01 Honest Governance

About the Report 01

Overview 01

19 Corporate Governance

Reporting Time Range 01

21 Compliance Operations and Risk

Basis of Compilation 01 Management

Scope and Boundary of the Report 01 23 Business Ethics Management

Source and Reliability Assurance 01 26 Information Security and Privacy

Confirmation and Approval 02 Protection

Reporting Language 02 29 Community Investment Participation

Publication Form 02

02 Immaculate Quality

Chairman’s Statement 03

33 Innovation-Driven Development

About Highpower Technology 05 41 Opportunities in Clean Tech and

Circular Economy

Company Profile 05 45 Product Quality and Safety

Corporate Culture 05 55 Customer Relationship Management

Global Network 05 58 Sustainable Supply Chain

Product Sector 06

External Recognition 06 03 Green Planet

Sustainable Development 11

Management 65 Environmental Management and

Ecological Conservation

Sustainable Development Strategy 11

69 Emissions and Waste Management

Sustainable Development 12

Management Framework 72 Energy and Resource Management

Assessment of Material Issues 14 76 Addressing Climate Change

Due Diligence Stakeholder 15

Engagement

Appendix 103 04 Harmonious Life

Appendix I Key Performance Indicators 103

Appendix II Benchmarking Index 110

83 Employee Rights and Benefits

Appendix III Glossary 117

89 Employee Training and Development

Appendix IV Correspondence of 119

Company Names and Abbreviations 95 Occupational Health and Safety

Appendix V Independent Assurance 120

Statement

Reader Feedback Form 123

CONTENTSAbout the Report Chairman’s Statement About Highpower Technology Sustainable Development Management Honest Governance Immaculate Quality Green Planet Harmonious Life Appendix

About the Report

Overview Confirmation and Approval

This report is the third environmental social and governance report issued by Shenzhen Highpower This report was approved by the Board of Directors on 1 April 2026 after being confirmed by the

Technology Co. Ltd. (Hereinafter referred to as “Highpower Technology” the “Company”) reflecting the management.Company’s thinking practice results and prospects in carrying out compliance and ethical corporate

governance improving environmental benefits and promoting harmonious social development.Reporting Language

Reporting Time Range

The report is published in both Chinese and English. In case of any discrepancy between the two

versions the Chinese version shall prevail.This report is an annual report covering the work from 1 January 2025 to 31 December 2025 (the “reportingperiod”). To enhance the completeness of the report content certain related information may extend

beyond the reporting period and will be accompanied by a time reference where relevant.Publication Form

Basis of Compilation View or download the electronic version of this report on the official website of Highpower Technology:

https://www.highpowertech.com

This report is mainly prepared in accordance with Self-Regulatory Guidelines No. 17 for Companies Listed If you have any questions or suggestions regarding this report please feel free to contact Highpower

on Shenzhen Stock Exchange - Sustainability Report (For Trial Implementation) and with reference to the Technology at:

Sustainability Reporting Guidelines (2021 edition) of Global Reporting Initiative (GRI) the issues concerned

by Sustainable Development Goals (SDGs) and mainstream ESG ratings at home and abroad.* Board Office of Shenzhen Highpower Technology Co. Ltd.Scope and Boundary of the Report * Contact Address: Building 1 No. 68 Xinxia Avenue Pinghu Street Longgang District Shenzhen Guangdong China

The scope of information disclosed in this report covers Highpower Technology and its subsidiaries. * Email: hpcapital@highpowertech.com

Unless otherwise specified it aligns with the scope of the consolidated financial statements of

Highpower Technology (Stock Code: 001283). Should any discrepancy arise between the scope of

sustainable performance data and the reporting scope within this document the notes in the main * Contact Tel: +86-0755-8968-6543

body of the report shall prevail.Source and Reliability Assurance

The information and data disclosed in this report are derived from the Company’s statistical reports

and official documents and have been reviewed by relevant departments. The Company promises that

there is no false record or misleading statement in this report and is responsible for the authenticity

accuracy and completeness of the content. All currencies in the report are RMB. If the financial data in

this report is inconsistent with the financial report disclosed by the Company the financial report shall

prevail.

01 2025 Environmental Social and Governance (ESG) Report 2025 Environmental Social and Governance (ESG) Report 02About the Report Chairman’s Statement About Highpower Technology Sustainable Development Management Honest Governance Immaculate Quality Green Planet Harmonious Life Appendix

Chairman’s Statement

Currently global energy technology and artificial Company has established a systematic technological Harmonious Life: Forging agile self-driven teams to

intelligence are undergoing profound integration leadership framework forming a technology matrix that ignite fresh vitality in organizational growth. Highpower

with AI appl ications represented by edge-side covers “AI-driven energy demands across all scenarios”. Technology firmly believes that talent constitutes

intelligent devices accelerating their deployment. Through exceptional product and service capabilities the Company’s most valuable asset prioritizing

This convergence is generating unprecedented new Highpower Technology fosters deep symbiosis with occupational wellbeing alongside employees’ lawfuldemands standards and possibilities for the renewable global clients. It is committed to evolving from a “product rights and workplace democracy to cultivate a secureenergy sector . H ighpower Technology act ively demand responder” into a “joint planner of future equitable and respectful working environment. Throughembraces this trend having defined its development scenarios” while continuously advancing sustainable five strategic pillars – organizational development

objective as the “Pioneer in Edge AI Energy”. Through supply chain development. Together with clients and employee motivation managerial oversight talent

continuous scenario insights and technological suppliers the Company builds a sustainable business cultivation and cultural atmosphere building – theinnovation the Company is committed to delivering ecosystem characterized by “technology sharing and Company systematically constructs a people-centricsafer more efficient and cleaner system-level energy value co-creation”. dynamic organizational ecosystem. Highpower

solutions for global clients empowering intelligent Technology has established a comprehensive training

devices and a sustainable future. Green Planet: Implementing Clean Technologies and development system covering all employees

and Circular Economy Principles to Explore New throughout their entire career lifecycle. Through a

Honest Governance: Advancing ESG-Integrated Paradigms for Low-Carbon Development. Highpower competitive remuneration and benefits package

Governance to Forge a New Paradigm of Steady Technology adheres to a green design philosophy diversified incentive schemes combining short-term

Progress. Highpower Technology embeds sustainability centered on low-carbon footprints throughout the and long-term rewards and a transparent promotion

within its corporate DNA incorporating ESG risks entire product lifecycle. By deeply integrating circular mechanism the Company collaborates with all staff to

into its enterprise risk management framework. The economy principles into product development the share the rewards of development through collective

Company drives deep integration of ESG principles Company actively increases the proportion of recycled endeavour and unlock boundless potential through

with its business operations proactively transforming materials used. This includes exploring sustainable innovation.ESG challenges into new opportunities to propel product solutions such as removable batteries

technological innovation and shape competitive thereby driving low-carbon transformation within The future is already upon us and the tide of change

advantages. The Company continuously refines its the industry. At the operational level the Company has arrived. Highpower Technology remains steadfastlygovernance mechanisms and internal control systems systematically advances the establishment of energy anchored to its core “Edge AI Power Solutions and Solid-upholds business ethics maintains stringent information and greenhouse gas management systems. As of State Battery Technologies” strategy pursuing a path of

security controls and fortifies the foundations of the report’s publication Guangdong Highpower and independent R&D coupled with open collaboration. The

compliant operations. Concurrently The Company Huizhou Highpower have obtained ISO 50001 Energy Company focuses intently on application scenarios

actively engages in philanthropic endeavours such as Management System Certification conducting regular client requirements and user experience harnessing

educational support and community welfare initiatives greenhouse gas inventories and verifications. Through cutting-edge technologies to ignite new dimensions

practising business for good and striving to achieve a key technical upgrades—including optimizing water of creativity. With unwavering conviction an open-

harmonious unity of economic benefits environmental intelligent control systems and implementing energy- minded approach uncompromising innovation and

benefits and social value. saving modifications to air compressors—the Company tenacious endeavour the Company shall navigate

continuously enhances energy efficiency. Concurrently the competitive currents of the industry proactively

Immaculate Quality: Forging a Sustainable Innovation it vigorously deploys distributed photovoltaic systems embracing and crafting a new chapter of high-quality

Moat Building a New Ecosystem of Shared Value. and procures green electricity at scale supporting the sustainable development.Research and development remains the core engine clean transition of the energy structure. In 2025 the

driving the Company’s innovative breakthroughs proportion of renewable energy used reached 25.34%.and constructing competitive barriers. Highpower The Company is striving to achieve carbon neutrality

Technology deeply integrates AI technology into R&D across its global operations by 2040 and carbon

process not only manufacturing batteries for AI devices neutrality across its value chain by 2050 demonstratingbut also leveraging AI to optimize R&D processes such concrete action in response to the national “Dualas materials design and manufacturing techniques. Carbon” strategy. Chairman of Shenzhen Highpower Technology Co. Ltd

Addressing core pain points in edge AI devices—

including energy consumption size and security—the George Pan

03 2025 Environmental Social and Governance (ESG) Report 2025 Environmental Social and Governance (ESG) Report 04About the Report Chairman’s Statement About Highpower Technology Sustainable Development Management Honest Governance Immaculate Quality Green Planet Harmonious Life Appendix

About Highpower Technology Product Sector

Company Profile

Shenzhen Highpower Technology Co. Ltd. (Stock Code: 001283) is dedicated to the R&D design manufacturing and sales of

Li-ion batteries and Ni-MH batteries. As an enterprise with independent R&D capabilities and comprehensive international

market competitiveness Highpower Technology provides customers with flexible and reliable one-stop battery energy

solutions. The Company actively engages in battery recycling and resource utilization continuously creating substantial

value for customers and society. Leveraging our profound technical expertise and extensive product development

experience Highpower Technology has earned the trust and recognition from numerous Fortune 500 companies and

leading brands in specialized industries.Corporate Culture

New Energy Solutions for Consumer Application Scenarios

Vision Mission Core Values

Provide world-class clean To solve global customer Delight customers open

Laptops and Peripherals Smart Wearables Smartphone

energy solutions to power challenges and pressures; minded and shared success

the future. Respond rapidly; Provide safe dedication to details and AI Glasses AI Toys AI Earphones/Hearing Aidsproducts and quality service. always improve.Embodied AI Robot Quadrupedal Robotic Dog TWSOWS Earphones

Unmanned Aerial Vehicle eVTOL High-End Security Backup Power Supply

Global Network Bluetooth Speaker Personal Care Medical Equipment

AI Server BBU (Battery Backup Unit) Lightweight Power Portable Energy Storage

Solar-Powered Energy Storage

Street Lamps Consumer Retail Vehicle-Mounted T-BOX

Energy Storage Application Scenarios New Energy Solutions Products

Commercial and Industrial

Energy Storage Residential Energy Storage

Energy Storage for

Telecommunications Base Stations

External Recognition

The Company has steadfastly implemented ESG principles securing multiple accolades and recognitions across

environmental social and governance domains throughout 2025. Regarding third-party ratings the Company

maintained its A-grade standing in the Wind ESG Rating; its CDP Climate Change Rating advanced to B whilst its Water

Security Rating achieved a B- upon first participation. This demonstrates the Company’s consistent improvement in

environmental disclosure and management performance.

05 2025 Environmental Social and Governance (ESG) Report 2025 Environmental Social and Governance (ESG) Report 06About the Report Chairman’s Statement About Highpower Technology Sustainable Development Management Honest Governance Immaculate Quality Green Planet Harmonious Life Appendix

Honors and Accreditations Immaculate Quality

2024 Top 100 Industrial

Sustainable Development Enterprises in Longgang Golden Sound Award - Best District Shenzhen Component Manufacturer

Shenzhen Longgang District 52audio

Bureau of Industry and

Information Technology

2025 AGIC Top 30 Key Enterprises

in the AI Industry Chain 2025 Listed Companies Reputation Ranking – Listed

2025 Shenzhen (International) Companies with Outstanding

General Artificial Intelligence Competitiveness in Artificial

Conference Intelligence

Shenzhen (International) General

Artificial Intelligence Industry Expo Daily Economic News

CDP (Climate) Rating: B Guangdong Highpower Awarded

Wind ESG Rating: A CDP (Water Security) Rating: B- EcoVadis Sustainability Bronze Medal

Wind 2025 AI Frontier Innovation 2025 AI Tianma Leading CDP EcoVadis

Award Enterprise

Value Online Shenzhen Artificial Intelligence Industry Association

Guangdong Future Industry

Research Institute

The 15th (2025) China Battery

and New Energy Industry Gao高go工ng金 G球ol奖den Globe

Annual Innovation Award Award - Annual Innovation“年度创新”

HaiRong Network Shenzhen Gaogong Consulting

Battery Network Co. Ltd.

52EV

China Energy Finance

Social Responsibility Award 2025 Listed Companies ESG Shanghai Stock Exchange Eagle · Gold

Guangdong High-Tech Value Transmission Award Quality 2025 ESG Award

Industrial Chamber of Value Online Shanghai Securities News

Commerce China Securities Network 2025 Advanced Pack 2025 Advanced Cell Enterprise

Enterprise

Guangdong Battery Industry

Guangdong Battery Industry Association

Association

Honest Governance

Green Planet Harmonious Life

The 19th Annual The 19th China The 21st Gold

Outstanding Listed Companies Medal SecretaryManagement “Sunshine to the Board:Pioneer of China’s Secretary of the Chen PingListed Companies : Board” Award: Guangdong Highpower ESG Sustainable Innovation

Pan Dangyu Chen Ping New Fortune Awarded Provincial Green Ecosystem Conference

Magazine Factory Status Outstanding Employer of the

Securities Times Securities Times Year for Social ContributionDepartment of Industry and

Information Technology of Southern Metropolis Daily

Guangdong Province

07 2025 Environmental Social and Governance (ESG) Report 2025 Environmental Social and Governance (ESG) Report 08About the Report Chairman’s Statement About Highpower Technology Sustainable Development Management Honest Governance Immaculate Quality Green Planet Harmonious Life Appendix

Market Recognition

Icon Energy Awarded Outstanding Supplier Best Quality Performance Sustainability

the Excellence in Delivery Award Award Improvement Award

Pioneer Award

(2024 Supplier Evaluation) Lisheng Automotive ZTE Corporation

Supplier Sustainability

Technology Performance Program

Hello Tech (Guangzhou) Co. Ltd. PHILIPS

Best Delivery Award Guangdong Highpower

GoerTek Group Awarded 2024 SUNML Supplier Award – Strategic Partner 2025 Outstanding

Outstanding Partner

China CITIC Bank Quality Award

SUNMI TINNO Mobile

09 2025 Environmental Social and Governance (ESG) Report 2025 Environmental Social and Governance (ESG) Report 10About the Report Chairman’s Statement About Highpower Technology Sustainable Development Management Honest Governance Immaculate Quality Green Planet Harmonious Life Appendix

Sustainable Development Sustainable Development Management Framework

Management The Company has established a three-tier ESG governance framework encompassing the decision-making management and operational levels. During the reporting period the Company further clarified the allocation of

responsibilities and designated personnel for relevant operational departments ensuring accountability at every

level. Regarding risk management the Company has progressively integrated ESG-related risks into its overall risk

management systems. A tiered information reporting and oversight mechanism has been established. Based on

Sustainable Development Strategy the significance and impact of sustainability matters information is conveyed promptly and accurately across all levels through meetings written communications and verbal updates. This ensures the systematic and orderly

advancement of the Company’s sustainability initiatives.In 2023 the Company unveiled its HIGH Sustainable Development Strategy. This strategy is underpinned by four core

pillars: Honest Governance Immaculate Quality Green Planet and Harmonious Life. It deeply aligns the Company's Sustainable Development Governance Framework

development strategy with the United Nations Sustainable Development Goals committing to becoming a world-

class clean energy solutions provider and jointly creating a better life for humanity. Strategy

Committee of * Review ESG trends supervise ESG-related issues and identify risks and

the Board of opportunities for sustainable development

Directors * Guide and formulate the Company's environmental social and corporate

Honest Governance Immaculate Quality Sustainable governance vision objectives strategies and structure

Promote responsible business practices Pioneer excellence innovation and quality assurance Development * Supervise ESG-related vision strategies implementation structure and

Decision-Making progress of goals

SDGs Relationship SDGs Relationship Committee at * Fulfill all responsibilities as the highest responsible body for the management

the level of Board

Decision-Making and public disclosure of the Group’s ESG issuesof Directors

Layer

Material Issues Material Issues

* Corporate Governance * Compliance Operations and Risk Management * Innovation-Driven Development * Product Quality and Safety

* Anti-Commercial Bribery * Anti-Unfair Competition * Customer Relationship Management * Circular Economy

* Information Security and Privacy Protection * Opportunities in Clean Tech * Sustainable Supply Chain * Review risks and significance related to the Group’s ESG issues

* Community Investment Participation * Equal Treatment for SMEs

Sustainable * Review and approve the Group’s sustainable development strategies and

Policies Policies Development goals

* Business Ethics Policy * Quality Policy * HSF Policy Management * Supervise and review the Group’s policies management and performance

Highlights of Performance in 2025 Highlights of Performance in 2025 Committee related to ESG matters as well as progress of SDGs

Major risk incidents: 0 Obtained quality management system certifications including ISO 9001

IATF 16949 QC080000 and ISO 13485 * Review and approve the Group’s public disclosure of the ESG-related mattersConducted 5 anti-corruption audits

Information security incidents: 0 Focusing on cutting-edge technologies such as flexible conductive films solid-

Management

state batteries smart wearables and robotic power supplies the Company has Layer

Female directors account for 33.33% achieved breakthroughs and mass production of key products.

358 new patent authorizations were granted with invention patent authorizations

increased by over 150% year-on-year.R&D Innovation Incentive Amount: RMB 2096900 * Formulate ESG-related policies and action plans consistent with the Group's

100% signing rate for the Supplier Social Responsibility Commitment Letter sustainable development strategies and goals

All newly approved production suppliers undergo 100% sustainability audits in

accordance with established criteria. Sustainable * Manage ESG-related risks and issues during the Group's routine operations

Customer satisfaction rate: 94% Development * Coordinate and promote the implementation of ESG-related matters

Execution Group throughout the whole Group

* Communicate with stakeholders

* Prepare and publicly disclose the Group's ESG report

Green Planet Harmonious Life

Foster a sustainable future Elevate well-being for the whole community

SDGs Relationship SDGs Relationship * Promote the specific improvement and management of ESG issues complete Execution

Layer Various Business related work such as policy development design and implementation of ESG Departments projects and information collection as well as other tasks assigned by the

Material Issues Material Issues Sustainable Development Execution Group

* Addressing Climate Change * Emissions and Waste Management * Employee Rights and Benefits * Diversity Equality and Inclusion

* Environmental Management * Energy Management * Employee Training and Development * Occupational Health and Safety

* Water Resource Management * Ecosystem and Biodiversity Conservation

Policies Policies

* Environmental Policy * Social Responsibility Policy ESG-Linked Remuneration

Highlights of Performance in 2025 Highlights of Performance in 2025

0 major environmental incidents occurred Employee training coverage rate: 100% The Company has explicitly incorporated ESG performance into the annual performance evaluation and remuneration

100% of subsidiaries involved in production and manufacturing have obtained Training hours per employee on average: 26 hours

ISO 14001 environmental management system certification Total hours of employee safety training reached 36495 hours structure for senior management. The assessment framework focuses on key social responsibility risk indicators

6 products have achieved ISO 14067 product carbon footprint certification Achieving a 100% rectification rate for major safety hazards including safety environmental protection public crises major quality incidents and product compliance rates.

Renewable energy usage ratio: 25.34% Moving forward the Company plans to progressively integrate critical ESG metrics such as energy management

and carbon reduction targets into the assessment scope thereby continuously strengthening incentives and

accountability for management in the realm of sustainable development.

11 2025 Environmental Social and Governance (ESG) Report 2025 Environmental Social and Governance (ESG) Report 12About the Report Chairman’s Statement About Highpower Technology Sustainable Development Management Honest Governance Immaculate Quality Green Planet Harmonious Life Appendix

ESG Management Empowerment Assessment of Material Issues

The Company actively recruits ESG specialists and continuously refines its ESG training framework systematically

advancing multi-domain tiered capability development across environmental social and governance dimensions. Based on the Company’s development strategy industry dynamics feedback and expectations from internal and

Regarding environmental matters the Company has organized training covering foundational environmental external stakeholders and rating agencies while also taking into account the latest requirements from regulatory

knowledge ISO 14001 and 50001 internal auditor certification RoHS and REACH compliance energy conservation bodies the Company has conducted a systematic analysis and identification of material issues. During the reporting

emissions reduction and waste management for personnel responsible across all departments. For social issues period the Company updated and adjusted our materiality issues list conducted an in-depth assessment of the

training encompasses promoting Responsible Business Conduct (RBA) product safety emergency response planning sustainability impacts risks and opportunities associated with each issue and performed a materiality assessment to

ISO 45001 internal auditor certification and occupational health and safety training. Regarding corporate governance determine the relevance of each issue to Highpower Technology’s own operations and industry trends as well as their

the focus is on compliance and risk prevention including training on new overseas regulations such as the EU Battery

Regulation alongside specialized courses on procurement compliance and anti-fraud measures. Moving forward the

Company will further leverage systematic regularized training to progressively establish a comprehensive prioritized

pragmatic and efficient ESG capability development mechanism. Double Materiality Assessment Process

Case Highpower Technology Conducted ESG-Focused Training Program to Systematically Establish a List of IssuesEnhance Sustainable Development Management Capabilities

The Company successfully conducted an ESG-focused training program in September 2025. This The Company conducted a comprehensive analysis of exchange disclosure requirements

session specially invited an ESG partner from ShineWing Certified Public Accountants to serve as expert mainstream ESG rating criteria and stakeholder priorities. By benchmarking against industry

lecturer. Targeting department heads and designated liaison officers across all divisions the training leaders it identified 23 potential material issues.systematically covered foundational ESG theory and regulatory policy trends ESG assurance and rating

practices key considerations for ESG investment and financing alongside case studies of green finance

innovation. Practical sharing and discussions were also facilitated around these topics.Assessment of Material Issues

ESG Audit Impact materiality assessment: Through extensive stakeholder questionnaire distribution

The Company regularly undergoes third-party corporate social responsibility audits commissioned by clients strictly positive and negative impacts of each issue were evaluated across dimensions including

adhering to international social responsibility standards and client compliance requirements. During the reporting scale scope likelihood and irreparability. This process identified 14 issues deemed materially

period Guangdong Highpower successfully passed EcoVadis (achieving Bronze status) RBA and Sedex (SMETA) significant.audits; Huizhou Highpower successfully passed the RBA audit; Vietnam Exquisite Power successfully passed the Sedex Financial Materiality Assessment: Internal management investors company directors

(SMETA) audit. All these represent audits conducted under internationally recognized social responsibility systems and and strategic experts respectively analyzed the likelihood of occurrence and the degree of

client-commissioned assessments. The Company proactively implemented corrective actions for improvement areas financial impact (comprehensively considering both costs and benefits and assessing the

identified during these audits achieving a 100% overall pass rate for social responsibility audits. effect on "net profit") of risks and opportunities associated with each issue from short-term (≤1

year) medium-term (1-3 years inclusive) and long-term (>3 years) perspectives.Double Materiality Assessment and Analysis: Conducted a quantitative analysis of the

outcomes from both impact materiality and financial materiality assessments presenting the

overall priority ranking of each issue through a matrix format.Issues Review and Confirmation

Following a review and confirmation by the Company the six issues of highest double

materiality this year are: Innovation-Driven Development Customer Relationship Management

Product Quality and Safety Sustainable Supply Chain Occupational Health and Safety

and Addressing Climate Change. These are disclosed with emphasis in this report underthe framework of “Governance – Strategy – Impact Risk and Opportunity Management –Indicators and Targets”.

