart Technology has signed
and Control of Environmental Pollution and the Guidelines of the People's Republic of China on the the Commitment Letter for the Green Packaging Action Plan and the Joint Implementation
Establishment of Management Ledgers for Industrial Solid Wastes (Trial) in alignment with national Commitment for Green Packaging. The Company has established and refined a series of institutional
and local regulatory updates. Integrated with the ISO 14001 Environmental Management System the frameworks including the Product Packaging Procurement Policy Product Packaging Management
Company has established a comprehensive waste lifecycle management framework. Clear System and Packaging Recycling and Reuse Management Measures to standardize green packaging
responsibilities are defined across organizational levels driving systematic reduction resource procurement and promote closed-loop recycling operations.recovery and safe disposal of waste to minimize environmental impacts from production and
operations.Jinpan Smart Technology has formulated and implemented the Green
After systematic General Domestic Packaging Warehousing and Transportation (Implementation Plan)categorization and industrial solid waste All wastes are systematically advancing the lightweighting circularity and low-carboncollection the collected waste uniformly handled by transformation of packaging materials.waste is transferred to
qualified third-party professional sanitation
Hazardous departments to ensure Within internal logistics the Company has actively promotedpartners for resource reusable metal packaging and transfer racks replacing single-use
recovery or compliant waste proper processing. wooden and paper-based materials. This shift has significantly
disposal reduced annual packaging waste generation.Jinpan Smart Technology conducts full lifecycle assessments of packaging
systems optimizing structural design. In 2025 through structural
It is temporarily stored in a dedicated storage area with anti-seepage leak-proof and rainproof lightweighting improvements to transformer bases the Company achieved
measures as well as warning signs. A licensed entity is entrusted with its safe disposal with the reduced material consumption while fully maintaining transportation safety.implementation of transfer manifest and account management in accordance with the law and
regular filings are submitted to the regulatory authorities.In addition the Company has strengthened source control in the storage of liquid materials and
chemicals through engineering measures including the installation of leak containment sumps
dedicated chemical storage cabinets epoxy resin flooring and spill collection systems. These
enhancements effectively prevent leakage and eliminate contamination risks. 50Stock code Foreword Feature Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and 688676 Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
Promote waste reduction at
source systematically
Jinpan Smart Technology is systematically advancing Jinpan Smart Technology's Haikou Digital Factory has implemented solvent recovery
mechanism for packaging recycling and reuse 案例 technology to achieve source reduction of hazardous waste and resource recycling.collaborate with suppliers to achieve targeted recovery
and reuse of packaging materials and proactively In order to practice green production Jinpan Smart Technology's Haikou Digital Factory has introduced
respond to and implement specific packaging recovery advanced solvent recovery equipment in the core spraying process to efficiently recover and treat waste
requirements from customers. diluent from cleaning spray guns. This equipment can recycle 95% or more of waste organic solvents
To support continuous optimization the Company achieving resource recycling and reuse.leverages its self-developed digital systems—including Following project implementation the workshop hasZsignificantly reduced its annual thinner consumption—
MES and the energy management platform—to achieve approximately 2500 liters per year—effectively minimizing hazardous waste generation and emissions at the
full data traceability and visualized management of source. This proactive approach not only alleviates environmental burden but also reduces raw material
waste generation transfer and disposal. This year procurement costs and hazardous waste disposal expenses.Jinpan Smart Technology has met Haikou City's “Zero-Waste Factory” construction assessment requirements
and obtained the “Zero-Waste City Cell” certification.
2025
Total non-hazardous waste Kitchen waste Total hazardous waste The total amount of operational waste
3701.63 0 106.55 transferred from landfills accounts for tons tons tons 66.03%
Non-hazardous waste intensity Quantity of waste cardboard Total amount of hazardous waste
0.00507 199.09 tons 0.000146
ton/RMB 10000 of Revenue kg/RMB 10000 of Revenue
51Stock code Foreword Feature Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and 688676 Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
Empowering a green Green design: Source prevention and material circulation
ecosystem Jinpan Smart Technology integrates ecological design principles at the earliest stage of product development prioritizing the use ofrenewable and recyclable materials—such as bio-based plastics and recycled metals—while strictly controlling hazardous
substances in compliance with international standards like RoHS. Through modular design and ease-of-disassembly structures the
Jinpan Smart Technology is committed to building green Company enhances product repairability upgradability and end-of-life material recovery efficiency. In parallel the Company
products through eco-friendly materials and design optimizing actively advances packaging lightweighting and structural optimization reducing raw material usage without compromising
production processes to reduce energy consumption and waste transportation safety.and implementing intelligent operation & maintenance and
recycling systems. The Company conducts comprehensive Cleaner production: Resource conservation and process recycling
lifecycle assessments to minimize environmental impact. Beyond Jinpan Smart Technology has fully implemented energy-efficient equipment and green manufacturing processes across production
manufacturing the Company actively promotes natural operations significantly reducing energy consumption and greenhouse gas emissions. Simultaneously we enforce strict waste
ecosystem protection practices green office initiatives and management practices to ensure that all waste is properly disposed of and recycled and utilized minimizing the burden on the
drives green transformation across the industrial chain environment. In terms of supply chain management we collaborate with suppliers who exhibit a strong environmental awareness
reinforcing our responsibility in building a sustainable future. to ensure that our raw material sources meet sustainability standards.Green products and circular Intelligent operations: Extending equipment lifespan and enhancing energy efficiencyJinpan Smart Technology leverages IoT and intelligent management systems to enable real-time monitoring and predictive
economy maintenance of critical equipment such as energy storage systems. This proactive approach extends equipment service life
improves operational efficiency and reduces resource waste caused by unexpected failures or performance degradation.Jinpan Smart Technology prioritizes the design and R&D of
green products integrating circular economy principles into the Recycling: Closed-loop system and value regeneration
entire product lifecycle. The Company is committed to We closely collaborate with professional recycling agencies to devise comprehensive recycling plans and implements integrated
maximizing resource efficiency and minimizing environmental recovery solutions across products packaging and production waste. We adopt tailored recycling methods for different material
impact through systematic optimization in design production types minimizing the accumulation of harmless waste and mitigating the environmental impact of hazardous waste thereby
and end-of-life recovery. A clear resource recycling target has lowering production costs and resource consumption.been established and embedded across R&D manufacturing
operations and service delivery. Product and packaging recycling Internal circulation practices Resource recovery of
The Company conducts a full production by-products
lifecycle environmental Jinpan Smart Technology collaborates Jinpan Smart Technology promotes Through process optimization and
impact assessment for dry- with professional recycling agencies the use of reusable metal packaging technology adoption (e.g. the solvent
type transformers analyzing to develop differentiated recycling in intra-group logistics replacing recovery system at Haikou factory)
environmental impacts at solutions and implements targeted disposable wooden and paper-based Jinpan Smart Technology enables
each stage and using it as a recovery and re-circulation of materials significantly reducing circular utilization of by-products
reference for environmentally packaging materials such as packaging waste and associated such as waste solvents and off-cuts
friendly and green design transport pallets according to specific carbon emissions. reducing hazardous waste
throughout the product's customer requirements. generation.lifecycle.
52Stock code
688676 Foreword Feature
Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and
Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
Case Promoting reusable metal packaging for green logistics
The percentage of waste
electrical and electronic
equipment (WEEE) collected by To reduce packaging waste and lower carbon footprint in logistics Jinpan Smart Technology has systematically promoted the use of
the Company in the current year reusable metal packaging for internal cargo transportation among its major production bases in Haikou Wuhan and Guilin. Designed
relative to the total amount of 0.0545 with robust structure and high durability this reusable packagingZeffectively replaces traditional single-use wooden and paper-based
electrical and electronic materials.equipment (EEE) placed on the This initiative has not only significantly reduced the generation of packaging waste but also lowered carbon emissions associated with
market is 0.0545%. % the production and disposal of packaging materials.Green office initiatives Biodiversity conservation
Jinpan Smart Technology integrates green office principles into its Jinpan Smart Technology systematically assesses and manages the potential negative impacts of its business activities on the
daily operations and corporate culture actively promoting and ecological environment in accordance with the laws regulations standards and technical requirements of its operational
practicing low-carbon environmentally friendly work and lifestyles. locations. The Company continuously improves and optimizes environmental protection measures to safeguard local ecosystems.We encourage all employees to participate in sustainability efforts
starting with small daily actions such as green commuting Throughout the project development construction and operation phases Jinpan Smart Technology maintains ongoing attention
paperless office practices and resource conservation collectively to ecological impacts strictly adheres to national and local ecological redline controls and prevents harm to biodiversity and
building a sustainable work environment. ecosystems. The Company respects and values biodiversity in areas surrounding its operations minimizing disruption to the
natural environment through scientific site planning and rational greening practices. This year the Company conducted due
To systematically advance carbon reduction in office operations the diligence on ongoing construction projects and commissioned third-party environmental assessments. The Data Center Power
Company continuously improves its greenhouse gas accounting Module and High-Efficiency Energy-Saving Power Equipment Intelligent Manufacturing Project (Tongxiang) underwent an
system gradually expanding the scope of Scope 3 emissions environmental impact assessment by a professional external firm strictly adhering to the “Three Simultaneities System”
calculations to enhance the completeness and transparency of environmental protection requirements. Pollutant substitution and reduction measures were implemented to ensure
carbon management. Additionally we implement a group-wide environmental compliance during construction and prevent ecological impacts. Prior to construction the Company's Shaoyang
paper conservation and recycling program encouraging employees green industrial park conducted detailed assessments of potential impacts on vegetation wildlife soil erosion and landscape
to adopt double-sided printing and reuse single-sided paper thereby during both construction and operational phases. The layout was optimized to avoid ecologically sensitive areas and construction
reducing paper consumption. practices were standardized to reduce vegetation compaction and disturbance. In terms of ecological compensation a
professional team designed the greening plan achieving a green space ratio exceeding 20%. Comprehensive baseline surveys of
In terms of process digitization the Company has established a the local ecological conditions were also carried out.unified electronic seal management platform fully promoting online
contract and document signing. This not only improves operational This year the Company has not conducted any production or operational activities within ecological protection redline zones nor
efficiency and compliance management but also significantly has it caused direct or significant impacts on key ecological function areas—whether terrestrial or marine—protected areas or
reduces the use of paper documents achieving dual goals of other ecologically sensitive and vulnerable regions. Moving forward we remain committed to the principle of "ecological priority
resource conservation and process optimization. In 2025 the overall green development." The Company will continue to monitor policy updates and ecological changes enhance environmental
usage rate of electronic seals reached nearly 50%. management capabilities and actively fulfill its corporate responsibility for ecological conservation. By doing so we aim to
contribute to the harmonious coexistence of humanity and nature. 53Stock code Foreword Feature Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and 688676 Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
ocial
Co-Creating Value
through Innovation for a
Shared Future
54Stock code Foreword Feature Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and 688676 Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
We are grounded in professional expertise committed to delivering high-quality
products and services to our customers. Our performance
Talent is the core driver of our Company’s growth we deeply value the development
of every employee and strive to foster a diverse equitable and inclusive Total amount of R&D investment
workplace where individuals are empowered and collaborate to continuously create
value. RMB 357 million
Simultaneously we actively fulfill our social responsibilities by supporting rural
revitalization and promoting social inclusion partnering with stakeholders to
build a sustainable future together. Total employee training duration:
185100 hours
Customer satisfaction
98.39%
Number of suppliers
Our Actions 1591
Jinpan Smart Technology drives sustainable development through innovation delivering lasting value
to customers with exceptional product quality. We advance hand in hand with partners to propel Number of employees
industry progress and upgrading grow alongside our employees and empower every individual to
achieve extraordinary potential. Simultaneously we actively engage in rural development uniting with
stakeholders to foster an inclusive and sustainable future together. 2286 employees
55Stock code
688676 Foreword Feature
Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and
Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
Achieving Excellence Together
with Our Stakeholders
Jinpan Smart Technology firmly believes that the value of a corporation lies not only in
commercial success but also in its commitment to giving back to society. We see
ourselves as an integral part of societal progress dedicated to building a win-win
ecosystem that transcends mere business transactions—forging deep emotional
connections and a shared value community with employees customers communities
and all stakeholders. Through sustained philanthropy employee care and community
co-construction we strive to transform compassion into action and embed
responsibility into our growth. On the path toward excellence we walk hand in hand
with partners jointly writing a more humane and accountable chapter of business—
one that not only elevates our own achievements but also contributes to the creation
of a better more inclusive society.R&D and innovation
We are committed to driving development through innovation delivering high-quality
products and services to our customers and creating richer value. We collaborate
closely with customers actively respond to diverse needs continuously enhance
service experiences and achieve mutual growth.Governance
We continue to adhere to the guiding principles of the R&D Project Management System and the Major Technical Development Project Incentive System while further optimizing project categorization and incentive
criteria to align innovation with strategic development directions. This initiative aims to sustainably drive technological breakthroughs motivate specialized talent to deepen their expertise in core technology R&D and
actively tackle industry-wide key technical challenges.Jinpan Smart Technology firmly regards innovation as the fundamental source of sustainable development and value creation having established a multi-level R&D architecture aligned with the Company’s strategic
objectives to conduct forward-looking research. Simultaneously each product line division closely revolves around market demands continuously iterating and innovating to deliver solutions tailored to key application
scenarios—including energy and power systems energy storage applications and digital manufacturing models.
56Stock code Foreword Feature Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and 688676 Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
Strategy
We consistently adhere to the interweaving and resonance of
incremental innovation and leapfrog innovation with intelligent
manufacturing as the core driver. By continuously investing in R&D
exploring cutting-edge technologies and strengthening our
systems we steadily enhance our core competitiveness. In our
innovation decisions and practices we remain committed to
following scientific ethics and upholding the spirit of science
ensuring that technology development and business expansion
always serve the long-term goals of sustainable development fully
realizing the positive value of R&D and innovation.In 2025 we are steadily advancing our strategic transformation
from digitalization to AI integration. By achieving full coverage of AI
products across the industry chain integrating AI technology with
digital manufacturing platforms to fully realize the transformation of
intelligent manufacturing and breaking through with high-
performance new materials to build core barriers upstream we
have made forward-looking strategic initiatives in achieving global
market coverage shaping a new ecosystem for intelligent
manufacturing.