13 2025 Environmental Social and Governance (ESG) Report 2025 Environmental Social and Governance (ESG) Report 14About the Report Chairman’s Statement About Highpower Technology Sustainable Development Management Honest Governance Immaculate Quality Green Planet Harmonious Life Appendix

Double Materiality Matrix

Stakeholders Focus Issues Communication Channels and Response Methods

High Double Materiality Issues * Innovation-Driven DevelopmentImpact-Material but Not Financially-Material Issues

* Opportunities in Clean Tech * The general meeting of shareholders

01 Anti-Commercial Bribery 08 Circular Economy

01 Innovation-Driven Development * Product Quality and Safety * Periodic reports and interim

02 Corporate Governance 09 Emissions and Waste Management Customer Relationship Management Environmental issues02 * Corporate Governance announcements

03 Opportunities in Clean Tech

10 Energy Management Social issues Shareholders and 03 Product Quality and Safety * Compliance Operations and Risk * Interactive Easy and official website

04 Anti-Unfair Competition Investors

11 Employee Training and

Governance issues

04 Sustainable Supply Chain Management * Earnings presentation

05 Compliance Operations Developmentand Risk Management Anti-Commercial Bribery Roadshow and reverse roadshow12 Water Resource Management 05 Occupational Health and Safety * *

06 Environmental Management Diversity Equality and Inclusion 06 Addressing Climate Change * Anti-Unfair Competition * Online and offline meetings of analysts13

07 Employee Rights and Benefits * Occupational Health and Safety

14 Information Security and Privacy Protection

Non-Material Issues Financially-Material but not Impact-Material Issues * Product Quality and Safety

* Innovation-Driven Development

01 Equal Treatment for SMEs (None) * Opportunities in Clean Tech

02 Ecosystem and Biodiversity Conservation * Customer Relationship * Technology R&D and innovation

03 Community Investment Participation Management * Customer satisfaction surveyCustomers

* Circular Economy * Phone call

* Compliance Operations and Risk * Quality management system

Management

* Information Security and Privacy

Low High Protection

Financial Materiality * Product Quality and Safety

* Anti-Commercial Bribery

Suppliers and * Anti-Unfair Competition * Supply chain management and audit

Partners * Circular Economy * Supplier communication and empowerment

* Sustainable Supply Chain

* Occupational Health and Safety

Due Diligence Stakeholder Engagement

* Employee activity

* Occupational Health and Safety * Employee training

Due diligence constitutes the core function through which the Company identifies assesses mitigates and Employee Rights and BenefitsEmployees Other * * Employee appraisal and promotionaddresses various ESG risks. The Company focuses on conducting specialized investigations in areas such as supplier than the Board * Diversity Equality and Inclusion Labor union

management with specific details disclosed in the relevant subsections. * and Senior * Employee Training and

Development * Internal information communication

The Company places high importance on two-way communication and relationship maintenance with all Management platform

stakeholders. For different groups including government bodies investors customers employees suppliers partners * Information Security and Privacy Protection * Occupational health surveillance

and communities the Company balances regular communications with daily interactions continuously gathering * Safety production management

feedback and expectations while providing timely updates on relevant actions and progress.* Customer Relationship

Communication Channels and Management * Internal management meetings and Stakeholders Focus Issues Response Methods * Opportunities in Clean Tech reports

Board and Senior * Corporate Governance * Corporate governance training

Management * Compliance Operations and Risk * Internal information communication

Management platform

* Anti-Commercial Bribery * Anti-Commercial Bribery * Internal email

* Anti-Unfair Competition * Anti-Unfair Competition

* Environmental Management

* Emissions and Waste Management * Regulatory supervision * Environmental Management

Government and * Energy Management * Official correspondence * Emissions and Waste Management

Regulators * Water Resource Management * Information disclosure * Energy Management

* Addressing Climate Change * Public benefit activities* Policy implementation NGO/Social * Addressing Climate Change

* Ecosystem and Biodiversity * VolunteeringOrganization/

Conservation * Ecosystem and Biodiversity Media * Media interviewsConservation

* Community Investment * Information disclosure

Participation * Diversity Equality and Inclusion

* Community Investment

Participation

15 2025 Environmental Social and Governance (ESG) Report 2025 Environmental Social and Governance (ESG) Report 16

Impact MaterialityAbout the Report Chairman’s Statement About Highpower Technology Sustainable Development Management Honest Governance Immaculate Quality Green Planet Harmonious Life Appendix

Corporate Governance

During the reporting period the Company Convened the Following Meetings:

The Company strictly adheres to laws and regulations including the Company Law Securities Law Corporate

Governance Guidelines for Listed Companies and the Shenzhen Stock Exchange Listing Rules alongside regulatory

requirements. It continuously refines its modern corporate governance system centered on the Articles of Association Shareholders' Supervisory Board of Directors Audit Committee

and encompassing the Rules of Procedure for Shareholders' Meetings Rules of Procedure for Board Meetings and the Meetings Board Meetings Meetings Meetings

Independent Directors' Working System. It clearly delineates responsibilities and authority ensuring the Company's

sustained compliant and healthy development. 3 sessions 2 sessions 6 sessions 6 sessions

In 2025 the Company actively responded to relevant regulations issued by the China Securities Regulatory

Commission including the Transitional Arrangements for Implementing Supporting Rules and Regulations under the

New Company Law and the Guidelines for Articles of Association of Listed Companies prioritizing the optimization Remuneration and Appraisal Strategy Committee Nomination Committee

and upgrading of its corporate governance structure. As a core reform measure the Company restructured its Three Committee Meetings Meetings Meetings

Meetings and One Layer System abolishing the supervisory board while concurrently establishing the Board Audit

Committee as the dedicated oversight body. This committee assumes the statutory supervisory functions previously 4 sessions 3 sessions 3 sessions

held by the supervisory board thereby securing its central position within the governance framework.Remuneration and Appraisal Committee

General Meeting of Shareholders Investor Relations Management

Nomination Committee

The Board of Directors The Company places great emphasis on investor relations management. Through multiple channels including

Strategy Committee shareholders' meetings earnings briefings on-site investor visits and the Shenzhen Stock Exchange's Interactive

The Management Level Platform the Company promptly understands and addresses investors' expectations and concerns. Within the

Audit Committee scope permitted by information disclosure regulations the Company timely communicates the latest operational

Highpower Technology's Corporate Governance Structure developments performance results and strategic plans to investors.Key Performance in 2025

Board Diversity

The current members of the Company's Board of Directors possess diverse industry backgrounds and extensive Responded to 194 inquiries via Shenzhen Stock Exchange Conducted 4

professional theoretical and practical experience with expertise spanning materials science and technology R&D Interactive Platform with a 100% response rate performance briefing sessions

finance and accounting management and strategy. Among the nine directors three are female playing vital roles in

key areas including corporate governance and disclosure financial accounting and representing employee interests.This significantly enhances the Board's inclusivity and the breadth of its decision-making perspectives.Organized 11 Engaged in over a thousand telephone communications

Proportion of independent directors Proportion of female directors investor research visits with investors

on the Audit Committee 100.00% 33.33%

Proportion of independent directors

on the Remuneration Committee 66.67%

Proportion of independent directors Capital Markets Awards

Proportion of independent directors

on the Nomination Committee 66.67% 33.33%

Company Secretary awarded the 21st Company Secretary honored with the 19th "China Listed

"New Fortune Gold Medal for Company Companies Sunshine Secretary of the Board" by Securities

Secretary" Times

Board Effectiveness

The Company has established a closed-loop management mechanism comprising "professional screening

process oversight and periodic evaluation" to align with core strategic development requirements. During the

director nomination phase the Nomination Committee focuses on core domains such as accounting and finance Protection of Investors' Rights

corporate strategy and materials science and technology R&D. It rigorously screens candidates possessing profound

professional expertise and practical experience. Candidates undergo a three-tiered progressive process: "Nomination The Company imposes strict controls over connected transactions that may prejudice the interests of investors

Committee review → Board deliberation → Shareholders' meeting election". Each stage rigorously assesses their ensuring that all such transactions are conducted in line with the Company's normal operations and actual business

independence professional competence and alignment with the Company's requirements while ensuring voting needs. By improving its internal control system and strictly complying with approval procedures the Company

procedures are conducted in strict compliance with legal and regulatory requirements. The Company conducts safeguards the fairness and reasonableness of each transaction and effectively protects the legitimate rights

annual effectiveness assessments of the Board as a whole its specialized committees and all directors (including and interests of all investors. The Company attaches great importance to shareholder returns and shall distribute

independent directors) through a combination of self-assessment and external assessment: independent directors dividends by means of cash stocks a combination of cash and stocks or other methods permitted by laws and

submit written performance reports for self-reflection with the Board conducting collective evaluations based on regulations. Provided that the Company is profitable and its cash flow is sufficient to meet its ongoing operations

their annual performance. The Board and committees review the standardization and effectiveness of their annual and long-term development the Company shall prioritize cash dividends for profit distribution. The Company's profit

work through questionnaires or thematic meetings focusing on meeting procedures decision-making quality and distribution shall not exceed the limit of its accumulated distributable profits and shall not impair its sustainable

communication and coordination with management. operational capacity.

19 2025 Environmental Social and Governance (ESG) Report 2025 Environmental Social and Governance (ESG) Report 20About the Report Chairman’s Statement About Highpower Technology Sustainable Development Management Honest Governance Immaculate Quality Green Planet Harmonious Life Appendix

Compliance Operations and Risk Case Procurement Legal Risk Prevention and Compliance Management Training

Management

The Company conducted a training program on Procurement Legal Risk Prevention and Compliance

Management in March 2025 covering all personnel from relevant departments liaising with suppliers

including the Procurement Center and Equipment Platform Department. A total of 75 individuals

Risk Management participated in the training. The program comprehensively addressed key risk prevention points throughout the entire procurement contract signing and fulfilment process as well as the dispute

litigation process. This effectively enhanced participants' awareness of procurement legal risks and

The Company aligns its risk management framework with operational development objectives embedding strengthened their compliance management capabilities.fundamental risk management processes throughout all stages and aspects of business operations. A risk

management organizational structure comprising three lines of defense has been established with functional

departments systematically identifying communicating and effectively mitigating significant risk matters. Throughout

2025 the Company experienced no major risk incidents.

Internal Audit

The Company has established regulations including the Internal Control System Internal Audit System and Emergency

Three Lines of Defense in Risk Management Crisis Management System for Unexpected Events. Based on the annual operational policy an internal audit plan is

formulated to conduct independent and impartial internal audits across all business modules implementing integrity

and compliance oversight while investigating and addressing non-compliant conduct. During the reporting period no

The First Defense The Second Defense The Third Defense significant risks were identified through the audit process.Key Performance in 2025

Each subsidiary each system

and business unit (BU) Each department Audit department

5 special internal audits were conducted covering such areas as the operation and management

of Highpower Supply Chain quality management seal management sales management and

equipment procurement management.Identify and respond to Assessment of the risks Responsible for

potential risks in the first faced by the Company in comprehensively supervising

time to ensure robust and order to develop scientific and assessing the

efficient business and reasonable risk effectiveness of the entire 11 external compliance audits were carried out including operation management strategies risk management system 4 audits of raised fund management

and measures for the ensuring the 2 audits of external guarantee 2 audits of connected transactions 2 audits of foreign exchange

Company implementation of risk hedging and audit of internal control evaluation report.management measures and 1

providing a safeguard for the

Company's stable operation

21 2025 Environmental Social and Governance (ESG) Report 2025 Environmental Social and Governance (ESG) Report 22About the Report Chairman’s Statement About Highpower Technology Sustainable Development Management Honest Governance Immaculate Quality Green Planet Harmonious Life Appendix

Business Ethics Management

Training Program on Corporate Anti-Fraud Investigations and Detailed Analysis

Anti-Commercial Bribery Case of Common Offences

The Company has formulated and implemented internal regulations including the Anti-Fraud Management

System and the Code of Employee's Conduct and Discipline Management Regulations of Highpower Technology

establishing and refining an anti-fraud risk prevention and control mechanism characterized by clear delineation The Company conducted a training program entitled Corporate Anti-Fraud Investigations and Detailed

of responsibilities well-defined priorities and robust measures. During the reporting period the Company revised Analysis of Common Offences in December 2025. Targeted at personnel from key departments including

and optimized the Anti-Fraud Management System further upgrading and enhancing its anti-fraud management the Procurement Center Equipment Platform Department and Warehouse Management Department the

framework. training covered core topics such as fundamental concepts of fraud the costs of fraudulent practices

common fraudulent behaviors and analysis of associated offences alongside the Company's anti-fraud

measures and integrity initiatives. This effectively strengthened participants' awareness of integrity and

self-discipline as well as their ability to identify anti-fraud risks.Audit Committee Senior Management Audit Department Conduct Regular Anti-Corruption Risk Assessments

During the reporting period:

The Company conducts regular self-assessments of its internal controls.It identifies key control points for fraud risks evaluates the development Conducted anti-

and effectiveness of anti-fraud systems and procedures and promptly corruption audits:

The leadership body for anti- Responsible for establishing The standing body responsible reviews and analyzes significant fraud incidents to formulate targeted

fraud work responsible for improving and implementing the for the Company's anti- prevention and control measures. 5 times

guiding and overseeing the internal control system to prevent fraud work and handling

Company's anti-bribery anti- fraudulent behavior and for whistleblowing. It is in charge

corruption and anti-fraud efforts. taking appropriate and effective of implementing the anti-fraud

corrective actions against initiatives including registering

fraud. Senior management and handling reports organizing Strictly Investigate and Deal with Corruption Issues

is supervised by the Board of investigations and assessments

Directors Audit Committee and of anti-fraud incidents and The Company has consistently upheld a zero-tolerance principle towards corrupt practices drawing profound

Audit Department. providing recommendations for lessons from various corruption cases. Relevant units were organized to thoroughly investigate root causes and

handling and accountability. conduct in-depth reviews. By strengthening rigorous employee education management and oversight the Company

further refined its institutional framework and strictly adhered to management procedures thereby preventing

recurrence of similar issues at source. In 2025 the Company investigated and resolved three cases of corruption and

misconduct resulting in disciplinary action against seven individuals. Additionally cooperation with eight suppliers has

been suspended due to non-compliant practices on their part.Key Anti-Fraud Measures

Strengthening Integrity Culture Development

Anti-Unfair Competition

The Company routinely cultivates and promotes integrity culture

through diverse initiatives. Upon joining every employee must read The Company steadfastly upholds the fundamental principle of fair competition strictly adhering to the requirements

the Code of Employee's Conduct and Discipline Management of the Anti-Unfair Competition Law of the People's Republic of China and the laws and regulations of each operational

Regulations of Highpower Technology with particular emphasis on region. Through the establishment of internal systems such as the Anti-Unfair Competition Management Procedures

business ethics. Regular training sessions on relevant laws regulations and the Fair Trade and Competition Management Procedures and by incorporating anti-unfair competition

and professional ethics are provided to staff. Internal case studies are training into the business ethics education system for new employees it continuously builds a comprehensive

utilized for cautionary education guiding all employees to consciously compliance management framework. The Company regards safeguarding a healthy market economy order and

uphold integrity in their professional conduct and fostering a pervasive upholding fairness and justice as its duty. It earnestly protects the legitimate rights and interests of consumers

atmosphere of rigorous standards and reverence for integrity. For and fellow operators actively collaborating with all sectors of society to jointly resist all forms of unfair competition.suppliers the Company requires the signing of an Integrity Agreement Concurrently it proactively engages with industrial and commercial authorities and other governmental regulatory

during the supplier onboarding process thereby guiding and bodies fully cooperating with oversight and verification of its business activities. It maintains a zero-tolerance stance

enhancing their awareness of integrity and self-discipline. In 2025 the and resolutely combats any violations that disrupt market order. During the reporting period the Company had no

Company drived 45 key suppliers to sign the Integrity Agreement. litigation disputes or significant administrative penalties related to unfair competition or anti-monopoly matters.

23 2025 Environmental Social and Governance (ESG) Report 2025 Environmental Social and Governance (ESG) Report 24About the Report Chairman’s Statement About Highpower Technology Sustainable Development Management Honest Governance Immaculate Quality Green Planet Harmonious Life Appendix

Whistleblowing Management Information Security and

The Company has established internal management systems including the Whistleblowing Management System

and the Fraud Case Handling Management System. These clearly define reporting criteria scope of application and

investigation procedures while also specifying detailed safeguards for whistleblower rights to alleviate concerns Privacy Protection

about reporting.The Company actively establishes a multi-channel whistleblowing mechanism providing employees and external

partners with diverse feedback pathways including dedicated email addresses online platforms and offline contact The Company strictly adheres to relevant laws and regulations including the

points. This ensures that all improper conduct violating business ethics or breaching laws and regulations is promptly Cybersecurity Law of the People's Republic of China the Data Security Law of the People's

identified and addressed. For all reported leads the Company adheres to rapid verification and precise evidence Republic of China and the Personal Information Protection Law of the People's Republic

collection subsequently refining management mechanisms through post-incident reviews to prevent recurrence of of China. The Company has formulated and implemented rules and regulations such

similar issues at source. The Company actively encourages employees and external partners to proactively disclose as the Information Security Management Manual and the Information Security Risk

dishonest or non-compliant conduct. Where the Audit Department verifies the validity of a report and the disclosure Management Procedures establishing a robust information security management

demonstrably recovers losses for the Company the whistleblower shall receive a reward. system and ensuring its continuous and effective operation. As of the end of the reporting

period the Company has obtained ISO 27001 certification and maintains the system's

ongoing effective operation. ISO 27001 Certification

Whistleblowing Channels:

The Company has established a three-tier information security governance framework spearheaded by the

Whistleblowing Email HpShenji@highpowertech.com Information Security Management Committee coordinated by the Secretariat (IT Management Department) and

implemented by the Information Security Specialist Group and relevant functional departments. This structure

Whistleblowing Address Audit Department Building A7 68 Xinsha Avenue Pinghu Subdistrict comprehensively fortifies the Company's information security defense.Longgang District Shenzhen

Whistleblowing WeChat ID HpShenji Information Security Organizational Structure of Highpower Technology

Feedback on the Cadre Whistleblowers may report concerns to Highpower Technology's Human

Work Issues Resources Department via online or offline channels

Information Security Management Committee

Face to Face Report Whistleblowers may directly report issues to the relevant personnel in Highpower Technology's Audit Department

Secretariat (IT Management Department)

Whistleblower Protection Measures:

Audit & Organization Performance Departmental Groups IT Technology Legal Group

The Company's Audit Department shall maintain strict confidentiality regarding all Inspection Group Appraisal Group Systems /Business Units Group

whistleblower reports and related information.Any form of discrimination or retaliation against whistleblowers or employees participating

in investigations is strictly prohibited.Individuals found to have unlawfully disclosed whistleblower information or engaged in

retaliatory actions against whistleblowers shall be dismissed from their posts and have their

employment contracts terminated. Where criminal offences are involved cases shall be

referred to judicial authorities for legal proceedings.

25 2025 Environmental Social and Governance (ESG) Report 2025 Environmental Social and Governance (ESG) Report 26About the Report Chairman’s Statement About Highpower Technology Sustainable Development Management Honest Governance Immaculate Quality Green Planet Harmonious Life Appendix

Daily Management of Information Security Information Security Risk Prevention and Control

The Company continues to deepen its comprehensive information security management establishing a robust The Company strictly adheres to the ISO 27001:2022 management system standard routinely conducting information

routine technical management system for information security implementing stringent measures to prevent asset identification and implementing specialized risk assessments for critical information assets. Technical and

information leakage and formulating and executing business continuity safeguards. These efforts collectively build a managerial measures are employed to continuously mitigate information security risks. The Company has formulated

solid security barrier to ensure the stable operation of the Company's business. and implemented an Information Security Emergency Response Plan categorizing and grading information security

incidents while establishing corresponding emergency protocols to ensure timely and appropriate handling of

Information Security Management Technology security events. In 2025 the Company experienced no information security incidents.Data Encryption System Moreover in response to sudden information security incidents within the industry the Company promptly activated

its emergency response mechanism. The IT Department the Integrated Supply Chain Digitalization Department

and leading security vendors jointly conducted a comprehensive risk assessment and evaluation of the Company's

Enhance the security safeguards for research and development data to prevent unauthorized access and existing information security framework. Concurrently an information security capability enhancement plan was

retrieval by unauthorized personnel. formulated with a particular focus on strengthening targeted defenses against cyberattacks and ransomware

attacks.Desk Management System

Control and monitor terminal activities such as data transmission copying internet access file printing Information Security Culture Development

and software installation on office terminals to ensure comprehensive protection of company and client

data. The Company actively cultivates an information security culture through diverse channels and varied formats:

incorporating information security training into the mandatory induction program for new employees organizing

irregular thematic study sessions and assessments on information security and continuously disseminating

Web Application Protection System specialized awareness materials via online channels. These materials cover data protection endpoint security

email security phishing prevention personal privacy safeguarding and customer information protection thereby

By safeguarding the Company's internet-deployed services through the system it enhances operational comprehensively enhancing staff awareness of information security risk prevention.security and mitigate security risks. During the reporting period Highpower Technology successfully

intercepted over 40000 instances of various web application attacks.Bastion Host System During the reporting period:

Strictly control supplier access to the production network. After entering via VPN access to designated

production terminals is permitted only through a bastion host with time-limited access ensuring that all 5 information security induction training sessions were conducted for new employees covering 293

relevant operations are effectively controlled and recorded. individuals.The Cloud Classroom program Information Security Awareness Training 2025 achieved 100%

Business Continuity Assurance Measures coverage among company staff and auxiliary office personnel including training and assessment.Online information security awareness campaigns achieved 100% coverage.Enhance IT Operations Monitoring and Early Warning Conduct Multi-Scenario Emergency Drills

Continuously utilize the IT Unified Operations Conduct emergency drills centered on scenarios

Monitoring and Early Warning Platform to such as viruses security breaches data centered

optimize monitoring thresholds and alert rules power outages critical network hardware

for all business systems servers networks failures carrier network disruptions and severe

databases and other system equipment system unavailability. These exercises validate

thereby enabling the timely detection and rapid the feasibility and completeness of contingency

resolution of issues. plans while enhancing personnel's emergency

response capabilities.

27 2025 Environmental Social and Governance (ESG) Report 2025 Environmental Social and Governance (ESG) Report 28About the Report Chairman’s Statement About Highpower Technology Sustainable Development Management Honest Governance Immaculate Quality Green Planet Harmonious Life Appendix

Community Investment Participation

Rural Revitalization

Leveraging its resource and capability advantages the Company has continuously expanded and stabilized its Case Sunshine Scholarship Empowers Rural Education

workforce scale. It has advised local authorities on rectifying irregularities in labor dispatch practices actively

employed individuals who have been lifted out of poverty and steadily advanced initiatives such as educational

revitalization and industrial revitalization. During the reporting period the Company provided employment to 277

individuals who had been lifted out of poverty and donated RMB 30000 to the rural revitalization activities in the

Tonghu Ecological Smart Zone. In 2025 the Company launched an educational scholarship and poverty alleviation initiative targeting six town-run primary schools in Ma'an Town Huicheng District Huizhou City Guangdong Province. On the

one hand scholarships were awarded to pupils demonstrating outstanding academic achievement or

recipients of district-level honors or above encouraging students to strive for excellence. On the other

Community Participation hand living supplies subsidies were provided to primary school pupils from households receiving the

Five Guarantees Program alleviating their families' burdens and conveying social warmth. This initiative

The company has consistently regarded the fulfilment of social responsibility as an intrinsic part of the corporate involved an investment exceeding RMB 70000 benefiting over 400 students and providing tangible

DNA and a fundamental mission. Since establishing the Sunshine Education Foundation in 2011 the Company has support for local educational development.steadfastly upheld the principle of “contributing compassion and benefiting society” translating its corporate vision

of “co-creating a better life for humanity” into tangible action. The Company makes fixed annual allocations to the

foundation's account while encouraging voluntary employee contributions. As of the end of the reporting period the

foundation had disbursed over RMB 1.626 million in cumulative donations supporting more than 1500 students across

over 26 schools. The Company continues to broaden its educational support initiatives focusing not only on advancing university

education but also on enhancing primary education facilities. During the reporting period Huizhou Highpower donated

RMB 100000 to Shangliao Primary School in Ma'an Town specifically earmarked for establishing a library reading room.This initiative creates a superior learning environment for rural children actively promoting educational equity through

tangible action.Highpower Technology Supports University Education

Development Program

2018–2025

Annual donation of RMB 600000 to support

educational development at Central South University

2021–2025

Annual donation of RMB 500000 to the South China

University of Technology Education Development

Foundation

Note: Regarding the restatement of information in the 2024 ESG Report as of the end of the reporting period in 2024 the cumulative donation amount by

the Foundation actually stood at RMB 1.551 million. The discrepancy in the originally disclosed data is due to differences in the statistical criteria used by the

system. The data included in this restatement is complete and fully traceable.

29 2025 Environmental Social and Governance (ESG) Report 2025 Environmental Social and Governance (ESG) Report 30About the Report Chairman’s Statement About Highpower Technology Sustainable Development Management Honest Governance Immaculate Quality Green Planet Harmonious Life Appendix

Innovation-Driven Development

Strategy

Governance Risk/Opportunity Item Risk/Opportunity Description Time Horizons Coping Strategies

The Company adheres to the development philosophy of “technology-driven innovation-led” deeply integrating the The intensifying competition for

Integrated Product Development (IPD) management system establishing a tiered generation-based R&D strategy of talent in critical sectors may

"planning one generation incubating one generation developing one generation and deploying one generation". This lead to a reliance on specific Implement key talent retention

has formed a 4-level R&D System centered on forward-looking research new materials and platform development Talent and experts or teams. Should these Short to and incentive schemes

new product design and development and new process and equipment development. It achieves seamless Knowledge key personnel leave it could medium term establishing talent pipelines and

integration across the entire chain of theoretical exploration technological breakthroughs process transformation Management Risk result in a suspension of R&D knowledge retention systems.and intelligent manufacturing fostering a cross-departmental interdisciplinary matrix innovation ecosystem. activities and the emergence

of technological discontinuities.Explore diversified investment

mechanisms such as joint R&D

Forward- initiatives and applications for

looking government-specific funding

Planning One Research to effectively mitigate R&D

Generation investment risks. Concurrently

Frontier exploratory R&D establish an R&D FBP system

Development of projects may face risks whereby finance personnel are

New Materials and R&D Investment including extended investment Medium to deeply embedded throughout Incubating One Efficiency Risk long term the entire R&D process.Generation Platform cycles and outcomes failing to meet expectations. Implement dedicated project accounting and annual closed-

loop reviews to promptly

optimize adjust or terminate R&D

Developing One New Product Design projects failing to meet expected

Generation and Development returns thereby enhancing the

efficiency and effectiveness of

R&D expenditure.Deploying One

Generation Development of New The rapid evolution of industry Continuously monitor disruptive

Processes and Equipment technology roadmaps may technological transformations

Technology Iteration result in the devaluation of Short medium and undertake preliminary Risk existing R&D investments or long term technological research and a misalignment with future pursue multiple pathways of

A Tiered R&D Strategy 4-Level Collaborative R&D System development trajectories. exploration.Cross-disciplinaryThe Company's R&D operations adopt a “strategy- The Company has established a series of regulatory technological convergence— Conduct pilot explorationsdriven dual-engine” approach forming an innovation- documents inc lud ing the In tegrated Product Opportunity for such as the integration of Short focusing on specific integration

driven organization comprising the Research Institute Development (IPD) which clearly define technical New Technology artificial intelligence with medium and scenarios in the short term

and the product development departments of each planning and project initiation procedures. These Integration industry or breakthroughs long term and develop differentiated

business unit. The Research Institute concentrates on encompass specific technical activities such as new in materials science—may competitive capabilities in the

strategic-level technological innovation undertaking materials and processes development new formulation give rise to novel products or medium to long term.medium-to-long-term technical reserve tasks including development and new platform development ensuring solutions.forward-looking fundamental research development orderly advancement of R&D across all domains.of new materials and platforms and preliminary Concurrently supporting process specifications have

studies on disruptive process equipment. Product been implemented for emerging and critical areas— Implementing an open

development departments meanwhile concentrate on including new equipment requirements external Industry-academia-research innovation model to enhance

translating market demands undertaking short-term collaborative project management and AI-enhanced Opportunity for collaboration and industrial Medium to systemic competitiveness

technical implementation work such as application simulation model development—to comprehensively Collaborative chain synergy can reduce

scenario research product engineering development enhance the management standards and development Ecosystems R&D costs and accelerate

long term through the establishment of an

industry-academia-research

and optimization of manufacturing processes and efficiency of scientific research projects. innovation transformation. ecosystem.equipment.