57Stock code Foreword Feature Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and 688676 Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
Impact risks and opportunities
We recognize the opportunities impacts and potential risks brought by R&D innovation.In innovation management we strictly adhere to the Innovation (Management) Regulations for project evaluation and incentive programs. By refining evaluation dimensions and scoring criteria we ensure that all projects
are systematically and fairly assessed across three critical dimensions—economic benefits technological foresight and practical application value—thereby safeguarding the efficient allocation of innovation resources and
alignment with strategic priorities.As of now the Company has not experienced any violations of scientific ethics during the reporting period nor has it been subject to investigation or penalties by competent authorities; accordingly there are no internal
investigations accountability actions or special rectification measures requiring disclosure. The Company will continue to strengthen scientific ethics education and refine review processes to ensure that all R&D and
innovation activities fully comply with laws regulations and ethical standards.In term of talent acquisition and development Jinpan Smart Technology actively recruits and cultivates high-caliber R&D talent through deep collaborations with universities and research institutions and actively
participates in the application for key technological projects and major research initiatives. The Company has placed "talent-driven development" at the core of its strategic framework implementing precise and efficient
talent allocation around cutting-edge product lines such as Solid-State Transformers (SST) and data center power modules thereby laying a solid foundation for sustainable growth.Robotics Division Talent Acquisition and Dry-Type Transformer Department
Case Construction of the Power Module R&D Team Case Development Case Simulation R&D Team Cultivation
The Company focuses on the research and development of Jinpan Robot (Wuhan) Co. Ltd. a subsidiary of Jinpan In 2025 Jinpan Smart Technology’s Dry-Type
cutting-edge technology products such as solid-state Smart Technology has established a sustainable R&D Transformer Department established a simulation R&D
transformers (SST) and HVDC continuously driving technological innovation system through a "Talent Platform team collaborating with key universities for training and
upgrading and industrial transformation in energy power Ecosystem" tripartite strategy. In 2025 the Company capacity building to integrate multidimensional
equipment. We adhere to a dual-track R&D talent strategy of implements a dual-driver approach of "internal simulation capabilities—including fluid thermal
"internal cultivation + external recruitment" systematically cultivation + external recruitment" launching targeted simulation electromagneZtic simulation mechanical
building a sustainable innovation system. Internally we campus hiring initiativesZin partnership with key vibration simulation and transformer noise simulation.strengthen the development oZf core talent echelons; externally domestic universities such as Huazhong University of We employ a comprehensive incentive system
we have launched special recruitment programs with prestigious Science and Technology and Wuhan University to combining compensation project bonuses and equity
universities including Harbin Institute of Technology Huazhong actively attract cross-disciplinary talent in machine incentives thereby deeply aligning individual interests
University of Science and Technology Wuhan University and vision and AI algorithms thereby strengthening its with the Company’s long-term development.Jilin University widely attracting high-potential professionals in technological innovation momentum.fields such as power electronics and control algorithms. A
comprehensive incentive system combining "salary security +
project bonuses + equity incentives" has been established to
solidify the foundation of our talent pipeline.
58Stock code Foreword Feature Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and 688676 Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
Indicators and targets Jinpan Smart Technology’s key R&D project in 2025
The Company through sustained investment and innovative practices in frontier
technology fields has been awarded multiple prestigious industry honors during the
reporting period fully reflecting the high recognition of its R&D capabilities and Solid-state Transformer for Data Center
technological achievements by the industry. Applications
This product is designed for HVDC 800V power supply
architectures offering advantages in high-efficiency energy
conversion rapid response and high integration marking a
significant achievement for the Company in the field of next-
generation data center power supply technology.
66kv Prefabricated Renewable Energy Substation Offshore Wind Power 16mw-35kv Dry-type Transformer Dry-type Transformer Climate Class C4((Q)yb-72.5/1.14-5500） Environmental Class E4
The substation significantly reduces on-site construction The project is applied to offshore wind turbine units. It
time enabling rapid commissioning and accelerated revenue employs an air-water cooling system for dry-type The transformer of this rating is designed for deployment
generation. Integrated with intelligent monitoring systems transformers to isolate them from the marine in arid and harsh desert environments further enhancing
and high-reliability components it operates robustly in environment thereby enabling reliable operation of dry- insulation performance and operational stability under
complex environmental conditions ensuring efficient and type transformers under conditions of high corrosion and extreme conditions of low temperature high-salt-fog and
dependable performance throughout its entire lifecycle. high humidity. high humidity.Liquid-immersed Transformer Intelligent Welding Robot 25MW/35kv HV Direct-connected Energy Storage System
The first 110kV/80MVA customized liquid-immersed power Successfully developed multiple intelligent industrial Successfully passed the Hardware-in-the-Loop (HIL)
transformer has been successfully exported to the European robots and a new generation of vision-based intelligent testing certification by the China Electric Power Research
market and energized in a key project in Germany. welding systems. The intelligent welding robot product Institute signifying that the core technologies of the
was awarded the "Weike Cup · OFweek 2025 China Company’s grid-forming high-voltage direct-connected
The liquid-immersed power transformers with a maximum Industrial Automation and Digitalization Industry Excellent energy storage system have been validated laying a solid
delivered voltage rating of 345 kV and maximum capacity of Product Award" at the WAIE 2025 (6th) China Intelligent technical foundation for the industrialization and
150 MVA provides robust and reliable equipment support for Manufacturing Digital Transformation Conference fully commercial deployment of this technology.
global green energy infrastructure development. reflecting the industry's high recognition of the
Company's technological innovation and market value.
59Stock code Foreword Feature Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and 688676 Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
Case Weike Cup Excellence Award Case Hainan Provincial Enterprise Innovation Award
The intelligent welding robot product of Jinpan Robot (Wuhan) Jinpan Smart Technology was awarded the newly established "Hainan Provincial
Co. Ltd. was awarded the "Excellent Product Award" at the WAIE Enterprise Innovation Award (Enterprise Technology Innovation Category)" at the
2025 China Intelligent Manufacturing Digital Transformation 2025 Hainan Science & Technology Awards Conference highlighting its outstanding
Conference & Weike Cup Awards Ceremony hosted by OFweek capabilities in technological innovation and achievement transformation. Based on
after being comprehensively evaluated by the conference review a systematic innovation ecosystem the Company has built multi-level R&D
panel across multiple dimensions including technological platforms and refined incentive and management mechanisms to continuously
innovation market application value and industry influence. drive digital intelligent green and low-carbon transformatioZn. Multiple products
have been listed in the provincial "First-of-a-Kind Equipment" catalog and the
The product integrates AI algorithms with advanced welding Company has received major honors including the National Manufacturing Single
processes featuring intelligent perception and self-adaptation Champion and National Enterprise Technology Center. As a global power equipment
high-precision operation and flexible compatibility. It is designed supplier Jinpan Smart Technology leverages technological innovation to upgrade
to address widespread industry challenges in welding quality the industrial chain practices ESG principles and provides strong support for the
consistency adaptability to complex working conditions and development of the Hainan Free Trade Port and the realization of China's "Dual
skilled workforce development. Carbon" goals.Currently the product is widely deployed in structural steel
welding applications across cZonstruction shipbuilding bridgeengineering and heavy machinery sectors. It continues to deliver
smarter more efficient and reliable welding solutions Case Second Prize in the Hainan "Data Elements ×" Competition
demonstrating significant value in advancing the intelligent
transformation of manufacturing. Jinpan Smart Technology won the second prize in the 2025 Hainan "Data Elements
×" Competition for its Industry Chain Collaborative Development Platform Based on
Data Elements. The project leverages a proprietary data mid-platform industrial
algorithm models and an industry chain collaboration mechanism to build a full-
chain data circulation system covering design production supply chain and energy
management enabling efficient data utilization and value realization. It has been
successfully implemented in multiple digital factories sigZnificantly enhancing
operational efficiency. The Company continues to advance data assetization with
its data assets listed for trading and achieving DCMM Level 3 certification marking
a new stage in its data management capability. This achievement highlights Jinpan
Smart Technology’s role in empowering manufacturing through data driving
industrial chain collaboration and fostering the growth of new-quality productive
forces.
60Stock code
688676 Foreword Feature
Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and
Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
Intellectual property protection
We continuously improve our intellectual property management system strictly
comply with laws and regulations such as the Patent Law of the People’s
Innovation in 2025: Republic of China the Trademark Law of the People’s Republic of China and the
Copyright Law of the People’s Republic of China as well as local regulatory
requirements. We promptly update and implement the Intellectual Property
Management System standardizing the processes for application approval and
Total amount of R&D investment R&D team has management of intellectual property. Through real-time monitoring and control
357 400 of intellectual property applications and associated costs we dynamically trackRMB million persons application progress and data across all production bases providing robust
support for the Company’s overall intellectual property strategy and planning.Proportion of total revenue Accounting for
4.90% 17.5% We have fully integrated an intellectual property risk early-warning and controlmechanism into our enterprise risk management framework ensuring that all
relevant departments perform their duties in accordance with the law and
collaborate effectively across all stages—including innovation and R&D patent
applications and copyright registration—to systematically prevent legal risks
associated with intellectual property.R&D Progress and Achievements in 2025:
The Haikou Intellectual Property Protection
Accumulated number Invention Center was officially inaugurated and
of patents obtained patents commenced operations on September 30 2025.Jinpan Smart Technology has been successfully
356 items 73 items included in the first batch of fast-track pre-
examination filing entities becoming one of the
earliest beneficiaries of the Hainan Free Trade
Utility model Design Cumulative participation in Total of new Port’s intellectual property fast-track
patents patents standards preparation standards examination channel—a critical step toward
271 12 18 4 accelerating the confirmation of corporateitems items items items innovation outcomes and enhancing core
competitiveness.
61Stock code Foreword Feature Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and 688676 Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
Product quality and safety
Governance
We have established a systematic product quality and safety management system clarifying responsibility and
accountability standardizing processes and committing to continuous improvement ensuring end-to-end control and
reliability from R&D to delivery thereby providing a solid foundation for product safety and customer trust.We serve as the core functional department responsible for quality safety and compliance management across the
enterprise fully leading internal audits of the three integrated management systems — Quality Environmental and
Occupational Health & Safety (OHS) — while coordinating and managing responses to third-party external audits to
ensure the sustained effectiveness and full compliance of these systems. The Quality Safety Management Department
organizes and oversees audit and verification activities for the Energy Management System at all production bases
driving the implementation of energy-saving and consumption-reduction targets. In safety management we facilitate the
hierarchical signing of Work Safety Responsibility Agreements across all bases and subordinate units clearly definingsafety responsibilities at every organizational level and position thereby establishing a comprehensive “horizontal to theedge vertical to the bottom” enterprise-wide safety accountability network. Additionally the Quality Safety Management
Department routinely conducts EHS (Environmental Health and Safety) operational supervision and inspections at all
bases to ensure all management practices are legally compliant uphold operational integrity and systematically prevent
and mitigate operational risks.Wuhan Jinpan Intelligent Technology Co. Ltd. 2025 Safety Conference and Signing Ceremony for
the Work Safety Responsibility Agreement
Strategy
The Company has continuously enhanced its product In term of key process optimization both Incoming Inspection and In addition we have established a systematized quality
quality control capabilities. The Quality DQM Digital Outgoing Inspection stages have been upgraded in priority. The management mechanism anchored on the platform clearly
Management Platform has achieved systematic and incoming inspection process has been transformed into a fully defining quality accountability nodes across all process stages
digital upgrading of quality control by integrating end-to- systematized management workflow spanning from human- and standardizing data reporting protocols. This enables a
end data from material inbound to product outbound machine interaction to automated data output. In the outgoing closed-loop system spanning quality early-warning root-
breaking down information silos and establishing a inspection phase a standardized inspection mechanism has been cause analysis and corrective action tracking laying a solid
visualized and traceable quality data system covering established integrated with error-proofing management protocols foundation for enhanced product consistency and market
the entire manufacturing process. effectively reducing errors and oversights. competitiveness.
62Stock code Foreword Feature Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and 688676 Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
Impact risks and opportunities
We recognized the profound impact of product quality and safety on customer The Company and its subsidiaries have both obtained ISO9001 quality management system certification. In 2025 the Company
trust corporate reputation and sustainable development — along with the achieved a series of significant milestones in international product certification and quality system development laying a solid
associated risks and inherent opportunities. In response we continuously foundation for expanding into global markets.optimize and enhance our Quality Management System (QMS) updating
quality policies and procedures to comprehensively cover product design The Company systematically implemented quality system compliance initiatives during the reporting period and organized
manufacturing and quality control thereby further ensuring product quality specialized training for mid-to-senior management personnel. The training focused on the practical implementation and value
and safety while strengthening the standardization and sustainability of our enhancement of the quality system aiming to strengthen the management team’s understanding and execution of quality strategy
internal quality framework. In 2025 each of our manufacturing bases will while elevating the professional competence and value-creation capacity of the quality management workforce.revise their respective Quality Manual Environmental and Safety Manual and
related procedural documents in alignment with base-specific operational
requirements ensuring full compliance with system performance criteria and
driving a holistic improvement in the standardization of corporate operations.The Company continuously monitors potential risks that may impact product
safety and consistency. In alignment with this commitment we rigorously
enforce the requirements from procedures such as the Production and Service
Provision Control Procedures and Nonconforming Product Output Control
Procedures fully implement verification and testing procedures for product
quality and systematically initiate product recall protocols for confirmed
nonconforming products — ensuring end-to-end effective management of
quality risks.Indicators and targets
In 2025 Jinpan Smart In 2025 there were no
Technology's one-time passing
rate of finished products incidents of product recalls
due to safety and health reasons
reached 98.81%. at the Company.