33 2025 Environmental Social and Governance (ESG) Report 2025 Environmental Social and Governance (ESG) Report 34About the Report Chairman’s Statement About Highpower Technology Sustainable Development Management Honest Governance Immaculate Quality Green Planet Harmonious Life Appendix

Impact Risk and Opportunity Management

External Input

The Company has established a routine mechanism for monitoring and responding to R&D-related risks and

opportunities covering the entire chain from talent pipeline development and open innovation collaboration to Technical

breakthroughs in key technologies and intellectual property management. Exchange

Seminar

Efficient

Monitoring and Regularly monitor developments in end-product applications conduct scenario Collaboration

Identification testing and product analysis systematically collate the latest patents and

literature to continuously identify innovation-related risks and opportunities.Technical Exchange Seminar Open Tech Courses

Deep Assimilation Continuous Iteration

Conduct literature and patent reviews of preliminarily identified information R&D Talent Competency

Assessment and alongside peer expert consultations organizing internal expert evaluations.Enhancement System

Response Upon confirmation adjust technical approaches or R&D methodologies as appropriate and implement accordingly; for significant risks or opportunities

activate dedicated mechanisms for closed-loop management.Talent Motivation

The Company has formulated the Internal Innovation Reward Measures and the Incentive Management Measures for

Key R&D and Technology Projects. These policies are designed to anchor the strategic direction and key objectives

R&D Talent Development and Motivation of the R&D system thereby establishing a “Timely + Project-Based” dual-tier incentive system to facilitate the

achievement of R&D strategic targets.Timely Incentive

Talent Recruitment Talent Development The monthly Starlight Award incentive scheme has been implemented on a regular basis with nine

editions completed to date recognizing over 560 individuals. Concurrently the quarterly special incentive

program has been rolled out across three editions covering more than 30 recipients.The Company is vigorously advancing internal Centered around technical exchange seminars the Project-Based Incentive

and external talent acquisition mechanisms Company integrates three major initiatives—namely

to continuously optimize its talent pipeline the “Tech Masterclass” “Open Tech Courses” and

development. Internally it routinely publishes “Learning & Development Programs”—to establish a Centered on flagship products key technology projects and the achievement of R&D cost-reduction

vacancy notices and encourages staff to comprehensive capability enhancement system for targets incentive allocation drives R&D personnel to accomplish critical tasks. By the reporting period’scompete for positions. Externally it drives R&D talent. This system follows the cycle of “External end the scheme had encompassed 42 flagship products and key technology projects five major specialtargeted recruitment and strategic talent Input – Efficient Collaboration – Deep Assimilation projects and seven product development cost-reduction initiatives with coverage projected to extend toreserves through open recruitment campus – Continuous Iteration” thereby empowering R&D over 50% of R&D personnel.hiring and university-industry collaborations. teams to upgrade their competencies and achieve

business breakthroughs.Tech Masterclass

Four sessions of the tech masterclass on R&D system were conducted featuring invited external technical

experts who shared cutting-edge technological achievements with over 300 participants in attendance.Technical Exchange Seminar

A technical experience sharing platform was established and three technical exchange seminars were

held within the R&D system reaching an audience of over 600.R&D Incentive Awards Ceremony

Open Tech Courses

Five sessions of open tech courses were launched within the R&D system cumulatively reaching an During the reporting period:

audience in excess of 500.Learning & Development Programs Research and Development Innovation Number of personnel incentivized for R&D

Two learning and development programs including the “Professor Pan Feng Lecture Series” were Incentive Amount: RMB 2096900 innovation: 1232

implemented cumulatively reaching an audience of over 800.

35 2025 Environmental Social and Governance (ESG) Report 2025 Environmental Social and Governance (ESG) Report 36About the Report Chairman’s Statement About Highpower Technology Sustainable Development Management Honest Governance Immaculate Quality Green Planet Harmonious Life Appendix

Advancing Open Innovation R&D Highlights and Breakthroughs

The Company upholds an open and mutually beneficial industry ecosystem philosophy establishing a proactive and The Company achieved significant results in research and development and innovation in 2025 with a total of

systematic open technology cooperation mechanism. Guided by clearly defined product and technical requirements 482 new R&D projects launched. These projects spanned multiple product sectors and yielded several major

the Company combines targeted outreach with participation in industry exhibitions and technical forums. Following breakthroughs in key technologies. Thanks to its outstanding capabilities the Company was honored with prestigious

technical exchanges the Company initiates internal evaluations; should outcomes meet expectations it advances awards such as the Gaogong Golden Globe Award - Annual Innovation and the 2025 AI Tianma Leading Enterprise

dedicated collaborative projects. This approach is formalized through the External R&D Collaboration Project Award.Management Process ensuring standardized implementation. 2025 R&D Highlights and BreakthroughsIn 2025 the Company systematically advanced open innovation centered on its core “Edge AI Power Solutions andSolid-State Battery Technologies” strategy. In industry-academia-research collaboration the Company deepened Category Achievements Competitiveness

partnerships with multiple universities to develop cutting-edge technologies including solid-state batteries and high-

voltage cathode materials. Concurrently it actively expanded international cooperation jointly developing a high- * Aviation backup power supplies must meet the

energy-density battery with pure silicon anode alongside a leading European materials R&D firm. This collaboration * Achieved the bulk delivery of aviation backup

Ni-MH Battery batteries primarily utilized in aircraft cabin

highest standards in the industrial sector. This

targets a 50%+ increase in energy density. To date thousands of prototype batteries have been jointly produced and lighting backup power systems successfully delivery signifies that the company’s Ni-MH batteries

delivered to global top-tier clients for testing. replacing the original Ni-Cd batteries. have attained aviation-grade capability in terms of industrial safety and reliability.* The new chemical system Ni-Zn battery has

Ni-Zn Battery completed the development of its electrical * In terms of cycle life and storage performance performance platform and is poised to enter parameters it possesses strong market competitiveness.the commercialization phase.* The semi-solid-state battery (“Soft-ArmorSolid-State Battery”) has been successfully * By constructing a nanoscale solid protective layer

Semi-Solid- developed achieving a volumetric energy incorporating non-flammable safety additives

State Li-ion density of 950 Wh/L and a cycle life exceeding and employing a “super membrane” to establish

Battery 500 cyc les . Th i s p roduct has ga ined

a triple-layered active safety protection system

recognition from leading industry brands and the battery achieves resistance to ignition and

has entered mass production. explosion even under extreme physical damage.Attended the 12th China (Suzhou) International Participated in the 2025 (15th) Gaogong (GGII)

Summit on Battery New Energy Industry (ABEC Lithium Battery Annual Conference with the * Solid-state technology R&D encompasses

2025) where the Chairman participated as a Chairman sharing the Company’s strategy as a the three mainstream solid-state pathways * Through core interface technological innovation

roundtable guest to share insights on industry guest speaker at the “AI Roundtable Forum”. of polymers oxides and sulfides with a

primary focus on consumer-grade AI terminal and multi-path parallel validation the Company

Solid-State applications to establish a differentiated

has achieved alignment of key performancetechnological portfolio. All-Solid-State Battery metrics with application scenarios. Relevant Battery development centers on resolving “solid- outcomes have progressed to the customersolid interface stability” employing innovative sample evaluation and product pre-research

“adaptive covalent bonding” technology phase with the technical solution demonstrating

to achieve interface stability under zero- high compatibility with end-market requirements.pressure conditions.* Through synergistic innovation combining steel-

AI-Enabled shell construction stacking technology high-voltage high-sil icon anodes and semi-solid

Wearable * Established an industry-leading fully automated electrolytes coupled with a new automated

Devices with production line with proprietary intellectual production line the Company has achieved

Participated in the 2025 Suining International Lithium Prismatic property rights securing multiple projects with comprehensive breakthroughs in energy densityParticipated in the 2025 AGIC Shenzhen Artificial Battery Industry Conference unveil the “Soft-Armor Steel Stacking leading domestic and international clients. safety space utilization and thermal performance.Battery This solut ion is part icular ly wel l-suited for Intelligence and Robot Development Forum to Solid-State Battery” product and disclose the three- applications such as AI glasses and smart

present the Company's edge AI energy solutions. step roadmap for solid-state batteries. wearables.* Developing lithium-ion power systems for

end-user devices such as embodied robots

AI Robot embodied robotic dogs and industrial robots * Significantly enhance the endurance of robotic

Power System capable of precisely meeting the power products while ensuring compliance with IP65

demands of joint motors under transient waterproofing standards and high reliability Solution

high-current conditions while supporting requirements.rapid battery swapping functionality.* Develop a new generat ion of balcony * The overall system’s cycle l ife has doubled

photovoltaic storage and charging products. significantly enhancing cost competitiveness.Energy Storage

Products

* An energy storage backup power product

Participated in the 2025 China Battery Industry (Guangzhou) Summit Forum and the Fifth Power has successfully passed the ten-year IPX4 * Three invention patents and one utility model patent have been applied for in relation to this technology.Battery Digital Intelligence Summit showcasing the next-generation ultra-high-safety “Soft- protection rating design certification.Armour Solid-State Battery” product.

37 2025 Environmental Social and Governance (ESG) Report 2025 Environmental Social and Governance (ESG) Report 38About the Report Chairman’s Statement About Highpower Technology Sustainable Development Management Honest Governance Immaculate Quality Green Planet Harmonious Life Appendix

Case Specialized Training Facilitates Cultivation of High-Value Patents

High Security High Voltage and High High-Temperature Energy Density Resistancy Low Expansion

During the reporting period the Company conducted specialized

Needle penetration test: LCO platform: 4.45–4.55V / 760–950Wh/L Supports storage at Thickness expansion training on “Techniques for Cultivating High-Value Patents” for all

φ3mm & 25±5mm/s NCM platform: 4.35–4.45V / 600–750Wh/L 60°C for 28 days rate after cycling and R&D personnel. This program systematically covered methods for

Non-flammable non-explosive storage ≤8% identifying high-value patents offensive and defensive strategies

drafting practices and illustrative case studies. The initiative

effectively enhanced the quality of technical disclosures within

the R&D team and improved the efficiency of patent application

processes.Use in Low-Temperature

Environments Low Heat Generation Extended Service Life During the reporting period:

-20℃ ~0℃ Battery surface temperature ≤45℃ ≥500 cycles capacity retention rate ≥80%

Number of individuals receiving Patent incentive payments

patent awards: exceeded RMB

580 1.41 million

Seven Key Performance Features of Ultra-High Security “Soft-Armor Solid-State Battery”

R&D Honors

Awarded Company Awarding Unit Award Content

Indicators and Targets

*

Guangdong Highpower Bureau of Science and Technology of

* Huizhou Engineering Technology Research

Huizhou Municipality Center

The Company established scientific and technological innovation targets including R&D expenditure the number of

*

Huizhou Highpower Department of Science and Technology of * Guangdong Province Provincal Enterprise Technology Center

patent applications and the proportion of invention patent applications. All these targets were achieved by the 2025

* fiscal year.* Guangdong Lithium-Ion Power and Energy

* Indicator Unit 2025

Huizhou Highpower Department of Science and Technology of Storage Battery

* Guangdong Province

* Engineering Technology Research Center Research and Development Investment RMB 100 million 3.42

Proportion of Research and Development

Intellectual Property Management Investment to Revenue % 5.83

The Company has established internal management systems including the Patent Application Process Project IP Number of Research and Development Personnel person 1059

Management Process Regulations on IP Application & Incentive Program providing robust institutional safeguards

for the creation utilization protection management and incentivization of intellectual property. As of the end of the

reporting period Huizhou Highpower and Springpower Technology have all obtained GB/T29490-2023 Intellectual Number of Granted and Valid Patents patent 1180

Property Management System certification.Number of Patents Filed patent 545

During the reporting period the Company systematically enhanced intellectual property management across multiple

dimensions including institutional development process optimization and system support. The Company revised Number of Invention Patents Filed patent 276

and updated the Regulations on IP Application & Incentive Program further emphasizing the weighting of high-value

invention patents to drive continuous improvement in patent quality. For key projects patent quality control was

implemented at an earlier stage with meetings conducted to thoroughly explore technical disclosures and establish Number of Patents Granted patent 358

patent content frameworks. Concurrently it strengthened the review of patent application and examination response

documents to elevate their quality. The intellectual property management system’s intelligence module was formally Number of Invention Patents Granted patent 99

launched providing patent intelligence support for technological R&D. Invention patents constituted over half of the

company’s new patent applications for the year with a substantial increase in newly authorized invention patents. Total Number of Industry Standards Participated

Three key patent portfolios were established around core domains significantly optimizing patent quality and output in the Formulation standard 9

structure.

39 2025 Environmental Social and Governance (ESG) Report 2025 Environmental Social and Governance (ESG) Report 40About the Report Chairman’s Statement About Highpower Technology Sustainable Development Management Honest Governance Immaculate Quality Green Planet Harmonious Life Appendix

Opportunities in Clean Tech and Developing green products

Based on clean technology and circular economy principles the Company has systematically established a product

Circular Economy lifecycle management framework encompassing the entire process from green materials to green production and green packaging. It is committed to developing low-carbon safe and recyclable green products.Highpower Technology adheres to a green design philosophy embedding circular economy principles at the very Green Materials

core of its products. It actively pursues green technology research and development driving a paradigm shift from

resource consumption to value regeneration. At the level of green materials the Company actively promotes the substitution of environmentally friendly materials

and the development of recycled materials steadily increasing the proportion of recycled content in products to

achieve efficient resource utilization and carbon reduction at source. By the reporting period Highpower Technology

had successfully facilitated UL 2809 certification or ISO 14021 declarations for ten key materials from its suppliers.Aiming for the 2050 Concurrently it assisted two major lithium battery strategic clients in achieving UL 2809 certification for thirteen

net-zero target Shifting from single-product products while securing UL 2809 certification for forty-three nickel-metal hydride products.deploying cutting- innovation to integrated

edge breakthrough Forward- solutions reshaping the

technologies. Looking Systemic industrial chain ecosystem

Research and Development Research and Development

ESG R&D

Innovation Philosophy/Objectives Philosophy/Objectives

Guidelines

All ESG outcomes must Firmly believing that green

Increase the proportion of recycled materials Using more environmentally friendly

be underpinned by a Verifiable Feasible technology must deliver

used in products materials

data foundation that is both environmental

measurable reportable and value and commercial

verifiable. competitiveness to achieve impact at scale. 2025 Application Case 2025 Application Case

* The proportion of recycled materials utilized in Ni-MH * Material development for Bluetooth speaker products

Batteries has been further increased with the recycled has resulted in the creation of an environmentally

content in certain products now certified to UL 2809 friendly electrolyte through optimization of electrolyte

standards. additives. Actual measurements indicate PS levels

Battery Recycling and Circularity below 1 000ppm within the cel ls (PS being an * Some customers’ new laptop models utilize 100% electrolyte additive explicitly restricted under the EU's

recycled cobalt. REACH regulation).Highpower Technology leveraging the battery recycling qualifications held by its affiliate Ganzhou Highpower * Procurement volume of recycled lithium cobalt oxide

actively promotes the recovery utilization and environmentally sound treatment of spent batteries and battery waste. * The application of more environmentally friendly increased by 160% year-on-year.Together we are establishing a comprehensive lifecycle value chain system for spent batteries and their waste non-fluorinated binders to replace PVDF in battery

encompassing recovery resource utilization and remanufacturing thereby achieving synergistic development of * The plastic casing products have now adopted the cell products whilst maintaining the electrochemical

economic and environmental benefits. LUPOY ER1008RFN plastic material which is a composite performance process compatibil ity and mass

of 50% recycled material and virgin material. production feasibility of the cathode system has

Closed-Loop Recycling Collaboration undergone material validation and review.Affiliated Company Battery Recycling Process Ecosystem for Batteries

After evaluating the power batteries of retired new Battery

energy vehicles priority shall be given to cascade Manufacturers

utilization to save resources to the maximum extent.Case Completion of the Technical Validation for Recycled Copper

Material Battery

The combination of physical method and Manufacturers Application Companies

pyrometallurgical method is used to preliminarily

separate various metals from discarded batteries and

discarded batteries after cascade utilization. The Company successfully completed technical validation of 4μm-thick 100% recycled copper in

2025. The developed recycled copper production process is identical to that for virgin copper with

finished products exhibiting identical purity and performance characteristics to primary copper foil. The

The affiliated company uses the patented power technology has demonstrated feasibility for large-scale production and application thereby facilitating

battery recycling technology with its own intellectual Cascade the further integration of renewable materials into products.Recycling

property rights to smelt the pretreated battery powder Enterprises Unitilization

into metal salt products. Enterprises

41 2025 Environmental Social and Governance (ESG) Report 2025 Environmental Social and Governance (ESG) Report 42About the Report Chairman’s Statement About Highpower Technology Sustainable Development Management Honest Governance Immaculate Quality Green Planet Harmonious Life Appendix

Green Packaging

Case Development of High-Nickel Ternary and Recycled Lithium Cobalt Oxide Series Li-ion Batteries

The Company prioritized paper or biodegradable plastics in product packaging design and actively incorporates

recycled materials. These approaches have been successfully implemented across multiple products and

delivered to customers. Concurrently the Company has entered into packaging material recovery agreements with

In response to the EU’s New Battery Regulation and market demand for high-safety low-carbon batteries the Company downstream clients to jointly advance product packaging recycling cycles. During the reporting period the total

initiated and completed the development and mass production preparation of high-nickel ternary and recycled lithium

cobalt oxide batteries. Through R&D of key processes including high-nickel low-cobalt cathodes recycled lithium cobalt weight of recovered packaging materials and pallets reached 544.90 tonnes.oxide and PVDF-free coated separators the Company successfully launched high-energy-density high-safety long-

life batteries. Through the development of key technologies including high-nickel low-cobalt cathodes recycled lithium

cobalt oxide and PVDF-free coated separators the Company has successfully launched high-energy-density high-

safety long-life batteries. These products meet the environmental requirements of both the Chinese and European Union

markets and have obtained CB certification. Case Green Packaging Applications of Efficient Recycling and Upcycling of Glulam Pallets

During the reporting period the Company has implemented laminated engineered wood pallets across

multiple projects utilizing the “laminated directional reorganization process” alongside formaldehyde-

Case Development of Low-Carbon Ni-MH Batteries free bio-based adhesives and anti-mold/antimicrobial coating technology. Results indicate that recycled

laminated wood pallets exhibit a 35% increase in load-bearing strength and a service life 2.5 times longer

than conventional recycled pallets. Each recycled pallet reduces timber consumption by 12kg while

production costs are 28% lower than newly manufactured pallets delivering both environmental and

The Company is committed to reducing carbon emissions throughout the product lifecycle. Verified by the internationally economic benefits. The Company plans to advance pallet recycling initiatives targeting a recycling rate

recognized Carbon Trust Assurance four Ni-MH Battery models achieved carbon emission reductions of 8% to 24% by of no less than 60% for laminated wood pallets.

2024 compared to the 2022 baseline demonstrating significant carbon reduction outcomes.

Green Production

The Company rigorously implements clean production principles driving resource efficiency through technological

innovation to continuously reduce energy and material consumption in production processes. In energy

management the Company systematically advances the development of energy management systems energy-

saving technological upgrades and clean energy utilization while continually optimizing energy consumptionstructures. Regarding material consumption optimization a dual-track approach of “horizontal expansion andvertical deepening” is adopted. Horizontally best practices are shared across units; vertically focus is placed on

key production lines to conduct in-depth process optimization. Combined with lean management parameter

adjustments and technological upgrades this effectively reduces resource consumption. By 2025 the Company’s

comprehensive energy consumption intensity decreased by 6% year-on-year while material loss intensity decreased

by 27% year-on-year.

43 2025 Environmental Social and Governance (ESG) Report 2025 Environmental Social and Governance (ESG) Report 44About the Report Chairman’s Statement About Highpower Technology Sustainable Development Management Honest Governance Immaculate Quality Green Planet Harmonious Life Appendix

Product Quality and Safety Strategy

Risk/Opportunity

Item Risk/Opportunity Description Time Horizons Coping Strategies

Governance

* The Group has established a

standardized testing centerThe Company adheres to a quality management policy of “high-quality management customer oriented excellence * The material properties of in accordance with CNASand continuous improvement” establishing a scientific and comprehensive quality management system centered lithium battery products may standards equipped with

upon these principles. By the end of the reporting period 100% of the Company’s stable manufacturing bases had Product result in product reliability and professional testing apparatus

obtained international quality system certification. In terms of organizational structure an Integrated Supply Chain Reliability and safety issues at the parts per Medium term and personnel. A comprehensive

Quality Management Department directly overseen by senior management has been established to oversee quality Safety Risk million (PPM) level potentially testing system and program

strategy and execution. Its subordinate business unit quality control teams collaborate with platform quality control triggering batch returns or has been developed based on

departments to achieve systematic and in-depth deployment of quality management activities. During the reporting market recalls. international safety standards

period the Company experienced no major liability incidents related to the health safety or quality of its products or with regular monitoring plans

services. implemented.* Establish a mechanism for

Certification Entity Quality-Related System Certification technological monitoring and

preliminary research proactively

Huizhou Highpower ISO 9001、QC080000 Novel materials/technologies assessing the suitability of new *

disrupt existing formulation materials/technologies and Guangdong Highpower ISO 9001、IATF16949、ISO 13485、QC080000 Risk of systems. identifying alternative solutions.Excessive Levels

Springpower Technology ISO 9001 Should the product fail to meet * Establish a comprehensive of Hazardous *

Substances in the environmental compliance Medium term

hazardous substance

Icon Energy ISO 9001 Technology and requirements of the target management system equipped

Products market it may trigger risks such

with specialized testing

Vietnam Exquisite Power ISO 9001 as bulk returns recalls and apparatus and technical teams

legal penalties. to implement full-process sampling inspections and

monitoring of raw materials

semi-finished products and

Certificate CN24/00002803 finished goods.The management system of

Guangdong Highpower New Energy

Technology Co. Ltd.Unified Social Credit Code: 91441300MA54P9L55G

Business Registration Address: No. 38 Songbailing Avenue Start-up Area China-Korea

(Huizhou) Industrial Park Zhongkai Hi-tech Industrial Development Zone Huizhou City

Guangdong Province P.R. China

Business Operation Address: No. 38 Songbailing Avenue Start-up Area China-Korea

(Huizhou) Industrial Park Zhongkai Hi-tech Industrial Development Zone Huizhou City * In the high-end consumer

Guangdong Province P.R. China

has been assessed and certified as meeting the requirements of

ISO 9001:2015 electronics sector exceptional * Leveraging its technological

For the following activities

Design and manufacture of Lithium-ion batteries and Rechargeable nickel metal hydride batteries

Design and manufacture of lithium battery packs and power supply units product quality and a proven strengths the Company is

This certificate is valid from 10 May 2024 until 09 May 2027 and remains valid subject to satisfactory surveillance audits. Opportunities safety record form the accelerating the development of

Issue 1. Certified since 10 May 2024

in the High- essential foundation for gaining Medium term high-quality products that meet

Authorised by

Jonathan Hall

Global Head - Certification

Services End Market recognition from premium emerging market demands

SGS United Kingdom Ltd

Rossmore Business Park Ellesmere Port Cheshire CH65 3EN UK

t +44 (0)151 350-6666 - www.sgs.com

The certification information can be verified on the web site of Certification and Accreditation Administration of the People’s Republic of

China www.cnca.gov.cn clients securing lucrative striving to become its customers’

contracts and gaining entry preferred supplier.This document is an authentic electronic certificate for Client’ business purposes use only. Printed version of the electronic certificate are permitted and will be considered as a copy. This

document is issued by the Company subject to SGS General Conditions of certification services available on Terms and Conditions | SGS. Attention is drawn to the limitation of liability

indemnification and jurisdictional clauses contained therein. This document is copyright protected and any unauthorized alteration forgery or falsification of the content or appearance of

this document is unlawful.Page 1 of 1 into high-barrier markets.Guangdong Highpower Huizhou Highpower Vietnam Exquisite Power * Proactively apply for local

ISO 9001:2015 Certification ISO 9001:2015 Certification ISO 9001:2015 Certification government subsidies and

* Industrial and high-tech tax relief channelling funds

enterprises enjoy preferential into technological upgrades

Certificate IATF 0516085 continued Certificate CN25/00001060 policies such as tax breaks and capacity expansion and

Certificate CN24/00002804 The management system of

Guangdong Highpower New Energy Guangdong Highpower New Energy

Technology Co. Ltd. Technology Co. Ltd. subsidies at the local level. environmental protection

No. 38 Songbailing Avenue Start-up Area China-Korea (Huizhou) Industrial Park

IATF 16949:2016 Zhongkai Hi-tech Industrial Development Zone Huizhou Guangdong Province P.R. China

has been assessed and certified as meeting the requirements of

Edition 1 ISO 13485:2016

Additional facilities EN ISO 13485:2016 equipment investments to

Support Function For the following activities

HONG KONG HIGHPOWER INTERNATIONAL CO. LIMITED Design and manufacture of the lithium battery for used for active medical devices (Non-implantable)

IATF USI: GGYATZ Policy * The lithium battery industry’s

No. 38 Songbailing Avenue Start-up Area China-Korea (Huizhou) Industrial Park Zhongkai Hi-tech Industrial Short to further consolidate quality and Development Zone Huizhou City Guangdong Province P.R. ChinaSummary of Activities

Sales Dividend standardization framework is medium term cost advantages.Opportunities currently being established and

This certificate is valid from 21 February 2025 until 20 February 2028 and remains valid subject to satisfactory surveillance

audits.Issue 1. Certified since 21 February 2025 refined. By actively participating * Actively participate in the

in the formulation of industry development of industry

Authorised by

Liz Moran

Business Manager

SGS United Kingdom Ltd

Rossmore Business Park Ellesmere Port Cheshire CH65 3EN UK

t +44 (0)151 350-6666 - www.sgs.com standards one can seize standards for li-ion batteries

technological and market organized by authoritative

This document is an authentic electronic certificate for Client’ business purposes use only. Printed version of the electronic certificate are permitted and will be considered as

a copy. This document is issued by the Company subject to SGS General Conditions of certification services available on Terms and Conditions | SGS. Attention is drawn to This document is an authentic electronic certificate for Client’ business purposes use only. Printed version of the electronic certificate are permitted and will be considered as a copy.the limitation of liability indemnification and jurisdictional clauses contained therein. This document is copyright protected and any unauthorized alteration forgery or This document is issued by the Company subject to SGS General Conditions of certification services available on Terms and Conditions | SGS. Attention is drawn to the limitation of

falsification of the content or appearance of this document is unlawful. liability indemnification and jurisdictional clauses contained therein. This document is copyright protected and any unauthorized alteration forgery or falsification of the content or

opportunities. bodies and national standards

appearance of this document is unlawful.Page 2 / 2

Page 1 / 1

laboratories thereby enhancing

Guangdong Highpower Guangdong Highpower the industry’s influence.IATF 16949:2016 Certification ISO 13485 Certification

45 2025 Environmental Social and Governance (ESG) Report 2025 Environmental Social and Governance (ESG) Report 46About the Report Chairman’s Statement About Highpower Technology Sustainable Development Management Honest Governance Immaculate Quality Green Planet Harmonious Life Appendix