63Stock code Foreword Feature Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and 688676 Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
Marketing and Customer Service
The Company systematically optimized its after-sales
management system through comprehensive upgrades to policies Case Conduct training on AI-Generated Content (AIGC) Case Full-process customer service training program
and processes significantly enhancing service response speed
and service quality. A series of institutional guidelines—including The Company has organized a series of systematic To enhance business processes and standardize
Customer Service Behavior Standards and Requirements Sales training programs for its after-sales and related teams operational practices we have conducted comprehensive
Contract Signing and Management Regulations First-Point covering technical frontiers business processes service end-to-end operational training across integrated systems
Responsibility System for Sales and Customer Service Behavior standards and intelligent tool applications with the aim of including CRM OA and SAP ensuring that after-sales
Code—were formally developed and implemented to standardize comprehensively enhancing professional competence and teams proficiently utilize digital tools to standardize and
service procedures and behavioral benchmarks continuously service quality. In exploring technical frontiers specialized streamline business processes. In parallel targeted training
improving service quality and customer satisfaction. In 2025 training on AI-Generated Content (AIGC) was conducted on service behavior standards has clearly defined service
Jinpan Smart Technology achieved a customer satisfaction rate of systematically introducing advancements in multimodal protocols and disciplinary Zrequirements advancing the
98.39%. technologies industry-specific applications potential risks standardization and professionalization of service delivery.
and ethical guidelines to help teams understand emerging This year a series of after-sales-related training sessions
The Company continues to expand the scale of its factory service trends and practical implementation pathways. were delivered reaching over 380 participants across
teams implements specialized skill training and service capability Concurrently multiple hands-on training sessions were after-sales teams and related personnel systematically
enhancement programs and optimizes internal collaboration held to demonstrate the application of AI tools in real- supporting team capability building and the continuous
processes by establishing clear factory collaboration rules and world after-sales scenarios—including document optimization of the service system.accountability mechanisms to ensure efficient integration of generation fault diagnosis data analysis and resource
service resources thereby providing customers with more scheduling—empowering teZams to leverage intelligent
professional and timely technical support and after-sales tools for improved service efficiency and enhanced
assurance. decision-making support. 380+
The Company continues to build an efficient integrated after-
sales management system aiming to fully connect internal and
external data interfaces eliminate information silos and achieve
integrated sharing of cross-system and cross-departmental data.The system enables field service personnel to real-time collect
and register equipment operating conditions inspection data and
maintenance records with automatic upload and real-time
synchronization of data unlocking its latent value to provide
reliable data support for full product lifecycle management.Additionally the system integrates AI-powered intelligent
analytics to assist management decision-making further
enhancing the efficiency and precision of decisions and Training on AI-Generated Content (AIGC)
empowering operational optimization and strategic planning.
64Stock code Foreword Feature Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and 688676 Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
Under the strategic guidance of comprehensively The Company has established the "Kass Cloud" online document management platform achieving digital
advancing AI-driven transformation the Company integration and collaborative sharing of after-sales guidance videos management systems and other
actively seizes opportunities in artificial resources. This initiative provides frontline teams with real-time standardized knowledge support
intelligence deeply integrating AI technology with reinforcing service standardization and operational compliance. Together these measures have propelled
digital platforms to systematically enhance the the service system’s continuous evolution toward intelligence and systematization laying a solid
intelligence and standardization of customer foundation for the Company’s innovative development and enhanced competitiveness in the digital and
service and after-sales support systems. intelligent era.The Company leverages the CRM platform to
embed digitalization into the customer service
lifecycle achieving end-to-end one-stop
management of project tracking registration
bidding and quotation contract signing and
execution and beyond—significantly enhancing
customer relationship management and
delivering more economical convenient and
thoughtful products and services. Simultaneously
the Company has introduced AI tools powered by
prompt engineering to construct an intelligent
service architecture endowed with contextual
memory and knowledge base retrieval
capabilities effectively accelerating service
response times and improving processing
accuracy.
65Stock code Foreword Feature Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and 688676 Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
Customer privacy and information security
We place high importance on information security and data protection strictly complying with relevant laws and regulations including
the Cybersecurity Law of the People's Republic of China the Data Security Law and the Personal Information Protection Law. To
ensure clear accountability in compliance management the Company has established institutional frameworks such as the Customer
Information Security and Confidentiality Management System and the Data Security Management Measures clearly defining In 2025 the Company experienced no incidents
responsibility structures core principles and management procedures. Regular data security audits are conducted in accordance with related to customer privacy or information security
the Data Security Audit Specifications covering critical areas including access control data transmission backup and recovery and and no violations of customer privacy or information
user permission management. Identified issues are promptly rectified and continuously monitored to ensure the effective operation of security occurred.the data security mechanism.To effectively safeguard customer privacy and information security the Company has implemented a multi-layered technical protection
framework including HTTPS encryption Access Token authentication and network firewalls comprehensively strengthening the
security of data interfaces and transmission pathways.The Company is advancing data integration and business collaboration across core enterprise systems—including ERP (Enterprise
Resource Planning) PLM (Product Lifecycle Management) MES (Manufacturing Execution System) SRM (Supplier Relationship
Management) and CRM (Customer Relationship Management)—to build a digital management system covering the entire product
lifecycle. This initiative not only enhances operational efficiency but also significantly strengthens the overall security and reliability of
data.Access Token
Access Token verification
HTTPS encrypted transmission Network firewall
Multi-layered technical safeguards
66Stock code Foreword Feature Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and 688676 Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
We have established clear data cooperation agreements that meticulously define critical matters including the purpose of data use We have established a publicly accessible information security incident
scope of sharing security responsibilities confidentiality clauses and ownership of data. In addition in accordance with the Data reporting mechanism for all stakeholders enabling employees
Security Management Measures the Company regularly organizes data security training to enhance employees’ awareness and customers partners and other relevant parties to report suspected riskscompetencies in data protection. Guided by the objective of “strengthening compliance awareness and solidifying professional or violations involving the Company’s data security privacy protection orboundaries” a series of specialized legal and regulatory training programs are conducted. Training content shall include but not be information system integrity through designated channels—either under
limited to: data security regulations the Company’s data security policies secure operational procedures and risk awareness. New their real names or anonymously. The Company commits to maintaining
employees must receive initial data security training through the Human Resources Department upon joining the company and strict confidentiality of all reported content and will promptly initiate
employees undergoing position changes shall undergo targeted training aligned with the requirements of their new roles. internal investigation procedures to verify and address each submission
ensuring that every feedback is treated with seriousness and impartiality.The Company has established and continuously improved an internal
information security risk assessment and improvement tracking
mechanism conducting regular comprehensive and systematic risk
assessments to identify potential threats and vulnerable points and
integrating assessment outcomes with corrective actions into dedicated
management processes. Clear remediation targets and timelines are set
Establish clear data Regularly organize Establish an Build and continuously to dynamically track and validate the closure of all identified risks
cooperation data security training information security improve the ensuring the ongoing optimization of the information security protection
agreements. and specialized legal incident reporting information security framework.and regulatory mechanism accessible risk assessment and
training programs. to all stakeholders. improvement tracking
mechanism.
67Stock code
688676 Foreword Feature
Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and
Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
Shared Vision Shared Employee recruitment and employment
Success The Company strictly complies with national laws and regulations including the LaborContract Law of the People's Republic of China the Labor Law of the People's Republic of Proportion of operating
China the Work-related Injury Insurance Regulations the Prohibition of Child Labor bases with ISO45001
The Company continuously optimizes its talent acquisition and Regulations and the Law of the People's Republic of China on the Protection of Minors. It certification in 2025
development mechanisms committed to fostering a safe inclusive fully implements local laws and international standards across all its operational regions
equitable and dynamic work environment that supports the professional genuinely respects and safeguards employees' legitimate rights and interests and 100%
growth of every employee. We place high importance on building a ensures that the entire process of recruitment employment and daily management is
diverse talent team leveraging systematic cultivation frameworks and compliant fair and transparent.effective incentive measures to continuously empower employee
development and precisely align with corporate strategy and business We uphold the principle of equal employment strictly enforce internal regulations such as the Recruitment Management System and
needs. Employee Handbook and firmly eliminate any discriminatory language biased behavior or unfair decisions throughout the entire
recruitment process. The Company has formulated and improved the Human Rights Policy establishing core principles for labor practices
and human rights management to ensure full compliance with domestic and international standards across all global operations. We
make a solemn commitment to protecting employees' labor rights and human rights and strive to create a fair safe and dignified work
environment that respects individual integrity. We strictly prohibit the employment of child labor utilizing an employee records
management system and rigorous recruitment review procedures to prevent any occurrence of child labor. We continuously refine the
Provisions on Remedial and Preventive Measures for Child Labor Recruitment and Management of Minor Workers clearly stipulating that
any discovered case of child labor will be immediately addressed with proactive and effective remedial actions to safeguard children's
rights. Simultaneously we have established a robust internal oversight mechanism conducting regular self-inspections and corrections of
recruitment processes and employment practices to resolutely oppose unlawful behaviors such as employment discrimination forced
labor child labor and workplace harassment.Cases of child labor or forced labor in Signing rate for labor contracts by the
the Company in 2025 Company in 2025
0 case 100%
We are committed to attracting outstanding talent through diversified recruitment channels and providing candidates with a high-quality
career development platform by leveraging a rigorous and scientific interview process achieving precise alignment between individuals
and positions. The Company has established a multi-dimensional recruitment system encompassing its official website WeChat official
account online job platforms and campus recruitment continuously expanding pathways for talent acquisition. Simultaneously the
Company implements a dual-driven mechanism of “internal cultivation and external recruitment” launching targeted recruitment
initiatives at key domestic universities such as Huazhong University of Science and Technology and Wuhan University with a focus on
attracting cross-disciplinary talents in machine vision AI applications and AI algorithms to continuously optimize its talent structure.
68Stock code Foreword Feature Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and 688676 Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
Diversity equity and inclusion Employee employment Employee turnover
We are committed to building a diverse equitable and
inclusive workplace providing fair opportunities for Total number of employees 2286 Number of employees by gender (persons)
development and advancement to employees from different
nationalities ethnicities ages genders beliefs and cultural Number of employees by gender Number of employees by age Male 10.20%
backgrounds. The Company actively recruits talent across (persons) (persons) Female 3.14%
all educational levels and professional backgrounds with
particular attention to the career growth of employees from 182
vulnerable groups continuously fostering an open inclusive 549 Number of employees by age (persons)531
and difference-respecting organizational culture. 5.80%
Meanwhile the Company has established a robust Age 30 and under
complaint mechanism for discrimination and harassment Age 31-40 4.89%
clearly defining reporting channels and handling procedures
to ensure timely and impartial resolution of related issues 1555 Age 41-50 1.67%
and the protection of employees’ legitimate rights and 1755
interests. As of December 31 2025 Jinpan Smart Age 50 and above 0.98%Female Male Age 30 and under Age 31-50
Technology employed a total of 2286 full-time staff
including 22 employees with disabilities and 32 veterans. Age 50 and above Number of employees by region (persons)
The proportion of employees from minority or vulnerable
groups accounted for 0.83% while employees with Number of employees by type of Number of employees by region Southern China 3.90%employees (persons) (persons)
disabilities accounted for 0.96%. In 2025 the Company
recorded no incidents of discrimination or harassment. 38 156 Central China 4.70%12 68 1
60
We place high importance on the career development of 118 Northern China 0.38%
female employees fully implementing gender equality
principles across all stages—including recruitment 52 Eastern China 1.97%
promotion and training—to ensure females enjoy equal 315 880
opportunities and rights as males. We actively encourage Northwestern China 0.30%
female employees to set ambitious career goals and achieve 49 Southwestern China 0.42%
excellence in their professional fields. The proportion of 655
female employees in the Company remains stable 2168 Northeastern China 0.38%
accounting for 23% in 2025. Females also hold significant Southern Central Northern Eastern
positions in senior management representing 50% of the Senior Middle China China China China Hong Kong Macao 0.00%
senior leadership team in 2025. The proportion of females management management Northwestern China Southwestern China and Taiwan
on the board of directors is 16.7% with 6 board members in General General
Northeastern China Hong Kong Macao Overseas 1.29%
total and 1 female director. management employees and Taiwan
Overseas
69Stock code Foreword Feature Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and 688676 Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
Remuneration and benefits
We have established a structured and clearly oriented compensation and reward system dedicated
to providing employees with market-competitive remuneration. The Company systematically
articulates its compensation and benefits policies and components through the Employee Handbook
enhancing transparency in compensation management and strengthening employee recognition.Salary system
We are committed to providing employees with market-competitive compensation having
established the Compensation and Performance Management Measures for Directors Supervisors
and Senior Executives of Hainan Jinpan Smart Technology Co. Ltd. to ensure fairness and efficiency
in the Company’s compensation system while establishing a more scientific and systematic
framework for managing senior executive remuneration. We continuously optimize our talent
incentive mechanisms enhancing the precision and strategic orientation of incentives to closely align
R&D objectives with the Company’s strategic direction. Based on employee performance evaluations
the Company accurately identifies high-potential and high-value talent and implements targeted
incentive measures to fully unlock human potential and support sustainable organizational growth.In 2025 the Company systematically integrated ESG principles into its overall performance and
incentive mechanisms deeply embedding ESG criteria into two core evaluation dimensions—Success
Critical Events and Major Adverse Events—and aligning them throughout the entire lifecycle of
strategic planning operational management and risk control. Through a clearly defined system of
performance bonuses and deductions ESG performance directly influences evaluation outcomes and
is substantively linked to both short-term compensation incentives and long-term incentive plans
transforming ESG from a conceptual framework into actionable practice. ESG factors have further
been incorporated into the assessment criteria of employee stock ownership and restricted stock
incentive programs. Under Success Critical Events ESG-aligned practices such as strategic
breakthroughs improvements in resource efficiency and risk mitigation are recognized as
positive contributors to performance scores. Conversely under Major Adverse Events
ESG-related incidents—including workplace safety violations environmental pollution
and compliance breaches—are subject to corresponding performance deductions; in
severe cases such incidents may disqualify individuals from incentive eligibility.