Impact Risk and Opportunity Management Hazardous Substances Control

The Company guided by regulations such as the Hazardous Substances Identification Procedure and driven by

customer requirements proactively researches the latest demands including the EU's new battery regulations. It

The Company systematically conducts annual scans of both internal and external environments to comprehensively engages third-party specialists to deliver specialized training on hazardous substances management systematically

identify risks and opportunities pertinent to the quality system. These are dynamically assessed and categorized fortifying the green compliance baseline for its products.according to their likelihood and severity. For medium-to-high risk items and significant opportunities the Company

formulates and implements specialized countermeasures and is conducting ongoing monitoring and tracking.Quality Management Throughout the Entire Life Cycle 01 Formulation and Material Selection Process Technology UpgradeOptimization 02

The Company has always adhered to the philosophy of “starting with the customer ending with the customer” and

has established an end-to-end quality management system covering the entire product lifecycle based on the Prioritize the use of low-toxicity or non-toxic Promote full-process automation

structured processes of Integrated Product Development (IPD) and a systematic documentation framework. This materials and formulation designs with all to minimize exposure to hazardous

system encompasses key stages such as customer requirements analysis product design incoming materials raw materials compliant with international substances; implement enclosed

control the manufacturing process and delivery services and is dedicated to providing customers with stable safe certifications such as RoHS and REACH operations for processes involving high-risk

and reliable products and experiences. thereby preventing the intake of harmful chemicals to reduce leakage risks.substances at source.Whole-Process

Control of

Hazardous

Substances Supply Chain Traceability

03 Reinforced Finished Product Inspection Management 04

Conduct testing of finished products Conduct assessments of suppliers’

Design and Raw Materials Process Customer for hazardous substance content to hazardous substance control capabilities Development

Management Management Management Management

ensure compliance with national and and sign environmental protection

industry standards whilst commissioning agreements; establish a traceability

authoritative bodies to perform third-party mechanism for raw materials to ensure

* Adhering to a customer- * A rigorous supplier qualification * Statistical Process * A quality service testing and issue compliance reports. the origin of hazardous substances can be

centric approach mechanism has been Control (SPC) is widely mechanism spanning traced.and drawing on established with joint applied and automated the entire product

market research the development and early-stage online inspection lifecycle—from product

Company defines quality risk assessment being equipment is deployed introduction prototype

the key performance promoted. supplier tiered achieving 100% online verification and trial

indicators for the management performance monitoring of critical production validation

product and produces monitoring and continuous processes. to mass delivery—has

a comprehensive enablement are implemented. been established with

product requirements * Process technologies dedicated personnel

document. * Assess raw material suppliers’ and equipment assigned to be IEC QUALITY ASSESSMENT SYSTEM (IECQ)

capacity to manage hazardous parameters are responsible for quality For rules and details of the IECQ visit www.iecq.org

* By introducing Design substances and require them to continuously optimized coordination and IECQ Certificate of Conformity

Failure Mode and sign environmental protection to enhance the first- support at each stage. Hazardous Substance Process Management

Effects Analysis (DFMEA) agreements to ensure that the pass yield rates IECQ Certificate No.: IECQ-H SGSCN 22.0072 Issue No.: 2 Status: Current

Supersedes: IECQ-H SGSCN 22.0072 Issue 1 Issue Date: 2025/10/24 Org Issue: 2022/10/24

potential risks are finished products delivered steadily advance * In response to customer CB Reference No.: CN22/00003571 Expiration: 2028/10/23

identified and mitigated comply with domestic and the transformation feedback an efficient Applicable to:* EU Directive 2011/65/EU (“RoHS – Restriction of the use Of certain Hazardous Substances”) in electrical and

at an early stage; utilizing international environmental towards intelligent complaint and electronic equipment. Including all published amendments* EU Regulation 2023/1542 (“Batteries and waste batteries”) and its amendments. Limited to the substance

Design of Experiments regulations. manufacturing suggestion handling process management of the restricted hazardous substances defined in Annex I only.* Customer specified requirements

(DOE) methods material effectively reduce process has been Huizhou Highpower Technology Co. Ltd.

* The Incoming Materials Xinhu Industrial Zone Ma'an Town Huicheng Districtformulations and human errors and established followed Huizhou City Guangdong Province P.R.China

structural designs are Inspection Specification ensure product by in-depth root cause The organization has developed and implemented restricted/hazardous substances process managementprocedures and related processes that have been assessed by the IECQ Certification Body in accordance with

has been formulated and IECQ 03-1 and IECQ 03-5 for the issuance of this certificate and found to be in conformity with the applicablescientifically optimized consistency and long- analysis the promotion requirements of the IECQ Hazardous Substances Process Management Scheme and in respect of the IECQ

thereby embedding implemented with high-

Specification:

term reliability. of corrective and * IECQ QC 080000:2017 - Hazardous Substance Process Management System Requirements

safety and reliability at precision testing equipment preventive actions This Certificate is applicable for the following scope of activity:Design and manufacture of lithium-ion batteries

the very outset. deployed to conduct rigorous and the realization

inspections of key raw of a closed loop in

* Rigorously implement materials. Building upon this quality management

the phase review foundation the Company has for continuous

mechanism and also established a blockchain- Issued by the Certification Body: SGS-CSTC Standards Technical Services Co. Ltd.improvement. 16F Century YuHui Mansion

organize cross- based end-to-end traceability 73 Fucheng Road BeijingChina

departmental system achieving full-chain Authorized person:Tsang Ben

collaborative reviews to traceability from procurement The validity of this certificate is maintained through on-going surveillance audits by the

IECQ CB issuing this certificate.ensure quality control to production usage thereby This Certificate of Conformity may be suspended or withdrawn in accordance with theRules of Procedure of the IECQ System and its Schemes.This certificate and any schedule(s) may only be reproduced in full.and clear objectives at further enhancing supply chain This certificate is not transferable and remains the property of the issuing IECQ CB.The Status and authenticity of this certificate may be verified by visiting www.iecq.org

each R&D milestone. transparency and security. -- Attached Translation: IECQ-H SGSCN 22.0072_2 CN.pdf -- IECQ-H Rev. 9.0 EN

Guangdong Highpower Huizhou Highpower

QC 08000:2017 Certification QC 08000:2017 Certification

47 2025 Environmental Social and Governance (ESG) Report 2025 Environmental Social and Governance (ESG) Report 48About the Report Chairman’s Statement About Highpower Technology Sustainable Development Management Honest Governance Immaculate Quality Green Planet Harmonious Life Appendix

Enhance quality standards Quality Culture Development

In 2025 the Company further strengthened quality coordination management between the group platform and

individual manufacturing units whilst continuing to optimize quality control standards. Unannounced inspections were The Company has established a collaborative mechanism led by the group and featuring distinctive practices across

conducted based on customer requirements specialized quality improvements and compliance with documented its business units with the aim of deeply embedding the “quality first” philosophy into organizational operations

procedures. The Company has continued to introduce advanced testing instruments effectively managing potential and employee behavior thereby fostering a quality culture characterized by full staff participation and continuous

quality and safety risks. Regarding personnel and cultural development the Company systematically enhances improvement.employees’ quality awareness and professional competence through multi-tiered diverse quality training programs

and cultural initiatives. Group level

Newly Added Instruments and Equipment Function

Institutionalized quality meetings: Monthly Quality-themed initiatives: Diverse thematic

company-wide quality meetings are held activities were conducted throughout the year

Keyence 3D Profilometer Measurements are more featuring case studies and the promotion of quality including management seminars on “Quality and comprehensive and refined. standards. These are complemented by positive Efficiency Dual Wins” promotion of the Process

incentive schemes to recognize outstanding VOP quality methodology and interpretations of

Detecting leaks by assessing teams and individuals thereby fostering a positive product certification regulations. Among these Helium Leak Detector helium leak rates atmosphere where everyone strives for excellence the “September Quality Month” served as a key

and works together to improve quality. annual event featuring 45 themed activities.Three-Chamber Thermal Shock Chamber with Conduct multi-dimensional accelerated

Humidity Capability Business unit levelageing tests on battery packs and their

performance in customer appliance

conditions to comprehensively validate the

Large-Scale Salt Spray Test Chamber reliability design of the product. Specialized skills training: Risk identification and Quality Initiatives: Organizing

Organized quality training improvement: Innovative quality knowledge competitionscovering process quality initiatives such as the “Whole- delivering specialized QualityQC skills and on-site Staff Intelligence Registration Month training alongside caseQuality Audit operational standards. Form” encourage frontline staff studies and conducting on-site to proactively submit product audits to continuously reinforce

risk points weekly which are staff awareness of quality red

Building on the existing tiered audit mechanism during the reporting period the Company established a dedicated Group then assessed and addressed lines and process execution

inspection team to conduct targeted investigations into on-site quality issues monitoring the progress of corrective by specialist departments. capabilities.actions throughout the entire process until resolution. At the same time leveraging the cross-manufacturing-unit

information-sharing channels established through the Group’s dedicated audits the Company has promoted the efficient

implementation of quality control requirements and best practices across all business units and production workshops.Audit Form Frequency and scope of implementation Audit Focus

Focus is placed on the compliance of key production

elements—Man Machine Material Method and

On-Site Quality Conducted weekly by quality Environment—within the production site as well as

Control Audit control personnel in each the authenticity and validity of measurement records. workshop. In-depth investigation and analysis are conducted

for significant issues to drive continuous on-site

improvement.Quality Knowledge Competition Quality Month Training Session

A tripartite joint task force

comprising engineers Identify issues from multiple perspectives including Tripartite Joint supervisors and managers process execution quality control and on-site Audit shall conduct cross- management and conduct on-site summaries and

functional audits. improvement guidance.Focusing on systematic quality inspections the

Company is driving the rectification of on-site issues

Conducted independently and the optimization of quality control. Furthermore

Group Specialized by the Group’s specialized by establishing an information-sharing platform it

Audit audit team across all is streamlining coordination mechanisms across

business units. manufacturing units thereby facilitating the rapid

dissemination of best practices and the continuous

refinement of the quality management system.Routine Inspections and Training Awareness

49 2025 Environmental Social and Governance (ESG) Report 2025 Environmental Social and Governance (ESG) Report 50About the Report Chairman’s Statement About Highpower Technology Sustainable Development Management Honest Governance Immaculate Quality Green Planet Harmonious Life Appendix

Advancing Lean Improvement Smart Manufacturing and Digital Transformation

In 2025 the Company focused on quality assurance and enhancement as its core objective empowering the

The Company commenced its exploration of lean management in 2024 and fully established and rolled out the HBS implementation of its sustainability strategy through digitalization. By replicating and promoting sustainable(Highpower Business System) lean operations framework by 2025. Through a four-pronged approach of “establishing improvement production systems across major production bases and supporting this with a tiered talentsystems driving projects developing talent and fostering an enabling environment” the Company has cultivated empowerment program the Company guaranteed the efficient application and value transformation of digital

an internal momentum for continuous improvement effectively driving dual enhancements in product quality and systems driving coordinated progress in operational efficiency product quality and development resilience.operational efficiency.Key Tasks for Lean Improvement Management in 2025 System Development and Promotion

A three-tier organizational structure comprising the HBS Committee HBS End-to-end Data-driven quality

Office and Lean Execution Teams across business units has been preliminarily Core system deployment monitoring improvement

Systematic established. The HBS Operational Management Mechanism and HBS Grade

Development Certification Management Measures have been issued clarifying the operational With the Manufacturing Execution System (MES) Leveraging the core system By leveraging in-depth data

management framework for lean improvement weeks while systematizing and and Quality Management System (QMS) at the the Company implements analysis the Company

consolidating relevant management process methodologies. core the Company is continuously optimizing systematic and visualized achieves dynamic

their functionality whilst simultaneously end-to-end monitoring of key optimization and precise

implementing specialized systems such as metrics such as production control of production

workshop environmental monitoring Total energy consumption processes using data

Comprehensive implementation of lean improvement initiatives through project- Productive Maintenance (TPM) Warehouse workshop conditions material to underpin continuous

based management was achieved with 228 HBS lean improvement projects Management System (WMS) and energy utilization rates equipment quality improvement and

Project-Driven undertaken throughout the year. These projects spanned multiple operational management. The Company is e also prioritizing operating status and product enhancement.areas including production quality control and logistics attracting a total of 1656 the introduction of Statistical Process Control quality thereby ensuring

active participants. (SPC) to strengthen the foundation of end-to- stable production processes

end quality control through digital means. and reliable product quality.Talent Throughout the year 73 internal Lean Green Belt personnel were trained and

Development certified establishing a core team capable of spearheading projects and

Tiered Talent Empowerment

employing specialized tools to resolve quality and efficiency issues.Comprehensive Training Rigorous assessment mechanism

Throughout the year a total of 53 Lean Improvement Awards were presented to Tailored for diverse roles including managers key users Ensuring the effectiveness of empowerment Cultural

Atmosphere outstanding projects and teams encouraging cross-departmental learning and

and frontline operators delivering holistic operational through evaluations with a cumulative total

the promotion of best practices. and management training centered on core systems of 634 training sessions completed and an such as MES. assessment pass rate of 99.34%.HBS Half-Yearly Summary Conference

Green Belt Certification

51 2025 Environmental Social and Governance (ESG) Report 2025 Environmental Social and Governance (ESG) Report 52About the Report Chairman’s Statement About Highpower Technology Sustainable Development Management Honest Governance Immaculate Quality Green Planet Harmonious Life Appendix

Defect Control and Recall Management

Indicators and Targets

The Company continues to refine its systems for the control of non-conforming products and product recalls. During

the reporting period it updated and optimized policies such as the Regulations on the Control of Non-conforming

Products and the Product Recall Control Procedure further detailing the procedures for handling suspected non-

conforming products. The Company conducts root cause analysis on defective products formulates preventive The Company has established 2025 quantitative quality objectives around five core dimensions: customer complaint

measures and validates corrective actions thereby promoting closed-loop management and continuous frequency CTS (critical to safety) CTR (critical to reliability) major incident occurrences and product pass rate.improvement. Through a monthly monitoring mechanism progress towards these targets is continuously tracked. As of the end of

the reporting period all annual quality objectives have been achieved.Establish a comprehensive non-conforming product control system covering the entire

Non-

Conforming process from raw materials through manufacturing to finished goods. Implement strict Indicator Unit 2025

Product Control labelling immediate segregation and a Material Review Board (MRB) assessment

mechanism to manage non-conforming items through return rework repair or disposal.Number of Product Recalls Due to Safety and

case 0

Should any serious defects be identified internally or by the customer after product delivery Quality Concerns

or use Quality Control Department engineers shall assess the adverse impact within one

working day. If it is confirmed that the defect is attributable to the Company an evaluation

Product Recall and confirmation team comprising relevant departments shall be convened to review

Procedure the non-conforming product. The review outcome shall be negotiated between the Sales

Department and the customer with subsequent handling conducted in accordance with Proportion of Product Recalls Due to Safety % 0

contractual quality agreements and other stipulations. This may include replacement return and Quality Concerns

recall or compensation.

53 2025 Environmental Social and Governance (ESG) Report 2025 Environmental Social and Governance (ESG) Report 54About the Report Chairman’s Statement About Highpower Technology Sustainable Development Management Honest Governance Immaculate Quality Green Planet Harmonious Life Appendix

Customer Relationship Management Impact Risk and Opportunity Management

By establishing a closed-loop service system that spans from identifying customer issues to resolving them the

Company systematically identifies evaluates and continuously monitors potential risks and opportunities throughout

the entire customer service journey. This approach transforms customer interactions into a pivotal driver for the

Governance ongoing refinement of products and services.The Company adheres to the service philosophy of “products satisfy Integrated Customer Complaints Managementusers and services satisfy customers”. The Company has established a Supply Chain

Service Control Procedure to standardize customer service processes. System The Company actively listens to customer feedback providing convenient and diverse complaint channels including

Leveraging the collaborative mechanism of its “Iron Triangle” (marketing instant messaging tools email video conferencing systems telephone communication or face-to-face discussions.R&D and supply chain) the Company achieves end-to-end product Iron Triangle A categorized management system for customer complaints has been established clearly dividing them into

management responds swiftly to customer needs continuously creates Collaborative three types: commercial quality and order delivery. Each category is handled by the corresponding responsible

value and optimizes the customer experience. Operation Model department to ensure closed-loop resolution. Complaints are prioritized based on urgency and impact severity

with corresponding handling procedures and response timelines established for each tier to continuously refine the

Marketing complaint management system. Furthermore the Company has formed an FA analysis team composed of industry R&D System System experts from various modules focusing on the study of failure modes and mechanisms of li-ion batteries. This team

conducts in-depth analysis and improvement of defective products involved in customer complaints and provides

feedback to customers after validating the improvement effects. This creates a closed-loop mechanism for complaint

handling and feedback ensuring that issues are resolved efficiently.Strategy Customer-Oriented

Customer Professional analysis team rapid response mechanism active Close the

Complaints cooperation efficient progress update and feedback Case

Risk/Opportunity

Item Risk/Opportunity Description

Time

Horizons Coping Strategies

* New European and American

battery regulations and * Establish a dedicated project team Information Root Cause Improvement Treatment Reporting/ Effect

customer compliance to implement a regulatory tracking Confirmation Analysis Measures Scheme Summarizing Follow-up

requirements introduce and conversion mechanism

uncertainties regarding both thereby deepening compliance

regulatory adherence and management throughout the

International business operations. product lifecycle.Trade Risk Long term

* US tariffs and industrial * By restructuring supply chains and

policies substantially increase expanding overseas operations adjusting business models and * Failure Mode and * 8D Team * Defect Introduction * Risk Assessment * Reporting Customers* Improvement export costs and market accelerating market diversification Grade Establishment Point Avoidance Measures and Effect access difficulties for battery * Sorting Scheme * Common Problem Evaluation

manufacturers posing a risk of the Company can reduce * Background * Failure Analysis * Defect Control Point Level Development

losing overseas market orders. dependence on any single market. Investigation Plan Leakage Prevention * Measures

Solidification and

* Material * Management Defect Auditing

* A wave of AI-enabled mobile Containment System Optimization

phone and PC upgrades is

emerging placing heightened

demands on core performance * Advancing the developmentTechnological metrics such as battery strategy of “becoming the leader Customer Satisfaction SurveyLeap and Market capacity and power output in edge-side energy” enhancing

Expansion thereby driving an increase in intrinsic value through technological

the unit value of batteries. Medium innovation and collaboration with The Company implements a regularized annual customer satisfaction survey mechanism covering multiple Opportunities dimensions including quality R&D service and delivery. The survey targets core customers (those with active annual

Driven by the term leading clients actively positioning * AI-powered spectacles ourselves in frontier markets such transactions) and assessed potential key clients with execution carried out by respective business units. For the 2025

AI Terminal robots and other new smart as AI glasses and robotics with a

Revolution hardware are accelerating the fiscal year the Group’s comprehensive customer satisfaction score reached 94 points. In response to client feedback focus on expanding our portfolio of

market deployment opening international flagship clients. the Company conducts in-depth follow-up visits and communications to clarify client requirements and implement

up incremental application improvement measures ensuring continuous enhancement of satisfaction levels. Owing to the outstanding customer

markets and unlocking revenue service performance the Company received honors and commendations from multiple core clients during the

growth potential. reporting period.* Industry safety scandals have

Differentiated not only reshaped downstream * Leveraging its core strengths in

Competitive brands’ requirements for compliance and high security to seize industry opportunities the Customer Service TrainingAdvantages in suppliers but also presented Medium

the Context of entirely new development term Company delivers tailored solutions

opportunities for compliant to meet diverse client needs The Company has continued to conduct customer service-related training programs. During the reporting period it Enhanced Industry

technologically advanced thereby evolving into a trusted delivered 13 training sessions totalling 25 hours focusing on regulatory compliance technical capabilities operational Safety Standards

battery suppliers. comprehensive solutions partner. practices professional conduct and industry developments to provide specialized empowerment for relevant teams.

55 2025 Environmental Social and Governance (ESG) Report 2025 Environmental Social and Governance (ESG) Report 56About the Report Chairman’s Statement About Highpower Technology Sustainable Development Management Honest Governance Immaculate Quality Green Planet Harmonious Life Appendix

Case Specialized Training on the EU’s New Battery and Hazardous Substances Sustainable Supply ChainManagement Regulations

Governance

The Company organized training on the EU's new battery regulations and other hazardous substance

management legislation in early 2025. This initiative aimed to ensure that sales customer service and

quality teams gained a precise understanding of the core regulatory requirements transforming complex The Company is committed to the coordinated development of the entire value chain and has established a

compliance provisions into professional communication skills for the teams. specialized integrated supply chain management organization overseen by senior management to ensure

efficient control across the entire chain—from resource sourcing and production coordination to product delivery.The Company deeply integrates the principles of sustainable development into the coordinated management of

the value chain. Centered on core requirements such as quality assurance green and low-carbon practices social

responsibility and compliant operations it has established a long-term cooperative mechanism with upstream

Protect customer privacy and downstream partners based on standardized collaboration joint capacity building shared risk prevention and mutual promotion of development. The Company has formulated internal management systems such as the Supplier

The Company is committed to safeguarding clients’ fundamental rights and interests rigorously protecting client Management Regulations and the Fundamental Guidelines for Cooperation with Suppliers which comprehensively

privacy and information security. Having obtained ISO 27001 management system certification the Company requires cover key aspects including the classification of materials and suppliers qualification audit and evaluation

that all marketing centers and client project teams sign confidentiality agreements covering client information at a performance management capability enhancement and exit mechanisms. It is continuously driving the development

100% rate thereby strengthening confidentiality controls in personnel management. During the 2025 financial year the of supply chain management towards standardization process optimization transparency and sustainability.

Company received no complaints regarding breaches of customer privacy.Responsible Marketing Strategy

The Company has established the Information Release Management Guidelines implementing a multi-tiered review

mechanism and standardized operational guidelines to ensure all external communications are lawful and compliant. Risk/Opportunity Time

Concurrently the Company conducts unscheduled responsible marketing training to enhance team awareness and Item Risk/Opportunity Description Horizons Coping Strategies

practice regarding green marketing privacy protection and anti-unfair competition thereby continuously elevating

brand credibility. Furthermore the Company actively participates in industry exchanges and shares best practices * Suppliers’ non-compliance * Embed regulatory monitoring and

collaborating with ecosystem partners to foster the sector’s positive development. with environmental regulations compliance requirements deeply within

Environmental regarding resource consumption

the supplier management system

pollutant emissions and Medium to verifying the effective operation of their Risk hazardous substance usage long term regulatory monitoring mechanisms through

during production processes poses onboarding and periodic compliance

product compliance risks. audits.Indicators and Targets * Supplier onboarding and annual

* Violations in supplier labor assessments shall incorporate sustainability

management including forced evaluations and audits.The Company has set an objective to achieve an annual year-on-year increase in overall customer satisfaction with Social and labor unpaid wages and poor * Collect supplier carbon emissions data occupational health and safety Medium to

the 2025 target having been met. Human Rights and drive the implementation of carbon

Risks conditions will have a severely long term reduction measures.detrimental impact on the

Company’s reputation and * Organize ESG-related empowerment

Indicator Unit 2025 compliant operations. training for suppliers.Customer Satisfaction % 94 * Implement a diversified supplier strategy * Over-reliance on key suppliers develop high-quality local suppliers and

coupled with factors such establish strategic stockpiling for critical

Customer Complaint Response Rate % 100 as logistical bottlenecks or materials.Supply Chain

Disruption Risk infrastructure failures may result

Medium to

in supply delays or disruptions long term * Implement domestic substitution for critical

thereby impacting production materials and formulate contingency plans.continuity. * Full traceability of critical minerals

throughout the entire process.* Establishing a closed-loop

ecosystem for battery/waste

Circular recycling and reuse reduces * Implementing a closed-loop circularEconomy environmental pollution while Medium to economy model of waste “recovery andOpportunities mitigating raw material price long term reuse” to meet customer requirements for

volatility and saving procurement the use of recycled materials.costs.* Green compliant and sustainable * Drive suppliers to design and manufacture

supply chain capabilities enable products that comply with international

Market businesses to access high- Medium to regulations and industry policies.Opportunities value markets with stringent environmental and social long term * Promote energy conservation and emission

responsibility requirements thereby reduction among suppliers and facilitate

driving revenue growth. the acquisition of green certifications.