70Stock code Foreword Feature Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and 688676 Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
Employee communication
The Company places high importance on open communication within the organization having
established a diversified communication system including suggestion boxes regular Case Jinpan Smart Technology held 2025 “Children’s Day” Family Open Day
symposiums and employee satisfaction surveys. Information regarding these channels is
clearly documented in the Employee Handbook ensuring that every employee’s voice is In June 2025 during the Children’s Day celebrations Jinpan Smart Technology hosted the third
promptly heard and responded to. The Company takes every employee complaint and edition of its Digital Factory Science Outreach Event inviting employees’ children to take on-base
suggestion seriously adhering to objective investigation and impartial handling while strictly visits to the Company’s digital manufacturing facilities. The activity aimed to promote scientific
protecting the confidentiality of whistleblowers and firmly prohibiting any form of retaliation. literacy among young visitors by immersing them in intelligent manufacturing environments
To further refine the labor relations coordination mechanism the Company has established a thereby enhancing their understanding of digitalization automation and green manufacturing
standardized labor dispute mediation process and set up an Employee Labor Mediation Room practices.committing to complete review of all mediation applications within five working days. This
initiative aims to provide employees with a fair transparent and efficient internal platform for
resolving disputes continuously fostering a harmonious and stable employment environment.In 2025 the employee satisfaction rate reached 81.96%.Welfare Care Z
The Company strictly complies with national laws and regulations duly contributing to
employees’ social insurance as required and additionally provides accidental injury insurance
to continuously strengthen the employee protection system. In 2025 the Company invested
RMB 1.72 million in work-related injury insurance. We have established a comprehensive
welfare and subsidy system encompassing allowances for high-temperature conditions
nutrition transportation meals and paid leave dedicated to enhancing overall employee
benefits and quality of life.Jinpan Smart Technology demonstrates continuous commitment to employee growth and
wellbeing organizing a diverse array of cultural and team-building activities in 2025
encompassing parental care ideological education and physical fitness.In 2025 the Company invested RMB 1.72 million in work-related injury insurance.
71Stock code Foreword Feature Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and 688676 Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
Employee Benefits Activities Showcase
Film Viewing Activities for
Patriotic Education Month
72Stock code Foreword Feature Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and 688676 Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
Occupational health and safety The Company has established a Safety and Environmental Protection Cloud Platform to strengthen the preventive and systematicmanagement of work safety and environmental protection enabling end-to-end online monitoring and closed-loop management from
occupational health record management to hazardous waste disposal effectively reducing operational risks and enhancing emergency
The Company strictly complies with laws and regulations such as the response capabilities and environmental compliance. The Company engages qualified third-party testing institutions to regularly
Law of the People's Republic of China on Work Safety the Regulations on conduct occupational hazard factor detection and status evaluations at all production bases and incorporates identified hazardous
the Management of Personal Protective Equipment and the Work- positions into specialized management systems with clear occupational hazard notification signs posted on-base. Employees in these
Related Injury Insurance Regulations and has established a systematic positions are provided with personal protective equipment including earplugs dust masks toxic gas masks and protective gloves and
work safety management system based on the Code of Safety and are systematically subjected to pre-employment in-service and post-employment occupational health examinations. For employees
Civilized Production. with occupational contraindications the Company promptly reassigns their positions to prevent continued exposure to occupational
Jinpan Smart Technology has successfully obtained ISO 45001 hazards and maintains comprehensive occupational health records for all employees ensuring their physical and mental well-being and
Occupational Health and Safety Management System certification at its occupational safety.major production bases in Haikou Guilin Shanghai and Wuhan. In 2025 The Company places high priority on the health and safety of contractor employees having established a dedicated Contractor Safety
the Company achieved zero fatalities zero recorded work-related Management System to systematically strengthen oversight and guidance on risk identification assessment and control throughout
accidents and zero lost work hours due to work-related injuries or health contractor operations and on-site activities. The Company provides essential safety consulting and technical support to ensure
issues fully realizing its annual occupational health and safety contractors fully comply with its safety standards jointly fostering a safe and healthy work environment. During the contractor
objectives. admission process the Company enforces a rigorous evaluation and approval mechanism and signs dedicated safety agreements with
The Company organized a total of over 7888 hours of safety education all approved contractors clearly defining their scope of work operational methods safety requirements and corresponding
and training throughout the year conducted 26 various safety drills and responsibilities to ensure strict adherence to the Company’s occupational health and safety regulations and applicable laws. In 2025
delivered 72 training sessions on quality safety and internal control the coverage rate of safety agreement signing reached 100%.continuously enhancing the safety awareness and emergency response
capabilities of all employees. In 2025 100% of operational bases had
completed employee health and safety risk assessments. Proportion of
operational sites
Cumulative safety Total safety drills Cumulative safety and assessed for Coverage rate of
training hours in 2025 conducted in 2025: quality control training occupational health and signing safety
exceeded sessions in 2025 safety risks in 2025: agreement with
exceeded suppliers
78882672100%100%
hours times times
73Stock code Foreword Feature Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and 688676 Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
The Company has deeply embedded occupational health and safety into its digital factory and smart The Company is also committed to advancing work safety culture systematically conducting diverse
manufacturing transformation leveraging AI technologies to enable proactive and precise risk safety training sessions and emergency drills across all its sites.prevention. In collaboration with specialized technical teams the Company designed and deployed an
AI-powered fire detection system at the Guilin Juntaifu Dry-Type Transformer Digital Factory to Special Training on "Safety First Class for Resumption of Work" is uniformly organized across all
address potential ignition risks in pouring and curing furnace zones. The system employs deep production bases on the first working day after the Spring Festival holiday. All employees participate in
learning-based visual analytics to detect open flames in real time triggering immediate on-site sound this mandatory session which focuses on reinforcing job-specific operating procedures emergency
and light alarms upon fire identification—transitioning safety response from reactive to predictive. response protocols and post-holiday risk prevention measures. Particular emphasis is placed on raising
Particularly in the scenario where only a small number of personnel are on duty at night this awareness of potential risks such as the "post-holiday syndrome". Through targeted education and
technology effectively compensates for the limitations of manual monitoring and significantly improves warnings the training seeks to fundamentally strengthen employees’ safety awareness tighten the
the timeliness and reliability of incident response. safety management framework and establish a solid first line of defense for high-quality development
throughout the year.In term of health protection the Company arranges professional Special Training on "Safety First
Health occupational health examinations for workshop employees every year and
Class for Resumption of Work and
protection provides comprehensive health check-ups for all staff. At the same time
Production"
commercial accident insurance is purchased for employees establishing a
multi-layered health risk protection system.In the field of mental health the Company has officially established an on-
Mental site counseling room to conduct mental health seminars and counseling
health sessions providing employees with professional and confidential
psychological support services.The Guilin Juntaifu held a Fire
Safety Recognition Conference to
honor individuals who
In an effort to promote a positive and healthy lifestyle the Company has established various demonstrated outstanding
recreational and sports facilities such as gyms reading lounges and basketball courts encouraging performance in fire safety work
employees to engage in physical exercise and cultural activities during their leisure time continuously further fostering a positive
fostering a vibrant and balanced work-life environment. atmosphere where all staff
prioritize safety and actively
participate in safety management.
74Stock code Foreword Feature Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and 688676 Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
Employee training and development
Number of
We continuously improve our talent development system to provide Type of training trainings carried Training content
employees with broader career growth opportunities. By establishing job out (times)
qualification standards implementing a dual career path system for
management and professional roles and improving internal talent mobility
mechanisms the Company offers employees diversified and sustainable Basic quality training Confidentiality training legal knowledge digital
development paths that support continuous professional advancement 12 expertise and information & data security
achieving mutual growth between individual development and organizational
progress. the Company has established an internal competitive recruitment
mechanism conducting open internal competitions for certain positions to
enable bidirectional selection between employees and roles thereby Quality safety and Environmental safety occupational health and
supporting employees' career development. internal control training 9 safety fire safety safe use of hazardous
chemicals product quality management etc.The Company has established a differentiated training system covering
various levels and positions facilitating mutual promotion between employee
growth and corporate development through diverse modes and rich content. Post standardized operation platform system
It provides inclusive and equitable development and promotion opportunities Employee skills training 36 use post expertise business process for employees of different nationalities ethnicities ages genders beliefs and management key elements of quality control
cultural backgrounds offering broad employment prospects for talents with product knowledge etc.diverse educational levels and professional backgrounds. The Company pays
special attention to the career development of underrepresented or
vulnerable employees and strives to foster a workplace environment that is General training in 30 Manage knowledge and tool use digital diverse equitable inclusive and open. management transformation cases project practices etc.Guidelines and policy updates on sustainable
Thematic training 1 development reporting along with plans for ESG
performance improvement
AI training 165 Artificial intelligence
75Stock code Foreword Feature Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and 688676 Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
Employee Training and Development
Proportion of trained Average training hours by
The training model integrates online platform learning with offline practical employees by gender (%) gender (hours)
01 application. By establishing a curriculum resource library through the internal
Training for learning platform and combining benchmarking studies and action learning
reserve cadres projects it forms an integrated training mechanism encompassing self-study Male Male
assessment and practical application. The training content covers general
and core 100% 78 hoursmanagement knowledge artificial intelligence applications quality
employees awareness and other areas. With 103 participants 17 courses were offered Female Female
averaging 36 hours of training per person which effectively enhanced the
comprehensive capabilities of potential talents. 100% 90 hours
Proportion of trained employees by employee category (%)
02 The Company conducts systematic training focused on enhancing job
Technical and competencies covering modules such as professional ethics quality safety
functional internal control management and skill advancement. Activities like the
Senior management Middle management
"Bright Sharing Meetings" promote knowledge transfer. This year 253 100% 100%
training training sessions were organized with a 100% completion rate covering
2286 full-time employees totaling 185100 training hours. General management Ordinary management
100%100%
Average training hours by employee category (hours)
03 A dual-pronged empowerment approach of "regular training + competition-
driven" was established. Regular training covers all employees with courses
AI technology on AI tool applications and the building of enterprise intelligent agents. The Senior management Middle management
empowerment innovative "AI Empowerment · Intelligence-Driven Future" competition 86 hours 68 hours
attracted 26 teams from across the group creating a strong atmosphere of
technological application and innovation.General management Ordinary management
81 hours 81 hours
76Stock code Foreword Feature Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and 688676 Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
Leveraging Synergies through Strategic Partnerships
Jinpan Smart Technology continues to expand comprehensive and cross-domain strategic collaborations
with internal and external partners actively participates in industry exchanges and cooperation and
continuously improves its supplier management system. The Company is committed to building a
sustainable and responsible supply chain ecosystem working hand in hand with partners to drive
industry advancement and co-create a new landscape of development.Empower Industry Development
Jinpan Smart Technology continues to deepen strategic collaborations with local governments industrial
chain partners industry organizations and other stakeholders actively building an open shared and
mutually beneficial cooperative ecosystem. By proactively participating in industry standard
development and organizing regular exchanges and joint initiatives the Company works hand in hand
with partners across sectors to advance industrial synergy and sustainable development.Jinpan Smart Technology launched a series of in-depth industry-university-research collaborations with
top domestic universities in core technology fields in 2025. By partnering with Southeast University
Shanghai Jiao Tong University and other leading institutions the Company achieved innovations in three
key areas: AIDC data center power supply and distribution intelligent manufacturing and new energy
storage. These advancements have accelerated the transformation of cutting-edge technologies into
industrial applications injecting strong momentum into the Company's sustainable development.Case Jinpan Smart Technology co-hosted an industry technology exchange event with Schneider Electric
Jinpan Smart Technology and Schneider Electric jointly hosted the technical exchange event titled "Pioneering Electrical
Industry Frontier Exploring a New Era of Industry" in Guilin in 2025. Focusing on innovation trends and practical
applications of integrated electrical equipment in the digital era the event brought together electrical design experts from
multiple authoritative design institutes across Guangxi Province to discuss technological development directions and
collaboration opportunities in the industry. During the exchZange session representatives from Jinpan Smart Technology
shared the Company's product portfolio and technical expertise in the field of integrated electrical equipment. Drawing on
practical experience in new energy power generation and energy storage systems they showcased Jinpan Smart
Technology's achievements in independent innovation and application scenarios within electrical equipment.
77Stock code Foreword Feature Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and 688676 Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
Jinpan Smart Technology officially Case
launches ai smart factory system Jinpan Smart Technology Attended 2025 Data Centre World AsiaCase
development Jinpan Smart Technology participated in the "2025 Data Centre World Asia" in Singapore with its new
Jinpan Smart Technology and Matrix Origin generation of high-efficiency power distribution and green transformer solutions. During the exhibition core
signed a cooperation agreement in Haikou in products such as power module units Pad-mounted oil-immersed transformers and resin-cast dry-type
October 2025 to launch the "Jinpan Smart transformers attracted widespread attention—particularly innovative offerings like solid-state transformers—
Technology AI Smart Factory System highlighting the Company's technical expertise in energy efficiency improvZement and green transformation.Construction Project." This collaboration marks a Leveraging global manufacturing bases in the United States Mexico Poland and Malaysia Jinpan Smart
critical step in Jinpan Smart Technology’s Technology has established localized service and delivery capabilities across multiple regions providing
systematic advancement in the field of product support to leading domestic and international technology enterprises including Baidu and Alibaba
intelligent manufacturing. By leveraging Matrix continuously driving the global data center industry toward higher efficiency and sustainability. 2025 Data Centre World Asia
Origin’s expertise in AI and data intelligence
platforms the two paZrties will jointly build an
intelligent system covering the entire production Case Collaborating with Hainan University to carry out research and innovation
and operations chain. The project aims to drive
digital transformation and enhance efficiency in The Dry-Type Transformer Department of the Company has launched a specialized industry-university-
key areas such as production scheduling quality research collaboration with Hainan University in the field of materials science focusing on performance
control energy consumption management and optimization and application research of resins. The team consisting of two sides systematically conducted
equipment operation and maintenance further fundamental resin property testing interfacial bonding analysis between resins and various film materials
strengthening Jinpan Smart Technology’s investigation into the mechanism of resin whitening during grinding and development of surface restoration
intelligent competitiveness in the high-end methods post-grinding. Meanwhile the Company performed precision caZlibration of the force sensor and
equipment manufacturing sector. displacement measurement system on a 5KN universal material testing machine. Using this equipment the
team accurately verified the interfacial bonding performance between different insulation materials and
resins transforming theoretical research findings into quantifiable and reproducible engineering parameters Basic resin performance test
effectively supporting the Company’s continuous innovation in new material applications and product
reliability enhancement.Case Exploring New Pathways in Energy and Power Innovation and AI Empowerment with The Hong Kong Polytechnic University
In the context of China's 'Dual Carbon' strategy and the development of the Guangdong-Hong Kong-Macao
Greater Bay Area's new energy industry system Wuhan Jinpan Intelligent Technology Co. Ltd. engaged in in-
depth technical exchanges with the Department of Electrical and Electronic Engineering at The Hong Kong
Polytechnic University. Centered on industry-academia-research-application collaboration both sides focused
on the application prospects of solid-state transformers (SST) modular power electronic equipment and
integrated energy management systems in cutting-edge scenarios such asZArtificial Intelligence Data Centers
Organizing a visit and exchange for students from (AIDC) smart distribution networks and integrated energy micro-grids. Through face-to-face discussions they
the School of Electrical and Electronic Engineering jointly mapped out feasible pathways for integrating smart grid technologies with emerging energy solutionsand reached preliminary consensus on future cooperation in technology iteration application development
Huazhong University of Science and Technology Hong Kong Polytechnic University Expert achievement transformation and joint standard formulation—laying a solid foundation for deep integration Delegation visits Jinpan Smart Technology
Promoting the integration of higher education between academic frontier theories and industrial engineering practices.talent cultivation with industry practice
78Stock code Foreword Feature Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and 688676 Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
Supply chain management Supplier Sourcing
Building a transparent procurement system based on a digital platform the Company has launched and operated an SRM
Jinpan Smart Technology is committed to deeply integrating sustainable (Supplier Relationship Management) system that integrates the entire procurement process into an online closed-loop
development principles into every aspect of supply chain management. By workflow. This enables standardization and visualization of key stages significantly enhancing transparency and
establishing and continuously enhancing a supplier evaluation and dynamic operational compliance in procurement activities.management system focused on social responsibility we aim to build a more
resilient and responsible industrial ecosystem together with our partners. We believe Supplier admission
that only through collaborative progress across the entire value chain can we lead
the industry toward a greener more sustainable future. Establishing a systematic supplier admission system suppliers are comprehensively evaluated across multiple dimensions
including overall capability quality control and environmental sustainability.The Supplier Social Responsibility Risk Assessment Management Regulation has been introduced making social
Supplier Management System responsibility assessment a prerequisite for admission of new suppliers and subcontractors and extending this requirement
to all Class A and B qualified suppliers.The Company is committed to building a refined and systematic supplier Based on the Supplier Social Responsibility Risk Assessment Checklist a combined approach of on-site audits and online
management system that spans the entire cooperation lifecycle. Through graded evaluations is used to assess suppliers holistically in areas such as labor rights business ethics occupational health and
and categorized dynamic management our supplier oversight covers the full cycle— safety. Suppliers rated as 'high-risk' in the assessment results will not be approved.from initial screening and access qualification to ongoing evaluation and Human rights commitments environmental protection occupational health and safety quality assurance and conflict
performance assessment. minerals control are explicitly incorporated into supplier agreements ensuring that social and environmental requirements
are integrated throughout contract fulfillment.In supplier selection priority is given to partners who have obtained certifications such as ISO 9001 ISO 14001 and ISO
45001.
Supplier evaluation
Suppliers are categorized into four classes based on their business nature and a differentiated evaluation system has been
established for each category focusing on key dimensions such as quality cost delivery and service. Through a
combination of annual performance reviews and unannounced on-site audits the Company conducts dynamic
assessments and tiered management of suppliers’ overall capabilities.In supplier selection and collaboration priority is given to partners whose production processes and products comply with
environmental regulations and possess recognized energy-saving certifications. For critical materials involving safety and
reliability suppliers are required to provide official identification or test reports issued by authoritative third-party
institutions.Green and environmentally responsible suppliers—especially those certified under the three management systems and
energy management systems—are prioritized. Environmental performance is integrated into supplier evaluation criteria
and all suppliers are required to sign the Environmental Commitment Agreement and the Social Responsibility and
Occupational Health and Safety Protection Document jointly fulfilling environmental social and safety obligations.
79Stock code Foreword Feature Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and 688676 Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
Supplier quality management
To build a more stable efficient and sustainable supply chain the Company systematically advanced full-cycle supplier quality management in 2025. A total of 8 new suppliers completed access review while 8 existing
suppliers underwent routine reviews and unannounced fly-in inspections with targeted coaching provided to drive continuous improvement in their quality systems. To strengthen risk prevention the Company organized
third-party verification for 13 critical material batches ensuring reliable quality from the source. Through systematic access assessments in-process audits and risk controls—combined with enhanced capabilities of the
Supplier Quality Engineering (SQE) team—a total of 66 suppliers were reviewed in 2025 with 30 on-site manufacturing surveillance activities conducted.Supplier ESG management
To strengthen risk management the Company conducts supplier social responsibility risk assessments to identify and
manage potential negative impacts in areas such as human rights business ethics and health & safety implementing
admission screening and follow-up corrective actions based on risk levels. The Company has established clear
requirements for supply chain social responsibility management institutionalizing the inclusion of social and
environmental clauses—covering sustainability aspects such as environment labor and human rights—into supplier
contracts. Supplier responsibilities are further clarified through signed agreements and assessment forms with an
accountability mechanism in place to ensure compliance. Through the Supplier Code of Conduct the Company defines
compliance expectations regarding environmental protection labor and human rights and fair competition requiring key
suppliers to sign related commitment letters to comprehensively safeguard social and environmental responsibility across
the supply chain.We solemnly commit to never engaging in business with suppliers that pose high social responsibility risks. We explicitly
prohibit suppliers or their subcontractors from using any form of forced labor including debt bondage labor slavery or
non-voluntary prison labor. We also refuse cooperation with suppliers who have been penalized by labor inspection
authorities or exposed by the media for child labor or inhumane treatment. Furthermore we do not establish partnerships
with suppliers that have experienced fatal or more severe workplace safety incidents within the past year or those found
engaging in corrupt practices such as bribery extortion or fund misappropriation where such actions have been
reported complained about or exposed by media. Through rigorous access reviews and ongoing assessment
mechanisms we ensure all partners meet these social responsibility and ethical standards. Relevant risk scenarios
include but are not limited to: suppliers or subcontractors using forced labor (including debt bondage labor slavery or
non-voluntary prison labor); suppliers penalized by labor inspection authorities or exposed by media for child labor
practices; suppliers penalized by labor inspection authorities or exposed by media for inhumane treatment; suppliers
experiencing fatal or more severe workplace safety incidents within the past year; and suppliers failing to comply with
integrity standards through corruption embezzlement extortion or fund misappropriation which have been reported
complained about or exposed by media.
80Stock code Foreword Feature Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and 688676 Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
Green procurement
We systematically integrate the principles of safety environmental protection and
resource circularity into our procurement management system continuously improving
green procurement standards and updating the Code of Conduct for Suppliers in 2025
Collaboration with Jinpan Smart Technology. Supplier performance in environmental
protection and green low-carbon practices is now included as a key assessment
criterion. By prioritizing partners with strong environmental performance we steadily
reduce the environmental impact of procured materials while actively optimizing
production processes and product structures to gradually increase the procurement
ratio of low-carbon and energy-saving products. We are committed to building a green
supply chain in collaboration with suppliers jointly enhancing resource efficiency and Signing rate of the Code of Conduct for We advocate that the suppliers drive
environmental performance and expanding our positive contributions to sustainable
development. The 2025 target is to achieve 100% signing rate of the Code of Conduct Suppliers in Collaboration with Jinpan emission reductions and efficiency gains
for Suppliers in Collaboration with Jinpan Smart Technology Smart Technology among core suppliers in through green procurement practices among core suppliers. the 2025 target: jointly enhancing the greenhouse gas
To implement this goal the Company will systematically communicate the specific mitigation outcomes.requirements of the collaboration guidelines to target suppliers through targeted 100%
outreach regular assessments and compliance support. The signing status will be
incorporated into the annual supplier evaluation system progressively expanding the
scope of sustainable procurement management and continuously enhancing the We are committed to building a green supply chain system in
supply chain’s overall accountability and risk prevention capabilities. collaboration with suppliers jointly enhancing resource efficiency and
environmental performance and continuously expanding our positive
We encourage suppliers to actively embrace green and low-carbon development contributions to sustainable development.principles adopt environmentally friendly production methods reduce solid waste
generation and strictly control emissions to air water and soil—thereby minimizing
negative impacts on biodiversity climate change and water resources. At the same
time we advocate green procurement practices to drive emission reductions and
efficiency gains across the entire supply chain jointly enhancing greenhouse gas
mitigation outcomes. The Company conducts systematic analysis of carbon footprint
data to scientifically assess potential climate-related risks to business operations and
develops corresponding response and management strategies. We also support
suppliers in establishing regular monitoring and reporting mechanisms to track progress
toward carbon reduction goals promoting full-chain collaboration in advancing toward
a sustainable low-carbon future.
81Stock code Foreword Feature Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and 688676 Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
Conflict minerals management Supplier integrity construction
We are committed to strictly prohibiting the procurement of minerals from conflict-affected areas—such Jinpan Smart Technology consistently adheres to open and transparent procurement principles firmly
as gold tantalum tungsten cobalt and tin—and actively enforcing a zero-tolerance policy. Through resisting any acts of unfair competition corruption or unethical behavior during the procurement and
responsible supply chain management we require suppliers to fulfill their due diligence obligations in supplier management processes. We are committed to building a fair clean and responsible
sourcing and supply. To advance effective traceability of conflict minerals and enhance supply chain procurement supply chain in collaboration with our suppliers. Through the SRM digital system supplier
transparency we systematically conduct supplier due diligence on conflict minerals tracing the country admission information is subject to due diligence review via the Supplier Questionnaire. To uphold
of origin of minerals and leveraging frameworks such as the Responsible Minerals Initiative (RMI) to supplier integrity we maintain open reporting channels conduct code-of-conduct training for all
identify and verify upstream smelters and refiners ensuring compliance with conflict-free standards suppliers and require the signing of the Supplier Confidentiality and Integrity Agreement prior to
and safeguarding the compliance and ethical integrity of our supply chain from the source. When a establishing any business relationship. In 2025 the signing rate for the Supplier Confidentiality and
certain volume of metal scrap is collected the factory consolidates and sells it to qualified partner Integrity Agreement reached 100%.suppliers. These partners reuse the scrap as recycled raw materials in new production processes
creating a closed-loop system of 'production-consumption-recycling' thereby reducing demand for
virgin mineral resources. By 2025 all 10 suppliers involved in conflict minerals have signed the
documents all 10 metal suppliers have signed the Letter of Guarantee for Non-Use of Conflict Minerals
and supporting documentation has been provided. Percentage of core suppliers that have signed the
Sustainable Procurement Charter/Supplier Code of
Conduct100%
Supplier communication and empowerment Total number of suppliers Percentage of core suppliers that have signed
contracts including clauses on environmental labor
We are committed to strengthening communication and collaboration with our suppliers ensuring 1591 suppliers and human rights requirements
seamless and open channels of dialogue and growing together to create a shared sustainable future.By regularly sharing progress and achievements in joint emission reduction initiatives with suppliers and 100%
internal stakeholders we continuously enhance transparency and build mutual trust. Number of domestic
suppliers
In the context of the accelerating global transition toward cleaner energy digitalization and intelligent Percentage of suppliers undergoing audits or
technologies have become critical pathways for enterprises to enhance efficiency optimize costs and 1305 assessments that participated in improvement strengthen resilience. To build a more collaborative sustainable and resilient supply chain system initiatives or capability development programs in 2025
Jinpan Smart Technology has systematically advanced supply chain digital transformation and domestic suppliers
organized online specialized training for all core suppliers achieving 100% training coverage. 94% of 94%
suppliers scheduled for audit in 2025 participated in improvement initiatives or capability-building
programs.
82Stock code Foreword Feature Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and 688676 Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
Targeted Philanthropy Public welfare and charity
Driving Rural Revitalization Jinpan Smart Technology remains committed to public welfare initiatives actively giving back to society and fulfilling its
corporate responsibilities. The Company has continuously carried out charitable donations and volunteer services. In
Jinpan Smart Technology consistently upholds its social responsibility demonstrating 2025 the Company initiated and completed various donation projects totaling RMB 463900 covering key areas such
unwavering commitment to public welfare initiatives. We actively respond to the as education assistance and rural revitalization.national rural revitalization strategy and gives back to the society with enthusiasm. The
Company deeply recognizes the significance of corporate social responsibility. It Our Company consistently upholds the core philosophy of "taking from society and giving back to society." By
continuously fosters a public welfare culture motivating employees to participate in improving public welfare systems encouraging employee participation and promoting multi-party collaboration we are
charitable activities. By collaborating with partners across various sectors it works gradually building a community of shared responsibility that includes employees customers partners and local
together to spread love and contribute to the building of a harmonious society. communities. We encourage employees to engage in charitable practices with a total of 184 volunteers participatingthroughout the year. Additionally we have implemented an employee matching donation program in the United States
in which the Company makes a donation equal to a certain percentage of each employee's contribution thereby
inspiring greater engagement and jointly advancing the sustainable development of public welfare initiatives.Case Support of Hainan Special Education School
In June 2025 the Company officially
launched its second phase of a four-year
donation program for educational purposes
continuing to provide support to special
education institutions. A key progress in this
initiative was the long-term support for
Hainan (Haikou) Special Education School
which officially established a "Vocational
School for Persons with Disabilities" last Z
year. This marks a further broadening of
vocational education opportunities for
young people with disabilities. The
Company's continuous support has Jinpan Smart Technology has contributed to special education for four consecutive years.provided tangible and powerful assistance
to students in acquiring skills integrating
Jinpan Smart Technology Party Committee hosts public tree-planting event into society and realizing their self-worth.with Dongshan Village Dongshan Town on Party Building Day
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688676 Foreword Feature Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
Case Collaboration with the Employee Sharing Center in the United States
2025
The Company has established a long-term and stable charitable partnership
with "The Sharing Center". As a local nonprofit organization The Sharing
Center provides comprehensive services including operating food pantries
clothing stores offering financial assistance and employment support
dedicated to assisting individuals and families facing difficulties in
rebuilding stable lives and achieving self-reliance.January 2025
Employees of Jinpan Smart Technology in Lake Mary Florida USA
collectively contributed USD1065 to support the local nonprofit
organization "The Sharing Center." The Company provided an equal
matching donation to the employees' contribution bringing the total The Company's U.S. team also participated in food
donation to USD2130. The funds will be used to provide food clothing donation drives with "The Sharing Center" to
financial assistance and community project support for individuals and support local communities.families assisted by the organization. Z
August 2025
All employees of Jinpan Technology in Lake Mary Florida USA joined
hands with their charitable partner The Sharing Center to host the fifth
"Share the Light" Charity Gala. Over 500 distinguished guests gathered for
this meaningful elegant and impactful event themed around a Venetian
masquerade ball where attendees united in raising donations to support
vulnerable populations. Since 2024 The Sharing Center has helped over
200 homeless individuals transition into permanent and safe housing.