57 2025 Environmental Social and Governance (ESG) Report 2025 Environmental Social and Governance (ESG) Report 58About the Report Chairman’s Statement About Highpower Technology Sustainable Development Management Honest Governance Immaculate Quality Green Planet Harmonious Life Appendix

Impact Risk and Opportunity Management ESG Dynamic Assessment

The Company actively conducts ESG due diligence within the supply chain based on the Supplier Sustainability Audit

The Company has deeply embedded supply chain risk identification and assessment into the supplier lifecycle Form. A dedicated project team has been established with third-party institutions engaged to provide professional

management processes. Through systematic due diligence it dynamically monitors supply chain risk dynamics guidance advancing related work according to schedule. The due diligence scope covers upstream suppliers of key

leveraging sustainable management standards to thoroughly explore opportunities for green supply chain minerals including lithium battery core materials nickel-metal hydride core materials electronic components and

development. structural material components. Regarding audit management the Company implements differentiated on-site audit frequencies based on suppliers’ annual performance ratings: A and B-rated suppliers undergo audits at least

biennially while C-rated suppliers require annual audits. Automotive suppliers without IATF 16949 certification must

Supplier Management also undergo annual audits. The assessment process encompasses supplier self-evaluation multi-departmental joint

on-site audits results publication rectification plan formulation and closed-loop verification establishing a complete

The Company has established a supplier lifecycle management mechanism that covers “admission-assessment-exit” management cycle from evaluation to improvement.and has deeply integrated sustainability requirements into each stage.Ensuring the stability of the supply chain

Supplier Access

At the management system level during the reporting period the Company engaged external authoritative bodies to

During the supplier admission stage the Company established the Supplier Admission Certification Management Process conduct ISO 22301 Business Continuity Management training and completed the formulation and submission of the

creating a systematic evaluation mechanism and multi-dimensional assessment criteria for new suppliers. Within the Business Continuity Plan (BCP). At the operational level through dynamic optimization of safety stock levels proactive

reporting period the Company further refined the new supplier admission process. Building upon the original review advancement of secondary supplier integration and diversification strategies such as domestic substitution of

framework the Company added key mineral due diligence requirements and introduced an independent Supplier materials the Company effectively mitigated single-source supply risks.Sustainability Audit Form to conduct comprehensive assessments across multiple dimensions including social responsibility

management systems labor rights business ethics business continuity occupational health and safety and environmental

management. 100% of newly admitted production suppliers in 2025 have been included in this sustainability audit system.Furthermore the Company explicitly requires all suppliers to sign the Conflict-Free Minerals Commitment / Critical Minerals Case Enhancing Operational Resilience – Business Continuity Training Successfully Completed

Due Diligence Commitment Letter1 and the Supplier Social Responsibility Commitment Letter to strengthen risk prevention

at the source.Sustainable Development Review Dimensions of Supplier Entry of Highpower Technology During the reporting period the Company organized specialized training for internal auditors of the ISO

22301 business continuity management system. Over 60 employees from key positions completed a 16-

hour training program and passed the assessment (with a 100% pass rate) effectively equipping the team

to identify vulnerabilities in the supply chain and enhance their ability to respond rapidly to emergencies.* ISO 14001 System * Anti-Corruption and Bribery and

Money Laundering

* Environmental Management

Compliance * Business Ethics Policy

* Hazardous Substance Restriction * Standards of Commercial

Management System Integrity

Supplier Empowerment

Social The Company continues to strengthen ESG capability development within the supply chain. During the reporting

period it engaged third-party professional institutions to organize specialized training for key suppliers on carbon

management and critical mineral due diligence cumulatively covering 83 suppliers and 132 participants. Concurrently

* SA 8000 and ISO 45001 Systems * Reasonable Remuneration and Working Hours * Business the Company actively encouraged suppliers to participate in customer-initiated Sustainability Stepping Stone (SSP)

Continuity* Occupational Health and Safety * Intellectual Property Protection programs empowering them to enhance their social responsibility management capabilities. These outcomes Management received high recognition from customers resulting in the Company being awarded the “Supplier Sustainability* Prohibit Child Labor Forced * Compliance Management of Conflict Minerals Performance Gold Award”. Furthermore through a series of training sessions the Company systematically promoted

Labor Anti-Discrimination its supplier sustainability audit mechanism providing specialized guidance on carbon inventory due diligence and

data reporting procedures. In 2025 the total duration of ESG-related training delivered to suppliers amounted to

approximately 493.5 hours.Supplier Assessment and Exit

For suppliers with whom collaboration has already commenced the Company has established the Supplier

Performance Management Process and continuously advances the supplier assessment mechanisms. Monthly

performance summaries and quarterly evaluations are implemented for all production material suppliers

comprehensively assessing their product and service performance across the QDCTS dimensions (Quality Delivery

Cost Technology Service). Based on scoring outcomes suppliers are categorized into four tiers—A B C and D—with

differentiated management applied according to their performance. In 2025 the company completed audits for 64

suppliers as planned. For suppliers that remained non-compliant after implementing improvements the company

will evaluate and replace them in accordance with the performance clauses outlined in the Supplier Management

Regulations. This process facilitates the dynamic optimization of the supplier pool ensuring the survival of the fittest

and guarantees the efficient operation and long-term competitiveness of the supply chain.1From 2025 the document to be signed by new suppliers has been standardized as the Critical Minerals Due Diligence Commitment Letter

59 2025 Environmental Social and Governance (ESG) Report 2025 Environmental Social and Governance (ESG) Report 60

Environmental

e

nan

c

ove

r

GAbout the Report Chairman’s Statement About Highpower Technology Sustainable Development Management Honest Governance Immaculate Quality Green Planet Harmonious Life Appendix

Green Supply Chain Development Equal Treatment for SMEsIn the realm of circular economy the Company collaborates with suppliers on a “closed-loop management of The Company strictly adheres to the State Council’s Regulations on Safeguarding Payments to Small and Medium-recycled materials” initiative. Production waste is handed over to specialized suppliers for recovery and processing sized Enterprises and relevant laws and regulations. It has established a comprehensive control mechanism based

subsequently being transformed into cathode materials at dedicated facilities before being reused in the Company’s on the Accounts Payable Management System ensuring that all stages from order confirmation to settlement and

own production processes. This approach effectively minimizes resource wastage and environmental pollution. payment are conducted in a standardized transparent and efficient manner. This effectively supports the operational security and healthy development of SMEs within the supply chain.In the area of carbon emissions management the Company conducted data surveys on 141 suppliers during the

reporting period gathering information on greenhouse gas emissions green electricity usage reduction measures

and product carbon footprints. Material-level carbon data traceability was implemented for key client projects.By the end of the reporting period 9 of the Company’s key suppliers of primary materials had obtained ISO 14067

product carbon footprint certification while 4 suppliers secured UL 2809 recycled material certification thereby Indicators and Targets

continuously enhancing the green compliance standards of the supply chain.The Company establishes annual audit plans for suppliers covering annual audits sustainability audits and audits for suppliers of

conflict minerals. The supplier audit completion rate reached 100% in 2025.Responsible Mineral Management

Indicator Unit 2025

The Company strictly adheres to the International Bill of Human Rights the United Nations Guiding Principles on

Business and Human Rights the European Union Regulation (EU) 2023/1542 on Batteries and Waste Batteries Signature Rate for the Declaration on the Non-Use of Conflict Minerals2 % 100

the China Mineral Supply Chain Due Diligence Management Guidelines the OECD Due Diligence Guidance for

Responsible Business Conduct OECD Guidelines for Responsible Supply Chain Due Diligence Management of Minerals Proportion of Raw Materials Used in the Product Meeting RoHS Requirements % 100

from Conflict Affected and High-Risk Areas and the Dodd-Frank Wall Street Reform and Consumer Protection Law.Internally the Company has formulated and implemented the Due Diligence Policy for Responsible Supply Chains of Number of Suppliers Conducted Sustainability Assessments supplier 54

Critical Minerals and the Regulations on the Management of Appeals and Remedies for Critical Minerals committing Proportion of Sustainability Assessment for Newly Approved Suppliers % 100

to identifying and managing conflict minerals-related risks within supply chain operations.The Company has established a Critical Minerals Due Diligence Working Group led by the Sustainable Development

Management Committee and involving functional departments across all modules. This group is responsible for the

responsible management of the Company’s mineral supply chain. The Company provides training on critical minerals

due diligence to authorized management and relevant personnel ensuring they possess the requisite competencies

for their roles.Sustainable Development Management Committee

Head of Due Diligence Team

Critical Mineral Supply Chain

Management Specialist

Members

Members of Members of of Human Members

Members Members Members of IT Members of

Procurement Quality Control Resources of Audit

Members of of Product

Safety Office Development of Legal Management Marketing Center Department Department Department Team Department Department Center

Highpower Technology Conflict Minerals Management Structure

To systematically manage the supply chain risks associated with key minerals the Company has established a full-

process management system covering admission review traceability investigation and continuous monitoring. In the

admission stage all new suppliers involving conflict minerals are required to sign the Critical Minerals Due Diligence

Commitment Letter and complete a key minerals risk questionnaire proactively identifying and assessing risks to

generate a key mineral supply chain risk assessment report. At the material level the Company utilizes the internal

GPCM system (Green Product Compliance Management system) to conduct annual supply chain mapping surveys

involving 96 suppliers associated with key minerals. The Company requires these suppliers to conduct tier-by-tier

traceability back to the mineral source with joint review by the Procurement and Quality Systems departments to

ensure the information is authentic and traceable. The survey results indicate that the current upstream supply chain

risks are overall controllable meeting the Company’s management requirements for key minerals. In the assessment

stage the Company incorporates key mineral management into the scope of annual supplier review conducting due

diligence on relevant suppliers to ensure the legality of raw material sources and prevent the use of conflict minerals.2 The Declaration on the Non-Use of Conflict Minerals refers to the Conflict-Free Minerals Commitment or the Critical Minerals Due Diligence

Commitment Letter.

61 2025 Environmental Social and Governance (ESG) Report 2025 Environmental Social and Governance (ESG) Report 62About the Report Chairman’s Statement About Highpower Technology Sustainable Development Management Honest Governance Immaculate Quality Green Planet Harmonious Life Appendix

Environmental Management and Establishment of an Environmental Management System

Ecological Conservation The Company has undertaken the development and enhancement of its environmental management system based on the ISO 14001 standard. Presently its subsidiaries involved in manufacturing operations—Guangdong Highpower Huizhou Highpower and Vietnam Exquisite Power—have all attained ISO 14001 environmental management system

certification achieving comprehensive coverage of environmental management system certification across all

primary production bases.The Company's subsidiaries Guangdong Highpower Huizhou Highpower and Vietnam Exquisite Power continue

to conduct internal environmental audits covering compliance with laws and regulations the effectiveness of

The Company strictly adheres to the Environmental Protection Law of the People's Republic of China and other environmental management policy implementation and the efficacy of risk management measures.relevant laws and regulations in its operational locations. It has established a series of management policies and

standardized procedural documents including the Environmental Management Regulations the Environmental Factor In 2025 Guangdong Highpower Huizhou Highpower and Vietnam Exquisite Power fully completed internal audits of

Identification and Assessment Procedure the Environmental Monitoring and Measurement Control Procedure and their environmental management systems as well as third-party external audits. During the reporting period the

the Environmental Policy Objectives Indicators and Plan Management Procedure. In 2025 the Company updated its systems operated with 100% effectiveness. Minor non-conformities identified during audits were fully rectified by the

Environmental Management Regulations and Environmental Monitoring and Measurement Control Procedures. This responsible units achieving closed-loop management.refinement further detailed the environmental management responsibilities of each functional department clarified

reward and penalty mechanisms and implemented special monitoring and management for operational activities

potentially with significant environmental impacts.Certificate CN24/00000592

The Company did not incur any penalties for violating environmental protection regulations throughout the year Certificate CN15/31386 The management system of The management system of

Guangdong Highpower New Energy

nor did it receive any significant administrative penalties from relevant departments such as ecological and Huizhou Highpower Technology Co. Technology Co. Ltd. Ltd.Unified Social Credit Code: 91441300MA54P9L55G

Business Registration Address: No. 38 Songbailing Avenue Start-up Area China-Korea Unified Social Credit Code: 91441300592105980L

environmental authorities due to environmental incidents. Consequently no related penalty amounts were incurred. (Huizhou) Industrial Park Zhongkai Hi-tech Industrial Development Zone Huizhou City Business Registration Address: Xinhu Industrial Zone Ma'an Town Huicheng District Guangdong Province P.R. China Huizhou City Guangdong Province P.R. China Business Operation Address: No. 38 Songbailing Avenue Start-up Area China-Korea (Huizhou) Business Operation Address: Xinhu Industrial Zone Ma'an Town Huicheng District Huizhou City Industrial Park Zhongkai Hi-tech Industrial Development Zone Huizhou City Guangdong Guangdong Province P.R. China

Province P.R. China has been assessed and certified as meeting the requirements of

has been assessed and certified as meeting the requirements of ISO 14001:2015

ISO 14001:2015 For the following activities

For the following activities Design and manufacture of lithium-ion battery

Design and manufacturing of Lithium-ion Batteries and Rechargeable Nickel Hydrogen Batteries

Design and Manufacturing of Lithium Battery Packs and Power Supply Units

This certificate is valid from 24 December 2024 until 25 January 2027 and remains valid subject to satisfactory This certificate is valid from 31 October 2024 until 30 October 2027 and remains valid subject to satisfactory surveillance

surveillance audits. audits.Environmental Management Organizational Structure Issue 2. Certified since 26 January 2024 Issue 5. Certified since 31 October 2015

Authorised by Authorised by

Liz Moran Liz Moran

Business Manager Business Manager

The Company has established a robust environmental governance framework clearly delineating the boundaries SGS United Kingdom Ltd SGS United Kingdom Ltd Rossmore Business Park Ellesmere Port Cheshire CH65 3EN UK Rossmore Business Park Ellesmere Port Cheshire CH65 3EN UK t +44 (0)151 350-6666 - www.sgs.com t +44 (0)151 350-6666 - www.sgs.com

of authority and responsibility across all levels from decision-making to execution. This ensures scientific decision-

making efficient implementation and timely execution of all environment-related work within the Company. This document is an authentic electronic certificate for Client’ business purposes use only. Printed version of the electronic certificate are permitted and will be considered as a copy. This This document is an authentic electronic certificate for Client’ business purposes use only. Printed version of the electronic certificate are permitted and will be considered as a copy. This document is issued by the Company subject to SGS General Conditions of certification services available on Terms and Conditions | SGS. Attention is drawn to the limitation of liability document is issued by the Company subject to SGS General Conditions of certification services available on Terms and Conditions | SGS. Attention is drawn to the limitation of liability indemnification and jurisdictional clauses contained therein. This document is copyright protected and any unauthorized alteration forgery or falsification of the content or appearance of indemnification and jurisdictional clauses contained therein. This document is copyright protected and any unauthorized alteration forgery or falsification of the content or appearance of

this document is unlawful. this document is unlawful.Page 1 of 1 Page 1 of 1

Guangdong Highpower Huizhou Highpower Vietnam Exquisite Power

Environmental Management Committee Structure and Responsibilities ISO 14001 Certification ISO 14001 Certification ISO 14001 Certification

Environmental Management Committee Chair

Responsible for environmental management system and strategic decision-making policy formulation Environmental Monitoring and Emergency Response

risk management strategic planning and overarching supervision as the highest decision-making level

of environmental management. All production bases of the Company have established standardized environmental monitoring and waste disposal

mechanisms. In 2025 each production site formulated and implemented its annual environmental monitoring plan

engaging third-party institutions to conduct monitoring thereby continuously reducing the environmental impact.Environmental Management Committee Vice Chair

The Company has established a comprehensive environmental emergency response framework conducting regular

identification and assessment of environmental risk sources. Environmental contingency plans are formulated for

Responsible for coordinating various departments to perform environmental management tasks ensuring identified risks and are filed with the relevant ecological and environmental bureau. Our environmental contingency

effective implementation of strategies and achievement of goals and regularly reporting the Company's plans remain valid at present. Furthermore the Company has developed the Disaster Prevention and Recovery

environmental management performance to the Chair of the Environmental Management Committee. Operations Management Procedure and established an Environmental Emergency Command Center to ensure the

proper and efficient handling of environmental emergencies.Environmental Management Committee Chief Commander

A team comprising representatives from each department is responsible for identifying evaluating

and updating environmental factors within their respective areas of responsibility. They organize Deputy Commander

environmental management training for departmental personnel ensure the proper functioning

of environmental control facilities within their departments and oversee routine environmental

management tasks such as waste management compliance. The Company has established a Environmental

dedicated environmental protection project team and employed environmental protection engineers Emergency Logistics Support Emergency Information Monitoring

to coordinate the execution of daily environmental management activities across all departments. This Response Team Medical Aid Team Team Evacuation Team Integration Team TeamIntegration

facilitates the environmentally compliant operation of the industrial park and ensures the achievement Team

of all key environmental performance indicators.Environmental Emergency Framework

65 2025 Environmental Social and Governance (ESG) Report 2025 Environmental Social and Governance (ESG) Report 66About the Report Chairman’s Statement About Highpower Technology Sustainable Development Management Honest Governance Immaculate Quality Green Planet Harmonious Life Appendix

Environmental Management Objectives

Environmental Identify facilities activities or processes that may impact the environment and specify

Risk Identification particular risk types such as pollutant emissions chemical spills fires and explosionsthereby laying the groundwork for subsequent prevention and control measures. The Company adopts an environmental management policy centered on “compliance with regulations pollutionprevention energy conservation and waste reduction and continuous improvement”. Each year it establishes specific

quantifiable environmental management objectives and ensures their implementation through dynamic tracking and

regular reviews.Environmental Analyze the likelihood and potential impacts of identified risks categorizing them by

Risk Assessment severity and probability to determine priority control measures. Production Bases

Establish clear emergency response procedures encompassing alerting evacuation Objectives Achievement Status In 2025

Emergency Plan pollution control and rescue operations. Ensure adequate reserves and availability of

Development emergency resources conduct regular training and drills establish internal and external

Industrial Wastewater: 100% compliant treatment Achieved

communication and reporting mechanisms and perform post-incident evaluations for

continuous plan refinement. Site boundary Noise: 100% emission compliance Achieved

Continuous Ensure the effectiveness and applicability of risk assessments and emergency plans

Industrial Waste Gas Emissions: 100% emission compliance Achieved

Monitoring and through regular review and updating. Concurrently establish an environmental monitoring system to conduct real-time monitoring of potential risk sources enabling Waste Materials: 100% collection and compliant disposal AchievedUpdating the timely detection and resolution of environmental issues.Zero Environmental Incidents Achieved

During the reporting period:

Time investd in Investment in

environmental governance environmental governance

17673 hours RMB 12.73 million

Hazardous Chemicals Emergency Drill

The Company continues to advance its clean production initiatives by monitoring and inspecting the entire

production and operational process to identify potential optimization points characterized by high energy

consumption high material usage and significant pollution. Based on this targeted clean production enhancement

plans are formulated and implemented while internal and external clean production audits are systematically Ecosystem and Biodiversity

advanced. Notably Huizhou Highpower successfully passed its clean production audit in June 2021 following a

rigorous process encompassing self-assessment third-party evaluation recommendation by provincial industrial Conservation

and information technology authorities and expert review. Consequently it has been designated as a municipal-level

clean production enterprise. The Company strictly adheres to local laws regulations

and policy requirements including the Opinions on Further

Strengthening Biodiversity Conservation the Soil Pollution

Prevention and Control Law of the People's Republic of

Environmental Protection Culture China and the Groundwater Management Regulations.Concurrently it has formulated internal Land Use and

Biodiversity Management Regulations to systematically

The Company actively fosters an environmental culture system rooted in business operations regularly organizing identify biodiversity risk factors and investigate ecological

specialized environmental training to deepen employees' environmental awareness and equip them with professional hazards in surrounding areas.skills.The Company conducts environmental assessments of

Guangdong Huizhou Vietnam ecologically sensitive elements such as ancient and notable

Highpower Highpower Exquisite Power trees rare and endangered flora and fauna in the vicinity of

Conducted chemical spill Conducted training programs for departmental Conducted ISO 14001 each production base. Furthermore none of its operational

training for production managers and environmental management system training at overseas bases are situated within adjacent to or in areas of high

department supervisors internal auditors on environmental protection base enhanced EHS biodiversity concentration within nature reserves. This

and warehouse managers knowledge pertaining to wastewater waste gas and management mechanisms ensures that its production operations products and

achieving a 100% solid waste management achieving a 100% pass rate in and achieved ISO 14001

participation rate. training assessments. certification. services do not exert any significant adverse impact upon

regional biodiversity.

67 2025 Environmental Social and Governance (ESG) Report 2025 Environmental Social and Governance (ESG) Report 68About the Report Chairman’s Statement About Highpower Technology Sustainable Development Management Honest Governance Immaculate Quality Green Planet Harmonious Life Appendix

Emissions and Waste Management Case Guangdong Highpower Wastewater Treatment Plant Technical Upgrade Project

In 2025 Guangdong Highpower implemented a technical upgrade at its wastewater treatment plant

Waste Gas Treatment adding a new lithium battery wastewater pretreatment system. Prior to the upgrade the existing equipment could only process 20-30 cubic metres of lithium battery wastewater per shift relying solely

on primary sedimentation treatment. Following the upgrade the treatment capacity per shift increased

The Company's primary exhaust emissions comprise dust and organic waste gases generated during production to 40-50 cubic metres. The treatment process was enhanced to a three-stage sedimentation tank

processes. The Company strictly adheres to the laws and regulations of its operational locations including the Law of combined with electrolytic denitrification significantly boosting wastewater treatment capability and

the People's Republic of China on the Prevention and Control of Air Pollution and has established internal procedural effectively improving the treatment efficiency and operational stability of the wastewater treatment plant.documents such as the Waste Gas Emission Management Procedure Wastewater Treatment Procedure and Noise

Emission Management Procedure. During the reporting period the Company updated its Waste Gas Emission

Management Procedure Wastewater Treatment Procedure and Noise Emission Management Procedure further

clarifying the responsibilities and authorities of each functional department regarding waste gas management and

facility operation and maintenance. Concurrently it formulated environmental monitoring plans in accordance with During the reporting period:

relevant regulatory requirements and commissioned third-party institutions to conduct monitoring as mandated. In

2025 all waste gas monitoring results met the relevant requirements achieving 100% compliant emissions. Total industrial wastewater discharge amounted to 915 tonnes with a discharge intensity of

0.16 t/RMB million.

Case Guangdong Highpower Waste Gas Treatment Project

In 2025 Guangdong Highpower initiated an upgrade project for its waste gas treatment equipment to

address organic emissions generated during production processes including electrolyte volatilization and Waste Managementvacuum pump oil dispersion. The core of the project employs an “intelligent high-efficiency compositebiofilter bed combined with an alkali-washing spray tower” process. This is complemented by a cloud The Company strictly adheres to the laws and regulations of its operating locations including the Law of the People's

platform for real-time monitoring of parameters such as the pH value of the filter bed spray solution and Republic of China on the Prevention and Control of Environmental Pollution by Solid Waste. It has established internal

the temperature of the filter bed packing layer enabling early warning and intelligent control. procedural documents such as the Solid Waste Management Procedure. During the reporting period the Company

revised and updated the Solid Waste Management Procedure further refining the classification of hazardous waste

across subsidiaries and clarifying the management responsibilities of each department. This ensures the Company's

systems are fully aligned with national solid waste laws and regulations.The Company's non-hazardous waste primarily comprises domestic refuse and general industrial solid waste whilst

Wastewater Treatment hazardous waste mainly originates from production processes including spent electrolyte solutions waste oils discarded fluorescent tubes spent activated carbon used rags empty containers and spent cutting fluids. Through

a combined approach of source control segregated collection resource recovery and compliant disposal the

The Company's wastewater primarily originates from cleaning effluents generated during the production of nickel- Company has established dedicated waste management objectives to systematically advance waste reduction and

metal hydride and li-ion batteries such as water used to wash containers and tools contaminated with slurry scrub emission minimization at source.machinery and clean cylindrical bare cells; as well as wastewater from the waste gas treatment system's scrubber

towers. The Company strictly adheres to the relevant laws and regulations of its operational location including the In November 2025 Huizhou Highpower and Guangdong Highpower conducted on-site audits of hazardous waste

Law of the People's Republic of China on the Prevention and Control of Water Pollution. It has formulated and revised treatment providers to verify compliance with disposal procedures.the Wastewater Treatment Procedure clearly defining the division of responsibilities among functional departments

as well as the specific operational procedures and compliance requirements for wastewater treatment. Wastewater Non-hazardous Waste Hazardous Waste

from domestic production facilities undergoes treatment at the Company's on-site wastewater treatment plant

through physical-chemical processes biological treatment MBR membrane filtration RO membrane filtration and

MVR evaporation systems. Following this treatment the effluent meets regulatory standards for reuse or discharge. Domestic Waste * Classification: Categorize hazardous waste according to type

Discharged wastewater complies with water quality requirements set by government environmental authorities * After being sorted and collected it is uniformly

posing no adverse effects on aquatic ecosystems or human health. In 2025 the Company achieved 100% compliant processed by the environmental sanitation * Collection and Storage: Utilize dedicated containers

discharge of industrial wastewater. department. and equipment for hazardous waste collection; temporarily store collected hazardous waste in

specialized hazardous waste holding facilities

General Industrial Solid Waste

Treated at the self-built * Record-keeping and ledger management: Maintain

wastewater treatment Internal testing and Reused or discharged after * Classification and collection: Sorting waste detailed records of hazardous waste generation

station external testing passing the testing according to its nature and composition collection temporary storage and other relevant

* Temporary storage and pre-treatment: Storing

information

Management Process for Industrial Wastewater (Domestic Sites) sorted waste in designated areas and performing * Hazardous waste disposal contractors: Engage

pre-treatment operations based on waste type and qualified hazardous waste disposal contractors with

subsequent processing requirements appropriate professional credentials.Preliminary filtration through Discharged into the Treated at the wastewater * Recycling and disposal: Handled by solid waste * Qualification review: Conduct periodic qualification internal oil separators and municipal pipe network treatment plant recyclers with regular monitoring of their processing reviews of hazardous waste disposal contractors.three-stage septic tanks methods.Management Process for Domestic Wastewater (Domestic Sites)

Waste Disposal Process

69 2025 Environmental Social and Governance (ESG) Report 2025 Environmental Social and Governance (ESG) Report 70About the Report Chairman’s Statement About Highpower Technology Sustainable Development Management Honest Governance Immaculate Quality Green Planet Harmonious Life Appendix

During the reporting period: Energy and Resource Management

General industrial solid waste

Total generation of general industrial solid waste: 2256.57 tonnes general industrial solid waste Energy Management

treatment intensity: 0.38t/RMB million The Company has established internal procedural documents including the Energy Procurement Control Procedure

Energy Management Measures Control Procedure and Energy Performance Evaluation Control Procedure to ensure

that energy management activities are conducted in a standardized and orderly manner thereby effectively

enhancing energy utilization efficiency.General industrial solid waste reuse volume: 1697.27 tonnes During the reporting period the Company formally established an Energy Management Team implementing a

tiered management structure: senior management spearheaded the formulation of strategic energy management

objectives overseeing energy conservation projects and providing resource support. The Head of the Equipment

The unit product generation intensity of general industrial solid waste at domestic production bases Platform Department assumed the role of Executive Team Leader with a dedicated Energy Engineer appointed as

Executive Secretary. Members were assigned from all departments and business units to ensure the implementation

decreased by 13.91% year-on-year. of energy management responsibilities at every level. In 2025 the Company formally commenced the implementation

of the ISO 50001 energy management system conducting training programs to further enhance energy management

capabilities. As of the date of this report both Guangdong Highpower and Huizhou Highpower have obtained ISO

50001 energy management system certification.

Hazardous Waste

Energy Technology Upgrading

Total hazardous waste generated: 328.31 tonnes；Hazardous waste treatment intensity:

0.06t/RMB million The Company continues to advance energy-saving technical upgrades introducing high-efficiency energy-saving technologies to optimize its energy consumption structure and enhance energy efficiency levels. In 2025 the

Company completed a total of three major energy-saving renovation projects achieving an annual electricity saving

equivalent to approximately 9.79 million kWh.Hazardous waste reuse volume: 8.20 tonnes

Case Guangdong Highpower Water Intelligence Control Project

In 2025 Guangdong Highpower maintained continuous operation of the water quality management

systems for Buildings 6 and 8. This project achieved real-time water quality monitoring intelligent

precision chemical dosing and wastewater discharge through the deployment of integrated smart

sensors and dosing equipment combined with an IoT cloud platform and AI-optimized algorithms.Following the system's implementation water quality parameters met national standards. During the

acceptance period energy savings were calculated at 11.7%. From May to December 2025 energy savings

calculated at this rate amounted to 410000 kWh.Water Intelligence Control Platform Monitoring Interface

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Supporting the Development of Clean Energy

Case Guangdong Highpower Air Conditioning System Optimization and Energy Saving Project

The Company actively promotes the application of clean energy vigorously developing green projects such as

photovoltaics and energy storage to support the transformation of the energy structure. In 2025 the Company added

0.88 MW of distributed photovoltaic capacity bringing the cumulative installed capacity to 4.51 MW. The electricity

In 2025 Guangdong Highpower undertook in-depth commissioning and technical upgrades of its generation for 2025 reached 4299945 kWh.heating and cooling source systems and terminal units. By optimizing chiller plant operating modes

and introducing the UE artificial intelligence ultra-high-efficiency digital management platform precise

control was achieved. Commissioned in April 2025 the project achieved cumulative energy savings of

9375385 kWh between April and December 2025. This yielded energy-saving benefits of RMB 6274229

and an annual reduction of 1152.23tce.Digital Management Platform The Huizhou Highpower 0.88 MWp Photovoltaic Project was Successfully Completed and Commissioned in

November 2025 Contributing to the Optimization of the Energy Structure

In 2025 Huizhou Highpower Phase

I Air Compressor Station phased

out outdated equipment replaced

it with Class 1 energy-efficient air Energy Efficiency Audit

compressors and establish an

intelligent air compressor control The Company's two major production bases in Huizhou conduct weekly routine energy-saving inspections examining

system. This reduced the air-to- the operational status of key systems including production and auxiliary equipment lighting systems air-conditioning

electricity ratio from 0.1391 kWh/m3 to units and gas systems (compressed air nitrogen vacuum). Throughout the year cumulative inspections across all

0.1020 kWh/m3 achieving an energy- energy-consuming departments conducted a total of 473 instances. Through systematic investigation and oversight

saving rate of 26.67%. energy-wasting risks are effectively identified and the implementation of energy-saving measures is promoted.Case Warehouse Energy Efficiency Audit Initiative

In July 2025 the Company conducted an energy efficiency review of its warehouse facilities identifying

issues such as lights left on in unmanned areas and air conditioning set to excessively low temperatures.To address these energy wastages the Company implemented improvements including conducting

energy management training to enhance employees' awareness of energy conservation posting

standards for air conditioning temperature and lighting control optimizing the operation mode of the

cooling system and carrying out regular inspections. Following the completion of rectification measures

the monthly electricity consumption at Warehouses 4 and 7 has decreased significantly compared to

the same period in 2024 with cumulative electricity savings over the six-month period amounting to

approximately 916900 kWh.

73 2025 Environmental Social and Governance (ESG) Report 2025 Environmental Social and Governance (ESG) Report 74About the Report Chairman’s Statement About Highpower Technology Sustainable Development Management Honest Governance Immaculate Quality Green Planet Harmonious Life Appendix

In 2025 all mature production and operational bases within the Company advanced energy-saving initiatives with

comprehensive energy consumption per unit of product as the key control target. Notably Huizhou Highpower Addressing Climate Change

achieved a 5.7% reduction in comprehensive energy consumption per unit of product compared to the baseline while

Guangdong Highpower recorded a 36.86% decrease. Both sites exceeded their annual energy-saving targets fully

demonstrating the effectiveness of their conservation efforts.During the reporting period: Governance

The Company has established internal systems and procedural documents including the Greenhouse Gas Inventory

Total energy consumption 30647100 kWh Photovoltaic power Procedure and the Emergency Preparedness and Response Management System integrating climate change-amounted to generation reached related content into its overall ESG framework to ensure climate change issues are incorporated into the Company's

39600 of green electricity was 4299.95 strategic planning process. tce procured MWh

As the highest decision-making body at the Board of Directors level the

Green power certificates procured Total renewable energy representing a renewable Sustainable Development Decision Making Committee is responsible for

amounted to usage reached energy share of

* Guiding and formulating the Company's climate-related vision goals

46.70 million kWh 81647100 kWh 25.34% strategies and structureSustainable * Identifying major climate risks and opportunities

Development Decision

Making Committee * Regularly reviewing the implementation and achievement of climate-

related goals

Composed of the Company's core management team and

responsible for

Water Resource Management

* Offering business insights into the Company's climate change strategy

Sustainable including key fields like climate change risk and opportunity management

The water resources utilized by the Company during production and operational processes are sourced exclusively Development as well as monitoring

from the municipal water supply system. The principal facilities are not situated within high-risk water supply zones. Management Coordinating and ensuring the necessary resource support for executing

The Company has established internal systems and procedural documentation including the Energy Operations * Committee climate-related strategies and managing risks

Management Procedures to continuously optimize water resource management and enhance water usage

efficiency.The Company maintains water usage records prioritizes the selection and procurement of water-efficient equipment

and appliances and progressively phases out high-consumption outdated water-using devices and products. Composed of the ESG management team and coordinated by the

Approved water-metering devices are installed at key water-consuming processes and critical water-using Environmental Management Team

equipment. The Company conducts regular inspections and maintenance of facilities and equipment ensuring water

pumps and valves are promptly shut off during production halts to prevent leakage. Furthermore it promotes water * Leading the identification of climate risks and opportunities and providing

conservation knowledge policies and their significance through noticeboards and posters implementing multiple professional insights and recommendations for the development of

measures to ensure the efficient and economical use of water resources. Sustainable climate-related strategies

In 2025 the Company's water resource management was compliant and efficient with no major non-compliance Development * Continuously tracking climate-related performance actively promoting

incidents. The primary production bases Guangdong Highpower and Huizhou Highpower established unit water Execution Group improvement measures and ensure the achievement of climate change

consumption control targets using 2024 as the base year and successfully achieved these objectives. goals

During the reporting period: The relevant business/function responsibility departments are

responsible for

Total water withdrawal (fresh water): Total water reuse

* Implementing adaptation and mitigation strategies related to climate change

958861.23 Various Businesstonnes 15173 tonnes and Functional * Proposing and executing innovative operations and practices to address

Departments climate change topics

75 2025 Environmental Social and Governance (ESG) Report 2025 Environmental Social and Governance (ESG) Report 76About the Report Chairman’s Statement About Highpower Technology Sustainable Development Management Honest Governance Immaculate Quality Green Planet Harmonious Life Appendix

Strategy Opportunity Opportunity Stage in the Location of Time Degree

Category Description Value Chain Opportunity Financial Impact Horizons Possibility of CountermeasuresImpact

The Company incorporates climate-related risks and opportunities into its strategic planning and decision-making With the ongoing research During production operations

processes aligning with the International Sustainability Standards Board (ISSB)'s International Financial Reporting development and innovation in green technologies coupled with the proportion of renewable

the successive introduction of By investing in clean energy usage is increased Sustainability Disclosure Standard 2–Climate-related Disclosures and the Task Force on Climate-related Financial Energy supportive policies the availability Direct China energy and reducing Medium More likely Mid through initiatives such as

Disclosures (TCFD) recommendations. Climate-related risks are integrated into the Company's overall risk assessment Transition of renewable energy is expected operation long-term energy term photovoltaic power generation

practices and management systems with the impact of such risks mitigated through refined risk identification to steadily increase whilst its

costs to reduce energy costs and

prices are also anticipated to meet the green requirements

assessment and management. gradually decrease. of downstream customers.Short term: By 2026 During operations the

Company shall continue

With the ongoing research to increase investment in

Timeframe Medium term: By 2030 development and innovation in infrastructure supporting the

green technologies coupled with circular economy. By focusing

Energy the successive introduction of Direct China Reduce operational Long term: by 2050 Medium Mid-to-

on initiatives such as intelligent

Transition supportive policies the availability costs by improving Likely water control HVAC energy of renewable energy is expected operation Vietnam resource efficiency term low efficiency and air compressor

to steadily increase whilst its energy conservation the

prices are also anticipated to Company will achieve efficient

gradually decrease. resource utilization and

effectively reduce operational

costs.Risk Risk Description Stage in the

Location

of Risk Financial Impact Time

Degree

Category Value Chain Horizons Possibility of CountermeasuresOccurrence Impact

As global concern over climate By offering products By implementing green

Extreme weather events change deepens customers and services that production practices such

(including typhoons floods Establish an extreme weather warning increasingly favor environmentally align with customer as enhancing operational

heatwaves etc.) may Facility restoration and mechanism to issue alerts for extreme Products friendly products and services.China

Downstream preferences

efficiency and refining

impact the operational China replacement costs loss of weather events; develop emergency and Services The Company's low-carbon value chain Global competitiveness Long term Highly likely Mid

manufacturing processes the

stability of the Company's Direct Vietnam revenue due to production Short Mid-to- disaster response plans and conduct achievements will enhance its can be further

Company assists clients in

infrastructure leading to operation interruption emergency term Most likely high regular emergency drills; Reinforce competitiveness brand image Market strengthened thereby reducing the carbon footprint

disruptions in production disposal and temporary critical infrastructure against disasters; and reputation for sustainable leading to increased of their products thereby

processes and thereby operational expenses and take measures such as purchasing development. revenue. strengthening its competitive

affecting the Company's property insurance. edge.business continuity.Rising temperatures

will increase energy Increased operational By replacing high-efficiency heating

consumption for costs arising from higher energy consumption and cooling systems and conducting temperature control in

production facilities while China required to maintain

annual tracking and analysis of energy

coastal sea-level rise and Full Value Vietnam optimal temperatures in Long term Likely Mid-to-

consumption trends the Company

Chain production facilities; rising high continuously optimizes energy flooding may severely

impact critical public logistics costs and supply

efficiency management; The Company Financial Impact Analysis

chain transition expenses strengthens supply chain collaboration infrastructure indirectly due to failures in public and implements measures to ensure affecting raw material supply infrastructure. supply chain stability.and product transportation. The Company is progressively establishing internal mechanisms to track and assess the current and anticipated

Keep a close watch on the financial impacts of climate-related factors on revenue costs and capital expenditures with the current focus

latest climate-related regulatory

Government policies and developments at both national and primarily on qualitative analysis. At present the impact of climate-related factors on the Company's financial status

regulations concerning international levels and take necessary is mainly reflected in areas such as low-carbon transition investments energy-saving technical upgrades and

carbon emissions are Direct China In response to increased responsive actions in accordance with becoming increasingly Vietnam operational costs resulting Long term Highly likely Mid-to- the latest legal requirements. This clean energy adoption with no material adverse effect on current profitability and cash flow overall. Concurrently

stringent placing pressure operation from policy changes high includes implementing green product

on enterprises to manage design energy-saving and carbon- accelerated global low-carbon transition green and low-carbon technological innovation growing demand for clean

compliance effectively. reduction measures in manufacturing products and the promotion of circular economy models are generating potential business opportunities and long-

and conducting operational carbon

audits and verification. term value enhancement prospects for the Company.The transition towards low- Research and During the reporting period the Company did not incur any asset losses due to climate-related events such as

emission technologies development of low- Develop low-carbon transition

and products requires carbon technologies and associated plans actively explore clean energy

extreme weather. The Company continued to advance its low-carbon transition with cumulative annual investment

companies to make Direct China investments alongside Short to alternatives and expand the application exceeding 10 million yuan dedicated to climate adaptation and mitigation efforts. The proportion of renewable energy substantial investments operation Vietnam the procurement and medium Highly likely Mid scope of clean energy; When procuring in energy-efficient term new equipment prioritize assessment usage increased to 25.34% effectively reducing Scope 2 greenhouse gas emissions. In the future the Company will

equipment clean energy utilization of clean energy sources may result in of its environmental impact and energy further increase resource allocation continuously raise the share of renewable energy and deepen green and low-and low-carbon production efficiency.techniques. increased operational costs. carbon operations.Maintain close communication with

Customers are increasingly clients to understand their requirements

favoring sustainable

climate-friendly products. Meeting customers' low-

regarding the Company's environmental

A growing number of carbon requirements

performance; strengthen the Addressing Equipment High-Voltage Tripping and Operational Disruptions

China may lead to increased Short development of the carbon emissions Caseclients are setting targets Downstream operational costs while medium management system establish carbon Caused by Extreme Weatherfor reducing emissions value chain Global failing to meet customer and long

Likely Low footprint accounting capabilities

across their value chains Market

demanding that the entire needs may result in

term continuously monitor progress towards

reduced business revenue. established environmental objectives value chain contributes to and establish a performance indicator

lowering carbon emissions. assessment mechanism for energy

conservation and emissions reduction.Extreme weather conditions frequently trigger temporary voltage dips in the power grid causing high-

Customers consumers

and other stakeholders Establish carbon reduction targets voltage tripping in production equipment. This results in production line interruptions and losses of work-

are increasingly prioritizing and commitments publishing

companies' actions in Failure to meet progress reports at regular intervals; in-progress. The Company completed relevant research in 2025. In 2026 it will deploy dynamic voltage

addressing climate change. stakeholder expectations Continuously deepen research and dip protection equipment alongside completing equipment relocation installation commissioning and

If the Company fails to Upstream Chinavalue chain Vietnam may lead to increased Long term Likely Low development efforts for low-carbon actively address climate capital costs and adversely products while integrating green and personnel operational training. This will enable real-time voltage fluctuation management ensuring

change it may fall short of impact company value. low-carbon development principles stable equipment operation.stakeholders’ expectations throughout the entire production and

thereby damaging its image operational chain.and reputation.

77 2025 Environmental Social and Governance (ESG) Report 2025 Environmental Social and Governance (ESG) Report 78

Transition Risk Physical Risk

Reputation Market Technology Policy and Legislation Chronic AcuteAbout the Report Chairman’s Statement About Highpower Technology Sustainable Development Management Honest Governance Immaculate Quality Green Planet Harmonious Life Appendix

Overview of Climate-Related Risk Prioritization

Case Purchasing Property Insurance to Mitigate Extreme Weather Risks Risk Category Priority Ranking3

Typhoons floods heatwaves etc. Medium

Physical Risk

Sea level rise Low

To effectively mitigate property risks arising from extreme weather events such as typhoons and torrential

rain the Company has secured business property insurance for its core assets. This insurance not only Policy and Legislation High

provides compensation for direct losses caused by natural disasters like typhoons–including collapsed

external walls waterlogged equipment and submerged goods–but also covers necessary expenses Technology HighTransition Risk

incurred through reasonable salvage operations undertaken to minimize damage. Market High

Reputation Low

Overview of Climate-Related Opportunities Prioritization

Opportunity Categories Priority Ranking

Products and Services High

Impact Risk and Opportunity Management Energy Transition Medium

Resource Efficiency Medium

The Company integrates climate risks and opportunities into its corporate strategy and decision-making processes

incorporating the identification of climate-related risks into its overall risk assessment practices and management

systems. Through meticulous risk identification assessment and management it mitigates the impact of climate-

related risks on the organization thereby supporting the Company's pursuit of sustainable high-quality development.Indicators and Targets

Identifying Climate Change Climate Risks and The Company has scientifically planned a tiered emissions reduction target framework with 2024 as the baseline year extending

Risks and Opportunities Opportunities Assessment through to 2050. Focusing on lowering carbon emission intensity as the key driver it will conduct annual reviews of target progress

striving to achieve carbon neutrality in its own operations by 2040 and across its entire value chain by 2050.* Collect and analyze historical climate- * Prioritize identified climate risks based

related data industry reports policy on their probability of occurrence and Medium-term Objectives By 2030 achieve a 45% reduction in operational carbon emissions

documents etc. to identify potential potential impact severity producing a intensity (tCO2e per ten thousand yuan of revenue).climate risks that may impact business prioritized list of climate-related risks

operations and a prioritized list of climate-related Strive to achieve carbon neutrality in our own operations by 2040.opportunities. Long-term Objectives

* Analyze and collate the identified risks to Strive to achieve carbon neutrality across our value chain by 2050.form a risk inventory * Ensure assessment outcomes align with the

Company's current circumstances through The Company has established the Greenhouse Gas Inventory Procedure which adheres to relevant requirements

management's collective participation in such as the GHG Protocol and ISO 14064. It conducts comprehensive carbon inventories covering all greenhouse

the risk assessment process. gas emissions on a regular basis and systematically advances third-party carbon verification. Huizhou Highpower

and Guangdong Highpower have completed their 2025 Scope 1 2 and 3 greenhouse gas inventories. By engaging

third-party verification they ensure the accuracy completeness and credibility of their carbon emissions data.Concurrently Shenzhen Highpower Springpower Technology Icon Energy and Vietnam Exquisite Power have

undertaken independent 2025 Scope 1 and Scope 2 carbon emissions inventories.Climate Change Risks and Monitoring Climate Change

Opportunities Response Risks and Opportunities Indicator Unit 2023 2024 2025

Scope 1 Greenhouse Gas Emissions tCO2e 857 1362 1065

* Based on operational characteristics and in * Regularly monitor trends in climate risks

response to the findings of the assessment and opportunities to enable timely action. Scope 2 Greenhouse Gas Emissions (Market-based) tCO2e - 168447 145338

formulate concrete and effective

countermeasures to enhance infrastructure * Organize periodic reviews by the risk Scope 2 Greenhouse Gas Emissions (Location-based) tCO2e 74541 157564 167670

resilience optimize the energy mix and management team of activities conducted Total Greenhouse Gas Emissions (Scope 1 + Scope 2 Market-based) tCO2e - 169808 146403

diversify supply chain arrangements. over the preceding year assessing the

effectiveness of strategies and promptly Total Greenhouse Gas Emissions (Scope 1 + Scope 2 Location-based) tCO2e 75397 158925 168735

adjusting and optimizing risk management

measures. Greenhouse Gas Emission Intensity (Scope 1 + Scope 2 Market-based) tCO2e/RMB 10000 - 0.33 0.25

Greenhouse Gas Emission Intensity (Scope 1 + Scope 2 Location-based) tCO2e/RMB 10000 0.17 0.31 0.29

3 High priority refers to issues that may have a significant direct impact on operations finances and strategy and which require immediate attention and the

allocation of resources; medium priority refers to issues that may have some impact on certain business areas requiring ongoing monitoring and flexibility in

planning; low priority refers to issues that currently have a minor impact or a low probability of occurrence and which should be incorporated into routine monitoring

and long-term management processes.

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Employee Rights and Benefits Equality and Diversity

The Company respects individual differences and diversity among its employees and prohibits discrimination or

prejudice based on ethnicity race gender or any other factor. The Company has established the Prohibition of

Discrimination Management Procedure and the Prohibition of Harassment and Abuse Management Procedure

Compliance Recruitment continuously promoting anti-discrimination and anti-harassment policies to all employees. The Company routinely undergos client audits concerning anti-discrimination and harassment matters. In 2025 no incidents of discrimination

or harassment occurred within the Company.The Company strictly adheres to the core conventions of the International Labor Organization (ILO) international The Company places high priority on safeguarding the rights of employees in special groups. It has established a

human rights standards and the laws and regulations protecting labor rights in its operational jurisdictions including registration system for female employees during the three periods (pregnancy maternity leave and breastfeeding)

the Labor Law of the People’s Republic of China. It has formulated and implemented internal systems such as the implemented job risk identification and adjustment measures and provided dedicated mother-and-baby rooms. For

Worker Recruitment Management Regulations the Staff Recruitment Implementation Manual and the Recruitment employees with disabilities the Company has formulated Management Regulations for Employees with Disabilities

Implementation Manual to standardize recruitment operations management. The Company resolutely strictly standardising the entire process of recruitment promotion remuneration and other management practices to

prohibits the use of forced labor or the employment of child labor. In 2025 the Company recorded no incidents of ensure equal pay for equal work. It conducts specialized job risk assessments and provides tailored accommodations

non-compliance involving the employment of child labor or forced labor. in areas such as accommodation travel and dining to effectively safeguard their equal rights.Employee Structure

During the reporting period: In 2025 the Company Had a Total Workforce of 7108 Employees.Awarded Outstanding Employer for Annual Social Contribution at the Southern Metropolis Daily 106

Sustainable Innovation Ecology Conference

2144

Number of Number of < 30 years old

Employees Male Employees 3110

by Gender by Age 30-50 years old

Prohibition of Child Labor and Forced Labor (Person) Female (Person) > 50 years old

Preventive Due Diligence 4964 3892

* Establish Highpower Technology’s Labor Rights Protection Policy explicitly prohibiting the use of child labor

and forced labor and publishing reporting channels. This policy shall be disseminated to all employees

suppliers and partners.

10335

* Establish a rigorous pre-employment identity verification mechanism to ensure all new recruits meet the

statutory minimum age for employment. 822

766 College degree Manufacturing

* Conduct due diligence on suppliers incorporating requirements prohibiting child labor and opposing and below 413 workers

forced labor into supplier admission criteria and cooperation agreements. Number of

Employees Bachelor's Number of Engineering

by Academic Employees degree technology

Qualifications 1209 by Function

(Person) (Person)Master's degre Service

Active Monitoring Doctorate Management

59974664

* Establish multiple anonymous feedback channels to ensure employees and external parties can

conveniently report suspected violations while strictly safeguarding the confidentiality of whistleblowers'

identities.* Verify employment practices in key settings such as production workshops and outsourced projects

investigating violations including forced labor practices like compulsory overtime.During the reporting period:

Remedial Oversight 1184 Management staff totals 413 individuals with women

* Establish clear rectification and accountability procedures for violations. Upon discovery of child labor Ethnic minority employees accounting for of this figure.or forced labor cases take immediate remedial action and hold relevant responsible parties strictly 20.34%

accountable.

83 2025 Environmental Social and Governance (ESG) Report 2025 Environmental Social and Governance (ESG) Report 84About the Report Chairman’s Statement About Highpower Technology Sustainable Development Management Honest Governance Immaculate Quality Green Planet Harmonious Life Appendix

Remuneration Incentives and BenefitsThe Company adheres to the principles of “determining grades by position determining remuneration by grade The Company standardizes welfare management and benchmarks establishing a comprehensive welfare protectionmatching personnel to roles and adjusting remuneration upon role changes”. During the reporting period it issued system that supplements statutory benefits with diverse additional provisions.the Operational Staff Remuneration System and the Clerical Staff Remuneration Management System to standardize

remuneration and performance management for both categories of employees. The Company periodically reviews

and optimizes its remuneration structure to align with development needs and maintain market competitiveness.Every two years the Center of Excellence (COE) for Remuneration conducts market remuneration surveys and

assessments updating the remuneration structure as required. Statutory Benefits Daily Benefits

Management Sequence * Provide social insurance and housing * Provide employees with welcome packs and Operational Sequence Professional Sequence provident fund for all employees anniversary greetings

Adopting a broad-based remuneration Compensation A broad-banded remuneration structure

* All employees are entitled to various paid * Presenting gifts to staff during traditional

framework comprising basic salary based on a job-grade system comprising statutory leave entitlements in accordance Structure for Each festivals and on their birthdays

overtime pay positional skill allowance Sequence monthly salary allowances and subsidies with the law

night shift supplement high-temperature annual performance bonus special * Host monthly birthday celebrations for staff

allowance performance bonus and other bonuses and long-term incentives.incentives. * Cash gifts for employees’ weddings and births

Incentive Benefits

* Presenting the Starlight Award and

To enhance the effectiveness of motivating and retaining key personnel the Company provides core talent with quarterly special awards to employees

remuneration packages that are both reasonable and substantial establishing and implementing a comprehensive

incentive system covering short term medium term and long term objectives.Cultural Development Benefits

Short term incentive Medium term incentive Long term incentive

Living Allowance * Establish a diverse range of interest groups

and provide funding support for their activities

* For all current employees * Including Outstanding Project * Implementing equity incentive * Establish the Employee Home Purchase

establish intellectual property Awards R&D Project Awards schemes for key personnel in Loan Management Regulations to * Organize a wide variety of cultural activities

incentives and project-based Government Project Awards R&D technical operational and provide home purchase loans to eligible

incentives. In 2025 more than Cost Reduction and Efficiency managerial roles employees. The loan interest rate is

3000 employees received Enhancement Incentives significantly lower than the prevailing

incentives. Performance Bonuses etc. * An employee share ownership market rate for bank loans thereby

scheme has been established alleviating the financial burden of home

* Including technical system * Performance bonus distribution for directors (excluding purchases for employees

professional title subsidies constitutes a contribution independent directors) Employee Benefits for Women

timeliness bonuses and incentive scheme established senior management and key * Free assistance with Huizhou/Shenzhen

proposal improvement awards by the Company to recognize personnel in R&D technology residency registration procedures for * Female employees shall be entitled to

employees who meet sales smart manufacturing employees and support with talent

* Rewards shall be issued based

maternity leave of no less than 178 days

performance targets. and administration. The initial introduction subsidy applications

on individual employees’ actual with adjustments and extensions made in grant and reserved grant

performance their completion * Provide resource support for employees accordance with statutory requirements portions (covering 78 core

of tasks within projects and to apply for local school places for their based on the individual circumstances of the employees in total) were

their specific contributions. children employee's childbirthcompleted in 2025 with non-

transactional transfers of * Catering services encompass the provision * From the day following the end of maternity

shares. of meals catering to diverse tastes leave until the child’s first birthday one hour

* Dormitory accommodation for 2 to 6 of paid breastfeeding leave shall be provided

occupants is available featuring air daily. An additional hour shall be granted for

each additional infant

Facilitation of Local Talent Incentives and Recruitment from Poverty-Alleviated Regions (2025) conditioning washing machines water

heaters desks wardrobes bathrooms and

balconies * Mother and baby rooms are set up in each of the Company's factories

One individual submitted One postdoctoral A total of 277 * The factory premises provide a shuttle

an application for high- researcher individuals lifted bus service offering scheduled pick-ups

level talent incentive is currently out of poverty were and drop-offs for commuting staff and

achievements and in residence introduced into weekend outings ensuring a safe and

received a talent subsidy receiving a subsidy employment (across convenient journey

of 400000 yuan of 120000 yuan the entire group)

85 2025 Environmental Social and Governance (ESG) Report 2025 Environmental Social and Governance (ESG) Report 86About the Report Chairman’s Statement About Highpower Technology Sustainable Development Management Honest Governance Immaculate Quality Green Planet Harmonious Life Appendix