Additionally the U.S. team of Jinpan Smart Technology partnered with "The
Sharing Center" to conduct a back-to-school donation drive organizing
employees and their families to donate learning supplies such as pencils
notebooks backpacks and art materials to help local students prepare for
the new academic year. The annual "Share the Light" charity gala. The Company's U.S. team partnered with "The Sharing
Center" to conduct back-to-school donation drive.
84Stock code Foreword Feature Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and 688676 Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
Rural revitalization
Jinpan Smart Technology actively responded to the national rural revitalization strategy leveraging its
operational experience and resource advantages to meaningfully participate in and empower rural
development. The Company continuously supports disadvantaged groups in rural areas through diverse
assistance initiatives delivering warmth and contributing to the advancement of "warm villages"
thereby promoting social harmony and sustainable progress in rural communities.案例 Promote rural revitalization and increase farmers’ income
In 2025 the Company launched an integrated photovoltaic-agriculture project that generated hundreds of local jobs
enabling residents to achieve “Local employment while leaving the land but not the hometown.” Through land leasing
arrangements the project provided sustained and stable income to relevant economic cooperatives in Jiazi Town while
leveraging the region’s tropical ecological resources to drive the upgrading and modernization of local agricultural
industries.Z
Rural revitalization in Jiazi Town
85Stock code Foreword Feature Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and 688676 Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
overnance
Strengthening Foundations
Enhancing Quality and
Efficiency and
Consolidating Governance
86Stock code Foreword Feature Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and 688676 Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
Jinpan Smart Technology takes 'integrity' as the cornerstone of its business
integrating this principle into all its operational practices. We firmly integrate Our performance
ESG principles into our strategic decision-making and daily operations aiming to
drive high-quality development. By establishing and continuously refining a modern
corporate governance framework we continuously enhance our ability to prevent and Convened shareholders meetings by
control systemic risks. We are committed to creating long-term sustainable value 5 times
for our shareholders actively fulfilling our corporate citizenship
responsibilities and contributing to social harmony and sustainable progress.Convened special meetings of independent
directors by
5 times
Coverage rate of anti-corruption training for
employees reached
100%
The signing rate of the Integrity Agreement
among employees reached
Our Actions 100%
Jinpan Smart Technology has deeply internalized sustainable development as its core corporate The signing rate of the Integrity Agreement
strategy continuously optimizing corporate governance and strengthening comprehensive risk among management reached
management. Through systematic construction and continuous improvement of the ESG governance
framework and operational mechanisms we are committed to cultivating and enhancing the 100%
enterprise's sustainable competitiveness for the future. Simultaneously the Company focuses on
enhancing the awareness and participation of all employees consolidating internal consensus and The signing rate of the Integrity Agreement
synergy to ensure coordinated advancement across dimensions of environment society and among suppliers reached
governance steadily achieving sustainable high-quality development.
100%
87Stock code Foreword Feature Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and 688676 Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
Compliance governance
Jinpan Smart Technology consistently upholds the principle of honest business operations strictly complies
with laws and regulations and continuously optimizes its corporate governance structure. We are committed
to managing operations with transparency and fairness constantly improving risk control systems and
institutional frameworks and actively building mutual trust with investors partners and all sectors of society Jinpan Smart Technology's Governance Structure
laying a solid foundation for sustainable and stable long-term development.General Boards
Corporate governance of Shareholders
Jinpan Smart Technology strictly complies with the Company Law of the People‘s Republic of China the
Securities Law of the People’s Republic of China the Corporate Governance Guidelines for Listed Companies
the Stock Listing Rules of the Shanghai Stock Exchange and other relevant laws and regulations Strategy Committee Board of Directors Secretary of the
continuously striving to build a professional standardized and efficient corporate governance system. Board of Directors
Jinpan Smart Technology completed the formulation and revision of 37 core governance systems in 2025
including the Articles of Association Rules of Procedure for the Board of Directors Independent Director Work Nomination Committee
System and Related-Party Transaction Management System. With a forward-looking perspective the Office of the Board of Directors
Company optimized its governance structure by systematically integrating the supervisory functions of the Remuneration and
former board of supervisors into the Audit Committee of the board of directors thereby enhancing overall Evaluation Committee
governance effectiveness and achieving organic unity between decision-making and oversight. The Company
continues to refine the "three meetings and one management level" framework—comprising the General Chairman
Meeting of Shareholders the Board of Directors the Board of Supervisors and the Management—by clearly ESG Committee
defining the respective powers and responsibilities of each body promoting standardized operations across
all governance tiers. Recognizing the strategic value of diversity the Company ensures a balanced board
composition that reflects diverse professional backgrounds industry expertise and gender representation Audit Committee
aligning with the Company’s diversified and international development goals. All board members possess the
necessary professional competence and oversight experience to ensure scientific and effective decision-
making. Furthermore the Company regularly organizes specialized training programs for directors
supervisors and senior management to continuously strengthen corporate governance capabilities.Internal Audit Rotating
In investor relations the Company maintains active communication with shareholders through various Department President
channels such as Investor Open Days hotline phone services and online interactive platforms effectively
protecting investors' rights. To promote deep alignment between management and shareholder interests the
Company establishes and improves incentive mechanisms linked to performance through relevant salary
assessment and management measures driving senior executives to focus on strategic execution and long-
term value creation. 88Stock code
688676 Foreword Feature
Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and
Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
Risk management Compliance and Risk Specialized Training Case Program
Jinpan Smart Technology has continuously improved its risk management and internal control systems by formulating and implementing the Risk The Company conducted a series of specialized training
Management System establishing a three-tier risk management framework led by the Board of Directors encompassing all business operations and programs in 2025 under the theme "Strengthening
established a 'three lines of defense' with clearly defined responsibilities and collaborative coordination thereby providing systematic safeguards for Compliance Awareness and Upholding Professional
the Company's stable operations and sustainable development. In 2025 the Company advanced the digital transformation of risk management and Integrity" including company-wide confidentiality training
internal control by deploying a unified risk monitoring platform that integrates seven key dimensions: environment business environment operations and sessions on contractual legal risk prevention aimed
decision-making information finance human resources and compliance. Leveraging an enterprise data platform to consolidate multi-source internal at enhancing employees’ legal awareness and
and external data Jinpan Smart Technology has initially developed risk early-warning models for key areas such as related-party transactions fund professional ethics. For campus-recruited new hires the
occupation bidding and procurement and engineering construction. This shift has transformed the audit model from traditional post-event sampling Company organized targeted training on business ethics
to proactive pre-event and panoramic "penetrative supervision" significantly expanding the scope depth and responsiveness of oversight. integrity and confidentiality policies. For mid-to-senior-
Furthermore the risk monitoring approach has evolved from lagging indicator reporting to forward-looking trend prediction and root-cause traceability level managers technical key personnel and staff in
continuously driving bottom-up optimization of internal controls. This enhances the Company’s ability to proactively identify and defend against major confidential positions specialized confidentiality training
risks fortifying defenses for compliant operations and steady growth. was jointly delivered by the Company in collaboration
with external regulatory authorities. Additionally the
Corporate Planning Department conducted enterprise-
At the level of risk monitoring and execution the Company relies on a digital risk wide promotion and dissemination of the national and
The first line of defense management platform to enable real-time identification analysis and response corporate confidentiality management system providing
to risks within business processes. Critical risk developments are promptly systematic interpretation of classification levels
All business divisions and escalated to the senior risk management body ensuring closed-loop control and management protocols and accountability mechanisms
business departments rapid response to emerging risks. for breaches.At the level of independent oversight the Audit Department regularly conducts
The second line of defense reviews of the design and operational effectiveness of control systems and
The Board of Directors has procedures. It carries out special investigations into losses or adverse incidents
established an Audit caused by inadequate risk controls urges relevant business units to implement
Committee corrective actions and reports audit findings in real time to the Audit Committee.At the level of strategic decision-making and oversight the Board of Directors
The third line of defense serves as the highest accountability body for risk management. It is responsible
for approving risk appetite strategies policies and processes defining the
The Board of Directors enterprise-wide risk tolerance threshold and exercising ultimate oversight over
and the decision-makers the operation and continuous improvement of the risk management system.
89Stock code Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and
688676 Foreword Feature Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
Upholding Business Ethics and Compliance
Jinpan Smart Technology strictly complies with laws and regulations such as the Supervision Law of the People's Republic of China the Anti-Money Laundering Law of the People's Republic of China and the Anti-Unfair
Competition Law of the People's Republic of China. The Company adheres to the principles of voluntariness fairness equivalent compensation and good faith while upholding social ethics and business integrity. To
standardize the business conduct of all employees—including those at subsidiaries and dispatched personnel—Jinpan Smart Technology has formulated and implemented internal policies such as the Code of Business
Conduct and Ethics the Anti-Corruption and Anti-Bribery Management System and the Anti-Monopoly and Anti-Unfair Competition Management Regulations. In 2025 no incidents of commercial bribery or corruption were
identified within the Company and there were no lawsuits or major administrative penalties arising from unfair competition practices.Business ethics management
The Company has established an anti-corruption framework jointly composed of the Human Resources Department management at all levels and the Audit Department.Lev e l R e spo n s i b i l i t i es
Human Resources Department Be responsible for formulating anti-corruption and anti-bribery policies and systems fostering a clean and ethical corporate culture and establishing a robust internal control system that comprehensively covers the prevention of corruption bribery.Company and the management of its Be responsible for establishing improving and effectively implementing internal controls within scope of affiliated branches (subsidiaries) to reduce opportunities for
affiliated branches (subsidiaries) corruption bribery and grafts; taking appropriate remedial actions in response to any such incidents and remain subject to supervision by the Audit Department.Be responsible for supervising and investigating anti-corruption and anti-bribery efforts across the company and its affiliated branches (subsidiaries). Specific
responsibilities include:
Audit Department (1) Receiving and registering reports related to corruption bribery and unethical conduct;
(2) Organizing investigations into incidents of corruption or bribery;
(3) Proposing corrective actions and accountability measures for corruption bribery and grafts and issuing formal investigation reports;
(4) Performing other duties related to anti-corruption and anti-bribery.
The Company also conducts credit ratings and risk classification for its business partners implementing targeted preventive and control measures to enhance its ability to manage business ethics-related risks.Jinpan Smart Technology conducted comprehensive assessment of corruption and bribery risks across the company in 2025. The evaluation focused on twelve key business cycles: sales procurement production payroll
and personnel fund management financial reporting fixed assets engineering projects research and development information systems corporate planning management and listing management. Potential risks of
corruption and bribery within each cycle were systematically identified and specific mitigation measures and action plans were developed accordingly. This integrated approach enables effective management review
and response to risks related to corruption and bribery ensuring that ESG governance and risk controls are deeply embedded into daily operations. In this year Jinpan Smart Technology achieved 100% coverage of internal
reviews targeting specific business ethics issues across all relevant operational sites.