Democratic Communication Employee Satisfaction Surveys

The Company has established regulations such as the Procedures for the Administration of Freedom of Association The Company conducts an annual employee satisfaction survey each year. During the reporting period the Company

and Collective Bargaining Rights with all subsidiaries establishing trade unions and employee representative organized a satisfaction survey for all employees via an anonymous electronic questionnaire. This survey centered on

assemblies. It convenes quarterly trade union committee meetings inviting employee representatives to participate the Gallup Q12 employee engagement benchmark questionnaire while also incorporating two additional specialized

in work summaries and planning sessions. Trade union representatives negotiate and sign collective agreements dimensions: logistical services and corporate cultural activities. The findings revealed a Gallup Q12 engagement score

with employee representatives clarifying core entitlements including remuneration and benefits working conditions of 3.82 (out of 5) with 86.8% satisfaction regarding support services and 87.5% satisfaction with corporate cultural

and occupational health and safety. Addressing employee feedback the trade union liaises with management to activities. These positive overall metrics provide clear direction for the Company to further optimize employee services

coordinate and develop solutions fully safeguarding employees’ freedom of association and collective bargaining enrich cultural development initiatives and enhance staff engagement.rights. In 2025 the Company and its subsidiaries all signed collective agreements.The Company has established an open transparent and efficient two-way communication system providing

employees with diverse channels to conveniently express their concerns and offer feedback. These include a Staff

Shared Services Center (SSC) counter an online QR code feedback system physical suggestion boxes staff forums

democratic meetings one-to-one discussions and regular satisfaction surveys. Employee Care

Democratic Life Meeting In 2025 the Company collaborated with grassroots trade unions across its subsidiaries to provide employees with

diverse cultural and recreational activities comprehensively safeguarding work-life balance and continuously

enhancing staff fulfilment satisfaction and happiness. Concurrently it recruited individuals who had been lifted out of

The Company has consistently advanced a democratic meeting mechanism organized at departmental poverty in accordance with local government recognition criteria while promptly identifying and assisting employees

and team levels focusing on policy briefings communication of key departmental matters and feedback facing hardship.on staff work and life issues. A total of 140 democratic meetings were convened with cumulative

attendance reaching 3813 participants.Employee Shared Service Center

Guangdong Highpower has established a shared service center accessible to all employees

consolidating core human resources operations and administrative services to deliver convenient

one-stop solutions. The center features both in-person service counters and online feedback channels

accessible via QR code scanning encouraging staff to voice personal concerns or propose development

suggestions at any time.Highpower Governance Platform

The Company has established the “Highpower Governance” internal grievance platform with dedicated

personnel overseeing end-to-end information processing. The platform consolidates and analyzes

collected data weekly generating briefings that enable managers to promptly identify issues and swiftly

formulate improvement measures thereby fostering a virtuous cycle.Organize a tug-of-war competition Host parent-child activities to enhance

to enhance team cohesion employees’ sense of belonging

Festive Activities

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Employee Training and Development New Employee Training

The Company provides a comprehensive and systematic induction training program for all newly recruited employees

and recent graduates helping new staff to swiftly integrate into the Company culture and working environment.Talent Development Company-level training Sector-level training

The Company positions itself as a disseminator of corporate culture a cradle for cultivating leadership talent and Online General skills professional Introduction to department Business

a custodian of core technological expertise. It designs systematic training programs and diverse development * ： * * organizational structure processes

approaches spanning all career stages complemented by extensive learning resources. This ensures employees foundations etc.receive comprehensive and continuous growth opportunities at every professional level. * Offline：Introduction to the Company * Department responsibilities * Cross-

information security quality management and objectives departmental

The Company disseminates recruitment information internally encouraging competitive selection for positions to philosophy employee code of conduct core * Product and service

learning

broaden employees’ career progression pathways. Externally it attracts talent through diverse channels including values of Highpower stress management knowledge * Mentoring

social media specialized recruitment platforms internal referrals and university-industry collaborations thereby introduction to administrative services etc. Systems and tools (job skills)

enhancing both the intensity and calibre of talent acquisition. This approach ensures precise alignment with the *

Company's talent development strategy and competency standards.SF System & Online Learning Platform Probation Period Management Assessment

External Talent Attraction For newly recruited graduates the Company has designed a comprehensive training program adhering to the core

principle of integrating training with practical application. This encompasses two key components: military-style

* External Recruitment: The Company has expanded various recruitment channels and intensified team-building exercises and corporate culture courses.efforts to attract talent.* Campus Recruitment: Held quality campus recruitment drives at major universities hiring a total of 101 Corporate culture courses: Help new employees deeply understand the essence of the

graduates (including 4 PhD holders). corporate culture and master necessary workplace skills and professional knowledge.Boot camp and team-building activities: Help new employees hone their willpower and

Professional Talent Reserve (University-Industry Collaborative Training) physical fitness enhance their awareness of organizational discipline and teamwork and boost

their sense of team honor.* Collaborating with over ten universities on industry-academia partnerships and undertaking joint

master’s degree programs with South China University of Technology and Southern University of

Science and Technology.Career readiness Ideological readiness Professional readiness On-the-job training

(Pre-employment) (Within one week of (Within 3 months of (Within 6 months of employment) employment) employment)

Highpower Training System Framework

Case The Peacock Training Program

Career development Leadership development Training operation

New employee training Professional ability Cultivation of employees’ Management ability Platform resource training general quality and ability training management The Company runs a six-month Peacock

Training Program annually establishing a

dual-engine curriculum system combining

* Induction training * Technical sequence * Basic training in generic Training

specialized and general skills. Weekly and

* Senior leadership * categories management system monthly sessions cover specialized courses

R&D technical workshops and general training

* Mentorship Marketing sequence * Middle management * Online learning modules cultivating new recruits through a core

implementation * ability platform logic of “adaptation-consolidation-application”.The program comprises 41 developed courses

* Career training * Other functional * Basic team leader * Lecturer resource achieving a course satisfaction rating of 4.91 (out sequences training management of 5) and a trainer satisfaction rating of 4.93 (out

of 5). Peacock Training Program* Probation * Management of

confirmation defense course resources

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Development of General Competencies Management Capability Development

The Company adopts a blended learning model combining online and offline training to enhance employees' The Company tailors differentiated leadership training resources to meet the management requirements of positions

comprehensive competencies. It systematically builds a universal skills development framework covering all at various levels helping employees at all levels to continuously refine and enhance their management capabilities.workplace scenarios. Centered on core professional soft skills it has developed and rolled out a series of courses During the reporting period the Company provided employees with leadership development training covering topics

including Business Etiquette High-Performance Employee Behavioral Patterns Business Writing Standards and Career such as team leader management skills the Lean Leadership workshop role awareness for middle and junior-level

Development and Role Qualification Guidelines. These programs empower staff to improve their communication and supervisors and leadership themed seminars.presentation skills professional image goal execution capabilities and self-development planning abilities.In 2025 two training sessions for grassroots In 2025 senior external consultants were invited to

Offline Training in General Competency Skills team leaders were conducted covering a deliver training employing a blended approach of

total of 81 participants instruction and practical application to conduct

middle and senior management training in lean

improvement management covering 76 managers

Case Online Platform for Cultivation of General Quality and Ability - Highpower Cloud Academy

During the reporting period:

The Company established the Highpower Cloud

Academy online learning platform covering Total number of employees trained reached Average hours of employee training:

foundational coursework through to advanced

skills development. As of the end of the reporting 7108 achieving 100% coverage hoursperiod the platform hosted 1570 public courses 26

comprising 160 on executive management 695

on specialized management 194 on personal

development and 521 in other categories. In 2025

the total number of users logging into the Cloud

Academy reached 1361 with total training hours

amounting to 4837.7 hours and a cumulative total

of 2934 course attendances.Highpower Cloud Academy

Professional Competence Development

The Company tailors training programs and

learning pathways to specific role requirements.Training content comprehensively covers

electrochemical systems product quality

battery performance and safety standards

encompassing over 40 specialized courses

in total. This effectively enhances employees'

professional skill levels.Professional Competence Development

91 2025 Environmental Social and Governance (ESG) Report 2025 Environmental Social and Governance (ESG) Report 92About the Report Chairman’s Statement About Highpower Technology Sustainable Development Management Honest Governance Immaculate Quality Green Planet Harmonious Life Appendix

Career Development Qualification Framework

The Company has established a scientific standardized fair impartial and quantifiable competency framework

The Company continuously refines its talent development system and has formulated the Performance Management through comprehensive assessment and certification of employees' academic qualifications work experience

Measures to achieve standardized management of the entire employee performance evaluation and promotion professional skills and behavioral standards. This framework not only assists employees in clarifying their personal

process ensuring that all stages adhere to the principles of fairness and transparency. In 2025 the proportion of development pathways but also effectively aligns talent development with the Company's strategic objectives. As

employees who received performance and career development assessments was 100%. of the end of the reporting period the coverage rate for the establishment of qualification standards across all job

categories reached 97.7% with an overall certification pass rate of 81.9%.Capability

Job qualifications

Performance Target Setting Performance Coaching Person–

Job vacancy position match

(individual

* Two-way communication: Through regular * Regular one-to-one coaching sessions: Capability Performance contribution in the current position grade)

two-way communication mechanisms Arrange scheduled one-to-one coaching requirements Staff on duty

ensure employees fully comprehend meetings to gain timely insight into Historical

performance objectives and are able to employees' work progress and any issues performance Qualification Framework Pathway

voice their opinions and suggestions encountered providing specific guidance contribution

and recommendations.* Objective setting adheres to the SMART

principles: ensuring all performance * Developing a Performance Management

targets are Specific Measurable Handbook: Compiling a performance Talent Promotion Mechanism

Achievable Relevant and Time-bound management handbook to ensure The Company establishes multiple career progression pathways encompassing management specialist and

managers and staff understand the

* Continuous improvement: Regularly operational tracks integrating vertical advancement with lateral development opportunities. This enables employees logic and methodology of performance

review and adjust performance targets to independently choose their growth direction based on personal capabilities and professional interests. Promotions management

to ensure they remain aligned with the are strictly determined by core criteria including performance outcomes comprehensive competencies and tangible

Company's strategic direction and can * Instant feedback mechanism: Establish an contributions. Promotion standards are maintained with full transparency throughout the process ensuring all staff

adapt to evolving business requirements instant feedback mechanism that provides clearly understand the conditions and opportunities for advancement. This fully safeguards the fairness impartiality

constructive input not only during formal and transparency of the promotion process.assessments but also throughout daily

work enabling employees to continuously Grade Management Sequence Professional Sequence Operations Sequence

improve

A President / CXO / Director Scientist / Expert /

B Manager Principal Engineer Senior Technician

Performance Communication Performance Evaluation C Supervisor Senior Engineer Advanced Technician

* Establish an effective performance * Fair and transparent appraisal process:

feedback mechanism conducting regular Ensuring performance evaluation criteria D Associate Supervisor Engineer / Specialist Technician

assessments and providing feedback to and procedures are openly communicated

employees. This helps staff understand to all staff. Appraisal outcomes from

their strengths and areas for improvement matrix managers and line managers are E / / Skilled Worker / Clerk / Team

clarifying the direction for development considered during collective review within Leader / Operator

departments. Concurrently channels

* Encourage staff to actively participate in for employee performance appeals are Horizontal career progression pathways

performance improvement programs established to guarantee comprehensive

providing necessary training and support and objective assessments.* Regular assessment mechanism:

Conduct quarterly or annual performance Internal Trainer Scheme

evaluations to promptly identify and

resolve issues The Company has formulated the Internal Trainer Management Measures to further accelerate the development of

its internal trainer team. Internal trainers are selected and appointed through company-wide recruitment processes

undertaking relevant training programs at the center/subsidiary level across the Group. The Company opens a unified

portal for trainer certification and promotion each April. Following an annual comprehensive assessment instructors

meeting the criteria are arranged for advancement. Concurrently internal and external training programs are

organized to enhance instructor capabilities. A remuneration structure directly linked to instructor grade and teaching

hours is established to incentivize instructors to contribute knowledge and share expertise.

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Vertical career progression pathwaysAbout the Report Chairman’s Statement About Highpower Technology Sustainable Development Management Honest Governance Immaculate Quality Green Planet Harmonious Life Appendix

Occupational Health and Safety Strategy

The Company conducts regular annual safety risk identification and assessment exercises compiling a Safety Risk

Identification and Evaluation List. Corresponding management plans and response strategies are formulated for

Governance significant risks.The Company strictly adheres to and implements the Risk Item Risk Description Time Coping Strategies

relevant laws and regulations such as the Work Safety Horizons

Law of the People's Republic of China and other local * Should a public safety incident occur

laws in the place of operation. The Company has or should operational activities fail to

developed internal management regulations such Stakeholder comply with laws and regulations this

as the Employee Occupational Health and Safety Requirements could lead to complaints and legal * Conduct regular assessments of compliance with

Manual the Work Safety Responsibility System the and action adversely affect community Short term laws and regulations and systematically implement Compliance relations and the Company’s reputation corrective measures.Safety Construction Management System and the Risks and even result in administrative

Warehouse Safety Management System. During 2025 penalties suspension of operations for

the Company established 36 comprehensive group rectification and other risks.safety management system documents finalized

safety contingency plans which were duly filed with * Non-compliant storage conditions

local authorities. Both major production bases— for chemicals may result in leakage contamination or explosion;

Guangdong Highpower and Huizhou Highpower— Guangdong Highpower Huizhou Highpower * Establish standardized chemical storage facilities

have obtained ISO 45001 certification and maintain ISO 45001 Certification ISO 45001 Certification * Inadequate awareness among and leak prevention systems to regulate storage management;

effective system operation. management personnel and unclear Chemical chemical labelling may lead to Short term * Conduct professional training to clarify signage and

The Company has established a robust occupational health and safety governance framework setting up a Work Safety Risk misuse resulting in personal injury or environmental impact; dedicated container management;

Safety Management Committee a Safety Management Department and safety offices at each production site to * Mandatory provision and supervision of employees’

implement safety management. This has formed a safety management network coordinated by headquarters with * Operators failing to wear protective

subsidiary companies working in concert. The Company rigorously implements its safety production accountability equipment in accordance with

use of compliant protective equipment.regulations may result in incidents

system clearly defining safety responsibilities for all positions from senior management to frontline staff. All personnel affecting personnel health and safety.sign safety production responsibility agreements. Furthermore the Company implementes the Safety Production

Reward and Punishment System which directly links key safety performance indicators with the performance * Fire incidents may result in casualties

evaluations of department heads thereby incentivizing and ensuring that employees at all levels strictly adhere to property damage operational * Ensure comprehensive fire safety equipment is in

their safety production responsibilities. disruptions and environmental place and conduct regular inspections of electrical contamination affecting soil air and power sources and wiring; promptly eliminate

Highpower Technology Work Safety Management Committee Structure solid waste; potential fire hazards; organize annual firefighting Fire Safety Risks Short term

* Where the voluntary fire brigade

and evacuation drills for the Company;

Chairman of the Safety Committee lacks adequate emergency response * Strengthen external communication and emergency

capabilities and possesses an imperfect notification mechanisms and conduct regular

* Appointed from among the Company’s senior management this role bears overall responsibility for the response mechanism it is unable to firefighting personnel skills training and drills.Group's safety production work and shares joint liability for the safety of contracted (designated liaison) conduct timely fire rescue operations.units.* Develop emergency response plans establish

Sudden natural disasters such as Short

Emergency * an emergency response team to oversee

Safety Director Safety Risks typhoons torrential rain and earthquakes

medium

and long coordination and the relocation of supplies set up a pose a threat to operational safety. term communication mechanism with higher-level rescue

* Supervise the implementation and execution of the primary safety responsibilities of each member of the units and organize regular drills and training sessions.Safety Committee

* Install safety protection devices improve electrical

protection measures against electric shock overloads

Member of the Safety Committee * Mechanical hazards associated with and short circuits standardize cable routing and

Mechanical equipment failures of safety features Short earthing/neutral systems and strictly enforce the

* Heads of all departments shall serve as members of the Safety Committee bearing overall responsibility for Equipment and and electrical hazards such as overloads medium approval system for high-risk operations.safety management within their respective departments. Electrical Safety short circuits and lack of earthing may and long * Display warning signs provide and supervise the use Risks result in personal injury fire or damage term of personal protective equipment; strictly enforce the

to equipment. requirement for staff to hold valid certificates before

Safety Management Department commencing work and conduct regular safety

training and supervision of operational procedures.* Responsible for the implementation of the safety management system the effectiveness of safety

regulations and the efficacy of comprehensive safety oversight. * Establish occupational health management systems

and records standardize operating procedures

display hazard information cards in the workplace

Safety Office Short and carry out regular testing for occupational health

Occupational * Occupational accidents and health hazards to ensure the working environment complies

Health Risks risks that may arise from inadequate

medium

* The Safety Management Department oversees safety offices within each subsidiary. These offices are and long with regulations.occupational health and safety controls.staffed by dedicated personnel holding qualifications such as Enterprise Safety Management Personnel term * Implement occupational health checks for staff

Certificates and Registered Safety Engineer credentials. establish health surveillance records organize regular

occupational health and safety training and raise

* Each workshop shall appoint part-time safety officers to assist the Safety Office in carrying out routine staff awareness of self-protection.safety management duties.

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Impact Risk and Opportunity Management During the reporting period the Company systematically organized and completed 51 practical emergency drills covering core risk scenarios including li-ion battery emergency response hazardous chemical spill emergency

response special equipment emergencies fire emergencies and confined space emergencies. The completion rate

was 100% and the participation rate among employees scheduled to take part in the drills was also 100%.The Company strictly adheres to the requirements of the ISO 45001 occupational health and safety management

system systematically undertaking safety risk identification assessment monitoring and management. It has

established a comprehensive process spanning hazard identification risk evaluation and tiered control measures.Safety Risk Management and Inspection

The Company continuously optimizes its safety risk assessment and management mechanisms dynamically

updating occupational health risks across all departments. Through regular planning meetings convened by the

Safety Committee joint safety inspections are organized monthly to achieve comprehensive hazard identification

rectification and closed-loop management. During the reporting period the Company organized safety inspections

that identified a total of 1810 hazards achieving a rectification rate of 98%. All major safety hazards were rectified at a

rate of 100% while the remaining outstanding items are being addressed according to the planned schedule. These

efforts effectively mitigate various safety risks ensuring that production and operations proceed safely and in an

orderly manner.Safety Risk Assessment and Management Mechanism

01 Establish a Safety Management Department a Work Safety Management Committee and a Safety Office clearly defining the responsibilities of each organization. Li-ion Battery Emergency Drill Confined Space Emergency Drill

02 Establish various safety management systems and provide guidance for all management activities.

03 Conduct safety meetings to plan and deploy safety initiatives

04 Organize joint safety inspections to promptly identify and rectify potential hazards.

05 Conduct emergency drills and safety education dissemination and training activities

Safety and Emergency Management

The Company has established a comprehensive emergency response plan system for production safety incidents

encompassing documents such as the Emergency Preparedness and Response Management System the

Comprehensive Emergency Plan the Specialized Emergency Plans and the On-site Emergency Plan. Following

rigorous expert review these plans have been duly filed with the local emergency management authority in

accordance with relevant regulations. The Company has established an emergency management organizational Fire Evacuation and Practical Drill

structure headed by the chief executive as commander-in-chief with the vice-chairman of the Safety Committee

serving as deputy commander-in-chief. Key executives and heads of critical departments form specialized teams

responsible for communications liaison evacuation and security emergency rescue medical assistance and Management of Hazardous Chemicals

logistical support. This structure bears overall responsibility for plan approval emergency response decision-making

and command coordination during incidents. The Company strictly adheres to the Hazardous Chemicals Management System establishing rigorous contingency

management procedures for high-risk chemicals such as electrolytes (which possess flammable and explosive

Emergency Management Organizational Structure properties) and alcohol. From the procurement stage the Company implements a rigorous supplier approval

mechanism explicitly requiring all chemical suppliers to possess lawful operating credentials and compliant

Chief Executive(Company Principal or Deputy Managing Director) production and transportation conditions. Concurrently it reinforces dedicated storage facilities and designated

personnel oversight during the storage phase. Through continuous staff training the Company ensures the safety and

controllability of hazardous chemicals throughout their entire lifecycle.Deputy Commander(Vice-Chairman of the Safety Committee / Deputy General Manager)

On-Site Supervisor(Safety Officer/Department Manager) Safety Culture Development

In 2025 the Company further intensified its safety training efforts by implementing an annual safety training

program. This was complemented by specialized awareness campaigns and diverse skills training initiatives during

Communications Safety Evacuation Emergency Medical Logistics themed events such as the “Work Safety Month” and “Fire Prevention Month”. Concurrently the Company enforced a

Liaison Team Security Team Response Team Rescue Team Support Team certification requirement for on-duty personnel thereby comprehensively strengthening the foundations of its safety management framework.

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Enhance the System for Part-time Safety Officers

During the reporting period the Company redefined the selection criteria and procedures for part-time safety officers

across workshops and teams clarifying staffing requirements to ensure full coverage across day and night shifts. The

number of part-time safety officers was increased by 64 personnel and a dedicated work group was established

to facilitate rapid experience sharing and issue feedback. Throughout 2025 a total of 29 specialized skills training

sessions were organized for part-time safety officers and volunteer fire brigades. These covered risk identification

hazard investigation and emergency response procedures with participation reaching 523 individuals.Work Safety Month Knowledge Competition Safety Bulletin Board Competition

Part-Time Safety Officer Training

Safeguarding Occupational Health

The Company strictly adheres to the Occupational Disease Prevention and Control Law of the People’s Republic of

China and other laws regulations and provisions applicable to its operational locations. It has established systems

including the Occupational Health Surveillance and Occupational Disease Prevention and Control Management

Procedures and the Occupational Health and Safety Management System. An Occupational Health Leadership Group

has been formed with subordinate health management bodies established for each production team enabling

comprehensive monitoring of occupational health. The Company continuously implements hazardous substance

controls ensures funding for occupational disease prevention organizes annual occupational health examinations

prioritizes workplace environment optimization and enhances protective facilities to foster a healthy and safe working

environment for employees. During the reporting period the Company conducted first-aid training and certified

100 personnel further strengthening on-site emergency response capabilities. In 2025 the Company recorded no

incidents of dust concentration exceeding permissible limits and no cases of occupational disease.Workplace Safety Training

Key Measures for Occupational Health and Safety Management

During the reporting period: * Engage qualified third-party agencies to conduct regular testing and assessment of occupational

hazard factors in the workplace. The results shall be made public to all employees to ensure

compliance with national occupational exposure limits.

28115 100% * Ensure that pre-employment in-service and post-employment medical examinations are carried A total of personnel received safety training achieving coverage out for staff working in roles involving exposure to occupational health hazards.

* At workstations where occupational disease hazards exist conspicuous warning signs and Chinese

explanatory notices must be displayed. Furthermore employees must be truthfully informed in their

employment contracts of the hazards associated with their positions the potential consequences

Specialized safety Hazardous Holiday safety training Occupational health Fire safety and the protective measures required thereby fulfilling the statutory duty of disclosure.training chemicals training sessions attended by training training * Establish occupational health noticeboards in prominent locations throughout the workshop

12612 participants 84 participants 8953 participants 1164 participants 277 participants regularly updating protective measures and precautions to enhance employees' awareness of self-protection.

Specialized Mechanical hazard Risk identification Construction Road safety * Implement 100% coverage of personal dosimetry cards for all radiation-exposed personnel with

operations training training training for safety training training for cumulative coverage reaching 240 individuals by 2025 to ensure effective implementation of

2656 radiation protection measures.participants 179 participants 56 participants 1111 participants 1023 participants

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Indicators and Targets

Occupational Health and Safety Targets for 2025 Achievement of Objectives Indicators Unit 2025

Work-Related Accident Fatality Rate: 0 Achieved Number of Work-Related Fatalities person 0

Number of Significant Safety Incidents case 0

Zero Occurrences of General Accidents as Stipulated by the Work

Safety Law Achieved

Injury Rate per Million Working -Hours % 0.7

Zero Incidents Caused by Fire Explosion or Natural Disasters Achieved Safety Production Input RMB 10000 443

Completion Rate of Safety and Emergency Drills % 100

Zero Incidents of Significant Chemical Spills Achieved

Number of Occupational Disease Cases case 0

Zero Occupational Health Incidents Achieved Total Hours of Occupational Health and Safety Training hour 36495

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Appendix Issue Indicator Unit 2023 2024 ? 2025

Renewable energy consumption kWh 1581960 8638162 81647067

Natural gas Nm3 26918 39593 44639.6

Appendix I Key Performance Indicators Liquefied petroleum gas kg 14.5 / 5

Petrol tonne 137 134 122.49

Energy

Governance Performance Management Diesel tonne 41 35.7 23.33

Total direct energy consumption tce 296.73 301.84 273.60

Issue Indicator Unit 2023 2024 2025 Total indirect energy consumption tce 22395.32 36446.58 39320.78

Number of litigation cases related to Total comprehensive energy case 0 1 3 consumption tce 22692.04 36748.42 39594.39corruption ?

Anti-corruption audit time 2 4 5 Total water withdrawal (municipal

Water Resource water supply) tonne 809939 904178 958861.23

Number of litigation cases or significant Management

Business Ethics administrative penalties incurred by the case / 0 0 Water reuse tonne 10508 18128 15173

Management Company due to unfair competition Total watse gas emissions Nm3 / 2190247790 2155087118

The amount involved in litigation or significant

administrative penalties arising from unfair RMB 10000 0 0 0 Watse gas emissions intensity

(emissions / revenue) Nm3/RMB 10000 / 4287.50 3673.53competition by the Company

Number of partnerships suspended due to Watse Gas VOCs emissions tonne / / 1.23

partner non-compliance unit 0 15 8 Emissions ?

Total non-methane hydrocarbon

emissions tonne / / 10.85 Proportion of female directors % 11.11 11.11 33.33

Proportion of independent directors % 33.33 33.33 33.33 Incidents of excessive emissions of

atmospheric pollutants case 0 0 0

Board meeting attendance rate % 100 100 100

Total industrial wastewater

Governance Proportion of independent directors on the

tonne 1476 1344 915

Audit Committee % 66.67 100 100

discharge

Industrial wastewater discharge tonne/RMB

Proportion of independent directors on the intensity (emissions / revenue) million 0.33 0.26 0.16

Remuneration Committee % 66.67 66.67 66.67 Wastewater

Discharge Total COD emissions tonne / / 0.016

Proportion of independent directors on the

Nomination Committee % 66.67 66.67 66.67 Total TN emissions tonne / / 0.0003

? The single case involving 2024 has been concluded with Highpower Technology emerging as the prevailing party. Regarding the three cases related to Incidents of excessive discharge

corruption involving the Company in 2025 the relevant judicial procedures are currently progressing as normal. The Company will continue to strengthen its of water pollutants case 0 0 0

compliance management system rigorously prevent various integrity-related risks and ensure the Company's standardized operations.Total hazardous waste generated tonne 158 207 328.31

Hazardous waste treatment intensity tonne/RMB

Environmental Performance ? (treated volume / revenue) million

0.030.040.06

Amount of hazardous waste

recycled tonne 22 22 8.20

Issue Index Unit 2023 2024 2025

Amount of hazardous waste tonne 1 0 0

Purchased power kWh 180641929 293892436 315641328 Waste landfilled

Amount of hazardous waste incin-

Photovoltaic power kWh 1581960 2662301 4299945 erated tonne 128 178 319.14

Energy

Management Market-based procurement of Amount of hazardous waste dis- tonne 7 7 0.96

green electricity kWh / 5975861 30647122 posed by other means

Green power certificate Non-hazardous waste generated ? tonne 774 2048 2256.57

procurement volume kWh 0 0 46700000

? The increase in environmental performance indicators in 2024 compared to 2023 is primarily attributable to Guangdong Highpower where only some

production lines commenced operations in 2023 whereas full-scale production was achieved in 2024.? The scope of data collection for energy management and water resources management includes Shenzhen Highpower Springpower Technology Icon ? The statistics for watse gas emissions cover only organized emissions.Energy Huizhou Highpower Vietnam Exquisite Power and Guangdong Highpower. The scope of data collection for exhaust emissions wastewater discharge

waste and environmental management includes Guangdong Highpower Huizhou Highpower Springpower Technology and Vietnam Exquisite Power. ? The scope of the performance data on non-hazardous waste primarily covers general industrial solid waste.

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Issue Indicator Unit 2023 2024 2025 Social Performance

Non-hazardous waste treatment

intensity (treatment volume/ tonne/RMB million 0.17 0.40 0.38

Issue Indicator Unit 2023 2024 2025

revenue)

Total public charity investment RMB 10000 189 289 70.55

Amount of non-hazardous waste

landfilled tonne / / 0 Community Total funds invested in rural

Investment revitalization RMB 10000 / / 13

Amount of non-hazardous waste tonne / / 0 Participationincinerated

Waste Total number of people benefiting person / / 277

Amount of non-hazardous waste from rural revitalization

disposed by other means tonne / / 559.29

Number of work-related fatalities person 0 0 0

Amount of non-hazardous waste

recycled tonne 667 1877 1697.27 Number of significant safety

incidents case 0 0 0

Proportion of non-hazardous

waste recycled and reused % 86 92 75.21

Injury rate per million working

hours % 0.96 0.885 0.70

Scope 1 Greenhouse gas

emissions tCO2e 857 1362 1065

Safety production input RMB 10000 779 669 443

Scope 2 Greenhouse gas

emissions (Market-based) tCO2e / 168447 145338 Number of occupational disease

cases case 0 0 0

Scope 2 Greenhouse gas

emissions (Location-based) ? tCO2e 74541 157564 167670 Proportion of employees covered

by occupational health and safety % 100 100 100

Total greenhouse gas emissions training

(Scope 1 + Scope 2 Market based) tCO2e / 169808 146403

Addressing Total greenhouse gas emissions Total hours of occupational health hour 49172 40516 36495

Climate Change (Scope 1 + Scope 2 Location- tCO2e 75397 158925 168735 and safety training

based) Occupational

Health and Safety Total number of safety training

sessions conducted for suppliers 10 time 776 639 280Greenhouse gas emission intensity

(Scope 1 + Scope 2 Market- tCO2e/RMB 10000 / 0.33 0.25based) Total hours of safety training

conducted for suppliers hour 1741 / 555

Greenhouse gas emission intensity

(Scope 1 + Scope 2 Location- tCO2e/RMB 0.17 0.31 0.29

based) 10000 Number of safety and emergency

drills time 29 44 51

Number of product carbon

footprint declarations item / 17 6 Completion rate of safety and

emergency drills % 100 100 100

Amount of investment in

environmental governance RMB 10000 6116 487 1273.16 Proportion of employees

participating in safety and % 100 100 100

Amount of duration in hour 19267 17130 17673 emergency drillsenvironmental governance

Proportion of environmental Number of safety inspections

protection investment to revenue % 1.35 0.10 0.22 organized

time 507 597 385

Environmental

Management Number of incidents penalized for Rectification rate of major safety

violating environmental protection case 0 0 0 hazards % - 100 100

laws and regulations

Amount of penalties imposed Total number of employees person 6488 6893 7108

by ecological environment and

other relevant departments Diversity Equality RMB 10000 0 0 0 and Inclusion Number of employees by employment typefor significant administrative

penalties due to environmental

incidents Full-time contract employees person 6488 6869 7108

? Regarding the restatement of information in the 2024 ESG Report the Scope 2 greenhouse gas emissions for 2023 were calculated using the location-based 10 The overall reduction in supplier safety training sessions was influenced by the decrease in construction projects.accounting method.

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Issue Indicator Unit 2023 2024 2025 Issue Indicator Unit 2023 2024 2025

Number of employees by function Number of trainees by gender

Manufacturing workers person 3479 4098 4664

Male person 4294 4710 4964

Engineering and technology person 1328 1371 1209

Management person 443 413 413 Female person 2194 2183 2144

Service person 1238 1011 822 Average hours of employee

training hour 21 24 26

Number of employees by academic qualifications

College degree and below person 5337 5826 5997 Average hours of employee training by function

Bachelor’s degree person 843 775 766

Manufacturing workers hour 15 24 26

Master’s degree person 298 284 335

Employee

Training and Engineering and technology hour 32 29 32 Doctoral degree person 10 8 10

Development

Diversity Equality Number of employees by gender Management hour 38 30 29

and Inclusion

Male person 4294 4710 4964

Service hour 19 16 19

Female person 2194 2183 2144

Average hours of employee training by gender

Number of employees by age

<30 years old person 2502 2889 3110 Male hour 21 25 27

30-50 years old person 3922 3938 3892

Female hour 20 21 25

>50 years old person 64 66 106

Proportion of employees subject

Number of management person 443 413 413 to performance and career % 100 100 100employees development evaluation

Proportion of females in

management % / / 20.34 Total number of suppliers unit 350 347 498

Number of ethnic minority

employees person / / 1184 Number of suppliers by region:

Chinese Mainland unit 334 337 488

Total number of employees

trained person 6488 6893 7108 Number of suppliers by region:

Hong Kong Macao Taiwan and unit 16 10 10

Employee training coverage rate % 100 100 100 overseas regions

Total number of training sessions time / / 436 Sustainable Supply Chain Total number of new suppliers unit 119 64 45

Employee Number of trainees by function

Training and

Development Proportion of local suppliers % / / 40

Manufacturing workers person 3479 4098 4664

Engineering and technology person 1328 1371 1209 Proportion of local procurement % / / 30

Management person 443 413 413

Number of suppliers assessed for unit 40 60 54

Service person 1238 1011 822 sustainable development

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Issue Indicator Unit 2023 2024 2025 Appendix II Benchmarking Indicators

Proportion of procurement

personnel participating in % / 10 20

Sustainable sustainable procurement training

UN SDGs Indicators

Supply Chain

Total hours of ESG-related training

conducted for suppliers hour 36 490 493.5 SDGs Chapters

Total number of patents filed

during the reporting year patent 490+ 500+ 545

Honest Governance: Community Investment

Total number of patents granted No Poverty Participation

during the reporting year patent 240+ 220+ 358

Harmonious Life: Employee Rights and Benefits

Number of granted and valid

patents as of the end of the patent 632 837 1180

reporting period

Number of software copyrights item 33 42 52

Good Health and Well-being Harmonious Life: Occupational Health and Safety

Number of research and

development projects item 400 475 482

Total number of industry

Innovation- standards participated in the standard 6 3 9

Driven formulation

Development Honest Governance: Community Investment

Participation

Research and development

investment RMB billion 0.333 0.318 0.342

Quality Education

Harmonious Life: Employee Training and

Development

Proportion of research and

development investment to % 7.34 6.22 5.83

revenue

Proportion of research and

development personnel % 16.43 14.26 14.90 Gender Equality Harmonious Life: Employee Rights and Benefits

Amount of research and

development innovation RMB 10000 / 90.28 209.69

incentives

Intellectual property infringement

incidents case 0 0 0

Clean Water and Sanitation Green Planet: Emissions and Waste Management

Number of product recalls due to

safety and quality reasons case 0 0 0

Product Quality Product recall rate % 0 0 0

and Safety

Amount of damages involved in

major liability accidents related Affordable and Clean Energy Green Planet: Energy and Resource Management

to health safety and quality of RMB 10000 0 0 0

products and services

Customer satisfaction % 90.2 90.6 94

Customer

Relationship

Management Customer privacy leakage

incidents case 0 0 0 Honest Governance: Corporate Governance

Decent Work and Economic Growth

Information Harmonious Life: Employee Rights and Benefits

Security and Number of information security case 0 0 0

Privacy Protection incidents

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Indicator of Self-Regulatory Guidelines No. 17 for Companies Listed on Shenzhen

Stock Exchange - Sustainability Report (For Trial Implementation)

SDGs Chapters

Dimension Number Issue Corresponding Corresponding Sections of Clauses This Report

Industry Innovation and Immaculate Quality: Opportunities in Clean Tech and 1 Addressing Climate Change Articles 21 to 28 Green Planet: Addressing Climate

Infrastructure Circular Economy Change

2 Pollutant Emissions Article 30 Green Planet: Emissions and Waste Management

3 Waste Treatment Article 31 Green Planet: Emissions and Waste Management

Honest Governance: Community Investment

Reduced Inequalities Participation Ecosystem and Biodiversity Green Planet: Environmental 4 Conservation Article 32 Management and Ecological Harmonious Life: Employee Rights and Benefits Conservation

Environmental

Environmental Compliance Green Planet: Environmental 5 Management Article 33 Management and Ecological

Immaculate Quality: Opportunities in Clean Tech Conservation

and Circular Economy Product Quality and Safety

Customer Relationship Management 6 Energy Utilization Article 35 Green Planet: Energy and Resource Responsible Consumption and Management

Production Green Planet: Environmental Management and

Ecological Conservation Emissions and Waste 7 Water Resource Utilization Article 36 Green Planet: Energy and Resource

Management Energy and Resource Management Management

8 Circular Economy Article 37 Immaculate Quality: Opportunities in Clean Tech and Circular Economy

9 Rural Revitalization Article 39 Honest Governance: Community

Climate Action Green Planet: Addressing Climate Change Investment Participation

10 Social Contribution Article 40 Honest Governance: Community Investment Participation

11 Innovation-Driven Immaculate Quality: Innovation-Driven Development Article 42 Development

Sustainable Development Management

Peace Justice and Strong Institutions Honest Governance: Corporate Governance Business 12 Technology Ethics Article 43 Not applicable

Ethics Management Information Security and Privacy

Protection Social 13 Supply Chain Security Article 45 Immaculate Quality: Sustainable Supply Chain

14 Equal treatment for SMEs Article 46 Immaculate Quality: Sustainable Supply Chain

Product and Service Safety and Immaculate Quality: Product Quality and

Partnerships for Goals Immaculate Quality: Innovation-Driven Development

15 Quality Article 47 Safety

Sustainable Supply Chain

16 Data Security and Customer Article 48 Honest Governance: Information Security Privacy Protection and Privacy Protection

17 Employees Article 50 Harmonious Life

18 Due Diligence Article 52 Immaculate Quality: Sustainable Supply Chain

Governance 19 Stakeholder Communication Article 53

Sustainable Development Management:

Due Diligence Stakeholder Engagement

related to

sustainability

20 Anti-Commercial Bribery and Honest Governance: Business Ethics Anti-Corruption Article 55 Management

21 Anti-Unfair Competition Article 56 Honest Governance: Business Ethics Management

111 2025 Environmental Social and Governance (ESG) Report 2025 Environmental Social and Governance (ESG) Report112About the Report Chairman’s Statement About Highpower Technology Sustainable Development Management Honest Governance Immaculate Quality Green Planet Harmonious Life Appendix

GRI Content Index GRI Standard Disclosure Location

2-24 Embedding policy commitments Sustainable Supply Chain

Highpower Technology reported the information referenced in this GRI Content

Instructions for Use Index in accordance with GRI Standards from 1 January 2025 to 31 December 2-25 Processes to remediate negative impacts Employee Rights and Benefits

2025. Sustainable Supply Chain

2-26 Mechanisms for seeking advice and raising Sustainable Development concerns Management

GRI 1 Standard used GRI 1: Foundation 2021 GRI 2: General

Disclosures 2021 2-27 Compliance with laws and regulations Appendix I Key Performance Indicators

2-28 Membership associations Innovation-Driven Development

GRI Standard Disclosure Location

2-1 Organizational details About Highpower Technology 2-29 Approach to stakeholder engagement

Sustainable Development

Management

2-2 Entities included in the organization’s About the Report 2-30 Collective bargaining agreements Employee Rights and Benefitssustainability reporting

3-1 Process to determine material topics Sustainable Development

Reporting period frequency and contact Management2-3 point About the Report

GRI 3: Material 3-2 List of material topics Sustainable Development

Community Investment Participation Topics 2021 Management

2-4 Restatements of information

Appendix I Key Performance Indicators 3-3 Management of material topics Sustainable Development Management

2-5 External assurance Appendix V Independent Assurance Statement 101-1 Policies to halt and reverse biodiversity loss Environmental Management and Ecological Conservation

About Highpower Technology GRI 101：Biodiversity

2-6 Activities value chain and other business relationships Sustainable Supply Chain 101-2 Management of biodiversity impacts

Environmental Management

and Ecological Conservation

2-7 Employees Appendix I Key Performance Indicators

201-1 Direct economic value generated and distributed Refer to the 2025 Annual Report

2-9 Governance structure and composition Sustainable Development Strategy

Financial implications and other risks and

2-10 Nomination and selection of the highest

Corporate Governance GRI 201: Economic opportunities due to climate change

Addressing Climate Change

governance body

GRI 2: Performance 2016

General 2-11 Chair of the highest governance body Refer to the 2025 Annual Report 201-3 Defined benefit plan obligations and other retirement plans Refer to the 2025 Annual ReportDisclosures

2021 2-12 Role of the highest governance body in overseeing the management of impacts Sustainable Development Management 201-4 Financial assistance received from government Refer to the 2025 Annual Report

2-13 Delegation of responsibility for managing impacts Sustainable Development Management

GRI 203: Indirect 203-1 Infrastructure investments and services Community Investment

2-14 Role of the highest governance body in

supported Participation

sustainability reporting Sustainable Development Management

Economic Impacts

2016 203-2 Significant indirect economic impacts Innovation-Driven Development

2-15 Conflicts of interest Corporate Governance

GRI 204: Appendix I Key Performance

2-16 Communication of critical concerns Sustainable Development Management Procurement 204-1 Proportion of spending on local suppliers

Practices 2016 Indicators

2-17 Collective knowledge of the highest governance body Sustainable Development Management 205-1 Operations assessed for risks related to corruption Business Ethics Management

2-18 Evaluation of the performance of the highest governance body Sustainable Development Management

GRI 205: Anti- 205-2 Communication and training about anti-corruption policies and procedures Business Ethics Management

2-19 Remuneration policies Refer to the 2025 Annual Report corruption 2016

2-20 Process to determine remuneration Refer to the 2025 Annual Report 205-3 Confirmed incidents of corruption and actions

Appendix I Key Performance

taken IndicatorsBusiness Ethics Management

2-22 Statement on sustainable development strategy Sustainable Development Management GRI 206: Anti-

competitive 206-1 Legal actions for anti-competitive behavior Appendix I Key Performance

2-23 Policy commitments Sustainable Supply Chain Behavior 2016 anti-trust and monopoly practices Indicators

113 2025 Environmental Social and Governance (ESG) Report 2025 Environmental Social and Governance (ESG) Report114About the Report Chairman’s Statement About Highpower Technology Sustainable Development Management Honest Governance Immaculate Quality Green Planet Harmonious Life Appendix

GRI Standard Disclosure Location GRI Standard Disclosure Location

207-1 Approach to tax Refer to the 2025 Annual Report

403-1 Occupational health and safety management Occupational Health and

Tax governance control and risk system Safety

GRI 207: Tax 2019 207-2 management Refer to the 2025 Annual Report

403-2 Hazard identification risk assessment and Occupational Health and

207-3 Stakeholder engagement and management of concerns related to tax Refer to the 2025 Annual Report

incident investigation Safety

403-3 Occupational health services Occupational Health and

301-1 Materials used by weight or volume Opportunities in Clean Tech Safetyand Circular Economy

GRI 301: Materials Opportunities in Clean Tech Worker participation consultation and 301-2 Recycled input materials used 403-4 communication on occupational health and Occupational Health and 2016 and Circular Economy

safety Safety

301-3 Reclaimed products and their packaging Opportunities in Clean Tech materials and Circular Economy GRI 403: 403-5 Worker training on occupational health and Occupational Health and

302-1 Energy consumption within the organization Appendix I Key Performance Occupational

safety Safety

Indicators Health and Safety

2018 403-6 Promotion of worker health Occupational Health and

302-3 Energy intensity Appendix I Key Performance SafetyIndicators

GRI 302: Energy 2016

302-4 Reduction of energy consumption Energy and Resource

Prevention and mitigation of occupational

Management 403-7 health and safety impacts directly linked by

Occupational Health and

business relationships Safety

302-5 Reductions in energy requirements of Opportunities in Clean Tech products and services and Circular Economy 403-8 Workers covered by an occupational health Appendix I Key Performance and safety management system Indicators

303-1 Interactions with water as a shared resource Energy and Resource Management

403-9 Work-related injuries Appendix I Key Performance

303-2 Management of water discharge-related Emissions and Waste

Indicators

impacts Management Occupational Health and

GRI 303: Water and 303-3 Water withdrawal Appendix I Key Performance

403-10 Work-related ill health Safety

Effluents 2018 Indicators

303-4 Water discharge Appendix I Key Performance 404-1

Average hours of training per year per Appendix I Key Performance

Indicators employee Indicators

Energy and Resource GRI 404: Training and 404-2 Programs for upgrading employee skills and Employee Training and 303-5 Water consumption Management Education 2016 transition assistance programs Development

305-1 Direct (Scope 1) GHG emissions Appendix I Key Performance Percentage of employees receiving regular Indicators 404-3 performance and career development Appendix I Key Performance

reviews Indicators

305-2 Energy indirect (Scope 2) GHG emissions Appendix I Key Performance Indicators GRI 405: Diversity and 405-1 Diversity of governance bodies and Appendix I Key Performance GRI 305: Emissions 305-4 GHG emissions intensity Appendix I Key Performance Equal Opportunity 2016 employees Indicators2016 Indicators

Energy and Resource GRI 406: Non- 406-1 Incidents of discrimination and corrective 305-5 Reduction of GHG emissions discrimination 2016 actions taken Employee Rights and BenefitsManagement

305-7 Nitrogen oxides (NOx) sulfur oxides (SOx) and Appendix I Key Performance 414-1

New suppliers that were screened using social Sustainable Supply Chain

other significant air emissions Indicators GRI 414: Supplier Social criteria

306-1 Waste generation and significant waste- Emissions and Waste

Assessment 2016

414-2 Negative social impacts in the supply chain related impacts Management and actions taken Sustainable Supply Chain

306-2 Management of significant waste-related Emissions and Waste impacts Management 416-1 Assessment of the health and safety impacts of product and service categories Product Quality and Safety

GRI 306: Waste 2020 306-3 Waste generated Appendix I Key Performance GRI 416: Customer Indicators Health and Safety 2016 Incidents of non-compliance concerning the

416-2 health and safety impacts of products and Appendix I Key Performance

306-4 Waste diverted from disposal Appendix I Key Performance services IndicatorsIndicators

Requirements for product and service Customer Relationship

306-5 Waste directed to disposal Appendix I Key Performance 417-1Indicators information and labeling Management

GRI 308: Supplier 308-1

New suppliers that were screened using Appendix I Key Performance GRI 417: Marketing and 417-2 Incidents of non-compliance concerning Customer Relationship environmental criteria Indicators

Environmental Labeling 2016 product and service information and labeling Management

Assessment 2016 308-2 Negative environmental impacts in the supply chain and actions taken Sustainable Supply Chain 417-3 Incidents of non-compliance concerning Customer Relationship marketing communications Management

GRI 401: Benefits provided to full-time employees that

Employment 2016 401-2 are not provided to temporary or part-time Employee Rights and Benefitsemployees GRI 418: Customer

Substantiated complaints concerning

Privacy 2016 418-1 breaches of customer privacy and losses of

Appendix I Key Performance

customer data Indicators

115 2025 Environmental Social and Governance (ESG) Report 2025 Environmental Social and Governance (ESG) Report116About the Report Chairman’s Statement About Highpower Technology Sustainable Development Management Honest Governance Immaculate Quality Green Planet Harmonious Life Appendix

Appendix III Glossary Classification Terminology Full Name / Background Information

ISO 9001 ISO 9001 Quality management systems

Classification Terminology Full Name / Background Information

ESG Environmental Social and Governance IATF 16949 IATF 16949 Quality management system for automotive production

GRI Global Reporting Initiative ISO 13485 ISO 13485 Medical devices quality management systems

Core Environmental

Social and SDGs Sustainable Development Goals Professional ISO 27001 ISO 27001 Information security management systems

Governance System

Disclosures and TCFD Task Force on Climate-related Financial Disclosures Certification

Framework ISO 45001 ISO 45001 Occupational health and safety management systems

ISSB International Sustainability Standards Board ISO 50001 ISO 50001 Energy management systems

CDP Carbon Disclosure Project ISO 14067 ISO 14067 Carbon footprint of products

EcoVadis EcoVadis

CNAS China National Accreditation Service for Conformity Assessment

RBA Responsible Business Alliance

UL Underwriters Laboratories

Sedex Supplier Ethical Data Exchange

Supply Chain and RoHS Restriction of Hazardous Substances

Labor

SMETA Sedex Members Ethical Trade Audit

REACH Registration Evaluation Authorization and Restriction of Chemicals

SSP Supplier Sustainability Performance

HSF Hazardous Substance Free

ILO International Labour Organization

CB Certification Bodies' Scheme

HBS Highpower Business System

ISO International Organization for Standardization

IPD Integrated Product Development

FA Failure Analysis

FBP Finance Business Partner

DFMEA Design Failure Mode and Effects Analysis

BCP Business Continuity Plan Technology and

Products

CTR Critical to Reliability

GPCM Green Product Compliance Management system

CTS Critical to Safety

MES Manufacturing Execution System

Operation and

Management

WMS Warehouse Management System DOE Design of Experiments

TPM Total Productive Maintenance AI Artificial Intelligence

SPC Statistical Process Control PCR Post-Consumer Recycled

QC Quality Control SOH State of Health

QMS Quality Management System eVTOL Electric Vertical Take-Off and Landing

MRB Material Review Board TWS True Wireless Stereo

117 2025 Environmental Social and Governance (ESG) Report 2025 Environmental Social and Governance (ESG) Report118About the Report Chairman’s Statement About Highpower Technology Sustainable Development Management Honest Governance Immaculate Quality Green Planet Harmonious Life Appendix

Appendix IV Correspondence of Company Appendix V Independent Assurance Statement

Names and Abbreviations

Company Abbreviation Company Name

Highpower Technology Shenzhen Highpower Technology Co. Ltd.Icon Energy Icon Energy Systems (Shenzhen) Co. Ltd.Springpower Technology Springpower Technology (Shenzhen) Co. Ltd.Huizhou Highpower Huizhou Highpower Technology Co. Ltd.Guangdong Highpower Guangdong Highpower New Energy Technology Co. Ltd.Hong Kong Highpower International Hong Kong Highpower International Co. Ltd.Highpower Supply Chain Shenzhen Highpower Supply Chain Management Co. Ltd.Highpower Singapore Highpower Technology Singapore Co. Ltd.Vietnam Exquisite Power Vietnam Exquisite Power Technology Co. Ltd.Vietnam Innocell Technology Vietnam Innocell Technology Co. Ltd.Highpower Holland Highpower Holland B.V.Ganzhou Highpower Ganzhou Highpower Technology Co. Ltd. (an affiliated company)

119 2025 Environmental Social and Governance (ESG) Report 2025 Environmental Social and Governance (ESG) Report120About the Report Chairman’s Statement About Highpower Technology Sustainable Development Management Honest Governance Immaculate Quality Green Planet Harmonious Life Appendix

121 2025 Environmental Social and Governance (ESG) Report 2025 Environmental Social and Governance (ESG) Report122About the Report Chairman’s Statement About Highpower Technology Sustainable Development Management Honest Governance Immaculate Quality Green Planet Harmonious Life Appendix

Reader Feedback Form

Thank you for reading the Highpower Technology 2025 ESG Report. To better provide valuable information to you 06 Other comments and suggestions:

and other stakeholders and to enhance Highpower Technology’s ESG management capabilities and standards the

Company sincerely invites you to offer your valuable comments and suggestions on this report.

01 Which category of stakeholder do you belong to

□ Shareholders and investors □ Government and regulatory bodies □ Customers

□ Suppliers and partners □ Employees other than the Board and senior management

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02 Your overall assessment of Highpower Technology’s ESG report:

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suggestions regarding this report please feel free to contact the Company via the following channels.Telephone: 0755-8968-6543

03 Your assessment of Highpower Technology’s fulfilment of its environmental social and corporate Address: Board Office Shenzhen Highpower Technology Co. Ltd. No. 68 Xixia Avenue Pinghu Subdistrict Longgang governance responsibilities: District Shenzhen Guangdong China

Environmental Responsibility: Email: hpcapital@highpowertech.com

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123 2025 Environmental Social and Governance (ESG) Report 2025 Environmental Social and Governance (ESG) Report124Environmental Social and

Governance Report

Headquarters

Building 1 68 Xinxia Road PinghuTown Longgang

District Shenzhen Guangdong China 518111

Tel: +86-755-8968-6543

Fax: +86-755-8968-6916

E-mail: Marketing@highpowertech.com

Website: www.highpowertech.com

Hong Kong Office

Room 2003 20/F Prosperity Place NO.6 Shing Yip

Street Kwun Tong Kowloon Hong Kong

Tel: +852-3565-0188

Fax: +852-3565-0176

Taiwan Contact Information

3F. No.342-1 Sec 7 Chengde Rd. Beitou Dist. Taipei 112 Taiwan

Tel: +886-2-2828-5987

Fax: +886-2-2828-5590

U.S. Contact Information

2382 Terraza Ribera Carisbad CA 92009

Tel: +1-909-214-2482