90Stock code Foreword Feature Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and 688676 Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
Report and complaint management Anti-unfair competition
Jinpan Smart Technology maintains a strict "zero tolerance" stance toward bribery corruption and unfair competition practices. The To maintain a fair market environment and mitigate unfair competition
Company has established a Whistle-blowing System and multi-channel reporting mechanisms including a dedicated hotline and risk the Company has established a regular review mechanism that
email address. We publicly disclose the Anti-Corruption and Anti-Bribery and Anti-Corruption Management System on our official focuses on key areas such as sales and procurement targeting major
website while publicly providing contact information for whistle-blowing purposes and we accept whistle-blowing from any risks such as price manipulation and market segmentation. The
organization or individual. Upon receipt of any whistle-blowing the Board of Directors or appointed personnel promptly initiates an Marketing Department takes the lead in organizing systematic
investigation conducting thorough and impartial reviews of alleged misconduct. Appropriate corrective actions are taken based on evaluations on a regular basis and dynamically adjusts the review focus
findings. Once violations are confirmed disciplinary measures are imposed in accordance with the severity of the offense—ranging according to actual business conditions. The Audit Department as an
from internal penalties to immediate termination and in serious cases referral to judicial authorities. In 2025 Jinpan Smart independent supervisory body independently reviews and evaluates the
Technology received zero confirmed cases of misconduct through its whistle-blowing channels. quality of review and the effectiveness of rectification ensuring that risk
control forms a closed loop and is effectively implemented.The Company encourages reports made under real names and also accepts anonymous reports via letters or phone calls. The
Company upholds a strict whistleblower confidentiality policy ensuring that the personal information of whistleblowers—whether
employees suppliers or other partners—as well as any materials they provide are kept fully confidential. Any form of retaliation is
strictly prohibited. Personnel responsible for handling reports who disclose confidential information or fail to perform their duties
properly as well as individuals who retaliate against whistleblowers or their families will be subject to disciplinary action according
to the gravity and impact of their actions. If the behavior constitutes a criminal offense the matter will be legally handed over to the
judicial authorities for criminal prosecution.Reporting Channels:
Tel: 86-0898-66811301-349
Email: hanh@jst.com.cn
91Stock code Foreword Feature Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and 688676 Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
Fostering a culture of business ethics
Jinpan Smart Technology actively fosters a corporate culture rooted in integrity and ethical conduct promoting the
employee code of conduct: "mutual assistance and care loyalty and gratitude professionalism and efficiency and
integrity and self-discipline." It communicates and disseminates anti-corruption and anti-bribery policies and
procedures to its employees and partners through email bulletin boards and its official website ensuring timely and
efficient conveyance of the commercial ethics requirements. In 2025 the Company achieved a 100% signing rate for
the integrity commitments of its employees and a 100% signing rate for the integrity and confidentiality agreement
with new suppliers. This year the coverage rate of employees' ethical training has reached 100%.The Company enhances the integrity and compliance awareness of all employees through training encourages all
employees to participate in fostering a culture of integrity and honesty creates a work environment of integrity and
fairness and conducts at least one training session annually on business ethics and anti-corruption for new hires. In
2025 the Company conducted internal training sessions for all campus-recruited employees focusing on business
ethics integrity and self-discipline as well as confidentiality policies to continuously reinforce internal consensus on
integrity and self-discipline.Indicators 2025 Unit
Directors 2 Hours
Anti-corruption training
duration Senior management 2 Hours
Employees 2 Hours
92Stock code Foreword Feature Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and 688676 Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
Appendixes
Key Performance Indicators
ESG INEDSIGC指AT标ORS Ye2a0r2 240年24 Y2e0a2r 520年25 单U位nit 变C动ha情n况ges
Enviroment indicators
Photovoltaic self-consumption power 1273.88 1575.96 10000 kWh 23.71%
Clean energy generation 1694.80 2036.18 10000 kWh 20.14%
Proportion of clean energy used 61.35 89.17 % 45.35%
Amount invested in environmental protection 770.47 224.99 RMB 10000 -70.80%
GHG emissions (Scope 1 and Scope 2) 4749.29 1860.56 Tons of carbon dioxide equivalent -60.82%
Total greenhouse gas emissions (Scope 1 Scope 2) 0.007 0.0026 Tons of carbon dioxide equivalent / RMB 10000 of Revenue -62.86%
Scope 1 GHG 1679.76 1369.82 Tons of carbon dioxide equivalent -18.45%
Scope 2 GHG 3069.53 490.74 Tons of carbon dioxide equivalent -84.01%
Sulfur dioxide (SO2) emissions 0.00 0.00 Tons 0.00%
Water use intensity 0.30 0.25 Tons per RMB 10000 of Revenue -14.88%
Industrial wastewater discharge intensity 0.03716 0.03371 Tons per RMB 10000 of Revenue -9.28%
Social indicators
Number of training sessions conducted 252 253 Times 0.40%
Average training hours per employee 79 81 Hours 2.53%
Cumulative patent technology 284 356 Items 25.35%
93Stock code Foreword Feature Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and 688676 Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
ESG指标 ESG INDICATORS Year 2023 Year 2024 Year 2025 Unit
Enviroment indicators
Nitrogen oxides (NOx) emissions 0.46 0.49 0.93 Tons
Sulfur dioxide (SO2) emissions 0.02 0.00 0.00 Tons
Volatile organic compounds (VOCs) emissions 0.18 0.49 0.505 Tons
Particulate matter emissions 1.44 1.51 4.47 Tons
Total amount of non-hazardous waste 3616.27 3554.34 3701.63 Tons
Intensity of non-hazardous waste 0.0054 0.0051 0.00507 Tons per RMB 10000 of Revenue
Kitchen waste 77.49 28.53 0.00 Tons
Emissions Quantity of waste cardboard 108.49 123.78 199.09 Tons
Recycling volume of non-hazardous waste 2771.07 3105.44 3296.09 Tons
Disposal volume of non-hazardous waste 845.20 448.90 405.54 Tons
Total amount of hazardous waste 82.56 97.49 106.55 Tons
Intensity of hazardous waste 0.00012 0.00014 0.000146 Tons per RMB 10000 of Revenue
Recycling volume of hazardous waste / 4.45 36.19 Tons
Disposal volume of hazardous waste 79.36 93.04 70.36 Tons
Proportion of the total amount of waste transferred from the
Company's operations in landfills / 96.85 66.03 %
GHG emissions (Scope 1 and Scope 2) 8773.00 4749.29 1860.56 Tons of carbon dioxide equivalent
Tons of carbon dioxide
Total greenhouse gas emissions (Scope 1 Scope 2) 0.013 0.007 0.0026 equivalent / RMB 10000 of
GHG Revenue
Scope 1 GHG 1958.00 1679.76 1369.82 Tons of carbon dioxide equivalent
Scope 2 GHG 6815.00 3069.53 490.74 Tons of carbon dioxide equivalent
94Stock code
688676 Foreword Feature
Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and
Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
ESG指标 ESG INDICATORS Year 2023 Year 2024 Year 2025 Unit
Total energy consumption 5522.70 5686.95 6125.39 Tons of standard coal
LPG consumption / 0.37 0.99 10000 standard cubic meter
Natural gas 67.48 55.09 43.69 10000 standard cubic meter
Gasoline 50234.00 52240.00 59633.22 Litre
Diesel 22290.00 20024.00 20388.54 Litre
Energy consumption intensity 0.0083 0.0082 0.0084 Tons of standard coal /RMB 10000 of Revenue
Electricity usage 35875342 42265429 44910403 kWh
Electricity intensity 53.77 61.20 61.56 kWh/RMB 10000 of Revenue
Purchased electricity 27554865 29526598 29150822 kWh
Resource usage
Photovoltaic self-consumption power 832.05 1273.88 1575.96 10000 kWh
Clean energy generation 981.00 1694.80 2036.18 10000 kWh
— Equivalent to reduction in greenhouse gas emissions 5595.00 9094.00 11763.01 Tons of carbon dioxide equivalent
Photovoltaic power generation output 981.00 1694.80 2036.18 10000 kWh
— Equivalent to reduction in greenhouse gas emissions 5595.00 9094.00 11763.01 Tons of carbon dioxide equivalent
Installed capacity of deployed photovoltaic generation projects 23.00 23.00 23.75 Megawatt
Proportion of clean energy used 36.21 61.35 89.17 %
Renewable resource consumption / 3489.19 5462.03 Tons of standard coal
—Total amount of solar energy used by the Company / 1565.60 4790.96 Tons of standard coal
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688676 Foreword Feature
Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and
Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
ESG指标 ESG INDICATORS Year 2023 Year 2024 Year 2025 Unit
—Total amount of hydroenergy used by the Company / 43.47 0.00 Tons of standard coal
—Total amount of green electricity purchased by the Company / 1880.12 11.72 Tons of standard coal
Percentage of renewable resources / 61.35 89.17 %
—Proportion of solar energy used by the Company / 27.53 78.21 %
Resource usage —Proportion of hydroenergy used by the Company / 0.76 0.00 %
—Proportion of green electricity purchased by the Company / 33.06 0.19 %
Direct reduction of greenhouse gas emissions due to retrofitting / / 236.20 Tons of carbon dioxide equipment equivalent
Direct reduction of greenhouse gas emissions due to process / 447.68 0.00 Tons of carbon dioxide improvements equivalent
Direct reduction of greenhouse gas emissions due to fuel / / 1.60 Tons of carbon dioxide replacement equivalent
Water consumption 224720 206202 185413.89 Tons
Water use intensity 0.34 0.30 0.25 Tons per RMB 10000 of Revenue
Volume of water recycled 1236 1353 1431 Tons
Volume of water saved 9.67 2.65 3.24 10000 Tons
Water Resource
management Industrial wastewater discharge volume 27796 25662 24588 Tons
Industrial wastewater discharge intensity 0.04166 0.03716 0.03371 Tons per RMB 10000 of Revenue
COD emissions / 1.56 1.97 Tons
Ammonia nitrogen emissions / 0.08 0.14 Tons
Total nitrogen emissions / 0.11 0 Tons
96Stock code Foreword Feature Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and 688676 Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
ESG指标 ESG INDICATORS Year 2023 Year 2024 Year 2025 Unit
Packaging materials Packaging materials consumption 1772.90 1887.01 1739 Tons
Amount invested in environmental protection 570.85 770.47 224.99 RMB 10000
Capital investment in greenhouse gas emission reduction / 3196.98 763.61 RMB 10000
Number of environmental incidents or administrative penalties for
Others environmental issues 0 0 0 Times
Proportion of operational sites that have undergone specific
environmental risk assessments / / 100 %
Percentage of collected Waste Electrical and Electronic Equipment
(WEEE) relative to the total amount of Electrical and Electronic / / 0.05 %
Equipment (EEE) placed on the market
Social indicators
Total number of employees 2207 2318 2286 Persons
Number of employees by employment Full time employees 2207 2318 2286 Persons
type Part time employees 0 0 0 Persons
Senior management 11 11 12 Persons
Middle management 39 38 38 Persons
Number of employees by job level
General management 71 70 68 Persons
Employee Frontline employees 2086 2199 2168 Persons
employement Male 1735 1799 1755 Persons
Number of employees by gender
Female 472 519 531 Persons
The proportion of women in senior management 36.4 36.4 50 %
High school and below 979 955 913 Persons
Number of employees by educational Associate degree 467 468 480 Persons
background Bachelor’s degree 709 824 804 Persons
Graduate degree and
above 52 71 89 Persons
97Stock code Foreword Feature Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and 688676 Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
ESG指标 ESG INDICATORS Year 2023 Year 2024 Year 2025 Unit
Age 30 and below 630 612 549 Persons
Number of employees by age Age 31-50 1464 1556 1555 Persons
Age 50 and above 113 150 182 Persons
Southern China 956 938 880 Persons
Central China 616 651 655 Persons
Northern China 53 51 49 Persons
Eastern China 259 298 315 Persons
Number of employees by region Northwestern China 41 48 52 PersonsEmployee
employement Southwestern China 111 116 118 Persons
Northeastern China 61 61 60 Persons
Hong Kong Macao and
Taiwan / 1 1 Persons
Overseas 110 154 156 Persons
Total number of disabled employees 24 22 22 Persons
Proportion of employees from minority groups or disadvantaged
groups / / 0.83 %
Total number of veterans employed 41 35 32 Persons
Number of new employees 161 111 -32 Persons
Employee turnover rate 10.90 9.03 13.34 %
Male 8.44 6.99 10.20 %
By gender
Female 2.46 2.04 3.14 %
Employee turnover Age 30 and below 3.51 4.04 5.80 %
Age 31-40 4.52 3.30 4.89 %
By age group
Age 41-50 1.66 1.18 1.67 %
Age 50 and above 1.21 0.51 0.98 %
98Stock code Foreword Feature Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and 688676 Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
ESG指标 ESG INDICATORS Year 2023 Year 2024 Year 2025 Unit
Southern China 4.40 2.59 3.90 %
Central China 2.92 2.83 4.70 %
Northern China 0.28 0.47 0.38 %
Eastern China 1.78 1.96 1.97 %
Employee turnover By geographical region Northwestern China 0.36 0.20 0.30 %
Southwestern China 0.52 0.32 0.42 %
Northeastern China 0.44 0.27 0.38 %
Hong Kong Macao and
Taiwan / 0.00 0.00 %
Overseas 0.20 0.39 1.29 %
Rate of labor contract signing 100 100 100 %
Remuneration and
welfare Coverage rate of social insurance 100 100 100 %
Average annual paid leave days per employee 6.00 6.70 6.88 Days
Number of new cases of occupational diseases 0 0 1 Persons
Rate of employee physical examination / 100 100 %
Number of work-related fatalities 0 0 0 Persons
Number of workdays lost due to work-related injuries 0 0 0 Days
Total duration of safety education and training 3456 4544 7887.66 Hours
Occupational health Number of factories certified with ISO 45001 Occupational Health
and safety and Safety Management System 4 7 7 Pieces
Percentage of factories certified with ISO 45001 Occupational Health
and Safety Management System / 100 100 %
Expenditure on work-related injury insurance / 84.41 172 RMB 10000
Percentage of employees covered by work-related injury insurance / 100 100 %
Number of workplace accidents involving employees / 0 0 Occurrences
Rate of workplace accidents involving employees / 0 0 %
99Stock code Foreword Feature Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and 688676 Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
ESG指标 ESG INDICATORS Year 2023 Year 2024 Year 2025 Unit
Number of safety drills 14 26 26 Times
Occupational health Number of training sessions on quality safety and internal control / / 72 Times
and safety Percentage of operational sites subject to employee health and
safety risk assessment / / 100 %
Coverage rate of safety agreement signing / / 100 %
Employee satisfaction / / 81.96 %
Employee training coverage 100 100 100 %
Number of training sessions conducted 243 252 253 Times
Total number of employee training participation 63805 65165 67574 Persons
Total number of employees trained 2207 2318 2286 Persons
Proportion of trained employees by Male 100 100 100 %
gender Female 100 100 100 %
Male 1735 1799 1755 Persons
Number of trained employees by gender
Female 472 519 531 Persons
Employee training and
development Senior management 100 100 100 %
Proportion of trained employees by Middle management 100 100 100 %
employment category General management 100 100 100 %
Frontline employees 100 100 100 %
Senior management 11 11 12 Persons
Number of trained employees by Middle management 39 38 38 Persons
employment category General management 71 70 68 Persons
Frontline employees 2086 2199 2168 Persons
Male 130361 137352 137100 Hours
Trained hours by gender
Female 40600 45983 48000 Hours
100Stock code Foreword Feature Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and 688676 Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
ESG INDICATORS Year 2023 Year 2024 Year 2025 Unit
Senior management 904 929 1035 Hours
Middle management 2480 2514 2600 Hours
Total training hours by employee type
General management 5062 5239 5511 Hours
Frontline employees 162515 174653 175954 Hours
Total training hours of employees 170961 183335 185100 Hours
Average training hours per employee 77 79 81 Hours
Employee training and
development Trained hours for trained employees by Male 75 76 78 Hours
gender Female 86 89 90 Hours
Senior management 82 84 86 Hours
Number of trained employees by Middle management 64 66 68 Hours
employment category General management 71 75 81 Hours
Frontline employees 78 79 81 Hours
Annual training expenditure amount / 74.06 62.4 RMB 10000
Percentage of products sold or delivered that were recalled for
quality reasons 0.008 0.011 0.016 %
Number of products and service-related complaints received 13 11 9 Pieces
Product quality and Complaint resolution rate for products and services 100 100 100 %
service Customer satisfaction 98.03 98.26 98.39 %
Number of products that have obtained quality certification 306 355 332 Pieces
First-pass rate for finished technology products / / 98.81 %
R&D investment 3.51 3.56 3.57 RMB 100 million
Product R&D Number of R&D team members 394 408 400 Persons
Percentage of R&D team members 17.85 17.60 17.5 %
101Stock code Foreword Feature Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and 688676 Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
ESG指标 ESG INDICATORS Year 2023 Year 2024 Year 2025 Unit
Cumulative 36 41 73 Items
Invention patents Filed 9 27 59 Items
New 18 5 32 Items
Cumulative 206 235 271 Items
Utility model patents
New 31 36 54 Items
Cumulative 8 8 12 Items
Design patents
New 0 3 4 Items
Product R&D Number of standards participated in Cumulative 10 14 18 Items
compilation New 1 4 4 Items
Number of training sessions conducted 2 1 1 Times
Intellectual property related training Total training time 4 8 1.5 Hours
Total number of employee
training participation 146 10 200 Persons
Number of trademark rights 36 37 49 Items
Number of copyright rights 49 74 79 Items
Number of products with carbon footprint certification 18 16 16 Items
Total number of suppliers 1137 1108 1591 Suppliers
Number of domestic suppliers 1132 1102 1305 Suppliers
Southern China 371 442 483 Suppliers
Supply chain
management Central China / / / Suppliers
Number of suppliers by geographical
region Northern China 97 85 116 Suppliers
Eastern China 557 490 595 Suppliers
Northwestern China 27 22 35 Suppliers
102Stock code Foreword Feature Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and 688676 Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
ESG指标 ESG INDICATORS Year 2023 Year 2024 Year 2025 Unit
Southwestern China 57 44 47 Suppliers
Number of suppliers by geographical region Northeastern China 21 19 29 Suppliers
Hong Kong Macao Taiwan and overseas 7 6 286 Suppliers
Number of suppliers reviewed in accordance with the practices relating to engaging suppliers 63 70 66 Suppliers
Percentage of suppliers that have undergone corporate social responsibility (CSR) assessment
(e.g. through questionnaires) / 8.75 6.1 %
Percentage of suppliers that have undergone on-site corporate social responsibility (CSR) audit / 2.08 1.45 %
Number of suppliers that have failed the audit due to environmental safety and health factors / 0 0 Suppliers
Percentage of audited/assessed suppliers that have engaged in corrective actions or capacity-
building initiatives / 96 94 %Supply chain
management Signing rate of the Supplier Confidentiality and Integrity Agreement among suppliers 100 100 100 %
Signing rate of the Code of Conduct for Suppliers in Collaboration with Jinpan Smart Technology
among target suppliers / 100 100 %
Signing rate of the Commitment Letter on Social Responsibility and Occupational Health and
Safety Protection among target suppliers / 100 100 %
Percentage of target suppliers who have signed contracts containing environmental labor and
human rights requirements / 100 100 %
Number of suppliers who have signed the Non Use of Conflict Minerals Warranty 6 10 10 Suppliers
Percentage of suppliers providing conflict mineral information (e.g. CMRT) / 100 100 %
The amount of overdue payments to small and medium-sized enterprises / 0 0 RMB 10000
Supplier signing rate of the Sustainable Procurement Procedure / 100 100 %
Number of participants in anti-corruption 2207 2318 2286 Persons
Average duration of anti-corruption training 2 2 2 Hours
Coverage rate of employee business ethics training / / 100 %
Number of employees attending anticorruption training 121 2318 2286 Persons
Anti-corruption
Management Integrity Agreement signing rate 100 100 100 %
Employee Integrity Agreement signing rate 100 100 100 %
Number of corruption lawsuits filed or concluded 0 0 0 Occurrences
Percentage of all sites that have undergone internal assessments or reviews focusing on specific
business ethics issues / / 100 %
103Stock code
688676 Foreword Feature
Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and
Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
ESG指标 ESG INDICATORS Year 2023 Year 2024 Year 2025 Unit
Total investment amount for rural revitalization 6.70 11.00 3.00 RMB 10000
Number of employees receiving financial aid 5 7 4 Persons
Number of employees with difficulties who were visited during the
Spring Festival 32 39 19 Persons
Amount of financial assistance provided to employees in need 14.00 12.34 8.53 RMB 10000
Public welfare and
charity Number of charitable donations initiated 9 11 17 Times
Total amount of charitable donations 81.97 93.27 46.39 RMB 10000
Number of volunteers / 40 184 Persons
Hours of volunteer service / / 920 Hours
Scope and number of beneficiary groups reached by rural
revitalization / / 1200 Persons
Economic indicators
Revenue 66.68 69.01 72.95 RMB 100 million
Net profit attributable to shareholders of listed company 5.05 5.74 6.60 RMB 100 million
Economic performance Social contribution per share 2.57 2.88 3.21 RMB/share
Revenue per employee 302.13 297.71 319.12 RMB 10000
Profit per employee 22.88 24.78 28.85 RMB 10000
Governance indicators
Shareholders’ meetings 3 2 5 Times
Board of Directors meetings 13 12 15 Times
Number of directors 6 6 6 Persons
Executive directors 2 2 2 Persons
Governance
Non-executive directors 2 2 2 Persons
Independent directors 2 2 2 Persons
Female directors 1 1 1 Persons
Percentage of female directors 16.7% 16.7% 16.7% %
104Stock code Foreword Feature Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and 688676 Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
Guidelines for Self-Regulation of Listed Companies—Sustainability Report (Trial)
Dimension No. Issue Corresponding articles Report sections
1 Responding to climate change Articles 21 to 28 Building a sustainable enterprise on a carbon-neutral foundation
2 Pollutant emission Article 30 Waste gas management
3 Waste disposal Article 31 Packaging materials and waste
4 Ecosystem and biodiversity conservation Article 32 Biodiversity protection
Environmental
5 Environment compliance management Article 33 Environmental management system
6 Energy utilization Article 35 Energy management
7 Water resource utilization Article 36 Water resource management
8 Circular economy Article 37 Packaging materials and waste
9 Rural revitalization Article 39 Rural revitalization
10 Social contribution Article 40 Public welfare and charity
11 Innovation-driven development Article 42 R&D and innovation intellectual property protection
12 Science and technology ethics Article 43 R&D and innovation
Social 13 Supply chain security Article 45 Supply chain management
14 Equal treatment of SMEs Article 46 Empower Industry Development
15 Product and service safety and quality Article 47 Product quality and safety marketing and customer service
16 Data security and customer privacy protection Article 48 Customer privacy and information security
17 Employees Article 50 Shared vision shared success
18 Due diligence Article 52 ESG governance
Sustainability- 19 Stakeholder Communication Article 53 Stakeholder communication
related
governance 20 Anti-bribery and anti-corruption Article 55 Business ethics management business ethics and cultural construction
21 Anti-unfair competition Article 56 Anti-unfair competition
105Stock code Foreword Feature Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and 688676 Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
GRI Standard Index
Statement of use Hainan Jinpan Smart Technology Co. Ltd. reported the information referenced in this GRI content index for the period from January 1 2025 to December 31 2025 in accordance with GRIstandards
GRI 1 used GRI 1: Foundation 2021
GRI指 ST标A编ND号ARD DIS披CL露OS项URE L对OC应A页TI码ON
2-1 Organizational details P3-6
2-2 Entities included in the organization’s sustainability reporting P1
2-3 Reporting period frequency and contact point P1
2-5 External assurance P112
2-6 Activities value chain and other business relationships P5 P27-30
2-7 Employees P70-76
2-8 Workers who are not employees P97
2-9 Governance structure and composition P88
GRI 2: 2-10 Nomination and selection of the highest governance body P88
General Disclosures 2021 2-11 Chair of the highest governance body P2
2-12 Role of the highest governance body in overseeing the management of impacts P88
2-13 Delegation of responsibility for managing impacts P88
2-14 Role of the highest governance body in sustainability reporting P7
2-16 Communication of critical concerns P9
2-23 Policy commitments P7
2-24 Embedding policy commitments P7
2-27 Compliance with laws and regulations P46 P48 P50-51 P63 P68-70 P75 P90-92
2-29 Approach to stakeholder engagement P9
106Stock code Foreword Feature Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and 688676 Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
GRI指 ST标A编ND号ARD DIS披CL露O项SURE L对O应CA页T码ION
3-1 Process to determine material topics P11-15
GRI 3:
Material Topics 2021 3-2 List of material topics
P12-13
3-3 Management of material topics P13
GRI 201:
Economic Performance 2016 201-1 Direct economic value generated and distributed
P3
3-3 Management of material topics P90-92
GRI 205: 205-1 Operations assessed for risks related to corruption P92
Anti-corruption 2016 205-2 Communication and training about anti-corruption policies and procedures P92
205-3 Confirmed incidents of corruption and actions taken P92
3-3 Management of material topics P46-47
302-1 Energy consumption within the organization P46-47
GRI 302:
Energy 2016 302-2 Energy consumption outside of the organization
P46-47
302-3 Energy intensity P47
302-4 Reduction of energy consumption P46-47
3-3 Management of material topics P48
303-1 Interactions with water as a shared resource P48
GRI 303: 303-2 Management of water discharge-related impacts P48
Water and Effluents 2018 303-3 Water withdrawal P48
303-4 Water discharge P48
303-5 Water consumption P48
107Stock code Foreword Feature Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and 688676 Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
GRI指 ST标A编ND号ARD DIS披C露LO项SURE L对O应CA页T码ION
3-3 Management of material topics P39-42 P49
305-1 Direct (Scope 1) GHG emissions P39-42
GRI 305: 305-2 Energy indirect (Scope 2) GHG emissions P39-42
Emissions 2016 305-4 GHG emissions intensity P39
305-5 Reduction of GHG emissions P39
305-7 Nitrogen oxides (NOX) sulfur oxides (SOX) and other significant air emissions P49
3-3 Management of material topics P50-51
306-1 Waste generation and significant waste-related impacts P50-51
GRI 306: 306-2 Management of significant waste-related impacts P50-51
Waste 2020 306-3 Waste generated P50-51
306-4 Waste diverted from disposal P50-51
306-5 Waste directed to disposal P50-51
3-3 Management of material topics P79-82
GRI 308:
Supplier Environmental 308-1 New suppliers that were screened using environmental criteria P79
Assessment 2016
308-2 Negative environmental impacts in the supply chain and actions taken P79-82
3-3 Management of material topics P68-72
GRI 401:
Employment 2016 401-1 New employee hires and employee turnover
P69
401-2 Benefits provided to full-time employees that are not provided to temporary or part-time employees P70-72
108Stock code Foreword Feature Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and 688676 Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
GRI指 ST标A编ND号ARD DIS披CL露O项SURE L对O应CA页T码ION
3-3 Management of material topics P73-74
403-1 Occupational health and safety management system P73
403-2 Hazard identification risk assessment and incident investigation P73-74
403-3 Occupational health services P73-74
GRI 403:
Occupational Health and Safety 403-5 Worker training on occupational health and safety P73-74
2018
403-6 Promotion of worker health P73-74
403-7 Prevention and mitigation of occupational health and safety impacts directly linked by business relationships P73-74
403-8 Workers covered by an occupational health and safety management system P73-74
403-9 Work-related injuries P73-74
3-3 Management of material topics P75-76
GRI 404: P75-76
Training and Education 2016 404-1 Average hours of training per year per employee
404-2 Programs for upgrading employee skills and transition assistance programs P75-76
GRI 405:Diversity and Equal 3-3 Management of material topics P69
Opportunity 2016 405-1 Diversity of governance bodies and employees P69
3-3 Management of material topics P69
GRI 406: Non-discrimination 2016
406-1 Incidents of discrimination and corrective actions taken P69
GRI 407: Freedom of Association 3-3 Management of material topics P69
and Collective Bargaining 2016 407-1 Operations and suppliers in which the right to freedom of association and collective bargaining may be at risk P69
GRI 408: 3-3 Management of material topics P68
Child Labor 2016 408-1 Operations and suppliers at significant risk for incidents of child labor P68
109Stock code Foreword Feature Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and 688676 Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
GRI指 ST标A编ND号ARD DIS披C露LO项SURE L对O应CA页T码ION
GRI 409: 3-3 Management of material topics P68
Forced or Compulsory Labor 2016 409-1 Operations and suppliers at significant risk for incidents of forced or compulsory labor P68
3-3 Management of material topics P79-82
GRI 414:
Supplier Social Assessment 2016 414-1 New suppliers that were screened using social criteria
P79
414-2 Negative social impacts in the supply chain and actions taken P80
3-3 Management of material topics P80
GRI 418: Customer Privacy 2016
418-1 Substantiated complaints concerning breaches of customer privacy and losses of customer data P80
110Stock code Foreword Feature Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and 688676 Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
Feedback Form
Respected Readers
Tel: 0898-66811301
Thank you for reading the Hainan Jinpan Smart Technology Co. Ltd. 2025 Sustainability Report and Environmental Social and Governance (ESG) Report. To better meet your
needs and provide more valuable information to you and all stakeholders while promoting Jinpan Smart Technology’s comprehensive management capabilities and work
performance and enhancing our ability and level of social responsibility we sincerely hope that you can provide valuable feedbacks on the report. You can do so by contacting Email: info@jst.com.cn
us through the following channels.
1. Which stakeholder category do you belong to 4. In terms of the amount of information disclosed accuracy completeness readability and
layout design in this report you would rate them as follows:
? Senior Management (including directors supervisors senior executives etc.) ? Employees
Amount of ? Very High ? High ? Average ? Low ? Very Low
? Customers ? Government/Regulatory Agencies ? Shareholders/Investors information disclosed:
? Suppliers/Partners ? Non-Governmental Organizations ? Other:____________ Accuracy: ? Very High ? High ? Average ? Low ? Very Low
Completeness: ? Very High ? High ? Average ? Low ? Very Low
2. Your overall impression of this report: Readability: ? Very Good ? Good ? Average ? Poor ? Very Poor
? Excellent ? Good ? Average ? Poor ? Very Poor Layout design: ? Very Reasonable ? Reasonable ? Average ? Poor ? Very Poor
3. How do you rate Hainan Jinpan Smart Technology Co. Ltd. in the following aspects 5. In terms of the amount of information disclosed accuracy completeness readability and
layout design in this report you would rate them as follows:
Corporate Governance: ? Excellent ? Good ? Average ? Poor ? Very Poor
Environmental Governance: ? Excellent ? Good ? Average ? Poor ? Very Poor
Social Responsibility: ? Excellent ? Good ? Average ? Poor ? Very Poor 6. What are your opinions and suggestions regarding the compilation of the ESG report by Hainan
Jinpan Smart Technology Co. Ltd.
ESG Management: ? Excellent ? Good ? Average ? Poor ? Very Poor
111Stock code Foreword Feature Leading a Low-Carbon Journey Co-Creating Value through Strengthening Foundations Enhancing Quality and 688676 Co-Building a Green Frontier Innovation for a Shared Future Efficiency and Consolidating Governance Appendix
Independent Assurance Statement
112
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